SUMMER TRAINING REPORT

LOVELY PROFESSIONAL UNIVERSITY

DEPARTMENT OF MANAGEMENT

Report on Summer Training

MARKET POTENTIAL OF BINGO

A PRODUCT OF ITC LTD.

Submitted to Lovely Professional University

In partial fulfillment of the

Requirements for the award of Degree of
Master of Business Administration

Submitted by:
PRASHANT TYAGI
10903570

DEPARTMENT OF MANAGEMENT
LOVELY PROFESSIONAL UNIVERSITY
PHAGWARA

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2
 PREFACE

The purpose of industrial training is to acclimatize the students with the

organization & the industry in which this organization exists. Summer training
is a part of management study & is very important for each & every student.
Management trainees are trained in such a way that after they come out,
they can manage the matters of organization in a planned and systematic
manner. My project is aimed at understanding the marketing as well as selling
concepts of new product launce. The ITC is well known in FMCG product
categories and the new launch of Bingo product considered all the marketing
parameter in mind at the time of launch.
This training was a valuable experience in terms of understanding &
learning & I believe that in future I will get fruitful results.

PRASHANT TYAGI
MBA

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 ACKNOWLEDGEMENT
A project report seems to be an individual effort is in fact teamwork.
Summer training at ITC Ltd., Saharanpur was just like an opportunity to shake
hand with the practical world of business.
I am indebted to all those individuals who helped me in gaining
knowledge & insight into various aspects of organization. The source of
learning have been one too many & a complete list of individual references
would become encyclopedic.
I want to express my deepest gratitude to all marketing team in ITC Ltd.,
Saharanpur, without their help this summer internship in ITC would not be
possible.
My deepest appreciation also extends to Mr. SONU DUA Project
guide, Faculty LSM, who critically reviewed my project report & provided
suggestions. .
Finally, I would express my gratitude towards my classmates and my
family members those always ready to help me out from any problem
throughout my summer internship.
PRASHANT TYAGI
MBA

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 TABLE OF CONTENTS

1. Executive Summary
2. Literature Review
3. Introduction
4. Project Objectives
5. Introduction of the company
6. Product Profile
7. Research Methodology
8. Analysis and Findings
9. Statistical tools
10.Major findings
11.Suggestions
12.Conclusion
13.Limitations of the study
14.Bibliography
15.Annexure
16.Questionnaire

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1.EXECUTIVE SUMMARY
The objective of the project is to know the consumers preferences for CHIPS, to

study the Market Potential of bingo and The report contains a brief introduction of

bingo.. The company ITC has interests in various sectors and they provide

consistent quality products to meet our customer’s requirement worldwide.

This report clearly mentions objective of the study and the research

methodology utilized. Research design used in this project is exploratory and

the sources of information is both primary data and secondary data. The data

collection method used is structured non disguised questionnaire in which

the types of questions used are open ended, multiple choice and close ended.

The report contains a detailed view of the tasks, which have been undertaken to analyze the

market of BINGO. Various sets of questionnaire have been prepared to know the

PREFERENCES of consumers about the BINGO. some of the research areas are

saharanpur,dehradun. This project reveals one of the important findings like more and more

displays of the window hiring and can be given to the retail outlets as it has been said that

“JItna Dikhega Utna Bikega”. To increase its consumption, More schemes like ‘ Seasonal

Schemes’ and other schemes can be given to the consumers .

A detailed survey of the consumers was carried to find out their preferences for BINGO. The

details of the methodology are stated below.

Areas are saharanpur,dehradun and Rookee research design: Exploratory and descriptive.

Sources of information are primary and secondary data. Data collection method structured

non designed questionnaire.

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Types of questions used open ended, multiple choice and close ended. Sampling method is

random sampling.

In this study I found that most of the consumers prefer LAYS as their 1 st preference and then

BINGO..the consumers prefer CHIPS because of its TASTE,INNOVATIVENESS and

BRANDNAME .

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LITERATURE REVIEW :

ABSTRACT: The purpose of this paper is the study of factors responsible for brand

preference in fmcg products from various study some factors are highlighted for

preferring a brand like brand persona ,brand constancy, brand loftiness, brand

value. The intensity of colour and the flavour are the key drivers behind consumer

acceptance of beverages.

This study also reveals that there is low degree of brand awareness in rural areas,

whereas there is a moderate degree of brand awareness in urban India. The highly

educated rural and urban respondents have high degree of brand awareness for

many food products, and the less educated rural and urban respondents have low

degree of brand awareness for many food products.

1-A study of factors responsible for brand preference in fmcg

sector”
The purpose of this paper is the study of factors responsible for brand preference

in fmcg products, increasing competition, more due to globalization ,is motivating

many companies to base their strategies almost entirely on building brands. Brand

preference means to compare the different brands and opt for the most preferred

brand.This brand preference is influenced by various factors.

According to this study many factors were find out for preferring a brand like

brand persona

brand constancy

brand loftiness

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brand value.

In the identification of factors affecting the brand preference,it was concluded that

brand persona is the most effective factor that affects the brand preference.this

brand persona deals with the personality aspects or the external attributes of

brand ,thus it can be said that consumer prefer any brand by looking at the external

attributes of a brand.

2-Colour and flavour rule consumer preferences: Study

A study done by DANONE it was found that The intensity of colour and the

flavour are the key drivers behind consumer acceptance of beverages,

says a new study involving Danone. But packaging and labelling are

not as important for winning over consumers, according to findings

published in the journal Food Quality and Preference, The study

involved consumers at different stages of development and highlights

the importance of adopting a “sensory marketing approach,” said the

researchers from French research organisation Adriant, the University

of Rennes 1, Danone R&D, and Institut Paul Bocuse.

“Companies need to continuously innovate to maintain market leadership,”

wrote the researchers. “When the market is overloaded the challenge consists

in creating innovative products able to attract and satisfy consumers.” “This

experiment showed the feasibility of the proposed multi-sensory design method

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based on mixed qualitative and quantitative approaches.” The study also

demonstrates the importance of flavour and colour selection for new products.

The global flavours market was been valued at some US$18bn in 2006 (Business

Insights). Meanwhile, the value of the international colourings market was estimated

at around $1.15bn in 2007 (€731m), up 2.5 per cent from $1.07bn (680m) in 2004,

according to Leatherhead Food International (LFI). Natural colours now make up 31

per cent of the colourings market, compared with 40 per cent for synthetics,

according to LFI.

Bombarding the senses

By choosing to formulate a new beverage, the researchers noted that the new

product would need to be differentiated by improving the sensory characteristics.

Four factors were identified for the formulation:(four colour intensities), three

flavourings, two label types (soft versus hard), and two pack sizes (standard versus

oversize). By using both quantitative (hedonic testing) and qualitative (focus groups)

approaches, the researchers found that “the main factors which drive consumer

preference for this concept are colour intensity and flavouring”. Indeed, colour

intensity accounted for 43 per cent and flavour 32 per cent of the consumers’ overall

liking. “Pack size and label type are taken into account by the consumer to a lesser

extend,” they added. “This methodology of a qualitative screening associated to a

conjoint analysis on relevant sensory attributes has shown good performances to fit

consumers’ expectation: it has now to be reproduced, as every brand, concept and

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product is a unique combination designed for a specific consumer group,”

concluded the researchers

3- Taste or health: A study on consumer acceptance of corn chips

This study examined the relative contributions of taste and health considerations on

consumer liking and purchase intent of corn chips. Eight types of commercial corn

chips were evaluated by 305 adult consumers who also completed a brief

questionnaire on food habits. Data were analysed using factor analysis. Results

revealed that purchase intent of corn chips was strongly related to degree of liking

and to several key sensory attributes including saltiness, corn flavor and

greasiness. These variables emerged as the first factor in the analysis, suggesting

that consumers perceive these characteristics as being most important in their

choice of corn chips. Factor 2 described a health dimension and was related to

respondents' attitudes toward fat in the diet. Factor 3 comprised two remaining

sensory attributes (color and crunchiness), which apparently were of minor

importance to the respondents. These data suggest that in spite of current concern

about reducing dietary fat, health remains secondary to taste in the selection of corn

chips for consumers in this population.

