Complete Project New

EXECUTIVE SUMMARY
1.1. INTRODUCTION
This is the age of competition. FMCG’S are making a good position for themselves. To
succeed in the market, the product is required to have certain competitive features. Branding
of a product is an important aspect in marketing.
The brand is an anchor and customer is the sea of the product. Customer uses a
complicated decision making process to assess the alternative available before making a
purchase. The brand is associated with particular set of attributes in terms of benefits and
prices. Organizations have to have continuous and repeated sales to maximize their profit and
to maintain continuous growth. Customer may prefer to choose a product for many reasons.
Brand selection is one of the major aspects of customer buying decision
The challenges for the marketers therefore are to use the tools of branding and pricing
at his disposal to ensure the most valuable package in the customer perception by its brand.
For that he must position the brand in the customer’s mind in a distinctive slot to be unique
and closer enough to be meaningful benefits to provide unmatched value in order to take care
of the different value that arises from the segmentation of the consumer base. He must build a
portfolio of brand using brand extensions. He must then use price to create expectations. The
road to customer value is therefore in posting the brand uniquely on the customers mind.
Traditionally, FMCG has been a term synonymous with packaged goods. These
products typically attract high volume sales at a low margin. However the changing consumer
buying patterns, emergence of e-tailing and the evolution of retailing demand a revision in
the definition of fast moving consumer goods. Blurring of boundaries between retailers of
groceries, liquor, petrol and fast foods we are seeing the rise of retail outlets offering a variety
of products as never before, reflecting market forces. Habitual buying behavior and low
consumer involvement often present challenges to the marketer of FMCG brands.
CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 1

The FMCG industry essentially comprises Consumer Non Dutrable (CND) products and
touches every aspect of human life, from looks to hygiene to palate, perhaps; defining an
industry whose scope is so vast is not easy. To date, The Indian FMCG industry performs
better compare to other nations.
It includes such products as fresh meat, fresh fruit, vegetables, dairy products, bread and
cakes some chilled products, such as fruit juices etc. The perishable nature of these items
poses particular challenges for retailers and suppliers. Depending on the other factors the
tobacco products and spirits can also be classified as a FMCG.
1.2. NEED FOR STUDY

 The intention of doing any research lies with the identification of the problems and
the solution of these problems. This study being conducted with basic aim of
evaluating the importance of branding FMCG in Today’s market.
 The solution of the problem obtained from the study may be useful in assessing the
quality performance & satisfaction of the consumers.
 The research was made in Bangalore city only. Therefore finding of the city cannot be
generalized on national level. As the Bangalore city cannot represent the whole
picture of national itself.
 The sample size was also small. Only 300 samples were taken. The generalized
conclusion cannot be drawn. But the study reveals as great academic interest for the
student as well as to the retailers even to the manufactures of their FMCG branded
products.
1.3. OBJECTIVE OF THE STUDY
 To determine the importance of branding FMCG products.

 To determine the important factors which lead the buyer’s preference for a particular
brand
 To find out the factors which influences their basis behavior?
 To determine the main sources of information (advertising)
 To find the reason for buying, using the branded FMCG products advertising.

 To find out the media preferences of consumer for branded FMCG products so that
better products can be developed.
 To determine the degree of satisfaction and present performance of the branded
product by the existing consumers.
 To find out the understanding need or want of the consumers..
1.4. METHODOLOGY
Research methodology is nothing but a system of methods and principles for doing
research. In other words, it is the conceptual structure of the research project. It is the
arrangement of conditions for collection and analysis of data in a manner that aim to
comprise relevance to that research process with clarity in procedure.
In this research methodology used to collect primary data was through survey
technique, which intended to secure on, or more items of information from a sample of
respondents, representatives of large group. The information is recorded on a form known as
“Questionnaire”. As the data is gathered by asking questions to persons who were expected to
have desired information. Answers were filled in questionnaire for the purpose of the study.
The reason for wide use of survey technique

 It could serve both quantitative as well as qualitative information directly from the
respondents.
 It was quite flexible in terms of data to be assembled method of collection or timing
of research.
Apart from it was presumed that respondent

 Know the answer to the question
 Have authority to answer to these questions
 Were willing to co-operate in answering these questions in the best manner.

The study was carried in Bangalore city with the total sample size 300. the respondent
were contacted at their offices, service, centers, residence, colleges, bus stops, shops during
their leisure time and the interview spanned between 15 to 20 minutes per respondents.
The other factor is the revenue that the brand would earn in the position. The revenue
depends on the number of consumers in the preference segment, their average purchase rate,
the number end strength at competitions in that segment and the price change by the brands in
the segment.
The methodology outlines sources of existing data and specific research approaches,
contact methods, sampling plans and instruments that are used to gather new data.
Research Project Descriptive

Data Source Primary data, Secondary data
Research Approach Survey method
Research Instrument Questionnaire
Sample Plane  Sampling unit – Retail Customers of
Bangalore city
 Sample size – 300
 Sample Type – Random sampling
Contact Method Personal
1.5. LIMITATIONS OF STUDY

This survey was completed with many limitations.
Some of them are:
 The sample size, which was taken for the study was small and also inadequate to
generalize it in the national level.
 The sample was taking from Bangalore city. Hence the findings may not applicable
to other places of India.
 The study was restricted to Bangalore city only interview of the financial constraints.
 The limited time span could not provide privileges to for samples.
 A respondent was sometimes not expressing their real feelings.

 Only the opinions of owners or buyers were taken into account / consideration.
The research object was to identify a set of commodity specific issues which makes a
particular commodity more amenable to branding the research problem was to find out under
what market conditions (both product and consumer related) was a commodity more brand
able are likely to command higher premiums.
For shampoo the issues are appropriate packaging, freshness and availability.
Commence of inspection free buying if arrangement action is to be offered the best one is
hygiene if high premium is required the argumentation of extra sweetness has to be given in
addition to the augmentation of hygiene.
The main issue related to the brand belief respondents who has the very high belief
frequently by the branded one because of some expected quality or intrinsic are must in
branded one for an example as we have chosen the soap and for which my expect the
attractive packing colour and must of all ‘Hygine’ which may find in their even branded one.
It was also found that the middle class is definitely inclined to make purchase of
newly introduced branded commodities. It was seen that most of the respondents believed
that the branded forms would offer standardized quality and convenience information of
inspecting and purchase augmentation does enhance the brandability of a commodity.
Provided it is appropriate to the commodity manufactures brand equity goes along way in
makes a branded commodity more acceptable.
1.6. FINDINGS & RECOMMENDATIONS

 The parameters and critical factors for a firm to qualify into the FMCG sector.
 The significance and expediency of data sources like the Annual Survey of Industries
(ASI) and CMIE in defining the FMCG sector and segregation of the various product
categories into four broad segments packaged food and beverages, tobacco products,
spirits , personal and home care segments.
 The pillars for the sustenance of a competitive advantage in the FMCG sector-
branding and distribution.
 The generic strategies based on these pillars are what firms weigh up and append to
come with new means to differentiate their product offerings to the consumer in the
dynamic market.
 Identification of the elements of he value chain of FMCG sector.
 The role and importance of the value chain in the FMCG sector.
 The external factors of influence of the value chain have also been studied.
 The emergence and effect of e-commerce on the processes and procedures of the
value chain.
 The possibilities of a customer centric model emerging from the evolution and
concoction between e-commerce and the FMCG processes and procedures.
 The present trends in the FMCG sector are the increase growth in the net sales in the
packaged food segment. Whereas the personal and home care segment and the
tobacco and spirits segment have been subject to negative growth rates.
1.7. RECOMMENDATIONS
 The FMCG value chain synergies must be maintained. The supply and demand side
synchronization is detrimental to the firm’s strategic positioning as against the
competitors.
 The new entrant must be able to enhance the efficiency of the value channel using the
existing synergies.
 The value chain must be strengthened using the pillars of branding distribution. They
must be used to build a monolithic image the firm and its product proposition.
 Concentration on power brands by the FMCG firms as seen in the analysis would
increase the control of the firm on the product categories in the existing product and
brand clutter.
 The force 10 imitative of ECR would be successful only if the transparency in the
processes is brought to a comfortable level with the firms. Barring which the intent of
a firm to gain competitive advantage through information asymmetry would rise,
failing the purpose of ECR.
 Customer centric strategies and processes are what are for seen for the FMCG sector
with the evolution of e-commerce in the sector.

INTRODUCTION
2.1. BACKGROUND OF THE STUDY
2.1.1. What is a brand?

A brand is a name, term, sign, symbol or design or combination of them intended to
identify the goods or services of one seller or group of sellers and to differentiate them from
those of competitors.
2.1.2. Brand equity

Brands vary in the amount of power and value they have in the market place. At one
extreme are brands for which buyers have a fairly high degree of brand of brand awareness.
Beyond this are brands with a high degree of brand acceptability. Then there are brands that
enjoy a high degree of brand preferences. Finally there are brands that command a high
degree of brand loyalty.
Co-brands variety of forms
 Component co-brands- when Volvo advertises that it uses Michelin tyres or Betty
Crockers Brownie mix includes a can of Hershey’s and chocolate syrup.
 Some company co-brands general mills advertise trix /yop /ait.
 Join venture co-brands –GE/Hitachi light bulbs in Japan and the Citibank advantage
credit cards co-sponsored by Citibank and American Air Lines.
 Multi sponsor co-brands- Taligest, which is a technological alliance among people,
IBM and Motorola.
2.1.3. Origin of FMCG s

Deals have stumped everyone. Competitors screaming themselves hoase about the
quality of product it has been selling. On the other hand consumers are queuing up in large
number to take advantaged of the product.

