Research Methodology

Brand Awareness, Preference and Product

Usage Behavior of Hair Color Users for Garnier
Color Naturals

- By

Deepabali Dutta
32/34

1
 Certificate

This is to certify that the TAPMI - BrandScan Market Research Project titled Brand Awareness,
Preference and Product Usage Behaviour of Hair Color Users for Garnier Color Naturals, given
by the company The LOral Group, was carried out by Deepabali Dutta and her team, under
my guidance.

I am satisfied with the study and the findings and wish the team all the very best. I believe the
findings and the recommendations made will be of use to the organization which has given the
project.

Signature:

Dr. Rita Basu

Faculty

Date:

Acknowledgement

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I wish to express our deepest gratitude to IBM, Jadavpur University for placing their immense
trust in us and giving us a chance to delve into the exciting world of market research.

I thank our client, the LOral Group for giving me the opportunity to work for a reputed
organization. It has been an enriching experience, both as a manager and a student of market
research. The lessons I take away from this experience will last a lifetime.

I sincerely thank my project mentor. His approach to the project was refreshing; his detail
oriented and reflective approach helped me structure my thoughts and centre my imbalances. I
am truly grateful for his guidance, appreciation and genuine interest in our success.

I am grateful to him for being a pillar of support to us whenever we hit a roadblock. My sessions
with him were always eye-opening. I truly appreciate his openness, encouragement, support
and feedback.

I thank Valuvox, our data analytics partners and Nielsen, our Market Research Advisor for their
patience, time and guidance throughout the length of this project.

I extend my thanks to the entire team of 2016-17 for creating a strong architecture for us to work
in, and building a conducive and supportive environment for us to flourish in.

I thank my project spoc for truly being the best project spoc; her enthusiasm, support and
winning attitude made the long and arduous journey of sourcing projects seem achievable. I am
grateful to the Research Support Group for providing us with the necessary resources, being
available for us at all times and edging us on when we really needed the momentum.

I am grateful to my peers. Special thanks to Mr. Debankur Chatterjee, Mr. Soumik Das and Ms.
Diti Das who have proved to be unexpected saviors during this project. This project would have
been impossible without the input of all the participants in our interviews, focus group
discussions and disguised games.

I am profoundly grateful to my team for being the most supportive, appreciative, understanding,
driven and dedicated group of colleagues in this project. Their brilliance, hard work, and rapport
with each other have made long nights and unending days a truly memorable experience. Our
success has been steadily built from every single members commitment and effort.

I hope this project benefits all the stakeholders involved directly or indirectly.

Deepabali Dutta

Team LOral
Executive Summary

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 BRAND AWARENESS, PREFERENCE AND PRODUCT USAGE BEHAVIOUR OF HAIR
COLOR USERS FOR GARNIER COLOR NATURALS

LOral is the worlds number one cosmetics group with presence in 130 countries, 28
international brands and 624 patents registered in 2014. One of LOrals most prominent and
successful sub-brands is the Garnier franchise. Garnier is the second largest sub-brand of the
LOral Group worldwide. Sold in 64 countries, Garnier falls under the mass market commercial
products division. In India, Garnier operates in the face care, hair care, men, hair color,
seasonal care and styling categories. It has two sub-brands under the hair color category
Garnier Black Naturals and Garnier Color Naturals.

Garnier Color Naturals is the older of the two sub-brands of hair color for Garnier in India. It was
launched in 2002 as a crme based colorant specifically designed for the Indian customer: an
affordable formula that could be spread uniformly and calibrated for touch-up doses, ideal for
the Indian woman with long and parted hair.

This study focuses on the consumer behaviour of the hair color category and specifically the
usage of Garnier Color Naturals. The objective of the project is to study the awareness,
preference (brand, shade and pack size) and product usage behaviour of hair color. The target
audience was hair color users above the age of 25 years in an urban location (Bangalore).

The following were the important findings from the study:

Brand Awareness
Garnier Color Naturals has high overall awareness but lacks in Top of Mind Recall to
LOral by 44%.
Brand Preference
The most commonly used hair color brands are LOral (42.7%) and Garnier Color
Naturals (32.2%).

The factors that influence a consumers choice of hair color brand are Brand Name, Shades
Available, Pack Sizes Available and Promotional Offers.

The rate of attrition of Garnier Color Naturals consumers is three times as high as the rate of
addition. 36.7% of consumers are moving to a higher price band of products, indicating
aspirational appeal of premium hair color products.

Shade Preference
The most commonly used shade of hair color is Black, followed by Dark Brown and then
Burgundy. Willingness to try a new shade is higher for women, with light brown being the
most popular future choice of color. The factors that influence a consumers choice of
shade are Self Concept, Fashion Consciousness and Natural Tone of Skin and Hair.

