A STUDY ON CONSUMER AND RETAILER PERCEPTION TOWARDS ENERGY DRINK IN BY NAYAN KUMAR ORAM (Reg. No. -5094) Of VISHWA VISHWANI INSTITUTE OF SYSTEM AND MANAGEMENT Under the Guidance of Prof. Sasmita Misra A PROJECT REPORT Submitted to the FACCULTY OF BUSINESS MANAGEMENT 1
79
Embed
Consumer and Retailer Perception Towards Energy Drink in SJ XXX GT & T Pvt Ltd
Summer Internsip Project in SJ XXX energy drink, Marketed by GT & T Pvt Ltd. Vishwa Vishwani Institute of System & Management.
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
A STUDY ON CONSUMER AND RETAILER PERCEPTION
TOWARDS ENERGY DRINK IN
BY
NAYAN KUMAR ORAM
(Reg. No. -5094)
Of
VISHWA VISHWANI INSTITUTE OF SYSTEM AND MANAGEMENT
Under the Guidance of
Prof. Sasmita Misra
A PROJECT REPORT
Submitted to the
FACCULTY OF BUSINESS MANAGEMENT
In partial fulfillment of the requirements
For the award of the
POST GRADUATE DIPLOMA IN MANAGEMENT
July 2010
1
DECLARTION
I Nayan Kumar Oram, hereby declare that this project titled “Consumer and Retailer
perception towards energy drink” is an original work carried out by me, under the
guidance of Prof. Sasmita The report submitted by me is a bonafide work carried by me
of my own efforts and it has not been submitted to any other University or published any
time before.
Signature of the Student
(Nayan Kumar Oram)
Date:
Place:
2
CERTIFICATE
Certified that the project titled “Consumers and Retailers Perception towards
Energy Drink” is the bonafide work of “Nayan Kumar Oram”, who carried out the
research under my supervision, certified further, that to the best of my knowledge the
work reported here does not form part of any other thesis or dissertation on the basis
of which a degree or award was conferred on an earlier occasion on this or any other
candidate.
Signature of the Faculty Guide
(Faculty Guide Name)
Date:
Place:
3
ACKNOWLEDGEMENT
With immense pleasure, I would like to present this project report for XXX Energy
drinks, GT&T India Pvt Ltd.It has been an enriching experience for me to undergo my
summer training at GT&T, which would not have possible without the goodwill and
support of the people around. As a student of Vishwa Vishwani institute of system
and management I would like to express my sincere thanks to all those who helped
me during my practical training program.
Words are insufficient to express my gratitude toward Mr. Gourav Shah, the Business
Development Manager of XXX energy, Hyderabad,Imran Sidiqquee Project Guide
and Prof. Sasmita Misra Faculty Guide.
My heartfelt thanks go to all who helped me to gain knowledge about the actual
working and the processes involved in various departments.
However, I accept the sole responsibility for any possible error of omission and would
be extremely grateful to the readers of this project report if they bring such mistakes
to my notice.
4
CONTENTS
Chapter Particular Page no
1 Introduction
Objectives
Need for the study
Scope & Limitations
8
9
9
10
2 Research Methodology 12
3 Industry Overview
Company Overview
Literature Overview
16
21
28
4 Data Analysis 37
5 Finding, Recommendations & Conclusion
Annexure
Questionnaire
Bibliography
53
54
57
5
CHAPTER 1
Introduction
Objective
Need For the Study
Scope and Limitation
6
INTRODUCTION
Every individual has his or her own perception of different situations. Again two
individuals may not have the same perception about a similar situation. People also
tend to believe what they perceive to be true irrespective of the objective truth.
Perception thus is a major driving force in shaping the behavior of a person.
Therefore, perception forms an important part of the study of organization behavior.
Perception is essentially Cognition. We cannot perceive without perceiving
something. Thus perception essentially involves that reference to an object which we
disregarded in treating of sensation. But perceiving is a special mode of cognition; it
is that special mode which immediately depends on the actual presence of an object to
the senses. It may in fact be defined as the cognitive function of sensation. It is
contrasted with that mode of cognition which takes place through ideal images. Such
images are not dependent on the actual presence of an object to the senses. They are
representations of absent objects which have already been perceived. Thus the
existence of perception is a precondition of the existence of ideal images
Even in the direct cognition of present objects, association and reproduction play a
very important part. But in perception, taken in the strictest sense of the word, only
those forms of association and reproduction enter which we have called complication
and acquirement of meaning, together with that peculiar mode of free reproduction by
which general states of nervous and mental excitement and their concomitant organic
sensations are revived.
7
Objective:
To find out the average no of customers in various demographic segmentation
taking energy drinks.
The main objective is consumer perception towards SJ XXX energy drinks.
My third objective is found out the retailer perception towards SJ XXX energy
drinks.
To understand the marketing strategy of energy drinks in the twin city
Hyderabad and Secunderbad to efforts their product.
Need for the study:
To understand the marketing strategy of energy drinks and try to position the
new industry of energy drinks.
For the company it is important because they can use different marketing
strategy and apply them to market for future growth of company.
This study would provide the primary cause for the low market share of SJ
XXX energy drinks in the city like Hyderabad.
8
Scope of the study:
This study will provide us data and information about XXX energy drinks and
its competitor’s position in the market and this will help us to analyze the
market potential and consumer needs.
