A PROJECT REPORT ON

STUDY OF EFFECTIVENESS OF VARIOUS PROMOTIONAL ACTIVITIES

FOR

Credila Financial Services

IN PARTIAL FULFILLMENT OF MASTERS IN BUSINESS ADMINISTRTATION (M.B.A.) UNIVERSITY OF PUNE

BY AMOL MEDHE M.B.A. (2010 - 2012)

GUIDED BY

MR. MAHESH MAKULWAR (Location Head,Pune)

PROF. ASHOK RAUT (KIMR)

JSPMS KAUTILYA INSTITUTE OF MANAGEMENT & RESEARCH WAGHOLI, PUNE.

Acknowledgment
I am very delighted to present this project report on Study Of Effectiveness Of Various Promotional Activities at Credila Financial Services. However, it would not have been possible without the kind support and help of many individuals and organizations. I would like to extend my sincere thanks to all of them. My deep sense of gratitude to respective Mr. Mahesh Makulwar (Location Head,Pune) for his support. I am highly indebted to Mr. Narendra Jain (Branch Marketing Head,Pune) for his guidance and constant supervision as well as for providing necessary information regarding the project & also for their support in completing the project.

I would like to express my gratitude towards the member of organization for their kind cooperation and encouragement which help me in completion of this project.

My thanks and appreciations also go to my colleague in developing the project and people who have willingly helped me out with their abilities.

My deepest thanks to Prof.ASHOK RAUT, the Guide of the project, for guiding and correcting various documents of mine with attention and care.

Index
Chapter No 1 2 3 4 5 6 7 8 9 10 11 Executive Summary Objectives of the Study Company Profile Research Design and Methodology Conceptual Background Data Presentation, Analysis and Interpretation Findings Limitations Suggestions Conclusion Bibliography Title Page No 1 3 5 6 13 18 24 41 42 43 44

12

Annexure

45

Executive Summary
Promotion is one of the four elements of marketing mix (product, price, promotion and place). It is the communication link between sellers and buyers for the purpose of influencing, informing, or persuading a potential buyer's purchasing decision. The specification of five elements creates a promotional mix or promotional plan. These elements are personal selling, advertising, sales promotion, direct marketing, and publicity. A promotional mix specifies how much attention to pay to each of the five subcategories, and how much money to budget for each. A promotional plan can have a wide range of objectives, including: sales increases, new product acceptance, creation of brand equity, positioning, competitive retaliations, or creation of a corporate image. Fundamentally, however there are three basic objectives of promotion. These are 1. 2. 3. To present information to consumers as well as others To increase demand To differentiate a product.

There are different ways to promote a product in different areas of media. Promoters use internet advertisement, special events, endorsements, and newspapers to advertise their product. Many times with the purchase of a product there is an incentive like discounts, free items, or a contest. This is to increase the sales of a given product. The reason for doing this project is to find out the effectiveness of various promotional activities conducted by Credila financial services. The project was of 50 days consisting of classroom exercise and market research. The primary data is collected through questionnaire. It contains 17 closed ended question. The questionnaire was prepared on the basis of following objectives.... 1. 2. 3. 4. 5. To study the effectiveness of product promotion activity. To study advertising strategy. To find out best promotional activity. To find out loop-holes in advertising/promotional activity. To study influence of promotional activities on product purchase.

Questionnaire is filled by 110 customers. Primary data collected is represented in a Pie graph. It is analysed with simple percentage method. Secondary data is collected from various MIS reports at Credila Financial services. Newspaper reports about company, advertising material & companys website.

Objectives Of The Study

1. 2. 3. 4. 5.

To study the effectiveness of product promotion activity. To study advertising strategy. To find out best promotional activity. To find out loop-holes in advertising/promotional activity. To study influence of promotional activities on product purchase.