The factors that influence a consumers choice of pack size are Economy, Shade Test, Ease of
Use and Multiple Users in a Household. However, pack size preference is not a complex
decision; it is largely determined by price and easy availability.

Application and Usage Behaviour

28% of Garnier Color Naturals users prefer salon application of the product to self-
application.

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 Trial Behaviour
More than half the consumers (primarily women) have stopped using hair color for health
reasons, the main reason being the belief that the usage of hair color during pregnancy
and lactation may be harmful.

The following were the recommendations based on the findings of the study:
Brand Awareness
If Garnier Color Naturals wishes to improve its Top of Mind Recall, it is recommended
that Garnier Color Naturals strengthen its branding through the use of a more valuable
and market relevant celebrity endorser. Increased frequency of exposure to this
strengthened branding will aid Top of Mind Recall.

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 Introduction

Industry
The hair care market is a key constituent of the Indian personal care sector and is witnessing
steady growth owing to increased product penetration as well as expanding product portfolios.
India is traditionally known for extensive use of hair oil as conditioners and this product segment
still holds a leading share of the hair care market. Apart from hair oil, shampoo, and hair color,
recent additions such as hair styling products comprising hair conditioners, gels, serums, perms
and relaxers are well received, especially among the youth population in urban areas. Hair care
products with natural ingredients are gaining market share especially in the shampoo and hair
color/dye categories and are largely positioned as premium products. The hair color segment
accounts for around 15% of the total hair care market. Penetration level of hair color is
estimated at over 35% in India; crme, powder, liquid and henna are the main segments.
Marico, Dabur, Bajaj, Emami, Hindustan Unilever Limited (HUL), Procter & Gamble (P&G),
Godrej Consumer Products Limited, CavinKare and Hygienic Research Institute Private Limited
are some of the well-entrenched players in the Indian hair care market. Several other
multinational players such as LOral, Schwarzkopf and Wella have captured sizeable shares in
niche hair care product markets.

Company
The L'Oral Group is a French cosmetics and beauty company. It has developed products in the
field of cosmetics, concentrating on hair care, coloring, skin care, make-up and perfume. The
LOral Group is the number one cosmetic group worldwide with presence in 130 countries. It
has 28 international brands with 624 patents registered as of 2014.

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Brand Under Study
Garnier Color Naturals is one of the two sub-brands of hair color for Garnier in India (Garnier
falls under the Consumer Products Division in LOral). Garnier Color Naturals was launched in
2002 as a crme based colorant specifically designed for the Indian customer: an affordable
formula that could be spread uniformly and calibrated for touch-up doses, ideal for the Indian
woman with long and parted hair. Garnier Color Naturals is available in 2 sizes: Regular and
Mini and offers 7 shades: Darkest Brown, Brown, Burgundy, Natural Black, Intense Reds, Light
Brown, Copper Reds.

Research Design

Research Objectives
Research Objective

To study the brand awareness, preference and product usage behaviour of hair color users.

Research Sub-Objectives

To study the awareness of hair color brands

To understand the factors influencing brand preference
To understand the factors influencing shade preference

Constructs of the Study

The constructs considered for this study were as follows:

1. Awareness of Hair Color Brands This construct involved studying the ability of a buyer to
recognize or recall that a brand is a member of the hair color product category.
2. Preference This construct gives insight into the greater liking or inclination for one
alternative over another or others for:
a. Brands of hair color
b. Shades of hair color
c. Pack sizes of Garnier Color Naturals
3. Loyalty - This explains the factors that affect the customers decision in choosing a particular
size of Garnier Color Naturals. It also includes the tendency of the customer to buy the same
pack size repetitively, as well as the effort taken, time taken and price the customer is willing to
pay for the chosen pack size.

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 Methodology

Population
The target group for the study was hair color users (male and female) above the age of 25 years
in an urban location (Bangalore). For Sub- Objectives 4 and 5, the target group was Garnier
Color Naturals users above the age of 25 years who apply the product themselves and not in a
salon/parlor.
The target group included both genders as hair color usage is prevalent amongst both. The age
limit of 25 years and above was imposed as per client requirements. Garnier Color Naturals
users who applied the product in the salon were not considered as they do not have direct
interaction with the product and will not be able to provide information about the application and
usage process of hair color.

Sample Size
336 responses were collected from hair color users in the target segment, including 110 Garnier
Color Naturals users. A total of 239 hair color users and 82 Garnier Color Naturals users were
considered after data cleansing for data analysis.

