COMPRATIVE RESEARCH ON MARKET SIZE OF BEER BRAND OF MOHAN MEAKIN LTD. MOHAN NAGAR GHAZIABAD

COMPRATIVE RESEARCH ON MARKET SIZE OF

BEER BRAND OF MOHAN MEAKIN LTD. MOHAN NAGAR GHAZIABAD Submitted for the partial fulfillment of the requirement for the award

Of

POST GRADUATE DIPLOMA IN MANAGEMENT (2008-2010)

DISSERTATION

SUBMITTED BY MANGLA PD TIWARI

UNDER THE GUIDANCE OF Internal Guide: Mrs. Nikunj Agrawal

Department Of Management INSTITUTE OF MANAGEMENT EDUCATION SAHIBABAD (GZB.)

INSTITUTE OF MANAGEMENT EDUCATION

G. T. ROAD, SAHIBABAD, GHAZIABAD (U.P.)

DEPARTMENT OF MANAGEMENT

CERTIFICATE

This to certify that the Dissertation Report entitled “COMPRATIVE RESEARCH ON

MARKET SIZE OF BEER BRAND OF MOHAN MEAKIN LTD. MOHAN NAGAR

GHAZIABAD” submitted by Mangla Pd Tiwari for the partial fulfillment of the

requirements of PGDM (BATCH 2008-2010) approved by AICTE, embodies the

bonafide work done by him under our supervision.

Guided by: Prof. NIKUNJ AGARWAL

Signature of the Guide

Place………………………

Date………………………..

ACKNOWLEDGEMENT

The completion of this report was made possible due to enduring help of many people.

We avail this opportunity to express my deep gratitude to them.

Our special thanks and heart full gratitude to Mrs. Nikunj Agrawal for encouraging and

supporting our efforts to complete our study. We owe her a special debt of gratitude for

her guidance.

Finally, we would also like to thank Dr.Taruna Gautam for imparting her knowledge

regarding marketing research between us.

MANGLAM PD TIWARI

(PGDM 4th Sem.)

PREFACE

In the changed business scenario, where organizations are required to compete globally,

benchmarks have also become global, organization survival and excellence requires not

only meeting the targets, but also setting up of global standards. In the present scenario,

to achieve world class excellence or even surpass them depends upon the efficiency

marketing scenario of the company, which is the most important for any organization.

The quest of productivity, quality and speed has spawned a remarkable number of

management tools and techniques. Total quality management, bench marking, and Time

based competition. Out servicing partnering, reengineer, change management of feeling

the gap between the originations and the consumer, on the bases of market research are

conducted by the big organizations.

Today’s world is a world of competition. The concept of marketing is totally has been

changed, in every field customer became aware, now the market is customer oriented.

The prime motive of the company should be customer delight hence to survive and

achieve higher goals.

Beer is one of the alcoholic products. ‘Beer’ it self has a niche in the market. A certain

age group people use to drink for the shake of just showing which people take it just as a

substitute to Whisky and do not Jan as that of whisky

.

Alcoholic products are excisable item, which is controlled by the Government. The

Government earns much money from Alcoholic product due to much excise

duty on Alcoholic product. The liquor company work under the rule and regulations of

the Government. It is very necessary and compulsory for distributors of alcoholic to take

license from the Government.

CONTENTS

1) INTRODUCTION……………………………………………........................7

2) OBJECTIVE………………………………………………………………….8

3) COMPANY PROFILES……………………………………………………..9

3.1 PARENT UNIT OF MOHAN MEAKIN LTD………………………….12

4) PRODUCT PROFILE……………………………………………………….15

5) LIQUOR INDUSTRY IN INDIA…………………………………………...18

5.1 DUTIES & TAXES ON LIQUOR……………………………………....29

6) DISTRIBUTION SYSTEM…………………………………………………30

7) SWOT ANALYSIS………………………………………………………….34

8) PRESENT SCENARIO……………………………………………………..37

9) FUTURE PROSPECTS……………………………………………………..39..

10) RESEARCH METHODOLOGY…………………………………………...41

11) LIMITATION……………………………………………………………….46

12) QUESSTIONNAIRE………………………………………………………..47

13) FINDING……………………………………………………………………52.

14) RECOMMENDATIONS…………………………………………………..64

15) CONCLUSION…………………………………………………………….65

16) BIBLIOGRAPHY………………………………………………………….67

17) CHECK LIST…………………………………………………...68

INTRODUCTION

Marketing Research is a vehicle through we can obtain information about present and

potential customer’s behavior, their reaction and prospective about marketing. Learning

more about the consumer and marketing is the heart of marketing research. The objective

of this study is to know about the consumer’s perception & preference towards Beer of

MML.

‘Beer’ it self has a niche in the market. Certain age groups people use to drink for the

shake of just showing which some people take it just as a substitute to whisky and do not

Jan as that of whisky. The Beer industry is developing with speed of app. 15%. The

Mohan Meakin enjoys a good position in the Beer Market by launching Meakin 10000

The coming up of Multinational in the filed has made it tough for the company to capture

the same market share as it was enjoying few decades ago. Since thirty years put now

seeing the current requirements the company decided to change its old pattern and

planned to walk with the Traits. This study contains the about the reaction of consumers

towards the Beer. The target consumers are there figured and the area for research is also

sound and through it.