Company Profile
History
Credila Financial Services Pvt. Ltd. (Credila), promoted by Mr. Anil Bohora and Mr. Ajay Bohora, was incorporated on February 01, 2006 and is registered as a non deposit taking NBFC (non-banking finance company) with RBI. Credila is in the business of originating, funding and servicing educational loans and has its offices in Mumbai, Pune, Bangalore, Hyderabad, Chennai, Delhi and Nasik. They are planning to expand business by establishing more offices all over the country in next year. Credila became a subsidiary of Housing Development Finance Corporation Ltd. (HDFC), one of the largest mortgage financiers in India during September, 2010 and HDFC held 62.28% shareholding in Credila as on December 31, 2010. HDFC has deputed members from its top management on the Board of Credila. Credila is likely to have access to the branch network of HDFC to sell its products. Going forward, the equity support to finance growth in loan portfolio is expected to come from HDFC which would further increase HDFCs shareholding in the company.

Operations
After Credila got its registration with RBI, it spent around two years conducting research on educational loans market in India. During the time, it also put up its key management team, built up systems and processes and entered into tie-ups with various agencies required to originate and recover the education loans of students studying abroad. Credila started lending operations in March, 2008. Credila offers educational loans having a floating rate (at average IRR of 16-17%) and average tenure of up to 5 years. The average cost of borrowing for Credila was around 9% during FY10. Majority of the loans are backed by collateral and all loans would have a co-borrower. The principal repayment would have a moratorium of one to two years (typically up to six months after completion of course). However, interest repayment starts immediately after disbursement of loan which would help Credila in getting early signals regarding any possible deterioration in the asset quality of its loans. Credila has set up its entire process to be systems driven and has developed an end to end sourcing, credit and underwriting, servicing and collection systems running on a state of the art technology platform. It has developed credit scoring models and fraud aversion systems to check any irregularities in the entire system. Credilas loan portfolio stood at Rs.117 crore as on September 30, 2010 as Compared to Rs.27 crore as on March 31, 2010. Credila had disbursed loans of Rs.112 crore during March to November, 2010 most of which were disbursed post July as July-September is the period when admissions to most of the educational institutes and universities are in process globally. Majority of the disbursements are for MS and MBA courses. Loans to students pursuing courses in the US constituted 41% of total disbursements whereas to students pursuing courses in India constituted 14% of total
6

Product Profile

Students face many challenges while securing education loans. Some of the issues faced by students include 1. Flexibility in terms of the loans which need to be customized to the requirements of the students and their respective courses. 2. Ability to find the required margin money (portion of the fees that is to be paid by students/parents which is not covered by the loan) 3. Required loan amount is more than the value of the collateral security 4. Ability to prove that the University, College and the applied Course is appropriate. (This can be quite challenging if the decision maker is not aware of the thousands of valid and accredited educational choices available in todays fast changing world of education) 5. Ability to get the loan approval letter in time to meet the admission and visa related deadlines 6. Ability to get appropriate customer service during the repayment cycle 7. Ability to repay the loan from overseas 8. Ability to get web-based access to the loan account with web enabled transaction processing inclusive of electronic payments, etc

Credila is a specialized lender for student loans. Credila has invested time and resources to set up appropriate systems, processes and know-how related to the education industry. Credila has numerous databases on education sector.

Credila's credit scoring model for the approvals of loans is designed specifically for student loans. Credila, therefore, understands problems, challenges and issues faced by the students and their parents. Credila's objective is to work closely with students and parents to try to identify the appropriate education loan programs for them.
7

Following are highlights of Credila. Credila, a lender, that is exclusively focused on Education Loan Credila is fully backed by HDFC Ltd., one of the most trusted names in financial services industry y Education Loan at your door-step, no visiting bank branches multiple times. We can visit you at your convenience y Loan up to 100% of educational expenses. No margin money is required y Quick loan sanction y Flexibility on collateral security y Do not wait till last minute, you can apply for education loan before admission y Delays in getting Education Loan can impact family finances & family savings adversely
y y