Total productivity Management (TPM) joining hands with competition lead to
introduction of FMCG’s into the market. So innovation and launching new products came
into being. So lots of new products are being launched to cater to different system of the
customers. This simple formula of launching is happening in every category.
That is soap and detergents, beverages culinary products, ice cream and diary
products. Time persuaded military families in the meters are the early adopters in the
FMCG’s market.
Several FMCG’ markets have plunged in with products. They don’t make in the
country by important and marketing them here with importance of consumer products made
easier by the government, many FMCG’s companies (particularly MNCs) have chosen this
route to seed the market and get critical mass before.
2.1.4. Organized and Unorganized Sector
The 85,000 crores FMCG sector is divided on the basis of the organized anf
unorganized initiatives. The unorganized sector has a presence in most product categories of
the FMCG sector. Locational advantages, low cost structure and regional presence have eased
the path for small companies to reach out to remote areas where large consumer products
have only limited presence. Factors like entry barriers in terms of low capital investment,
fiscal incentives from government, low brand awareness, especially in rural area led to the
mushrooming of the unorganized sector. The unorganized FMCG sector has benefit3ed
mainly due to their strategy of “low price, high volumes”. They harp on the product and
brand awareness established by the organized sector firms.
In the organized segment, FMCG players fight out in the marketplace to reach out to
the masses and complete with brands with similar product categories. Brand perception
influences purchase decisions here and so building that perception is critical. Little surprising
that, FMCG majors opt for high- decibel advertising in a bid to build and reinforce the notion
of perceived superiority, and convert that notion finally into sales volumes. For new brands,
spending more on advertising is all the more crucial. Product launches entail large initial
investments in advertising and sales promotion. Launch costs are known to climb as high as
100 percent of sales revenue during the first year of the launch.
2.1.5. Segregation of product categories into segments:
The segregation of products can be done on the basis of the raw materials used,
production techniques, usage instances and benefits sought. The FMCG sector can be divided
into Personal and homecare segment: Oral care; hair care; soaps and detergents; cosmetics
and toiletries; deodorants; perfumes; sanitary products; household cleaning agents (dish
washing powder, floor cleaners, toilet cleaners, insecticides and mosquito repellents).the
above categories are grouped together on the basis of the similarity in the manufacturing,
packing and distribution channels.
The sector is divided into two distinct segment- the premium segment catering mostly
to urban higher/ upper middle class and the popular segment with prices as low as 25%-30%
of the premium segment, catering to mass segments in urban and rural markets, the premium
segment is less pricesentive an more brand conscious. India’s rural markets have seen a lot of
activity in the last few years. Since urban markets are saturated in most categories, future
growth can come only from deeper rural penetration. FMCG majors are aggressively looking
at rural India since it accounts for 70% of the total Indian households. Raw material prices
play an important role in determining the pricing of the final product. The industry is volume
driven and is characterized by low margins. The products are branded and backed by
marketing, heavy advertising, slick packaging and strong distribution networks.
Despite the strong presence in this industry. Brand building and extensive distribution
network is a key factor. A successful brand is a precious asst, which could fetch a price many
times the cost of assets required to make the product. A study conducted by A&M –ORG-
MARG reflects that the share of branded goods is high for a number of daily used products.
Branded goods comprise of 65% of sales in villages and the share of non-branded products is
shrinking dramatically.

Packaged food segment
Health & soft drinks; breakfast cereals; bakery foods; snack food; chocolates;
ice cream; oil& fat products; bottled water; branded flour, rice sugar; juices etc. the
perish ability of the goods, the frequency of the purchase, and row materials
employed have been the factors for the segregation of the above category under a
single segment.
India is the world’s second largest producer of fruits, vegetables and milk. A large
coastline and a huge cattle population ensure abundant supply of meat, poultry and
fish. Only about 5% output is processed and consumed in packaged form, thus
highlighting huge potential for expansion of the food processing industry. Size of the
semi-processed and ready to eat packaged food is over US$ 7BN. Over 90% of fruits,
vegetables and milk are still consumed fresh. But there is disparity in the quality and
prices of food items available, hence no uniformity in quality and prices.
• Tobacco: cigarettes, cigars, gutka etc.
The domestic tobacco industry primarily comprises ‘bidis’. Chewing tobacco

and the cigarette segment. ‘Bidis’ and chewing tobacco account for 86% of the
tobacco consumed.
Cigarettes accounts for the remaining 14%. India consumed about 110bn
cigarette sticks per annum (Rs.100 bn value terms) in FY 02. policies with regard to
the cigarette industry have seldom differed over the years and practically each
government has always indicated plans to increase excise on this segment. Thus, a
sizeable portion (nearly 60%) of the earnings of this segment is said to flow into the
government treasury in the form of excise duties and other state levies. Notably, the
cigarette industry contributes nearly 90% of the total excise collections from the
tobacco segment. The industry faces a problem in the form of the unequal distribution
of excise burden.
Spirits: liquor, molasses,, wines etc. the spirits and the sugar industry by products are
very closely knit as molasses etc are by products in the sugar industry.

Segment wise break up of sales:
Segment Rs. (000’crores)

Personal& home care 32.43
Packaged food segment 40.35
Tobacco 8.36
Spirits 3.58
2.1.6. Pillars of FMCG Strategies
The generic platforms on which a FMCG firm can strategize it’s moves re Branding
& Distribution. Two pillars- strong brand equity and wide distribution network, characterize
fast moving consumer goods (FMCG) business. Brand equalities are built over a period of
time by technological innovations, consistent high quality, aggressive advertisement and
marketing. Availability near the consumer through a wide distribution network is another
crucial success factor as products are of small value, frequently purchased daily use items.
Liberalization, de-reservation from small scale. Progressive reduction in excise duty rates etc
have led to strong demand growth in the segment during the last few years.
Branding
It is the process of selecting and blending tangible and intangible attributes to
differentiate the product, service or corporation in an attractive, meaningful and
compelling way. A brand is name, term, sign, symbol or design or a combination of
them which is intended to identify the goods or services of one seller or group of
sellers and to differentiate them from those of competitors. While brand can represent
all types of gods or entities, they have special importance for FMCG products. Brand
equities are stringer in FMCG products as the consumer is reluctant to try unknown
brands/ unbranded products for the following reasons.
 These products individually account for a small part of household spending
 Most of these products are personal use

 It is difficult to differentiate a product on technical or functional grounds and
therefore the consumer is reluctant to switch to an unknown brand.
 Successful brands generate strong cash flows, which enables the owner of the
brand to reinvest a part of it in the form of aggressive advertisements/ promotions.
This reinforces the perceived superiority of a brand.
The strategy should be rooted in the brand’s vision and driven by the principles of
differentiation and sustained consumer appeal. The brand strategy should influence
the total operation of a business to ensure consistent brand behaviors and brand
experiences. Effective use of branding helps distinguish between products and
companies and create space in the mind of the consumer for the same. A few branding
strategies could be i) individual ii) co branding iii) brands extensions.
Individual Vs Umbrella Brand Strategy
Individual brand has its own identity and the corporate or common name is not used
to promote its equity. In case umbrella brand, there is a generic brand with association
of some values. For instance, Hindustan Lever follows individual branding strategy
and has several brands in the same category such as Lux, Liril, Rexona soaps etc.
competitor Nirma has mainly followed the umbrella branding strategy such as Nirma
Bath, Nirma Beauty, Nirma Super, Nirma Shikakai soap etc. only recently, the
company for the first time diverted from its strategy of umbrella branding with the
launch of Nirma.
Advantages of individual branding strategy are that some of the products,

which flop in the market, do not have negative spill over impact on other brands. For
example, Nirma is associated with popular end of products, which becomes a major
deterrent for its expansion in the premium segment. The same manufacturer offers
consumers looking for change distinctly new brands. But individual branding requires
expensive advertisements and brand building exercises. Also each new brand does not
benefit from the positive perceptions of earlier brands.

In umbrella branding, manufacturers have advantages of establishing a new
product quickly with association of quality/ benefits of the mother brand (a classic
case in Indian context has been Godrej). And there is no need for name research,
expensive advertisement for creating brand names, recognition and performance.
Multi Branding
Marketing of two or more mutually competing products under different brand names
by the same company. The motive may be that the company wishes to create internal
competition to promote efficiency, or to differentiate its offering to different market
segments, or to get maximum mileage out of established brands that it has acquired.
When a company has achieved a dominant market share, multi-brand strategy may be
its only option for increasing sales still further without sacrificing profitability. For
example, lever brothers sells washing powders under the Persil, Omo and surf names;
Cadbury sells chocolates under the Diary Milk, Bournville and Fruit & Nut names;
Hindustan Lever has several brands (Lux, Breeze, Hamam, Rexona etc) in the same
category i.e. toilet soaps.
Distribution
In FMCG sector, one of the most critical success factors is the ability to build,
develop and maintain a robust distribution network. Availability near the consumer is
vital for wider penetration as most products are low unit value products and
frequently purchased.
Distribution network refers to the consumer buying points where products are
available (almost always) . It takes enormous time and effort to build a chain of
stockiest, retailers; dealers etc and establish their loyalties. There are entry barriers for
a new entrant as a new product is typically slow moving and has lesser consumer
demand. Therefore dealers/ retailers are reluctant to allocate resources and time.
Established players use their clout to inhibit new entrants. Given the fragmented
nature of the Indian retailing industry and the problems of infrastructure. FMCG
companies need to develop extensive distribution networks to achieve a high level of
penetration in both the urban and rural markets. Once they are able to create a strong
distributions network, it givens them significant advantages over their competitors.