Through the proper & throughout research of the company & its external environment the

SWOT, Conclusion and Recommendation are concluded with proper marketing

strategies. This research study is taken in NCR area.

This research training helped me in getting more practical and enhanced my awareness

level of consumer oriented towards buying a product of liquor of “Mohan Meakin Ltd.”.

1

OBJECTIVES

It is said that the well defined objective is half attained. In order to make sure that a

proper research has been taken ensures defining clear cut objectives and outline is a

prerequisite. The research objectives of the study are:-

To determine the Market position of Beer produced by Mohan Meakin Ltd.

To determine the perception of consumer towards beer of Mohan Meakin Ltd.

To know the market share of Mohan Meakin Ltd. Regard to beer only.

To determine the competitors of Mohan Meakin Ltd.

To analyzing the market expansion in future.

2

COMPANY PROFILE

An Englishman named Edward Dyer from the UK who set up the first-ever brewery in

1855 at Kasauli, India and brought to “Hindustan” the first thrills of Modern beer. Riding

on the ware of his successful venture, Dyer set up breweries in the old Shimla and Solan,

Lucknow (U.P) and Mandalay (Burma). During this time another like-minded

Englishman H.G. Meakin, who was from a brewer’s family in Burton-on-treat, decided to

set up shop on the sub-continent and thereafter founded the firm Meakins & co. He

purchased the old Simla and Kasauli breweries and constructed others at Dalhousie,

Ranikhet, Chakrata, Darjeeling and kirkee.

Both these firms E.Dyer & co. and Meakin & co. continued separate business dealing

uptill the 1920’s. During World War I, when importing beer was a hard risk, the two

firms supplied cheap, but good quality beer to the thirsty subcontinent. Huge quantities

were sent overseas, like the Egypt, where soldiers more than welcomed reasonably priced

beer. 3

After the First World War in 1953 the two were firms merged and formed Dyer Meakin

Co. The name and style recharged after reconstruction of the Co. with the Indian asserts

named Dyer Meakin Breweries Ltd.

As if being fashioned by history, the company once again went through landmark change

when two years after Indian Independence in 1949, the management was taken over by

the last N.N. Mohan. The company asserts and profits register a manifold increase under

a dynamic stewardship of N.N. Mohan to mark the contribution of Mohan the company

name changed from Dyer and the name was Mohan Meakin Breweries Ltd. In 1967.

In 1969, Mr. N.N. Mohan passed away & reins of the bursting conglomerate feel into the

hands of both his sons, Col. V.R. Mohan and Brig. Kapil Mohan, and under his

stewardship, the Company saw vast growth. Assisted by their father’s vision they laid

the foundation for the Mohan Nagar industrial complex (Near Delhi on G.T. Road) which

began production in 1962 and comprised of production activities such as a distillery,

brewery, cold storage Unit, ice factory, malt extract Unit, food products Unit, breakfast

food Unit and glass works etc.

The first brewery was established for the purposed to simply quality spirit to the drinking

people at Kasauli. They found good quality of water of natural spring at koral peak

above the village known as Solan therefore; the beer making was shifted from Kasauli to

Solan that is company-conducted survey.

During the probation years in the seventies, the company acquired a number of units,

which were on the average of collapse. Some of the more notable ones were Artos

Brewery in Andhra Pradesh, Mysore, Fruit Products Limited in Bangalore and Nagaland

Distillery in Nagaland. These Units were made highly productive within a short span of

time. The cultivation of ‘hops’ an important ingredient in beer manufacture, was for the

first time in India, undertaken by the

Company in Jammu & Kashmir. In keeping with the times, Mohan Meakins also entered

the international market in a big way and began export of beverage to countries such as

the U.S.A. U.K., Japan & the nation of Western Europe and the Middle East.

The company also began export of manpower and technical know how overseas

especially where collaboration existed. A distillery and glass factory was set up the

Meakins personal at Nairobi, Kenya, and breweries were set up in Nepal and Bhutan.

Apart from liquor, the other Meakin products that began to view for good quality profile

were Mineral water, Cornflakes, Mango Nectar and Apple juice. Brig. Mohan was also

instrumental in promoting a new venture called SIDECO Mohan Tool Kerla Ltd. This

was a Meakins project in collaboration with the Kerla State Industry & Employment

Corporators. A bottling plant at Bhankarpur (near Chandigarh) and Collaboration with

South Indian parties for sale of IMFL Brands were among other steps company took in

ordet to consolidate its market position. This transformative inclination leads the

Company to rename itself in 1980 as Mohan Meakin Limited.

Production of beer by Indian Breweries is 75 million cases (12 bottles of 750 ml) or 47

millions, & 15% to 17% beer market cover by Mohan Meakin Ltd.

A few last words on Mohan Nagar, virtually a township equipped with its own hospital,

schools staff quarters. Most officers working with Mohan Meakin have seen at least

twenty years of Service and these are surely many mort to come. They sear loyalty to the

company & its head and point to the fact that cordial relations between the entire working

staff, numbering 5,000 are the backbone of Meakins stability.