Funding Profile
During FY09, Credila had sanction of term loan facility from banks of Rs.100 crore for lending towards educational loans. However, due to low growth in business due to seasonal nature of disbursements in educational loans and deterioration in the global employment scenario, it had drawn Rs.22 crore as on March 31, 2010. As Credila is in the initial stages of business, accumulated losses led to decline of net worth to Rs.6.58 crore as on March 31, 2010 as compared to Rs.10.33 crore as on March 31, 2009. During H1FY11, Credila saw growth in disbursements and it had drawn around Rs.97 crore from bank facility. Also, it has an additional facility of Rs.50 crore as a backup from HDFC to meet funding as well as liquidity requirement. Credila had availed around Rs.10 crore of the facility till December 31, 2010. During H1FY11, HDFC infused Rs.11 crore of equity capital and OCDs got converted into equity capital which helped Credilas net worth increase to Rs.19.45 crore as on September 30, 2011. Credilas credit profile has improved after becoming a subsidiary of HDFC which is expected to reduce its cost of funding going forward.

Financial Performance
Credila started business operations in March, 2008. During FY09 and FY10, Credila disbursements were low as it initially focused on asset quality, it had lower capital and it was in the process of getting lines of credit from banks. Also, deterioration in the global employment scenario due to the global financial crisis led to Credila going slow on disbursements during FY09. Due to slow growth in business, majority of the income in FY09 was by way of interest on Fixed Deposits (FDs). During H1FY10, Credila saw some growth in business due to which its total income doubled to Rs.4.11 crore from Rs.2.07 crore during FY09.Credila did not breakeven during FY10 and reported loss of Rs.3.76 crore during FY10 as compared to loss of Rs.4.22 crore during FY09.

During H1FY11, Credila saw sharp rise in disbursements which helped it report total income of Rs.5.89 crore. Credila has yet to breakeven and reported loss of Rs.6.14 crore during H1FY11.

Prospects
Credila is Indias first NBFC committed to offering only educational loans. Credila, after study of the education loan market in India has built the necessary systems using strong technology put a qualified management team in place. This coupled with HDFCs experience of more than three decades in the lending business in India will help grow its business and will help expand its scale and establish itself as a niche player in the growing educational loan market in the country. The educational loan market in India is highly competitive dominated by banks which have mandatory requirement of offering similar product at concessional rates and in some cases without any collateral. Credila would be offering loans at higher and floating rates as compared to banks. Therefore, keeping its cost of funds at optimum levels to protect its margins and breakeven and maintain profitability would be critical for Credila to going forward. However, parent support would help in mitigating these risks.

Management
Post acquisition of majority stake, HDFC has deputed senior members as Directors of Credila Ms. Renu Sud Karnad (Managing Director, HDFC) is the Chairperson of Credila. Mr. V. S. Rangan (Executive Director, HDFC) and Mr. Subodh K. Salunkhe (Regional Business Head, HDFC) are the directors representing HDFC on the Board of Credila. Credilas promoters, Mr. Ajay Bohora and Mr. Anil Bohora continue to be Directors of Credila along with Mr. C. B. Chayya (former MD of BoB Cards).

Office Addresses Mumbai:

Credila Financial Services, Pvt. Ltd. B 301, Citi Point, Next to Kohinoor Continental, Andheri-Kurla Road, Andheri (East), Mumbai - 400 059, India

Nashik:
Credila Financial Services, Pvt. Ltd. F-2, Sahyadri House, 1st Floor MICO Circle, Trimbak Road, Nashik - 422 002 India

Pune:
Credila Financial Services, Pvt. Ltd. Nirmitee Heights, Office No.201, 3rd Floor, Opposite DCC Mall, Off "Z" Bridge Road, Deccan Gymkhana Pune - 411 004 India

Bangalore:
Credila Financial Services, Pvt. Ltd. B Wing 1258-1259, 14th Floor, Mittal Towers, #6 M. G. Road, Bangalore - 560 001, India

10

Delhi:
Credila Financial Services, Pvt. Ltd. Devika Towers, 701A & 702B, 7th Floor, Nehru Place, New Delhi - 110 019, India

Ahmedabad:
Financial Credila Services, Pvt. Ltd. B-304, Krishna Complex, Near New Vaishali Society Opp. Dev Ashish School, Bodakdev, Off S.G. Highway, Ahmedabad - 380 015

Chennai:
Credila Financial Services, Pvt. Ltd. 3rd Floor, Aarti Chambers, 189, Mount Road, Chennai - 600 002, India

Hyderabad:
Credila Financial Services, Pvt. Ltd. 2nd Floor, Pawani Plaza, Above HDFC Bank, No.6-3-698/A, Punjagutta, Hyderabad - 500 082, India

11

Research Methodology
Research Objectives
y y y y y To study the effectiveness of product promotion activity. To study advertising strategy. To find out best promotional activity. To find out loop-holes in advertising/promotional activity. To study influence of promotional activities on product purchase.