Leveraging structures
Many FMCG shave their distinguishing system for people in place so new
launches and extension don’t require closes of capital.
Optimizing capacity use
Companies with big product capacities need to keep manufacturing levels high so that
fixed cost doesn’t into profitability.
Feel good purchases
In an economic slum consumer psychology moves in a different direction when things

are bad consumers like to give themselves a treat.
Blocking tactics
With some potential constraints deciding to wait for the slump to get over existing
player seize the opportunity to pre-empt them by launching first.
More for less
With advertising down, media budgets get a better share of “voice” and ads face less
clutter for many marketers. This is a good rational for new launchers.
VFM Opportunities
A slump is a good time to launch value for money brands with money tight.
Consumers are receptive to reasonably priced products.
“Boom in the time of Gloom”
There may have been a slump in 1997. But that didn’t deter FMCG companies
from launching, re launching and repositioning hundreds of new products, why?
Indeed there is one compact reason, which fits this question. We can unearth hundreds of
reasons. Some marketers think, “It’s most required to stimulate when the market is sluggish”
Introduction has nothing to do with economic ups and downs. It has everything to do with
consumer India per capita consumption (for consumer non-durable) is a fraction of other
developing countries and this needs a great opportunity for innovative products.

2.1.7. Brand decision
In developing a marketing strategy for individual product, the seller has to control the
branding decision. Branding is a major issue in product strategy. On one hand developing a
branded product requires a great deal of long time investment spending specially for
advertising promotion and packaging. Many brand oriented companies sub contract
manufacturing to other companies. For example; Taiwanese manufactures make a large
amount of world’s clothing consumer electronics and computers but not under Taiwanese
brand name.
On the other hand manufactures eventually learn that the market power lies with the
brand name company. Brand name companies can replace their Taiwanese manufacturing
sources in Malaysia and elsewhere. Japanese and South Korean companies realize this and
spend liberally. To build a brand name such as Sony, Toyota, Gold star and Samsung. Even
when these companies can no longer afford manufacturer their products in their homeland,
the brand name continues to command customer liabilities.
To brand or not to brand?
The first decision is whether the company should develop brand name for his
product. In the past most products went unbranded. Producers and intermediaries sold
their goods out of barrels, bins and cases without any supplier identification. Buyers
depended on the seller’s integrity. The earliest sign of brands where the middle builds
efforts to require crafts people to put trade marks on their products to protect
themselves and consumers against interior quality. In the fine arts too branding begin
with artists signing their works.
Today brands in such strong force that hardly anything goes unbranded. Salt is
packaged in distinctive manufactures container. Oranges are stumped with grower’s
name, common nuts and bolts arte packaged in polythenes with the distributor’s label,
the automobile components sparkplug, tyre, filters etc. bear separate brand name from
the automakers. Fresh fried products such as chicken, turkey and salmon are
increasingly being sold under strongly advertised brand names.

2.2. WHY DO SELLERS BRAND THEIR PRODUCTS?
When doing so clearly involves cost, packaging, labeling, advertising, legal protects
and the risk the product may prove unsatisfying the user.
Brands give the seller several advantages.

 The brand name makes it easier for the seller to process order and track down
problem.
 The seller’s brand name and trademark provide legal protection of unique product
features which competitors would otherwise be likely to copy.
 Branding gives the seller opportunity to attract a loyal and profitable set of
customers. Brand loyalty gives seller some protection forming competition and
greater control planning their marketing programmed.
 Brands help the seller segment market instead of P&G selling a simple detergent.
It can offer eight detergents brands each formulated differently and aimed at
specific benefits seeking segment.
 Strong brands help to build the corporate image, making it easier to launch new
brands and gain acceptable by distributors and customers.
There is evidence that distributors want manufactures brand name because brand
makes the product easier to handle whole production to certain quality standards strengthen
buyers preference and makes it easier to identify suppliers. Consumers want brand name to
help them identify quality difference and shop more efficiently.
2.3. INDUSTRY PROFILE
In this fast changing world of consumer goods, companies forever strives to keep
ahead. So they cannot be stuck with product, which will lose demand easily. So FMCG’s
introduce new varieties of products every time.FMCG is sector of segments. So there are
more products. New product categories are emerging everyday. This is changing the frame of
references for consumers and marketers.

In FMCG sector, there is however a huge amount of spill over from one segment to
segmentation in the form of sub-brands is only a national differentiation to build in price
paints for various product categories. FMCG marketer pitches their products to different
segments depending upon purchasing power. At the end of the day, companies sell their
image rather than specific sub brands.
The products, completely unknown at one time seem to be doing better than many
others that one had heard of.
FMCG knows that the way to a good product is through good research. And that
means hard work. In the run up of its Feb 1997 launch of home made cooking paste dabour
researched 2000 homes each in Bangalore, Mumbai and Delhi. While food, glorious food
remains resonating chart in our country of stomach worshipers, marketers of brand would like
to prefix it with such value lades words has “processed” “convenience” and even “hygienic”
The India food market was placed at Rs.2, 75000 crores in 2002, 3 quarters of which
was fresh food 75%. Semi processed and just a lot processed. In terms of volume processed
food accounts for just 2% of the total output. A perceptive landscape. The wonderful theory
about food is that its basic human needs and food is a big chunk of the economy. The
prefixes” “convenience” and processed hold no value till they can demonstrably which the
consumer life.
The market for diary had been dependent milk product for all these years. Now that
India has more than enough, the market is projected to grow vastly. Dairy products are
already the second largest food expenditure grouping (after cereals) accounting for 158% of
the pie just a 50 of India’s milk gets processed.
Cadbury India Limited (1997 turnover. 350 crores) launched picnic form its
international portfolio in 1998.The Dabur foods are known as the “Monday launches”
because of for every six consecutive week Monday dabur foods had 27 launches including
variants and refurbished products like real fruit juices, home made pastees.

Dabur and HUL are just two examples of the high adrenaline brand activity among
FMCGs majors last year. The trend was all pervasive for players ranging fro multinational
corporations like proter & Gamble (P&G) , Johnson &Johnson, Britannia industries limited,
Cadbury India limited and Rekitt and colman to Indian market scenario.
As we are taking about the FMCG sector so we cant ignore the grant companies like HUL,
Procter & Gamble) , Johnson & Johnson, Godrej, Britannia etc. lets have a glimpse on few of
their profile.
2.3.1. Apparel Industry

Textiles and clothing put together account for 30 per cent of India’s exports, 4 per
cent of the GDP, 14 per cent of the industrial output and earn 35 per cent of the foreign
exchange (Centre for Education and Communication). The garment sector alone employs
over 3.5 million people and is the one of the few sectors where employment has been
growing over the past few years. The commendable performance of the apparel industry has
largely been an outcome of a buoyant growth in the textile industry.
The Indian textile industry has increasingly benefited since the post-quota regime [the
multi- fibre agreement (MFA) which governed global trade in textiles and clothing since
1974, was dismantled in December 2004] in terms of higher textiles exports, especially due to
the demand from UK and US retailers. The Indian textile industry, in the first year of the non-
quota regime, has registered an annual growth in exports to the US by 27 percent in 2005 (US
$) as against 13 per cent in 2004. Indian textile firms have also clocked a growth of 22 per
cent in volumes as against a growth of 15 per cent in 2004. With advantages like cheap
skilled labour and access to low cost cotton, it is estimated that India’s textile exports could
grow by as much as 35 per cent over the next 5 years with India’s share doubling from the
current 4 per cent of global textile exports. According to the ICRA Information, Grading and
Research Service, India’s textile and apparel exports to US during January-April 2005 have
37 grown by 27 per cent as compared to the corresponding period in the previous year.
However, this has been at a slower rate as compared to China (59 per cent) during the same
period. India needs to shift its focus to exports of textile and clothing based on manmade
fibers, which
accounted a meagre 16 per cent of the total textiles and apparel exports in 2004, while 37
percent of US textile and apparel imports constituted imports of manmade fibre in 2004.
Thus, it is necessary to leverage our cost advantage in terms of labour costs to boost overall
textiles and apparel sector in the future.
2.3.2. FMCG
The fast moving consumer goods (FMCG) industry, has recovered since September
2004
from a two-year slump with the FMCG companies like Hindustan Lever, ITC Ltd and Marico
Ltd showing an increase in their net profits and sales, especially in the third and fourth
quarter of 2005-06, mainly spurred by high rural demand . According to AC Nielsen Retail
Measurement Services, total sales in organised retail industry ha ve increased from US $
10548 in 2001 to US $ 12534 in 2005, a compound growth of 35 per cent per annum. In fact,
sales growth in FMCG industry had slowed down in 2003 (2 per cent), but picked up in the
later half of 2004. Further, in 2005, the industry has grown satisfactorily by exhibiting an
increase in sales by 5.3 over the previous year (Chart 6D).
Within the FMCG sector, a declining growth in non-food FMCG sector has also
Recovered since 2004.
2.3.3. Industry Overview

