Professional Documents
Culture Documents
INDUSTRY OVERVIEW:
Shampoo is a common hair care product used for the removal of oils, dirt,
skin particles, environmental pollutants and other contaminant particles that
gradually build up in hair. The goal is to remove the unwanted build-up without
stripping out so much as to make hair unmanageable. Shampoo, when lathered
with water, is a surfactant, which, while cleaning the hair and scalp, can remove
the natural oils (sebum) which lubricate the hair shaft. Shampooing is frequently
followed by conditioners which increase the ease of combing and styling.
AT a time when most FMCG (fast moving consumer goods) categories are
inching along, personal products are being seen as the harbinger of prosperity.
And hair care products are the fastest-growing category within personal products.
Between 1994 and 1998, the market size of products such as skincare
and toothbrushes doubled in value. But the size of the shampoo market
expanded two-and-a-half times over the same period. Not surprisingly,
shampoos are a high priority area for major players such as Hindustan Lever.
The current size of the shampoo market, according to ORG-MARG, is Rs 850
crore -- equivalent to 30,000 tonnes in volume terms.
HERBAL OPPORTUNITIES
One of the key barriers to shampoo usage lies in the reluctance to use a
synthetic product on hair. Worldwide, therefore, herbal shampoos or botanicals
are a fast growing category. Ayur from RDM Traders Private Limited and Nyle
Herbal, a herbal shampoo launched by Cavin Kare, have been some of the early
entrants in the Indian herbal shampoos market.
The word shampoo in English usage dates back to 1762, with the
meaning "to massage". The word was a loan from Anglo-Indian shampoo, in turn
from Hindi chāmpo imperative of chāmpnā “to smear, knead the muscles,
massage". It itself comes from Sanskrit/Hindi word "champā" , the flowers of the
plant Michelia champaca which have traditionally been used to make fragrant
hair-oil.
The term and service was introduced by a Sake Dean Mahomed, who opened a
shampooing bath known as Mahomed's Indian Vapour Baths in Brighton in 1759.
His baths were like Turkish baths where clients received an Indian treatment of
champi (shampooing) or therapeutic massage. His service was appreciated; he
received the high accolade of being appointed ‘Shampooing Surgeon’ to both
George IV and William IV.
During the early stages of shampoo, English hair stylists boiled shaved soap in
water and added herbs to give the hair shine and fragrance. Kasey Hebert was
the first known maker of shampoo, and the origin is currently attributed to him.
Originally, soap and shampoo were very similar products; both containing
surfactants, a type of detergent. Modern shampoo as it is known today was first
introduced in the 1930s with Drene, the first synthetic (non-soap) shampoo.
From ancient times to this day, Indians have been using different formulations of
shampoos using herbs like neem, shikakai or soapnut, henna, bael, brahmi ,
fenugreek, buttermilk, amla, aloe, and almond in combination with some aromatic
components like sandalwood, jasmine, turmeric, rose, and musk.
Shampoo cleans by stripping sebum from the hair. Sebum is oil secreted by hair
follicles that is readily absorbed by the strands of hair, and forms a protective
layer. Sebum protects the protein structure of hair from damage, but this
protection comes as a cost: it tends to collect dirt, styling products and scalp
flakes. Surfactants strip the sebum from the hair shafts and thereby remove the
dirt attached to it.
While both soaps and shampoos contain surfactants, soap bonds to oils with
such affinity that it removes too much if used on hair. Shampoo uses a different
class of surfactants balanced to avoid removing too much oil from the hair.
COMPOSTION:
• Easy rinsing
• Good finish after washing hair
• Minimal skin/eye irritation
• No damage to hair Feels thick and/or creamy
• Pleasant fragrance
• Low toxicity
• Good biodegradability
• Slightly acidic pH, since a basic environment weakens the hair by breaking
the disulfide bonds in hair keratin.
• Many shampoos are pearlescent. This effect is achieved by addition of tiny
flakes of suitable materials, eg. glycol distearate (a wax).