Research Design

Type of Data

Primary Data

Secondary data

Primary Data :

Primary data is the information collected or generated by the researcher for the purpose of the project immediately at hand. Sources for primary data are. y y y Survey Interview Observations

Advantages of Primary Data are.... First hand information

12

Reliable information Starting point Only source for knowing opinions, attitudes etc.

Disadvantages of Primary Data are. Expensive Scope of bias Problem of sample selection Time consuming

Secondary Data :

Any data which have been gathered earlier for some other purpose is secondary data in the hands of researcher. Primary data collected by one person may become secondary data for another. Sources for secondary data are.     Magazines government publication industry survey companies website

Advantages of Secondary Data are. Low cost Sufficient to get general information Easy availability

Disadvantages of Secondary Data are. Not customized to special needs Not updated

13

Sources Of Data For Project

1. Primary data has been collected from the customers by questionnaire method. 2. Secondary data has been collected from companys personnel, websites, broachers, books & magazine.

Data Collection Method

1. Survey method 2. Observation method

Research Instrument Questionnaire

It is a structured sequence of questions we can anticipate the most frequent and important type of response. Sometime when we are dealing with complex subject of topic, questions we want are going to have multiple parts. We may need to branch to sub-question sometimes. Advantages of questionnaire y y y y     y y y y y y y Cost effective. Relatively easy to analyze Familiar to participate. Can reduce bias by... Uniform question presentation. No middleman bias. Not influence by researchers opinion. No verbal or visual clues to influence. Less intrusive than other method. Respondents can take their own time. Usually anonymous. Confidential. Response implies consent. Large amount of data can be gathered. Do not usually require a great deal of interviewer training.

There are two basic types of survey question. 1. Open ended question : Open ended question are questions to which there is not one definite answer. Open ended question may be a good way to break the ice with the survey, giving respondent an

14

opportunity to answer in their own words. The drawback of open ended question is that the responses are more difficult to catalogue and interpret. 2. Close ended question. Close-ended question have a finite set of answer from which a respondent chooses. One of the choice may be or other. The benefits of close-ended questions are that they are easy to standardize and data gathered from close-ended questions lend themselves to statistical analysis. The down side to close ended question is that they are more difficult to write than open ended question. This is because the evaluator must design choices to include all the possible answers a respondent could give for each question.

Questionnaire For Project

In this study questionnaire is used for collecting primary data. In the questionnaire there are total 17 questions .All these questions are close-ended, so that the data can be easily interpreted.

Sample Size
Questionnaire is filled by 110 customers of Credila Financial Services in Pune. The questionnaire was filled at various promotional activities and vital information was collected which was then subject to... Data collection was also done with the help of personnel observation. After completion of survey the data was analyzed and conclusion was drawn At the end all information was compiled to complete the project report

Sampling Method
Random sampling method

Duration Of Study
The duration of study had a period of 55 days
15

Population
It refers to the total number of customers from which you collect information. Here the population of customers is too large to mention exactly.

Tool For Data Analysis

Pie chart
Primary data collected from the response were analyzed using simple percentage analysis.

Sampling Method
Random sampling method is used for this study.

Conceptual Background
Definition Of Promotion :
Promotion is one of the four elements of marketing mix (product, price, promotion, and place). It is the communication link between sellers and buyers for the purpose of influencing, informing, or persuading a potential buyer's purchasing decision. A business' total marketing communications programme is called the "promotional mix" and consists of a blend of advertising, personal selling, sales promotion and public relations tools. Promotion is the only P in the marketing mix which deliberately communication benefits of the product and all the offerings of the firm to the target market.

