Harsh Sip (Parag)

“A STUDY OF CONSUMER PERCEPTION ABOUT PARAG PRODUCTS”

ATKANPUR DUGDH UTPADAK SAHKARI SANGH

LIMITED

BY

HARSH VERMAMBA (Marketing)

UNDER THE SUPERVISION OF

Mr. LALLAN YADAV

Submitted to:-

Department of Business AdministrationUNIVERSITY OF LUCKNOW

CERTIFICATE

PARAG DAIRY, KANPUR 1


DECLARATION

I hereby declare that the project, which is being presented in this report, entitled “A

STUDY OF CONSUMER PERCEPTION ABOUT PARAG PRODUCTS” in

Kanpur is an authentic record of my own work during the period from 20-06-12 to 03-

08-12 as a part of my MBA course of DEPARTMENT OF BUSINESS

ADMINISTRATION, UNIVERSITY OF LUCKNOW. The information which is

given by me in this report is exclusively for the concerned organization and the institute

would not be submitted by me anywhere else.

HARSH

VERMA

MBA (Marketing)


ACKNOWLEDGEMENT

I take this opportunity to submit my Summer Training project report on “A STUDY

OF CONSUMER PERCEPTION ABOUT PARAG PRODUCTS” in Kanpur

area and to acknowledge my deep sense of gratitude to Mr. LALLAN YADAV for

giving me an opportunity to work and get training in such a reputed organization under

his supervision.

In presenting this project report, I am grateful to all the faculty members who explained

me the objectives of the work done at KANPUR DUGDH UTPADAK SAHKARI

SANGH LTD. provided every kind of help I needed during the Summer Training

period and for extending their valuable guidance in every stage for completion of this

project.

I am also grateful to my colleagues who extended their cordial support to complete this

Summer Training project.

HARSH

VERMA

MBA (Marketing)


PREFACE

In today’s scenario, it is not possible that we get knowledge about the market without

practical training. By the practical training a management student can understand the

management working in the area of there specialization. Actually practical knowledge

increases the knowledge of students in real field of market & also integrates the

theoretical concepts with the practical working of the organization.

Accepting the above factors the management programs of my university has made

practical training must for their management students. As a part of the partial fulfillment

of the requirement of the course of Masters of Business Administration (MBA), summer

training was undertaken with KANPUR DUGDH UTPADAK SAHKARI SANGH

LTD. at KANPUR city. The purpose of the training was to study about the Consumer

Perception about Parag Products at KANPUR city only.

The tools & techniques used in the study are standard & modified according to the report

requirements. I used the primary and secondary data for collection of information. I had

enjoyed my summer training from the very first day. I tried to come across all the initial

steps related with my project in KANPUR DUGDH UTPADAK SAHKARI SANGH

LTD.


TABLE OF CONTENTS

CHAPTER- I PAGE NO.1: INDUSTRY PROFILE

1.1: Dairy Industry ………………………………………………………… 10-11 1.2: National Dairy Development Board (NDDB)………………………… 121.3: Pradeshik Co-operative Dairy Federation (PCDF) Ltd. Profile…….... 13-141.4: Mission, Vision, Objectives And Services …………………………… 15

CHAPTER- II2: COMPANY PROFILE

2.1: About the company…………………………………………………… 172.2: Organizational Structure & Hierarchy……………………………….. 182.3: Products of the company……………………………………………... 202.3: SWOT Analysis………………………………………………………. 27

CHAPTER- III3: PROJECT3.1: Introduction of the project…………………………………………...... 303.2: Objectives of the project ……………………........................................ 313.3: Research Methodology……………………………………………....... 37-40

CHAPTER- IV


4: DATA ANALYSIS 4.1: Data Analysis & Interpretation……………………………………... 41-504.2: Findings……………………………………………………………... 51-524.3: Limitations…………………………………………………………... 53-544.4: Suggestions And Recommendations………………………………... 55-564.5: Bibliography…………………............................................................ 574.6: Annexure……………………………………………………………. 58-65

LIST OF TABLES

PAGE NO.