India with a population of nearly a billion people is a courtesy of contrast. India’s
urban population is the main engine that fuels the demands for various cosmetics products.
Although Indians are strongly attached and committed to their traditions and culture. The
advest of television and the awareness of the western world is changing the taster and
customer of India.
However the market liberalization process that begin in 1991, along with the
crowning of three Indians as miss universe during the past 4 years, have made Indian women
conscious of their appearance. Consequently the cosmetic consumption patterns of Indian
women have changed and this trend is fuelling growth in the cosmetic sector.
The period size of India’s cosmetic and toiletries market is estimated at US$44
million. Industry sources estimate a nominal growth rate of 15% across different segments.
This industry reflecting a demand for most type of beauty and personal care products. The
organized personal care market, which is mainly dominated by multinational companies and
a few large Indian companies, is clearly divided into two categories. The premium segment,
which most caters to the urban higher middle class and the popular segment that caters to the
middle and lower class. The premium segment is less price sensitive and highly brand
conscious, while products in the popular segment complete mainly on price basis.
Since market liberalization, several multinational companies such as Revlon, Coty,

oriflamme, chamber, Avon, Yardley, Nina ricci, Granier Lab and L’ oreal have entered the
Indian Market. These companies initially cashed on their international brand image.
However, repeat purchases were not forthcoming because the products were not priced
competitively.
Consequently, these companies became price sensitive and most of the international
brands are now priced competitively in the Indian market. The segment that offers the higest
competition is the color cosmetic segment which has Indian players such as Lakme, Lever,
Tips & Toes and Shenaz Hussain and multinational company players such as JLM orison,
Ponds, Uni Lever and Colgate- Palmolive. Domestic players like Lakme, Tips & Toes and
My fair lady, mainly dominate the US$59 million color cosmetic market.
Britannia industries Limited develops manufacture and markets biscuits, high protein
food, cakes, rusks and marine products. The company in involved products and the
improvement of existing products.
Biscuits and high protein foods accounted for 84% of fiscal 1999 grows revenue,
diary products, 7% bread, 6% cakes, rusks2% and others 1%.
2.4. SELECTED COMPANY PROFILES
2.4.1. Procter and Gamble (P & G)
Protector and Gamble Hygiene and health care limited is one of Indian largest
growing fast moving consumer goods companies with a wide range of products in the Health
care, laundry (Detergent), Feminine protection and personal care categories. Over the last few
years the company has carved out a reputation for delivering high quality value added
products to meet the needs of consumer. The company holds the unique distinction of owing
Vicks- Indian Number one brand. This Brand over 100 years old and leading edge technology

brands such as Whisper, Head and Shoulder, Pantene and Ariel are ensuring that the company
is and integral part of Indian consumers lives.
The company pride itself on being a good employer in keeping with the global
commitment that protector and Gamble has made to attract and recruit the finest people in the
world, building the organization from within.
In 1998 P&G reiterates its commitment to make everyday in the lives of its
stakeholders better through the quantity of its products and the sincerely of its services.
History of P&G
In 1985 the P &G Company, USA, acquires Richardson Vicks in USA, making
Richardson Hindustan and P&G.In 1989 Richardson Hindustan limited changes its name to
Procter and Gamble. In 1998 P& G operates in India hygiene and health care products 65%
share holding of the P & G, USA.
Protector and Gamble home Products (laundry and Hair care Products)
 In historical terms P& G relationship with India dates back to where Vicks product
inc India, a branch of Vicks products inc, establish in 1951, was engaged in the
manufacture [under loan license] & sale of what is today India’s number one brand
the famous range of Vicks products like Vicks Vaporous, Vicks Cough Drops, Vicks
In Haler, Vicks Formula 44 Cough Mixture.
 In 1962 Richardson Hindustan Limited obtains industrial license to undertake

manufacture of menthol & dementholized peppermint oil and Vicks range of
products.
 In May 1967, RHL introduces Clearasil, then American Number one pimple cream.
The company also commenced manufacturing of menthol leading to major foreign
exchange savings. RHL pioneered menthol-forming activities at its agriculture

research center at Bilaspur in terai region of Uttarpradesh. Today India is the world’s
largest manufacturer and exporter of Menthol.
 In 1975, RHL sets up an Ayurvedic research lab. This is in keeping with the
companies’ mission of delivering products of superior quality to address the common
alignment of the people such as sough and cold. This also provides a springboard for
the prospect of large-scale exports of menthol.
 In Oct 1985 after RHL becomes an affiliated of the P & G company USA, a state of
the art manufacturing facility at Hyderabad for manufacture of the Vicks range of
products is set up. This facility is unique in the sense that its work force consists of a
highly trained team of 40 women all experts at multiple tasks on the shop floor.
 In 1989, P&G India (after changing in name from RHL) launch whisper the break
through technology sanitary napkin, which will revolutionized the Indian feminine
Hygiene category.
 In 1991, P&G India launches Ariel detergent another of P& G global, break through
technology products.In 1992, the P&G company, as increases its take in P&G India
to 51% and then to 65%.
 In 1993 and P& G company- P&G home products is incorporated as a 100%

subsidiary of the P&G company. USA P&G home products launch Ariel super
soaker.
 In 1993, the P&G Company, USA enter into a joint Venture Godrej soap India. The
P&G Company USA, also acquire the shulton business, which has brands such as old
spice.
 In 1993, P&G India diverts he detergents business to P&G home products. In 1994,
P&G – GODREJ joint Venture Company launches company.

 In1995,P&G Home products enter the Hair care category with the launch of Pantene
pro-V
 In 1996, the joint venture with Godrej dissolved. In 1997, Procter & Gamble home
products launch Heads 7 Shoulders shampoo. Vicks is voted India’s number one
brand by a research survey conducted by the leading research agency- MARG with
advertisement and marketing (A&M) Magazine.
 In 1998, P&G operates in India.P&G India-35% Indian shareholders 65% share

holding of the P& G Company in USA.
 In 1999 Procter and Gamble India Limited changed the name of the company to P&G
Hygiene and Healthcare Limited.
 P&G Home products-100% share holding of P&G company USA
2.4.2. Godrej Soaps Limited

Godrej Soaps Limited manufactures and market oils, soaps, fatty acids, detergents,
alpha olefin and its precursors and derivatives, cosmetics, glycerin, extractions breads and
cakes, medical diagnostic products, animal feeds and oxygen. Other activity of the company
includes dealing in shares and securities. The company includes dealing in shares and
securities. The company’s production facilities are located at Vikhroli in Mumbai, at Behind
in Madhya Pradesh, at Barouche in Gujarat and at Sihassa in Dadra and Nagar haveli.
Oils accounted for 35% of fiscal 1999 gross revenues; soaps 29%, alpha olefin and its
precursors and derivatives; 15% cosmetics 9% fatty acids, 9% glycerin, 3% medical
diagnostic product, 1% and other 1%
Competitor Analysis
Godrej Soaps limited operates within the drugs, cosmetic and health care industry,
and the sub industry in which it operates is the cosmetics and toiletries sector. This analysis
compares a Godrej Soaps Limited with 3 other companies in the same sub industry in Asia.
Colgate –Palmolive (Pakistan)Limited of Pakistan (1999 sales of 1.11 Billion Pakistan rupees
[US$ 19.16 million], protector & Gamble Hygiene and healthcare (4.6 Billion Indian Rupees
[US$101.7 Million] of which 34% cosmetics, personal and toilet products) and Colgate
Palmolive (India) Limited. (9.48 Billion Indian Rupees [US$205.87 Million] pf which 92%
was Soaps Cosmetics and toilets preparations.
Sales Analysis
During the 4th fiscal quarter of 2000, sales at Godrej Soaps Limited totaled 1.19
Billion Indian rupees. During the year ended March 1999, sales at Godrej Soaps limited were
8.23 billion Indian rupees’ (US$ 176.69 million). This is an increase of 27.4% versus 1998;
in the company sale were 6.46 Billion Indian rupees. Sales of oil saw as increased that was
more than double the company’s growth rate. Sales were up 128.21 in 1999, from 1.29
Billion Indian rupees to 2.94 billion Indian rupees. Godrej Soaps Limited also saw significant
increases in sales in cosmetics (up 35.8% to 772.16 million Indian rupees). Not all that
segments of Godrej Soaps Limited Experienced an increase in sales in1999. Sales of Soaps
fell 13.8% to 2.59 billion Indian rupees. Godrej soaps Limited (down 6.2% to268.55 million
Indian rupees).
Godrej Soaps Limited has changed its products mix within the past five years. In
1999, the largest segment was oils, while in 1995, the largest segment was soaps. During the
past four years sales of oil increased 1.899.2% (from 146.96 million Indian rupees to 2.94
billion Indian rupees). While during the same period, sales of soaps experienced an increase
of only 4.2% (from 2.49 billion Indian rupees to 2.59billion Indian rupees).
The company’s sales increased in1999than all three comparable companies. While
Godrej Soaps Limited enjoyed a sales increase of 27.4% the other companies saw smaller
increases. Colgate Palmolive (Pakistan) Limited sales were up 9.2%. Protester & Gamble
Hygiene and Healthcare increase 20.5% and Colgate-Palmolive (India) Limited experienced
growth of 0.9%
2.4.3. Hindustan Unilever Limited (HUL)

In 1888, less than four years after William Hesketh lever launched sunlight soap in
England his newly founded company, lever brothers, started exporting the revolutionary
laundry soaps to India.