The sender designs the communication objectives (Promotional Objectives) and turns them or decodes them into a Message. This message is received by the Receiver(or audience or reader). The receiver decodes the message and understands the communication. The decoded message of the receiver matches with the communication objective of the sender if the communication process is effective.

16

Components Of The Promotion

The components of the promotions carried out by a firm or organisation are enumerated below..... 1. 2. 3. 4. 5. Advertising Sales Promotion Personal Selling Public Relations Direct Marketing

All of the above components when used in combination constitute a Promotion Mix of a firm or organisation.

1.

Advertising

Advertising is any paid form of non-personal presentation and the promotion of ideas, goods and services offered by an identified sponsor. Advertising provides information on the competitive framework, target market and messages to be used in advertising campaign for a specific product or service and so on. Advertising objectives help to fix advertisement expenditure, type of advertisement to be used, most suitable media, frequency of the ad campaign, method for evaluating the effectiveness of advertisement etc.

Merits :
y y y Can reach many consumers simultaneously. Excellent for creating brand images. High degree of flexibility and variety of media to be chosen from.

Demerits :
y y y High visibility makes advertising a major target of marketing cities. Advertising exposure time is usually brief. Advertisements are often quickly and easily screened out by consumers.

2.

Sales Promotion:

Sales promotion consists of a diverse collection of incentives tools, mostly short term designed to stimulate quicker or greater purchase of a particular product or service by consumers or by the trade.
17

Sales promotions are basically giving the customers some additional benefits may be at times just some small gifts in order to promote the schemes. The more innovative the sales promotion the more positive is the results. Some of the most popular sales promotion techniques are... y Gifts y Contests y Fairs and shows y Discounts and commission y Additional allowances y Low interest financing It is very important that the sales promotion benefits are designed in such a manner that they are better than those of the competitors.

Merits : y Excellent approach for short term price reduction for stimulating the demand. y Can be effective for changing a variety of consumer behaviours. y Can be easily tied in with other promotional tools. Demerits :
y y y May have only short term impact. Over use of price related sales promotion tools may hurt brand image and profits. Effective sales promotion is easily copied by competitors.

3.

Personal Selling:

Selling that involves face-to-face interaction between the sales person and the prospective customer. Personal selling is found to be one of the most effective and popular form of promoting business. Personal selling involves direct face-to-face interaction with the customers. The role of personal selling varies from organisation to organisation, depending upon the factors like the nature of the target market and the type of product to be sold. It provides the customers, all the information seeked by him. Following are some of the important features of personal selling.... y It is direct relation between the buyer and the seller.
18

y y y y

It is oral presentation in conversation. It is personal and social behaviour. It is found to be more effective in service industry. It is based on the professional excellence or expertise of an individual.

Merits : y Can be the most persuasive promotional tool; sales people can directly influence purchase behaviour. y Allows two way communications. y Often necessary for technically complex product. Demerits : y High cost per contact. y Sales training and motivation can be expensive and difficult. y Poorly done sales presentations can hurt sales as well as company, product and brand image.

19

4.

Public Relations :

Public relation is a management function which tabulates public attitudes, defines the policies, procedures and interests of an organisation....followed by executing a program of action to earn public understanding and acceptance. Most firms in todays environment are not only concerned to customers, suppliers and dealers but also concerned about the effect of their actions on people outside their target markets. It is a planned effort by an organisation to influence the attitudes and opinions of the specific group by developing a long term relationship. These target may include a large number of interested public (customers, stock holders, government agencies, special interest groups). Public relations role in the promotional mix is being more important because of what Philip Kotler describes as an over communicated society. Consumers develop communicationavoidance routines where they are likely to tune out commercial messages. As advertising loses some of its cost-effectiveness, marketers are turning to news coverage, events and community programs to help disseminate their product and company messages. Some consumers may also base their purchase decisions on the image of the company. Following are some PR Tools... y y y y y y Annual Reports Press Conferences Event Sponsorship Corporate blogs News and press articles on the website CSR(Corporate Social Responsibility)

