CONTENTS

CHAPTER TITLE PAGE.

No. NO

1. INTRODUCTION 1-25

2. REVIEW OF LITERATURE 26-42

3. RESEARCH METHODOLOGY 43-46

4. DATA ANALYSIS & 47-78

INTERPRETATION

5. FINDINGS, SUGGESTIONS& 79-82

CONCLUSION

BIBLIOGRAPHY

ANNEXURE

1
 LIST OF TABLES

PERCENTAGE ANALYSIS

TABLE PAGE
TITLE
NO. NO.
ESTIMATING GENDER STATEMENT OF
4.1. RESPONDENTS 47
ESTIMATING AGE GROUP OF THE
4.2 RESPONDENT 49
ESTIMATING MARITAL STATUS OF THE
4.3 RESPONDENTS 51
ESTIMATING EDUCATIONAL
4.4 BACKGROUND OF THE RESPONDENTS 53
ESTIMATING MONTHLY STATEMENT OF
4.5 THE RESPONDENTS 55
ESTIMATING THE MONEY SPENT TO THE
4.6 PRODUCT BY THE RESPONDENTS 57
ESTIMATING THE PREVIOUS USAGES
4.7 MADE BY THE RESPONDENTS 59
ESTIMATING HOW LONG THE
4.8 RESPONDENT IS USING THE PRODUCT 61
ESTIMATING THE BRAND OF COLGATE
4.9 TOOTHPASTE USED BY THE RESPONDENTS 63

2
 ESTIMATING THE IMPORTANCE OF
4.10 PURCHASE OF THIS PRODUCT BY THE 65
RESPONDENTS

ESTIMATING OF THE PURCHASING

4.11 INFLUENCES OF THE COLGATE 67
TOOTHPASTE BY THE RESPONDENT

ESTIMATING THE SUITABLE PRODUCT

4.12 PROMOTING FOR PROMOTIONAL 69
ACTIVITIES

ESTIMATING THE OFFERS MADE BY

4.13 ANOTHER BRAND OF TOOTHPASTE 71
PURCHASED BY THE RESPONDENTS

ESTIMATING THE IMPACT CREATED BY THE

4.14 SALES PROMOTINAL PRODUCTS BY THE 73
RESPONDENTS

ESTIMATING THE LEVEL OF SATISFACTION

OF BY THE RESPONDENTS
4.15 75

ESTIMATING THE SALES PROMOTIONAL

4.16 ACTIVITIES WHICH MAKES THE 77
RESPONDENTS TO BUY THE PARTICULAR
PRODUCT

3
 LIST OF CHARTS

PERCENTAGE ANALYSIS

TABLE PAGE
TITLE
NO. NO.
ESTIMATING GENDER STATEMENT OF
4.1. RESPONDENTS 47
ESTIMATING AGE GROUP OF THE
4.2 RESPONDENT 49
ESTIMATING MARITAL STATUS OF THE
4.3 RESPONDENTS 51
ESTIMATING EDUCATIONAL
4.4 BACKGROUND OF THE RESPONDENTS 53
ESTIMATING MONTHLY STATEMENT OF
4.5 THE RESPONDENTS 55
ESTIMATING THE MONEY SPENT TO THE
4.6 PRODUCT BY THE RESPONDENTS 57
ESTIMATING THE PREVIOUS USAGES
4.7 MADE BY THE RESPONDENTS 59

4
 ESTIMATING HOW LONG THE
4.8 RESPONDENT IS USING THE PRODUCT 61
ESTIMATING THE BRAND OF COLGATE
4.9 TOOTHPASTE USED BY THE RESPONDENTS 63

ESTIMATING THE IMPORTANCE OF

4.10 PURCHASE OF THIS PRODUCT BY THE 66
RESPONDENTS

ESTIMATING OF THE PURCHASING

4.11 INFLUENCES OF THE COLGATE 68
TOOTHPASTE BY THE RESPONDENT

ESTIMATING THE SUITABLE PRODUCT

4.12 PROMOTING FOR PROMOTIONAL 69
ACTIVITIES

ESTIMATING THE OFFERS MADE BY

4.13 ANOTHER BRAND OF TOOTHPASTE 72
PURCHASED BY THE RESPONDENTS

ESTIMATING THE IMPACT CREATED BY THE

4.14 SALES PROMOTINAL PRODUCTS BY THE 74
RESPONDENTS

5
 ESTIMATING THE LEVEL OF SATISFACTION
OF BY THE RESPONDENTS
4.15 75

ESTIMATING THE SALES PROMOTIONAL

4.16 ACTIVITIES WHICH MAKES THE 78
RESPONDENTS TO BUY THE PARTICULAR
PRODUCT

CHAPTER I

INTRODUCTION
6
 MARKETING OVERVIEW

Marketing starts with finding out what prospective customers think and
what they need. These needs are then fulfilled by the products and services
that you sell. The pricing, promotion and distribution of these products and
services determine who will be willing and able to buy them.

Because marketing is the process of communicating the value of a

product or service. Marketing might sometimes be said as the art of selling
products, but selling is only a small fraction of marketing. As the term
"Marketing" may replace "Advertising" it is the strategy and function of
promoting a product.

The American Marketing Association defines marketing as "the

activity, set of institutions, and processes for creating, communicating,

7
delivering, and exchanging offerings that have value for customers, clients,
partners, and society at large.

INTRODUCTION TO MARKETING:

Every organization works to achieve certain objectives are to be

achieved. To achieve the pre-decided objectives a number of activities are to
be performed. The activities may include production, marketing, human
resource, finance, transportation, service, research, logistics, purchasing, and
storage, trading, assembling, distribution and others.

These activities are performed and these are related to each other so that
the objectives can be fulfilled effectively. Similarly way the marketing
activities are performed in some of the company those are interested in
marketing the products or services for use of customers. Marketing is one of
the important activities of an organization. It is through marketing the
products or services of the company are reaching to the customers.

WHAT IS MARKETING:

The management process through which goods and services move from
concept to the customer.

DEFINITION OF MARKETING:

According to The Chartered Institute of Marketing “Marketing is the

management processes that identifying, anticipation and satisfying customer
requirements profitably.”1

According to Philip Kotler “Marketing is the social process by which

individuals and groups obtain what they need and want through creating and
exchanging products and value with others.”2

8
 MEANING OF CONSUMER:

A consumer is a person or group of people who are the final users of

products and or services generated within a social system. A consumer may
be a person or group, such as a household. The concept of a consumer may
vary significantly by context. An individual who buys products or services
for personal use and not for manufacture or resale.

WHO IS A CONSUMER:
Any individual who purchases goods and services from the market for
his/her end-use is called a consumer. In simpler words a consumer is one
who consumes goods and services available in the market.

WHAT IS CONSUMER INTEREST?

Every customer shows inclination towards particular products and

services. Consumer interest is nothing but willingness of consumers to
purchase products and services as per their taste, need and of course pocket.

UNDERSTANDING CONSUMER ATTITUDES:

An attitude in marketing terms is defined as a general evaluation of a

product or service formed over time (Solomon, 2008). An attitude satisfies a
personal motive-and at the same time, affects the shopping and buying habits
of consumers.

MEANING OF BEHAVIOUR:

Behaviour is the range of actions and mannerisms made by or

organisms, systems, or artificial entities in conjunction with their
9
environment, which includes the other systems or organisms around as well
as the physical environment. It is the response of the system or organism to
various stimuli or inputs whether internal or external, conscious or
subconscious, and voluntary or involuntary.

CONSUMER BEHAVIOUR:

As a consumer we are all unique and this uniqueness is reflected in the

consumption pattern and process of purchase. The study of consumer
behaviour provides us with reasons why consumers differ from one another
in buying using products and services. We receive stimuli from the environment
and the specifics of the marketing strategies of different products and services, and
responds to these stimuli in terms of either buying or not buying product. In
between the stage of receiving the stimuli and responding to it, the consumer
goes through the process of making his decision.

A consumer is an ultimate buyer. However, the term buyer is

broader than consumer. There are two categories of buyers, namely,
individual consumer and business buyer. An individual consumer buys for
personal consumption. But a business buyer stated that an individual
consumer buys for personal consumption. But a business buyer buys things
for manufacturing other products or for reselling or for use in the running of
his enterprise. A buyer or a customer becomes a regular customer when he
regularly buys or consumes a product or service. In other words, a customer
is one who regularly visits a place of business or patronizes a product or
services. “CUSTOMER IS THE KING.”

DEFINITIONS OF CONSUMER BEHAVIOUR:

10
 The term consumer behaviour is defined as follows:

1. According to J.F ENGELS “The activities and the action of people and
organization that purchase and use economic goods and services, including
the influence on these activities and actions.”1

2. “We define consumer behaviour as those actions directly involved in

obtaining, consuming and disposing of products and services including the
decision that proceeds and follow the action.” said by JAMES F.
BLACKWELL, ROGER D, MINI AND PAUL KAF2

WHY STUDY CONSUMER BEHAVIOUR?

A number of reasons make the study of consumer behaviour relevant for

effective marketing management. They are:

Consumers preferences are changing and becoming highly diversified.

1. Consumers do not always act or react as the theory would suggest.

2. Consumer research has vividly pointed out that customers dislike using
identical products and prefer differentiated products.
3. Meetings of special needs of customer’s requirement market segmentation.
4. Rapid introduction of new products with technological advancement has
made the job of studying consumer behaviour more imperative.
5. Consumer behaviour can be used to sell products that might not sell easily.

