11117 internshipfinalcopy

i

Kathmandu University School of Management

Internship Report

Title of the project: Title: “A research on examining the effects of Integrated Marketing

Communication on consumer behavior, consumer based brand equity and sales”

As part of the requirement for MBA Programme

Internship Programme Code: PWM 703

Internship Employer

Echo Advertising Agency

Work Supervisor: Nirmal Shrestha

Tripureshwor, Kathmandu, Nepal

Tel: 00977 1 4260088 , 4260977

Fax: 00977 1 4251184

Internship Project Supervisor

Ms. Prabina Rajbhandari

Kathmandu University School of Management

Intern

Prashansa Dhakal, KU Redg No: 11117

22nd

September, 2013

ii

SIGNATURE PAGE

I hereby certify that I have read this document thoroughly and in my opinion, it is

satisfactory in its scope and quality and it fulfills all the requirements of the Project

assigned for the MBA Programme Internship Programme Code PWM 703.

Ms. Prabina Vaidya Rajbhandari

Supervisor

iii

COPYRIGHT

All rights reserved. No part of this report may be reproduced or transmitted in any form

or by any means known or to be invented, electronic or mechanical, including

photocopying, recording, or by any information storage or retrieval system without the

written permission from the owner. Any unauthorized use or copy of this report is strictly

prohibited. Anyone found guilty of copying or using report without prior permission from

the owner, will be prosecuted according to the this Intellectual Property, Copyright Act

2002 (Nepal)

Copyright 2012 © by Prashansa Dhakal

iv

DECLARATION

The author is confident that the results of the collected data and information analyzed in

this report will be taken as guidance for a more comprehensive study at the future date.

The views expressed in this report are based on the information provided through

different primary and secondary sources and that of the group members only. Other

sources are acknowledged by references and bibliography. The views and analysis

contained in this report are those of its authors and not that of Kathmandu University

School of Management (KUSOM).

Prashansa Dhakal

v

ACKNOWLEDGEMENT

It is with immense gratitude that I would like to thank Ms. Prabina Rajbahndari for her

direction, guidance and assistance. In particular, Ms. Prabina’s recommendations and

suggestions have been invaluable for the paper. I wish to express an indebtedness

gratitude to internship coordinator Mr. Sabin Pant who provided all the guidance

throughout the progress of the report. I would undoubtly like to express my sincere

gratitude to Kathmandu University School of Management for providing a three credit

hour internship programme, so that we could understand the practical world according to

our specialization and imply all the read concepts practically.

I hunger to express my appreciation to Account manager, Nirmal Shrestha of ECHOAD

who helped me with providing the guidance for 12 weeks on internship. Lastly I would

like to thank all the people and colleagues who have been the great support and helped

me directly and indirectly to ample this report. This report has given the practical

exposure to understand the theoretical concept of marketing. Hence, I want to thank all

the people who have been support directly and indirectly to complete this report.

Lastly I would like to thank God, the Almighty, for having made everything possible by

giving me strength and courage to do this work.

Thank you all

Sincerely

Prashansa Dhakal

vi

EXECUTIVE SUMMARY

”IMC is the process of managing all sources of information about a product/service to

which a customer or prospect is exposed which behaviorally moves the consumer

towards a sale and maintains customer loyalty”. (Don Schultz, 1991).

Linked closely to this literature, the paper examines the effect of IMC on consumer

behavior, brand (awareness, performance, image and loyalty) and sales. The study

scrutinizes the two sample population for the base of the research one the consumers and

next the retailers. After the survey the results seems to portray that IMC techniques has

been able to arise nominal amount of brand awareness but has been able to create

sufficient (medium) level of brand perception, attitudes, brand image and loyalty. On the

retailer’s side, the results showed that there was immense increase in sales. The

contradictory was found when consumer’s behavior and consumers based brand equity

was medially changed with IMC but the change in sales were reported high.

The paper examines the effects of IMC but the genuine results were still not properly

revealed due to the presence of push marketing done by the company. The realistic

behind the contradiction of the results of changes in consumer behavior and brand equity

with sales may be due to the presence of external factors as push marketing done by the

company.

The research findings suggest that DTA and Radio activation (which was currently used

as an IMC tool by the company) are still not regarded by the consumers as a good and

reachable medium for information of Snickers. The reason for such discrepancy may be

because, the rate of DTA and radio activation are low and is not been able to catch the

sense organ of consumer. Thus viewing all these consequences, some of suggestions

include Increase the number of DTA average daily shows, have the advertising through

print Medias and have a facebook page activated actively in Nepal.

vii

CONTENTS

LIST OF TABLES ..........................................................................................................x

LIST OF FIGURES ....................................................................................................... xi

LIST OF ACRONYMS ................................................................................................. xi

PART ONE

1. INTRODUCTION ...................................................................................................1

1.1 Background ...............................................................................................................1

1.2 Goals/ Objectives of Internship ..................................................................................2

1.3 Roles/Jobs performed in the internship.......................................................................3

PART TWO

2. 1 INTRODUCTION OF INDUSTRY & COMPANY ..................................................5

2.1.1 Mission/Purpose/Objectives/Goals of the company .................................................5

2.1.3 Major products of the company ...............................................................................7

2.1.4 Organizational structure of the company .................................................................7

2.2.1 External Environment .............................................................................................8

2.2.2 Internal Environment ..............................................................................................8

PART THREE

3.1 INTRODUCTION OF THE PROJECT UNDERTAKEN ..........................................9

3.1.1Introduction of the project ........................................................................................9

viii

3.1.1.1 Rationale of the project ...................................................................................... 10

3.1.1.2 Problem Statement ............................................................................................. 10

3.1.2 Objectives of the project ....................................................................................... 12

3.1.3 Scope and limitation of the project ........................................................................ 12

3.2 Literature Review and Conceptual framework ......................................................... 15

3.2.1 Literature Review ................................................................................................. 15

3.2.2 Conceptual framework .......................................................................................... 22

3.3 Methodology/ procedure of project/s (Research design, Instruments used and Data

analysis) ........................................................................................................................ 24

3.3.1 Sampling design.................................................................................................... 24

3.3.3 Data collection ...................................................................................................... 26

3.3.5 Reliability and variability ...................................................................................... 27

3.4 Presentation and Analysis of the project ................................................................... 30

3.4.1 Analytical presentation of research on consumers ................................................. 30

3.4.2Analytical presentation of research on Retailers ..................................................... 40

3.4 .3 Major Findings .................................................................................................... 43

3.5 Conclusion and suggestions ..................................................................................... 46

3.5.1 Conclusion ............................................................................................................ 46

3.5.2 Suggestions ........................................................................................................... 47

3.5.3 Implementation plan ............................................................................................. 49

ix

PART FOUR

REFLECTION OF INTERNSHIP ................................................................................. 56

4.1 Reflection ................................................................................................................ 56

APPENDIX 1 ................................................................................................................ 58

APPENDIX 2 ................................................................................................................ 59

APPENDIX 3 ................................................................................................................ 61

APPENDIX 4 ................................................................................................................ 63

APPENDIX 5 ................................................................................................................ 65

APPENDIX 6 ................................................................................................................ 73

REFERENCES .............................................................................................................. 74

x

LIST OF TABLES

Table 1: Brand Perception of three brands of Chocolate……….………………………30

Table 2: Rating of Associations related to Snickers by consumers.…………….….…...34

Table 3: Rating of functional benefits of Snickers by Consumers.……………….……..35

Table 4: Rating by Consumers for the consumer buying behavior.………......................36

Table 5: Brand Loyalty rating of consumers……………………….….....……………...37

Table 6: Medium effectives as per consumers…………..…………..……..………….…39

Table 7: Choice of Medium as per consumer……………….……….……………..……42

Table 8: Difference in incentives as answered by the retailers………..………………....42

Table 9: Daily sales of Dairymilk, Kitkat and Snickers…………..….……………...…..38

xi

LIST OF FIGURES

Figure 1: Manpower distribution……………………………………………….….…..….6

Figure 2: Conceptual Framework of the research……………..………..………………..22

Figure 3: Structure of Methodology……………………..………………………………29

Figure 4: Rating of consumers for Dairymilk…………………………………………...30

Figure 5: Rating of consumers for Kitkat………………………………………………..31

Figure 6: Rating of consumers for Snickers……………………………………………. 31

Figure 7: Attitude towards Snickers……………………………………………………..31

Figure 8: Brand awareness level in the category…………..…..………….……….….…32

Figure 9: Brand awareness when product category was given as a hint…….….….…….33

Figure 10: Brand Image of Snickers…..…………………….………………….…..……34

Figure 11: Brand feelings associated with Snickers………………..…………...……….36

Figure 12: Loyalty of Snickers…………………………………...….….………...……..38

Figure 13: People who will miss Snickers……………………….……..…………...…...38

Figure 14: Medium effectives as per consumers……….………………………………. 39

Figure 15: Availability of Dairymilk……………………….……….…………………...40

Figure 16: Availability of Kitkat……………………………..…………….…………….41

Figure 17: Availability of Snickers………………………….………..…………...…..…41

Figure 18: Highest incentive among the brands…………………….……………….......41

Figure 19: Sales of three brands of chocolates ..…………………………………….......43

xii

LIST OF ACRONYMS

AAAA American Association of Advertising Agencies

DTA Digital Theater Advertising

ECHOAD Echo Ad Advertising

FM Frequency Modulation

HMG His Majesty’s Government

ITL Imperial Tobacco Limited

KUSOM Kathmandu University School of Management

MBA Masters in Business Administration

SWOT Strengths, Weakness, opportunities and Threats

TVC Television Commercial

1

Part One

1. INTRODUCTION

1.1 Background

Kathmandu University School of Management offers an internship program as a project

for completing the MBA programme Internship Programme under the Code:PWM 70;

The three credit hour course progress to career that contain a certain a significant

specialized research component. The tenure of internship aims to afford the students the

career aspirations for the future which will provide the limelight for future career.

Hence, to accomplish the University requirement and the enthusiasm of learning by doing

encouraged me to enter an organization that was involved in enormous scale operations,

within this module. Beyond the classrooms, the internship program aims to offer

obligatory underpinnings for the research and further professional work could be related

to different course module concepts. With the mindset of gaining practical experience, I

choose an organization which could provide me with handful of such work experience

and help develop skills and knowledge that would expose to different roles and jobs

associated with the project.