PARENT UNITOF

MOHAN MEAKIN LIMITED

The registered office of Mohan Meakin Limited is situated at Solan in H.P. and its

manufacturing and bottling centers are located at:

Solan H.P. : Distillery, Brewery and Bottling

Kasauli H.P. : Distillery

Lucknow U.P. : Distillery, Brewery, Glass Unit

Mohan Nagar U.P. : Distillery, Brewery, Glass Unit, Bottling &

Fruit juice Unit

COMPETITION

Today’s world is the world of Competition. In every field there is competition, the

success of any company or product is also largely depends upon competition. At present

scenario customer became aware about the market, he has full knowledge of the market.

Competition provides a good quality of product to the customers. If a company wants to

survive itself, he will have to face through-cut competition. In liquor, industry there is

also competition. The increasing awareness and exposure to wines among consumers

and the removal of quantitative restrictions in 2001 has been a big boost to the wine

industry. It saw the emergence of new companies like Future Wine and Spirit Brand (P)

Ltd (FWSB), set up recently by two non-resident Indians (NRIs) from USA. The

consumption of liquor is growing at 20 per cent per annum. ‘Beer’ consumption in the

country is slated to treble in the next ten years with the segment for strong beer segment

registering high growth. It boasts of a growth of 25 per cent per year. The increasing

awareness and exposure to wines among consumers and the removal of quantitative

restrictions in 2001 has been a big boost to the wine industry.

The major Competitors of Mohan Meakin Ltd. Products are below -

1) United Breweries:

In 1898, UB Group was established with the name of McDowell’s. The company is

going to continues to be India’s no. 1 spirits company. The market share of the company

is 36% in the spirits industry with growing.

2) Shaw Wallence:

In 1886, Shaw Wallence was established in Calcutta. SWC is one of the leading spirits

and Beer Company in the country with brands like Royal Challenge, Director’s Special

and Hayward 5000. The market

share of the company is 15% in the spirits industry.

3) Jagatjit Industry:

Jagatjit Industries is owned and managed by Bhai Mohan Singh. It has one of the largest

distilleries in the country located at Kapurthala in Punjab. The company's main market is

in the Northern part of the country. Aristocrat and Bonnie Scot are its two leading

brands. The company also manufactures and markets malted food drinks. Besides the

Kapurthala plant, the company has other plants in UP located at Noida, Sahibabad and

Sikandrabad. The company has a 9% market share in the Indian liquor market. There are

other such company which are in Keeping in view the day to day increasing competition

in the field & to meet the demand of the customer’s more efficiently and effectively, the

company has used easy and simply way of distribution channel to reach the product

directly to the customer.

PRODUCT PROFILE

1) BEER

Meakins 10000

Golden Eagle

Golden Eagle Deluxe Premium

Black knight Super Strong

Solan No.1 Extra Strong

Solan No. 1 Super Strong

Gymkhana

Golden Eagle Herbal Beer

Asia 72 Mild Beer

Lion Beer

2) WHISHKY

Solan No. 1 Malt Whisky

Summer Hall

Colonel’s Special Malt Whisky

Golden Eagle

Diplomat Deluxe Malt Whisky

Black Knight Malt Whisky

King Castle

Cellar 117

M.M.B. Whisky

Old Master

3) RUMS

Old Monk Supreme

Old Monk Gold Reserve

Old Monk White Rum

Black Beauty

Old Monk XXX Rum

4) BRANDIES

Triple Crown

Golden Eagle

Doctor’s Reserve No.1

DM

M.M.B.

5) GINS

Big Ben London

M.M.B.

6) JUICE

Mohan’s Gold Coin Apple Juice

Gold Reserve Mixed Fruit Juice

7) Vodka

Kaplansky Vodka

8) MINERAL WATER

Golden Eagle Mineral Water

Mohan’s Mineral Water

9) BREAKFAST FOODS

Mohan’s New Life Corn Flakes

Mohan’s Wheat Porridge

10) VINEGARS

Mohan’s Pure Malt Vinegar

Mohan’s Synthetic Vinegar

11) EXTRACTS

Brewer’s Yeast

Malt’s Extract

12) OTHER FOOD

Pickle

Jam & Jelly

13) EXPORT PRODUCTS

Beers

Rums

Whisky

Brandy

THE LIQUOR INDUSTRY IN INDIA

Despite step-motherly treatment from the government by way of exorbitant taxes and

negative policy decisions, the liquor industry has managed to stay afloat and is on the

verge of tremendous growth. Achal Dhruva does an in-depth analysis...

The Indian brewing industry has been on a roll for the past many years, despite bans by

some state governments and an unfavorable policy environment. Despite declining trends

worldwide, the Rs 5,000 crores Indian liquor industry has been growing rapidly and

multinational companies with unremitting regularity innundate the Indian market with

new brands. This trend has been fostered to a great extent by the removal of quantitative

restrictions.

The overall growth of the liquor industry has been reflected by the findings of

International Wine and Spirit Records (IWSR), an UK-based research organisation,

which states that India took over US as the largest whisky consumer two years ago and

the consumption is growing at 20 per cent per annum. IWSR also places India in third

position worldwide in the spirits segment. Beer consumption in the country is slated to

treble in the next ten years with the segment for strong beer segment registering high

growth. Besides these traditionally strong segments ie. beer, whisky and other spirits,

India has a potentially huge market for wines and pre-mixed drinks or Ready To Drink

(RTDs).