TABLE NO. 1 - The preference of respondents towards

each Parag products. 42

TABLE NO. 2 - The response of respondents about

Parag products consumption. 43

TABLE NO. 3 - The response of respondents towards

worthiness of Parag products. 44

TABLE NO. 4 - The response of respondents towards buying

preference due to Price, Brand name, Taste, Purity and Quality. 45

TABLE NO. 5 - The response of respondents towards switching over to

other brands if available at the same quality. 46

TABLE NO. 6 - The response of respondents towards facing problem in

availability of Parag products. 47

T ABLE NO. 7 - The response of respondents towards price of Parag

products. 48

TABLE NO. 8 - The response of respondents towards quality of Parag

products. 49


LIST OF FIGURES

PAGE NO.

FIGURE NO. 1 - The preference of respondents towards

each Parag products. 42

FIGURE NO. 2 - The response of respondents about

Parag products consumption. 43

FIGURE NO. 3 - The response of respondents towards

worthiness of Parag products. 44

FIGURE NO. 4 - The response of respondents towards buying

preference due to Price, Brand name, Taste, Purity and Quality. 45

FIGURE NO. 5 - The response of respondents towards switching over to

other brands if available at the same quality. 46

FIGURE NO. 6 - The response of respondents towards facing problem in

availability of Parag products. 47

FIGURE NO. 7 - The response of respondents towards price of Parag

products. 48

FIGURE NO. 8 - The response of respondents towards quality of Parag

products. 49


CHAPTER-I

INDUSTRY PROFILE


1.1: DAIRY INDUSTRY

PROFILE

Today, India is 'The Oyster' of the global dairy industry. The Indian dairy industry is

rapidly growing, trying to keep pace with the galloping progress around the world. He

may transfer technology, sign joint ventures or use India as a sourcing center for regional

exports. The liberalization of the Indian economy beckons to MNC's and foreign

investors alike.

India’s dairy sector is expected to triple its production in the next 10 years in view of

expanding potential for export to Europe and the West. Moreover with WTO regulations

expected to come into force in coming years all the developed countries which are among

big exporters today would have to withdraw the support and subsidy to their domestic

milk products sector. Also to take advantage of this lowest cost of milk production and

increasing production in the country multinational companies are planning to expand

their activities here. Some of these milk producers have already obtained quality standard

certificates from the authorities. This will help them in marketing their products in

foreign countries in processed form.


The urban market for milk products is expected to grow at an accelerated pace of around

45% per annum to around Rs.55, 500 crores by year 2012. This growth is going to come

from the greater emphasis on the processed foods sector and also by increase in the

conversion of milk into milk products.

MAJOR PLAYERS

The packaged milk segment is dominated by the dairy cooperatives. Gujarat Co-operative

Milk Marketing Federation (GCMMF) is the largest player. All other local dairy

cooperatives have their local brands (For e.g. Gokul, Warana in Maharashtra, Saras in

Rajasthan, Verka in Punjab, Vijaya in Andhra Pradesh, Aavin in Tamil Nadu, etc). Other

private players include J K Dairy, Heritage Foods, Indiana Dairy, etc. Amrut Industries,

once a leading player in the sector has turned bankrupt and is facing liquidation.

EXPORT POTENTIAL

India has the potential to become one of the leading players in milk and milk product

exports. Lavational advantage: India is located amidst major milk deficit countries in

Asia and Africa. Major Importers of milk and milk products are Bangladesh, China,

Hong Kong, Singapore, Thailand, Malaysia, Philippines, Japan, UAE, Oman and other

gulf countries, all located close to India.


1.2: ABOUT NDDB

The National Dairy Development Board was created to promote, finance and support

producer-owned and controlled organizations. NDDB's programmers and activities seek

to strengthen farmer cooperatives and support national policies that are favorable to the

growth of such institutions. Fundamental to NDDB's efforts are cooperative principles

and co-operative strategies.