By the time the company merged with the Netherlands based Margarine unic in1930
to unlived, it had already carved a niche for itself in the Indian Market.Coincidentlly,
Margarine uric also had a strong presence in India to which it exported Vanaspathi Hydro
generated edible fat)
A year after the merger, unilever set the Hindustan Vanaspathi manufacturing
Company. Its first subsidiary in India and west on to strengthen its position by establishing
two more subsidiaries, lever brothers India limited and United Traders limited, soon
afterwards. The three companies, which marketed soaps, aVanaspathi and personal products,
merged in1956 to form Hindustan Lever, in which Uni Lever has a 51% stake.
Hindustan Unilever Limited (HUL) is India’s largest fast moving consumer goods
company with leadership in home and personal care products, foods and beverages and
specialty chemicals.
Sales Analysis
During the year March 2000, sales at Britannia industries limited were 11.69 billion
Indian rupees (US$ 253.91 million). This is an increase of 16.69% versus 1999, when the
company’s sales were 10.02 billion Indian rupees. This was fifth consecutive year of sales
increase at Britannia industries limited and since 1995 sales have increased a total of 1.34%.
2.5. STATMENT OF PROBLEM

The first step I any type of research is formulation a research problem. It is the most
important stage in applied research as poorly defined problem. It is rightly said, ”A problem
well defined is half solves” poorly defined problem cause confusion and do not allow the
researcher to develop a good research design.
Thus, problem has to be well defined in order in order to find out the solution. In
other words the objective of conducting research must be stated precisely as it will enable the
researcher to find out the right track and to frame design of his research work.

The problems or objectives of this research” importance of branding FMCG product
in today’s market”. It in evident form research that this study is limited to Bangalore city
only.
Today is the world of intention and innovation and in those lives, consumers who are
dynamic i.e., the consumer belief, attitude, interest, and lifestyle etc charges with time. So
this study had to finish with in a limited period.
Generally consumers have some notions in their mind. These notions may differ from one to
another because they (consumer) vary tremendously in age, income, education level,
mobility, pattern, tastes etc. in such a scenario it is very difficult for the manufacturer to
know the beliefs and preference of consumer. Healthy brand images give a clear and
complete picture of the consumer preferences. That is why the research is assigned to carry
out a study on importance of branding FMCG product in today’s market.
2.6. NEED AND IMPORTANCE OF THE STUDY:
 The intention of doing any research lies with the identification of the problems and
the solution of these problems. This study being conducted with basic aim of
evaluating he importance of branding FMCG in Today’s market.
 The solution of the problem obtained from the study may be useful in assessing the
quality performance & satisfaction of the consumers.
 The research was made in Bangalore city only. Therefore finding of the city cannot be
generalized on national level. As the Bangalore city cannot represent the whole
picture of national itself.
 The sample size was also very small. Only 300 sample were taken. One to the limited
sample number of sample, the generalized conclusion cannot be drawn. But the study
reveals as great academic interest for the student as well as to the retailers even to the
manufactures of their FMCG branded products.
2.7. OBJECTIVE OF THE STUDY:

brand
 To find out the factors which influences their basis behavior?
 To find out the understanding need or want of the consumers.
2.8. LIMITATIONS OF STUDY:

This survey was completed with many limitations.
Some of them are:
 The sample size, which was taken for the study was small and also inadequate to
generalize it in the national level.
 The sample was taking from Bangalore city. Hence the findings may not applicable
to other places, as Bangalore city is not a true replica of India.
 The study was restricted to Bangalore city only interview of the financial constraints.
 The limited time span could not provide privileges to for samples.
 A respondent was sometimes not expressing their real feelings.
 Only the opinions of owners or buyers were taken into account / consideration.
Today the commodities which being branded is on the rise among them are so many
FMCG products like tooth paste, shampoo, soap, toothbrush, atta, sugar, rice, clothes, shoes,
etc. we decided to develop frame work which will help us understand the various issues
which make a commodity amenable to brands. The decision problem was to asses whether as
opportunity existed for branding and if branded added value to a commodity means the
overall important of branded product in the FMCG market scenario.
The research object was to identify a set of commodity specific issues which nake a
particular commodity specific issues which make a particular commodity more amenable to
branding the research problem was to find out under what market conditions (both product
and consumer related) was a commodity more brandable are likely to command higher
premiums.
For shampoo the issues are appropriate packaging, freshness and availability.
Commence of inspection free buying if arrangement action is to be offered the best one is
hygiene if high premium is required the argumentation of extra sweetness has to be given in
addition to the augmentation of hygiene.
In developing a brand’s strategy for individual the seller has to control the branding
decision. If you take an example pf “atta” the issues related to it are appropriate pack sizing
the employees or image by using branded ‘atta’ and the convenience of inspection free
buying. If augmentation is attend the best one is hygiene followed by the insecticide free
where of the wheat if high premium is required the augmentation of insecticide free wheat
and nutrition should be emphasized a separate which may exist for branded insecticide free
wheat.
The main issue related to the brand belief respondents who has the vary high belief
frequently by the branded one because of some expected quality or intrinsic are must in
branded one for an example as we have chosen the soap and for which my expect the
attractive packing color and must of all ‘Hygiene’ which may find in their even branded one.
It was also found that the middle class is definitely inclined to make purchase of
newly introduced branded commodities. It was seen that most of the respondents believed
that the branded forms would offer standardized quality and convenience information of
inspecting and purchase augmentation does enhance the brand ability of a commodity.
Provided it is appropriate to the commodity manufactures brand equity goes along way in
makes a branded commodity more acceptable.

REVIEW OF LITERATURE
3.1. Independent Variables
With regard to this research the independent variables are the brand development
strategies. According to Kotler and Armstrong (2005) a company has four choices when it
comes to developing brands. It can introduce line extensions, brand extensions, multibrands
and new brands. It is further elaborated in the figure given below.
Figure 1: Brand Development Strategies
Product Category
Existing New
Existing Line Brand

Extension Extension
Brand Name
Multibrands New brands
New
(Source: Kotler and Armstrong, Principles of Marketing, 2005: p306)

3.2. Brand Extensions
Brand extensions, i.e. the use of an existing brand name for new product
introductions, are a very popular branding strategy. For FMCG as well as for services often
more than 80% of new products were introduced as brand extensions (Rangaswamy, Burke
and Olivia 1993; Ernst and Young and Neilson 1999).
Kotler’s (1991) definition of brand extension is, a brand extension strategy is any effort to
extend a successful brand name to launch new or modified products or lines.
In line with Tauber’s (1981) matrix, Brand extensions involve the use of an
established brand name to enter a new product category (Aaker and Keller, 1990). Examples
include Sony’s mobile telephones (vs. televisions and stereos), Virgin cola (vs. records and
airline) and Persil dishwashing liquid (vs. clothes detergent).
3.3. Line Extensions
Line extensions, in contrast, involve the use of an established brand name for a new
offering in the same product category (Reddy et al., 1994). Examples would include Diet
Coke, Ariel Color, Tide Liquid and Mercedes “S” class.
Line extension is the use of an established brand for a new offering in the same
product category. The line extension differs from the original product in relatively minor
ways, such as flavor, size, composition and price. (Ashley, Venkateswarlu & Barrett, 2001)
3.4. Multi Branding
Multibrands are new brand names introduced in the same product category (Kotler &
Armstrong, 2001:306). Multibranding offers a way to establish different features and appeal
to different buying motives. Multibranding approach is a measure adopted by many FMCG

companies, followed by consumer durable and service sector companies to survive in the
competitive environment (Sullivan, 1993).
3.5. New Brands
A company may create a new brand name when it enters a new product category for
which none of the company’s current brand names is appropriate (Kotler and Armstrong,
2001:309).
3.6. Dependent Variable
Figure 2: The Sources of Brand Equity
Brand Equity
Brand Brand Brand Perceived

Awareness Association Loyalty Quality
(Source : Arker, 1996:73)
Srivastava and Shocker (1991), Brand equity is the aggregation of all accumulated attitudes
and behavior patterns in the extended minds of consumers, distribution channels and
influence agents, which will enhance future profits and long term cash flow.
Brand equity may be manifest in at least three forms: price premium, increased market share,
and reduced costs of introducing new products (Aaker 1991, Simon and Sullivan 1993).
Brand equity is formally defined as a set of brand assets and liabilities linked to a
brand, its name and symbol which add to or subtract from the value provided by a product or
service to an organization or/and to that organizations customers (Sheth, Mittal and Newman,
1999:708).
Brand equity is a set of assets (and liabilities) linked to a brand’s name and symbols
that adds to (or subtracts from) the value provided by a product or service to a firm and/or the
firms customers. Equity exists when the customers are aware of the brand, loyal to the brand
and perceive the brand as having quality. Awareness, loyalty and quality perception are the
corner stones of any successful brand. (Arker, 1996:8)
The major asset categories of brand equity are brand loyalty, brand awareness,
perceived quality and brand associations (Arker, 1996:8)
Brand equity is composed of brand loyalty, brand awareness, perceived quality and
brand associations (Bovee et al., 1995:247).
It generates value to the customer that can emerge as enhanced brand loyalty (Arker,
1996:173)
Brand equity requires creating a brand of which customers have strong, favorable and
unique brand associations. (Aaker and Keller 1990).
‘brand knowledge and perceived quality, that are well conceived to be important in
shaping brand equity (Aaker 1996; Keller 1993; Yoo et al. 2000).
According to the literature listed above, brand equity the dependent variable of this
study is composed in four assets which are brand extension, line extension, multi branding
and new brands. It is further described as below.

3.7. Brand Awareness
Brand awareness refers to the strength of a brand’s presence in the consumers mind
(Aaker, 1996:10). It is a measure of the percentage of the target market that is aware of a
brand name (Bovee et al., 1995:242).
Brand awareness is measured according to the different ways in which consumers

remember a brand, which may include brand recognition, brand recall, top of the mind brand
and dominant brand (Aaker, 1996:10-16).
Consumers exposed to advertising, word of mouth, and other promotions, who are
able to recall the brand only with some kind of cue, achieve a level of brand awareness,
recognition, also called aided recall (Tauber, 1981).
3.8. Brand Association

Brand associations are perceptions and images that people link with particular brands
(Bovee et al., 1995:248). A positive brand image is created by marketing programmes that
link strong, favourable, unique and admirable associations to the brand in the consumer’s
memory (Keller, 2003:70). A brand association is anything that is directly or indirectly linked
in the customer’s memory to a brand (Aaker, 1996:175)
3.9. Brand loyalty
Brand loyalty refers to the level of commitment that customers feel towards a given
brand, as represented by their continuing purchase thereof (Bovee et al., 1995:247).
It is a form of repeat purchasing behavior based on a conscious decision to continue
buying a product with a particular brand or trade mark (Solomon & Stuart, 1997:348). The
ability to make a consumer repeatedly seek out and buy one brand over another is thus brand
loyalty (Palumbo & Herbig, 2000:5), and forms the third brand equity asset.

3.10. Perceived quality
Perceived quality is defined as consumer judgment of a product’s overall excellence

or superiority (Zeithaml 1988, pp. 3).
A part of a consumer’s image of a brand is based on actual facts and experiences. However,
another part of that image is based on perceptions born out of a product’s reputation, media
coverage and other indirect sources of information (Bovee et al., 1995:248).
A successful brand has a recognizable name which signals specific attributes to the
customer (Palumbo and Herbig, 2000:5).
OBJECTIVE OF THE STUDY

brand
 To find out the factors which influences their basis behavior.
 To find out the understanding need or want of the consumers.

METHODOLOGY
The methodology outlines sources of existing data and specific research approaches,
contact methods, sampling plans and instruments that are used together new data.

Research Approach Survey method
Research Instrument Questionnaire
Sample Plane  Sampling unit – Retail Customers of
Bangalore city
 Sample Type –Random sampling.
CONCLUSION
Finally, to conclude this study describes the customer perception towards branded
FMCG product is high (60%) , rest (40%) of customer gives medium preference in retail
outlets and it is a significant effect over purchase decision. Accordingly, product mix and
promotional mix has an impact over brand choice. Variety, sale promotion and place mix has
an impact over store choice.

METHODOLOGY
4.1. RESEARCH METHODOLOGY:
As the study aimed at through analysis to know about the Consumer Behavior for
Branded FMCG Products:A Case Study of selected FMCG Products in Bangalore City. The
customers are the main force of the study. The survey has been conducted to collect the
information from retail customers, with special reference to consumer durables.
A goal is achieved through a clear-cut method. It can also be achieved by some means
but the process or method shows the simplest and chronological way to achieve the goal.
Hence to achieve a goal a predetermined method comes in very handy. That is why to plan a
research project. It is necessary to anticipate all the research process. It consists of a number
of interrelated frequencies over lapping activities.
Research methodology is nothing but a system of methods and principles for doing
research. In other words, it is the conceptual structure of the research project. It is the
arrangement of conditions for collection and analysis of data in a manner that aim to
comprise relevance to that research process with clarity in procedure.
In this research methodology used to collect primary data was through survey
technique, which intended to secure on, or more items of information from a sample of
respondents , representatives of large group. The information is recorded on a form known as
“Questionnaire”. As the data is gathers by asking questions to persons who were expected to
have desired information. Answers were filled in questionnaire for the purpose of the study.
HYPOTHIESES
Ho: - Customer Perception towards branded FMCG product has not
been changed.
H1:- Customer Perception towards branded FMCG product has been
changed.

4.2. THE REASON FOR WIDE USE OF SURVEY TECHNIQUE
 It could serve both quantitative as well as qualitative information directly from the
respondents.
 It was quite flexible in terms of data to be assembled method of collection or timing
of research.
Apart from it was presumed that respondent
 Know the answer to the question

 Have authority to answer to these questions
 Were willing to co-operate in answering these questions in the best manner.
The study was carried in Bangalore city with the total sample size 300. the respondent
were contacted at their offices, service, centers, residence, colleges, bus stops, shops during
their leisure time and the interview spanned between 15 to 20 minutes per respondents.
The other factor is the revenue that the brand would earn in the position. The revenue
depends on the number of consumers in the preference segment, their average purchase rate,
the number end strength at competitions in that segment and the price change by the brands in
the segment.

4.3. PROCESS OF COLLECTING DATA
The following chart shows the process of collecting necessary information:
Formulation
FormulationofofResearch
ResearchObjectives
Objectives
Developing
DevelopingResearch
ResearchPlan
Plan
Mode
ModeofofData
Datacollection
collection
Sampling Plan
SurveyPlan
Sampling
Survey
Data
DataCompilation
Compilation
Reporting
ReportingofofData
Data
4.4. FORMULATION OF RESEARCH

The topic of the project was defined as “A Comparative Analysis on Impact of Visual
Merchandising in Retail Stores Management in Bangalore City” The topic gave the project a

well-defined mission at a broad objective. The objective of the project was to analysis of six
different retail stores with in the city.
 Unit of Analysis : Bangalore City
 Duration: The Research was conducted for a period of 8 weeks.
 Place: The Research was conducted among the selected apparel retail outlets
in Bangalore City.
4.5. DEVELOPING RESEARCH PLAN

The research plan was completed within the given time period. Hence, it was
effective. It yielded the intended results in a comprehensive manner.

Research Survey method
Approach
Research Questionnaire
Instrument
Sample Plane  Sampling unit – Retail Customers of Bangalore
city
 Sample Type – Random sampling.

4.6. MODE OF DATA COLLECTION
The data collection for the study was both from primary and secondary sources.
4.6.1. Primary Data:

This consists of original information gathered for specific purpose at hand. Primary data can
be collected in four broad ways:
I. Observation
II. Focus group
III. Survey
IV. Experimental
In this study the primary data was collected by a survey, from retail customers in Bangalore
City.
The questionnaire was designed to collect the required information from the respondents.
Each question was framed keeping in mind the objectives of the project.
4.6.2. Secondary Data:

This consists of information that already exists somewhere having been collected for another
purpose. Secondary data used in the study was collected from internal sources like company
invokes prior research report and company magazines and from external sources like books,
magazines and web sites. Sources of secondary data as follows:
I. Internal Sources
II. Government Publications
III. Periodicals and books
IV. Commercial books
V. Business magazines.

4.7. RESEARCH INSTRUMENT
There are two main research instruments in collecting primary data those are:
 Questionnaire
 Mechanical Instruments
Questionnaire:
The questionnaire is the common instrument in collecting primary data. This consists
of a set of questions presented to respondents for their answers. In questionnaire the
researcher has used both closed and open-ended questions.
a) Closed-end Questions:
Pre-specific all the possible answers and respondents make a choice among them. In closed
and questions the researcher has used dichotomous as well as multiple- choice questions.
b) Open-end Questions:
Answers are not pre-specified any answer can be a source of information. A sample
questionnaire has been attached at the end of the Report.
Mechanical Instruments:
Mechanical devices are occasionally used in the research. Galvanometer measures
the interest emotion aroused by exposure to a specific situation or problem.
In this survey questionnaire was use as research instrument and no mechanical
instruments were used.

4.8. CONTACT METHOD
Information may be collected by mail, telephone or by personal interviews. The
personal interviewing method was adopted in this research work.
Mail Contact Method:

Printed questionnaire is used to be send by the post to the customers and the answers of the
respondents are obtained.
Personal Interview:
The investigator obtains answer to his questions in person from the respondents. The
individuals may be contacted at homes or at the work place.
Telephone Interview:
In this the customers are contacted by telephone and answers from the respondents are
obtained.
Online Interview:
A company can include a questionnaire at its web page and offer an incentive to answer the
questionnaire.
In this study, the survey was also carried out by personal interviews with the potential
retail customers to explain the need of survey and to extract the real opinions from them for
obtaining desired information.

TEST FOR HYPOTHIESES
STEP 1:

been changed.
Changed
7.2 TESTING OF HYPOTHESIS
7.2(a) Chi-square test
Testing of Hypothesis Question 7.
How often do you change your brands of FMCG

products?
Quarterly [ ] Half Quarterly [ ]

Monthly [ ] Yearly [ ]
Ho: null hypothesis.
H1: Alternative hypothesis

been changed.
Changed

Observed frequency:
102 114 0 84 300
Expected frequency= sum of observed frequency

N
Ei= 300/4= 75
Observed Expected Mean

frequency frequency (O-E) (O-E)2 square
(O) (E) value
(O-E)2/E
102 75 27 729 9.72
114 75 39 1521 20.28
84 75 9 81 1.08
Σ (O-E) 2 / E=λ2 (cal) =31.08
Degree of difference = (c-1)

Where c = number of columns
Degree of difference = (4-1) = 3
Assuming level of significance = 5% = o.o5.
If λ2 (cal) < λ2 (tab), Ho is accepted
λ2 (tab) = 3.841
λ2 (cal) = 31.o8
Hence λ2 (cal) > λ2 (tab), Ho is rejected.
Conclusion: H1 is accepted i ,e customer perception towards branded FMCG
products has been changed.