Analytical Tools Used

The following research tools were used in the project:
1. IBM SPSS 20.0
2. Microsoft Excel
SPSS 20.0 was used for Hypothesis Testing for Statistical Significance, Chi-Square Test and
Factor Analysis.

Analytical Techniques Used

Factor Analysis

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OBJECTIVE 1: TO FIND THE FACTORS THOSE ARE
CONSIDERED IMPORTANT IN THE CHOICE OF A BRAND OF
HAIR COLOR.

Variables Considered:
Brand name
Availability of brand
Shades available
Pack sizes available
Price
Offers

OBJECTIVE 2: TO FIND THE FACTORS THOSE ARE CONSIDERED

IMPORTANT IN THE CHOICE OF A SHADE OF HAIR COLOR.

Variables Considered:
Recommendations from influencers
Fashion trends
Suitability with skin tone
Suitability with hair tone
Occupation
Experimentation
Impression management
Social events
Availability of shade

OBJECTIVE 3: TO FIND THE FACTORS THAT ARE CONSIDERED IMPORTANT IN THE CHOICE OF A PACK
SIZE OF GARNIER COLOR NATURALS.

Variables Considered:
Ease of usage
Travel purposes
Availability
Cost and quantity comparison
Price
Shopping frequency
Usage amount and frequency
Multiple users in a household
Test for shade
Special offers
Problems with storage and reuse

Population Description

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 Chi-
Square
Test
OBJECTIVE 1: TO VERIFY THE ASSOCIATION
BETWEEN THE DEMOGRAPHIC VARIABLES AND THE
PREFERENCE OF THE RESPONDENT IN CHOOSING A BRAND
OF HAIR COLOR (GARNIER COLOR NATURALS, LORAL,
GODREJ)

NULL HYPOTHESIS: There is no significant association

between the demographic variables and the preference
of the respondent in choosing a brand of hair color
(Garnier Color Naturals, LOral, Godrej).

ALTERNATE HYPOTHESIS: There is a significant association between the

demographic variables and the preference of the respondent in choosing a brand of hair color
(Garnier Color Naturals, LOral, Godrej).

OBJECTIVE 2: TO VERIFY THE ASSOCIATION BETWEEN THE DEMOGRAPHIC VARIABLES AND THE
PREFERENCE OF THE RESPONDENT IN CHOOSING A SHADE OF HAIR COLOR (BLACK, BROWN AND
BURGUNDY).

NULL HYPOTHESIS: There is no significant association between the demographic variables

and the preference of the respondent in choosing a shade of hair color (Black, Brown and
Burgundy).

ALTERNATE HYPOTHESIS: There is a significant association between the demographic

variables and the preference of the respondent while choosing a particular shade (Black, Brown
and Burgundy).

OBJECTIVE 3: TO VERIFY THE ASSOCIATION BETWEEN THE DEMOGRAPHIC VARIABLES AND THE
PREFERENCE OF THE RESPONDENT IN CHOOSING A PACK SIZE OF GARNIER COLOR NATURALS
(REGULAR AND MINI).

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NULL HYPOTHESIS: There is no significant association between the demographic variables
and the preference of the respondent in choosing a pack size of Garnier Color Naturals
(Regular and Mini).

ALTERNATE HYPOTHESIS: There is a significant association between the demographic

variables and the preference of the respondent in choosing a pack size of Garnier Color
Naturals (Regular and Mini).

Findings
Sub-Objective 1: Brand Awareness
This project studied brand awareness as the ability of a buyer to recognise or recall that a brand
is a member of the hair color product category. Three levels of awareness were tested:

a. Top of Mind Recall

b. Unaided Recall
c. Aided Recall

Top of Mind Recall showed LOral as the highest ranked brand with a margin of 44% to the
second highest brand Garnier Color Naturals; Godrej ranked third

Unaided Recall showed Garnier Color Naturals as the highest (although with a smaller
margin of 4%), LOral second highest and Godrej third highest
Aided Recall was nearly equal for all three places, with Garnier Color Naturals ranking
highest, followed closely by LOral and finally Godrej The summation of scores revealed a
Total Awareness Score LOral ranks highest, followed by Garnier Color Naturals and
Godrej respectively.

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 5% of all respondents were unaware of the brand Garnier Color Naturals They failed to
recall or recognize Garnier Color Naturals as a hair color brand in every level of
awareness.

Interpretation
Garnier Color Naturals is the clear winner in Aided and Unaided Recall, although it lacks by 44%
in Top of Mind Recall. This discrepancy may be explained by the qualitative input received in
Focus Group Discussions and interaction with the respondents during data collection Most
consumers think of Garnier Color Naturals as a personal care brand because of its diversified
portfolio of products; the strength of Garniers branding in this regard is high but the strength of
Garnier Color Naturals branding as a hair color brand specifically seems to be lower.