An institution of national importance

Due to very wide dispersal of producing and consuming units of milk, the unorganized

sector continues to dominate the milk marketing in India. The organized sector now

handles above 25% of the milk output in the country. The cooperative sector accounts for

nearly 55% of this.

It is hearting to note that the milk producers in the Anand modal of milk production get

net of intermediation, about 60% of the final price. In other basic foods, the returns are as

low as 30% of the final price. NDDB supports the development of dairy Cooperatives by

providing them financial assistance and technical expertise. Over the years, brands in

milk products created by cooperatives have become synonymous with quality and value.

Brands like Amul (GCMMF), Vijaya (A.P.), Verka (Punjab), Saras (Rajasthan), Nandini


(Karnataka), Milma (Kerala) and Gokul (Kolhapur) are among those that have earned

customer confidence.

1.3: PRADESHIK CO-OPERATIVE DAIRY

FEDERATION LIMITED

PROFILE

History of co-operative dairy industry in U.P. dates back to 1971 when “katra co-

operative milk society” was set up in Allahabad; Kanpur. In 1962, the PRADESHIK CO-

OPERARTIVE DAIRY FEDERATION was established, keeping in mind the aim to

consumers and also to help the backward classes and villagers economically.

Pradeshik co-operative dairy federation is a pioneer milk production with the main

objective of removing the middleman from transaction between producers and

consumers, it’s other objective care to nearest milk production and by products of the

milk. By keeping these objectives and aim in mind PRADESHIK CO-OPERATIVE

DAIRY FEDERATION was set up as the state level as apex body for launching

operation flood.


ABOUT PRADESHIK CO-OPERATIVE DAIRY

FEDERATION LIMITED

Company Name : Pradeshik Cooperative Dairy Federation Ltd (Parag)

Address : 29 Park Road

Level of Office : Head Office

Phone No : 0522 - 2236035, 2236465, 2238584

Industry : Food Processing/ Beverages

City : Lucknow

State : Uttar Pradesh

Pin : 226001


Total Turnover : 800 - 1700 crs

No. of Employees : 3000 – 4500

Sector : Public Sector

MISSION AND VISION

To bring 21% revenue villages of the state under cooperative fold. To procure 10% of the total marketable surplus milk produced in the state through

village dairy cooperatives. To make dairy cooperatives self sustainable. To create adequate marketing infrastructure for providing quality milk and milk

products to urban consumers. Social and economic upliftment of rural women. To provide employment to rural unemployed youth through dairy farming.

OBJECTIVES

PCDF's objectives are: Collection of milk directly from producers through Village Dairy Cooperative

Societies Increasing production of milk by providing technical support Eg. facilities for

breed improvement, providing good quality fodder seeds, training to farmers etc. Ensuring fair and remunerative prices to producers by the elimination of

middleman. Ensuring good quality milk available to urban consumers at reasonable price.

SERVICES


Many services are made available to Dairy Farmers through the village level societies also under TIP. These services are vital for his livestocks welfare and include veterinary, feed and fodder and training services. Some of the major training programs covered at our training institutes are as follows: -

Training of Village Dairy Cooperative Secretary Training of Village Dairy Cooperative Milk tester Training of Village Dairy Cooperative Managing committee members Training of Village Dairy Cooperative Pourer Member Training of field staff of district milk unions

CHAPTER-II

2: COMPANY PROFILE


2.1: ABOUT THE COMPANY

Name of the organization : Kanpur Dugdh Utpadak Sahkari Sangh Limited

Address of the organization : Nirala Nagar (Juhi), Kanpur

Established : 1969

Registration : 14th Nov 1969

Place of establishment : Nirala Nagar (Juhi), Kanpur

Founder : Rai Bhadur Gopal Lal Pandya

Board of Directors : Mr. Gopal Pandya

Mr. N.C.Chaturvedi

Mr. Tej Shanker

Mr. Pushkar Nath Bhatt


Per day production of milk : 13000 - 15000 litres

Area of Distribution : Armapur State, Kidwai Nagar, Barra, Panki, etc

2.2: ORGANIZATIONAL STRUCTURE


BOARD OF DIRECTORS

MANAGING DIRECTORS

FINANCE MANAGER

MARKETING MANAGER

PERSONNEL MANAGER

PRODUCTION MANAGER

ASSISTANT MANAGER (FINANCE)