In accordance with the requirement, I joined ECHOAD for my aspiration to work in one

of the foremost organization in associated field. EchoAD, ruling the advertising world of

Nepal for more than three decades, is one of the leading organizations in its field). With

an involvement in advertising of International as well local brands, Echo provides full

solutions to the advertising needs of its clients. Established in 1976 till now, Echo has

been looking after the advertising needs of its clients like Dabur, Ncell, Horlicks, BEKO,

Yamaha, Jagadamba and now recently Snickers. Echo has understood the fact that

advertisements are not the only demand of modern world clients, thus there are other

activation done by EchoAd for its client. Echo has been conducting school level activities

for children targeted health drinks Horlicks, Boost as well as Junior Horlicks.

2

Furthermore, Echo has Teaser Road activation for BEKO to generate the curiosity about

the brand and also propagate the message that the brand is available in 107 countries with

250 million happy customers. Recently, the activation of Snickers has also been added to

the list of the company which targets to increase the brand value ad provide loyal

customers for Snickers.

The twelve weeks internship was a blend of enhancing the experience and skills required

for future career and opportunities. The module is an educational programme, which aims

to provide students with overview of research design and process skills.

1.2 Goals/ Objectives of Internship

To attain the objectives, it was important to have synchronization on three different types

of goals personal, academic and professional.

Personal Goals -

With the accomplishment of tentative campaign report as a final report, a part of a

completion of a course, for the subject Integrated marketing communication; gave me

more confidence on having built my dreams in reality. It encouraged the feeling of doing

innovative works and from fantasy it drove to reality. Also, as a personal goal, I wanted

to develop and learn the professionalism and learn the work place ethics and value.

Academic Goals–

The major academic goal was to complete MBA as per the prerequisite of Kathmandu

University. But there are supplementary goals related to the specialization (marketing),

which also needs a consideration.

One of the important academic goals incorporate to practice and develop the number

aptitude and research by conducting the research focusing on marketing aspect of a

business. Echo being one of the leading advertising organizations is not inclined towards

3

the vigorous research and change. Thus, internship is such a platform to develop and

practice such skills.

Moreover, the knowledge of consumer behavior is required in every step of marketing.

It is a mantra for marketing and can be used in numerous circumstances. Thus, one of the

professional goals of being a marketing student is to develop the skill to master the art of

indulgent of the consumer behavior.

Professional Goals–

The professional desires was to land up in an ad agency and ultimately have my own ad

agency. However, right now in last phase of culmination of MBA course; i need to apply

the theoretical knowledge on the practical world. As per now, i want to infer all the

theories to the real world. The goal is not so tranquil. As a part of my professional goal,

development and enhancement the skills such as interpersonal skill, leadership skill and

enhance creativity is a must for utmost career aspirations.

At the first day of the internship, I was said that communication is the crucial factor

there. Thus, one of the decisive professional goals is to develop the communication skill.

A solution that is diverse from any other ad agency must be provided by the ad agency.

Thus, creativity is solitary of the demanding needs of any ad agency. With captivating

the lead in one of the major project of Snickers radio activation, I was competent to

gather leadership skills. The skill will be accommodating throughout the career to take

leads in various projects. Also, the aim was to polish the conflict management skills and

stress handling skills.

1.3 Roles/Jobs performed in the internship

As an intern the work experience was divided into two departments Client servicing and

creative department. With the partaking in other campaigns, the other relevant skills and

4

knowledge were also enhanced and endeavor. Thus, not only the role was restricted to

these departments but there were other roles too which was associated with the internship

Client service Department

The roles vacillated from understanding the inner motives of the client for collecting brief

of the product or service from the client in detail. Moreover, specifying the brief to the

creative department and resonant out necessary research for the development of service

for the client. Hence, communicating the creative department about the approved subject

matter. The process is explained in the APPENDIX 1

Creative department

Copywritter was the utmost facilitating work in the creative department. With the

assignment of different projects of the clients related to copywriting there was handful

experience of creative skills; some of which are writing the dialogues of TVC, writing

headlines in print ad etc. Some of the other works and roles which were assigned during

the internship tenure are listed below:

Coordinator: Snickers Brand Activation was one of the prominent experiences in

EchoAd. The concept is new in Nepal; thus, the work was stimulating in itself. As set the

complete authority and work of the coordination with the colleges, FM stations and the

EchoAD itself, the role was obliging to manage the sophisticated system.

Researcher: During the tenure of the internship, I was answerable to look after many

projects simultaneously; the foremost ones were the Jagadamba survey which was done

with the dealers of Nepal.

Incharge: The internship also realized that I was responsible to take the incharge, as i

had to manage solely after the Brand activation of Snickers and Jagadamba survey.

5

Part Two

2. 1 INTRODUCTION OF INDUSTRY & COMPANY

With over three decades of experience in advertising of International, Indian and Local

brands, Echo Advertising Agency (Incepted in 1976), is one of the leading players in the

advertising arena of Nepal. Specializing in providing total solutions to the advertising

needs of our clients, it remains the leading agency in the country.

2.1.1 Mission/Purpose/Objectives/Goals of the company

Mission

“We know the rules. We break the rules. And where there are none, we need no invitation

to invent them”

Objectives

“It is better to be seen once than to be ignored thrice!”

Goals

“Brands rule markets when ideas rule the advertising.”

For Echo ad, art is just more than an art. It is a full service agency which takes care of

each and every aspect of the client’s requirement. It believes in understanding three

aspects; market, consumer and the brand. Thus, the mission of breaking the rules in terms

of innovation strikes here when the client is served in 360 degree approach.

The cumulative talent of the creative team, the exploratory power of software tools, the

wealth and analysis of past experience, the expectations, needs and demands of marketing

and communication executives combine together to provide the end result. Thus, by all

these beliefs the objectives of better communication trough the brands and promotions

6

Echo has made the advertisements and promotions to be seen once than to be ignored

thrice. Ultimately, the utmost care has been taken for all the branding and advertisement

activities which has helped to establish ECHOAD as a trustworthy place for all the big

and small media houses of Nepal

2.1.2 Organization Strategies

Communication strategy

Since the needs and demands of all communication strategy in any part of the world is

specific and distinct to the region, there is a need for localization of the message for it to

be audible and to the specific target audience. There exists no panacea.

Consumer behavior is structured, framed, biased and built by the cultural, social and

economic dynamics of a country. Nepal in itself offers a unique challenge for any

advertiser, considering its economy, diversity, media vehicles available, literacy rate and

exposure to information.

HR strategy

At present having a total manpower of 52 Staffs, that enables the company to serve all

clients’ needs through our various in-house departments.

Figure 1: manpower distribution

7

2.1.3 Major products of the company

ECHOAD offers the following services toward the implementation of the campaign:

1. Strategic Planning, Conceptualization & Creative Development

2. Pre-Press Services (artwork, positives etc.)

3. Audio & Audio Visual production

4. Supervision of media-production

5. Media Planning and Execution

6. Hoarding Rentals and Supervision

7. Production and Supervision of IEC materials

8. Grass-root level interactions with Target Audience

9. Impact Testing and other field research (if so desired)

The list of Clientele served are listed in APPENDIX 2

2.1.4 Organizational structure of the company

Echo Advertising Agency is staffed with 42 personnel. Although, in the agency most of

the jobs are a result of team work and flat hierarchy is prevalent, there is a structured flow

of communication for the strict supervision and quality assurance.

The structure of the company is provided in APPENDIX 3

8

2.2 Organization’s general and competitive environment

2.2.1 External Environment

Political and legal environment

According to Ram Avash (2008), The laws that is related to mass media, consumers act

and other related acts (copyright act, defamation and libel) affects the advertising. He

further adds that National Communication policy and programmes of HMG was appeared

in 1988. He adds the policy 1992 for Nepal Television and Radio Nepal discourages the

alcohol advertisements and advertisements related to tobacco.

Economic Environment

Ram Avash (2008) states that the economic scenario of outdoor advertising is such that

the launch of new television stations in the country have increased the television

advertising to 35 million transaction in the starting year of the introduction of television

channel. The sum total of annual turnover in advertising in Nepal in the form of print,

radio, television and outdoor advertising is Rs. 2 Billion.

Social Environment

Ram Avash (2008) prescribes that there are nearly 189 ad agencies in the country. There

is a fierce competition for three billion industry. Advertising Association of Nepal (AAN)

is an association acting as umbrella for advertising agencies of Nepal.

Technological environment

Ram Avash (2008) states; there is a programme as an independent body to monitor the

electronic media, the digital media and the foreign advertisement. It also aims to establish

impartial, impartial, representative and free censor board. Micheal porter’s five force

analysis is provided in APPENDIX 4

2.2.2 Internal Environment

The SWOT analysis is provided in APPENDIX 5.

9

Part Three

PRESENTATION OF MAJOR PROJECT/S UNDERTAKEN

3.1 Introduction

3.1.1Introduction of the project

IMC is a concept that recognizes the added value of disciplines related to

communications, such as direct response, sales promotion, general advertising and public

relations. It combines these disciplines and provides clarity, consistency and maximum

communication impact (E. Thorson & J. Moore, as cited in Integrated communication a

synergy of persuasive voices, 1996).

Integrated Marketing communication is a holistic discipline which involves the

organization in the task of developing congruent, sustainable and high brand experience

for all stakeholders (Angus Jenkinson & Branko Sain, 2005)

As prescribed above, IMC is an important aspect of every organization. Subsequently,

IMC is expected to increase the attitude, perception, brand equity and ultimately the

sales. When appropriate IMC plan has been executed, the outcomes can gratify all the

stakeholders from consumers to investors.

The paper recognizes the complementary between IMC and other elements; it is

significant in every case to recognize if the campaigns successfully meet the objective of

positively influencing the sales, consumer behavior and brand equity of the product.

Thus, several queries arise about the true footing of the company (ECHOAD) regarding

the campaign success. To answer all these queries, a survey was felt necessary. Thus, two

sets of population was sampled, one being the consumers (to discern the consumer

behavior and brand equity) and next the retailers (to discern the status of current sales).

10

In recognizing this complexity, this project aims to study the effectiveness of the

campaign the research on the validity of the marketing campaign and aims to plain the

role of IMC. Through this paper, the understanding of IMC and its impact on the target

groups perception and behavior is to be known. Furthermore, the paper also aims to

provide the relation of change in consumer’s perception and brand equity with the sales

of the product. Briefly, the results of hostile IMC effects on the market and consumers

were measured with reliability.