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 4- PAIRED PREFERENCE TESTS USING PLACEBO PAIRS AND DIFFERENT
RESPONSE OPTIONS FOR CHIPS, ORANGE JUICES AND COOKIES

Preference tests were performed for varieties of potato chips, orange juices and

chocolate chip cookies using three response protocols: the traditional paired

preference test with the "no preference" option, a 9-point hedonic scale and a 6-

point hybrid hedonic/purchase intent scale. The different stimuli to be assessed

were presented in pairs, but putatively identical stimuli were also presented as a

"placebo" pair. Performance on the placebo pair with identical stimuli provided a

measure of the hidden demand characteristics of the test protocol. The presentation

of the different pairs provided a measure of preference accompanied by such

hidden demand effects. Comparison between the two allowed a better measure of

preference per se. The order of presentation of the identical and different pairs did

show occasional slight evidence of contrast effects. For the placebo "identical"

pairs, a majority of consumers reported false preferences. Liking questions with the

hedonic and hybrid scales elicited fewer false preferences than preference

questions with the paired preference protocol. Yet, the effects tended to be slight.

The 6-point hedonic/purchase intent scale exhibited the fewest false preferences in

the placebo condition, and this was because of its fewer categories rather than any

cognitive strategy change elicited by its different labels.

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5-“consumer awareness and consumption pattern of food
products”
This paper aims to investigate the degree of brand awareness of various food

products in relation to background and education of the household, the consumption

pattern of various food products consumed by respondents in the light of their

areas, income levels and education. A sample of 200 respondents comprising 100

form rural area and 100 from urban area were taken. Data are analysed with the

help of mean. SD, co –efficient of variance, t-test and f-test.

The findings of this study reveals that there is low degree of brand awareness in

rural areas ,whereas there is a moderate degree of brand awareness in urban

India.the highly educated rural and urban respondents have high degree of brand

awareness for many food products, and the less educated rural and urban

respondents have low degree of brand awareness for many food products.

6- Snacks and Namkeen - Comprehencsive Study

Indian snack food industry comprises of many Indian as well as MNCs. The Indian

snack market reached a value of $307.7 million in 2001. The Indian snacks food

market is of the order of 400,000 tones. This wide range of products are categorized

under Potato / Banana Chips, Namkeens & Fun-Foods. The organized market for

chips is estimated to be 6500 tons valued at Rs.2 bn. The market for branded chips

has been growing at a fast pace of around 20-25 % annually.

Since the majority of MNC's entered their venture in Ready-To-Eat Snacks &

Namkeens. The project was conducted to study the overall industry for Ready-To-

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Eat Snacks & Namkeens. The research was conducted to study the actual buying

behavior of the consumers and their preference for such a category of food.

Research methodology being exploratory research Questionnaire method to

interview consumers as well as retailers was adopted. Retailers were surveyed to

know the actual market behavior, whereas the consumers were surveyed to know

their preference and factors affecting their purchase. Secondary data on industry is

collected through Internet, magazines & by visiting the people in the industry.The

Research was a good experience & the final conclusion is that the consumers

generally associate Ready-To-Eat Snacks & Namkeens with Time Pass. Majority of

them prefers wafers to be their first choice with Fraiams being the second

preference. Namkeens on other hand are usually preferred as hunger quencher and

are eaten whenever the consumers are hungry.Ready-To-Eat Snacks & Namkeens

are generally considered as take away food and hence the consumers generally

buy 1-2 packs and does not store them. Through the research it was concluded that

the consumers want even POPCORN to be included in this category which is also

an opportunity for the manufacturers to launch a new product and extend their

product width. Overall the industry is grooming and has vast opportunity to be

cashed for the manufacturers.

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3.INTRODUCTION
OF
THE STUDY

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3.1 OBJECTIVE OF THE STUDY

• To study the consumers preferences for BINGO.

• To know the percentage of males and females that are aware about bingo

• To know which brand’s advertisement mostly people have seen .

• To know the reason to buy chips .

• To know why was the advertisement being noticed by the consumer.

• To create a top of mind awareness about BINGO in Saharanpur,Dehradun

and Roorkee by providing the information to consumers.

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3.2 COMPANY PROFILE

ITC is one of the India's foremost private sector companies with a market capitalization of
nearly US $ 15 billion and a turnover of over US $ 4.75 billion. ITC has a diversified
presence in Cigarettes , Hotels , Paperboards & Specialty Papers , Packaging , Agri-
Business , Packaged Foods & Confectionery , Information Technology , Branded
Apparel , Greeting Cards , Safety Matches and other FMCG products .
Activities
FMCG: ITC is the market leader in cigarettes in India. With its wide range of invaluable
brands, it has a leadership position in every segment of the market. ITC made its entry into
the branded & packaged Foods business in August 2001 with the launch of the Kitchens of
India brand. A more broad-based entry has been made since June 2002 with brand launches
in the Confectionery, Staples and Snack Foods segments. ITC 's Lifestyle Retailing Business
Division has established a nationwide retailing presence through its Wills Lifestyle chain of
exclusive specialty stores. ITC is blending its core capabilities to market a growing range of
greeting, gifting & stationery consumer products. As part of ITC 's business strategy of
creating multiple drivers of growth in the FMCG sector , the Company has commenced
marketing safety matches and agarbattis (incense sticks) sourced from small-scale and
cottage units.
Hotels: ITC Welcome group brand has become synonymous with Indian hospitality. Today
amongst India's finest and fastest growing hotel chains, it consists of over 70 hotels across
different destinations in India. These include super deluxe and five star hotels, heritage
palaces, havelis and resorts and full service budget hotels.
Paperboards & Packaging: ITC is one of the world's most modern and contemporary
manufacturers of packaging and graphic series of boards. ITC 's Packaging & Printing
Business is the country's largest converter of paperboard into packaging.
Agri-Business: ITC 's International Business Division (IBD) is the country's second largest
exporter of agri-products. ITC pioneered the cultivation and development of Cigarette
Tobaccos in India .
Information Technology: ITC Infotech India Ltd., a global IT services company, has
established itself as a key player in the offshoring arena, growing at a cumulative annual
growth rate (CAGR) of around 85%.

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3.3 PRODUCT PROFILE
Bingo : A Challenger Brand
Brand : BingoCompany: ITC

Bingo is ITC's challenge to the monopoly of Frito Lays.In March ,ITC launched Bingo in the

highly fragmented Rs 4500-5000 crore ($1 Billion) snack food market.Indian snack food

market is dominated by unorganised sector. The organised snack foods market is only Rs

2000 crore and is dominated by the iconic Lays brand with over 77% market share. Having

tasted success in Biscuits, staples and Ready to eat market, Bingo will be another test for

ITC's marketing muscle. It fights in this segment with none other than Pepsi. Indian snack

food market is divided into : Traditional Snacks ( bhujiya, Chanachur etc) Western Snacks

and the newly created Finger snacks segments.

Bingo is entering both the potato and finger snacks market. According to the company press

release, Bingo comes in 16 flavors. Its potato snack has 4 innovative variants taking into

consideration the taste difference across Indian market.

The Finger snacks line has six variants.The TVC's are now on air and the company intends

to position this brand as a fun brand targeting at the youth. The brand tries to differentiate

from Lays by focusing on innovation (in flavors). Snack foods : because of the low financial

risk (low price) for the customer, new tastes will be a key in marketing success. Lays

succeeded by offering great quality, variety and brand to reach the leadership position.

Bingo it seems is following the leader.

The task is very tough for ITC to fight with Lays. The golden line is that the market is so

large that every player will have a space provided, the brand keeps the promise. The high

profile brand launch of Bingo will see the market expanding thus benefiting all the players .