ASSISTANT MANAGER (MARKETING)

ASSISTANT MANAGER (P&A)

ASSISTANT MANAGER (DAIRY PLANT)

AIMS & OBJECTIVE OF THE

ORGANIZATION

Dairy development programme aims at raising the level of income of rural milk

producers, providing them convenient marketing facilities at their door, as well good

quality milk and milk products to the consumers, particularly of the urban areas a

reasonable price.

Recommending specification for increasing productivity of milk producer and

related milk societies and member of milk union and members of milk union.

To provide encouragement incentives on production procure, processing and

marketing activities of milk products for the economic development of farmer

community.

To improved live stock health and disease control facilities by providing

veterinary services, artificial insemination and animal’s health service to help co-

operative milk unions to achieve this objective.

To arrange collection, storage and transportation of milk and product.


SUPRINTENDENT OFFICER




SALES SUPERVISOR

To establish collection and refrigeration centers, liquid milk units and

processing from various sources.

“Amul” products still have to face very tough competition in Kanpur with

Parag due to the efficient distribution network of the marketing divisions of the

PCDF.

MARKETING:

The federation is marketing milk & milk products, under a common brand name

PARAG. The clientele includes several prestigious institutions in UP & Delhi besides the

Indian army. The sales network is spread throughout northern India. Although PCDF

believe that a satisfied customer is their best advertisement.

2.3: PRODUCTS OF THE COMPANY

PEDA PURE MILK GHEE BUTTER MILK CURD

CHHACH CHHENA KHEER FLAVORED MILK LADDOO


MATTHA GULAB JAMUN PANEER TONNED MILK

PARAG GOLD TABLE BUTTER RASGULLA

Rate List

S. No. Name of PARAG

Products

Pack Size Agent

Rate (Rs. /-)

Consumer

Rate (Rs. /-)

1. PARAG GOLD 1 ltr 37.00 38.00

2. PARAG GOLD 500 ml 18.50 19.00


3. PARAG TONNED

MILK

1 ltr 28.00 29.00

4. PARAG TONNED

MILK

500 ml 14.00 14.50

5. PARAG TONNED

MILK

185 ml 4.50 5.00

6. PARAG NIRALA 500 ml 9.50 10.00

7. PARAG NIRALA 200 ml 3.50 4.00

8. PARAG NIRALA

LOOSE (CAN)

19.00 20.00

9. RAW MIX MILK 1 ltr 28.00 29.00

10. PARAG GHEE POLY

PACK

1 ltr 285.00 300.00

11. PARAG GHEE POLY

PACK

500 ml 144.00 151.00

12. PARAG GHEE POLY

PACK

200 ml 60.00 62.00

13. PARAG GHEE 1 ltr 290.00


(LOOSE)

14. PARAG GHEE

(TIN)

15 kg 3500.00

15. PARAG BUTTER 20 gm 5.50 6.00

16. PARAG BUTTER 50 gm 14.00 15.00

17. PARAG BUTTER 100 gm 28.00 30.00

18. PARAG BUTTER 500 gm 135.00 147.00

19. PARAG PEDA 250 gm 52.50 55.00

20. PARAG MEETHA

DAHI

200 ml 12.00 13.00

21. PARAG SADA DAHI 200 ml 11.00 12.00

22. PARAG FLAVORED

MILK

200 ml 7.00 8.00

23. PARAG FLAVORED

MILK (BOTTLE)

