Submitted towards the partial fulfillment of requirement of Mahamaya. Technical University, Noida for the award of degree of Master of Business Administration (MBA). Session (2010-2011) Submitted by: SANDEEP KUMAR 1030570051
SUBMITTED TO
UNDERTAKING
I declare that the work presented in this thesis titled MARKET ANALYSIS FOR NIBUS PURIFIER PRODUCTS AT NEW DELHI , submitted to the Department of Management, Aryabhatt College of Management and Technology, Baghpat , for the award of the Master of Business Administration degree, is my original work. I have not plagiarized or submitted the same work for the award of any degree. In case this undertaking is found in correct, I accept that my degree may unconditionally be withdrawn.
Nov, 2011
SANDEEP KUMAR
ACKNOWLEDGEMENT
I wish to take this opportunity to express my deep sense of gratitude and thanks to my supervisor. I am thankful ; to all those staff members of the department who helped me directly or indirectly in completing this work. Last, but not least , I am thankful to the management members and director of Aryabhatt College of Management and Tachnology, Baghpat (UP) who permitted and supported me for completing this research work.
(SANDEEP KUMAR)
EXECUTIVE SUMMARY
Water is the most important liquid in the world. Without water, there would
be no life, at least not the way we know it. In today's living condition, the need for Pure Drinking Water is becoming the issue for the common man.
There are rapid changes that are taking place in our environment since long and the air and the water pollution is on an increase. The main source of drinking water is river and downstream which have also not been able to escape the pollution. When a consumer became aware of the problems caused by water pollution the market saw an advent of ceramic water filters, which filters the dust and suspended particles but dissolved impurities and microbiological impurities are not cleared out. The mineral balance is also not maintained.
A Research Methodology defines the purpose of the research, how it proceeds, how to measure progress and what constitute success with respect to the objectives determined for carrying out the research study. The appropriate research design formulated is detailed below. Exploratory Research: This kind of research has the primary objective of development of insights into the problem. It studies the main area where the problem lies and also tries to evaluate some appropriate courses of action.
The research methodology for the present study has been adopted to reflect these realties and help reach the logical conclusion in an objective and scientific manner. The present study contemplated an exploratory research
The following are the main objectives of my Research study:To make a brand analysis of Bisleri as a Brand. To conduct a market survey of Bisleri. The affects on Bisleri sale, profit and market share after the launch of Acquafina by Pepsi and Kinley by coca cola. To find out the current position of Acquafina, hello and Kinley mineral water. Threats caused by Aquafina, Kinley and hello to Bisleri. Strategies and measures adopted by Bisleri to counter the competition by hello & Kinley.
INTRODUCTION Water is the most important liquid in the world. Without water, there would
be no life, at least not the way we know it. In today's living condition, the need for Pure Drinking Water is becoming the issue for the common man. Eighty percent of the human metabolism consists of water. This is the reason why 90% of
human diseases are water borne. There are 3 types of water impurities, which are root cause of water borne diseases. 1. Microbiological-Bacteria / virus. 2. Dissolved impurities - chemical. 3. Imbalance of Mineral Content. There are rapid changes that are taking place in our environment since long and the air and the water pollution is on an increase. The main source of drinking water is river and downstream which have also not been able to escape the pollution. When a consumer became aware of the problems caused by water pollution the market saw an advent of ceramic water filters, which filters the dust and suspended particles but dissolved impurities and microbiological impurities are not cleared out. The mineral balance is also not maintained.
1980's witnessed more changes by a tap attachment wherein Iodine resin is used to filter the
water. It deactivates microbiological impurities to an extent but has side effects due to iodine and does not take care of dissolved impurities mineral balance.
Late 1980's
witnessed
Ultra Violet
bacteria to a great extent. It maintains the odour and colour of water but does not clear out the dissolved impurities and mineral particles. Thus came advent of mineral water. Historically, the need for purified water within Indian homes had been kept down to a minimum. Essentially, there were three types of water that was used for different purposes. The first type was used for rinsing. The second type, which was used for cooking, was cleaner and kept covered. The third type was the cleanest drinking water and was very often boiled before use. Since an average family needed a small quantity, not more than five or six litres a day, boiled and filtered water had been a convenient solution for some time. The fallouts were obvious. It was very difficult to convince the people that purification system was worth the price. There was no visible way to demonstrate the benefit, The otherwise somnolent market began to change once companies like Eureka Forbes targeted the office segment, while the mineral water players went after travelers. Ion Exchange was the only company which had any measure of success in entering homes with Zero-B. But clean drinking water returned on the national agenda a little later. Around 1989, drinking water became an issue again. Around early 1990sTime did a story on India as a key emerging market and that was the trigger for all the players eyeing this market."