Raising A Toast:

While the wine industry accounts for less than one per cent of the alcohol and spirits

industry in India, it boasts of a growth of 25 per cent per year. The wine market in the

country is estimated at 2 million bottles, including wine made in Goa, a quantum jump

from six lakh bottles in 1997.

There has been a huge influx of foreign wines in the past few years with top international

wine companies like Ernest and Julio Gallo (California), Veuve Clicquot Ponsardin

(French), Cranswick Estate (Australia), Nelson Creek (South Africa), Lost Horizons

(South Africa) Riunite (Italy) introducing their top selling brands in the Indian market.

The entry of so many international foreign players has also aided the spurt in sales of

foreign wines, which increased from 13,500 bottles in 1997 to approximately 50,000 last

year.

The increasing awareness and exposure to wines among consumers and the removal of

quantitative restrictions in 2001 has been a big boost to the wine

However, according to H R Ahuja, senior vice-president, FWSB, “Though the removal of

quantitative restrictions has been a welcome move, the government has levied additional

custom duty to protect the domestic market. Hopefully in this year’s budget the

government will reduce the duty. There is no threat to the domestic players as there is

enough scope for all players to grow. In fact the medium range wine below Rs 450,

mostly produced by the domestic players has recorded the highest growth.”

Echoing similar sentiments, Amar Jog, junior vice-president, Chateau Indage, said,

“There is enough scope for growth and more players will enter the fray which is good for

the industry.” Domestic companies like Chateau Indage, Grover Wines and recent entrant

Sula Wines have all done exceedingly well.

Jog stated that a survey recently conducted by Ernst & Young indicated that Indage

constitutes 91 per cent of the wine industry in India. “Domestic wines are now sold

internationally which is a clear indicator of the quality. Our wines are being sold in more

than 300 restaurants in Paris alone. Soon we shall be launching a wine in New York,”

said Jog.

However, in his opinion the main pitfall faced by the domestic market is that under

international banners we may have very mediocre quality wines coming in

at very cheap rates. “This would definitely affect the domestic wine market as we cannot

match those prices and could give the market a wrong turn. Apart from the Indian

wineries, the consumer would also lose in terms of the quality of wine available to him,”

stated Jog.

Education of the consumer is the answer to this problem and most companies have

adopted it as part of their marketing strategy and as a means of facing competition.

Jog said, “We initiated the concept of wine education in India and it is an ongoing

process. Besides taking care of the initial curiosity, an average wine drinker knows what

he or she is looking for. Besides, one has to provide Value For Money (VFM) products as

it is no secret that our market is extremely VFM driven. Also the quality and type of wine

is important, growing the right kind of wine to suit the Indian palate.”

Domestic players have been around for two decades producing quality wines, according

to R Vazirani, vice- president sales, Radico Khaitan Limited. In his opinion the

availability of international wines will only foster the growth of the small wine market in

the country. Vazirani cited the examples of Chile and Australia to elucidate this point. "A

few years ago these two nations were importing new world wines but today they are the

leading exporters," stated Vazirani.

Pre-mixed drinks or Ready To Drink (RTDs), introduced in the Indian market in 2001

has great potential for growth. Baccardi Martini India Ltd (BMIL) made a foray into the

RTD alcoholic beverage segment last year with the launch of Baccardi Breezer. The

company, which is a 74:26 joint venture between Baccardi and Gemini Distilleries

introduced Breezers (a

fruit flavoured drink with 4.8 per cent alcohol content) in three flavours - lime, cranberry

and orange, available in 330 ml bottles priced at Rs 40. Starting with Delhi, Maharashtra

and Goa, Baccardi Breezer will be distributed nationally in a phased manner.

Globally, Breezer is available in many flavours, which includes watermelon, cranberry,

orange, lime, pineapple, peach, lemon and ruby grape fruit. Breezer is currently available

across 30 countries in the world with UK as its biggest market. The brand stormed the

UK in 1993 after tasting success in the US and induced widespread consumer shift from

pints of lager and white wine. It was positioned as a credible alternative to beer.

According to Val Smith, chairman, IWSR, the market of RTDs in Britain is 10 million

cases. “RTDs in the European market has eaten into the beer sales by 10-15 per cent and

the US beer market has also been hard hit. RTDs will

be a success in India as worldwide it has done favourably in countries with hot climate,”

stated Smith. Targeted at the youth, RTDs has found favour with those in the clubbing

habit and also with women drinkers. Both Baccardi Breezers and Romanov Shots

introduced in five flavours (330 ml bottles at Rs 40) are quite popular in the metros.

The reason for the success of RTDs in a short span of time is the value for money factor

and the perception of not being a hard drink. With the alcohol content as low as mild

beers it has a huge market amongst the youth. The fruit flavoured taste is also an

advantage compared to the bitter taste of beer. “RTDs are making a mark world over and

are creating new consumers. The fears that RTDs will eat into the beer market are

uncalled for as they are targeting a totally different class and age group,” opined R

Vazirani, vice president sales, Radico Khaitan Limited.