Surfactants, also known as wetting agents, lower the surface tension of a liquid,
allowing easier spreading, and the interfacial tension between two liquids. The
term surfactant is a contraction of "Surface active agent".
• Anionic
• Cationic
• Nonionic
• Amphoteric
Ingredient claims
In the USA, the Food and Drug Administration (FDA) mandates that shampoo
containers accurately list ingredients. The government further regulates what
shampoo manufacturers can and cannot claim as any associated benefit.
Shampoo producers often use these regulations to challenge marketing claims
made by competitors, helping to enforce these regulations. While the claims may
be substantiated however, the testing methods and details of such claims are not
as straightforward. For example, many products are purported to protect hair
from damage due to ultraviolet radiation. While the ingredient responsible for this
protection does block UV, it is not present in a high enough concentration to be
effective.
The case for vitamins is not as well understood. Some have demonstrated a
moderate effectiveness in improving the health of skin , but most likely the benefit
is derived from the effect of vitamins on living cells below the epidermis.
Extending this benefit to hair, the vitamins and minerals could improve the health
of new hair growth, but the benefit to existing hair is unsubstantiated. However,
the physical properties of some vitamins (like vitamin E oil or panthenol) would
have a temporary cosmetic effect on the hair shaft while not having any
bioactivity
Specialized shampoos
Brand loyalty: Brand loyalty has been proclaimed by some to be the ultimate
goal of marketing. In marketing, brand loyalty consists of a customer’s
commitment to purchase the brand and can be demonstrated by repeated buying
of a product or a service or positive behavior such as word of mouth advocacy.
True brand loyalty implies that the customer is willing, atleast on occasion, to put
aside their own desires in the interest of the brand.
Brand loyalty is more than simple repurchasing. However, customers may
repurchase a brand due to situational constraints, lack of visible alternatives, or
out of convenience. Such loyalty is referred to as “spurious loyalty”. True brand
loyalty exists when customers have a high relative attitude towards the brand
which is then exhibited through repurchase behavior. This type of loyalty can be
a great asset to the firm: customers are willing to pay higher prices; they may
cost less to the firm.
Hindustan Unilever limited (HUL) is India’s largest fast moving consumer goods
company with leadership in Home and Personal Care products and Foods and
Beverages.
The leading business magazine, Forbes Global, has rated Hindustan Unilever as
the best consumer household products company worldwide. Far Eastern
Economic Review has rated HUL as India’s most respected company. Asia
money has rated HUL as one of India’s best-managed companies. Leading
national publications, like The Economic Times and Business World, have also
rated HUL as one of India’s most respected companies. HUL has received the
Motilal Oswal Largest Wealth Creator Award for the period 1996-2001.
HUL has achieved market leadership in soaps and detergents as well as hair and
skin care products and is the second largest manufacturer of dental care
products. HUL is also market leader in tea, processed coffee, ice cream and
frozen desserts, tomato-based products, jams and squashes.
International Best foods (IBF) are amalgamated with the company. As per the
scheme of amalgamation two equity shares of HUL is allotted for every three
equity shares of IBF. The company has signed an agreement with ICI India, a
subsidiary of ICI plc, UK, for sale of Nickel Catalyst business and Adhesives
business, a sub-unit of Specialty Chemicals Division of the company's Chemicals
and Agri operations for a consideration of Rs.21 crores and Rs 9 crores
respectively.
CORPORATE PURPOSE
Unilever's mission is to add Vitality to life. They meet everyday needs for
nutrition; hygiene and personal care with brands that help people feel good, look
good and get more out of life.
HUL’s deep root in local cultures and markets around the world gives them their
strong relationship with consumers and are the foundation for future growth.
They want to bring wealth of knowledge and international expertise to the service
of local consumers - a truly multi-local multinational.
This is their road to sustainable, profitable growth, creating long-term value for
shareholders, people, and business partners
Sunsilk is the name of a brand of hair care products for women produced by the
Unilever group. It was launched in 1954 in the United Kingdom. By 1959, it was
available in eighteen different countries worldwide. Currently, Sunsilk products
are available in over 50 countries throughout Asia, Latin America, The Middle
East and North Africa.