ITC is aiming at a 360 degree brand building effort to boost the new launch. The brand takes

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the tagline : No Confusion Great Combination. The brand is promoted through a series of

funny ad which I feel is little too complicated. The ad tries to be funny but fails to make the

audience laugh. The poor execution can create problems for the brand.

ITC’S BINGO: SUCCESSFUL LAUNCH

Business Standard's Annual Brand Derby has picked Bingo as the most successful

launch of 2007. Vodafone was a close second to Bingo for its highly effective simple

message: Hutch is now Vodafone. Ten months after it entered the category with its

wafer snack brand, Bingo, ITC's foray into the Rs 1,800-crore branded snack

market has fetched the company a 16 per cent market share across the country

(Source: AC Nielsen). What made the brand tick let's

take a look

Research: After making the decision to launch Bingo it started by sending a

cross-functional team of eight individuals were sent across the country to research

the snacking habits of the Indian consumer. After travelling to 14 cities and speaking

to more than 1,000 people, the team came back with an insight that Indian

consumers are looking for novelty and excitement in existing snacks.

Taste: For the recipes, the company went to the chefs in its hotels. The chefs

came back with 16 flavours with twists like bindaas masti chat, chatkila nimbu achar

and tandoori paneer tikka-flavoured potato chips, chilli and tomato-flavoured mad

angles — inspired by khakras — and other snacks.

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Targeting:

The Company decided that youngsters in the age group of 16-30 are the most

experimental and hence they would be the primary target audience.

Marketing & Advertising:

Bingo touched a chord with consumers through humour and irreverent advertising.

On television, the company booked 10 to 15 spots per channel per day on youth

channels such as MTV and Star World, mass Hindi channels like Zee and Star TV,

and news channels. It also had around 20 spots on a variety of radio channels and

advertised in most leading national dailies. In the top-30 cities, over 1,000 outdoor

hoardings advertised the product. It also created a website www.bingeonbingo.com

with offers, online games, downloads and even mobile games. According to industry

estimates, ITC spent close to Rs 100 crore

on marketing.

Distribution:

The Company distributed more than 4 lakh large racks, to display the brand at all

points of sale. The racks created so much impact that even competitors like market

leader Frito-Lay's introduced its own version of wafer racks. This incredible

leveraging of distribution system is credited by many as major cause of Bingo's

success. Now due to this lays started doing re-branding exercise and introduced

has introduced Lay's Chaat street, India's Mint Mischief and Wafer Style. Lays has

relaunched itself in the health platform. Lays has launched the concept of Snack

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Smart which talks about a healthy snack. Now Lays is with 40% less saturated fat.

That means same taste and more healthy..

The latest launch is in line with the announcement made by Pepsico's Global Chief

Ms Indra Nooyi that the Company is moving towards a healthy platform. This

initiative is intended to silence the critics that Potato Wafers are junk food.

Together with the relaunch, Lays has introduced new flavors : Lay's Chaat Street,

Mint Mischief and Wafer Style. The new variant which are Indian flavors is a result

of the tough competition from Bingo. Its interesting to note that Bingo has forced

Lays to relearn its own lessons. Lays had captured the Indian consumer's mind

through Indianisation but later somewhere the brand lost its focus. The latest health

positioning is definitely going to give Lays some additional leverage in the market.

But Bingo is not sleeping either, if you have noticed the pack of Bingo ,

it says " Baked , Not Fried " to remind the consumer that no oil is used. The

"Healthy " competition has started.... FritoLay India leads the market with a share of

45 per cent. Haldiram's and ITC have a market share of 27 and 16 per cent,

respectively.

The health positioning is something that maybe Lays is counting on, but that does

not mean that Bingo cannot survive with its existing strategy of being a "Rich"

snack.The technology of efficient & less fat production of potato has now been

acquired by ITC as well.The superior Online advertising and huge market recall

Bingo has got needs to now filtered into fewer brands, as the there are currently too

many for the consumers to handle.

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'BINGO' SET TO TICKLE INDIAN SNACKING PALATE & CATER TO
THE FAST GROWING SNACKING HABITS

ITC Limited - Foods Division announced the launch of its new snacks brand Bingo,

which marks the company's foray into the fast growing branded snacks segment.

The launch of Bingo represents ITC Foods' fifth major line of foods business after

the highly successful Staples, Biscuits, Ready-to-Eat and Confectionery businesses.

Bingo is strategically timed around the World Cup to leverage the tremendous

popularity that such leisure and cocktail snacks will find among cricket lovers in the

country. So cricket lovers can enjoy their favourite matches while savouring an all-

new range of innovative Bingo snacks during World Cup.

The category of snacks is characterized by a few organized players with limited

offerings but the unorganized sector continues to rule the market. However, the

organised sector is one of the fastest growing FMCG categories with an estimated

growth rate of 30% annually. The organized snacks category is sub-divided into the

traditional segment (Bhujia, chanachur etc.), Western segment (potato chips,

cheese balls etc.) and the newly established Finger snacks segment, which is an

adaptation of traditional offerings to the western format.

The launch of Bingo is symbolic of ITC Foods' distinct approach of introducing

innovative and differentiated products in a largely undifferentiated market place. The

initial offerings from Bingo include an array of products in both Potato Chips &

Finger Snacks segment. The Potato Chips offerings comprise of 4 innovative

variants inspired by the snacking habits of different parts of the country as well as

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Masalas, Salted and Tomato flavours. Additionally a south-inspired dairy option has

also been introduced under the potato chips offering.

The offerings under the Finger Snacks segment are equally unique presentations

with innovative finger foods like the pakoda inspired Live Wires, Khakra inspired

Mad Angles and the specially developed time pass snack in the form of Tedhe

Medhe. Each offering under this segment is available in two variants making it a

total of 6 products in the Finger Snacks portfolio.

Speaking on the foray into this new category, Mr. Ravi Naware, Divisional Chief

Executive, ITC Limited - Foods Division said, "This is an exciting and fast

growing category with a big untapped market. We have extensively studied the

market and our product development team has created products with variants that

will hold tremendous appeal to the Indian consumer. We are confident that our retail

distribution strength and our insightful understanding of consumers will help us

redefine this category just like we have done in other categories. An added source

of advantage is the strong farm linkages that ITC has developed for sourcing the

selected grades of potatoes that go into the making of the chips."Bingo will own the

platform of a youthful and innovative snack offering. The snacks will be available in

packs priced at Rs. 5/- and Rs. 10/- Bingo will soon be available nationally across a

majority of towns and cities.

Mr. Hemant Malik, Head - Marketing, ITC Limited - Foods Division talking about

marketing plans for the product, said "The new brand will leverage the retail and

marketing expertise of ITC Foods to establish reach across the target markets. The

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communication strategy encompasses a multi-media campaign for the entire

product range including the use of new media for enhanced visibility. A spate of on-

ground promotions distinctly communicating the product attributes and brand

essence will further supplement Bingo's communication strategy.! ITC sets sights

on domestic frozen food market

Bingo! ITC se

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 BINGO! ITC SETS SIGHTS ON DOMESTIC FROZEN FOOD
MARKET

The company will extend its Kitchen of India brand to frozen foods, which would include

meals packaged in trays and snacks.ITC recently began exporting frozen vegetarian foods to

markets such as the US and Canada, since exporting non-vegetarian foods out of India is

restricted. The company is manufacturing the frozen foods range at its Bangalore facility,

and will use the same to cater to the domestic market as well, ITC Foods CEO Ravi Naware

told ET.

This will be seventh food category ITC Foods will tap after kitchen ingredients such as atta,

salt and spice, biscuits under the Sunfeast range, confectionery, ready-to-eat foods under the

Aashirvaad range, instant mixes and pastas, and potato chips and snacks under the Bingo

range.

The frozen foods market is still nascent in India, estimated at only about Rs 25-30 crore.