Smith felt that RTDs offer a huge opportunity for major breweries in the country to tap

this segment as they can produce and distribute it easily. While international brands like

Baccardi Breezer and Smirnoff Ice are world leaders even local brands in some countries

have done exceedingly well like Umex in Mexico. The tequila producer registered sales

of 4 million cases in just two and half years. Predicting a phenomenal growth in the next

five years with American breweries alone looking at a 80 million to 300 million growth,

Smith however feels that heavy taxation by the governments worried about teens taking

to drinking, may kill the RTD market.

THREE CHEERS FOR BEER

Despite being placed 39th in the world rankings, the beer market in India with 5.6 million

bottles is the most emerging market and is set for rapid growth in the coming decade.

USA with 232, China with 219 and Germany with 107 million bottles is placed first

second and third respectively. With 85 million potential beer drinkers set to be added in

the next ten years, the market will see penetration levels increase from 11 to 20 per cent.

According to Dr Mohan Krishna, deputy general manager-strategic planning, Shaw

Wallace Breweries Limited, factors like rising incomes, changing lifestyles and removal

of market distortions will fuel the growth of the beer market. He informed that the strong

beer is currently the largest and

fastest growing segment currently enjoying 61 per cent share while the mild beer segment

has 39 per cent share. While the mild segment has witnessed a fall from 66 per cent in

’93-94, the strong beer segment has seen a growth from 34 per cent in 93-94.

The three main reasons for the rise in strong beer segment, according to Dr. Krishna, is

that it gives greater intoxication (helps one get a kick), more value for money (high kick

for lower price) and in summer consumers prefer to drink chilled strong beer instead of

hard liquor. Consumption of strong beer is pegged at 75 per cent in smaller towns and

cities compared to 65 per cent in metros and bigger cities. Studies according to Dr

Krishna predict that the mild segment will be placed at 21 per cent and the strong beer

segment at 79 per cent of the total beer market in India by year 2011-12.

A host of international beer brands have entered the Indian market over the past few

years in the mild beer segment like Becks, Fosters, Corona, San Miguel, Cobra, Castle

Lager. Among these Fosters has made the biggest impact. Among the Indian brands in

the mild segment Kingfisher of United Breweries, Royal Challenge from Shaw and

Wallace are amongst the most popular brands. Kingfisher has also made its impact

abroad. Smith felt that Indian strong beers were really good and comparable with the

international brand. He said that there was great potential in marketing Indian strong

beers, especially in France and United Kingdom. “The French are interested

in stocking novel beers and Indian strong beers could find place in restaurants in Paris

and London along with Japanese, Chinese and Kenyan beer. The marketing trick to sell

Indian beers abroad is to have a very definite Indian identity as consumers should identify

the product with India,” stated Smith.

DIFFEREENT DUTIES ON LIQUOR

1) Excise Duty

2) Export Pass Fee

3) Vend Fee

4) Sale Tax/Surcharge

5) License Fee

6) Toll Tax

7) Brand/Label Fee

8) Permit Fee

9) Transportation Fee

10) Import Pass Fee

11) Additional Duty

12) Distillery/Brewery License Fee

13) Bottling Fee

14) Litterage Fee

15) Assessment Fee

16) Franchise Fee

DISTRIBUTION SYSTEM

A. FOR RETAILORS

Order slip sent on the behalf

of the wholesaler

Goods delivered

Order slip sent to Excise Office

and Pay Excise Duty

Goods delivered

COMPANY

WHOLESALER EXCISE OFFICE

RETAILORS

B. FOR C.S.D.

Order slip sent on the behalf

of the C.S.D.

Goods delivered

Order slip sent to Excise Office

Goods delivered

COMPANY

C.S.D. DEPOT EXCISE OFFICE

UNIT CANTEEN

CONSUMERS

C. FOR BARS

Order slip sent on the behalf

of the Bar Holder

Goods delivered

Order slip sent to Excise Officeand Pay Excise Duty

COMPANY

BAR EXCISE OFFICE

RESTURANT

SWOT ANALYSIS

SWOT ANALYSIS

Organizaation performs swot (Strength, Weakness, Opportunity, Threats) analysis to

identify and evalutate their competitive position.

STREGTHS:

1) The company has excellent distribution system.

2) The company has build a strong image among the customers.

3) The company has an excellent distribution system.

4) The company experiences excellent Brand loyalty for its Products from the

customers.

5) The company has made its Packaging attractive which lures the customers and

consequently the products are favorite among the customers.

WEAKNESSES:

1) Some products have high prices as compared to the other products.

2) The company branches are not spread through out the region; as a result load of

the work at the regional offices are tremendous.

3) The company pays less attention towards advertisement.

4) The brewery of the company is old and not up to expectation of modern times.

OPPORTUNITIES:

1) India has a vast potential market, which the company can get hold up.

2) The company can prove to be major threats for its competitor’s if it increases its

marketing efforts.

3) MML should concentrate on the premium segment market.

THREATS:

1) The major threat that company faces is from its competitors who are introducing

products with more features at lower cost backed by aggressive promotional

schemes to attract buyer.

2) The new packaging style introduce by the company for the beer i.e. in Tin is

posing threat to the existing bottle packing system.

3) The arrival of the MNC is a major serious threat for the company.

