Brand Equity Analysis

BRAND EQUITY OF

KHADI NATURAL

Presented to:Dr. Pinaki Nandan Pattnaik

Presented By:Atrayee DuttaPriyanka LahaVikash GiriAbhisekh Pramanik

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ABOUT THE COMPANY An outcome of Gramodaya Ashram, an institution

registered under Khadi and Village Industries Commission since 1963.

Founded by Mr. Sugrive Singh. Main motive- to publicize khadi and its activities to

keep Gandhiji’s inspiration alive. Its attitude is to provide indigenous products in local

market. Known for manufacturing hand spun and hand woven

clothing and herbal product. Currently exporting to 25 countries including European

Union, USA, Russian Federation and Asian countries

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BRAND EQUITY Brand Equity is the value and strength of the

Brand that decides its worth. It can also be defined as the differential impact of brand knowledge on consumers response

Brand Equity exists as a function of consumer choice in the market place.

The concept of Brand Equity comes into existence when consumer makes a choice of a product or a service.

It occurs when the consumer is familiar with the brand and holds some favourable positive strong and distinctive brand associations in the memory.

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Brand Equity can be determined by measuring:

Returns to the Share-Holders.Evaluating the Brand Image for various

parameters that are considered significant.Evaluating the Brand’s earning potential in

long-run.By evaluating the increased volume of sales

created by the brand compared to other brands in the same class.

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Factors contributing to Brand Equity

Brand Familiarity Brand Performance Brand Personality Brand Knowledge Brand Affiliation Impacts on :- The physical product Line extension / diversification Pricing CommunicationAll the above factors leads to Brand Positioning which

ultimately gives birth to Brand Equity

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OBJECTIVE OF THE STUDYTo learn if consumers are familiar with the

organic product brand- Khadi.To evaluative the performance of the

brand and how the consumers perceive it.To evaluate the quality perception, brand

affiliation and the post purchase situation. Impact assessment

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METHODOLOGY Type of Research Design: Qualitative and Quantitative

techniques. Sample Size: 30 respondents. Source of Data: The present study is based on the data

collected from primary sources. Questionnaire was prepared and canvassed to gather relevant information from different consumers as required for the study.

Data Collection Tools: Primarily close ended questionnaire and discussions.

Analysis Method: Bar Diagrams using percentage of responses per questions.

Software used for Analysis: SPSS

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LIMITATIONS OF THE RESEARCH

Less time frame to conduct the research.Lack of respondents. Was restricted to a specific age group.Inability to capture a significant amount of

interest from the respondent side while documenting their perception.

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ANALYSIS AND INTERPRETATIONIn this chapter the researchers have tried to compile and process all the data which weretaken in the survey. One questionnaire was formedconsisting of 28 questions which ultimately tried tobring light on the brand equity of Khadi Naturals. The questions created tried to capture the perceptionof consumers towards organic products, theirawareness of the different organic products, whetherthey are aware about Khadi and their perception ofKhadi.

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INTERPRETATIONS

Figure depicts the higher percentage of health conscious respondents where over 80% are health conscious while the rest are not.

The trend followed by majority respondents are ethnic.

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Figure shows that the respondents will most likely to opt for organic products in case of free trials.

Respondents showed a marked interest towards their skin care.

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Figure depicts a good amount of familiarity with herbal products on the respondents part.

Himalaya grasps a more minds followed by Fab India and Khadi.

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Khadi seemed to have made mark recently in the minds of the customers.

Himalaya was widely used by the respondents previously.

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Brand Awareness of Khadi is pretty impressive.

Respondents are pretty familiar with the brands as per the research.

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Organic products seem to have created a better utility experience

The quality of the organic products differentiate them from inorganic products

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Mainly the quality of the products influences the customer for buying these products

Most of the respondents have used Khadi products

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Khadi products are almost available everywhere

Mostly consumer buy Khadi products online

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The comparatively cheaper price than any other organic products influence customers to buy Khadi products.

Respondents are more than satisfied with the after use effect of Khadi products.

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Diversification of products is very much needed

Advertisement is needed to increase its market share.

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Low packaging does repels its customers to some extent.

The prices set for the products are justified

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The main reason for investing on Khadi products is the quality they provide in comparatively cheaper price.

Khadi products are user friendly as responded by the consumers.

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The consumers mainly do not recommend Khadi products as there are far more well known brands and moreover they are the new customers of Khadi.

Consumers does value the intangible features of Khadi products.

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The consumers mainly associate the products with the attributes i.e. Smell, features, etc.

Consumers are not willing to pay premium price for such a new brand. They would likely switch if the company change premium price.

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POSITIONING Main competitors are Fab India, Vedic Line, Richfeel, Soulfree,

Down To Earth, etc. Points of Parity: Herbal products Generally caters to health conscious mass Available online as compared to outlets Premium price charged Not much promotion done Points of difference: Economic Pricing Point of Interest: Organic Products at an economic price

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Category Positioning: Khadi mainly produces apparels( khadi apparels) and the

organic personal care products. It has mainly captured their market share with the sale of the personal care product. They have mainly tried to target the upper middle class and the upper class consumer.

Content Positioning: Khadi specializes in the cotton and jute apparels and the

health care products but at an economic price as compared to its competitors.

Referent Positioning: Organic products are charged premium prices. From the lot of

competitors they provide comparatively lower price to cater the market.

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INTERPRETATION & CONCLUSIONOur generation is widely health conscious. They care about

their own self a lot more and have a strong affinity towards herbal products than chemical products.

Himalaya followed by Fab India were few of the prior brands who entered the market with herbal and organic products while Khadi Naturals made quite a recent entry in the same.

Inspite of being a new brand, Khadi charged up the grey cells of its target customers with their quality products at a pocket friendly price.

As per the research, people who opted for herbal/organic products were more quality conscious and mostly made their purchases online for better variety.

Khadi seemed to place itself pretty impressively in this matter.

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The cons of this brand is that it does not indulge much in advertisements and believes in making attractive packaging.

Khadi positioned in the minds of its customers as a very good quality product with an impressive price and very user friendly.

Being a new comer in this market, people are still a bit sceptic in fully accepting and referring to others.

Thus, the hindrance can be reduced and BRAND EQUITY can be extensively strengthened only if it continues to hold the quality of the product the way it is as of now at such an incredible price and invests more on its advertisements and packaging to attract more and more customers.

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