Rationale of the project

In response to the current concerns about the effect of hostile marketing environments on

brand equity and on the increased management expectations related to marketing

performance and accountability, many organizations are now considering to improve the

management and integration of the programs such as marketing communication programs

using integrated marketing communication (IMC). Nevertheless, various authors are now

supporting then notion that there is ambiguity surrounding the definition of IMC, with no

mutually agreed upon or consistant meaning, and with the need of many areas of

clarification. (Baker and Mitchell 2000; Beard 1996; Cornelissen 2001; Duncan and

Mulhern 2004; Kitchen and Schultz 1999; Low 2000; Phelps 1996 as cited in The

relationship between integrated market orientation, and brand orientation, 2005).

Stressing the importance of IMC and collating relevant material in this area in context to

marketing, the research to evaluate the IMC was felt necessary to mark the response and

manage the hostile marketing environment. As the above literature stresses, to improve

the marketing performance and accountability the rationale of evaluation of the current

IMC done by any organization is utmost needed.

Problem Statement

Dr. A. Asgari (2010) states that the researcher is always in need to convince the reader

about the topic chosen as it consists of important problems and solving them will

contribute towards knowledge development and he also highlights the point that the

researcher needs to highlight briefly the background on what is to be investigated, which

11

has been stated in greater detail in the background of the study (e.g. History,

development, current status and problems that exist).

In the above context, advertising firms run abundance of campaigns for its clients, but the

responsibility in its part does not end here. Despite satisfying the clients, there may be

undesirable reaction of the market. To unmask the actual state of the market and to reflect

the view regarding the success of the campaign, different state of variables affecting the

sales of the product was tested. In furthering the discussion, currently ECHOAD is

running a campaign for the Snickers, but the results of the program is unknown. The

notion is either the program is successful or it is not. In a broad sense, success of the

campaign is known through the increase in sales. Before the sales increases, there must

be some effect on perception and attitude of consumers. In justifying the issues the major

issues that needs to be focused is:

Does the IMC technique influence the consumer behavior, consumer based brand equity

and ultimately the sales of a product?

The above problem statement is in context of ECHOAD, the issue is to evaluate the

current campaign of ECHOAD for Snickers; to examine if the IMC used by the company

is really helping the product to make positive changes in the consumer behavior, brand

equity and sales.

The other secondary problem statements are:

Are the IMC techniques influencing the consumer behavior (Brand perception and

attitude)?

Are IMC techniques obliging in influencing the brand equity (recall, recognition,

performance, image and loyalty)?

Is there any effect of change of consumer behavior and brand equity on sales?

Has the sales increase after the use of IMC?

12

3.1.2 Objectives of the project

In line with the above problem statement, the aim of the study is to examining the effects

of IMC on sales of the product. The context of the study is on the advertising sector and

the project also revolves round the campaign of Snickers done by ECHOAD. The major

objectives of the project are as follows:

To discern the relationship between IMC and consumers perception and attitude .

To understand if IMC is beneficial to change the Brand awareness (recall,

recognition), performance, image and loyalty?

To discern the relationship of changed consumer’s perception and attitudes with

sales.

To discern the relationship between the changed Brand awareness (recall,

recognition), performance, image and loyalty with sales.

To examine if IMC really affected the sales of the company, and if yes how?

3.1.3 Scope and limitation of the project

3.1.3.1 Scope of the study

This review paper seeks to answer the question “Does IMC affect the consumer behavior,

brand equity and sales of any product?” But as every project has some of the unexpected

limitations and scope and this project is of no exception. The same is applied in this paper

aswell, the project considers only target group as consumers of the product. As most of

the consumers of Snickers are youths (aged 15 to 25 years); the study and research is

totally focused on them.

13

Besides this the scope of the study is also limited on examining the factors like consumer

behavior (attitude and perception of consumers) and Consumer based brand equity (brand

recall, recognition, image, feelings, performance and brand loyalty). The paper does not

held other factors beside the above mentioned ones; these all factors are considered

sufficient to reveal the market condition and sales. Also one of the factor i.e brand

judgment of Consumer based brand equity is not considered relevant in the paper because

of the unavailability of the literature to support the notion that it really affects the sales.

The scope of the project includes the assumption that sales are regarded as the overall

factor to determine the success of the campaign. Eventhough there may be other aspects

but those aspects are not covered in this project. In this context, the paper assumes that

the measures for evaluating the consumer behavior are consumer’s attitudes and

perception; other aspects of consumer behavior are not covered in the report.

The retailer’s interview has covered the dealers of only three areas i.e Satdobato,

NewRoad and Baneshwor. Furthermore, the sample of 43 and 30 for consumers and

retailers survey respectively is considered sufficient to know the final results of the

survey.

3.1.3.2 Limitation of the study

Nevertheless, there are some limitations of the study. The most significant limitation was

lack of previous research data. The data regarding the consumer’s perception, attitudes

and brand equity elements previous to the campaign was unavailable. If the data were

available, the comparison pre and post campaign could have been made. This would have

made the research more interesting and valid. Also, the previous data would have

surpassed the level of eminence of the research. Furthermore, the time was limited; i.e the

project was based on the internship experience of twelve weeks. The time for the report

and the project was also restricted.

14

Moreover, the indirect influencers as parents were not surveyed in the study. For the age

group of 15 to 25 parents are one of the prominent influencer of buying behavior; but

those people are not surveyed in the study. Moreover, during the study, we came across

some of the respondent who ticked the questionnaires randomly. They were concentrated

only on one extreme side of the survey questionnaire. i.e example they marked at 5 on the

likers scale of the whole questionnaire and answered other questions vaguely. However

such kind of respond is omitted for the analysis. The next limitation is of the retailer’s

interview, due to the lack of time I could not interview retailers outside Kathmandu

Valley. Such interviews outside the valley would have increased the validity of the

research.

15

3.2 Literature Review and Conceptual framework

3.2.1 Literature Review

Can IMC change on consumer behavior (perception, attitude), brand equity (recall,

recognition, performance, judgment, image and loyalty of consumers) and sales?

A Review of Literature

Traditionally the practitioners and academics in the field of marketing have supported the

notion that the marketing communication plays a significant role in building the

stakeholder relationships, and also maintaining and leveraging these relationships to build

brand and customer equity (Ambler et al. as cited in Performance auditing of integrated

marketing communication IMC actions and outcomes, 2005). Integrated Marketing

Communication has the ultimate potential to be a foremost patron and the central player

within, this new paradigm. Additionally, the calls to measure IMC’s ROI (Return on

investment) were through more than a decade ago (Wang, as cited in The brand value of

integrated marketing communication, 2005)

IMC is not just a hypermedia coordinated campaign; But IMC is more than just a tactical

steadiness. It is usually referred to as “one voice one look”. The related organizations can

attain an implementation that is reliable and which appears to have integrated marketing

communications. But it is necessary to have the essence of the IMC movement to have

the call to make marketing communication more effective through greater tactical

coordination and a strong brand strategy that is driven by consumer’s feedback data.

(Duncan and Mulhern as cited in Brand strategy and integrated marketing

communication, 2005)

Definition of IMC

According to American Association of Advertising Agencies (AAAA), defines IMC as:

16

“A concept of marketing communications planning that recognizes the added value of a

comprehensive plan that evaluates the strategic roles of a variety of communication

disciplines--for example, general advertising, direct response, sales promotion, and public

relations--and combines these disciplines to provide clarity, consistency, and maximum

communication impact”

A more concrete definition is given by Smith (1990) who states that Marketing

communication consists of various forms of communication mixed which are relevant to

marketing.

In one of the definition Duncan & Moriarty (1998) states that Marketing communication

is the tool to help the firm in eliciting the favorable responses for the ultimate consumers.

Keller (2003) notes that the firm’s marketing communication that it follows contribute to

a large extend to brand equity. Thus, effective communication enables to form the brand

awareness and positive brand image. With all these forms the brand knowledge which

will trigger the differentiated responses that contribute the brand equity.

IMC strategy is a set of processes that includes the planning, execution, development and

evaluation of measurable and coordinated brand communication programs with the

consumers, prospects, employees, associates and other targetes audiences

IMC and Consumer’s perception

The whole relation of IMC creating a whole synergy and helping in the development of

factors such as perception, attitude and brand recall is defined by encoding variability

theory. Hence, with the above short definition, the content of Encoding variability theory

can be summarized as that it proposes when a consumer receives the same message from

a variety of media, ultimately the message will be encoded in his or her memory in a

more complex function than if only one medium was used. This will end up resulting in a

stronger, clear, more accessible information network in the brain. Moreover, this

enhances the likelihood that the information will be recalled accurately. Hence lastly the

Varying modality of the presentation is also likely to recover the perception of the

17

esthetic value of promotion campaign a cosmetic characteristics that should positively

inspire the attitude towards the ad, and ultimately the attitude towards the brand.

(Caccioppo & Petty, as cited in Encoding variability and spacing repetitions, 1987)

IMC and Consumer’s attitudes

The forming or changing the attitude is the most important goal of IMC. Influenced with

the product, price, distribution and marketing communication can make the goal more

prominent, but also resulting from direct or vicarious experience that the person has with

the attitude object. (Fazio, Sanbonmatsu, Powell and Kardes as cited in Impact of

Integrated Marketing Communication on consumer Behavior: Effects on Consumer

decision- making process, 2012).

Furthermore, the work of attitudes on consumer behavior is highlighted in one of the

work of Lee & Tavassoli. Lee & Tavassoli (2003) notes that attitudes are thought to be

summaries of the judgments made by the memories. The effects of IMC on attitude are

explained by Gorn ET. el (1997); he explains that the use of multiple media and proper

IMC mix can intensify the attitude and progress a positive attitude towards the brand.

Moreover, the precognitive and cosmetic cues have been shown to affect attitudes rather

than believe.

Varying the peripheral cues has superior influence on attitudes under low motivation

conditions, but on the other hand different persuasive messages were more influential in a

high motivation condition. (Clemons 1990; Sawer, 1981). Often combined into the

concept of harmony, repetition and variety of promotional tools can combine to form a

pleasing whole- in this case, a positive attitude toward the ad and positive attitude toward

the brand.