It may also be that LOrals Top of Mind Recall is higher due to the presence of the LOral
salon chain. The image of LOral as a hair color brand is consistently reinforced by the broad
visibility of this chain.

Another reason that Garnier Color Naturals loses out in Top of Mind Recall could be the lack of
a strong celebrity endorsement. While LOral has consistently had an impactful Bollywood star
as its celebrity ambassador (Aishwarya Rai, Katrina Kaif and Sonam Kapoor), Garnier Color
Naturals did not have a Bollywood A-lister for a long time and only hired Karishma Kapoor
recently whose brand value is significantly lower than her parent brands competitor
ambassadors.

Hypothesis Testing
There is no difference in awareness of the brand Garnier Color Naturals between men and
women (at 95% significance). There is no difference in awareness of the brand Garnier Color
Naturals between age brackets (at 95% significance).

Interpretation
The hypotheses proved indicate that Garnier Color Naturals advertising has been equally
effective across both genders and across the target age brackets. It can also be inferred that the
word of mouth feedback has been equally strong across both genders and across target age
brackets as this is the other primary source of brand awareness. Garnier Color Naturals
promotional success is further cemented by the finding that 95% of the respondents were able
to identify Garnier Color Naturals in one or more levels of awareness.

Sub-Objective 2: Brand Preference

Brand preference was studied as the greater liking or inclination for one brand over other
brands. Usage patterns of the consumer were tested in terms of:

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 Current brand
Previously used brands
Most frequently used brands

Current usage revealed that the top two brands were LOral (44.9% usage) and Garnier Color
Naturals (32.2%); LOral led by a margin of 28.3% over Garnier Color Naturals. 8.3% of users
reported using an amalgamation of other lesser-known brands.

Findings
11.29% of Garnier Color Naturals users have started using Garnier Color Naturals in
the last 3 months, while 44.3% of Garnier Color Naturals users have switched to another
brand in the same period
The movement of Garnier Color Naturals users to higher price bands in the last 3
months is in line with the behaviour of the category as a whole 36.7% of users have
switched to higher priced brands in the last 3 months, indicating that there is an
aspirational appeal for users to move to the premium segment
There is a strong association between LOral users and the female gender, high
income bracket (>10 lakhs per annum) and marital status

Interpretation
The difference in the rate of addition of customers (11.29%) and the rate of attrition of Garnier
Color Naturals customers (44.3%) is alarming as it means that Garnier Color Naturals has lost
33.01% of its customer base in the last 3 months. Perhaps the aspirational movement identified
is one reason for this high rate of attrition. The strong association between the high income
bracket (>10 lakhs per annum) and usage of the brand LOral explains why LOral is the most
preferred brand in spite of the price premium it commands. This inference is further supported
by the finding that only 17.3% of the low income bracket (<4 lakhs per annum) have ever used
LOral. Given that high income users prefer salon application to home application of hair color,
the finding that LOral is the most preferred brand and is mostly used by the high income
bracket could also be explained by the wide prevalence of the LOral salon chain and the
existence of LOrals professional hair color line.

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Factor Analysis
Factor Analysis revealed that choice of brand was driven by the following factors:
1. Offers The different promotional offers provided to entice the consumer
2. Brand Name The brand value and equity of the name
3. Shade The different shades offered by a brand
4. Pack Size The different pack sizes offered by a brand

Sub-Objective 3: Shade Preference

Shade preference was studied as the greater liking or inclination for one shade over other
shades. Based on a given list of popular hair color shades, current usage of various shades
was found to be:

The top 3 colors emerged as:

Black
Dark Brown
Burgundy

Based on these 3 colors, a Chi-Square Test of Association between the shade preference and
demographic details of the respondents was performed. Out of the 3 colors, strong associations
were found only for the color, Black. Age, Gender and Marital Status were among the
demographic variables that influenced the choice of the shade Black. The prevalent
characteristics were as follows:

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While there were no associations for Burgundy and Dark Brown (the other two most preferred
shades), a trend observed among the burgundy color users was that respondents from the low
income group (mostly 1- 4 lakhs per annum) preferred to purchase burgundy hair color.