Launched in 1964, Sunsilk is the largest beauty shampoo brand in the country.
Positioned as the 'Hair Expert', Sunsilk has identified different hair needs and
offers the consumer a shampoo that gives her the desired results.
The benefits are more compelling and relevant since the variants are harmonised
in terms of the product mix - fragrance, colour and ingredients are all well linked
to cue the overall synergy. The range comes in premium packaging and design.
The accent is on "It knows you, and hence knows exactly what your hair needs".
It is the number one beauty shampoo brand from Hindustan Lever Ltd, has
evolved to become one of the leading brands in the beauty regimen of women.
Sunsilk has consistently been a brand that has brought innovations in hair care to
the Indian consumer. It was the first brand to launch a 2–in-1 shampoo (shampoo
plus conditioner), also the first to offer shampoo by hair types and pro-
conditioner.
Old pack size and price New pack size and price
125 ml – Rs.50.00 100 ml – Rs. 37.00
250 ml – Rs.100 200 ml – Rs.70.00
400 ml – Rs.150.00 400 ml – Rs.125.00
The Sunsilk brand today has the best of Unilever formulations across the world.
The range now comprises:
Every journey begins with the first step. The journey called CavinKare began with
a young mind taking the road less taken. In 1983 with a single product offering,
CavinKare started out as a small partnership firm. More steps followed and with
the innovative Entrepreneur C.K. Ranganathan at the helm, CavinKare emerged
into a successful business enterprise.
In line with the company’s progressive outlook, Beauty Cosmetics, the earlier
name, was rechristened to CavinKare in November 1998. 'Cavin' a literary word
in Tamil, symbolizes beauty and grace. The company logo signifies dynamism,
modernity, and a positive attitude towards the future - the spirit of the people
behind the phenomenon called CavinKare.
Corporate Vision
“We shall achieve growth by continuously offering unique products and services
that would give customers utmost satisfaction and thereby be a role model."
Chik Shampoo is formulated with Active Double Conditioners that condition the
hair and makes hair soft and helps keep it more manageable than ever. Chik
Shampoo is economically priced and is available in 2 variants - Black and
Jasmine and in pack sizes of 4 gms & 8ml sachets and in 60 ml, 120 ml, 250 ml
& 500 ml bottles.
STATEMENT OF PROBLEM:
Shampoo industry which is a part and parcel of FMCG industry has high market
potential .There is high competition in this industry. To overcome the competition,
different marketing strategies have to be implemented to increase market share.
Statement of the problem is “Comparative Analysis with respect to
Sunsilk and Chik Shampoo”.
It is to compare Sunsilk shampoo of HUL with Chik shampoo of
Cavin kare in all the aspects like sales, market coverage, brand image, brand
loyalty, and characteristics of shampoo like quality, quantity, price, fragrance,
colour, availability, dandruff control etc.,
The study covers “Comparative Analysis with respect to Sunsilk and Chik
Shampoo” carried at some of the specific retail outlets in Bangalore on behalf of
HUL. The study helps dealers, wholesalers, retailers and petty shops to know the
position of a particular brand of shampoo in the market.
The primary objective of the study is to compare the Sunsilk Shampoo with Chik
Shampoo among retailers and consumers.
Among consumers:
• To know the tastes and preferences of the consumers while purchasing
shampoo.
• Factors considered in purchasing shampoo.
• Shampoo consumption among consumers.
• To find out if consumers perceive differences among various brands of
shampoos.
• To find out brand image and loyalty for shampoos.
• To know the media which influenced the consumers to purchase
shampoo?
Data Collected from 2 sources. They are Primary data and secondary data:
1. Primary Data: Primary data are the data that are collected to help solve
problem or take advantage of an opportunity on which a decision is pending. It
can be collected through telephone, personal interview and structured
questionnaire.
2. Secondary Data: Secondary data are data that were developed for some
purpose other than helping to solve the problem at hand. Secondary data can be
collected through following methods.