Rs. 1, 100 crore, of which the branded market accounts for Rs. 700 crore and about 700 million litres in volume.
In India, the core proposition of bottled drinking water lies in hygiene, as the quality of tap water is bad and is rapidly deteriorating. This is in stark contrast with the West where 'mineral water' indicates the attendant minerals present in the water. Mineral water in Western countries is obtained from natural springs and is, generally, named after those springs. Most of the bottled water passed off as mineral water in India, however, is filtered, boiled or purified by other means such as reverse osmosis. A better description of bottled drinking water sold in India therefore, would be 'purified bottled water.
The growth of the category indicates the need for this 'mineral water' and the fact that heavyweights are eyeing the segment points to the potential that is seen in this market. Coke's Kinley, Pepsi's Aquafina, Brittania, Nestle, Kingfisher, Auswater-are keen on raising their stakes in the Rs. 700 crore, 700 million litre market. The entry of Danones brand, Evian, the high-priced
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mineral water from the French Alps, shows the perceived potential India presents in this product category. Clearly targeted at the premium segment of consumers, the brand is being distributed in the country by Britannia Industries. Currently, Evian has more of an institutional presence (five star hotels) than on the retail shelves, with a 1-litre bottle being priced a hefty Rs. 80
The market today has grown to more than Rs15bn. The organised sector -- branded mineral water -- has only Rs7bn of market share. The rest is accounted for by the unorganized sector which is dominated by small regional players. The market is still growing at a rate greater than 80% per annum.
Today there are more than 200 brands, out of which 10 of them are from top companies.
In the branded segment, Parles' Bisleri 'is the market leader with a share of more than 45%. Parle Agros' Bailey' comes a close second with market share of 15%. Other major players in the market are' Yes 'of Kotharis, 'Ganga' of T-Series, 'Himalayan,' Hello', Prime,' Florida' etc.
COMPANY PROFILE
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& INTRODUCTION
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Company Profile
Company Website
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Introduction to NIBUS
Dream. Strive. Thrive.Nimbus is a publically held pan India multi business conglomerate spanning the sunshine industries of Food, Beverage, Retail & Engineering. With a growing market footprint across key states of UP, Gujarat, Madhya Pradesh & Rajasthan Nimbus has made significant investments and continuous progress to build and grow its business in manufacturing and distribution of bread and bakery units, an engineering machine manufacturing facility and a corrugated boxes production unit.Passionate People. Committed Leadership. Continued Success. Big dreams, determined grit and a lifelong commitment to sincerity and customer centricity has enabled Nimbus to clock stupendous growth in all its business endeavours. With a growing workforce of over 1000 people, a highly professional & committed leadership and a loyal partner network of over 4500 distributors Nimbus has consistently rewarded its investor family. As Indias economy continues to surge ahead, Nimbus has been quick to grab many emerging opportunities to consolidate its leadership status and build new success
milestones.ORAS, our National Packaged Drinking Water brand has quickly grown from a small idea into a popular national brand supported by multiple bottling plants across India. Spurred by its growing demand Nimbus is continuously establishing new bottling units and distribution network to effectively leverage emerging opportunities profitably.NIMBUS is today a well established business group with a vision to serve the long term and dynamic needs of discerning Indian consumers. As we continue our progress march with dedication, discipline and unmatched customer focus we continue to build on our enviable iconic status. We never rest on our laurels, as we continue to strive
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ahead to achieve new success-milestones to reward both our customers and investors with great products, innovative business models and continued product excellence. * Mission:* To make healthy INDIA with 100% pure water by NIMBUS R.O. Technology.
* Vision:* Empowering people & generating trust for 100% pure water.
*Specialization in:* Domestic R.O. Water Purifier, Industrial R.O. Water Purifier, AMC for all R.O. Brands, All R.O. parts in wholesale Benefits & Uses
Removes all toxins, bacteria, virus, suspended solids and dissolved chemicals. Make bore well / safety water drinkable. Removes contaminants that may cause high blood pressure, kidney stones, indigestion, gastric bacteria diseases. Enhances taste by removing undesirable salts and minerals. Does not use any chemicals to purify your water. Inlet hard water can be handled to give you soft and tasty water. Removes unpleasant water odor.
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India with a population of 120 crores is potentially one of the largest consumer markets in the world. With urbanization and development of economy tested and interests of people changes according as the advanced nation. Marketing of any product depends upon the consumers wants, preferences, and taste. In market well consider things very carefully because FMCG is the essential consumer need purchased by individual to fulfill the need and for refreshment also. To increase the sales of water purifier products initially, the position of the company in the market is to offer various range of products. Potentiality of given products of the company strike rate of the company products and finally the current market share of the company products in the same product profile segment of the market must be known to us. So that we can design and implement the right marketing strategy for increase sales and consumer awareness as well as know the water drinking Habits in Meerut. In making a market survey of Access water purifiers on 4Ps of Marketing, I along with help my team members meet about 100 peoples. In the area which provided by my company guide to me, we tried to find out the success of marketing strategy like: sales of our products, brand and product awareness among the people.