PRESENT SCENARIO

“Scotch is not a mass product any where in the World. What the scotch player will not

say but do realize it that the scotch market in India is even not self sustaining.”

While the wine industry accounts for less than one per cent of the alcohol and spirits

industry in India, it boasts of a growth of 25 per cent per year. The wine market in the

country is estimated at 2 million bottles, includingine made in Goa, a quantum jump from

six lakh bottles in 1997.

Jog stated that a survey recently conducted by Ernst & Young indicated that Indage

constitutes 91 per cent of the wine industry in India. “Domestic wines are now sold

internationally which is a clear indicator of the quality. Our wines are being sold in more

than 300 restaurants in Paris alone. Soon we shall be launching a wine in New York,”

said Jog.

At present, the domestic liquor industry is protected by high effective import duties.

These duties are likely to decline over the medium term and would lead to entry of

international majors.

Whisky is the largest segment of the liquor industry in the country. India today is the

largest consumer of whisky overtaking USA two years ago, according to the IWSR study.

According to Smith, domestic whisky growth is concentrated in India with the other big

market Japan registering a fall.

The Indian Made Foreign Liquor (IMFL) and scotch segments is pegged at 79.5 million

cases in India with 2.5 million cases in premium and above, 7 million cases in prestige

and above, 31 million cases in regular and 39 million cases cheap and medium categories.

The ‘Beer’ market is witnessing flurry of launches from the MNC’s by having their

collaborations done with the India parners. These collaborations done by then are in two

ways either share of profits or technical partnership. Even scotch, the attempt now is

stable all price ends. Company are launching scotch brands at premium regular and

economy ends.

FUTURE PROSPECTS

As far as the industry players are concerned, they are very optimistic about future. The

reason are very evident, a growing middle class with increasing purchasing power,

hanging life styles, changing social attitudes and above all the large population. All these

reasons are enough for the industry to be upbeat about the future. Although whisky will

continue to dominate, the emphasis will be on the low alcohol drinks and white drinks.

In ‘Beer market the future is seem of Strong Beer. The three main reasons for the rise in

strong beer segment, according to Dr. Krishna, is that it gives greater intoxication (helps

one get a kick), more value for money (high kick for lower price) and in summer

consumers prefer to drink chilled strong beer instead of hard liquor. Consumption of

strong beer is pegged at 75 per cent in smaller towns and cities compared to 65 per cent

in metros and bigger cities. Studies according to Dr Krishna predict that the mild segment

will be placed at 21 per cent and the strong beer segment at 79 per cent of the total beer

market in India by year 2011-12. According to the study report this is say that 7-8

persons out of 10 like to alcoholic product. Thus it can be say that the future of this can

be bright and successfully.

The liquor industry in India is highly regulated with production, distribution, advertising

and marketing having to comply with various government regulations. In addition, the

liquor industry is subject to a high level of taxation. The levels of regulation and taxation

vary from State to State; certain States have even enforced a policy of prohibition. The

import of

liquor is also subject to a high import duty (at present, the effective duty is over 300%). A

significant feature of the Indian liquor industry is the presence of a large illegal market

selling both smuggled as well as illicitly-distilled liquor.

The IMFL industry in India is estimated at nearly 84 million cases and is growing at 8%

per annum. Consumption is largely skewed towards whisky which accounts for over 60

% of the market. Brandy accounts for 21%, rum for 14 % and Whites (Gin, Vodka,

others) for 5 %. Besides, there is a large unorganised sector in the Indian liquor industry,

consisting of local country-liquor manufacturers. Within the IMFL segment, whisky and

rum are the largest segments, accounting for 60% and 16% of total IMFL volumes

respectively. Although the liquor industry worldwide is either stagnating or witnessing

negative growth, India's IMFL market is growing at 8-10% per annum; currently, the

country accounts for nearly 6% of the world's spirit consumption.

The Indian liquor industry is characterised by intense competition among the major

domestic companies: Shaw Wallace, McDowell's, Herbertson's, Mohan Meakins, Jagatjit

Industries, and RKL. This would further intensify competition, especially in the premium

segment.

RESEARCH METHODOLOGY

RESEARCH METHODOLOGY

6.1. Marketing Research

Research methodology may be treated as the heart of the project with out a proper and

well-organized research plan it is impossible to complete the project and draw

conclusions and proper result. This project was based on survey plan. The main objective

of survey to collect appropriate data, which work as a base for drawing conclusion and

getting result.

Marketing research is a systematic collection, analysis, interpretation and reporting of

marketing data to enable the marketing manager to solve some marketing opportunities.

It is a objective study of problems undertaking goods and services. It may be emphasized

that it is not restricted to any particular area of service but its applicable to all its Phases

and Aspects. At this stage it may be worthwhile to examine some definitions of

Marketing Research.

The American Marketing Association defined it as :

1. The Systematic gathering, recording and analyzing of data about Problems

relating to the marketing of goods and services".

2. Systematic and objective search for analysis of information relevant to the

identification and solution of any problem in the field of marketing of goods and

services.

Therefore research methodology is the way to systematically solve the research problem.

Research Methodology not only talks of the methods but also logic behind the methods

used in the context of a research study and it explains why a particular method has been

used in the preference of the other methods.