Players in this category are limited and include Kohinoor Foods and Al Kabeer, in addition

to a handful of other regional players. Issues such as freshness and taste have posed as

hindrances to growth of this category in the Indian market. Asked whether the food division

planned to tap newer categories in the short term, Mr Naware said: “We have lot of ground

to cover in existing categories. Plans are underway to expand the confectionery and snack

foods range.”ITC announced that its branded packaged food sales grew by 23% during the

April-June 2008 quarter, though its net profits fell for the first time in nine quarters. In

addition to increase in excise duties in cigarettes, the company attributed the drop in profits

to continued brand-building costs in the food business.

25
ITC ,PEPSI CO BATTLE IT OUT IN WAFERS MARKET

V B Kunal Singh, 45, is in the middle of the crossfire between packaged foods

majors Pepsico and ITC. But this time the small-time snacks seller in Mumbai, much

like others in his trade, is enjoying himself. Stocking flavoured potato wafer packs is

no longer a wafer-thin business. Singh will not talk about exact margins, but he

admits that Bingo the latest entrant has offered smaller shops like his, a margin that

is 4-5 per cent higher than competitor Frito Lay’s.

As tobacco-to-hotels major, ITC, set its eyes on this segment a couple of months

back, with the launch of Bingo, this category is sizzling. Across the country the

action is visible. In places like Bangalore, promotional events like games and

competitions based on Bingo have become a regular feature at large malls like

Garuda and Forum on weekends. The brand also tied-up with the Aerosmith rock

concert. Pepsico’s snack foods company, Frito Lay, announced a major branding

initiative for its Kurkure brand. About 35 AC BEST buses in Mumbai, followed by the

Metro in Kolkata would be branded by Kurkure.

The action is also visible at retail points. Small retailers, almost all of whom also sell

ITC cigarettes, claimed they had been promised a premium if Bingo display was

better. With its sole objective of deep distribution, ITC introduced mega-size wafer

trolleys outside most mom-and-pop outlets. Lay’s, the top selling brand reacted with

its own version of trolleys parked next to Bingo’s display. Of course there were

some places where ITC Bingo blocked out its competition. Across the country,

26
Bingo has laid claim to the large format outlets by tying-up with big retailers like

Future Group’s Food Bazaar.

But not all organised retailers believe in monopoly. At C3, Kolkata’s second largest

retailer, Kurkure and Lays dominate the branded snack market. The retailer said

they would rather offer choice to consumers. But there are genuine stock issues for

Frito Lay, at least in some parts of Mumbai. In south Mumbai, a shop owner said,

“We sell both Lays and Bingo. But we haven’t received supplies of Lays, which is in

much demand, for the past one month.” Similarly, the owner of a distribution agency

for Lays said there was a supply issue. The company executives could not be

reached for comment.

According to ITC Foods executives, the company has launched an advertising

blitzkrieg across the country to create awareness among consumers. “The brand

name Bingo signifies victory. We have employed various strategies to successfully

create an identity in the market in a short span of time,” said ITC Foods Chief

Executive Ravi Naware. Frito Lay is reacting with consumer promotions with

different contests.

The contest is being promoted through a television, radio and outdoor campaign, as

well as interactive display units at the point of purchase. ITC claims that it has done

its homework well. It spent close to two years for developing Bingo. The entry was

prompted by the fact that there are few players in this segment. “We found that

there was only one organised large player at the national level in the packed snacks

segment apart from some regional players. There is a big

27
opportunity for us,” says an ITC executive. He adds quickly that the market for the

packed-snack-on-the-go segment in India is around Rs 2,000 crore and ITC is

looking at grabbing a 50 per cent share of the market at the earliest. “We are

offering a wide range to ensure that the consumer is not restricted to a monotonous

taste,” adds Naware.

But as of now, it’s still early days to say whether Bingo will emerge

victorious. Foodworld representatives in Bangalore admit that Bingo has emerged

as a “hot selling” snack. “It is being replenished on a daily basis,” a Foodworld

representative said. “We are replenishing the stock every day in all metros and

cities with population in excess of 10 lakh,” Naware adds. But in metros like Kolkata,

consumers have not yet switched over from Lays and Kurkure. Smaller outlets in

Kolkata confirmed that sales of Lays or Kurkure had not dipped. “Frito Lay is still

cashing in on the popularity and brand loyalty that it managed to establish with

consumers over the years. Although consumers want to try Bingo, Lays or Kurkure

have not been replaced.”

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 PEPSI’S ‘LAY’ LOOSES OUT TO ITC’S ‘BINGO’ IN FUTURE
‘BAZAAR’ CHAINS

Kishore Biyani owned Big Bazaar and Food Bazaar retail chains, part of the Future

Group, which have stopped stocking PepsiCo owned Frito Lay’s wafers and other

snack products, on account of margin disputes, have now been replaced by ITC’s

“Bingo” snack products, report PTI.Although, discussions to sort out margin related

issues between Frito Lay and the Future group are believed to be in progress, none

of the Lay’s products are available at any of the 57 Big Bazaar and 70 Food Bazaar

stores.To make the matters worse for Frito Lay, the Future group has also

introduced snacks in its private label called ‘Tasty Treat.’As reported earlier, the

problem appears to have arisen on account of regular discount offers on Lay

products given by the retailer, which was not taken kindly by small kirana

merchants, who account for bulk of brand’s revenues. Frito Lay is also said to be

not inclined to increase the margins of the Future group, to compensate for

discounts given on their products.Bingo, according to knowledgeable sources, has

become the brand of choice as PepsiCo is believed to have asked for a reduction of

5% in margin from 25% to 20%.

In order to garner a decent share of the wafers market, which is dominated by the

MNC brand, apart from a high voltage advertising campaign, ITC is offering about

5% higher margin than Frito Lay.Bingo is giving Pepsi a run for its money. While

figures are not official, industry estimates that both companies agree with, that

Pepsi’s share in the Rs 2000 crore-snack market has dropped from 60-45% since

29
the launch of Bingo. ITC's retail success has forced Pepsi to renegotiate

commercial terms with the Future Group, which runs Big Bazaar. Retail tie-ups,

regional flavours and distribution muscle, have helped ITC hit a bull’s eye with its

snack Bingo. ITC's tie-up with Biyani's Future Group hurt Pepsi hard by forcing the

company to look at a revision of its commercial terms with the retail giant. While it’s

been a flyer of a start, Pepsi still leads the overall Rs 2000 crore branded snack

market with over 45% market share.

Where ITC scores on distribution, Pepsi rides high on brand recall with Lays and

Kurkure. But ITC says is confident of bridging the gap. Arch rival Pepsi on the other

hand will increase focus on Lehar namkeen, a category where ITC is yet to bite

into. Pepsi is looking to invest heavily on distribution. Apart from Rs 3 packs, to

penetrate further, the company is looking at new retail points like STD booths and

cyber cafes as well. The company is also looking is upping spends to make inroads

into the southern market, which continues to be dominated by regional players. Both

players are now looking at cashing in on the festive buzz with new advertising and

product offerings. Where ITC has 12-14 new flavours in the pipeline, Pepsi hopes

to launch 8-10 different flavours this year. As competition picks up, consumers are

going to be spoilt for choice.

30
3.4 INTRODUCTION OF THE RESEARCH WORK

This report attempts to study the marketing mix keeping in mind the current market

situation. Besides, this report also studies the customer feedback about the BINGO.

Thus it can be said that there are two broad goals of the research i.e. TO STUDY

THE CONSUMERS PREFERENCE FOR BINGO as a whole and other to CREATE

A TOP OF MIND AWARENESS OF BINGO. The research work was done through

the collection of primary data and secondary data by a common questionnaire

through the market survey technique.

Thus; based on our research, we have made some conclusions and suggestions to

make the performance of BINGO amongst all players better.