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Water Purifier
NIBUS is the worlds most advanced in-home water purifier. NIBUS, a breakthrough offering of Hindustan Unilever (NIBUS), provides complete protection from all water-borne diseases, unmatched convenience and affordability. NIBUSs unique Germ kill Battery technology kills all harmful viruses and bacteria and removes parasites and pesticide impurities, giving you water that is "as safe as boiled water ". It assures your family 100% protection from all water-borne diseases like jaundice, diarrhea, typhoid and cholera. Whats more, it doesnt need gas, electricity or continuous tap water supply.
NIBUS not only renders water micro-biologically safe, but also makes the water clear, odourless and good-tasting. NIBUS does not leave any residual chlorine in the output water.
The output water from NIBUS meets stringent criteria for microbiologically safe drinking water, from one of the toughest regulatory agencies in the USA, EPA (Environmental Protection Agency).
The performance of NIBUS has also been tested by leading scientific and medical institutions in India and abroad. This patented technological breakthrough has been developed by NIBUS. This state-of the-art engineering developed by a team of over 100 Indian and international experts from NIBUS and Unilever Research Centers has made NIBUS possible at the consumer price of just Rs. 2000. NIBUS runs with a unique Germ kill Battery Kit that typically lasts for 1500 liters* of water. The Germ kill Battery Kit is priced at Rs.365. This means consumers will get 4 litres of water
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that is as safe as boiled water for just one rupee, which works out to an extremely affordable 24 paise per litre. NIBUS in-home purification system uses a 4 stage purification process to deliver as safe as boiled water without the use of electricity and pressurized tap water.
2. Compact Carbon Trap - Removes remaining dirt, harmful parasites & pesticide impurities
TM
stored germ kill process targets and kills harmful virus and bacteria
TM
4. Polisher
5. Battery Life Indicator - Ensures total safety because when the germ kill power is exhausted, the indicator turns red, warning you to replace the battery
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NIBUS- a water purifier designed and developed to provide as safe as Boiled water Performance
NIBUS removes visible dirt, kills all viruses and bacteria, removes parasites and pesticide impurities giving you water that is as safes as boiled water
Additional Features:
Great sensorial Clear, odour -free water : removes organics, pesticides, suspended matter (turbidity)
Convenience No hassles of boiling, No maintenance costs like plumbing Cost Rs. 1/- for every 4 Liters of water
The Technology:
Chlorination of water is a known fact & is used as a world wide phenomenon by municipal corporations for supply of potable water.
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It kills all bacteria and viruses in water. However chlorine added I n water by these corporation is not done scientifically especially in third world countries like). Hence the amount of chlorination may be more or less depending on the quantity of water; thus again making this water unsafe for human consumption.
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MICRO FIBRE MASH Material Non woven polyester Removes suspended particulate > 10 micron Reduces filtration load on CCT Average flow rate of 5 lit/min
Material intermediate activated carbon Binder is used for holding the carbon granules Removes particulate impurities < 10 micron Removes organic load improves taste of water
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GERM KILL PROCESSOR Attached with batching chamber. Stored germ-kill power target and kill harmful viruses and bacteria Unique Auto Switch off Technology > After the battery life indicator turns fully red, the purifier will begin to overflow from the battery life indicator on the front side. > Some water may still pass through the purifier. However, please note that the purifier has stopped purifying water & the water may no longer be safe for drinking. > The purifier has been designed to overflow to indicate that the battery has not been replaced even after it has turned fully red.
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POLISHER
Made by activated granular carbon and coated by silver. This design has reduced pressure drop, eliminating the level of fines coming in the water and reduced wastage of plastics in battery
Removes chlorine and disinfection by-products. Radial flow design low pressure drop. Finally removes all odour, makes water visually clear & gives great tasting water
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Performance testing
Leading scientific institutions
o Central Food Technology Research Institute. o National Institute of Cholera and Enteric Diseases o Indian Public Health Association o Institution of Public Health Engineers
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COMPETITOR
Whirlpool Eureka Forbes Ltd. Usha Brita Kent zero B Philips Ken star Tata Swatch New Era (OSMO & Total aqua Fresh)
Key player in local market at Jaipur. NIBUS Technologies. Eureka Forbes Ltd. Kent Philips
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How a NIBUS is better than other method of water purifier:Main Feature NIBUS Boil water Advance UV inline Purifier
Remove/Kills Viruses 30Bacteria 40minute Pesticides Yes No Yes No Yes Must boil water Yes
Yes
No
Yes
No
18 ltr. Water storage Capacity Manual backup Not require Gas Not require electricity Dual fill Facility
Yes
Yes
No
Yes
Yes No Yes No
No Yes No No
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Yes
No
Yes
No
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4 PS of Marketing Strategies
The major marketing management decision can be classified on one of following four categories
These variables are known as the marketing mix or 4 Ps of marketing. They are the variables that marketing managers can control in order to best satisfy customers in the target market.