IMPORTANCE OF CONSUMER BEHAVIOUR:

11
 Consumers are the responsible factors for the sales of products and
services. So, when a new product is launched in a market, understanding
consumer’s buying behaviour becomes very essential. consumer behavior
holds a great important in marketing field because if look over the modern
philosophy of marketing in that ‘CUSTOMER is treated as the KING’, his
needs and wants are being studied for making any product, and above that its
always been seen while looking for opportunities for a product development
that which product is brought most and what are the factors that result in
purchase of a product. We can easily understand its importance if we look
around our environment. Consumer behavior is made up of two words
consumer and behavior. Consumer is the person who consumes the product,
he may or may not be a buyer and behavior means the aggregate of all the
responses made by an organism in any situation.

MEANING OF PROMOTION:

Promotion is one of the market mix elements, and a term used

frequently in marketing. The specification of five promotional mix or
promotional plan. These elements are personal selling, advertising, sales
promotion, direct marketing, and publicity.

DEFINITION:

“Sales promotion includes incentive-offering and interest-creating

activities which are generally short-term marketing events other than
advertising, personal selling, publicity and direct marketing. The purpose of
sales promotion is to stimulate, motivate and influence the purchase and
other desired behavioral responses of the firm’s customers.”

12
 Sales promotion offers a direct inducement to act by providing extra
worth over and above what is built into the product at its normal price. These
temporary inducements are offered usually at a time and place where the
buying decision is made. Not only are sales promotions very common in the
current competitive market conditions, they are increasing at a fast pace.
These promotions are direct inducements. In spite of the directness, sales
promotions are fairly complicated and a rich tool of marketing with
innumerable creative possibilities limited only by the imagination of
promotion planners. Sales promotion is often referred to by the names of
‘extra purchase value’ and ‘below-the-line selling’.

Which promotional methods are used depends on several factors?

Stage in the life cycle - e.g. advertising is important at the launch stage
Nature of the product - how much information is required by customers
before they buy
Competition - what are rivals doing?
Marketing budget - how much can the firm afford?
Marketing strategy - other elements of the mix (price, product, place etc)
Target market - appropriate ways to reach the target market

The main methods of promotion are:

• Advertising
• Public relations & sponsorship
13
• Personal selling
• Direct marketing
• Sales promotion

SALES PROMOTION:

Sales promotion is an important component of a small business's

overall marketing strategy, along with advertising, public relations, and
personal selling. The American Marketing Association (AMA) defines sales
promotion as "media and non media marketing pressure applied for a
predetermined, limited period of time in order to stimulate trial, increase
consumer demand, or improve product quality." But this definition does not
capture all the elements of modern sales promotion. It can be used to inform,
persuade, and remind target customers about the business and its marketing
mix.

Some common types of sales promotion include samples, coupons,

sweepstakes, contests, in-store displays, trade shows, price-off deals,
premiums, and rebates.

DEFINITION:

Sales promotion has come a long way from the time when it was
simply a short term inducement to increase sales.

Promotions are no longer simply short-term initiatives to lift sales;

they are increasingly being used to reinforce brand values.2

THE CLASSIFICATION OF SALES PROMOTION:

Sales promotion can operate on three levels:

14
1. They communicate. They can gain customers attention at the point of
purchase by providing additional information that may be the relevant to
the purchasing decision.
2. They provide incentives. Sales Promotion offers some form of direct
inducement, either immediate or delayed, which changes the perceptual
base of the purchasing decision.
3. They advance the purchasing decision. They invite the customer to engage
in an immediate transaction.

Tools of Sales Promotion:

To increase the sale of any product manufactures or producers
adopt different measures like sample, gift, bonus, and many more. These are
known as tools or techniques or methods of sales promotion. Let us know
more about some of the commonly used tools of sales promotion.

1. CONSUMER PROMOTIONAL TOOLS:

a) SAMPLING:
This allows the consumer to experience the product or service either
free or at a reduces price. It is the primary tool for new-product introductions
because it stimulates trial. Sampling is also effective for introducing
modified products, for dislodging an entrenched market leader, and for
demonstrating the brand superiority.
b) PREMIUM AND SPECIALITIES

15
 An offer of merchandise, either free or at a reduced price, for
responding in some way is called a premium. Many companies also use
premiums to encourage consumers to switch brands or to reward customer
loyalty.
Premium can be classified as:
i. In-Pack premiums, which are inserted into the package by the
manufactures.
ii. On-Pack premiums, which are placed on the outside of the outside of
the package at the factory.

c) PRICE REDUCTION:
The most common type of consumer sales promotion is the price
reduction- a sale. Although sale prices can generate tremendous response,
they can also have negative effect on a brand’s overall pricing strategy. This
was understood by Bombay Dyeing as they decided to keep their flagship
brand, Vivaldi, away from the normal 15 per cent price reduction that they
usually undertake.
d) COUPONS:
A certificate offered by either manufactures or retailers that grant
specified brands. When presented for redemption at the point of purchase.
e) MERCHANDISING:
Every promotion needs communication support if customers are
to know about it. Such merchandising materials include:
i. Banners.
ii. Signs.
16
 iii. Windows posters.
iv. Shelf strips and tags.
v. Racks.
2. TRADE PROMOTIONAL TOOLS
The following are the trade-related tools that the manufacturers
follow for promotion:
a) TRADE ALLOWANCES:
To achieve the authorization objective explained above, often
requires slotting allowances. These are fees paid to a retail chain to stock in
its warehouses and make it available in its stores.

b) DEALERS LOADERS:
To help encourage the retailers to put up a special display or
POP display for a promotion. Marketer will sometimes design a display to
include an attractive item of value to the retailer.
c) TRADE SHOWS:
Manufacturers, suppliers and vendors in a particular industry
gather to display and review new product developments at trade shows.

ADVANTAGES:

1. Creates differentiation:
When you launch a new product or ask customers to engage with
your business in a new way, this sets you apart from your competition.
Promotion planning compels you to identify something new or different that
offers value to your customers.

17
2. New content and communication opportunities:
One of the easiest ways to create new content for your customers
is to create news. Promotions are news.
3. Creates up sell and cross sell opportunities:
When you package or bundle products around a theme or solution,
you can often generate sales of multiple items rather than a single item.
When you focus on creating added value to your regular assortment, you can
charge premium prices.

4. Creates word-of-mouth opportunities:

If you operate a retail store, your regular customers are almost

always in a routine to buy from you. Promotions can often get your regular
customers a new reason to be surprised and delighted by your business
which gets them to talk about you to their friends.
5. Revenue growth:
This is the lifeblood of your business. Sales promotions are a great
way to build year-over-year and month-over-month revenue growth. Said by
Chinese.

DEVELOPING THE SALES PROMOTION SCHEMES:

After deciding the objectives and tools of sales promotion, the marketer
has to make a few more decisions to ensure effective results. Such aspects
are discussed below:

1. Size of incentives:
The marketer has to determine how much incentive should be
offered. A certain minimum incentive is necessary if the promotion is to

18
 succeed. A higher incentive level will produce more sales response but at a
diminishing rate.
2. Distribution pattern:
The marketer must also decide the mode and medium of
distribution of incentives. The cost of distribution should not be more than
that of the results that are expected from the promotional efforts.

3. Duration of the Promotion:

If the sales promotion period is too short, many prospects will not be
able to take advantage, since they may not be repurchasing within that time.
But if the promotion period is too long, a scheme will lose some of its
effects.
4. Pre- testing:
Sales promotion scheme should be pre-tested, if possible. The
purpose is to determine whether the schemes are appropriate or not. It is also
helpful to test the suitability of the size of the incentive in the context of a
particular target group.

Growth of Sales Promotion:

Sales promotion has grown substantially in recent years. There are

several reasons for this dramatic growth in sales promotion. First, consumers
have accepted sales promotion as part of their buying decision criteria. It
provides reluctant decision makers with an incentive to make choices by
increasing the value offered by a particular brand. Second, the increasing
19
 tendency of businesses to focus on short-term results has helped spur growth
in sales promotion, which can provide an immediate boost in sales. Product
managers also tend to view sales promotion as a way to differentiate their
brand from that of competitors in the short term. Third, the emergence of
computer technology has enabled manufacturers to get rapid feedback on the
results of promotions. Redemption rates for coupons or figures on sales
volume can be obtained within days. Finally, an increase in the size and
power of retailers has also boosted the use of sales promotion. Historically,
the manufacturer held the power in the channel of distribution. Mass
marketers utilized national advertising to get directly to consumers, creating
a demand for the heavily advertised brands that stores could not afford to
ignore.

Reasons for Increasing Use of Sales Promotion:

Sales promotion activities have become increasingly popular among

business firms due to the following factors:
1. Trade Pressure:
There is now greater pressure on manufacturers to provide
support and allowances due to the growth of super markets, chain stores and
other forms of retailing.
2. Growing Competition:
When one manufacturer adopts aggressive promotional strategy to
create a brand image, the sales of other manufacturers are affected.
3. Recession:
During a recession, consumers can be persuaded to buy through
rebates, bonus offers and other sales promotion activities.

4. Quick Returns:
20
 Sales promoting activities are launched quickly and yield faster
results. These activities also motivate the over burdened and lethargic sales
force. Therefore, there is widespread use of sales promotion schemes.