I have selected this topic because there is high growth in snacks market and bingo

is so much popular among consumers that we should know the reasons that why

consumers are preferring bingo and other chips

31
3.5 RESEARCH METHODOLOGY

A detailed survey of consumers was carried out to find out their preferences for
BINGO The details of the methodology are stated below:

AREAS : :

SAHARANPUR(New madho nagar,Nehru market,Court road,Numaish

camp,Aavas vikas)

DEHRADUN (Turner road, Rajpur road, Premnagar, Patel nagar,Raipur

road)

Roorkee ( Ram nagar )

Type of Research : • Exploratory Research

• Descriptive research
Research Question
• Consumer preferences for bingo
Sampling technique • Convenience sampling
Sample Size : • 800
Samplings Areas : • Saharanpur,Dehradun,Roorke

e
Primary Data : • Responses through
questionnaires
• Conducted personal interviews
with the respondents .
Secondary Data : • Websites .
• News papers

32
 4. ANALYSIS AND
FINDINGS

6.1
1.GENDER OF THE CONSUMER?

33
 m a le
49% 51%
fe m a le

1.1

Valid Male 406 51.0 51.0 51.0

Female 394 49.0 49.0 100.0
Total 800 100.0 100.0
Cumulati
Frequ Perce Valid ve
ency nt Percent Percent

2.1

34
Out of 800 consumers,51% are males and only 49% are females

2.AGE GROUP OF THE CONSUMER?

3%
13%

34% BELOW 15
16-25

22% 26-35
36-45
46 & ABOVE

28%

1.2
MAXIMUM number of people surveyed are BELOW 15 YEARS

35
3. OCCUPATION OF THE CONSUMER?

3% 13%

9% P ROFE S S IONA L
B US INE S S M A N
S E RV ICE M A N
49%
S TUDE NTS

26% A NY OTHE R

1.3

Frequen Valid Cumulativ

cy Percent Percent e Percent
Valid Profession
100 13.0 13.0 18.0
al
Businessm
75 9.0 9.0 22.0
an
Service 210 26.0 26.0 48.0
Student 390 49.0 49.0 97.0
Any other 25 3.0 3.0 100.0
Total 800 100.0 100.0 100.0

2.3

OUT OF 800 PEOPLE 13%are professionals,9%are

businessman,26%are serviceman,49%are students.

36
4.NUMBER OF PEOPLE PURCHASE CHIPS ?

Frequen Valid Cumulativ

cy Percent Percent e Percent
Valid Yes 774 97.0 97.0 97.0
No 26 3.0 3.0 100.0
Total 800 100.0 100.0

1.4

3%

yes
no

97%

2.4

out of 800 respondents ,97% of consumers buy chips and only 3%of
them do not buy chips

5. CHIPS PEOPLE BUY?

37
 Frequency Percent Valid Percent Cumulative Percent
Valid LAYS
264 33.0 33.0 33.0

kurkure
112 14.0 14.0 47.0

bingo
273 34.0 34.0 81.0

Uncle
chips 101 13.0 13.0 94.0

Haldi ram
chips 19 3.0 3.0 97.0

Soya
pufs 27 2.0 2.0 99.0

Any other
4 1.0 1.0 100.0

Total
800 100.0 100.0

1.5

2% 3%1%
13% LAYS
33% kurkure
bingo
Uncle chips
Haldi ram chips
Soya pufs
34%
Any other
14%

2.5
33% respondents prefer LAYS,14% prefer KUKURE ,34 %BINGO,13 %
Of them prefer UNCLE CHIPS ,2% Haldirams chips ,3% prefer soya
pufs

38
6.REASON TO PURCHASE CHIPS?

Frequen Valid Cumulativ

cy Percent Percent e Percent
Valid Brand
160 20.0 20.0 20.0
name
Taste 204 25.0 25.0 45.0
Brand
53.
ambassad 88 8.0 8.0
0
or
packaging 158 10.0 10.0 63.0
Easy
66 16.0 16.0 79.0
avialability
Price 124 20.0 20.0 99.0
Any other 100.
8 1.0 1.0
0
Total 800 100.0 100.0
1.6
TASTE

8% 1% BRAND NAME
25%
11%
PACKAGING

PRICE
15%
BRAND
20% AMBASSADOR
EASY
20% AVIALABILITY
ANY OTHER

2.6
25%people purchase CHIPS because of TASTE,
20% people purchase CHIPS because of BRAND NAME,
20% people purchase CHIPS because of PACKAGING,
15% people purchase CHIPS because of PRICE ,
11% people purchase CHIPS because of BRAND AMBASSADOR
8%people purchase CHIPS because of EASY AVILABILITY
1%people purchase CHIPS because of ANY OTHER REASON

7.PEOPLE HAVE SEEN THE ADVERTISEMENT OF CHIPS

39
 Frequen Valid Cumulativ
cy Percent Percent e Percent
Valid Yes 782 98.0 98.0 98.0
No 18 2.0 2.0 100.0
Total 100 100.0 100.0

1.7

2%

yes
no

98%

2.7

Out of 800 consumers 98% have seen the ADVERTISEMENT and only
2% have not seen the ADVERTISEMENT of any chips

8. ADVERTISEMENT PEOPLE REMEMBER THE MOST?

40
 Frequency Percent Valid Percent Cumulative Percent
Valid LAYS 214 27.0 27.0 27.0
BINGO 229 28.0 28.0 55.0

UNCLE
124 16.0 16.0 71.0
CHIPS
KURKU
164 21.0 21.0 92.0
RE
CHIPS(
HALDI 32 4.0 4.0 96.0
RAMS)
SOYA
26 3.0 3.0 99.0
PUFS
Total any
11 1.0 1.0 100
other
Total 800 100 100

1.8
1% LAYS

3% BINGO
4%
27%
UNCLE CHIPS
21%
KURKURE

CHIPS(HALDIRAM
S)
16%
28% SOYA PUFS

any other

2.8
27% people remember the advertisement of LAYS
28% people remember the advertisement of BINGO.
16% people remember the advertisement of UNCLE CHIPS
21% people remember the advertisement of KURKURE
4% people remember the advertisement of HALDIRAMS CHIPS
3%people remember the advertisement of SOYA PUFS
1%people remember the advertisement of ANY OTHER .
9.REASON TO REMEMBER THE ADVERTISEMENT ?

41
 Frequen Valid Cumulativ
cy Percent Percent e Percent
Valid Creativity 194 24.0 24.0 24.0
Brand
ambassad 196 25.0 25.0 49.0
or
Idea of
delivering 90 11.0 11.0 60.0
message
Frequency
204 25.0 25.0 85.0
of add
Logical
116 15.0 15.0 100.0
reason
Total 100 100.0
1.9

CREATIVITY

15% BRAND
24% AMBASSADOR

IDEA OF
DELIVERING THE
25% MESSAGE
FREQUENCY OF
25% ADD
11%
LOGICAL
REASON

2.9

24% people remember the advertisement because of CREATIVITY.

25% people remember the advertisement because of BRAND
AMBASSADOR
11% people remember the advertisement because of THEIR IDEA OF
DELIVERING THE MESSAGE.
25%people remember the advertisement because of FREQUENCY OF
ADD.15% people remember the adverisement because of LOGICAL
REASON.

42
REASON TO LIKE THE ADVERTISEMENT.

1.Please rank CREATIVITY ......(1-5)... 1 being most preferred.

250

200

150
Series1
100

50

0
1st 2nd 3rd 4th 5th

3.1

194 respondents gave 1st rank to creativity.

235 respondents gave 2nd rank to creativity
186 respondents gave 3rd rank to creativity
106 respondents gave 4th rank to creativity
79 respondents gave 5th rank to creativity

2. Please rank BRAND AMBASSADOR..... ......(1-5)... 1 being most preferred

43
 250

200

150
Series1
100

50

0
1st 2nd 3rd 4th 5th

3.2

196 respondents gave 1st rank to brand ambassador.

216 respondents gave 2nd rank to brand ambassador.
93 respondents gave 3rd rank to brand ambassador.
185 respondents gave 4th rank to brand ambassador.
110 respondents gave 5th rank to brand ambassador.