Product: The product is the physical product or service offered to the costumer. In the case of physical product, it also refers to any services or conveniences that are part of the offering. Product decision includes aspects such as functions, appearance, packaging, service, warranty, etc.
Price: Pricing decision should take into account profit margins and the probable pricing response of competitors. Pricing includes not only the list price, but also discounts, financing, and other options such as leasing. Place: -
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Place decisions are those associated with channels of distribution that serve as the means for getting the product to the target customers. The distribution system performs transactional, logistical, and facilitating functions. Promotion: Promotion decisions are those related to communicating and selling to potential consumers.
Since these costs can be large in proportion to the product price, a break-even analysis should be performed when making promotion decision. It is useful to know the value off a customer in order to determine whether addition customers are worth the cost of acquiring them.
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Penetration strategy Product price range started for 1000 5200 Very Low cost of maintenance and consumable Low cost for product Best price for other than competitor Attractive discount on replacement of device for customer No credit terms Attractive allowance for dealers
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LITERATURE REVIEW
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Benefits: The ability to acquire customers who do not respond to mass media, direct mail, telemarketing or other marketing methods. Door-to-door sales are achieved in a small geographic area allowing businesses, particularly those providing a service, to operate more efficiently.
Disadvantages: Door-to-door marketing is the most expensive form of marketing in terms of Cost per Impression. The CPM (Cost per 1000 impressions) can run as high as $5000 for a direct marketing campaign. It is difficult if not impossible to deliver a consistant marketing message. A small percentage (less than 2%) of potential customers are alienated due to being offended by directly soliciting them at their home.
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( SOURCE: http://en.wikipedia.org/wiki/Talk:Door-to-door)
Door-to-door is a sales technique in which a salesperson walks from the door of one house to the door of another trying to sell a product or service to the general public. A variant of this involves cold calling first, when another sales representative attempts to gain agreement that a salesperson should visit. Door-to-door selling is usually conducted in the afternoon hours, when the majority of people are at home.
2.2 ROLE OF SALES PERSON As the Consumer Protection Division of the government of British Columbia, Canada points out, there are many companies out there that put sales people on the street to go door to door and sell their products. It is understandable that the average homeowner is on guard when a stranger comes knocking at their door. If you take the time to learn the proper sales techniques then you can help to put some homeowners at ease. In the end, they may listen to what you have to say. 39
The following are some basic roles of a sales person which he has to perform: 1. Appearance According to door to door sales expert "Mr. Cold Call," your appearance can help you to put the customer at ease right away. Dress in a professional manner. If your company issues you a particular uniform, make sure it is clean and neatly pressed. If you are able to choose your own attire then wear a neutral colored business suit with darker shades such as gray and dark blue. Avoid hats and sunglasses as you want the customer to be able to see your face. Wear a large name tag that prominently displays your name and your company's name. Smile when the customer answers the door, but avoid reaching out your hand to shake hands until you are able to get a conversation going with the homeowner.
2. Your Pitch The website Bizcovering.com suggests that you should knock loudly at the door so the homeowner knows you are there. Once they answer the door, avoid throwing a canned pitch at them right off the bat. Try to engage the customer for a minute or two with quick questions that let them give short and simple answers. Try to create questions that pertain to your topic, but use these preliminary questions as a lead-in to your pitch. Try to avoid yes or no questions, and open with a little humor if you feel comfortable with that. Once you feel the customer is at ease, you can then begin to move into your sales pitch.
3. Approach As a professional door to door salesperson you want to give the impression that you are there on business, and that you do not pose a threat to the homeowner. The United Subscription Agency is a resource for subscription sales organizations, and
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they suggest backing away from the door once you have knocked or rang the bell. If you can step off the porch without being too far away, then this may help put sufficient distance between you and the customer. Do not try to look through any of the front windows, and avoid being helpful by presenting the customer with their mail. Going through someone's mailbox is a federal offense, and it is also a sure way to get a door slammed in your face.