Limitations of Sales Promotion:

Although sales promotion is an important strategy for producing quick,

short-term, positive results, it is not a cure for a bad product, poor
advertising, or an inferior sales team. After a consumer uses a coupon for the
initial purchase of a product, the product must then take over and convince
them to become repeat buyers.

1. Message Miscommunication:

As with most sales promotions, either the distributor or the business

offering the product are not profiting as much as previously. It is a calculated
risk, but one that needs to be planned and handled carefully to be truly
effective. Sales promotions are usually advertised to inform customers of the
special offer. If there is a discrepancy between what's published and the real
offer, than it will be viewed negatively by the public.

2. Price Sensitivity:
Promotions in sales are a disadvantage when they are offered too
regularly. The key to making them successful is offering them irregularly,
catching the customer off guard and unprepared. If they are provided too

21
regularly then they create price sensitivity among customers. Dryden
outlines price sensitivity as intentional waiting by customers to purchase
items only when they are promoted in a sale, rather than buying them at the
regular retail price. Profits decrease.

Sales promotions in Colgate:

As such no promotion is done at retail level except the
recommendation by the shopkeeper. But for rural market COLGATE uses
VAN (van is a mobile promotion station having facilities for screen show,
slide show and mike publicity)

HISTORY:

For more than 200 years, Colgate people and Colgate values have been
at the heart of its Success. It is the powerful strategy and sharp focus which
drives to their Success today.
Colgate-Palmolive Company is an American multinational consumer
products company focused on the production, distribution and provision of
household, health care and personal products, such as soaps, detergents,
and oral hygiene products (including toothpaste and toothbrushes). Under its
"Hill's" brand, it is also a manufacturer of veterinary products. The
company's corporate offices are on Park Avenue in Midtown
Manhattan, New York City.

22
 In 1806, William Colgate, a soap and candle maker opened up a starch,
soap and candle factory on Dutch Street in New York City under the name of
"William Colgate & Company".

In 1817, First Colgate advertisement appears in a New York

newspaper.

In 1820 Colgate establishes a starch factory in Jersey City, New Jersey.

William Colgate in 1833 suffered a severe heart attack stopping his

business from selling. But after a couple of years of recovery he continued
with his business.

In the 1840s, the firm began selling individual cakes of soap in

uniform weights.

In 1857, William Colgate died and the company was reorganized as

"Colgate & Company" under the management of Samuel Colgate, his son,
who did not want to continue the business but thought it would be the right
thing to do.

In 1864, B.J. Johnson opens a soap factory in Milwaukee, WI, which

later becomes the Palmolive Company.

In 1866 Colgate introduces perfumed soap and perfumes/essences.

In 1872, Peet Brothers Colgate introduced Cashmere Bouquet, a

perfumed soap in Kansas City, Kansas where they make Crystal White soap.
Cashmere Bouquet, the first milled perfumed toilet soap, is registered as a
Colgate trademark.

In 1873, the firm introduced its first toothpaste, aromatic toothpaste

sold in jars.
23
 In 1879, Gerhard Mennen establishes a pharmacy in Newark, NJ, later
becoming the Mennen Company.

His company sold the first toothpaste in a tube, Colgate Ribbon Dental
Cream, in 1896.

In 1896, Colgate hired Martin Ittner and under his direction founded
one of the first applied research labs.

In Milwaukee, Wisconsin, the B.J. Johnson Company was making a

soap entirely of palm oil and olive oil, the formula of which was developed
by B.J. Johnson in 1898.

In 1900 Colgate wins top honors for its fine soaps and perfumes at the
World’s Fair in Paris.

In 1906 Colgate & Company celebrates its 100th anniversary. Product

line includes over 800 different products

In 1908 Colgate is incorporated by the five sons of Samuel Colgate.

Ribbon opening added to Colgate tube: “We couldn't improve the product so
we improved the tube.”

In 1911 Colgate distributes two million tubes of toothpaste and

toothbrushes to schools, and provides hygienists to demonstrate tooth
brushing.

In 1912 William Mennen introduces the first American shaving cream

tube.

In 1914 Colgate establishes its first international subsidiary in Canada.

In 1920s Colgate begins establishing operations in Europe, Asia, Latin

America and Africa.

24
 In 1926 Soap manufacturers Palmolive and Peet merge to become
Palmolive-Peet Company.

In 1928 Colgate merges with Palmolive-Peet to become Colgate-

Palmolive-Peet Company.

In 1930 On March 13, Colgate is first listed on the New York Stock
Exchange.

In The soap was popular enough to rename their company after it

"Palmolive" Around the start of the 20th century Palmolive, which contained
both palm and olive oils, was the world's best-selling soap.

Extensive advertising included the radio programs The Palmolive

Hour (1927-1931) and Palmolive Beauty Box Theater (1934-1937).

In 1939 Dr. Mark L. Morris develops a pet food to help save a guide
dog named Buddy from kidney disease. This breakthrough leads to the first
Hill's Prescription Diet product.

In 1947 Ajax cleanser is launched, establishing powerful now-global

brand equity for cleaning products.

In 1953 "Peet" was dropped from the title, leaving only "Colgate-
Palmolive Company", the current name.

1956 Colgate opens corporate headquarters at 300 Park Avenue in New

York City.

George Henry Lesch was president, CEO, and chairman of the board of
Colgate-Palmolive in the 1960s and 1970s, during that time transformed it
into a modern company with major restructuring.

25
 In 1962Colgate opens research center in Piscataway, NJ. Fabric
conditioner is launched in France as Soup line. Today, fabric conditioners
are sold in over 54 countries around the world.

In 1966 Palmolive dishwashing liquid is introduced and today it is sold

in over 35 countries.

In 1968 Colgate toothpaste adds MFP Fluoride, clinically proven to

reduce cavities.

In 1970 Irish Spring launches in Germany as Irische Frühling and in

Europe as Nordic Spring. In 1972, Irish Spring is introduced in North
America.

In 1972 Colgate acquires Hoyt Laboratories, which later becomes

Colgate Oral Pharmaceuticals.

In 1975 Caprice hair care launches in Mexico. Today, hair care

products are sold in over 70 countries, with variants to suit every type of hair
need.

In 1976 Colgate-Palmolive acquires Hill's Pet Nutrition. Today Hill's is

the global leader in pet nutrition and veterinary recommendations.

In 1983 Colgate Plus toothbrush is introduced. Today over 1.6 billion

Colgate tooth brushes are sold annually worldwide. If you lined them up end
to end, they would circle the globe 16 times.

In 1985 Protex bar soap is introduced, and today offers all-family

antibacterial protection in over 56 countries. Colgate-Palmolive enters into a
joint venture with Hong Kong-based Hawley & Hazel, a leading oral care
company, which adds strength in key Asian markets.

26
 In 1986 The Chairman's you can make A Difference Program is
launched, recognizing innovation and executional excellence by Colgate
people.

In 1987 Colgate acquires Soft-soap liquid soap business from the

Minnetonka Corporation. Today, Colgate is the global leader in liquid hand
soap.

In 1989 Annual Company sales surpass the $5 billion mark.

In 1991Colgate acquires Murphy Oil Soap, the leading wood cleaner in

the U.S. Today, its product portfolio has expanded to include all-purpose
cleaners, sprays and wipes.

In 1992 Colgate acquires the Mennen Company. Today, Mennen

products are sold in over 52 countries. Colgate Total toothpaste introduced.

In 1995 Colgate enters Central Europe and Russia, expanding into fast-
growing markets. Colgate acquires Kolynos Oral Care business in Latin
America and launches market-leading Sorriso toothpaste.

In 1996 Bright Smiles, Bright Futures oral health education program

expands to 50 countries, and today reaches over 50 million children
annually.

In 1997 Colgate Total toothpaste is introduced in the U.S. and quickly

becomes the market leader. Only Colgate Total, with its 12-hour protection,
fights a complete range of oral health problems.

In 2004 Colgate acquires the GABA oral care business in Europe, with
its strength in the important European pharmacy channel and its ties with the
dental community.

27
 In 2005, Colgate sold the under-performing brands Fab, Dynamo,
Arctic Power, ABC, Cold Power and Fresh Start, as well as the license of the
Ajax brand for laundry detergents in the U.S., Canada and Puerto Rico, to
Phoenix Brands, LLC as part of their plan to focus on their higher margin
oral, personal, and pet care products

In 2006, Colgate-Palmolive announced the intended acquisition

of Tom's of Maine, a leading maker of natural toothpaste, for US $100
million. Tom's of Maine was founded by Tom Chappell in 1970. 2006
Colgate enters the fast-growing Naturals segment by purchasing Tom’s of
Maine, a leader in that market in the United States.

Today, Colgate has numerous subsidiary organizations spanning 200

countries, but it is publicly listed in only two, the United States and India.

On October 25, 2012, the company announced it will cut more than
2,310 workers, or 6 percent of its workforce, by the end of 2018 in a push to
make the consumer products company more efficient.

Educational and community involvement:

In 1890, Madison University in New York State was renamed Colgate

University in honor of the Colgate family following decades of financial
support and involvement.