3. Please rank IDEA OF DELIVERING THE MESSAGE......(1-5).. 1 being most preferred

44
 250

200

150
Series1
100

50

0
1st 2nd 3rd 4th 5th

3.3

90 respondents gave 1st rank to idea of delivering the message.

151respondents gave 2nd rank to idea of delivering the message
129 respondents gave 3rd rank to idea of delivering the message
208 respondents gave 4th rank to idea of delivering the message
222 respondents gave 5th rank to idea of delivering the message.

250

200

150
Series1
4. Please
100 rank FREQUENCY OF ADVERTISEMENT ......(1-5)... 1 being most preferred

50

0
1st 2nd 3rd 4th 5th
45
3.4

204 respondents gave 1st rank to frequency of add

101respondents gave 2nd rank to frequency of add
212 respondents gave 3rd rank to frequency of add
173 respondents gave 4th rank to frequency of add
110 respondents gave 5th rank to frequency of add.

300

250

200

150 Series1
5. Please rank LOGICAL REASON......(1-5)... 1 being most preferred
100

50

0
1st 2nd 3rd 4th 5th
46
 3.5
116 respondents gave 1st rank to logical reason
97 respondents gave 2nd rank to logical reason
180 respondents gave 3rd rank to logical reason
128 respondents gave 4th rank to logical reason
279 respondents gave 5th rank to logical reason.

6.3 REASON TO PURCHASE CHIPS .

47
1. Please rank BRAND NAME ......(1-7)... 1 being most preferred

1st
200
150
7th 2nd
100
50
0 Series1
6th 3rd

5th 4th

3.6

158 respondents gave 1st rank to brand name.

200 respondents gave 2nd ank to brand name
195 respondents gave 3rd rank to brand name
100 respondents gave 4th rank to brand name
85 respondents gave 5th rank to brand name
42 respondents gave 6th rank to brand name
20 respondents gave 7th rank to brand name.

48
2. Please rank. PRICE .....(1-7)... 1 being most preferred

1st
200
150
7th 2nd
100
50
0 Series1
6th 3rd

5th 4th

3.7

160 respondents gave 1st rank to price.

175 respondents gave 2nd rank to price.
156 respondents gave 3rd rank to price.
115 respondents gave 4th t rank to price.
80 respondents gave 5th rank to price.
58 respondents gave 6th rank to price.
56 respondents gave 7th rank to price.

49
3. Please rank TASTE ......(1-7)... 1 being most preferred

3.8

322 respondents gave 1st rank to TASTE .

108 respondents gave 2nd rank to TASTE
78 respondents gave 3rd rank to TASTE
103 respondents gave 4th rank to TASTE
22 respondents gave 5th t rank to TASTE
101 respondents gave 6th rank to TASTE
66 respondents gave 7th t rank to TASTE

50
4. Please rank BRAND AMBASSADOR......(1-7)... 1 being most preferred

1st
400
300
7th 2nd
200
100
0 Series1
6th 3rd

5th 4th

3.9
66 respondents gave 1st rank to brand ambassador.
108 respondents gave 2nd rank to brand ambassador
78 respondents gave 3rd rank to brand ambassador
103 respondents gave 4th rank to brand ambassador
22 respondents gave 5th t rank to brand ambassador
101 respondents gave 6th rank to brand ambassador
322 respondents gave 7th t rank to brand ambassador.

1st
200
150
7th 2nd
100
50
5. Please rank PACKAGING
0 ......(1-7)... 1 being most preferred
Series1
6th 3rd

5th 4th

51
3.10
80 respondents gave 1st rank to after PACKAGING
97 respondents gave 2nd rank to after PACKAGING
94 respondents gave 3rd rank to after PACKAGING
122 respondents gave 4th rank to after PACKAGING
100 respondents gave 5th t rank to after PACKAGING
109 respondents gave 6th rank to after PACKAGING
198 respondents gave 7th t rank to after PACKAGING
.

1st
200
150
7th 2nd
100
6. Please rank EASY AVAILABILITY
50 ......(1-7)... 1 being most preferred
0 Series1
6th 3rd

5th 4th

52
3.11

110 respondents gave 1st rank to EASY AVAILABILITY

106 respondents gave 2nd rank to EASY AVAILABILITY
116 respondents gave 3rd rank to EASY AVAILABILITY .
175 respondents gave 4th rank to EASY AVAILABILITY
78 respondents gave 5th t rank to EASY AVAILABILITY
90 respondents gave 6th rank to EASY AVAILABILITY
31 respondents gave 7th t rank to EASY AVAILABILITY

7. Please rank ANY OTHE FACTOR .....(1-7)... 1 being most preferred

53
 1st
400
300
7th 2nd
200
100
0 Series1
6th 3rd

5th 4th

3.12

8 respondents gave 1st rank to any other.

25 respondents gave 2nd rank to any other
79 respondents gave 3rd rank to any other
30 respondents gave 4th rank to any other
325 respondents gave 5th t rank to any other
296 respondents gave 6th rank to any other
37 respondents gave 7th t rank to any other.

54
 STATISTICAL
TOOLS

CHIPS PEOPLE BUY

1.CHI-SQUARE TEST
connections

55
 Observed N Expected N Residual
LAYS 264 114.3 105.7
BINGO 273 114.3 -101.3
UNCLE CHIPS 101 114.3 -26.3
KURKURE 112 114.3 75.7
CHIPS(HALDIR
19 114.3 63.7
AMS)
SOYA PUFS 27 114.3 -84.3
any other 4 114.3 -110.3
Total 800

Test Statistics

Connections
Chi-Square(a) 447.260
Df 6
Asymp. Sig. .000
a 0 cells (.0%) have expected frequencies less than 5. The minimum expected cell frequency is 114.3.

HO-there is no significance difference between the preference of consumers

regarding the CHIPS.
H1-there is a significance difference between the preference of consumers
regarding the CHIPS.

56
IF H0 <.05 OUR null Hypothesis is rejected and in this case H0 IS
REJECTED.
THAT means consumers preferences for CHIPS are different.

264 RESPONDENTS Prefer lays,273 prefer bingo,101 uncle chips,112 consumers

prefer kurkure,19 prefer haldirams chips,27 prefer soya pufs,only 4 of them prefer
any other chips.

ADVERTISEMENT PEOPLE REMEMBER THE MOST

2. CHI-SQUARE TEST

ADVERTISEMENT

57
 Observed N Expected N Residual
LAYS
214 133.3 -45.3
BINGO
229 133.3 -67.3
UNCLE
CHIPS 164 133.3 30.7
KURKURE
124 133.3 -9.3
CHIPS(HALD
IRAMS) 32 133.3 75.7
SOYA PUFS
26 133.3 15.7
any other
11
Total

Test Statistics

connections
Chi-Square(a) 101.905
Df 5
Asymp. Sig. .000
a 0 cells (.0%) have expected frequencies less than 5. The minimum expected cell frequency is 133.3.

HO-there is no significance difference between the advertisements

H1-there is a significance difference between the advertisements

IF H0 <.05 OUR null Hypothesis is rejected and in this case H0 IS

REJECTED.
THAT means consumers remember different different
advertisements.

58
214 people remember the advertisement of LAYS ,229 people remember the
advertisement of BINGO ,164 people remember the advertisement ofUNCLE
CHIPS,124 people remember the advertisement of KURKURE,32 people
remember the advertisement of HALDIRAMS CHIPS

REASON TO PURCHASE CHIPS.

3. FRIEDMAN TEST
Ranks

59
 Mean Rank
Packaging
5.11

Brand
6.00

Taste
6.90

Easy availability
2.00

Ambassador
3.00

Price
3.99

Other
1.01

Test Statistics(a)

N
800

Chi-Square
4718.549

Df
6

Asymp. Sig.
.000
a Friedman Test

H0- there is no significance difference between all the factors.

H1-there is a significance difference between all the factors.

IF H0 <.05 OUR null Hypothesis is rejected and in this case H0 IS REJECTED.