For the company, Hyderabad is a big market with large no. of potential
customers the company has enormous scope to capture the maximum market
share.
We have to visit more than 200 retailers, 100 customers and approach them
about energy energy drinks.
Limitations:
This project is limited to the region of Hyderabad and Secunderabad in
Andhra Pradesh.
Local people were not very comfortable with other languages.
We were not assigned to get any orders without consulting the area salesman.
9
CHAPTER 2
Research Methodology
10
RESEARCH METHODOLOGY
Research Methodology:
The research include meeting with the retailers and consumers. It included preparation
of the questionnaire to be answered by the people.
Objective of the research:
The main objective of the research was to determine the impact of sale and
promotion offer on the buying behavior of the consumer of energy drinks.
Information based on previous information is research.
Research is the search or find out new information based on previous
information.
Research is a scientific and systematic search for pertinent information on a
specific topic.
Research is a careful investigation or inquiry especially through search for
new facts in any branch of knowledge.
Research comprises defining and redefining problems, formulating hypothesis
or suggested solutions: collecting, organizing and evaluating data; making
deductions and reaching conclusions; and last carefully testing the conclusions
to determine whether they fit the formulating hypothesis.
11
Research design:
A research design is the determination and statement of the general research approach
or
Strategy adopted for the particular project. The study used an exploratory research
design and was conducted for the period 10th MAY To 20th JUNE 2009.
Sample size
The number of sample is 226 for retailer and 118 consumers from twin city
Hyderabad and Secunderabad.
Sampling design
Convenience sampling is used for this study. Convenience sampling is used in
exploratory research where the researcher is interested in getting an inexpensive
approximation of the truth. As the name implies, the sample is selected because they
are convenient. This non probability method is often used during preliminary research
efforts to get a gross estimate of the results, without incurring the cost or time
required to select a random sample.
Types of data collection based on aim and study: There are mainly two types of
data:
1) Primary data collection:
The primary data are those which are collected afresh and for the first time, and thus
happen to be original in character. I prepare the questionnaire and collect the primary
data.
2) Secondary data collection:
The secondary data are those which already have been published earlier in Journal or
Paper or Thesis or Books or Report, newspaper etc i.e. any form of publication.
12
Major data collection procedure:
Interview
Questionnaire survey
Interview:
Method varies from person to person. It depends on our aim and objective.
Based on some selective question. Ask a particular person about a particular
subject.
We get both positive and negative data.
We should be a trained person and also have the idea about the locality.
Personal interviews:
Personal interview method requires a person known as the interviewer asking
questions generally in a face-to-face contact to the other person or persons.
It is done by based on some selected question.
This sort of interview may be in the form of direct personal investigation or it
may be indirect oral investigation.
2) Questionnaire survey:
This method of data collection is quite popular, particularly in case of big enquiries. It
is being adopted by private individuals, research workers, private and public
organizations and even by governments.
- By developing some question based on our objective step by step.
13
CHAPTER 3
Industry Overview
Company Overview
Literature Overview
14
INDUSTRY OVERVIEW
Energy drinks are beverages which contain legal stimulants, vitamins, and minerals,
including caffeine, guarana, and taurine, various forms of ginseng, maltodextrin,
carnitine, creatine, and ginkgo biloba. Some may contain high levels of sugar or
glucose.
It may well have come from Scotland in the form of Irn-Bru, first
produced in the form of "Iron Brew" in 1901.
In Japan, the energy drink phenomenon dates at least as far
back as the early 1960s, with the release of the Lipovitan.
Most such products in Japan bear little resemblance to soft
drinks, and are sold instead in small brown glass medicine bottles or cans styled to
resemble such containers. These "genki drinks", which are also produced in South
Korea, are marketed primarily to the salaryman set, to help them work long hours, or
to stay awake on the late commute home.
In UK, Lucozade Energy was originally introduced in
1929 as a hospital drink for "aiding the recovery;" in the
early 1980s, it was promoted as an energy drink for
"replenishing lost energy."
In 1995, PepsiCo launched Josta, the first energy drink introduced by a major US
beverage company.
15
In Europe, energy drinks were pioneered by
Dietrich Mateschitz, an Austrian entrepreneur
who developed Red Bull based on the Thai
drink Krating Daeng, itself based on Lipovitan. Red Bull was introduced to the US in
1997 and is the dominant brand there, with a market share of approximately 47%.
By the year 2001, the US energy drink market had grown to nearly 8 million per year
in retail sales. Over the last 5 years, it grew an average of over 50% per year, totaling
over $3 billion in 2005. Diet energy drinks are growing at nearly twice that rate within
the category, as are 16-ounce sized energy drinks.
It is estimated to hit nearly 4 billion in 2006, and both Goldman Sachs and Mintel
predict that the energy drink market will hit $10 billion by 2010. Major players such
as Pepsi, Coca-Cola, Molson, and Labatt have tried to match the small companies'
innovative and different approach, with marginal success.
Energy drinks have also become popular as mixers. Many malt beverages such as
Sparks, 3sum and Max capitalized on the effects of caffeine while drinking alcohol.
Globally it is estimated to be a $ 9-billion segment, which is expected to become $14
billion by 2012.
Today there are many international brands doing business in different countries which
includes brands like RockStar, Red Bull, Burn, Monster, Full Throtle, Nos, Battery,