The researcher has used structured scientific questionnaire and personal
interview for collection of primary data from retailers and consumers.
Retailers’ Analysis
25
20
15
Education
10 3-D Column 2
0
10th PUC Garduation PG
Analysis: From the above table and graph it is observed that 18% of the retailers
have completed 10th class, 20% have completed Puc / Inter, 50% have
completed degree, and only12% of the retailers have done Post Graduation.
Table 2: table showing the type of the outlet the respondent possess.
Wholesale 2 4%
Retail 27 54%
Total 50 100%
Wholesale, 4%
Wholesale, 2
Retail, 54%
Retail, 27 Wholesale
Retail
Total, 50 Petty shop
Total
Total, 100%
Petty shop, 21
Graph 2: Graph showing the type of the outlet the respondents possess.
Analysis: From the above table and graph it can be concluded that 4% of the
respondents are whole sellers, 54% are retailers and 42% of them possess petty
shops.
Inference: Retail and petty shops are the bench marks for Bangalore. Petty
shops and retail shops play a key role in meeting the day to day needs of the
consumers.
In Bangalore, there exists huge difference between retail outlets and petty
shops.
Yes 41 82%
No 9 18%
Total 50 100%
60
50 Total
Yes
40
Percentage
30
Total Number of respondents
20 Yes
No
10
No
0
Yes No Total
Analysis: The table and graph show that 82% of the consumers ask for
specific brand.
Inference:
We can infer that there is tremendous Pull in the shampoo market. The company
can notice this trend and spend more on pull strategy tools. Therefore, the brand
name of the shampoo is a must to build up. Because most of the consumers in
Bangalore are really conscious about hair care.
Number of respondents
11
13
Sunsilk
Chik
Head & Shoulders
Clinic all Clear
35
Analysis: The table and graph conclude that 60% of the consumers are
frequently demanding Sunsilk, 16% are asking for Clinic All Clear, 2% are asking
for H &S, 8% are asking for Chik shampoo and 14% have asked for Pantene.
Inference: Sunsilk shampoo has tremendous demand and Clinic All clear is next
most demanded brand in Bangalore. Pantene and chik and head and shoulders
are less demanded. This could be due demand for sunsilk in the conditioning
segment and Clinic all clear in the anti dandruff segment
Table 4: The table showing different levels at which the respondents agree with
the above statement.
Number of respondents
Strongly agree
Agree
Cannot say
Cannot say Disagree
Strongly disagree
Agree
Analysis: The table and graph conclude that 52% of the consumers are
positively agreeing that Sunsilk has high brand image.
Inference: Sunsilk has high brand image in the market. The company can utilize
this goodwill to its advantage.
Table 5: The table shows the level at which the respondents agree or disagree
with the above statements.
Number of respondents
1
8
9
Strongly agree
Agree
Cannot say
8 Disagree
Strongly disagree
24
Analysis: The table and graph shows that 64% of the respondents are agree
with the above statement.
Inference: Despite low brand image in the eyes of Indian consumers, it has
comparatively higher brand image in sachet segment but is still lower than
Sunsilk. This may be due to slight variations in thickness, quality, and lather
formation with salt water.
20
15
10
Product
5
0
Re.1 Re0.50 Re.1 Chik Re.0.50
Sunsilk Sunsilk Chik
Analysis: The table and graph shows 30% correspondents felt that Re.1 of
Sunsilk sachets are fast moving.
Inference: It is clear that Re.1 Sunsilk sachets are fast moving among
mentioned brands. Chik is fast moving in Re.0.50 sachet form with 40%.
Sunsilk 10 20%
Chik Shampoo 2 4%
30
25
20
15
Brands
10
5
0
Clinic Plus Sunsilk Clinic all Chik Head &
clear Shoulder
Analysis: The table and graph represent high brand image for clinic plus. There
exist high difference in the demand for both Sunsilk and Chik Shampoo.
20
15
Sunsilk
10 Clinic Plus
Chik
5
Head & Shoulders
0
Sunsilk Clinic Plus Chik Head &
Shoulders
Analysis: 38% of the respondents said Clinic Plus shampoo yielded more profits
than any other brands, followed Head & Shoulders and Sunsilk.
Inference: The profit for the retailers/ Wholesalers is due to two reasons.
• Due to bulk purchase made my consumers.
• High commissions given by dealers to the wholesales/retailers.
HUL should take notice of this as it may adversely affect its market share
in future.
Pantene 12 24%
Sunsilk 10 20%
Total 50 100%
25
20
15
Brands
10
0
Clinic Plus Chik Pantene Sunsilk
Analysis: The table and graph show that 44% of the respondents opine that
Clinic plus has good product display. 24% of the respondents opine that Pantene
has good product display .Others are on the lower side, Chik Shampoo being the
least.
Inference: The color and design of the sachet grab the eyes of the consumers
and motivate them to purchase.
1. Age of respondent:
Below 20 38 38%
20 to 30 36 36%
30 to 40 13 13%
Above 40 13 13%
Analysis: The graph and table shows majority of the respondents’ whose age is
below 30.
Inference: Majority of the respondents are teenagers and young adults who are
studying.
10th 11 11%
graduation 35 35%
40
35
30
25 10th
20 PUC
15 Graduation
10 PG
5
0
10th PUC Graduation PG
Analysis: The graph concludes that respondents were majority from the
educated segments of Graduates and Post Graduates.
Analysis: The table and graph shows respondents with different occupation.
Table 4:Table showing persons who are responsible for ordinary shopping and
looking after home.
Yes 65 65%
No 35 35%
Analysis: It is observed that 65% are responsible for ordinary shopping and
looking after home.
Inference: The people who do not contribute income are mainly responsible for
ordinary shopping and looking after the home.
Yes 93 93%
No 7 7%
Analysis: The table and graph shows 93 shampoo users and 7 non shampoo
users.
Inference: In finding 100 shampoo users, it is observed that there exist 7 non
shampoo users. Therefore 93.453% are shampoo users and 6.543% are no
shampoo users. There is still 6.543% of market to be covered.
Table 6: Table showing respondents who are using different brands of shampoo
in their household:
Analysis: The table and graph conclude that a 59% of them use different brands
and 41% are using single brand.
Inference: This shows a trend towards variety in using shampoo as people seem
to be changing the brand.
Analysis: Table and graph shows that 76% of consumers consider quality and
brand before purchasing a shampoo and 9% of them opted for fragrance.
Inference: Quality and brand are the bench marks for purchasing a shampoo.
Price plays a minor role in shampoo purchase
1 to3 64 64%
3 to 5 23 23%
5 to 7 13 13%
Analysis: 64% of the shampoo users are using it 1 to 3 times a week and only
13 % are regular users.
Inference: The frequency of usage is more which gives a huge scope for the
manufacturers to tap.
1 to 2
2 to 3
3 to 4
4 and above
Analysis: The table and graph shows 28% of the consumers who use 25 to 30
packets of shampoo per month. Only 2% of consumers are using less than 10
packets of shampoo per month.
Table 10: table showing the difference between Sunsilk and Chik shampoo
Yes 52 52%
No 9 9%
Graph 10: Graph showing the difference between Sunsilk and Chik
shampoo
Analysis: From table and graph shows that it is concluded that 52% of
consumers are able to find difference and only 9% are unable to find Sunsilk and
Chik shampoo.
Inference: Consumers opine that Sunsilk shampoo has more thickness and
lather and it a better conditioner.
Chik
Sunsilk
Pantene
None of these
Inference: 28% of the market is still left, which has to be captured. These 23% of
them may be using other premium brands or bottles of Sunsilk or Chik shampoo.
Analysis: Table and graph shows 67% who are brand conscious, 13% who are
not bothered about the brand and 20% consider sometimes.
Inference: Since majority of them are considering brand, it is necessary for the
company to constantly maintain the brand image and retain the consumers.
Yes 73 73%
No 27 27%
Analysis: The table informs 73% are brand loyal and 27% are not brand loyal
and shifting from one brand to another brand.
Inference: Personal experience is the benchmark for shampoo. While T.V ads
also has a major share in motivating the respondents to purchase.
30 30 Quality Parameters
30
25
20
14
15 10 11
10 5
5
0
thickness flavours conditoner
Analysis: Quality parameters like dandruff control and smoothening of the hair
contribute 30% and 30% of the consumers’ opinion respectively.
Inference: Dandruff control and smoothness are the benchmark for the shampoo
quality.
Table 16. Table showing the response of customer to quantity in Sachet of the
chik and sunsilk shampoo
Sunsilk 73 73%
Chik 27 27%
80
60
40
20
0
Number of respondents Percentage
Sunsilk chik
Table 16: Table showing the response of the customer with respect to quantity in
sachet.
Analysis: - Amongst the 100 Sample sizes of the consumers 73% of the
consumers has responded that they are happy with the quantity provided by
sunsilk as compared to chik.
70+26
P= ---------------------------
100+100
P= 0.48
Q=1-P
Q=1-0.48
Q = 0.52
Z (cal)= (|Ps-Pc|)/√(PQ((1/100)+(1/100)))
= (I0.70-0.26I)/√0.52*0.48 ((1/100) + (1/100)))
=6.23
Z tab=1.645
Level of significance=5 %
• Majority of the respondents are teenagers and adults who are studying.
• It is found that respondents whose qualification is graduation and post
graduation are large in number.
• 65% of the people who responded are Domestic Shopper ………… (Q.4).
• Among the 100 sample size of consumer 93% are shampoo users and 7%
are the non shampoo users…………………………………………… (Q.5).
• Response to wither they use different shampoos 59% of them use
different brands and 41% are using single brand of shampoo……… (Q.6).
• 76% of consumers prefer quality and brand and 9% of them opted for
fragrance were as price is 7% and thickness of product 8% ………...(Q.7).
• 64% of the shampoo users are using it 1 to 3 times a week and only 13 %
are regular users ………………………………………………………… (Q. 8).
• 52% of consumers are able to find difference between chick and sunsilk
shampoo and only 9% are unable to find any difference…………… (Q.10).
• 67% who are brand conscious, 13% who are not bothered about the brand
and 20% consider sometimes. ……………………………………… ..(Q.12).
• 73% are brand loyal and 27% are not brand loyal and shifting from one
brand to another brand ………………………………………………... (Q.13).
• 59% of the respondents are motivated through personal experience and
25% through T.V ads. Only 16% through friends and relatives……..(Q.14).
• Quality parameters like dandruff control and smoothens the hair contribute
60% of the consumers’ poll respectively………………………………(Q.15).
• Quantity provided by Sunsilk is satisfied to consumers as compared to
chik……………………………………………………………………….. (Q.16)
• Head & Shoulders, Clinic plus and Chik shampoo are the alternative
brands for Sunsilk.
¾ Google.com
( www.cavinkare.com)
¾ Other websites.
a) Wholesale b) Retail
c) Petty shop
a) Yes b) No
e) Chik
4. Question: Sunsilk shampoo has high brand image in Re.1 and 50p
sachet market.
e) Strongly Disagree
e) Strongly Disagree
9. Question: Which of the following has good product display in the retail
outlets?
c) Pantene d) Sunsilk
1. Age of respondent:
a) Below 20 b) 20 to 30
c) 30 to 40 d) Above 40
a) Employee b) Agriculture
c) Business d) Labor
e) Student f) Housewives
a) Yes b) No
a) Yes b) No
a) Yes b) No
c) Price d) Fragrance
c) Five to seven
a) 1 to 2 b) 2 to 3
c) 3 to 4 d) 4 and above
10. Do you find any difference in using Sunsilk and Chik shampoo?
a) Yes b) No
c) Cannot say
a) Yes b) No
c) Cannot say
a) Yes b) No
15. What are the Quality parameters that motivate you to purchase a
Shampoo?
a) Thickness b) Fragrance
a) Sunsilk b) Chik