IMC and Brand recall

With respect to the relation of IMC with the recall of the brand, researchers are beginning

to scrutinize the consumer processing of IMC campaign from a more holistic perspective,

they are considering the complexes of ongoing mental processes and subconscious

18

responses. Here the multiple stimulus and existing brand knowledge are handled

simultaneously in a “moment to-moment reality” (Grunert, 1996; Pilota et. al, 2004;

Weilbacher, 2003; Zaltman, 2003).

In a research article by Unnava (1996), found that the consumer- generated imagery

(audio or visual) and comprehension of ad copy requires the same resources. This had

resulted in less recall if the presentation modality of the ad was same as the modality of

the ad- produced imagery. Thus, we can say that, the ad is recalled well if the

presentation of the ad was auditory (verbal, talking about the product). Additionally the

consumer visualized the ad concepts (saw themselves using the product ) or vice- verca.

IMC and Brand recognition

Recently, a shift was observed in the branding literature (de Chernatony 1999) from a

singular focus on the importance of brand image, or consumers' perceptions of brand

differentiation, to include a focus on brand identity (Aaker 1996; Kapferer 1997; Keller

2003; Upshaw 1995). Though multiple conceptualizations of brand identity exist, this

paper uses Aaker's (1996) conceptualization; that is, brand identity is seen as a unique

set of brand associations that a brand strategist aspires to create or maintain.

IMC and Brand Image

Keller (2001) notes that the several advantages associated with IMC make it the choice of

every industry of the market. The customers have the feeling of ease in buying because of

the IMC, thus this ends up making a good image and reputation in the market. This will

result in creating an everlasting bond between the consumer and the organization. Thus,

this relationship on one hand creates an environment where the customer is secured and

on the other hand it proves to be fruitful in making profit as the customer will only trust

that particular organization.

It was revealed in the ITL’s documents that its management decided that all the

advertisement of Player's brand would make use of lifestyle imageries for its marketing.

(Imperial Tobacco Limited as cited in The role of IMC in brand building, 2010)

19

Maltan and Stand (1978) provides the overview of several studies supporting the fact of

positive bias in the perspective stages of cognition. The positive selection extends the

memory creation till the retrieval. Finally, the creation of all the positive effects will lead

us to believe that the positive information from a credible source will affect the

information processing, which will affect the attitudes toward the product and the ads

featuring the product.

IMC and Brand Feelings

The ITL’s trademark players marketing plan revealed that the marketing strategy that ITL

was following. Since 1971 the marketing strategy was to label its product as a masculine

product for the males who were young. Thus this was what they wanted to create the

image and mental map in the minds of the consumers. Thus, what they did was they used

the lifestyle imageries to market their products in such way that it conveyed a feeling of

freedom and independence which highlighted the individuality related to specically

mature males (Imperial Tobacco Limited as cited in The role of IMC in brand building,

2010)

Using the SEM for analyzing the data from 324 surveys, the findings of which indicates

that consumers perceive the perdonality of the brand and brand arousal feelings as two

separate constructs and that brand personality has immense effect in brand arouised

feelings. Through the results of the findings, this study has recommended that brand

managers consider the positioning of the brand as original, imaginative, considerate and

the kind which arouse the positive brand feelings. (University of Southern Queensland,

Toowoomba, 2011)

IMC and brand performance

The implementation of IMC is considered to support brand performance (Duncan

&Mulhern 2004; Kitchen 1999; Low 2000; Mc Arthur 1997).

20

The ultimate proof of the relation of IMC with the brand performance is provided by

Reid (2003); he states and provides the support contention that integration of marketing

communication is positively related to a firms brand related performance. On the other

hand in service context, Carlson, Gove and Dorsh et al (2003) indicates that successful

IMC techniques can create desirable customer responses.

IMC and loyalty

ON part of the relation between the IMC with the loyalty of the brand, Jonne, Kitchen

and Toa (2004) suggests that major development of communications of last decade is

counter to a range of changes in the marketing communication environment. This will be

having an impact on the ability of the companies to attract, retain and leverage customers.

On part of the loyalty, Matlan & Stang (1978) reveals that on the sociological reasons so

as to maintain a positive front, and the attitudes and behavior may ultimately become the

habit. Thus finally the Integrated Marketing Communication is the advanced strategic

business process to contribute building brand value. (Schulz, 2004)

Kitchen (2004) pointed the prominent importance of IMC in current world, he said that it

is not only a communication process but it is a process associated with the brands and

management of brands. IMC involves managing the marketing communication in a

holistic manner to achieve the strategic objectives.

Effect of change in Consumers perception, attitudes and brand equity on

shareholders value, sales and brand value

Almost all conceptualizations of brand equity agree today that the phenomenon involves

the value added to a product by consumers’ associations and perceptions of a particular

brand name (Aaker, 1996; Baldinger, 1990; Baldinger & Rubinson, 1996; Bello &

Holbrook, 1995; Dyson, Farr & Hollis, 1996; Keller, 1993)

Based on all available current and forecasted information about a brand as well as many

other considerations, the financial marketplace then formulates opinions and makes

various assessments that have very direct financial implications for the brand value.

21

Three particularly important indicators are: 1) the stock price, 2) the price/earnings

multiple, and 3) overall market capitalization for the firm. Several studies have explored

the effects of marketing activities and brand equity on the stock market (Aaker &

Jacobson, 1994, 2001; Lane & Jacobson, 1995; Mizik & Jacobson, 2003; Rao et. al

2004).

The brand value creation process begins with marketing activity by the firm which

influences customers in a way to affect how the brand performs in the marketplace and

thus how it is valued by the financial community. Any marketing program investment

that potentially can be attributed to brand value development, either intentional or not,

falls into this category. Specifically, some of the bigger marketing expenditures relate to

product research, development, and design; trade or intermediary support; marketing

communications (e.g., advertising, promotion, sponsorship, direct and interactive

marketing, personal selling, publicity and public relations, etc.); (Keller, 1980)

22

3.2.2 Conceptual framework

Sekaran (1992) states that conceptual framework is the foundation on which the entire

paper is based. It is logically developed, described and elaborated network of associations

among variables that have been identified through such process as interviews,

observations, and literature survey. These variables are deemed relevant to the problem

situation.

Figure 2: Conceptual Framework of the research

This implies that the conceptual framework shows the overall base for the project. The

conceptual framework is developed based on the literature review, the relationship of

IMC

Effect on

Consumers

Perception

(Medium)

Effect on Brand

attitudes (Medium)

Effect on Brand

awareness (Low)

Effect on Brand

performance (High)

Effect on Brand

Loyalty (Medium)

Change in

consumers buying

behavior (Medium)

Sales (Highly

positive)

External force: Brand

loyalty is also influenced

by push marketing

23

IMC and its impact on consumers perception, attitudes and brand equity such as brand

recall, recognition, performance & image and loyalty of consumers is the main research

objective. The literature utters that there exists the positive relation between IMC

techniques and the brand based elements as well as consumer’s perception and attitudes.

Additionally, the literature also supports the norm that there is an immense positive

relation between increase in consumer’s perception, favorable attitudes and increase in

brand equity (brand image, feelings, performance and loyalty) with the sales

Thus, the whole report revolves to prove this two point, we will examine if this context is

true even in Nepalese context or not. As the literature is based on foreign illustrations and

experiments, now the test will be on Nepalese markets and trends.

24

3.3 Methodology/ procedure of project/s (Research design, Instruments used and

Data analysis)

This report is based on the review of obtainable literatures on marketing and specially

IMC. This section elucidates the aspect methodology applied to fulfill the objectives of

the project. Preliminary with the review of various literatures on IMC techniques lead to

provide an insight and stimulating research topic. To gain the results of the research on

the relationship between the IMC and its impact on consumer behavior and brand equity

with sales, both qualitative and quantitative researches are planned to be recognition of

the brand. As per the requisite of the research, both qualitative and quantitative survey

was done.

Research objectives

The research is done inorder to examine certain things that are held uncertain until

proven. Thus, the study done aims to prove certain objectives as illustrated under:

The first objective of the study is to know the efficiency of the use of IMC techniques

and to see the changes in consumer behavior and brand equity of Snickers (on youths)

after the campaign. Also, the research further aims to understand the relationship of

change in consumer behavior and brand equity on the sales of the product.

3.3.1 Sampling design

Denzin (2000) mentions that sample sizes, which may or may not be fixed prior to data

collection, depend on the resources and time available as well as the study objectives.

The sample size of consumer population is 43 whereas the retailers population is 30.

The research uses non-probability sampling as a sampling technique. For both of the

consumers and retailers survey, qualitative and quantitative techniques were used.

Non Probability Sampling: Simply put, in the purposive sampling, the researcher is the

one who decides what is to be needed to be known and sets out to find the people who are

willing and who can provide the information by the virtue of knowledge and experience.

25

(Bernard, Lewis & Sheppard, 2006). On the other study, the purposive sampling

technique is specially exemplified through the key informant technique (Bernard 2002,

Garcia 2006, Gustad et al. 2004, Jarvis et al. 2004, Lyon & Hardesty 2005), here one or

few individuals are selected for guiding the culture. The key observant, reflective

members of the community of interest who know about the culture are both willing to

share the knowledge (Bernard 2002, Campbell 1955, Seidler 1974, Tremblay 1957).

The most important and prominent is the paper of Campbell (1955) where he conducted a

study and took purposive samples and compared the results with the survey of all crew

members. The results of both the methods were highly correlated using Spearman rank

order correlation.

In the above context, the consumer’s sampling was done on the basis of some of the non-

probability measures like purposive sampling for both of the study. In the consumer’s

population study the age group of 15 to 25 was felt appropriate for the study; on the other

hand retailers were chosen for the examination of effect on sales. The use of voluntary

sampling was also done, as people who were very interested to portray their interest in

the survey filled up the survey.

3.3.2 Research Design

Maxwell (1996) states that as the research design are like a philosophy of life, no one is

without one. However, some people are more aware of theirs and thus able to make more

informed consistent decisions. Because a design always exists, it is important to make it

explicit, to get it out in the open where its strengths, limitations, and implications can be

clearly understood.

Thus, as stated above this paper has the essence of both descriptive and analytical design;

the study reveals the analysis of the companies and retailers current status and reports to

make critical evaluation on these. The report has both the criteria’s of describe and also

identify what is and also identifies and describes why it is.