THAT means consumers prefer any mobile connection on the basis of
certain factors.

60
In this case as
the mean rank of taste IS 6.90 MEANS most of the consumers purchase chips
because the taste.

AND the mean rank for EASY AVAILABILITY is 2.00 (AFTER ANY OTHER
FACTOR)THAT means CONSUMERS don’t care about EASY AVAILABILITY while
purchasing CHIPS.

THE SEQUENCE OF

THEIR PURCHASING PREFERENCE IS…………………

TASTE
BRAND NAME
PACKAGING
PRICE
BRAND AMBASSADOR
EASY AVIALABILITY
ANY OTHER

REASON TO REMEMBER THE ADVERTISEMENT

4. Friedman Test
Ranks

61
 Mean Rank
Creativity
3.91

Brand ambassador
4.23

Idea of message
1.10

Frequency of add
4.62

Logical reason
2.43

Test Statistics(a)

N
800

Chi-Square
4626.647

Df
6

Asymp. Sig.
.003

a Friedman Test
.

H0- there is no significance difference between all the factors TO REMEMBER THE
ADVERTISEMENT.
H1-there is a significance difference between all the factors TO REMEMBER
THE ADVERTISEMENT

62
IF H0 <.05 OUR null Hypothesis is rejected and in this case H0 IS
REJECTED.THAT means consumers remember the advertisement of any
CHIPS because of some factors,In this case as

the mean rank of FREQUENCY OF THE ADVERTISEMENT IS 4.62 MEANS most

of the consumers remember the advertisement because the frequency of the add,

AND the mean rank for idea of delivering the message is 1.10 THAT means
CONSUMERS don’t care about the idea of delivering the message.

5.MULTI DIMENTIONAL SCALING

PERCEPTUAL MAPPING OF SNACKS BRANDS
(LAYS,BINGO,UNCLE CHIPS,KURKURE,SOYAPUFS,OTHER
CHIPS)

Number of parameters is 12.

63
Iteration history for the 2 dimensional solution (in squared distances)Young's S-
stress formula 1 is used.

Iteration S-stress Improvement

1 .00000
Iterations stopped because
S-stress is less than .005000
Stress and squared correlation (RSQ) in distances
RSQ(returns of square) values are the proportion of variance of the scaled data
(disparities)in the partition (row, matrix, or entire data) which is accounted for by
their corresponding distances. Stress values are Kruskal's stress formula 1.

For matrix
Stress = .00000 RSQ = 1.00000

Configuration derived in 2 dimensions

Stimulus Coordinates

Dimension

1(taste) 2(awareness)
Number Name

1 lays .7142 .0106

2 soyapufs -1.9561 .0201
3 otherchi -1.9914 -.0240
4 kurkure 1.2621 -.0145
5 unclechi 1.2692 -.0056
6 bingo .7020 .0134

64
 D e r iv e d S tim u lu s C o n fig u r a tio n

E u c lid e a n d is ta n c e m o d e l

0 .0 3

s o y a p u fs
0 .0 2
b in g o
la y s
0 .0 1
Dimension 2

0 .0 0
u n c le c h ip s

- 0 .0 1
k u rk u re

- 0 .0 2
o th e rc h ip s

- 0 .0 3

-2 -1 0 1 2
D im e n s io n 1

65
ANALYSIS OF MULTI DIMENTIONAL SCALING:

As in this case iteration value is 1 ,stress value is .000,RSQ is 1.00

That shows the validity of data,lesser the stress value ,the data is more

reliable,more the RSQ ,more the validity of data

Stress = .00000 RSQ = 1.00000

This means our data is realiablefor furthure analysis

Now in the above matrix I have taken 2 dimentions that is TASTE(dimention 1) and

AWARENESS (dimention 2),I have analysised all 6 brands on the basis of 2

dimentions,and I have found the following results-

1.As soya pufs lies in 1st quarter that means consumers like the taste of soya pufs

but there is a lack of awareness about soya pufs.

2.BINGO and LAYS lies in 2nd quarter that shows consumers like the taste of both

lays and bingo and they are aware about both the brands,as in the above matrix

they are very closely located that means there is a close competiton between LAYS

and BINGO.

3.KURKURE AND UNCLE CHIPS lies in 3rd quarter, this shows that consumers are

equally aware of both the brands but they like the taste of uncle chips as compare to

kurkure.and from the above matrix we can obseved that they are also closely

66
located that means kurkure is trying to reach at the same pssition which uncle chips

is holding.

4.Other chips comes under the 4th quarter that shows that consumers neither like

the taste of any other chips nor they are aware of that.

67
7.MAJOR FINDINGS

1.Out of 800 consumers,51% are males and only 49% are females.

2.MAXIMUM number of people surveyed are below 15 years

3. OUT OF 800 PEOPLE 13%are professionals,9%are businessman,26%are

serviceman,49%are students.

4.. out of 800 respondents ,97% of consumers buy chips and only 3%of them

do not buy chips

5. 33% respondents prefer LAYS,14% prefer KUKURE ,34 %BINGO,13 % Of

them prefer UNCLE CHIPS ,2% Haldirams chips ,3% prefer soya pufs

6.25%people purchase CHIPS because of TASTE,20% people purchase

CHIPS because of BRAND NAME,20% people purchase CHIPS because of

PACKAGING,15% people purchase CHIPS because of PRICE ,11% people

purchase CHIPS because of BRAND AMBASSADOR 8%people purchase

CHIPS because of EASY AVILABILITY,1%people purchase CHIPS because

of ANY OTHER REASON

68
7.. Out of 800 consumers 98% have seen the ADVERTISEMENT and only 2%

have not seen the ADVERTISEMENT of any chips

8. 27% people remember the advertisement of LAYS,28% people remember

the advertisement of BINGO.,16% people remember the advertisement of

UNCLE CHIPS,21% people remember the advertisement of KURKURE,4%

people remember the advertisement of HALDIRAMS CHIPS,3%people

remember the advertisement of SOYA PUFS,1%people remember the

advertisement of ANY OTHER.

9..24% people remember the advertisement because of CREATIVITY.

25% people remember the advertisement because of BRAND

AMBASSADOR,11% people remember the advertisement because of THEIR

IDEA OF DELIVERING THE MESSAGE.,25%people remember the

advertisement because of FREQUENCY OF ADD.,15% people remember the

adverisement because of LOGICAL REASON.

11.194 respondents gave 1st rank to creativity.,235 respondents gave 2nd rank to

creativity,186 respondents gave 3rd rank to creativity,106 respondents gave 4th

69
rank to creativity, 79 respondents gave 5th rank to creativity.

12.196 respondents gave 1st rank to brand ambassador.,216 respondents gave

2nd rank to brand ambassador., 93 respondents gave 3rd rank to brand

ambassador.185 respondents gave 4th rank to brand ambassador.110

respondents gave 5th rank to brand ambassador.

13.90 respondents gave 1st rank to idea of delivering the

message.151respondents gave 2nd rank to idea of delivering the message 129

respondents gave 3rd rank to idea of delivering the message.208 respondents

gave 4th rank to idea of delivering the message,222 respondents gave 5th rank

to idea of delivering the message

14.204 respondents gave 1st rank to frequency of add, 101respondents gave 2nd

rank to frequency of add,212 respondents gave 3rd rank to frequency of add,173

respondents gave 4th rank to frequency of add,110 respondents gave 5th rank to

frequency of add.

15.116 respondents gave 1st rank to logical reason,97 respondents gave 2nd rank

to logical reason,180 respondents gave 3rd rank to logical reason.128

70
respondents gave 4th rank to logical reason,279 respondents gave 5th rank to

logical reason.

16.158 respondents gave 1st rank to brand name.200 respondents gave 2nd ank

to brand name,195 respondents gave 3rd rank to brand name,100 respondents

gave 4th rank to brand name,85 respondents gave 5th rank to brand name,42

respondents gave 6th rank to brand name,20 respondents gave 7th rank to brand

name.