6.2. Research Design

Research design is key important primarily because of the increased complexity in the

market as well as marketing approaches available to the researchers. Infect it is the key to

the evolution of successful marketing strategies and programmers. It is an important tool

to study buyer behavior changes in consumer lifestyles, consumption patterns, brand

loyalty and also forecast market changes. A research design specifies the methods and

procedures for conducting a particular study.

According to Kerlinger, "Research design is the plan, conceptual structure and strategy of

investigation conceived as to obtain answers to research questions and to control

variance.

6.3. Data collection Methods

After the research problem we have to identified and select which types of data is to

research. At this stage, we have to organize a field survey to collect the data. One of the

important tools for conducting market research is the availability of necessary and useful

data. There for we would go for personal interview, as we need to collect details

information.

Primary Data

For the Primary Data collection we have to plan the following four important aspects :

1. Sampling Plan

2. Research Instrument

Secondary Data

The company's profile, Journals and various literature studies are the important sources of

secondary data.

Sampling Plan

In sampling plan the following factors are considered:

Sampling Unit

The Retail outlets of Liquor in Delhi and NCR area and consumer it, have been taken as

sampling unit to concentrate and do an in depth study in that segment.

Sample Size

Sample size of the study is 100 Customers and 160 Retail outlets in Delhi and NCR area.

Sampling Procedure

All the information of the sampling units was gathered personally using the

questionnaire.

Research Instrument

A Structured non-disguised Customer Response Form was developed as a research

instrument. All type of questions are included in the questionnaire.

6.5. Data Analysis and Interpretation

1. Questionnaires

2. Pie chart and bar chart.

3. Charts and graphs

6.6. Questionnaires

This is the most popular tool for the data collection. A questionnaire contains question

that the researcher wishes to ask his responde guided by the objective of the survey.

6.7. Pie Chart

This is very useful diagram to represent data, which are divided in to a number of

'categories: This diagram consists of a circle divided a number of sectors whose are

proportional to the values they represent. The total value is represented by the full create.

This diagram bar chart can make comparison among the various components or between

a part and a whole of data.

6.8. Preparation of the Report

The Report was made on the basis of the analysis and presented with the findings and

suggestions.

LIMITATIONS

In spite of making all my efforts to make the dissertation a perfect one there are certain

limitations in the study, which are felt while writing the report. As the study is an

exploratory one designed to find new hypothesis, readers are not suggested to conclude

the result. The study suffers from the basic limitations of the possibilities of difference

between what is recorded and what is true.

In addition, some limitation regarding of the study are mentioned.

1) The sample size is very less and therefore the test that could be done on large

population cannot be done.

2) There has lack of time and financial resources prevented the investigator from

carrying out an in depth study.

3) The findings of the survey are based on the subjective opinion of the respondents

and there is no way of assessing the truth of the statements.

4) There are some respondent’s bias which cannot be removed.

5) No competitors are interviewed and hence there is a problem of comparing the

brand with others thoroughly. Besides this no help has been taken from any

secondary data of this type in this regard

QUERSTIONNARIE

FOR CUSTOMER

Name:

Age:

occupation

Address:

1) What your opinion about Beer?

Good Bad

Reason:

2) Are you drink Beer?

yes No

3) How often you drink Beer?

Occassionally Regularly

4) What type of Beer is consume by you?

Strong Mild Both

5(A.) Which Brand is prefer by you in Strong…………….?

6(B.) Which Brand is prefer by you in Mild………………?

6) What are most determinates factor affect you while purchasing

Beer?

Taste Brand Name Price Other

7) Have you heard about Mohan Meakin Ltd.

Yes No

8) What do you feel about the rating of MML’s Products?

Good Satisfactory Poor

9) You drink Beer usually when you are

In the Party/with friends

In sad moment

In Happy

No reason

10) How much Beer is consume by you within one time?

1Bottle 1-2Bottle >2Bottle

11) Does the retailer force you to purchase other Beer in the absence

of demanded Beer?

Yes No.

12) Do you want to give any suggestion to MML for their product?

if yes then Please …………….

FOR RETAILORS:

Name:

Age:

Shop Name:

Address:

1) How many Brands of Beer is sold by you?

……………..

2) Which type of Beer is mostly demanded by the consumer?

Strong Mild Both

3) Which Brand in Mild Beer is mostly demanded………………

4) Which Brand in Strong Beer is mostly demanded………………

5) How much quantity of Beer sold by you of MML daily?

<10 cases

10-20cases

>20cases

6) Which Brand of MML has good sale in the Market?

Golden Eagle

Meakin10,000

Gold Lager

Other

7) Do you satisfied with the distribution system of the MML?

Yes No

8) Do you think that promotional expenditure help to boost sales?.

Yes No

9) Do you think that sales can be affected by providing scheme to

you and consumers?

Yes No

10) Biggest competitors of MML in the market.

……………….

11) Does the company representative visit your outlet regularly?

Yes No

12) Do you want to give any suggestion to MML for improvement?

if yes, then ………………………..