5.1. No of respondents belonging to Age group
CHARACTERISTICS NO OF RESPONDENTS
Betw 15 – 25 90
Betw 26 – 30 120
30 and above 90
Respondents Age Group
120
100
No of Respondents
80
60
40
20
0
25 30 ve
- - bo
15 26 d A
tw tw an
Be Be 30
Interprtation: From the above analysis it is interpreted that 90 out of 300 respondents are
between 15 to 25 years of age, 90 out of 300 them are in 30 and above years of age, 120 out

of 300 them are in between 26-30years of age. So the 26 to 30 years of age people are
influences the customer buying behaviour.
Inference: From the above interpretation it is inferred that majority of the respondents who
are using FMCG goods are aged between 26-30.
5.2.What according to you a brand shows?
Attributes 40
Benefits 126
Values 60
Culture 36
Personality 18
Combination 20
BRAND SHOWS
140
120
No of Respondents
100
80
60
40
20
0
s
n
s
re
es
ue
io
it
it
tu
ut
al
ef
t
l
na
l
Va
n
en
ib
Cu
so
ttr
bi
B
om
A
Pe

Interprtation:
From the above analysis it is interpreted that 40 Attributes,126 Benefits Values 60

,Culture36, Personality18and Combination20 out of 300 respondents. Here 120 out of 300
respondents feel that brand gives benefits to them.
Inference: From the above interpretation it is inferred that majority of the respondents who
are using branded product they are enjoying the brand benefits.
5.3. How much do you believe in brand?
Very High 156
High 62
Average 60
Below 22
BELIEF OF BRANDS
160
140
No of Respondents
120
100
80
60
40
20
0
Very High High Average Below

Interprtation:
From the above analysis it is interpreted that 156 Very High, 62 High, 60Average and 22
Below out of 300 respondents are believe brands. So 156 out of 300 respondents believe in
branded product. It shows the importance of branded product and brand consciousness in
customer.
Inference: From the above interpretation it is inferred that majority of the respondents that is
156 out of 300 believe using branded product.
5.4.What are the perceptions of the customer towards the

branded pack?
Superior 96
Convenience 66
Status
Perception 54branded pack
of Customers towards
Unadulterated 0
Conscious after sales 30
Availability 30
Values 24
es
lu
ab Va
es lit y
i
lte f te ail
rio nc tat u ate sal
a Av
r
d
na ous
r
s
ci
du
ns
ie S
Co
e
n
r
Su v e
CONSUMER BEHAVIOUR
40 FOR FMCG PRODUCTS Page 48
n
pe
0 20 60 80 100 120
Co
No of Respondents
Interprtation: From the above analysis it is interpreted that 96 Superior,66 Convenience,54
Status,0 Unadulterated,30 Conscious after sales,30 Availability and 24 Values out of 300
respondents given there perception about packing of branded product. Here 96 respondents
mentioned that packing of branded product is superior..
Inference: From the above interpretation inferred, that majority of the respondents who are
using branded product they graded packing of branded product is superior
5.5. Customer affiliation towards branded product
High 180
Medium 102
Low 18

CUSTOMER AFFILIATION
6%
34%
60%
High Midium Low
Interprtation: From the above analysis it is interpreted that 180 High, 102 Medium, and
respondents given there affiliation towards branded product. Customer affiliation is Medium
about branded FMCG products that are 180 out of 300.
Inference: From the above interpretation, inferred that majority of the respondents who are
using branded FMCG products there affiliation is high and 102 out of 300 respondents
affiliation is medium.
5.6. Do you have the habit of changing a branding for

the product mentioned above?
YES 210
NO 90

HABIT OF CHANGING THE BRANDSS
Yes
30% No
70%
Interprtation: From the above analysis it is interpreted that 30% of respondents are like to
like to stick on there product and 70% of respondents wants to change their product.
Inference: From the above interpretation it is inferred that 70% of the respondents who are
using branded FMCG product they want to change their product because of other brand
product and 30% of respondents don’t want to change their product. It shows the brand
loyalty of customer towards product.
5.7. How often do you change your brands of FMCG

products?
Quarterly 102
Half Quarterly 114
Monthly 0
Yearly 84

Changing the Brands
120
No of Respondents
100
80
60
40
20
0
Quarterly Half Quarterly monthly yearly
Interpretation: From the above analysis it is interpreted that 102 Quarterly,114 Half
Quarterly and 84 Yearly out of 300 respondents changing their products according to their
taste and other brand influence. Majority of customer wants to change their product Half
Quarterly.
Inference: From the above interpretation, it is inferred that majority of the respondents want
to change their product Half Quarterly. Preceding these 114 and 102 respondents wants to
change their branded FMCG product quarterly and yearly respectively.
5.8. What makes you to change the brand?
Production Scheme 102
Advertisements 72
Cost reduction Scheme 54
Packing 18
Exchange offers 18
Friends and Colleagues 36

MAKING THINGS TO CHANGE THE BRANDS
Friends & Colleagues
Exchange Offers
Packing
Cost reduction Scheme
Advertisements
Production Scheme
0 20 40 60 80 100 120
No of Respondents
Interprtation: From the above analysis it is interpreted that 102 Friends & Colleagues, 72
Exchange Offer,54 Packing,18 Cost Reduction Scheme,18 Advertisement and 36 Production
Scheme out of 300 respondents are influenced by factors to change product.
Inference: From the above interpretation it is inferred that majority of the respondents are
influenced to change brand by their friends and colleagues that is 102 out of 300 and 72 out
of 300 respondents influenced by Exchange offer of other branded product.
5.9. Why a product should be branded?
To cut Adv Cost 18
Quality 96
G/W for the company 90
Identification 90
Segmentation for the Mkt 6

WHY A PRODUCT SHOULD BE BRANDED
M kt
the
or
egf n
S o
ic ati
ti f
n
Ide p
om
th eC
f or ty
W ali
G/ u
Q
o st
vC
Ad
ut 0 20 40 60 80 100 120
T oc
No of Respondents
Interpretation: From the above analysis it is interpreted that 18 To cut advertisement

cost,96 Quality,90 Good will for the company,90 Identification, and 6 Segmentation of
market out of 300 respondents believe that product should be branded for its quality
influenced to change brand by their friends and colleagues.
5.10. What kind of edible oil do you use?

Filtered Groundnut Oil 30
Com Oil 6
Groundnut Oil 36
Refined Sunflower Oil 168
Mustard Oil 60
Coconut Oil 0
Others 0

KINDS OF EDIBLE OR COOKING OIL TO USE
rs
Othe
il
nut O
Coco
il
ard O
Must
l
er Oi
S u n flow
ed
Refin
t Oil
r ou ndnu
G
Oil
Com
il
und nut O
ro
ed G
Fil ter 0 50 100 150 200
No of Respondents
Interpretation: From the above analysis it is interpreted that what kind of edible oil that
consumers are using and majority of 168 respondents use Refined Sunflower Oil and 60
respondents use Mustard Oil and rest of the people use other kind of edible oils.
using Refined Sunflower Oil and the majority of others are using Mustard Oil
5.11. Where do you usually buy products?
Wholesale shop 78
Retail shop 120
Food world 60
Others 42

USUALLY CUSTOMERS BUY THE PRODUCTS
120
100
No of Respondents
80
60
40
20
0
Wholesale Retail Shop Food World Others
Shop
Interpretation: From the above analysis it is interpreted that majority 120 out 300 does
shopping in retail stores and next majority is 78 out of 300 shops in wholesale shops. and 60
of the people shop in food world and rest of the people shop in other places.
influenced by the retail stores shopping experience. And others shop in wholesale shops and
rest of them purchase in food world.
5.12. What is your opinion about packing of your brand

products?

Attractive 126
Unattractive 42
Informative 90
Handy 42
CUSTOMER PERCEPTION TOWARDS PACKING

OF BRANDED PRODUCTS
140
120
No of Respondents
100
80
60
40
20
0
e e ve y
c t iv ti v ati nd
tra rac m Ha
At nat t Inf
or
U
Interpretation: From the above analysis it is interpreted that opinion about branded products
it is interpreted that 126 respondents feel its attractive and 90 respondents feel its informative
and the rest of 42 each felt its handy and unattractive respectively.
Inference: From the above interpretation it is inferred that majority of the respondents feel
that packaging the products are attractive and 90 out of 300 and 42 out of 300 respondents
feel that informative, handy and unattractive respectively.

FINDINGS, RECOMMENDATIONS & CONCLUSION
6.1 FINDINGS
 That majority of the respondents who are using FMCG goods are aged between 26-
30.
 Majority of the respondents who are using branded product they are enjoying the
brand benefits.
 Majority of the respondents that is 180 out of 300 believe using branded product.
 Majority of the respondents who are using branded product they graded packing of
branded product is superior
 Majority of the respondents who are using branded FMCG products there affiliation is
medium and 120 out of 300 respondents affiliation is high.
 70% of the respondents who are using branded FMCG product they want to change
their product because of other brand product
 30% of respondents don’t want to change their product. It shows the brand loyalty of
customer towards product.
 Majority of the respondents want to change their product half quarterly
 Many of the respondents are influenced to change brand by their friends and
colleagues that is 120 out of 3000.
 Majority of the respondents are using Refined Sunflower Oil
 Majority of the respondents feel that packaging the products is attractive

Strengths:
• Well-established distribution network extending to rural areas.

• Strong brands in the FMCG sector.
• Low cost operations
Weaknesses:
• Low export levels.