The Colgate-Palmolive Company has sponsored a non-profit track meet

open to women of all ages. This event is called the Colgate Women's Games.
The Colgate Women's Games is the nation's largest amateur track series
open to all girls from elementary school through college. Held
at Brooklyn's Pratt Institute, competitors participate in preliminary meets and
semi-finals over five weekends throughout January. For more than 20 years,
the company supports the Starlight Children Foundation which is a nonprofit

28
 organization dedicated to help seriously ill children and their families. The
mission is to help children to cope with pain, fear and isolation through
entertainment, family activities and education (2018).

Major brands of Colgate Toothpaste:

Colgate now markets a broadly diversified mix of products in the

United States and other countries. Major product areas include household
and personal care products, food products, health care and industrial
supplies, and sports and leisure time equipment.

1. Colgate Dental Cream

2. Colgate Total

3. Colgate Sensitive

4. Colgate sensitive Pro- relief.

5. Colgate Max Fresh.

6. Colgate Kids Toothpaste.

7. Colgate Fresh Energy Gel.

8. Colgate Herbal

9. Colgate Cibaca Family Protection.

10.Colgate Active Salt.

11.Colgate Max White

29
 Features of a Colgate toothpaste:

1. Colgate Total contains the anti-microbial ingredient triclosan, which reduces

the bacteria that cause gingivitis, cavities and halitosis.

2. Although most Colgate toothpaste brands use sodium fluoride, the Colgate
Cavity Protection variety instead contains sodium monofluorophosphate as
the active ingredient.

3. Whitening toothpaste that is "Clinically proven to whiten in 14 days".

4. Its whitening ingredient is hydrogen peroxide, which gradually bleaches the

teeth.

5. Simply White utilizes two separate chambers that contain a whitening agent
and cleaning gel.

OBJECTIVES OF THIS STUDY:

Primary Objective:
1. To study the consumer behaviour towards Colgate toothpaste.
2. To know which brand in Colgate will attract the consumer.
3. To find out whether Sales Promotion increases the Sales of products.
4. To know level of satisfaction of Colgate toothpaste.

SECONDARY OBJECTIVE:
1. To obtain information regarding the consumer behaviour towards
various brands offered by Colgate toothpaste.
2. To know the views of the consumers with the performance of
Colgate Toothpaste.
3. To give suitable reaction to enrich the consumer behaviour of
Colgate Toothpaste.
30
 SCOPE OF THE STUDY:

1. The research focuses on the several features of the Colgate toothpaste and to
know the suggestions of the user which may help the company in further
development of the Colgate toothpaste.
2. To know the kind of offers offered by the Colgate toothpaste.
3. To know the sales promotional schemes whether it is increasing or not.

LIMITATIONS:
1. There was a limited span of time for the project work in which the study of
‘Sales Promotion activities carried out for Colgate toothpaste’ is to be done.
2. The limitation for the study of the Promotional Activities carried out for
Colgate in Chennai region only.
3. The project is restricted only to Colgate toothpaste.
4. The Sample Size is only 100 and it is a primary data, there were no chances
that the given data may vary from the actual, which can lead to the wrong
results.
5. There is no Comparative Study made.
6. Under the study illiterate people are excluded.
7. People were hesitant to disclose the true facts
8. It is a Micro- level project.

31
 This study suffers from some limitation, which could be avenues for
further research. Though there is limitation, all the exertion has been made to
collect the information in order to make this project more accurate and
satisfactory to the Time Tested Concepts.

CHAPTER II

32
REVIEW OF LITERATURE

REVIEW OF LITERATURE

Consumer behaviour:

“Consumer behavior has been always of great interest to marketers.

The knowledge of consumer behavior helps the marketer to understand how
consumers think, feel and select from alternatives like products, brands and
the like and how the consumers are influenced by their environment, the
reference groups, family, and salespersons and so on. A consumer’s buying
behavior is influenced by cultural, social, personal and psychological factors.
Most of these factors are uncontrollable and beyond the hands of marketers
but they have to be considered while trying to understand the complex
behavior of the consumers. In this study, the researcher emphasizes the
importance of lifestyle and its impact on the buyer behavior.”

33
Consumer Personality Factors:

“There are two factors mainly influencing the consumers for

decision making: Risk aversion and innovativeness. Risk aversion is a
measure of how much consumers need to be certain and sure of what they
are purchasing Highly risk adverse consumers need to be very certain about
what they are buying. Whereas less risk adverse consumers can tolerate
some risk and uncertainty in their purchases. The second variable,
innovativeness, is global measures which captures the degree to which
consumers are willing to take chances and experiment with new ways of
doing things The shopping motivation literature is abound with various
measures of individual characteristics.

Perception:

“Perception is a mental process, whereby an individual selects data or

information from the environment, organizes it and then draws significance
or meaning from it.”

Perceived fit:

“Perceived fit is an attitudinal measure of how appropriate a certain

channel of distribution is for a specific product . found that consumer’s
perception of the fit between a service or a product and a channel is very
influential in determining whether they will consider using that channel for a
specific service. In fact, perceived fit was found to be more important than
consumer’s preferences for the distribution method or service.”

Product Class Knowledge:

“Product class knowledge is a measure of consumers perceptions of

how much they know about a specific class of products (e.g., cars)This type
34
of measure is called subjective knowledge, that is, consumers self-
perceptions of knowledge levels. This is often contrasted with objective
knowledge, which is what consumers actually know.

“He proposed that subjective knowledge provides a better

understanding of consumers decision making processes because consumers
level of confidence in their search and decision making behavior,
independent of their objective knowledge.”

Product type:

“Past research indicates that consumers purchase and channel decisions

might be influenced by the type of product being investigated. In particular,
some of the authors state 29 that certain products might be more appropriate
for one channel or another, which ultimately influences consumers channel
preference and choice.”

Quality:

“It is our aim to provide the best product for the consumer and we
believe that if the products have quality the consumer will pay the price.”

Packaging:

“Packaging establishes a direct link with the consumers at the point of

purchase as it can very well change the perceptions they have for a particular
brand. A product has to draw the attention of the consumers through an
outstanding packaging design. Earlier packaging was considered only a
container to put a product in, but today, research in to the right packaging is
beginning at the product development stage itself.

35
Promotion:

“The greatest challenge faced by companies today is holding and

increasing their market share and value. This is always a strenuous exercise
and one of the tools for the same is marketing. There is no specific game rule
available for using these marketing tools .

Familiarity with a channel:

“Consumer’s familiarity with a channel is a measure of the general

experience they have with purchasing products through specific channels.
Through frequent use consumers should become accustomed to using the
channel, which reduces their apprehension and anxiety in purchasing
products through the channel.”

Brand Awareness:

“According to Rossiter and Prey brand awareness precedes all other

steps in the buying process.” “A brand attitude cannot be performed, unless a
consumer is aware of the brand. In memory theory, brand awareness is
positioned as a vital first step in building the bundle of associations which
are attached to the brand in memory.

Family influence:

“A family exerts a complex influence on the behaviors of its members.

Prior family influence research has focused on intergenerational rather than
intergenerational influence in consumer generationalisation. As has been
compellingly demonstrated, parents influence children.Yet, consumption
domains clearly exist where sibling efforts may also be exerted.”

36
Shopping motives:

“Shopping motives are defined as consumer’s wants and needs as they

relate to outlets at which to shop. Two groups of motives, functional and
nonfunctional, Functional motives are associated with time, place, and
possession needs and refer to rational aspects of channel choice. Whereas
non- functional motives relate to social and emotional reasons for patronage.
The functional motives included: convenience, price comparison,
merchandise assortment.”

Sales Promotion to the sales of the individuals and households, “Who buy
the goods and services for personal consumption. Consumers around the
world are different in various factors such as age, income, Education level
and preferences which may affect the way they avail of goods and services.
This Behaviour then impacts how products and services are presented to the
different consumer Markets.”

“There are many components which influence consumer behaviour

namely: cultural, social, Personal and psychological. These characteristics
cannot be controlled by the companies; therefore, a need to assess these
elements in order to create an Effective marketing plan.”

37
 “In Sales Promotions many people do consume a wide range of products
every day, from basic necessities to high valued collectables. Owing to the
proliferation of products in the market, such phenomenon is one of the most
interesting and hence heavily investigated topics in the marketing field.”

“Consumer behaviour is about how people make their decisions on

personal or household products with the use of their available resources such
as time, money and effort. Further provide a holistic view that defines
consumer behaviour as the activities and the processes in which individuals
or groups choose, buy, use or dispose the products, services, ideas or
experiences.”

“The study of consumer behaviour and sales promotion is of utmost

importance in a number of aspects. First of all, consumer behaviour can
influence the economic health of a nation. Consumers would have their
preferences in purchasing products from specific retailers and hence the
remaining retailers are selected using the rule of ‘survival of the fittest’.
Therefore, consumers’ decisions can provide a clue for which industry to
survive, which companies to succeed, and also which products to excel.

“In sales promotion tailor-made products can be made to enhance

customer value and thus facilitate repeat purchase.”

“The interactions between the people’s emotions, moods, affection and

specific feelings is called consumer behaviour, in other words in
environmental events which they exchange ideas and benefits each is called
consumer behaviour. Consumer behaviour of people, who purchase products
for personal use and not for business purposes.”

38
 “Sales is the prior to 1978 the Indian Toothpaste market was dominated
by multinationals. The BAL Sara Group founded way back in 1925
launched Promise toothpaste heavily promoted for its clove oil
ingredient. Promise achieved the distinction of being the first
Indian toothpaste brand to be accredited by theBritish Dental HealthFoundati
on (BDHF). Currently Balsara's Promise brand and its variants and Babool
enjoy a market share of 5 per cent each.”