(SOURCE: www.ehow.com) 2.2.1 Qualities of salesperson engaged in Personal Selling It is very difficult to enlist the qualities of people engaged in personal selling. The quality will vary from time to time and from situation to situation. It also depends upon the customers demand and nature of the product. However, there are certain common qualities, which every salesman should possess in order to become successful in their life. These qualities are listed below. i. Physical quality:
A salesman should have a good appearance and an impressive personality. He should also have a sound health. ii. Mental quality:
A good salesman should posses certain mental qualities like imagination, initiative, selfconfidence, sharp memory, alertness etc. He should be able to understand the needs and preferences of customers. iii. Knowledge of the product and the company:
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A salesman should have full knowledge of The product and the company he is representing. He should be able to explain each and Every aspect of the product i.e. its qualities, how to use it, what precautions to be taken etc. iv. Good behavior :
A salesman should be co-operative and courteous. Good behavior enables one to win the confidence of the customers. He should not feel irritated if the buyer puts up many questions even if the questions are irrelevant. It is also not necessary that the person he is trying to convince buys the product. The salesman has to remain and courteous in every case.
v.
Ability to persuade:
A good salesman should be good in conversation so that he can engage the person he is attending in conversation. He should be able to convince him and create the desire in his mind to posses the commodity.
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Personal Selling is extremely important as it helps in increasing sales. But there are other features as well which make it important. Let us discuss the importance of personal selling from the point of view of manufactures as well as consumers.
2.3.1 From manufacturers point of view I. II. III. It creates demand for products both new as well as existing ones. It creates new customers and, thus help in expanding the market for the product. It leads to product improvement. While selling personally the seller gets acquainted with the choice and demands of customers and makes suggestions accordingly to the manufacturer.
2.3.2 From customers point of view I. Personal selling provides an opportunity to the consumers to know about new products introduced in the market. Thus, it informs and educates the consumers about new products. II. It is because of personal selling that customers come to know about the use of new products in the market. The sellers demonstrate the product before the prospective buyers and explain the use and utility of the products. III. Personal selling gives an opportunity to the customers to put forward their complaints and difficulties in using the product and get the solution immediately.
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Pre-Approach
Approach
Follow-Up
Closing
Handling Objections
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1) Prospecting: Prospecting refers to identifying and developing a list of potential clients. Sales people can seek the names of prospects from a variety of sources including trade shows, commercially-available databases or mail lists, company sales records and in-house databases, website
2) Pre-approach
Before engaging in the actual personal selling process, sales professionals first analyze all the information they have available to them about a prospect to understand as much about the prospect as possible.
3) Approach
The approach is the actual contact the sales professional has with the prospect. This is the point of the selling process where the sales professional meets and greets the prospect, provides an introduction, establishes rapport that sets the foundation of the relationship, and asks open-ended questions to learn more about the prospect and his or her needs.
During the presentation portion of the selling process, the sales professional tells that product "story" in a way that speaks directly to the identified needs and wants of the prospect. Sales professionals should strive to let the prospect do most of the talking during the presentation and address the needs of the prospect as fully as possible by showing that he or she truly understands and cares about the needs of the prospect.
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5) Overcoming Objections
Professional sales people seek out prospects' objections in order to try to address and overcome them. When prospects offer objections, it often signals that they need and want to hear more in order to make a fully-informed decision. If objections are not uncovered and identified, then sales professionals cannot effectively manage them.
Although technically "closing" a sale happens when products or services are delivered to the customer's satisfaction and payment is received, for the purposes of our discussion I will define closing as asking for the order and adequately addressing any final objections or obstacles.
7) Follow-up
Follow-up is an often overlooked but important part of the selling process. After an order is received, it is in the best interest of everyone involved for the sales person to follow-up with the prospect to make sure the product was received in the proper condition, at the right time, installed properly, proper training delivered, and that the entire process was acceptable to the customer.
2.5 Best practices to succeed in Door to Door Sales: For companies that have customers with high lifetime value and products that benefit from personal selling, there are five best practices for succeeding with door-to-door sales:
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1. In deciding whether to recruit an in-house sales force or to contract with vendors, consider your organizations capabilities and constraints, as well as the products or services you are selling.
2. Make sure that you have dedicated recruiting processes and that they cover all bases in reaching likely candidates. 3. Establish ongoing training that includes a confidence building component, as well as information on new products; consider a mentoring program that matches seasoned reps with new hires.
4. Constantly adjust the incentive system to increase sales per rep per day, and encourage the sales force to sell the highest-margin products and services.
5. Develop a retention program that identifies short- and long-term goals and offers appropriate rewards for the most successful performers.
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No. of Contacts
Travel Time
Territory Density
No. of Visit per day Territory Demographics No. of Sales per rep per day
SALE ES
Recruiting
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To study distribution network of NIBUS. To identify the attributes those compel the dealers to select the product.. To study about the relationship and association of the household with the company. To identify the dealers response towards brands they are dealing. To know about the credit policy of the company (motivational tools) Popularity of company product among customers. Customers opinion towards packaging. To know about the awareness of drinking water used by various households.
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Most of the product of NIBUS comes in the category of convenience products. They are frequently used and bought by the customers. There is large no. of players in the market, who are supplying similar product to the customers.
Now, customers have become smart, they have great knowledge of market, product and suppliers. So, they are looking for the product which is providing something extra.
NIBUS has a wide range of product in FMCG sector, covering almost every needs and wants of the customers. It has products for child, young & adult, male & female, etc. So, it has to differentiate its products taking into account the needs and demands of all the sectors of the society.
Not, only product but it has to look upon the services and feed back from customers also. It should do something to give after sales service and collect feed back from the customers.
The basic objective of this project is as mentioned above to find ways so that NIBUS remain market leader by considering all the needs & wants and fulfilling their demand.
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RESEARCH METHODOLOGY
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RESEARCH METHODOLOGY
Its the way by which we collected data and used it to analysis the available fact for arriving at a particular results and suggestion. Basically there are two ways of collecting the data primary & secondary
RESEARCH DESIGN
It consists of clean statement of the research problem procedures and information processing and analysis of data collected. It includes hypothesis also. I have used Descriptive Research which includes survey and fact-finding enquiries of different kinds. The main characteristics of this method are that the researchers have no control over the variables; he can only report what has happened or what is happening. The major purpose of descriptive research is description of the state of affairs as exists as present.
Problem to retailers with their respective FMCG Company. Taste and preference of retailers and consumers towards the brand. Strategy of different players in the market. Different schemes of different brands.
Descriptive research design: - alone with some exploratory research was applied which descriptive the state of affairs as they subsists. Descriptive research was used in the study of marketing strategies for the sale of companys product also studying about the parameters which affect the competitiveness of the product. Analytical research:- in this kind of research researcher uses facts or information which are already available and analysis these for critical and rational facts of the past and present tends in
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the demand and consumption, quality of product, packaging methods, supply and distribution and analyzed them for critical result and suggestion some recommendation.
SAMPLING PLAN
Sampling methods:- Snow ball sampling has been used for the purpose of those consumers and prospective customers as it helped in knowing the no. of users of NIBUS product and convenient sampling methods was used for distributers in distance place as accessibility had emerged as a problem in some cases. Sampling unit: - It defines the target population that will sample together for carrying out the analysis. Here it includes different areas and households. Sampling size: - For conducting the study distribution channel system of NIBUS.
DATA ANALYSIS
Data become useful only affect they are properly analyzed. Data analysis involves coverings as series of recorded observation i.e. data into descriptive statement and inference about relationship. This task is helpful in identified the areas where the company each improve further
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collected data was analysis by the use of simple statistic tools like percentage and (univariate analysis) result have been represented by using bar chart columns and pie chart.
DATA COLLECTION
This was done by using:-
A. Primary data. These are the fast hand information as observation in leads to collect through surveying as interviewing using questionnaire and schedules. Questionnaire- it can be recognized as a schedule, interview from or measuring instrument is a formalized set of question for obtaining information from the repaired. It is widely used in consumer and industrial marketing research analysis. B. Secondary data these are the data which are already available in data which are already available in usable forms various type secondary data used. Literature from various papers, journals, and magazines. E.g. News and Views and paper India. Annual report (previous record of the company.) Internet surfing. Other official sources.
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RESEARCH APPROACH
The research is based initially on an exploratory research & finally followed by descriptive research.
RESEARCH INSTRUMENTS
The research instrument used in the study was predesigned up to designed questionnaire with closed ended multiple choice & open-ended questions.
QUESTIONNAIRE
The questionnaire is by far the most common instrument in collecting primary data & the questionnaire consists of question presented to respondent for their answers. The questionnaire used a set of open-ended question.
SAMPLE SIZE
Sample size is 100 households Type of research Statistical tools Data collection Descriptive research (it includes facts findings service) Pie charts, bar diagrams etc. Through questionnaire
UNIVERSE
In the data of the sampling, large sample units are preferred to get the accurate outcome of the research.
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SWOT Analysis
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SWOT Analysis
STRENGTH
NIBUS enjoys a formidable distribution network covering over 3400 distributors and 16 million outlets. The new sales organization named 'One NIBUS' brings "Household and Personal Care" and foods distribution networks together, thereby aligning all the units towards the common goal of achieving success. NIBUS has been continuously able to grow at a rate more than growth rate for FMCG Sector, thereby reaffirming its future stronghold in Indian market.
Weaknesses
NIBUS market dominance, originating from its extensive reach and strong brand presence, allowed it to raise the prices even as raw materials were getting cheaper. Hence, though the volumes decreased, the margins grew, and company was able to earn more profits. But higher margins attracted competition in areas of operations. NIBUS strategy remained focused on creating power brands and earning higher margins. It was not left with any other option but to try cutting down the costs in order to protect volumes, if not increase it.
Opportunities
India is one of the world's largest producers of FMCG goods but its exports are miniscule as compared to production. Though Indian Cos. has been going global, their focus is more towards Asian countries because of the similar preferences. NIBUS is one of the top companies exporting FMCG goods from India. An expansion of horizons towards more and more countries would help NIBUS grow its consumer base and henceforth the revenues. Penetration levels for some
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major categories like skin-cream (22%), shampoo (38%), toothpaste (48%) and processed foods, continue to remain low offerings but great growth opportunities products
Threats
ITC has reduced its dependence on the cigarettes business - Contribution of the core business in revenues has come down from 87% in FY99 to 70% in FY05. Over a period of five years, ITC has extended its presence into areas like foods, retailing, hotels, greetings, agriculture, paper, etc. These are businesses that can give it growth impetus in the long run. With ITC gaining momentum in each of these businesses, it is turning into a consumer monolith, and hence, the greatest threat to NIBUS's Business.
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Strength
HUL Brand Taste of Purified water Low and mid price range Better understanding to customer
Opportunity
Changing consumer preference Awareness of people to water borne diseases Increasing demand for water purifier
Weakness
Service facility Untrained PWEs Less color choices
Threats
Hike in cost of production due to hike in raw material cost Increasing distribution Cost Entry of new entrant- Tata Swach etc.
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SEGMENTATION
It is a process of dividing a potential market in to distinct sub-market of consumers with common needs and characteristics. As we know that NIBUS'S product is the most useful for every one. We use the product from morning to till we sleep. It has many varieties of product which is used by every one from the age of 5 to 60 years. But according to me teenagers (age 14 to 30) use the product the most. There are three classes of segments (upper, middle and lower) according to the income. So NIBUS has all these three segments because the price of its product varies. They have the price accordingly.
GEOGRAPHIC
NIBUSs product is daily use products. Every person uses these products. So the total market is divided in to urban and rural segments.
DEMOGRAPHIC
Every people use NIBUSs product in their life on daily basis, whether they are male or female, they are kid or young or elder. They do not decide ant particular people or target customer. A service class person or businessmen also use these products in their daily life. A person who belongs to different religion is using these products.
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PSYCHOGRAPHIC
NIBUSs products are useful for everyone. Every people weather he/she belong for lower class or middle or upper class. All people use these products morning to till night.
BEHAVIOURAL
Due to high population of the India it is quit beneficial for a company to serve more customers at a time and to acquire good sales figures as customers are more likely to be price and time conscious. These are daily uses product, so the usages rate is very high.
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MARKETING MIX
Marketing mix describes the specific combination of marketing elements and used to achieve an organization or individuals objectives and satisfy the target market. There are some elements of Marketing Mix-
PRODUCT
There are many product lines
2. Foods
A. Tea- Brooke bond, Lipton B. Coffee- Brooke bond bru
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PRICE
A price is the flexible element than other. It is based on revenue. NIBUSs is target to the upper, middle and lower class customer so the price of their products is not much high. They give discount also on their product. They also offer Buy One Get One Free.
PROMOTION
The promotion methods used by the organization to promote its products awareness in the market areAdvertisements- The ads are displayed in the newspaper with their present offers in running. Electronic Media- Ads are displayed at different TV Channels, FM, and Radio to create awareness among the people in Urban as well as in rural areas. Seasonal Discount- Special offer schemes are offered to customer on the festival, occasion, to promote sales.
PLACE
It is important to marketing activities that make products available to consumer at right time and in a convenient location. So these products are available at shopping mall, outlet or any grocery shop which is near by home. A person can find these products anywhere. 65
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No. of households
60
50
40
30 No. of households 20
10
0 o Do nothing o Boiled water o Use electrical water purifier o Use non electrical water purifier
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Most of the peoples are using electric water purifiers This shows that people are more conscious about there health Only a few portion of the households are not using any kind of water purifiers
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Q2. Do you know that 80% of the diseases in our country are water bound?
Yes No Not aware
No.of People
Yes 8% No Not Aware
17%
75%
Interpretation:- From the survey of 100 persons I found that 75% of the people are aware that most of diseases are mainly due to the water. 17%ofthe peoples say that it is not because of water there family members gets ill.
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70
Q3. While buying any water purifier what comes to your mind first?
o Price o Health & Safety
o
Both
Buying Preference
Both 15%
Price 10%
Health & Safety 75%
InterpretationAfter a survey, I found that 75% people preference health and safety in buying water purifier. NIBUS offers an economical way of getting great tasting and 100 % safe drinking water. People are more conscious about they health.