500 ml 12.85 14.00


24. PARAG CHHENA

KHEER

100 ml 12.00 13.00

25. PARAG CHHACH 500 ml 8.00 9.00

26. PARAG PANEER 1 kg 190.00 200.00

27. PARAG PANEER 200 gm 38.00 40.00

28. PARAG RASGULLA 1 kg 175.00 190.00

29. PARAG RASGULLA 500 gm 87.50 95.00

30. PARAG RASGULLA 125 gm 23.00 25.00

31. PARAG GULAB

JAMUN

1 kg 185.00 200.00

32. PARAG GULAB

JAMUN

500 gm 92.50 100.00

33. PARAG GULAB

JAMUN

125 gm 24.00 26.00


34. PARAG BESAN

LADDOO

250 gm 40.00 42.50

35. PARAG MATTHA 200 ml 5.00 6.00

36. PARAG KHOYA 1 kg 205.00 220.00

PRESENT STATUS OF PARAG AND ITS

PRODUCTS

Today the working capital of this milk union is more than 4 lakh litres per day as

compared to 320 litres per day at the beginning. It is expected than in the coming 4-5

years the plan will develop the capacity or producing 8 lakhs litres or more milk per

day.


In present time stall of company PARAG goes on peak and better in the market then

other brands of milk. Quality and purity of PARAG products is better. Demand of

PARAG products is more in the area.

Parag and its products are leader in the present market than other brands like Namaste

India & Mother dairy.

I NTRODUCTION OF MARKETING DIVISIONS

The marketing Management of Pradeshik Co-operative Dairy Federation Ltd. has been

divided into parts:

1. Liquid milk marketing

2. Milk product marketing

RESEARCH AND PRODUCT DEVELOPMENT

1. Market research for identification of future consumers needs conceptualization of

future product needs.


2. To develop prototypes of new products established market acceptance, demand &

study their feasibility and economics for commercial production.

3. Formulation of pre-lunch and post-lunch advertising and strategies for new

product for establishing a state demand of product.

4. Regular market survey for existing milk products

HOW THE INDUSTRY WORKS

The given points show PARAG industry bring normal milk, how by testing them

and take other steps and at last packing of the milk take place.

Firstly they collect milk from the villages nearby.

Loading of the milk in the tanker of the factory.

Then we pasteurize the milk with the help boiler house and Refrigeration house.

In the lab we test that whether milk has been Pasteurize or if it not then sends back

for Pasteurization or not if it not then sends back for Pasteurization again.

After testing pasteurization of the milk then test Bacteria’s are present in the milk

or not.

If Bacteria are not present in the milk has been send for packing and from there

packets of the milk come out.

2.3: SWOT ANALYSIS OF INDIAN DAIRY

STRENGTH:


The major strength of the traditional dairy products sector is the mass appeal enjoyed by

the wide variety of products. The market for these products far exceeds that for western

dairy products like milk powder, table butter and cheese. Their operating margins are also

much higher than the western dairy products. The increasing demand for these products

presents a great opportunity for the organized dairies in the country to modernize and

scale up the production.

WEAKNESS:

The major weakness of this sector is the practice of inadequate hygiene in the preparation

and handling of these products and their relatively short shelf life. The preparation and

marketing of these products is generally done by hallways, and that limits development in

the sector.

OPPORTUNITY:

The expanding business prospects provided by these products and their accompanying

value-addition, call for a through study of this sector. If would facilitate and increase in

the production and marketing of hygienically prepared and properly packed products to

meet the demand of a growing population as has been demonstrated at the NDBS’s

Sugam Dairy.

THREATS :

Milk vendors, the un-organized sector: Today milk vendors are occupying the

pride of place in the industry. Organized dissemination of information about the

harm that they are doing to producers and consumers should see a steady decline

in their importance.

STRATEGIES IN DIFFERENT STAGES OF PLC OF

PRODUCTS


INTRODUCTION STAGES:

1. Rapid Skimming :

Most of market unaware of product.

When award consumer are ready to pay high price.

There is the threat of competition coming quickly.

2. Slow Skimming :

Most of the markets are aware of the product.

Market is limited.

When there is threat of competition.

GROWTH STAGE

Improve product quality, styling, add new features.

Enter new market segment.

Improve distribution coverage.

Reduce price to attract price sensitive buyers.