26

As a part of descriptive analysis, the study reports the current sales and market condition

as reported by the retailers. On the other hand the report also analyses the consumers

perception and reports critically the reasons for such results.

3.3.3 Data collection

The study is basically carried out on the basis of and primary and secondary sources of

data.

Primary Sources

Two types of questionnaire was set up; one for the consumer and the other for the

retailers (interview) and each having two major objective to convey. In this context,

research was conducted know the effect of IMC on consumer’s behavior and brand

equity (recall, recognition, image, performance and loyalty) and finally on sales of the

product. For the purpose of the research, a sample of 43 consumers and retailers was

used; the use of probability as well as non-probability sampling was used.

On the consumer survey part, the data is collected in about three days with the hard work

and dedication to make people fill the survey. The people that are involved in the survey

are from all over Nepal with the age group of 15 to 25 which is the target group of

Snickers. Google docs made it possible to carry out the survey nationwide. The

questionnaire will content the questions which will be able to show people’s attitude,

perception, recall, recognition and other brand equity elements. The questions will be

both in aided and non aided form, mostly for the recall part unaided questions is expected

to boost the results. The full version of the questionnaire is provided in the APPENDIX 5

and 6. For higher response rate, the questionnaire is mailed personally and follow-up is

made. Furthermore, in case of any confusion personal call is expected to be made to

explain the questions. The questionnaire contains twelve open ended questions, five likert

scale and eight multiple choice questions.

On part of retailer’s survey, the survey is collected in three days, with a sample of 30

retailers in Kathmandu valley. The areas covered include Baneshwor, Newroad and

27

Satdobato . The interview was structured interview. The details of the questionnaire used

in the study are provided in APPENDIX 5 and 6.

Secondary Sources

There is a convenient use of articles and websites of the company and materials related to

IMC.

3.3.4 Data analysis

Qualitative data analysis is an intuitive and inductive process in which researchers

attempt to gain a deeper understanding of what they have studied and to continually

refine their interpretation (Taylor and Bogdan, 1992).

Thus, I have followed interpretive study approach to study and analyze the responses of

consumers. The interpretive analysis helped me apply back and forth interpretation. Data

analysis of qualitative data was both challenging yet exciting.

On quantitative analysis, the data analysis is done using Microsoft excel 2010. The

descriptive statistics was used to describe and interpret the summary statistics. Microsoft

excel was used in developing the charts and graphs. With the help of Data analysis, the

results can be shown in pie chart, histogram and other visual and graphics.

Reliability and variability

Inter-rater reliability is a measure of reliability used to assess the degree to which

different judges or raters agree in their assessment decisions. Inter-rater reliability is

useful because human observers will not necessarily interpret answers the same way;

raters may disagree as to how well certain responses or material demonstrate knowledge

of the construct or skill being assessed. (Colin Phelan and Julie Wren, 2005-06). The

subjects of the study were consumers; in brief those subjects rated and judge according to

the human observations observed by them in response to the exposure. Hence this was

28

confirmed with the survey with retailers where retailers gave the response with respect to

the true sales of the product.

Construct Validity is used to ensure that the measure is actually measure what it is

intended to measure (i.e. the construct), and not other variables. Using a panel of

“experts” familiar with the construct is a way in which this type of validity can be

assessed. The experts can examine the items and decide what that specific item is

intended to measure. Students can be involved in this process to obtain their feedback.

(Colin Phelan and Julie Wren, 2005-06). One of the subject used in the paper are

retailers who are the experts and can portray the true and valid information regarding the

actual market condition.

29

Purpose of Research

Research Approach

Research Strategy

Data Collection

Sample Selection

Source: Modification of Dahlen et al 2003

Figure 3: Structure of Methodology

Analytical Descriptive

Qualitative Quantitativ

e

Survey

Primary Secondary

Questionna

ire

Non

probability

Purposive

sampling

30

3.4 Presentation and Analysis of the project

3.4.1 Analytical presentation of research on consumers

The analysis of the report is on two verges, one on consumers who will provide the

insight on consumer behavior and brand equity; next research on dealers for the

knowledge of effect of IMC on sales. The detail of the research is provided under:

3.4.1.1 Analysis of Consumer Behavior

BRAND PERCEPTION

Table 1: Brand Perception of three brands of Chocolate

DairyMilk 4.16

Kitkat 3.61

Snickers 3.87

When people were said to rate the above brands, Snickers was ranked above Kitkat

(Nestle). Dairymilk was ranked the highest and following it was Snickers. These ranking

was made on over perception of quality and other aspects of the brand.

Dairymilk [Rate the following brands]

Figure 4: Rating of consumers for Dairymilk

31

Kitkat [Rate the following brands]

Figure 5: Rating of consumers for Kitkat

Snickers [Rate the following brands]

Figure 6: Rating of consumers for Dairymilk

BRAND ATTITUDE

How favorable is your attitude towards Snickers?

Figure 7: Attitude towards Snickers

32

About 84% of people said that they are satisfied with Snickers. Also, the rate of

favorableness towards the Snickers was high, about 3.9.

3.4.1.2 Analysis of Consumer Based Brand Equity

BRAND AWARENESS (BRAND RECALL AND RECOGNITION)

The brand awareness level of Snickers was found out to be very low. When given only

usage situation as a cue, only 3% of the respondents mentioned Chocolate as their

preferred brand.

Figure 8: Brand awareness level in the catagory

This was a bit higher i.e., 11% when they were given product category i.e. chocolate as a

cue.

Are you satisfied with Snickers

33

Figure 9: Brand awareness when product category was given as a hint

40% of the respondents completed their famous tagline. (Respondents were asked to

complete the phrase Hungry ………………..a Snickers) This indicates that the company

is somewhat effective enough to communicate its message to the consumers and its

advertisements are also well received by the consumers in terms of awareness level. But

however every respondent had heard and tasted of Snickers.

BRAND IMAGE

Snickers as a brand has different meaning to different people. When asked about what

came to their mind when they thought of Snickers, the response was widely distributed

where majority i.e only 27% mentioned that Snickers meant “Yummy”. Most of the

respondent said that 31% of the people associated Snickers means chocolate. Other

responses were widely skewed with answers such as sweet, nuts, hunger etc.

34

Figure 10: Brand Image of Snickers

With the help of projective technique, the personification Snickers would be as follows.

Brand Association Ratings

Table 2: Rating of Associations related to Snickers by consumers

Associations Scores

Price 2.74

Availability 3.64

Advertisement 2.85

Quality 4.81

Taste 4.29

Packaging 3.96

MR SNICKERS IS A PERSON IN HIS LATE TEENS WHO IS A COLLEGE GOING. HE IS

LOVABLE AND SWEET AND APPRICIABLE TO ALL. HE LIKES WEARING JEANS AND T-

SHIRT. HE LIVES IN URBAN AREA AND VISITS FOREIGN COUNTRY FREQUESNTLY

35

In terms of brand association rating, Snickers scored high on quality (see Table 3). The

score was high for quality in comparison to other associations. This supports the notion

that quality of Sncikers is one of the important and unique factors that have contributed

for its prolonged dominance in the international market. Other factors that were

associated with were taste which is 4.29.

BRAND PERFORMANCE

When consumers were asked to rate some of the functional benefits of Snickers on rating

scale of 5, the highest score was obtained on peanuts followed by good taste,

convenience, hunger and lastly good value for money (see Table 4).

Table 3: Rating of functional benefits of Snickers by Consumers

Functional Benefits Score

Peanuts 3.77

Good taste 3.54

Convenience 3.38

Hunger 3.29

Good value for money 3.16

BRAND FEELINGS

Most people associated Snickers with Happiness, the other feelings that the responded

answered was fairly divided into friendship, warmth, war, love etc.

36

Figure 11: Brand feelings associated with Snickers

BRAND LOYALTY (RESONANCE)

86% of the people bought Snickers as a chocolate last time. Longman and Moran view

repeat rate- how many people bought Snickers last time would buy it again this time as a

key indicator of brand equity.1 This rate for Snickers as per this survey is 66% which is

comparatively high. These respondents bought Snickers last time and will buy it next

time. These portions of respondents were the most loyal consumers of Snickers who

wouldn't switch to any other brands. Some other key findings from the survey are

presented in the table below.

Table 4: Rating by Consumers for the consumer buying behavior

People who brought Snickers last time 63%

Brought Snickers and would have gone to

another store to buy it

46%

Brought Snickers but would have accepted

any other brand

63%

Bought Snickers last time but specified 50%

37

particular brand as substitute

Brought another brand and didnot named

Snickers as substitute

43%

Brought another brand last time and would

have gone to another store to buy that brand

40%

46% of the respondents were found to be highly loyal to the brand as they would have

gone to another store to buy Snickers if it was not available in the first store. Similarly,

50%% of the people would have bought some other brand as a substitute which is

moderate (see Table 5). So, from these figures we can conclude that substitutability rate

to other brands is low for Snickers which is also one of the indicator of its high brand

equity.

Table 5: Brand Loyalty rating of consumers

I would recommend Snickers to others 3.77 HIGH

I grew up with Snickers 2.22

I consider myself loyal to Snickers 2.5

I would pay premium price for Snickers 2.29

I can relate myself with people who prefer

Snicker

2.8

I really like to talk about 2.48

38

The recommendation rate for Snickers was high, which is a good thing related to loyalty.

This shows that people are recommending the chocolate and talking about Snickers

slowly. Furthermore, the other features like connecting oneself with Snickers was

moderate, and not very low. People moderately like to talk about Snickers.

Figure 12: Loyalty of Snickers

Figure 13: People who will miss Snickers

30% of the respondents said that they are loyal to Snickers. However, 50% of the

respondents said that they are going to miss Snickers if it goes away.

The above results shows that respondents have rated Snickers moderate to high on

behavioral loyalty but low attitudinal attachment, sense of community and active

engagement. This shows that even though the company claims to be the most popular

chocolate brand, it is not effective enough to create a resonating effect in the market. This

39

means company even at this stage of high brand awareness and popularity, is moderately

to make the customer feel that they are “in sync” with the brand.

MEDIUM EFFECTIVE TO REACH THE CONSUMERS

The results showed that most effective medium was TVC, about 43%. Inshop branding

also seems to reach the consumers as 30% of the people conveyed that they have seen

snickers promotion as an inshop branding (see Table 7).

Table 6: Medium effectives as per consumers

Direct Theater Advertising (Advertising seen In the beginning of the

Movies)

0%

Inshop branding (branding in shops) 30%

Radio activation (Hungry hour Program in FM) 0%

TVC (In televisions) 43%

None 26%

Figure 14: Medium effectives as per consumers

40

CHOCIE OF MEDIUM AS PER CONSUMER

The results showed that consumers suggested that TVC would be the best medium for

Snickers to advertise. Internet, DTA and print also had substantial vote of the consumer

for advertisement and promotion of Snickers(see Table 8).

Table 7: Choice of Medium as per consumer

Print 3.16

TVC 4

DTA 3.22

Billboards 2.96

FM 2.41

Internet 3.61

Sanjha Bus and Micro 2.51

3.4.2Analytical presentation of research on Retailers

The analysis on retailers was one set of the study whose population study were the

retailers of three areas namely Newroad, Baneshwor and Satdobato. The indetail of the

answers as per the unstructured interview is listed under:

Availability

Figure 15: Availability of Dairymilk

41

Figure 16: Availability of Kitkat

Figure 17: Availability of Snickers

Sickers and Diarymilk were available in all the stores, but kitkat availability was bit low

in the retailers.

Incentive

Figure 18: Highest incentive among the brands

42

Eventhough Dairymilk has been in Nepal from ages, Dairymilk surpassed Snickers by

nominal amount. Most of the retailers answered both of the brands Dairymilk and

Snickers as the brand who provide most of the incentives

The comparison between the incentives provided by two of the brands which were rated

high on the basis of the brand who provides the most incentives is provided under:

Table 8: Difference in incentives as answered by the retailers

Dairymilk Snickers

1% trade discount Profit Margin is Rs. 5 per pack of Snickers

1% to 3% profit margin Sales promotion is done by Snickers, 1 piece of

Snickers free in every small box of Snickers and

two pieces of Snickers free in every one big box

of Snickers.

Current promotion evaluation

The results of the survey revealed that 100% of the retailers had seen the promotional

campaign run by Snickers. About all of the had seen new TVC of Snickers run in Nepali

Television, about 42% had seen the inshop branding efforts, 7% have seen heard the

radio activation and no one have seen the DTA done by Snickers.

Current market condition of Snickers, Dairymilk and Kitkat

On average sales of three of the tough competitors showed the result that Sncikers was

only by some amount less than Dairymilk in Nepalese market.

43

Table 9: Daily sales of Dairymilk, Kitkat and Snickers

Dairymilk Kitkat Snickers

10 3 8.75

According to the retailers, after the campaign run by Snickers, the sales had gone up in a

big scale. They said that people buying behavior have changed in n recent days and

people have shifted from other chocolates to Snickers.

Area wise sales is presented below in the bar diagram

Figure 19: Sales of three brands of chocolates (Dairymilk, Kitkat and Snickers) as per the

locality

The figure reveals that among the three places the place where chocolate is mostly traded

is Newroad. By the figure we can analyze the fact that Snickers sales is pretty good,

eventhough it is not the highest seller among the three brands but it already surpassed the

sales of Kitkat and is a tough competitor for Dairymil

44

3.4 .3 Major Findings

In general the campaign seems to arise solitary nominal amount of brand awareness but

has been able to create sufficient level of brand perception, attitudes, brand image and

loyalty. Implied, the campaign is successful in upholding medium level of transformation

in consumer behavior, but on the brand equity side every other elements seems to

maintain itself in medium level besides brand awareness (which is low). On the dealer’s

side, the results displayed that Snickers was ensuing a satisfactory level of push

marketing. Thus, eventhough the result portrayed low recall and recognition; but due to

the push marketing retailers were able to make the consumer habituated with the product

and build the loyalty. The details of the survey are listed below:

Consumer behavior study showed that, perception of people in terms of overall

brand perception was highest was for Dairymilk i.e people regarded dairymilk as

ultimate brand to look upon. On the same study it was realized that 76% were

satisfied with Snickers and had favorable attitude towards the brand. Thus, there

was medium level change in consumer behavior towards Snickers.

On the study of brand equity. It was observed that only 11% of the consumer had

the recall of the brand when chocolate was given as a clue. But 40% of the

consumers had recall about the brand tagline Hungry grab a Snickers. Moreover,

the brand image that Snicker wants to portray is associated with hunger, but only

about 19% were able to connect Snickers with hunger. Most of the people

associated Snickers as a mere chocolate and yumminess. Among the brand rating

for associations most of the people rated high for the quality, taste, packaging and

availability.

The personification of Snickers was “MR/ MS SNICKERS IS A PERSON IN

HIS LATE TEENS WHO IS A COLLEGE GOING BOY/ GIRL. HE/SHE IS

LOVABLE AND SWEET AND APPRICIABLE TO ALL. HE ADORES

WEARING JEANS AND T-SHIRT. HE LIVES IN URBAN AREA AND

VISITS FOREIGN COUNTRY FREQUENTLY” which showed that people

45

visualized snickers as modern and sweet person; which shows that Snickers is

conceived as totally an urban subject.

When consumers were asked to rate some of the functional benefits of Snickers

on rating scale of 5, the highest score was obtained on peanuts followed by good

taste. Thus, one of the best things about Snickers that people appreciate is

peanuts.

People were very loyal to Snickers, 46% of the respondents were found to be

highly loyal to the brand as they would have gone to another store to buy Snickers

if it was not available in the first store. Similarly, 50% of the people would have

bought some other brand as a substitute which is moderate.

On the retailer’s study, Snickers seemed to be 100% available in the outlets; the

incentive of Snickers was the most attractive with many schemes for the retailers.

Among the IMC techniques that retailers were influenced with, TVC was rated

high on visibility and following it was inshop branding. The average sale seems to

be increasing for Snickers after the campaign which shows the success of the

campaign.

Among the current IMC being used, TVC was rated the highest among the all

mediums which was noticed by the consumers among the current IMC tools of

Snickers. The next highest ranked was inshop branding. DTA and Radio

activation rate was nominal. But as per the consumers survey, consumers thought

the appropriate medium for Snickers to promote its brand was TVC, internet and

DTA respectively.

Snickers have developed a good rate of daily sales i.e 8.75 per day on average per

retailer in comparison to 10 (Dairymilk average daily sales).

Area wise, the highest selling area of chocolates was at Newroad.

46

3.5 Conclusion and suggestions

3.5.1 Conclusion

In general the marketing done in any organization expects some return. The return may

vary from industry, time and situation. In the case of Snickers as well, as per the

interview with the Countryman of Snickers for Nepal Mr. Samey Khurana, the main

determent of the success of the campaign is sales. Thus, in this report as well I have used

sales as a factor to evaluate the overall success of the campaign.

But before examining sales the evaluation of brand in the minds of consumers was felt

necessary. The norm was also supported by many literatures. As the final impact of those

brand impacts were to be reflected on sales as per the literatures. Thus there was two

survey done simultaneously i.e one for the consumers and next for the retailers.

The survey portrayed some of the interesting facts. The results showed that eventhough

there was less awareness of the brand but people had good ratings on performance, image

and loyalty with the brand. At first this seemed confusing but with the report of dealers

on hand, it was crystal clear that this was due to push marketing done by Snickers. The

dealers were provided with sufficient commissions and offers. Thus, retailers wanted to

push the product to the final consumers. Thus, eventhough people were less in recall but

due to push marketing people were habituated with the product. This will slowly make

people buy without push marketing and finally recall is also expected to increase to huge

amount.

Thus, with all these it was clear that the IMC technique were able to make the product

sales go up. But, still on the next part still some of the mediums which consumers felt

ineffective were used in the campaign. Furthermore, some of the mediums which were

highly regarded by the consumers were not used by Snickers. Thus, there are some of the

suggestions which can help in betterment of the campaign and can increase the sales

further.

47

3.5.2 Suggestions

The research findings suggest that DTA and Radio activation are still not regarded by the

consumers as a medium for information of Snickers. It may be because, the rate of DTA

and radio activation are low. DTA is currently played only on three Theater i.e Civil

Mall, City Center and KL Tower, with an average shows of only 3 -5 shows on each

Theaters. The Radio program is only played four times a week i.e two times on Kantipur

FM and two on Image FM. Thus, the suggestions regarding the DTA and Radio

activation contains increasing the frequency of both the mediums. The findings on the

effective medium that people think for Snickers range from internet to print medium,

which is not currently followed by the company. Thus, we also suggests to add Print and

internet as an active medium for further campaign

Hence, suggestions will be based on these two findings which will be based on

improvising the campaign more taking in account the consumers and dealers feedback.

Increase the number of DTA average daily shows. QFX is one of the prominent

theaters in Nepal and the company is not advertising through it; thus I suggest

increasing the DTA average daily rate as well as including QFX as one of the

Theater for advertising.

Have the advertising through print medias. The Newspapers like Himalayan post,

Kantipur daily, Nagarik, Annapurna Post and other famous daily newspapers.

Also, the advertisements can be given in some of the weekly magazines as ECS

Friday.

Instead of having the radio activation program only on colleges, the program

scope can be increased by having the program on Malls and Theaters and on road.

This will increase the audience who will be involved in the program and bring

variety in it.

48

Snickers should have a facebook page activated actively in Nepal, it should have

many programs which will involve people. The programs can be of following

types:

A competition of awarding the person who will inbox the best tagline for

Sncikers Nepal

A competition to write a memorable experience associated with Sncikers

49

3.5.3 Implementation plan

A. Change in DTA plan

i. Objective of the plan: The new plan plans to have DTA in QFX rather than FCUBE. The average daily shows where

the DTA is played has also been increased.

ii. DTA plan: As per the plan the average daily shows has been increased from 3 to 5.

Product

Dur.

(Sec) Area Hall Name

No. of

Halls

Avg

Shows/day Location Position

Rates for

30 Sec/

Month

Negotiated

Rate

Total

Amount

Snickers

30

Civil

Mall - Sundhara

Central

Cinema 3 5 Sundhara Inbetween - Position

63,970 60,772 60,772

30

City

Centre -

Kamaladi

Big Cinema

3 5

Kamal

Pokhari Inbetween - Position

58,650

55,718 55,718

30

QFX 5 5

Kamal

Pokhari Inbetween - Position

65,000 60,125 60,125

April Total 176,614.00

After Ageny

Dis. 167,783.30

After Cash

Dis. 151,004.97

50

iii. DTA in detail plan for October 2013 (On daily basis)

The total number of spots for the whole month increased after increasing the number of average daily shows from three to five.

There will be total of 1650 spots during the whole month of October. The further details of the spots daywise are illustrated

under.

October

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

Hall Name

Total

Spots M T W TH F S SU M T W TH F S SU M T W TH F S SU M T W TH F S SU M T

Central Cinema 450 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15

Big

Cinema 450 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15

QFX 750 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25 25

51

B. Add Print Media as an IMC tool for Snickers

i. Objective: As per the objective of the research, print was one of the medium which is not currently used by Snickers.

But the consumers rated high on the appropriateness of the medium as a tool of IMC to promote the Snickers.

ii. Print media plan

Publication

Product

-

Caption Position Col Cm ccm Total ccm

Market

Rate Negotiated Rate Amount

Kantipur Front 8 10 80

80 2500 2137.50 171,000

Kantipur

3rd

Page 8 25 200

200 1200 1026.00 205,200

Kantipur

3rd

Page 3 20 60

60 1200 1026.00 61,560

The Himalayan Times Front 8 10 80

80 800 581.40 46,512

The Himalayan Times

3rd

Page 8 25 200

200 650 472.39 94,478

The Himalayan Times

3rd

Page 3 20 60

60 650 472.39 28,343

Annapurna Post

3rd

Page 3 20 60

60 650 472.39 28,343

Nagarik Daily

3rd

Page 3 20 60

60 800 581.40 34,884

Samacharpatra Daily

3rd

Page 3 20 60

60 675 367.92 22,075

NayaPatrika

3rd

Page 3 20 60

60 650 316.78 19,007

Rajdhani

4th

Page 3 20 60

60 600 292.41 17,545

Karobar

3rd

Page 3 20 60

60 600 307.80 18,468

Abhiyan

3rd

Page 3 20 60

60 500 256.50 15,390

Newspaper Total 762,804

Ecs Friday IP 3 12 36

72 500 342.00 24,624

Weekly & Monthly Magazine Total 24,624

52

iii. Print in detail Schedule

Print AD Schedule/Plan for Snickers

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

October

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30

Publication Position M T W TH F S SU M T W TH F S SU M T W TH F S SU M T W TH F S SU M T

Kantipur Front

1

Kantipur

3rd

Page

1

Kantipur

3rd

Page

1

The Himalayan

Times Front

1

The Himalayan Times

3rd Page

1

The Himalayan

Times

3rd

Page

1

Annapurna Post

3rd

Page

1

Nagarik Daily

3rd

Page

1

53

Samacharpatra Daily

3rd Page

1

NayaPatrika

3rd

Page 1

Rajdhani

4th

Page

1

Karobar

3rd

Page

1

Abhiyan

3rd

Page

1

-

-

-

-

-

-

4

-

1 1

- - -

1 1 1 1 1 1 -

- 1 - -

- - -

- - -

Ecs Friday IP 1 1

-

-

-

-

-

-

-

-

- - 1 - -

- - - - 1 - -

- - - -

- - -

- - -

-

-

-

-

-

-

4

-

1 1 1 - -

1 1 1 1 2 1 -

- 1 - -

- - -

- - -

54

C. Radio activation plan for Malls

i. Objective: The objective of the program is to have the radio activation on Malls besides the colleges.

ii. Radio activation Plan with activation on Malls included

Tentative Timeline for Radio Activation

October

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31

Tasks Thu Fri Sat SunMonTueWedThu Fri SatSunMonTueWedThu Fri SatSunMonTueWedThu Fri Sat SunMonTueWedThu Fri Sat

Planning and Scheduling

Interaction with FM regarding the plan

Visiting colleges and scheduling appointments

Conducting the Activation for Colleges

Conducting the Activation for Malls

On Air Day for colleges

On air day for Malls

55

D. Active Facebook page

i. Objective: To actively involve people for Snickers. This is an important step as it was rated

high on preferred medium by the consumers.

Snickers Netpal can start a contest where by the people are to inbox the tagline for

Snickers.

Also, a contest for people to ell the story associated with Snickers can be incorporated.

Facebook activation plan

October November December January February

Weeks 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4

Start a facebook page

Tagline contest

Story Contest

\

56

Part Four

REFLECTION OF INTERNSHIP

4.1 Reflection

The twelve weeks of internship at ECHOAD is one the important learning tenure for me. This has

proved to be one of the important learning experiences for learning Marketing experience.

Although I was not much sure about my professional, academic and personal goals with the move

in the internship tenure, I began to see my vivid goals clearly.

With time my personal goal was being achieved which was to gain sufficient knowledge to make

a career in advertising field. The first achievement was to fulfill my interest, I always wanted to

land in an ad agency and the internship gave me the opportunity to fulfill the objective. The

internship provided me the clear picture of an ad agency. As a part of my MBA a different course

on advertising and promotion was offered for marketing specialization. Working in an ad agency

was the practical orientation of the course. Looking back to the internship, I undertook many

projects which helped me to increase my knowledge and skill on both client handling and creative

department. As a part of Client handling department, I looked after clients like Webstar, Yamaha,

Snickers and Jagadamba. On the creative part I was given an opportunity to drop my ideas for

Yamaha model SZS TVC. Also, the opportunity of dropping some of the Guerrilla marketing was

given to me.

Some of the professional goals like interpersonal skill, creativity and leadership skill enhancement

were also achieved through the internship. This objective was also achieved through different

projects at ECHOAD.

Through a proper communication skill I was able to receive out the lament needs of the

client. The ability of having a notion on unstated motivation was developed through working in

the client servicing department.

57

Next, the communication skill was enhanced with the drafting of a proper creative brief.

The client servicing requires to convey the exact quotation of the clients to the creative

department. Thus with the expiration of the tenure such ability was born within.

Furthermore, in creative department one needs to think out of the box. A solution that is

different from any other ad agency must be provided by the ad agency. Thus, creativity is one of

the demanding needs of any ad agency. As an intern, I was given an opportunity to enhance my

thinking styles and power.

With taking the lead in one of the major project of radio activation, I was able to gather

leadership skills. The skill will be helpful throughout my career to take leads in various projects.

The academic objective is to apply my theoretical knowledge on the practical world. I am

working for the ad agency; I want to imply all the theories to the real world. With the passage of

time I wanted to gain the research skill. Thus, this project has helped me to have a proper research

insight from problem identification to analysis. I was able to take the issue of IMC, one of the

prominent issue in advertising field; to know the impact of IMC on consumer. Thus with two

types of survey on with the consumers and next with the retailers, the result of effect of IMC on

consumers and ultimately on sales was known. The problem and the issue were taken from the

observation, learning and experience of internship, and a solution to it was to be as an

implementation plan. Thus with the research, the problem solving skill was being developed.

Thus, all in all for making the career in advertising I gained much of experience in advertising

field with in charge of many projects on hand of ECHOAD. While doing the project I learned the

general skill as stress handling, leadership, problem solving and communication skills, which will

be useful if I land up in any field. Also some of the specific skills that are required in the

promotion field are also acquainted with. Those are the skills related to drafting a creative brief,

supervising the creative department as per the clients recommendation, copywriting etc. These are

the skills required in an ad agency, to satisfy the marketing demands of the clients.

58

APPENDIX 1: Work process of client handling department

For Outreach Programmes we stress on involving local implementers (local performing groups,

local coordinators, local folk artists etc.) of our creative plans so that the localization factors in terms of local habits, local language and local customs can be taken care of. Although the basic plan is sketched out along with the client, we insist on involving local implementers so that we can seamlessly bridge a connection with the local audience, gain acceptability so as to succeed in the communication objective.

Go ahead for

final production

Go ahead for

final approvals

Process between (b) and (c) is iterative and requires clients approval for the desired output

Approval (d)

Media Plan

Idea sharing on

scratch and media

plan

(c) Scratch

Development

Strategy

C

L

I

E

N

T

Brief

(a)

Research Creative

IDEATION

C

L

I

E

N

T

S

E

R

V

I

C

I

N

G

Production

Media Department

(b)

Client

Client Servicing

Approval

Creative

Production

Media Department

Final output

for media

release

Approvals from

media houses

Part - 2

Part - 1

59

APPENDIX 2: LIST OF CLIENTELE SERVED BY ECHOAD

Dabur Nepal Pvt. Ltd.

Brand : All SKUs of Vatika, Red Tooth Paste, Honey, Hajmola etc

Reference: Mr. H.S. Bedi

CEO, Dabur Nepal Pvt. Ltd.

Status: Currently served

Glaxo SmithKline Consumer Healthcare

Brand: Horlicks, Viva, Boost, Junior Horlicks, Eno, Iodex

Reference: Mr. M.B. Swaminathan

Country Manager

Status: Currently served

Berger Jenson & Nicholson Nepal P. Ltd.

Brand: Berger Paints Range

Reference: Mr. Saibal Ghosh

Country Manager

Status: Currently served

Ncell ( Spice Nepal Pvt. Ltd.)

Brand: Ncell

Reference: Ms. Anusha Pradhananga

Unit Head, Marketing Communications

Status: Currently served

60

United Distribution Nepal Pvt. Ltd.

Brand: Pantene, Olay

Reference: Mr. Bibek Agrawal

Director

Status: Currently served

Nepal CRS Company

Brand :Econ,Navajeevan,Cure,IUCD

Reference: Mr. Uttam Raj Regmi

Director, Marketing

Status: Currently served

Asia Pacific Communication Associates

Brand: The Himalayan Times

Reference: Mr. Grihendra Munakarmi

Marketing Manager

Status: Currently served

KL Cinema City

Brand: FCUBE Cinemas

Reference: Mr. Siddhi Raj Regmi

GMC Team Member

Status: Currently served

61

APPENDIX 3: ORGANIZATION STRUCTURE OF ECHOAD

The personnel division is already shown in pie- chart in Profile section. The structure of the

company is as follows:

Nisha Shrestha

Account Manager

J.K. Sthapit

Managing Director

Client Servicing

Department Creative Department

Finance Department

Media Department

Arun Sthapit

Sr. Account Supervisor

Maheswor Shrestha

Account Manager

Deep Kumar Majhi

Sr. Graphics Designer

Arose Sthapit

Sr. Account Manager

Pratima Shrestha

Account Executive

Amit Giri

Account executive

Kishor Shrestha

Account Executive

Rohit Pradhan

Account Executive

Subin Manandhar (Lava)

Creative Head

Dipendra Prajapati

Art Supervisor

Asha Maharjan

Sr. Graphic Designer

Praful Hada

A/V Designer

Niroj Shahi

Sr. Graphics

Designer

Raju Shrestha

Media Supervisor

Laxmi Shrestha

Media Execution Head

Sunita Maharjan

Media Executive

Chandra Shova Dhaubhadel

Media Executive

Maiya Tuladhar

Media Executive

Rabindra Rajbansi

Media Executive

S.K. Sharma

Finance Controller

Binod Manandhar

Sr. Finance Executive

Alka Shrestha

Finance Executive

Anil Rajbhandari

Sr. Finance Executive

Arpan Shrestha

Assistance to Creative Head

62

Hari Adhikari

Account Executive

Maya Shrestha

Account Executive

Rajat Bajracharya

Account Executive

Jiten Ranjit

Sr. Account Manager

Nirmal Shrestha

Account Manager

Binod Shrestha

Account Executive

Shuman Rai

Account Executive

Chandra Shekhar Paneru

Graphic Designer

Sabina Maharjan

Graphics

Puru Risal

Sr.Copy Writer

Krita Raut

Copy writer

Clerical and Administrative and back office support – 12

personnel:

Prity Shakya (Front Desk)

Uddav Shrestha(IT Assistance)

Kalika Man Joshi (Legal)

Kamal Danuwar

Arjun Rai

Gun Bharati

Shyam Dhital

Gyanu Magar

Dipesh Bhandari

Saroj K. C.

Bikram Ghale Raj Rai

Ujeena Rana

Copy writer\Visualizes

Suresh Maharjan

Graphis

Nirmala Maharjan

Graphics

63

APPENDIX 4: MICHEAL PORTER’S FIVE FORCE ANALYSIS

Small advertising firms

FIR

M

WIT

H

SU

BS

TIT

U

TE

S

SUPPLIERS

Model agents

Production Houses

Makeup People

Photographers

BUYERS Rivalry among existing firm

More than 189 firms

registered

Individual small

advertising firms

POTENTIAL

ENTRANTS

High: As there is no

any strict regulation to

have strictly entrant

limitation to the

sector.

High: Clients of ECHOAD

like Yamaha, Ncell,

Webster, Dabur Nepal,

United Distributions,

FCUBEetc.

Client can do

the adverting

itself in some

of the cases

Foreign

advertising

companies

Advertising

through

retailers only

64

APPENDIX 5: SWOT ANALYSIS OF ECHOAD

Strength

Established more than three decades ago, Echo ad has trust ad reputation in Nepalese

Market

Clients like Yamaha and NCell

Weakness

Less Creative workforce

Lack of strong clients like NTC, Waiwai,

Bottlers Nepal

Opportunities

New clients arrival or shift from other agencies

Threats

Competition with foreign Ad agencies

Competition with MNC’s like Thumson

Nepal

65

APPENDIX 6: QUESTIONNAIRE FOR CONSUMERS SURVEY

The survey may contain some unusual question. Please write what comes to your mind first

Age *

15-18

18-21

21-25

Occupation *

Student

Job

Business

When you are hungry which brand comes to your mind? *

When you think of a chocolate which brand comes to your mind first? *

Which is your favorite chocolate brand ? *

Have you heard of Snickers? *

66

Yes

No

Have you ever taste Snickers? *

Yes

No

Complete the following line. Hungry................................. a Snickers *

If you don’t remember please write don’t know

How favorable is your attitude towards Snickers?

1 2 3 4 5

Very much unfavorable

Select a value from a range of 1,Very much

unfavorable, to 5,Very Favorable,.

Very

Favorable

1 2 3 4 5

Are you satisfied with Snickers? *

67

Yes

No

Rate Snickers on the following *

1 being poor and 5 being excellent

1 2 3 4 5

Price

Availability

Advertisements

Quality

Taste

Packaging

If Snickers would have to brand itself, which medium would be the most effective one? *

1 being highly not effective to 5 being highly effective

1 2 3 4 5

Print Media

TVC

Direct Theater

Advertising

68

1 2 3 4 5

Billboards

FM and Radio

Internet

Sanjha Bus and

micro bus

advertising

What comes to your mind when you think of Snickers? *

What type of personality would Snickers have if he would be a person? *

What would be his age? *

Answer as per the previous question

What would he wear? *

Answer as per the previous question

Where would he live? *

69

Answer as per the previous question

How is the brand Snickers associated with you *

1 being highly not effective to 5 being highly effective

1 2 3 4 5

Good Taste

Peanuts

Avoids hunger

Good value

for money

Convenience

What feelings come to your mind when you think of Snickers *

Like happy, warmth, cold, war, love, friendship

Rate the following brands *

1 being highly not satisfactory to 5 being highly satisfactory

70

1 2 3 4 5

Dairymilk

Kitkat

Snickers

Answer the following questions *

I brought Snickers last time

I brought Snickers and would

have gone to another store to

buy it

Brought Snickers but would

have accepted any other brand

Bought Snickers last time but

specified particular brand as

substitute

I brought another brand and did

not named Snickers as

substitute

I brought another brand last

time and would have gone to

another store to buy that brand

Rate the following *

1 being highly not satisfactory to 5 being highly satisfactory

1 2 3 4 5

71

1 2 3 4 5

I would

recommend

Snickers to others

I grew up with

Snickers

I consider myself

loyal to Snickers

I would pay

premium price for

Snickers

I can relate

myself with

people who prefer

Snickers

I really like to

talk about

I consider myself loyal to Snickers *

Yes

No

I would really miss Snickers if it goes away?

Yes

No

I have seen the following promotion of Snickers *

Direct Theater Advertising (Advertising seen In the beginning of the Movies)

72

Inshop branding (branding in shops)

Radio activation (Hungry hour Program in FM)

TVC (In televisions)

None

73

APPENDIX 7: QUESTIONNAIRE FOR RETAILERS (INTERVIEW)

1. Which brands of chocolates are available at your outlet?

2. Which brand provides you the most incentive?

3. Does Snicker do any kind of push marketing?

4. Have you seen any type of marketing done by Snickers

5. If yes what was that (TVC, Inshop branding, DTA or Radio activatyion)………………

6. Which chocolate do most of the consumers ask when they enter the outlet?

7. How often do consumers ask for Snickers

Many times a day

One time a day

Once in every two days

Once a week

Very few

8. How much do

Dairymilk sell a day………………….

Kitkat Sell a day………………………..

Snickers sell a day……………………..

74

REFERENCES

Eagle, L., & Kitchen, P. J. (2000). IMC, brand communications, and corporate cultures:

client/advertising agency co-ordination and cohesion. European Journal of Marketing, 34(5/6),

667-686.

Jobber, D., & Ellis-Chadwick, F. (1995). Principles and practice of marketing (pp. 599-602).

Maidenhead: McGraw-Hill.

Kerr, G. F., Schultz, D., Patti, C., & Ilchul, K. (2008). An inside-out approach to integrated

marketing communication: An international analysis. International Journal of Advertising, 27(4),

511-548.

Kliatchko, J. G. (2008). Revisiting the IMC construct. International Journal of Advertising, 27(1),

133-160.

Kitchen, P. J., Schultz, D. E., Kim, I., Han, D., & Li, T. (2004). Will agencies ever “get”(or

understand) IMC?. European Journal of Marketing, 38(11/12), 1417-1436.

Madhavaram, S., Badrinarayanan, V., & McDonald, R. E. (2005). Integrated marketing

communication (IMC) and brand identity as critical components of brand equity strategy: A

conceptual framework and research propositions. Journal of Advertising, 34(4), 69-80.

McGrath, J. M. (2001). Integrated Marketing Communications: An Empirical Test of its

Effectiveness (Doctorial Dissertation, The Pennsylvania State University).

Micu, A. C., & Thorson, E. (2008). Leveraging news and advertising to introduce new brands on

the web. Journal of Interactive Advertising, 9(1), 14-26

75

Mihart, C. (2012). Impact of Integrated Marketing Communication on Consumer Behaviour:

Effects on Consumer Decision–Making Process. International Journal of Marketing Studies, 4(2),

p121

Russell, C. A. (2002). Investigating the effectiveness of product placements in television shows:

The role of modality and plot connection congruence on brand memory and attitude. Journal of

consumer research, 29(3), 306-318.

Ratnatunga, J., & Ewing, M. T. (2005). The brand capability value of integrated marketing

communication (IMC). Journal of Advertising, 34(4), 25-40.

Sneath, J. Z., Finney, R. Z., & Close, A. G. (2005). An IMC approach to event marketing: the

effects of sponsorship and experience on customer attitudes. Journal of Advertising Research,

45(04), 373-381.

Stammerjohan, C., Wood, C. M., Chang, Y., & Thorson, E. (2005). An empirical investigation of

the interaction between publicity, advertising, and previous brand attitudes and knowledge.

Journal of Advertising, 34(4), 55-67.

Suh, J. C., & Youjae, Y. (2006). When brand attitudes affect the customer satisfaction-loyalty

relation: the moderating role of product involvement. Journal of Consumer Psychology, 16(2),

145-155.

Unnava, H. R., Agarwal, S., & Haugtvedt, C. P. (1996). Interactive effects of presentation

modality and message-generated imagery on recall of advertising information. Journal of

Consumer Research, 81-88.

http://ram-avash.blogspot.com/2008/06/advertising-regulation-and-policy-in.html. (2012).

Retrieved from ram-avash.blogspot.com.

ECHOAD. (2012, September). http://www.echoad.com.np/. Retrieved from

http://www.echoad.com.np/.

76

Keller, K. L. (n.d.). http://www.terry.uga.edu/~rgrover/chapter_26.pdf. Retrieved from

www.terry.uga.edu.

Nepal, A. a. (2012). http://adnepal.org.np/contents.php?mainid=339. Retrieved from

http://adnepal.org.np/.

Sorbonne, U. P. (2005). Thesis – Integrated Marketing Communications.

http://alexandramimoun.wordpress.com/thesis-integrated-marketing-communications/., Accessed

on September 2, 2013

Imperial Tobacco Limited (ITC). (2000). Imperial Tobacco Ltd -v- Attorney-General; HL 1980:

ITC