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Q4. Which Companies purifier do you use and prefer to buy it?
o Pure it o Aqua guard or Aqua sure o Kent water purifier o Philips o Usha Brita o Others
20
15
10
pureit
aquaguard
Kent
Philips
Usha
other
Interpretation- After a survey of 100 house holds, I have found that NIBUS is the market leader. The sale of NIBUS water purifier is more then other purifier companies.
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Aquaguard is the closest competitor of NIBUS. Due to entrance of new companies like Kent, Philips and usha, NIBUS is facing a tough competition.
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Revised - 17%
Affordable53%
High- 30%
Interpretation- after a survey, I found that price of water purifier is Affordable for 53% people, The price is high for 30% people. The water purifier Companies should reduce there prices in order to increase its market share
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Q6.Do you know that boiled water is not necessarily safe water?
o Yes o No
38%
62%
Interpretation - After a survey of about 100 house holds, I have found that 62% says that boil water is safe. 38% of the people have a opinion that boil water is safe only for few hours This shows that even after boiling water isnot safe for drinking purpose.
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Q7. Have you recently come across any kind of marketing activities for
purifiers?
o Kiosk o Demonstration o Direct Marketing o T V Commercial
Marketing Activity
Demonstration TV Commercial Kiosk Direct Marketing
Demonstration 5%
TV Commercial 70%
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Interpretation- After a survey I found that TV advertisement play main role in making awareness. 70% People come product knowledge through TV Commercial, 15% people come through direct marketing, 10 % People come through Kiosk and 5% people come demonstration marketing activity.
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Q8. Do you get any type of after sale services from the Company ?
o Yes o No o Exceptional
20 15 10 5 0 yes no exceptional
After Sales Service
Interpretation-after a survey, I found that 52% water purifier not dependable on company to timely service..
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People are in need those companies who can provide them suggestions and can help in solving there problems regarding the product they are using.
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What is Important ?
40 35 30 25
Axis Title
20 15 10 5 0 0 1 2
Axis Title What is Important ?
Interpretation- In the survey of 100 people randomly, I found that 30 people gives
importance to price and then after they consider the Brand name.
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The technology used must also be considered by the Companies in order to increase
there profits.
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45
45 40 35 30 25 20 15 10 5
20 35
0
Retails Outlets Direct Marketing Franchisee
Preffered Places to buy
Interpretation- in the survey I found that people like to purchase water purifier by direct marketing. In the survey I found that 45% people preferred direct marketing, 35% people preferred Retails outlets and 20% people preferred Franchisee to purchase the water purifier.
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Yes No
Interpretation: After the survey I found that only a few households are facing problems regarding smell. colour and other impurities.
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LIMITATIONS OF STUDY
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LIMITATIONS OF STUDY
This survey report is also not free from limitations as usual. However the absence of such limitation would have improved the quality of report as given > Limited time period restricted to go in for more details the period was very short to survey such a large area. > Many respondents were not interested to give the required time for the questionnaire. > Respondents sometimes act artificially when know their information is noted down. > There was only some certain hours in a day in the idle hours in which the respondents was ready to talk. > This project was done on the basis of questionnaire through survey, so it may possible here that some of them might have not provided the correct information.
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Conclusion
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Conclusion
NIBUS Technologies. Is a leading FMCG company in India and from last three consecutive years has shown accelerated growth in FMCG portfolio. Customers in India are also spending more in FMCG as their standard of living is growing. NIBUS has placed itself successfully in the position of market leader in FMCG products. Though there was some downfall in sales and profit of the company in the beginning of this decade but after that NIBUS has shown considerable rise in both sales and profit. The future of the company is also looking bright as FMCG market in India is still expanding and so we can safely conclude that NIBUS will be able to secure its number one position in FMCG product NIBUS has also started project SHAKTI that has provided it direct reach to rural market. This may be considered a revolutionary step since the urban market is reaching its saturation level and there is a huge scope exploring rural market. This will also be helpful not only increasing its market share but also fight competition I found many Water purifiers in the market, which can be compared with NIBUS. As a conclusion I found that particularly in my provided area NIBUS is really doing well and its performance is on surprising level. During the fieldwork and after intensive study it was found that main competitor of Parle is Aqua guard (Eureka forbs Ltd). So this is the comparison with other water purifier brands. According to our findings, we found that NIBUS is the market leader followed by NIBUS Technologies.
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ANNEXURE
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2.
. Do you know that 80% of the diseases in our country are water bound?
Yes No Not aware
3.
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Q4.While buying any water purifier what comes to your mind first?
o Price o Health & Safety
o o
Both
Q6. Do you know that boiled water is not necessarily safe water?
o Yes o No
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Q7.Have you recently come across any kind of marketing activities for purifiers?
o Kiosk o Demonstration o Direct Marketing
Q8.Do you get any type of after sale services from the company ?
o Yes o No o Exceptional
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DATE SIGNATURE-
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BIBLIOGRAPHY
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