CHAPTER- III

3: PROJECT


3.1: INTRODUCTION OF THE PROJECT

The Project is related to conduct a customer satisfaction survey to get knowledge about the

customers satisfaction level, their loyalty towards PARAG, market position of PARAG and

customers suggestion related to PARAG products that helps to provide competitive advantage

to the company against the competitors.

SCOPE OF THE PROJECT

To keep things in mind that as the ever-changing competitive business environment new

thoughts and ideas should pour into it, research & development to innovate its existing

products, which should be beyond competitors comprehension.

This study enables the user with answer to formulate an effective marketing mix strategy with

a broader prospective to tap areas where it did not feel the earlier, hence the decision of

whether to penetrate this section or not can be found out at the end of the data analysis.

It also gives ideas of the potential of our business in the future & the fluctuation in price from

time to time & from product to product.

Special reference is made to the improvement of product in term of packaging, product

innovation and advertisement that help to give competitive advantage against competitors.

OBJECTIVES OF THE PROJECTPARAG DAIRY, KANPUR 31

The market research was done with primary objective of studying the role of PARAG in

providing PARAG products to the consumer easily and according to their taste. Major

objectives of my survey were:

1. To know the consumer perception about the PARAG products and know the

positive & negative aspects of organization.

2. To know what is its own image of organization in the market.

3. To determine the appropriate delivery time of the PARAG milk product.

4. To find satisfaction of consumer with PARAG products.

LIMITATIONS OF THE STUDY


Though the detailed investigation is made in the present study, still there are following

limitations.

This study is restricted only to the ARMAPUR STATE. So, the results may

not be applicable to other areas.

This study is based on the prevailing customer’s. But the customer’s

perception may change according to time, fashion, technology,

development, etc.

As per the population of the study is huge; a sample size of 100 sample

respondents is only covered till now.

Data collection of exact data for the research is not possible because there is

a gap between what respondent say and what they actually do.

Information provided by the customers may not be accurate. They may hide

some of the information at the time of filling up the questionnaires.


CUSTOMER SATISFACTION

Customer satisfaction, a business term, is a measure of how products and services

supplied by a company meet or surpass customer expectation. It is seen as a key

performance indicator within business and is part of the four perspectives of a Balanced

Scorecard.

In a competitive marketplace where businesses compete for customers, customer

satisfaction is seen as a key differentiator and increasingly has become a key element of

business strategy.

MEASURING CUSTOMER SATISFACTION

Organizations are increasingly interested in retaining existing customers while targeting

non-customers; measuring customer satisfaction provides an indication of how successful

the organization is at providing products and/or services to the marketplace.

Customer satisfaction is an ambiguous and abstract concept and the actual manifestation

of the state of satisfaction will vary from person to person and product/service to

product/service. The state of satisfaction depends on a number of both psychological and

physical variables which correlate with satisfaction behaviors such as return and

recommend rate. The level of satisfaction can also vary depending on other options the

customer may have and other products against which the customer can compare the

Organization’s products. Because satisfaction is basically a psychological state, care

should be taken in the effort of quantitative measurement, although a large quantity of

research in this area has recently been developed. The work done by Berry, between 2005

and 2006 defined ten 'Quality Values' which influence satisfaction behavior, further

expanded by Berry in 2007 and known as the ten domains of satisfaction.


http://en.wikipedia.org/wiki/Satisfaction

http://en.wikipedia.org/wiki/Balanced_Scorecard

http://en.wikipedia.org/wiki/Balanced_Scorecard

http://en.wikipedia.org/wiki/Technical_term

http://en.wikipedia.org/wiki/Business

These ten domains of satisfaction include: Quality, Value, Timeliness, Efficiency, Ease

of Access, Environment, Inter-departmental Teamwork, Front line Service Behaviors,

Commitment to the Customer and Innovation.