Direct Marketing :
Direct Marketing is an interactive marketing system that uses one or more advertising media to affect a measurable response and a transaction at any location. Direct marketing involves all the activities undertaken by an organisation in effecting the exchange of goods and services with a target audience by making use of media. Objective of direct marketing are identifying new prospects, increasing sales, inducing customers to make repeat purchase, test marketing and launch of new products, marketing product to niche market segment and so on.
20

Following are some forms of Direct marketing.... y y y y y y Direct Mail Telemarketing Email Marketing Couponing Direct response television marketing Direct selling

21

Data Presentation And Interpretation

Que :- Do you heard about Credila before?

Responses :Sr No 1 2 Basis Yes No No. of Respondent 28 82 Percentage 25 75

Heard about Credila?

25%

Yes No

75%

Interpretation:Only 25 responses are positive. They know about Credila. About 75% of people contacted dont know about Credila. It implies that awareness about company is not satisfactory.

22

Que :-How do you come to know about Credila? Responses :Sr No 1 2 3 4 5 6 Basis Vehicle Advertising Pamphlet Internet College Campaign SMS Others No of Respondent 19 27 08 37 13 06 Percentage 17 25 07 34 12 05

How do you know?

5% 12%

17%

Vehicle Advertising Pamphlet Internet 25% College Campaign SMS

34% 7%

Others

Interpretation:Above question is formed to know effectiveness of advertising medium. From the collected information, it is clear that Collage Campaign is most effective in advertising of Credila. Pamphlets and vehicle advertising also attract students to approach Credila.

23

Que :- Do you see Credilas advertisement before? Responses :Sr No 1 2 Basis Yes No No of Respondent 18 92 Percentage 16 84

Do you see Credila's advt. before?

16%

YES NO

84%

Interpretation:Above question is formed to know awareness about Credila. From the above result, we came to know that only 18 out of 110 people saw advertisement of Credila. It implies that advertisement strategy of Credila must be revised in order to get more attention by target customers.

24

Que :- Do you like Credilas advertisement? Responses :Sr No 1 2 Basis Yes No No of Respondent 92 18 Percentage 84 16

Do you like Credila's Advt.?

32%

YES NO

84%

Interpretation:Above question was formed to know about how many people like Credilas advertisement. Form the above result it is clear that out of 110 customers 92 like Credilas advertisement. We can conclude that content in advertisement of Credila is attractive.

25

Que :- Is message given in advertisement easily understandable? Responses :Sr No 1 2 Basis Yes No No of Respondent 74 36 Percentage 67 33

Is Advt. easily understandable?

33% YES NO 67%

Interpretation:From the above result, we came to know that only 67% of people understand Credilas advertisement. It says that advertisement content is not easily understandable. It must be redesigned by considering understanding ability of target audience.

26

Que :- Do you recall message easily? Responses :Sr No 1 2 Basis Yes No No of Respondent 36 74 Percentage 33 67

Do you recall message easily?

33% YES NO 67%

Interpretation:Above question is formed to know how many people remember about Credilas advertisement. From the above result, we came to know that only 36 out of 110 people remember about advertisement. It says that advertisement content is not easily understandable by all.

27

Que :- In the last week, how many times have you seen an advertisement of Credila? Responses :Sr No 1 2 3 4 5 Basis 0 1 2 3 4 or more No of Respondent 92 11 7 0 0 Percentage 84 10 06 00 00

Frequency of seeing Advt.

0% 0% 6% 10% 0 Times 1 Time 2 Times 3 Times 4 or more Times 84%

Interpretation:From the collected information, we know that 84% of people contacted didnt see any Credilas advertisement. Only 10% & 6% people saw Credilas advertisement 1 time & 2 times respectively. It is clear that Credila must increase volume of advertising and its frequency.

28

Que :-How do you feel about service of Credila? Responses :Sr No 1 2 3 4 Basis Best Better Good Poor No of Respondent 29 24 17 00 Percentage 42 34 24 00

Service Quality

0% 24%
Best

49%

Better Good Poor

34%

Interpretation:From collected responses it is clear that service quality of Credila is best. Almost half of responses agree about the fact. 34% of respondent said that Credilas service is better while 24% said it is good. It must be noted that no one said Credilas service quality is poor. It implies that services provided by Credila is standardized and up to the mark.