“Sales promotion in “rural India still presents huge opportunity for the
company to grow the market. Even today, over 70% of population resides in
rural areas. Colgate, therefore, continues to focus on expanding its rural
distribution. Thrust of this market expansion programme commenced in FY
2001 under “Operation Jagruti”. This programme is in 2nd phase with
massive rural sampling and seeding exercise for Colgate Herbal, targeted at
non-users and infrequent users of dentifrices.”

“ The price-offs of Sales Promotion, industry sources said, “is expected

to give a boost to a lack luster market for toothpastes, which has been on a
decline the past couple of years. The drop in prices, said retail sources, has
begun to have an impact as toothpaste sales saw a surge of 10-12 per cent in
the May-July period.”

“Sales Promotion in India’s big- ticket acquisition of Balsara’s brands two

years ago has begun showing results, with the homegrown Colgate
Company’s Oral care basket growing faster than its well- entrenched MNC
rivals Colgate and Hindustan Lever Ltd.”

39
 “Sales Promotion Dabur’s kitty of oral care brands (Babool, Meswak and
Lal Paste) have beaten market leader Colgate, followed by Hindustan Lever
Ltd’s (HLL) Pepsodent and Close-Up brands, both by value and volume.”
“Sales Promotion study “undertaken by the government-run Associated
Chambers of Commerce and Industry indicates that the sales is
significant growth potential for marketers of personal care products in
rural and semi-rural India.”

“Sales Promotion’s Colgate People, working around the world, share a

commitment to our three core corporate values: Caring, Global Teamwork
and Continuous Improvement. These values are reflected not only in the
quality of our products and the reputation of our Company, but also in our
dedication to serving the communities where we do business. “As a leading
consumer Products Company we are also deeply committed to advancing
technology which can address changing consumer needs throughout
the world.
“The toothpaste market in India has players like Colgate-Palmolive, whose
brand Colgate leads the market, Hindustan Lever’s brands. “The toothpaste
market is growing at 8% but it is expected to grow faster on the back of
upgrades from toothpowder to toothpaste. The 30%growth of the toothbrush
category is another indicator of this trend,”

“The toothpaste market is fiercely competitive but gaps and platforms are
always available.”

“Sales are increased and spending is also helping Colgate expand its market
share. For example, Colgate Total's share of the toothpaste market grew 0.6
percentage point to 14.9%.”

40
 Sales promotions include “incentive offering and interest creating activities
which are generally short term marketing events other than advertising,
personal selling, publicity and direct marketing. The purpose of sales
promotion is to stimulate, motivate and influence the purchase and other
desired behavioral responses of the firm’s customers”.

Consumer Promotions:

“Consumer sales promotions are steered toward the ultimate product

users typically individual shoppers in the local market but the same
techniques can be used to promote products sold by one business to another,
such as computer systems, cleaning supplies, and machinery.

PRICE DEALS:

“A consumer price deal saves the buyer money when a product is

purchased. The main types of price deals include discounts, bonus pack
deals, refunds or rebates, and coupons. Price deals are usually intended to
encourage trial use of a new product or line extension, to recruit new buyers
for a mature product, or to convince existing customers to increase their
purchases, accelerate their use, or purchase multiple units. Price deals work
most effectively when price is the consumer's foremost criterion or when
brand loyalty is low.”

“Buyers may learn about price discounts either at the point of sale or
through advertising. At the point of sale, price reductions may be posted on
the package, on signs near the product, or in storefront windows. Many types
of advertisements can be used to notify consumers of upcoming discounts,
including fliers and newspaper and television ads. Price discounts are
especially common in the food industry, where local supermarkets run

41
weekly specials. Price discounts may be initiated by the manufacturer, the
retailer, or the distributor.

“Refunds aim to increase the quantity or frequency of purchase, to

encourage customers to "load up" on the product. This strategy dampens
competition by temporarily taking consumers out of the market, stimulates
the purchase of postponable goods such as major appliances, and Creates on
-shelf excitement by encouraging special displays.

“Coupons are legal certificates offered by manufacturers and retailers.

They grant specified savings on selected products when presented for
redemption at the point of purchase.

CONTESTS/SWEEPSTAKES:

“The main difference between contests and sweepstakes is that contests

require entrants to perform a task or demonstrate a skill that is judged in
order to be deemed a winner, while sweepstakes involve a random drawing
or chance contest that may or may not have an entry requirement. At one
time, contests were more commonly used as sales promotions, mostly due to
legal restrictions on gambling that many marketers.

SPECIAL EVENTS:

According to the consulting firm International Events Group

(IEG), “businesses spend over $2 billion annually to link their products with
everything from jazz festivals to golf tournaments to stock car races. In fact,
large companies like RJR Nabisco and Anheuser-Busch have special
divisions that handle nothing but special events. Special events marketing
offer a number of advantages. First, events tend to attract a homogeneous
audience that is very appreciative of the sponsors. Therefore, if a product fits

42
well with the event and its audience, the impact of the sales promotion will
be high. Second, event sponsorship often builds support among employees
who may receive acknowledgment for their participation and within the
trade. Finally, compared to producing a series of ads, event management is
relatively simple.

PREMIUMS:

A premium is tangible compensation that is given as,” incentive for

performing a particular act usually buying a product. The premium may be
given for free, or may be offered to consumers for a significantly reduced
price. Some examples of premiums include receiving a prize in a cereal box
or a free garden tool for visiting the grand opening of a hardware store.
Incentives that are given for free at the time of purchase are called direct
premiums. These offers provide instant gratification, plus there is no
confusion about returning coupons or box tops, or saving bar codes or proofs
of purchase.”

Other types of direct premiums include “traffic builders, door

openers, and referral premiums. The garden tool is an example of a traffic-
builder premium an incentive to lure a prospective buyer to a store. A door-
opener premium is directed to customers at home or to business people in
their offices.

CONTINUITY PROGRAMS:

Continuity programs retain those “brand users over a long time period by
offering ongoing motivation or incentives. Continuity programs demand that
consumers keep buying the product in order to get the premium in the future.
Trading stamps, popularized in the 2007s and 2018s, are prime examples.
Consumers usually received one stamp for every dime spent at a
43
participating store. The stamp company provided redemption centers where
the stamps were traded for merchandise. A catalog listing the quantity of
stamps required for each item was available at the participating stores.

SAMPLING:

A sign of a successful marketer is ,”getting the product into the hands

of the consumer. Sometimes, particularly when a product is new or is not a
market leader, an effective strategy is giving a sample product to the
consumer, either free or for a small fee. But in order for sampling to change
people's future purchase decisions, the product must have benefits or features
that will be obvious during the trial.”

Trade Promotions:

“A trade sales promotion is targeted at resellers, wholesalers and

retailers who distribute manufacturers' products to the ultimate consumers.
The objectives of sales promotions aimed at the trade are different from
those directed at consumers”. In general, trade sales promotions hope to
accomplish four goals:

1) Develop in-store merchandising support, as strong support at the retail

store level is the key to closing the loop between the customer and the sale.

2) Control inventory by increasing or depleting inventory levels, thus

helping to eliminate seasonal peaks and valleys.

3) Expand or improve distribution by opening up new sales areas (trade

promotions are also sometimes used to distribute a new size of the product).
44
POINT-OF-PURCHASE (POP) DISPLAYS:

Manufacturers provide point-of-purchase (POP) display units free to

retailers in order to promote a particular brand or group of products. The
forms of POP displays include special racks, display cartons, banners, signs,
price cards, and mechanical product dispensers. Probably the most effective
way to ensure that a reseller will use a POP display is to design it so that it
will generate sales for the retailer. High product visibility is the basic goal of
POP displays. In industries such as the grocery field where a shopper spends
about three-tenths of a second viewing a product, anything increasing
product visibility is valuable.

TRADE SHOWS:

Thousands of manufacturers display their “wares and take orders at

trade shows. In fact, companies spend over $9 billion yearly on these shows.
Trade shows provide a major opportunity to write orders for products. They
also provide a chance to demonstrate products, disseminate information,
answer questions, and be compared directly to competitors”.

PUSH MONEY:

Similarly, push money (PM) also known as spiffs is “an extra payment
given to sales-people for meeting a specified sales goal. For example, a
manufacturer of refrigerators might pay a $30 bonus for each unit of model
45
A, and a $20 bonus for each unit of model B, sold between March 1 and
September 1. At the end of that period, the salesperson would send evidence
of these sales to the manufacturer and receive a check in return.

DEAL LOADERS:

A deal loader is a “premium given by a manufacturer to a retailer for

ordering a certain quantity of product. Two types of deal loaders are most
typical. The first is a buying loader, which is a gift given for making a
specified order size. The second is a display loader, which means the display
is given to the retailer after the campaign.”

TRADE DEALS:

Trade deals are “special price concessions superseding, for a limited

time, the normal purchasing discounts given to the trade. Trade deals include
a group of tactics having a common theme to encourage sellers to specially
promote a product”.

BUYING ALLOWANCES:

A buying allowance is a “bonus paid by a manufacturer to a reseller

when a certain amount of product is purchased during a specific time period.

The effect of Sales Promotion “will vary depending on the attractiveness

of the product, but on the other hand there is a possibility that customers who
would by brand acquire it because often attraction.”

Alvarez
Sales promotion consists of “those sellers – initiates activities that
46
supplement of both the advertising as well as personal selling and also render
them to a more effective persuasive force.”

Olujide

“Sales in order to develop a successful “sales promotion strategy gives a

clear cut definition about the targeted market which must be added. It is
important to note that the character of sales promotion has been changing
slightly over time, with the much raising of relationship marketing.”

Hellman

Sales Promotion “is an very important tool of the marketing

communication strategy which accounts for more promotional expenditures
than advertising in some or the other countries.”

Ellen Foxen. R

Sales Promotion “is the best achievement of the short –term marketing
objectives by schematic means.”

Christian Peterson

“Sales Promotion is any method of informing persuading or reminding

consumers about the marketing mix of product, place and price which have
been assembled by the many of the Marketing Managers.”

Mc Carthy

“Sales Promotion includes the project of information to wholesalers,

retailers, customers- actual and potential and not least to the own- salesman.”

Harold Whitehead

47
 Sales Promotion is which “It consists of an organized effort applied to the
selling of the job to secure the greatest effectiveness for advertising and for
dealer’s helping nature.”

George Hopkins.

It’s my pleasure to welcome you to the world of Colgate-

Palmolive. The small soap and candle business that William Colgate began
in New York City early in the 19th century is now, more than 200 years
later, a truly global company serving hundreds of millions of consumers
worldwide.

Our 200-year history reflects the strength and innovation that Colgate
people have used to constantly transform our Company and identify new
opportunities.

IAN COOK (CHAIRMAN, PRESIDENT AND CEO)

48
 CHAPTER III

RESEARCH
METHODOLOGY

49
 RESEARCH METHODOLOGY

RESEARCH:

Research and experimental development is formal work undertaken

systematically to increase the stock of knowledge, including knowledge of
humanity, culture and society, and the use of this stock of knowledge to
devise new applications. It is used to establish or confirm facts, reaffirm the
results of previous work, solve new or existing problems, support theorems,
or develop new theories.

A broad definition of research is given by Martyn Shuttleworth - "In

the broadest sense of the word, the definition of research includes any
gathering of data, information and facts for the advancement of knowledge.

METHODOLOGY:

The process use to collect information and data for the purpose of
making business decisions. The Methodology may include publication
research, interviews, surveys and other research techniques and could
include both present and historical information.

It is well documented that building and maintaining positive brand

equity with one‘s consumer base is considered to be critical for long-term
survival.

50
RESEARCH DESIGN:

Research design is the plan, structure and strategy if investigation

conceived so as to obtain answers to research questions and to control
variances. A research design is the specification of method and procedures
for acquiring the information needed to structure or reduce the problems.

AREA OF STUDY:

I have covered only Chennai city for the filling of questionnaires of

which it consists of 20 questions and the topic is Consumer Behaviour
towards Sales Promotion on Colgate Toothpaste.

SAMPLE:

The sample is the collection of elements or objects that process the

information sought by the researcher and about which inference are to be
made. It includes population who are of any age.

SAMPLE DESIGN:

Sample design refers to the means by which one selects the primary
units for data collection and analysis appropriate for a specific research
question.

SAMPLE SIZE:

The sample size which is chosen is 100. It denotes the number of

elements to be included in the study.

51
 METHODS OF DATA COLLECTION:

1. PRIMARY SOURCES:
A primary source is an original object or document -- the raw
material or first-hand information. Primary sources include historical and
legal documents, eyewitness accounts, results of experiments, statistical data,
pieces of creative writing, and art objects. Some of the two Primary Sources
are:
 Questionnaires:
The questionnaire is made for the customer feedback for new
products such as new Colgate toothpaste.
 Observation:
The observation was used to find out the various promotional
activities carried out by Colgate.
2. SECONDARY SOURCES:
A secondary source is something written about a primary source.
Secondary sources include comments on, interpretations of, or discussions
about the original material. One can think of secondary sources as second-
hand information.

 GUIDELINE REPORT:

Reporting guidelines are statements that provide advice on how to

report research methods and findings. Usually in the form of a checklist,
flow diagram or explicit text, they specify a minimum set of items required
for a clear and transparent account of what was done and what was found in
a research study, reflecting in particular issues that might introduce bias into
the research.
52
 LITERATURE REVIEW:

A literature review is a text written by someone to consider the

critical points of current knowledge including substantive findings as well as
theoretical and methodological contributions to a particular topic. Literature
reviews are secondary sources, and as such, do not report any new or
original experimental work. Also, a literature review can be interpreted as a
review of an abstract accomplishment.

 REFERENCE BOOKS:

I have referred many books and Websites for this Research Methodology.

TOOLS USED FOR ANALYSIS:

1. PERCENTAGE ANALYSIS.

Percentage method refers to a specified kind which is used in

making comparison independence is entered and results are identified.

FORMULA :

PERCENTAGE = NUMBER OF RESPONDENTS x 100

Total no of respondents

53
 CHAPTER IV

DATA ANALYSIS
&
INTERPRETATION

54
 TABLE: 4.1

ESTIMATING GENDER STATEMENT OF RESPONDENTS

NO. OF % OF
SEX RESPONDENTS RESPONDENTS

MALE 49 49

FEMALE 51 51

TOTAL 100 100

CHART4.1

ESTIMATING GENDER STATEMENT OF RESPONDENTS

SEX MALE FEMALE TOTAL

100 100

51 51

49 49
0 0
1 2 3 4 5

55
INTREPRETATION:

The above table shows respondent on the basis of gender. In that 49% are
Male respondents and 51% are Female.

56
 TABLE 4.2

ESTIMATING AGE GROUP OF THE RESPONDENT

NO. OF THE % OF THE

AGE RESPONDENTS RESPONDENTS
10-20 30 30
21-30 26 26
31-40 20 20
41&
ABOVE 24 24
TOTAL 100 100

CHART 4.2

ESTIMATING AGE GROUP OF THE RESPONDENT

AGE 10--20 21-30 31-40 41& ABOVE TOTAL

100 100

30
26 24
20
26 20
30
0 0 24

1 2 3 4 5 6 7

57
INTERPRETATION:

The above table representing the age factor of respondent from which
47% of the respondents are below 20 years of age group, 25% of the
respondents are between 20-30 years, 15% of the respondents of the age
group are 31-40, 12% of the respondents of the age group are 40 & above.

58
 TABLE 4.3

ESTIMATING MARITAL STATUS OF THE RESPONDENTS

MARITAL NO. OF THE % OF THE

STATUS RESPONDENTS RESPONDENTS
SINGLE 70 70

MARRIED 30 30

TOTAL 100 100

CHART 4.3

ESTIMATING MARITAL STATUS OF THE RESPONDENTS

MARITAL STATUS SINGLE MARRIED TOTAL

100 100

30 30

70 70

0 0
1 2 3 4 5 6 7 8

INTERPRETATION:

The above table shows the marital status of the Male respondents
is 70% and the female respondents are 30%.

59
 TABLE 4.4

ESTIMATING EDUCATIONAL BACKGROUND OF THE

RESPONDENTS

EDUCATIONAL NO. OF. % OF THE

STATUS RESPONDENTS RESPONDENTS
SCHOOL 18 18
COLLEGE 40 40
PROFESSIONAL 29 29
OTHERS 13 13
TOTAL 100 100

CHART 4.4

ESTIMATING EDUCATIONAL BACKGROUND OF THE

RESPONDENTS

OTHERS PROFFESSIONAL COLLEGE SCHOOL

13
2 29
40
18

60
INTERPRETATION:

The above table shows the educational status of the respondents.

Majority of the respondents are 40% are from College. 19% are from
professionals and 13% are from others.

61
 TABLE 4.5

ESTIMATING MONTHLY STATEMENT OF THE RESPONDENTS

INCOME NO. OF % OF THE

GROUP RESPONDENTS RESPONDENTS
<5000 12 12
5001-10000 31 31
10001-15000 22 22
>15001 35 35
TOTAL 100 100

CHART 4.5

ESTIMATING MONTHLY STATEMENT OF THE RESPONDENTS

NO. OF RESPONDENTS

INCOME GROUP
<5000
5001-10000
10001-15000
>15001
TOTAL

62
INTERPRETATION:

The above table shows the Income Group of the respondents. It tells
that 42% of the respondents are having monthly income is in between
Rs.1,000 - 15,000. 35% of the respondents are having monthly income are
above Rs. 15,000. 21% of the respondents are having monthly income of Rs.
5,001- 10,000 and the least 12% of the respondents are below Rs. 5,000.

63
 TABLE 4.6

ESTIMATING THE MONEY SPENT TO THE PRODUCT BY THE

RESPONDENTS

MONEY NO. OF % OF
SPENT RESPONDENTS RESPONDENTS
Rs. 5-10 4 4
Rs.11-20 15 15
Rs. 21-30 19 19
Rs. 31-40 16 16
RS. 40 &
Above 46 46
TOTAL 100 100

CHART 4.6

ESTIMATING THE MONEY SPENT TO THE PRODUCT BY THE

RESPONDENTS

Series1 Series2 Series3 Series4 Series5

100%
100

46%
46
4% 19%
19
15%
15 16%
16
0 4
0 0 0 0 0 0
MONEY Rs. 5-10 Rs.11-20 Rs. 21-30 Rs. 31-40 RS. 40 & TOTAL
SPENT Above

64
INTERPRETATION:

This table signifies that 46% of the respondents are spending to buy
the product for 40 & above, 19% of the respondents are spending for
Rs. 21-30, 16% of the respondents are spending for Rs. 31-40, 15% of the
respondents are spending for Rs. 11-20, 4% of respondents are spending for
Rs.5-10.

65
 TABLE4.7

ESTIMATING THE PREVIOUS USAGES MADE BY THE

RESPONDENTS

PREVIOUS NO. OF THE % OF THE

PURCHASE RESPONDENTS RESPONDENTS

YES 83 83

NO 17 17

TOTAL 100 100

CHART 4.7

ESTIMATING THE PREVIOUS PURCHASES MADE BY THE

RESPONDENTS

PREVIOUS PURCHASE YES NO TOTAL

100

100
17

83
83
0 0
1 2 3 4 5 6 7

66
INTERPRETATION:

This table shows the previous usage of the product. It reveals that 83%
are saying yes and 17% are saying No to the previous made by the
respondents.

67
 TABLE 4.8

ESTIMATING HOW LONG THE RESPONDENT IS USING THE

PRODUCT

NO. OF THE % OF THE

MONTHS RESPONDENTS RESPONDENTS

1 MONTH 11 11
2-3
MONTHS 10 10
4-6
MONTHS 6 6
1 YEAR 19 19
ABOVE 1
YEAR 54 54
TOTAL 100 100

68
 CHART 4.8

ESTIMATING HOW LONG THE RESPONDENT IS USING THE

PRODUCT

Series1 Series2 Series3 Series4 Series5 Series6

TOTAL 100 100

ABOVE 1 YEAR 54 54

1 YEAR 19 19

4-6 MONTHS 66

2-3 MONTHS 1010

1 MONTH 1111

MONTHS 0

INTERPRETATION:

This table shows that on the basis of how long this product is being
used by the respondents.54% of the respondents are belonging to the
category above 1Year; followed 19% are belong to the 1Year, followed by
11% of the respondents are belong to the category of 1 Month, and least
percentage of 10% are belonging to the category which lies between 4-6
months.

69
 TABLE 4.9

ESTIMATING THE BRAND OF COLGATE TOOTHPASTE USED

BY THE RESPONDENTS

NO. OF THE % OF THE

BRAND RESPONDENTS RESPONDENTS
COLGATE
DENTAL CREAM 28 28
COLGATE KIDS 5 5
COLGATE HERBAL 10 10
COLGATE CIBACA 5 5
COLGATE ACTIVE 52 52
TOTAL 100 100

CHART 4.9

ESTIMATING THE BRAND OF COLGATE TOOTHPASTE USED

BY THE RESPONDENTS

120

100

80

60

40

20

0
1 2 3 4 5 6 7

COLGATE DENTAL CREAM COLGATE KIDS

COLGATE HERBAL COLGATE CIBACA
COLGATE ACTIVE TOTAL

70
INTERPRETATION:

This table shows that the brand of Colgate toothpaste of which the
respondents are using. It reveals that 52% of the respondents are using the
Colgate Active, followed by 28% of the respondents are using Colgate
Dental Cream, followed by 10% of the respondents are using Colgate
Herbal, and the least percentage of 5% are belonging to the categories of
Colgate Kids and Colgate Cibaca.

71
 TABLE 4.10

ESTIMATING THE IMPORTANCE OF PURCHASE OF THIS

PRODUCT BY THE RESPONDENTS

SOMEW
IMPORTAN NOT
HAT IMPORT TOT
CE OF IMPORT
IMPORT ANT AL
PURCHASE ANT
ANT

% Of Respondents
IN STORE
ADVERTISEMEN
T 40 30 30 100

ADVERTISEM
ENTS SEEN 20 20 60 100
OUTSIDE
SHOPS
MEMORIES OF
THE 10 50 40 100
TOOTHPASTE
PURCHASE
INFORMATION 50 15 35 100
ON PACKAGING
FAMILY OR 19 21 70 100
FRIENDS
PROFESSIONAL 10 25 65 100
ADVICE

72
 TABLE 4.10

ESTIMATING THE IMPORTANCE OF PURCHASE OF THIS

PRODUCT BY THE RESPONDENTS

NOT IMPORTANT
IN STORE
ADVERTISEMENT

ADVERTISEMENTS SEEN
OUTSIDE SHOPS
MEMORIES OF THE
TOOTHPASTE PURCHASE
INFORMATION ON
PACKAGING
FAMILY OR FRIENDS

INTERPRETATION:

This above table clearly says that the calculated percentage value
of importance of purchase. In that 40% of the respondents say that In Store
Advertisements not Important but 59% are Somewhat Important and 29%
are Important.

73
 TABLE 4.11

ESTIMATING OF THE PURCHASING INFLUENCES OF THE

COLGATE TOOTHPASTE BY THE RESPONDENTS

PURCHASING NO. OF % OF THE

INFLUENCE RESPONDENTS RESPONDENTS

PRICE 5 5
WHITENS TEETH 20 20
FAMILIAR BRAND 24 24
REGULAR TYPE 11 11
GET INSTEAD OF
PASTE 5 5
PACKAGING 5 5
FOR SENSITIVE
TEETH 11 11
FRESHENS 19 19
TOTAL 100 100

74
 CHART 4.11

ESTIMATING OF THE PURCHASING INFLUENCES OF THE

COLGATE TOOTHPASTE BY THE RESPONDENTS

100
90
80
70
60
50
40
30
20
10
0

INTERPRETATION:

This above table reveals that influences the decision of family

member of the respondent’s purchase of Colgate Toothpaste. In that 24% of
the respondents are purchasing due to Familiar Brand, 20% of the
respondents are purchasing due to which Whitens Teeth, 19% of the
respondents are purchasing due to Freshening of the teeth, 11% of the
respondents say the purchasing of the product due to regular type and 5% of
the respondents believes that they purchase due to the price, getting instead
of paste and packaging.

75
 TABLE 4.12

ESTIMATING THE SUITABLE PRODUCT PROMOTING FOR

PROMOTIONAL ACTIVITIES

SUITABLE NO. OF % OF
PRODUCT RESPONDENTS RESPONDENTS

RADIO 5 5
TELEVISION 72 72
NEWSPAPER 12 12
OTHERS 11 11
TOTAL 100 100

CHART 4.12

ESTIMATING THE MEDUIM OF PRODUCT PURCHASED BY THE

COLGATE TOOTHPASTE

EFFECTIVE MEDUIM RADIO TELEVISION

NEWSPAPER OTHERS TOTAL

120
100 100
80
72
60
40
12 11
20
11 72 5 12
0 5
0 0
0 1 2 3 4 5 6 100 7
-20

76
INTERPRETATION:

This table reveals that which is suitable medium for promoting the
promotional schemes. 72% of the respondents say it is due to Television,
12% of the respondents believe it due to Newspaper, 11% of the
respondents’ lies on others and 5% of the respondents are for Advertisement.

77
 TABLE 4.13

ESTIMATING THE OFFERS MADE BY ANOTHER BRAND OF

TOOTHPASTE PURCHASED BY THE RESPONDENTS

PROMOTIONAL NO. OF % OF
SCHEMES RESPONDENTS RESPONDENTS
BUY ONE GET ONE
FREE 5 5%
PRICE
REDUCTION 57 57%
LOYALTY
POINTS 30 30%
ADDITIONAL
OFFERS 3 3%
NONE OF THE
OFFERS 5 5%
TOTAL 100 100%

78
 CHART 4.13

ESTIMATING THE OFFERS MADE BY ANOTHER BRAND OF

TOOTHPASTE PURCHASD BY THE RESPONDENTS

OFFERS BY ANOTHER BRAND

BUY ONE GET ONE FREE PRICE REDUCTION
LOYALTY POINTS ADDITIONAL OFFERS
NONE OF THE OFFERS

7
6
5 5% 57% 30% 3% 5%
4
3
2 5 57 30 3 5
1

INTERPRETATION:

This table reveals that what kind of offers of the products

purchase of another brand of the Toothpaste. 35% of the respondents do
purchase this product due to Buy One Get One Free, 26% of the respondents
do purchase this product of None of the Offers, 17% of the respondents says
they buy this particular product due to Price Reduction, 13% of the
respondents believes for Loyalty Points and 9% of the respondents reveals
Additional Offers.

79
 TABLE 4.14

ESTIMATING THE IMPACT CREATED BY THE SALES

PROMOTINAL PRODUCTS BY THE RESPONDENTS

NO. OF % OF
IMPACT RESPONDENTS RESPONDENTS
SWITCHING OVER
ANOTHER BRAND 23 23
INCREASE IN BUYING
BEHAVIOUR 52 52
NO CHANGE IN BUYING
BEHAVIOUR 33 33
TOTAL 100 100

80
 CHART 4.14

ESTIMATING THE IMPACT CREATED BY THE SALES

PROMOTINAL PRODUCTS BY THE RESPONDENTS

60

40

20

0
1 2 3 4 5 6 7 8

IMPACT SWITCHING OVER ANOTHER BRAND

INCREASE IN BUYING BEHAVIOUR NO CHANGE IN BUYING BEHAVIOUR

INTERPRETATION:

This table reveals that what type of impact does the sales promotional
schemes on the products which create on the respondents. 52% of the
respondents reveals that Increasing of the buying behaviour when the time of
sales promotional offer. 33% of the respondents reveals that no change in
buying behaviour and 23% of the respondents which makes the buying
behaviour when the time of sales promotional offer.