These factors are emphasized for continuous improvement and organizational change

measurement and are most often utilized to develop the architecture for satisfaction

measurement as an integrated model. Work done by Parasuraman, Zeithaml and Berry

between 2007 and 2008 provides the basis for the measurement of customer satisfaction

with a service by using the gap between the customer's expectation of performance and

their perceived experience of performance. This provides the measurer with a satisfaction

"gap" which is objective and quantitative in nature.

CUSTOMER LOYALTY BUSINESS MODEL

The loyalty business model is a business model used in strategic management in which

company resources are employed so as to increase the loyalty of customers and other

stakeholders in the expectation that corporate objectives will be met or surpassed. A

typical example of this type of model is: quality of product or service leads to customer

satisfaction, which leads to customer loyalty, which leads to profitability.

THE SERVICE QUALITY MODEL

A model by Kay Storbacka, Tore Strandvik, and Christian Gronroos (2001), the service

quality model, is more detailed than the basic loyalty business model but arrives at the

same conclusion. In it, customer satisfaction is first based on a recent experience of the

product or service. This assessment depends on prior expectations of overall quality


http://en.wikipedia.org/wiki/Quality

http://en.wikipedia.org/wiki/Service

http://en.wikipedia.org/wiki/Product_(business)

http://en.wikipedia.org/wiki/Strategic_management

http://en.wikipedia.org/wiki/Business_model

compared to the actual performance received. If the recent experience exceeds prior

expectations, customer satisfaction is likely to be high. Customer satisfaction can also be

high even with mediocre performance quality if the customer's expectations are low, or if

the performance provides value (that is, it is priced low to reflect the mediocre quality).

Likewise, a customer can be dissatisfied with the service encounter and still perceive the

overall quality to be good.

This model then looks at the strength of the business relationship; it proposes that this

strength is determined by the level of satisfaction with recent experience, overall

perceptions of quality, customer commitment to the relationship, and bonds between the

parties. Customers are said to have a "zone of tolerance" corresponding to a range of

service quality between "barely adequate “and "exceptional".

The existence of these bonds acts as an exit barrier. There are several types of bonds,

including: legal bonds (contracts), technological bonds (shared technology), economic

bonds (dependence), knowledge bonds, social bonds, cultural or ethnic bonds, ideological

bonds, psychological bonds, geographical bonds, time bonds, and planning bonds. This

model then examines the link between relationship strength and customer loyalty.

Customer loyalty is determined by three factors: relationship strength, perceived

alternatives and critical episodes. The relationship can terminate if:

The customer moves away from the company's service area.

The customer no longer has a need for the company's products

or services.

More suitable alternative providers become available.

The relationship strength has weakened.


PRODUCT FOCUS

In a product innovation approach, the company pursues product innovation, and then tries

to develop a market for the product. Product innovation drives the process and marketing

research is conducted primarily to ensure that a profitable market segment(s) exists for

the innovation. The rationale is that customers may not know what options will be

available to them in the future so we should not expect them to tell us what they will buy

in the future. However, marketers can aggressively over-pursue product innovation and

try to overcapitalize on a niche. When pursuing a product innovation approach, marketers

must ensure that they have a varied and multi-tiered approach to product innovation.


http://en.wikipedia.org/wiki/Innovation

3.3: RESEARCH

METHODOLOGY

INTRODUCTION


My reseach project work is the study “A STUDY OF CONSUMER PERCEPTION

ABOUT PARAG PRODUCTS (Milk, Flavored Milk, Sweet Curd, Mattha, Butter”

in Kanpur. This chapter includes signification of research, research design, sample size,

sampling method, method of data collection etc.

MEANING OF RESEARCH:-

Research in common pariance refers to a search for knowledge. One can also define

research as a scientific systematic research for pertinent information on a specific topic.

In fact, research is an art of scientific investigation.

The Advanced Learner’s Dictionary of current English lays down the meaning of

research as “a careful investigation or inquiry especially through search for new facts in

any branch of knowledge”.

RESEARCH METHODOLOGY

“Marketing Research” is a key to evolution of successful marketing & programmes. It

is an important tool to study buyer behaviors, changes in consumer life style &

consumption patterns brand loyalty and forecast market changes. Research is also used to

study competition & analysis the competitor’s products positioning, MR is also useful to

help create & enhance equity.