FINDING

BEER BRAND PEOPLE LIKE MOST

Haward 500023%

Kingfisher14%

Meakins 1000018%

Golden Eagle15%

R.C.14%

Other16%

DRINKING HABBIT

Occassionaly38%

Regularly62%

RATING OF MML PRODUCT

Good26%

Satisfactory67%

Poor7%

FACTOR WHICH AFFECT THE PEOPLE WHILE CONSUMING

Taste42%

Price15%

Brand Name23%

Packging9%

Other11%

PALACE WHERE PEOPLE LIKE TO CONSUME

Home4%

Bar/Pubs53%

Resturant33%

Open Space10%

PEOPLE FEELING AFTER DRINK

Relaxed65%

Happy30%

Tensed1%

Angry4%

CONSUMPTION AT ONE TIME

1 Bottle47%

1-2 Bottle32%

> 2 Bottle21%

BRAND LOYALITY TOWARD PRODUCT

Loyal34%

Switcher66%

AWARNESS OF MML

Yes43%

No57%

SALE BRAND WISE OF MML

Meakin 10,000

52%

Golden Eagle36%

Golden Eagle Deluxe

Pre.12%

SATISFACTION WITH DISRIBUTION

Yes95%

No5%

RECOMMENDATIONS

The following are Recommendations for the company to improves itself which the study

has been shown:-

1) Mohan Meakin should expend on Advertisements, as they pay less attention on

this.

2) Credibility of Distribution channels.

3) Incentive schemes for Retailers should be started by Mohan Meakin Ltd for

increasing the sale, if they loose the confidence of the Retailers, the company can

be loose the market.

4) Brand – Franchisee should be started in Metro Areas.

5) The company Representative should regularly visit to the Retailers to solve their

problems.

6) The company should also offer some Gifts for the consumers.

CONCLUSION

The study which has to be taken conclude that the product of MML is satisfactory

product for the consumers. The sale of MML is average rather that Good. According to

the previous study report of Business Today, MML stand at 3rd rank in the Beer market.

The following are conclusion:-

A. CUSTOMERS

1) The awareness of MML is less to the consumer due to less advertisement.

2) Strong Beer is much consume rather than Mild Beer.

3) Taste of Beer attracts most consumer while taking a Beer.

4) Consumers prefer Bottled Beer.

5) Most of the consumer feel happy after consuming Beer. They feel relaxed after

consuming Beer.

6) In U.P. consumer take Beer for Kick & in Delhi take for Enjoy .

7) According to some consumer the Golden Eagle have no proper taste, but their

strong beer are doing well.

8) In strong Hawards-5000 & in Mild Golden Eagle is more preferred by the

consumers.

9) No attractive scheme is offered by the MML.

10) Consumers are not Brand loyal, they change their loyal according to availability.

B. RETAILERS:-

Two most preferred Brands are Golden Eagle and Hawards- 5000.

1) Hawards & other Brands expenditure on advertisement is much more the MML

Brands

2) Some Retailers do not feel happy while selling the MML product, due to not

attractive scheme & helped by consumer and they are attracted towards condition

of environment in and around the Retail shops.

BIBLIOGRAPHY

1) MARKETING MANAGEMENT BY: PHILIP KOTLER

2) MARKETING RESEARCH BY: G.C. BERI

3) ANNUAL REPORT

4) WWW.GOOGLE.COM

Checklist of items in the Report

1. Is the report properly Hard bound/spiral bound? Yes/No

2. Is the cover page in proper format as given in annexure A? Yes/No

3. Is the title page (Inner cover page) in proper format? Yes/No

4. (a) Is the certificate from the supervisor in proper format?

(b)Has it been signed by the supervisor?

Yes/No

Yes/No

5. Is the abstract included in report properly written within one

page?

Have the keywords been specified properly?

Yes/No

Yes/No

6. Is the title of your report appropriate? The title should be

adequately descriptive, precise and must reflect scope of the

actual work done.

Yes/No

7. Have you included the list of abbreviations/acronyms?

Uncommon abbreviations / acronyms should not be used in the

title.

Yes/ No

8. Does the report contain a summary of the literature survey? Yes/ No

9. Does the Table of contents include page numbers?

(i) Are the pages numbered properly?

(ii) Are the figures numbered properly ?(Figure numbers

and figure titles at the bottom of the figures)

(iii) Are the Tables numbered properly ?(Table numbers

and table titles at the top of the table)

(iv) Are the captions for the figures and tables proper?

(v) Are the appendices numbered properly?

Yes/ No

Yes / No

Yes / No

Yes / No

Yes / No

10. Is the conclusion of the report based on discussion of the

work?

Yes / No

11. Are References or bibliography given at the end of the report?

Have the References been cited properly inside the next of the

report?

Is the citation of references in proper format?

Yes/ No

Yes/ No

Yes/ No

12. Have you written your report according to the guidelines? The

report should not be a mere printout of a power point

presentation. Source code need not be included in the report.

Yes/ No

13. A compact disk(CD) containing the soft copy of the final

report and a copy of the final seminar presentation made to the

supervisor examiner (both preferably in PDF format only) has

been placed in a protective jacket securely fastened to the

inner back cover of the final report.

Yes /No

Declaration:

I certify that I have properly verified all the items in this checklist and

ensure that the report is in proper format as specified in the course handout.

Name: Roll No.:

Signature: Date: