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MARKETING RESEARCH

CONSUMER PREFERNCES
AND
CONSUMTION HABITS
IN SOFT DRINKS INDUSTRY

Research Proposal :

Scope of introduction of a lemon-lime soft drink a local soft drink firm.


The product would to be positioned as a change of pace soft drink to be
consumed by all soft drink users, including heavy cola drinkers.

Objective definition:
The objectives of this research are:
We have to find out the perception and the expectations of the
existing consumers from the soft-drink industry.
To analyze whatever the factors that will affect the introduction of
this new soft drink in the market including the target audience ,
competitors etc.
To implement the research methodology and research design in order
to gather and understand the data received.

Research objective:
The objective of the research is to understand the concept of the
introducing the lemon-lime soft drink in the market by perceiving its idea
of methodology, sampling plan, time and cost.

Background of the soft drink industry:

The 50-bn-rupee soft drink industry is growing now at 6 to 7% annually.


In India, Coke and Pepsi have a combined market share of around 95%
directly or through franchisees. Campa Cola has a 1% share, and the rest is
divided among local players.
There are two distinct segments of the market, cola and non-cola drinks.
The cola segment claims a share of 62%, while the non-cola segment
includes soda, clear lime, cloudy lime and drinks with orange and mango
flavours.
Soft and aerated drinks were considered products for the middle class and
the affluent. That segregation is no more valid. Soft and aerated drinks are
consumed by all except those who cannot afford to buy any drink. An
NCAER study says that 91% soft drink sales are made to the lower, middle
and upper middle classes. The soft drink industry has been urging the
government to categorise aerated waters (soft drinks) equitably with other
consumer products of mass consumption and remove special excise duty.
The industry estimates that the beverage market should grow at twice the
rate of GDP growth. The Indian market should have, therefore, grown by
atleast 12%. However, it has been growing at a rate of about 6%. In
contrast, the Chinese market grew by 16% a year, while the Russian
market expanded at almost four times the rate of growth of the Indian
market.

Research design:
Exploratory Research -

Secondary data research


Descriptive research Structured questionnaire for quantitative analysis
Personal interviews

Sampling design :
Target population: people ranging between 16-40 years of age.
Sampling techniques : Quota sampling
Total sample size : 30

Data analysis :
Once the surveys are complete, data will be analysed using SPSS software.
Data will be analyzed for prospects, insights and will be presented.

Data collection :
A team of students will float the questionnaire in the form of a
Google Doc.
Data will also be collected by conducting personal interviews with in
the institute and of people in the near by area.
These students would undergo mock interviews.
30% of data will be back checked through calling the respondents.
100% scrutiny of the questionnaire.

Limitations of the study:


Mainly respondents, have high rate of refusal and persuasion has to
be done for filling up the questionnaire.

Time constraint
Careless responses by unwilling respondents.

Resources required :
Stationary expenses for printing of questionnaire, report and binding
of the report.
Transportation expenses for employees high and take in negative.

Timeline :

S.No.
1.

Submission

Date
12/01/2014

4.

Stage I : Names of your group members and onepage note on topic


Stage II : Complete Research Proposal
(Problem definition, sampling plan, methodology
etc.)
Stage III : Exploratory Research Findings &
Questionnaire Design
Stage IV: Data Collection and Analysis

5.

Stage V : Final Report

20/02/2014

6.

Stage VI: Report Presentation

23/02/201402/03/2014

2.
3.

Cost of the research :

21/01/2014
30/01/2014
16/02/2014

S.no .
1)
2)
3)
4)

Particulars
Photocopy
questionnaire
Manhour
travelling
Final report (hard
copy)
Misc.
Total

Samples (30)
30 x 60 paise

Amount
Rs 18

Rs 300

Rs 300

Rs 200

Rs 200

Rs 100

Rs 100
Rs - 618

Deliverables :
A power point report on the findings of the study.
Detailed project report with analysis and suggestions.