81
 TABLE 4.15

ESTIMATING THE LEVEL OF SATISFACTION OF BY THE

RESPONDENTS
SATISFACTION NO. OF % OF
LEVEL RESPONDENTS RESPONDENTS
HIGHLY
SATISFIED 18 18%
SATISFIED 72 72%
DISSATISFIED 10 10%
TOTAL 100 100%

CHART 4.15

ESTIMATING THE LEVEL OF SATISFACTION OF BY THE

RESPONDENTS

100

80

60

40

20

0
1 2 3 4 5 6

SATISFACTION LEVEL HIGHLY SATISFIED SATISFIED

DISSATISFIED TOTAL

82
INTERPRETATION:

This table says that the level of satisfaction of the service

provided by the respondents. 72% of the respondents are satisfied to the
level of satisfaction, 18% of the respondents are highly satisfied to the level
of satisfaction and 10% of the respondents are dissatisfied to the level of
satisfaction.

83
 TABLE 1.16

ESTIMATING THE SALES PROMOTIONAL ACTIVITIES WHICH

MAKES THE RESPONDENTS TO BUY THE PARTICULAR
PRODUCT

Highl

Importance Highly Moderat Dissatisfie y dis Tot

satisfied
of purchase Satisfied e d satisfi al
ed

% OF RESPONDENTS

AVAILABILITY
28 21 19 17 15 100

QUALITY 20 20 20 10 30 100

QUANTITY 19 23 15 16 27 100
PRICE 20 25 15 20 20 100
BRAND
27 16 19 15 23 100
IMAGE

OFFER 15 23 20 25 17 100
DISCOUNT 21 19 15 28 17 100
MEDICINAL
23 20 19 17 21 100
VALUE

84
 CHART1.16

ESTIMATING THE SALES PROMOTIONAL ACTIVITIES WHICH

MAKES THE RESPONDENTS TO BUY THE PARTICULAR
PRODUCT

AVAILABILITY

QUALITY
QUANTITY
PRICE
BRAND IMAGE
OFFER
DISCOUNT
MEDICINAL VALUE

INTERPRETATION:

This table shows that the sales promotional activities which

make the respondents to buy the particular product. 28% of the respondents
say availability of the product, 23% of the respondents are satisfied with the
quantity of the product, 20% of the respondents are moderate with the
quality, 19% of the respondents are dissatisfied with the medicinal value and
17% of the respondents are highly dissatisfied with the brand image.

85
 CHAPTER V

FINDINGS, SUGGESTIONS
& CONCLUSION
86
 FINDINGS

 This analysis shows that the majority of the respondents are spending more
than Rs.40 to buy the product that is they buy the product with maximum
quantity.
 The customer will also buy the product based on previous purchase
experience.
 The analysis shows a close significance between the period of purchasing.
Most of the respondents are using the product Above 1 year.
 The analysis reveals that the close significant relationship between the period
of purchasing of the respondents and the opinions about the purchasing of
brand. Most of the respondents are using Colgate Dental Cream.
 The analysis shows the close significant between the period of purchasing of
the respondents and the terms of importance when purchasing Colgate
Toothpaste. Most of the respondents reveal that In Store Advertisements are
Somewhat Important Advertisements seen outside shops are important.
 Advertisement is the most effective media for the product in the market
which will cover majority of the viewer-ship. The second place shows the
Public Relations is the most effective medium for the product in the market.

87
 Buy One Get One Free is the most kind of offers to the respondents’ likely
purchase another brand of toothpaste.
 This analysis shows that close significant relationship between the period of
purchasing of the respondents and the type of impact of the Sales
Promotional schemes of products is that mostly reveals that increasing of the
buying behaviour when the time of Sales Promotional offers.

 There exists a close significant relationship between the period of purchasing

of the respondents and the level of satisfaction of the product.

 A close significant relationship between the period of purchasing and

recommend others to make the purchase of Colgate Toothpaste in Sales
Promotional activities and the most of the respondents are agreeing to it.
 Respondents are the people how they view the Sales Promotion activities of
the Colgate Toothpaste. Most of the respondents are highly satisfied due to
the good quality.

88
 SUGGESTIONS

 Sales Promotion schemes are always attracts more consumers towards

particular brand simultaneously; it gives the better idea about the factors
which Consumers look most in the product before they make final decision.
 Sales Promotion plays a major role to influences the buying decision of the
Consumer. So the marketer can concentrates more on Sales Promotion.
 Respondents are not much aware of all the schemes of Sales Promotion of
which it increases in the buying behaviour of consumers. So the marketers
try to increases and also try to improve the Sales Promotion awareness
among the Consumers.

89
 CONCLUSION:

As the study shows that the use of Sales Promotion has

increased in marketing field. Almost all the companies offering similar
schemes like Buy One Get One Free and Price Reductions. As a result now
marketers have to find out some innovative ways of Sales Promotion to
differentiate from Competitors. Currently Advertisements and Public
Relations are the most effective medium for the product.

There are various tools and techniques are used for

promoting the products in marketing. Sales Promotional tools are not only
used in order to directly generate sales, but also increase the sales of the
products.

90
ANNEXURE

91
BIBLOGRAPHY

92
REFERENCE:

WEBSITES:

www.wikipedia.org
www.slideshare.com
http://www.scribd.com/doc/
http://www.ukdissertations.com
http://www.allprojectreports.com
http://www.businessdictionary.com/definition/
http://arabianjbmr.com
http://innovindia.blogspot.in
http://www.ifrnd.org
http://faculty.insead.edu/index_v1.htm

93
BOOKS:

Kathiresan Dr. radha, Marketing, edition 2000

Dr. L. Natarajan, Marketing
Rajan Nair, Sanjith R. Nair, Marketing Management
Philip kotler, Marketing Management
Joel R. Evans, Barry Berman, Marketing Management
J. Jayasankar, Marketing
P. Saravanavel and S. Sumathi, Advertising and Salesmanship

94
Dear Sir/ Madam,

I am Divya Chandra .Y Pursuing M.Com II Year in “Bhaktavatsalam Memorial

College for Women Korattur, Chennai-600080”, doing my project on “Consumer Behaviour
towards Sales Promotion on Colgate Toothpaste- A study in selected areas in Chennai.” So
kindly spare your valuable time in responding to the questionnaire which would help me to
conduct my project in time.

QUESTIONNAIRE

1. PERSONAL INFORMATION:
a. Name :
b. Sex :  Male  Female
c. Age Group :  10-20  21-30
 31-40  41 and Above
d. Marital status :  Single  Married
e. Educational Status :  School  College  Professional 
Others Occupational :
f. Income Group :  <5000  5001-10000  10001-15000

 >15001

2. How much money have you spent to buy the product?

 Rs. 5-10  Rs.11-20  Rs.21-30  Rs.31-40  Rs. 40 & Above
3. Have you ever used previously Colgate Toothpaste?
 Yes  No

4. How long you are using the product?

 1 Month  2-3 Months  4-6 Months  1 Year  Above 1 Year

5. Is this the same brand of products used by your family?

 Yes  No
95
 6. How many times do you brush your teeth in a day?
 Once  Twice  Thrice

7. Which brand of Colgate Toothpaste do you use?

 Colgate Dental Cream  Colgate Kids
 Colgate Herbal  Colgate Cibaca  Colgate Active

8. Please rate the following sources of information in terms of importance when purchasing
Colgate Toothpaste?

Particulars Not Important Somewhat Important

Important
In Store Advertisements

Advertisements seen outside

of shops
Memories of the toothpaste
purchase
Information on Packaging

Family or Friends

Professional advice
i.e., Dentist or Doctor

96
9. When purchasing Colgate Toothpaste which influences your decision?
 Price  Whitens Teeth  Familiar Brand  Regular
Type
 Get instead of Paste Packaging  For Sensitive Teeth
 Freshens

10. Which is the most effective medium for the product?

 Advertisement  Public Relations  Publicity
 Personal Selling  Internet

11. Which medium do you feel it is suitable for promoting the various promotional
schemes?
 Radio  Television  Newspaper  Others

12. What kind of offers would you most likely make you purchase another brand of
toothpaste?
 Buy One Get One Free Price Reduction  Loyalty Points  Additional
Offers
 None of the Offers

13. Do you plan to purchase this product even in future?

 Yes  No  Maybe

14. What type of impact does the sales promotional schemes on products creates on you?
 Makes you switch over to particular brand
 Increase the buying behaviour when the time of sales promotional offer.
 No change in buying behaviour.

97
 15. If you get an attractive promotional offer. That is other than your choice. Will you switch
over to?
 Yes  No

16. Is it really the Sales Promotional offer which increases the buying behaviour of
Consumers?
 Yes  No

17. Will you have any positive reaction to Sales Promotion?

 Yes  No  Sometimes  Often
 Always

18. Intimate your level of satisfaction of the service provided?

 High Satisfied  Satisfied  Dissatisfied

19. Will you recommend others to make the purchase of Colgate Toothpaste in Sales
Promotional activities?
 Yes  No

20. What are the Sales Promotional activities which made you to buy the particular product?

Particulars Highly Satisfied Moderate Dissatisfied Highly

Satisfied Dissatisfied
Availability
Quality
Quantity
Price
Brand Image
Offer

98
 Discount
Medicinal value

99