29

Que :- Do you participated in any promotional activity of Credila? Responses :Sr No 1 2 Basis Yes No No of Respondent 53 57 Percentage 48 52

partiipated in any promotional activity of Credila?

Yes 48% 52% No

Interpretation :48% responses are positive. They had participated in promotional activity of Credila. About 52% of people contacted didnt participate in events. It implies that promotional activities attracts potential customers. Still it requires more structured promotional campaign designing.

30

Que :- Have you heard about Credilas Twin Win Offer? Responses :Sr No 1 2 Basis Yes No No of Respondent 45 65 Percentage 40 60

Know Twin Win Offer?

40% 60%

YES NO

Interpretation:Twin Win Offer is one of the sales promotion activities at Credila. Above question is designed to know awareness about the same. 60% respondents know about twin win offer .It implies that sales promotion activity is going well. Still it requires more efforts to get quick sales.

31

Que :- Will you participate in Credilas Twin Win Offer? Responses :Sr No 1 2 Basis Yes No No of Respondent 71 39 Percentage 71 39

Will you participate in Twin Win Offer?

39% YES NO 71%

Interpretation:Twin Win Offer is one of the sales promotion activities at Credila. Above question is designed to know potential about the same. 71% respondents responded positive about twin win offer. It implies that sales promotion activity is going well. Still it requires more efforts to get quick sales.

32

Que :- Have you heard about Credilas Refer a Friend Offer? Responses :Sr No 1 2 Basis Yes No No of Respondent 68 42 Percentage 62 48

Know Refer A Friend Offer?

48% 62%

YES NO

Interpretation:Refer A Friend Offer is another sales promotion activity of Credila. Above question is designed to know awareness about the same. 62% respondents know about Refer A Friend offer .It implies that sales promotion activity is going well. Still it requires more efforts to get quick sales.

33

Que :- After knowing about Credilas Refer a Friend Offer, Will you refer your friend? Responses :Sr No 1 2 Basis Yes No No of Respondent 105 5 Percentage 96 4

Do you refer a Friend?

4%

YES NO

96%

Interpretation:Refer A Friend Offer is another sales promotion activity at Credila. Above question is designed to know potential about the same. 96% respondents said they refer their friends .It implies that this sales promotion activity have much potential.

34

Que :-Which factor attract you while applying to Credila education loan? Responses :Sr No 1 2 3 4 5 Basis Service Quality Interest Rate Advertising Special Offers Others No of Respondent 61 14 08 21 06 Percentage 55 13 07 19 06

Which factor attract you?

6% Service Quality 19% Interest Rate Advertising 7% 13% 55% Special offer others

Interpretation:From collected information, It is clear that service quality is major strength of Credila. Interest rate & Special offers are also influencing customers to choose Credilas product. Advertising fails to attract customers.

35

Que :-What type of promotion activities influences you while applying to Credila? Responses :Sr No 1 2 3 4 5 6 Basis Vehicle Advertising Pamphlet Internet College Campaign SMS Others No of Respondent 16 22 09 46 13 04 Percentage 15 20 09 42 12 04

Influencing promotional activity

4% 12%

15%

Vehicle Advertising Pamphlet 20% Internet College Campaign

42%

SMS 9% Others

Interpretation:From the collected information, it is clear that Collage Campaign is most effective in promotion of Credila with 42%. Pamphlets and vehicle advertising also attract students to approach Credila with 20% and 15% respectively. Internet advertising and advertising through SMS requires more effort to boost sales contribution.

36

Que :-How do you feel about promotional activities of Cedila education loan? Responses :Sr No 1 2 3 4 Basis Good Satisfactory Partially Satisfactory Need to change No of Respondent 58 19 08 25 Percentage 53 12 07 23

How is Credila's Promotional activities

23% Good Satisfactory 7% 12% 53% Partial Satisfactory Need to Change

Interpretation:From collected information, It is clear that 53% of contacted people agrees that Credilas Promotion activities are good. About 23% said that a promotional campaign of Credila need to revise.