Factor Analysis
A factor analysis on the factors pertinent to the choice of a particular shade showed 3 dominant
factors:
Self-Concept
o Impression Management Consumers are conscious of what their peers think
of their hair color
o Events Consumers are likely to choose a shade based on specific social and
professional events
Natural Tone
o Skin tone Consumers choose a shade that matches their natural skin tone
o Hair tone Consumers choose a shade that matches their natural hair tone
Fashion Consciousness
o Trends Consumers factor fashion trends into their decision of shade
o Experimentation Consumers extend their habit of experimentation with
fashion into their shade decision as well

For those respondents who were willing to try a new shade, the most popular shades emerged
as follows:

It was seen that light brown is the color preferred by most consumers as their next to-be shade.
The Chi-Square Test of Association between each of the demographic features and the

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willingness to try a new shade showed that gender played a major role in the same, with women
preferring to try new shades more.

Conclusion

Brand Awareness
1. Men and women are equally aware of Garnier Color Naturals.
2. All age brackets are equally aware of Garnier Color Naturals.
3. 95% of all respondents are aware of Garnier Color Naturals in at least one level of
awareness.
4. Garnier Color Naturals has the highest Unaided and Aided Recall but lacks in Top of Mind
Recall by 44% to LOral.

Brand Preference
1. Garnier Color Naturals is the second most preferred brand.
2. The rate of attrition of Garnier Color Naturals consumers is three times as high as the rate of
addition; this is a cause for concern for Garnier Color Naturals.
3. 36.7% of consumers are moving to a higher price band of products, indicating aspirational
appeal of premium hair color products.
4. Consumers consider brand name, offers, shades available and pack sizes available in
choosing a hair color brand.

Shade Preference
1. Black is the most popular shade.
2. Black is strongly associated with the age group 25-40 years, the female gender (56.48%) and
marital status (72.5%).
3. Willingness to try is higher for women, with light brown being the most popular future choice
of color.

Recommendations
Based on the above findings and its interpretation, this study recommends the following:

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Brand Awareness
If Garnier Color Naturals wishes to improve its Top of Mind Recall (lacks by 44% in Top of Mind
Recall to LOral), it is recommended that Garnier Color Naturals strengthens its branding
through the use of a more valuable and market relevant celebrity endorser. Increased frequency
of exposure to this strengthened branding will aid Top of Mind Recall.

Application and Usage Behaviour

It is seen that 28% of Garnier Color Naturals users prefer salon application of hair color over
self-application and that Garnier Color Naturals is the most popular affordable brand. If this
trend of salon application continues within this price conscious segment (largest segment), it is
recommended that Garnier Color Naturals capitalizes on this changing consumer behaviour
(from a do-it-yourself product to a salon product) and formally tie up with local unbranded salons
as the number one choice of brand for hair color.

Trial Behaviour
It is seen that the large majority of women stop using hair color when they get pregnant and
there is no mention of any pregnancy related concerns in the current instruction leaflet. Keeping
this in mind, it is recommended that:
a. If the use of hair color during pregnancy is harmful, a warning be introduced into the
instruction leaflet.
b. If the use of hair color during pregnancy is not harmful, Garnier Color Naturals advertise this
finding and banish the myth that most Indian women believe in as they are currently losing a
substantial customer base in pregnant and lactating women.

Scope for Further Studies

To understand the factors influencing pack size preference and loyalty to a particular
size for Garnier Color Naturals
To study the behaviour of Garnier Color Naturals users in the application and usage of
hair color
To understand the factors influencing stoppage of hair color use

Bibliography

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13
 Appendix
SPSS Outputs
The cut off point for Factor Analysis is 0.65.

Brand Awareness
Proportion Testing

Null Hypothesis 1: There is no difference in awareness of the brand Garnier Color Naturals
between men and women (At 95% significance).

Alternate Hypothesis 1: There is a difference in awareness of the brand Garnier Color

Naturals between men and women (At 95% significance).

Zcalculated value = 0.38

Ztest = 1.96

Conclusion: There is not enough evidence to reject the null hypothesis.

Null Hypothesis 2: There is no difference in awareness of the brand Garnier Color Naturals
across age brackets.

Alternate Hypothesis 2: There is a difference in awareness of the brand Garnier Color

Naturals across age brackets.

Number of respondents above the age of 40 years = 35

Number of respondents below the age of 40 years = 204
Number of respondents above the age of 40 years who are aware of Garnier Color Naturals =
32
Number of respondents below the age of 40 years who are aware of Garnier Color Naturals
= 192

Zcalculated value = -0.606

Ztest = 1.96

Conclusion: There is not enough evidence to reject the null hypothesis.

BrandScan 2015 Report

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Brand Preference

Factor Analysis

Chi-Square Test
Association of LOral with high income groups: (>10 Lakhs)

2
Shade Preference

Factor Analysis

Chi-Square Tests

Black versus Age

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4