• Small-scale sector reservations limit ability to invest in technology and achieve
economies of scale.
• Several "me-too“products.
Opportunities:
• Large domestic market.

• Export potential
• Increasing income levels will result in faster revenue growth.
Threats :
• Imports
• Tax and regulatory structure
• Slowdown in rural demand

6.2 RECOMMENDATIONS
 The FMCG value chain synergies must be maintained. The supply and demand side
synchronization is detrimental to the firm’s strategic positioning as against the
competitors.
 The new entrant must be able to enhance the efficiency of the value channel using the
existing synergies.
 The value chain must be strengthened using the pillars of branding distribution.
 Concentration on power brands by the FMCG firms as seen in the analysis would
increase the control of the firm on the product categories in the existing product and
brand.
 Customer centric strategies and processes are what are for seen for the FMCG sector
with the evolution of e-commerce in the sector.
 A joint industry government initiative for building a "Made in India brand for FMCG
products is required. With many multinationals moving into the Indian FMCG
market, a concerted marketing strategy, which creates strong brands, will be needed
for Indian FMCGs to gain recognition in the market.
 Better packaging materials are necessary, as a large number of FMCG products are
perishable. The government must facilitate more R&D in packaging materials as this
will help in cutting wastes and costs in the sector. The possibility of a longer shelf life
will encourage production of goods of higher value addition by companies in the
sector.
 While import of most items has been allowed, the government is not geared to prevent
import of spurious products. In other countries, FMCG goods have to be cleared by
regulatory authorities before they are allowed to enter domestic shores. This is not
happening in India and the government needs to undertake a comprehensive
crackdown on these products.
 The small-scale reservation policy should be reviewed as it hampers the growth of
this sector. Many reserved products, including several FMCG products can be freely

imported. Under the current policy, not only are Indian producers of many FMCG
products restricted from attaining economies of scale, they also have to compete
against import that do not face constraints on small scale reservations.
 Food laws such as the PFA Act should be amended and be made contemporary.
6.3 CONCLUSION
The purpose of this study was to identify the impact of branded FMCG product on
consumer buying behavior in Bangalore. The study findings did not fully comply with
literature survey while part of the finding did comply the literature findings others provided a
different response due to the market situations.
This is comparatively a low rate which indicates that there is a large portion of
influence unexplained which could be other marketing mix elements beyond 4ps external
environment factors, psychological factors and other factors that effects the consumers black
box when decision making.
From the hypothesis, testing it was clear that there is a significant positive relationship
between brand awareness and brand images. Brand leads brand name, qulity and variety over
dependent variable brand choice. While only variety has significant positive relationship over
store choice. Both quality and brand name has significant impact over store choice.
According to the hypotheses, test results it was clear that customer affiliation towards
branded FMCG product is high in Bangalore. This clearly indicates that consciousness of
brand in customer and significant impact over purchase decision.
Place does not make significant effect over brand choice as branded FMCG products
and which are distributed through intensive distribution strategy. This means that the branded
FMCG products preferred by customer in retail outlets.
From the studies conducted, it is clear that sales promotion has a significant
relationship between brand and store choice. Advertisement has relationship only with brand
choice and sale promotion has an effect over both brand and store choice.

Finally, to conclude this study describes the customer perception towards branded
FMCG product is high (60%) , rest (40%) of customer gives medium preference in retail
outlets and it is a significant effect over purchase decision. Accordingly, product mix and
promotional mix has an impact over brand choice. Variety, sale promotion and place mix has
an impact over store choice.
This study has been able to achieve its objectives successfully by identifying the
perception of branded FMCG products and impacts the purchase decision of consumer.
So branding plays an important role marketing of product in market.

Questionnaire
1. Name: -----------------------------------------------------------------------------------
2. Address: ---------------------------------------------------------------------------------
3. Occupation: -----------------------------------------------------------------------------
4. Income level (monthly income):
Less than 5000 5001-10000 10001 -15000
Above 15000
5. Age group:
15-25 26-30 30 above
6. What according to you a brand shows.
Attributes Benefits Values
Culture Personality Combination
7. How much do you believe in brand?
Very high High Average Below
8. Give two brand names of the product given below. Which you use daily and why?
(Please priorities 1, 2, 3, 4, 5)
a) Soap
Freshness Colour Packing Hygiene
Advertisement Availability
b)Toothpaste
Flavour Freshness Colour Packing
Advertisement Durability
c) Foot wears

Comfortable Design Colour Price
Advertisement Durability
d) Apparels
Design Quality Durability
e) Beverages
Taste Packing Price
f) Tea/ Coffee
Taste Packing Price
9. What are the perceptions of customer towards branded pack?

Superior Convenience Status Unadulterated
Conscious after sales Availability Value
10. Customer Affiliation towards branded product?

High Medium Low
11. What is the other factor, which indulge customer to buy brands product?
After scheme for customer Sample Testing
Exchange scheme for customers Word of mouth
Participation of exhibitions
12. Do you have the habit of changing a branding for the products mentioned above?
Yes No
13 How often do you change your brand?

Quarterly Half Yearly Yearly

14. What makes you to change the brand?
Production scheme Advertisement Cost reduction Scheme
Packing Exchange offers Friend and Colleagues
15. Why a product should be branded?

To cut Advertisement cost Quality Goodwill for the company
Identification Segmentation for the market
16. What kind of edible or cooking oil do you use?

Filtered Groundnut Oil Com Oil Groundnut oil
Refined Sunflower Oil Mustard Oil Coconut Oil
17. Where do you usually buy products?

Wholesale Shop Retail Shop
Food World Other
18. What is your opinion about packing of your brand product?

Attractive Unattractive Information Handy
19. Suggestions If any:

------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------
---------------------------------------------------------------------------------------------
Thank you for your kind cooperation

REFERENCE
 Aaker, D. A. and Keller, K. L., 1990. Consumer Evaluations of Brand Extensions.

Journal of Marketing, vol. 54, pp. 27-41.
 Barrett, J., Lye, A., Venkateswarlu, P., 1999. Consumer Perceptions of Brand
Extensions:
 Generalizing Aaker and Keller’s Model. Journal of Empirical Generalizations in

Marketing Science, vol. 4, p.1-21
 Rao, A. R. and Monroe, K. B., 1989. The Effect of Price, Brand Name, and Store
Name on Buyers Perceptions of Product Quality: An Integrative Review. Journal of
Marketing Research, vol. 26, pp. 351-357
 Keller, K. L., 1998. Strategic Brand Management. New Jersey: Prentice Hall
 Kotler, P., 2002. Marketing Management, Millennium Edition. 10th Ed. Pearson
Custom Publishing, USA
 Strategic Brand Management - by Kevin Lane ( Keller)
 Culture and Consumption II - by Grant David ( McCracken
 The New Strategic Brand Management - by Jean-Noël Kapferer
 B2B Brand Management,Kotler, Philip, Pfoertsch, Waldemar
 The New Strategic Brand Management - by Jean-Noël Kapferer

 The Design Manual - by David Whitbread Building Brand Identity
by Lynn B Upshaw
WEB SITES
• www.google.co.in
• www.icfaipress.org/ijbrm.asp
• www.icfaipress.org/books/TotalBrandManagement_ct.asp
• economictimes.indiatimes.com/bequity/185757.cms
• www.businessweek.com/innovate/brandequity/ - 7 May 2007
• www.dobney.com/Research/Brand_equity_research.htm
• http://www.ciionline.org/sectors/58/default.html

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EXECUTIVE SUMMARY

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 1

1.2. NEED FOR STUDY

1.3. OBJECTIVE OF THE STUDY

 To determine the importance of branding FMCG products.

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 2

The reason for wide use of survey technique

Apart from it was presumed that respondent

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 3

Research Project Descriptive

Contact Method Personal

1.5. LIMITATIONS OF STUDY

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 4

1.6. FINDINGS & RECOMMENDATIONS

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 6

2.1. BACKGROUND OF THE STUDY

2.1.1. What is a brand?

2.1.2. Brand equity

Co-brands variety of forms

2.1.3. Origin of FMCG s

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 7

2.1.4. Organized and Unorganized Sector

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 9

• Tobacco: cigarettes, cigars, gutka etc.

The domestic tobacco industry primarily comprises ‘bidis’. Chewing tobacco

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 10

Segment Rs. (000’crores)

2.1.6. Pillars of FMCG Strategies

 These products individually account for a small part of household spending

 Most of these products are personal use

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 11

Individual Vs Umbrella Brand Strategy

Advantages of individual branding strategy are that some of the products,

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 12

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 13

Optimizing capacity use

Feel good purchases

In an economic slum consumer psychology moves in a different direction when things

More for less

“Boom in the time of Gloom”

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 14

To brand or not to brand?

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 15

Brands give the seller several advantages.

2.3. INDUSTRY PROFILE

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 16

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 17

2.3.1. Apparel Industry

2.3.3. Industry Overview

Since market liberalization, several multinational companies such as Revlon, Coty,

2.4. SELECTED COMPANY PROFILES

2.4.1. Procter and Gamble (P & G)

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 20

 In 1962 Richardson Hindustan Limited obtains industrial license to undertake

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 21

 In 1993 and P& G company- P&G home products is incorporated as a 100%

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 22

 In 1998, P&G operates in India.P&G India-35% Indian shareholders 65% share

 P&G Home products-100% share holding of P&G company USA

2.4.2. Godrej Soaps Limited

2.4.3. Hindustan Unilever Limited (HUL)

CONSUMER BEHAVIOUR FOR FMCG PRODUCTS Page 24