17.160 respondents gave 1st rank to price.175 respondents gave 2nd rank to

price.156 respondents gave 3rd rank to price.115 respondents gave 4th t rank to

price.80 respondents gave 5th rank to price.58 respondents gave 6th rank to

price.56 respondents gave 7th rank to price

18.204 respondents gave 1st rank to network.106 respondents gave 2nd rank to

network.116 respondents gave 3rd rank to network.175 respondents gave 4th

rank to network.78 respondents gave 5th t rank to network.90 respondents gave

6th rank to network.31 respondents gave 7th t rank to network..

19.66 respondents gave 1st rank to brand ambassador.108 respondents gave 2nd

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rank to brand ambassador 78 respondents gave 3rd rank to brand

ambassador,103 respondents gave 4th rank to brand ambassador ,22

respondents gave 5th t rank to brand ambassador,101 respondents gave 6th rank

to brand ambassador,322 respondents gave 7th t rank to brand ambassador.

20.80 respondents gave 1st rank to after sales service,97 respondents gave 2nd

rank to after sales service,94 respondents gave 3rd rank to after sales

service,122 respondents gave 4th rank to after sales service,100 respondents

gave 5th t rank to after sales service,109 respondents gave 6th rank to after sales

service,198 respondents gave 7th t rank to after sales service.

21.124 respondents gave 1st rank to customer care service.,89 respondents gave

2nd rank to customer care service,82 respondents gave 3rd rank to customer

care service,70 respondents gave 4th rank to customer care service

175 respondents gave 5th t rank to customer care service,104 respondents gave

6th rank to customer care service,156 respondents gave 7th t rank to customer

care service

22.8 respondents gave 1st rank to any other.25 respondents gave 2nd rank to any

other,79 respondents gave 3rd rank to any other,30 respondents gave 4th rank to

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any other,325 respondents gave 5th t rank to any other,296 respondents gave 6th

rank to any other,37 respondents gave 7th t rank to any other

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8. SUGGESTIONS

On the basis of above study following suggestions can be given:

• Perform a detail demand survey at regular interval to know about the unique

needs and requirements of the customer.

• The company should make hindrance free arrangement for its

customers/retailers to make any feedback or suggestions as and when they

feel.

• The company should focus to bring some more flavours and variety of

schemes rather then bring second and repeat same old one. It is always

better to be first than being better.

• The company must be aware of and keep at least the latest knowledge of its

primary competitors in market and try to make a perfect anticipated efforts to

meet the same

• The company should also use time to time some more and new attractive

system of word of mouth advertisement to keep alive the general awareness

in the whole market as a whole.

• The company should be always in a position to receive continuous feedback

and suggestions from its customers/ consumers as well as from

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• The market and try to solve it without any delay to establish its own good

credibility..

• The visibility of any product plays an important role in making the customer ,

aware about it and is vital for the growth and development of any product.

• For their advertisement they can also introduce a brand ambassador

,because most of the consumers remember advertisement because of their

brand ambassador.

• As far as BINGO is concerned; its doing a good job but, it has to remain

aware of the efforts being made by its competitors like LAYS and KURKURE

as they are also investing heavily on improving their visibility.

• A strong watch should be kept on distributors also, because in some cases

they are found to be cheating the retailers and affecting the goodwill of the

BRAND.

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9.CONCLUSION
During the course of the project I realised that the customer willingly answered the

closed end questions.

From the analysis of the data collected and from the experiences I have reached the

following conclusions:

BINGO is most popular amongst its users mainly because of its TASTE, BRAND

NAME,INNOVATIVENESS Thus it should focus on good taste so that it can

capture the major part of the market.But most of the consumers prefer lays as their

1st preference ,then bingo.

We come to the conclusion that visibility affects the sales of project in a very special

way and in terms of the advertisements lays is lacking behind,.mostly consumers

remember the advertisement because of the frequency of add , brand

ambassadors and creativity.

After acquiring a new customer, there is lot of importance of its retention also. This

can be done only by providing extra flavours and good taste

In today’s scenario, customer is the king because he has got various choices

around him. If you are not capable of providing him the desired result he will

definitely switch over to the other provider. Therefore to survive in this cutthroat

competition, you need to be the best. Customer is no more loyal in today’s scenario,

so you need to be always on your toes.

We feel that there is cutthroat competition between lays,bingo, so to be on top of

mind of the customers they need to do something outstanding every time

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 10.LIMITATIONS OF THE STUDY

• Some of the respondents refused to fill the questionnaires.

• The responses may vary as some people did not want to come up with real

answers.

• The people were busy in their own work so they might not have given actual

responses..

• Limitation of time.

• The survey is conducted only in few areas of saharanpur,dehradun Hence

the results may vary in other parts of the cities.

• Small sample size.

• And like any other research the limitation of personal bias of respondents

limits the scope of the study.

The findings are based on the survey conducted in the month of JULY and

AUGUST, the results may vary in other months.

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 11.BIBLIOGRAPHY

TEXT BOOKS AND JOURNALS:

Beri G.C, “Marketing Research” , Third Edition

Cooper Donald R. & Shindler Pamela S , “Business Research Methods

Davis Womans Jounal of Food Science and Technology, July 31 ,07

Food Quality and PreferenceVolume 19, Issue 8, Pages 719-726 By Stephen

Daniells, 07-Oct-2008
Kotler Philip, “Marketing Management”,Pearson Education.
Kellogg's Desi -journal of ims vol 5 no.1,jan-june 2000

Schiffman Leon G. & Kaunk Leslie Lazar, “Consumer Behaviour” Pearson

Education, Eighth Edition.

Tata McGraw-Hill Edition Eighth.

NEWS PAPER

• Economic Times

• Business India

• Business Standard

• The Times Of India

WEBSITES:www.itcportel.com

www.bingo.com

SEARCH ENGINE :www.google.co.in

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12.ANNEXURE
QUESTIONNAIRE

1.NAME: ………………………………..

GENDER-
• MALE
• FEMALE
ADDRESS ……………………………

OCCUPATION
• PROFESSIONAL
• BUSINESSMAN
• SERVICE
• STUDENT
• ANY OTHER

2.AGE :
• 15-20
• 21-35
• 36-45
• 46-55
• 55 AND ABOVE

3.DO you eat chips?

• Yes
• No

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4.Which chips do you prefer most?
• LAYS
• KURKURE
• BINGO
• UNCLE CHIPS
• HALDIRAMS CHIPS
• SOYA PUFS
• ANY OTHER (PLEASE SPECIFY)

5. About CHIPS what do you like the most?(PLEASE

RATE THEM from 1-6)
• BRAND NAME
• TASTE
• EASY AVAILABILITY
• PACKAGING
• PRICE
• BRAND AMBASSADOR
• ANY OTHER (PLEASE SPECIFY)

6.Have you seen any advertisement of ANY CHIPS?

• Yes
• No

7.Advertisement of which CHIPS do you remember the

most?

• LAYS
• KURKURE
• BINGO
• UNCLE CHIPS
• Other CHIPS

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 • SOYA PUFS

8.What attracted you in the advertisement?( PLEASE

RATE THEM from 1-3)
• CREATIVITY
• BRAND AMBASSADOR
• IDEA OF DELIVERING THE MESSAGE
• FREQUENCY OF ADD
• LOGICAL REASON

9.Have you decided to purchase any connection after

watching the advertisement?
• Yes
• No

10.PLEASE GIVE RATING TO EACH BRAND IN 2

COLOUMS.

BRAND NAME TASTE(1-5) AWARENESS(1-5)

LAYS

BINGO

KURKURE

UNCLE CHIPS

ANY OTHER

SOYA PUFS
1-HIGLY DISSATISFIED

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5-HIGHLY SATISFIED

ANY SUGGESTIONS::::::::::::
………………………………………………………………………
……………………………………… DY ON- CONSUMER
PREFERENCES FOR BINGO

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