37

Que :- Which promotional activity will you like most at Credila education loan? Responses :Sr No 1 2 3 Basis Twin Win Offer Rafer a Friend Offer Tatkal Education Loan No of Respondent 15 23 72 Percentage 14 21 65

prefered promotinal activites

14% Twin Win Offer 21% 65% Refer A Friend Tatkal Education Loan

Interpretation:Above question is formatted to know about most preferred promotional offer of Credila. From collected information, noticed that 65% of contacted people agrees that Tatkal Education Loan is most preferred promotion activities of Credila. About 21% and 14% preferred Twin Win and Refer A Friend Offer.

38

Findings
1) College Campaign influence more on consumers while purchasing the product (i.e. Education Loan) as compared to other promotional activities. 2) It is clear that Credila Financial Services has loop holes in product promotional activities. 3) According to information collected Credila Financial Services has three main loop holes in promotional activities.... a) Less participation of live audience at promotional activity. b) Less stress on potentially better promotional activities like Twin Win Offer, Refer A Friend Offer. c) Poor sales promotion. 4) 5) Less number of potential customers contacted by advertising. Credila Financial Servicess promotional activities need to revise.

6) Sales Promotion activities like Twin Win Offer, Refer A Friend Offer will be more effective. 7)Tatkal Education Loan is best promotional activity.

39

Limitations

1) Time constraints:-Due to the time constraint and busy schedule of the students, it was difficult to interact with them for collecting data. 2) Information given by the respondents is assumed to be true. 3) The study is carried only within Pune city.

40

Sugessions

To increase the sales level of product, the company should increase advertising and provide appropriate information with proper communication to target customers. y Credila should concentrate on sales promotional activities. y Credila should revise its promotional activities. y Concentration on potential promotional offers like twin win offer, refer a friend offer is needed.

41

Conclusion
Promotion is the only P in the marketing mix which deliberately communication benefits of the product and all the offerings of the firm to the target market .Marketer must select his Promotional mix by considering all components of promotion mix (i.e. personal selling, advertising, sales promotion, direct marketing, public relation).Advertisement must be designed in such a way that target audience understand it easily. Timely revision of promotional activities is required for effective results.

42

Bibliography
Books :
y y Marketing Management- Philip Kotler Marketing Management- Ramaswami

Websites :
y y www.google.com www.credila.com

43

Annexure
Questionnaire
y Do you heard about credila before? YES NO How do you come to know about Credila? Vehicle Advertising Pamphlet Internet College Campaign SMS Other Do you see Credilas advertisement before? YES NO Do you like Credilas advertisement? YES NO Is message given in advertisement easily understandable? YES NO Do you recall message easily? YES NO

In the last week, how many times have you seen an advertisement of Credila? 0 Times
44

1 Time 2 Times 3 Times 4 or more Times y How do you feel about service of Credila? Best Better Good Poor y Do you participated in any promotional activity of Credila? YES NO y Have you heard about Credilas Twin Win Offer? YES NO y Will you participate in Credilas Twin Win Offer? YES NO y Have you heard about Credilas Refer a Friend Offer? YES NO y After knowing about Credilas Refer a Friend Offer, Will you refer your friend? YES NO y Which factor attract you while applying to Credila education loan? Service Quality Interest Rate Advertising Special Offers Others y What type of promotion activities influences you while applying to Credila? Vehicle Advertising
45

Pamphlet Internet College Campaign SMS Other y How do you feel about promotional activities of Credila education loan? Good Satisfactory Partially Satisfactory Need to Change Which promotional offer will you like most at Credila education loan? Twin Win Offer Refer A Friend Tatkal Education Loan

46

PHOTOGRAPHS

College Campaign

47

Vechicle Advertisement

48

Seminar at College

49

Advertise Pamphlet

50

Advertise Pamphlet

51

Mouse Pad Advertise of Credila

52

Credilas Web-site

53