EXPLORATORY RESEARCH DESIGN


Exploratory research studies are also term as formulating research studies. The main

purpose of such studies is that of formulating a problem for more precise investigation or

of developing the working hypothesis from an operational point of view the major

emphasis in such studies is on the discovery of idea and insights. As such there research

design appropriates for such studies must be flexible enough to provide opportunity for

considering different aspect of a problem under study. Present research is exploratory in

nature it is aim together relevant information customer perception towards PARAG

PRODUCTS in Kanpur, and about their loyalty towards the PARAG.

For this research project two types of data has been use

a. Primary data

b. Secondary data

PRIMARY DATA

Primary data are those, which are collected for the first time and are those original in

character. Primary data are in the shape of raw material to which statistical method are

applied for the purpose of analysis & interpretation primary are been collected in market

by following method :-

Questionnaire(100) respondents

I have been collecting primary data by the method of survey of persons. Because of

systematic gathering of data from respondents through questionnaire, which is objective

oriented, unambiguous interesting, simple, accurate and systematic motivating to

respondent and complete in information concern?

SECONDARY DATA


Secondary data are those which have already been collected by some other person and

which have been passed through the statistical machine at least once.

I collect the Secondary data with the help of company records and company website etc.

EXTERNAL DATA:

This type of Secondary data can be obtained from the outside sources e.g. magazine,

journal, newspaper, article and the World Wide Web.

METHOD OF DATA COLLECTION:

As the research is about consumer behavior so Questionnaire is the best method to

collect information about the consumer perception.

AREA OF THE STUDY:

This study covers Armapur State only.

SAMPLE SIZE:

The sample size covered for the purpose of this study is 100.

SAMPLING METHOD:

Stratified sampling (I have done my research in specific area).


4: DATA ANALYSIS


4.1: TABULATIONS OF DATA

1. Which of the Parag products do you consume?

TABLE NO. 1 - The preference of respondents towards each Parag Products.

Product name Number of Consumers Percentage

FLAVORED MILK 52 52

SWEET CURD 32 32

MATTHA 50 50

MILK CAKE 14 14

BUTTER 06 06

FIG.1 - The preference of respondents towards each Parag Products.

Interpretation-

The above table shows that 52% consumers are consuming Flavored milk, 32%

consumers are consuming Sweet curd, 50% Mattha, 14% Milk cake, 6% Butter and 8%

Paneer.


X axis

Y axis

2. What is the intake of the product you use?

TABLE NO. 2 - The response of respondents about Parag products consumption.

Product Name No. of consumersDaily Weekly Monthly

FLAVORED MILK

60 34 08

MATTHA 20 38 42

PANEER 0 67 33

SWEET CURD 22 68 10

FIG. 2 - The response of respondents about Parag product consumption.

Interpretation-

The above table shows that 60%, 20%, 8% Flavored milk, 20%,38%,42% Mattha,

0%, 67%,33% Paneer, 22%,68%,10% Sweet curd consumer use Daily, Weekly, Monthly

respectively.


Y axis

X axis

3. Do you think that Parag products are worth the money paid by

you?

TABLE NO. 3 - The response of respondents towards worthiness of Parag products.

Think No. of consumers Percentage

Yes 84 84

No. 16 16

FIG. 3 - The response of respondents towards worthiness of Parag products.

Interpretation-

The above table shows the 84% consumers think that Parag products are worth the money

paid by them, 16% consumers think that Parag products are not worth the money paid by

them.


X axis

Y axis

4. Which basis you consider while buying Parag products?

TABLE NO. 4 - The response of respondents towards buying preference due to Price,

Brand name, Taste, Purity and Quality.

Cause of buying No. of Consumers Percentage

Price 54 54

Brand Name 16 16

Taste 64 64

Purity 54 54

Quality 68 68

FIG. 4 - The response of respondents towards buying preference due to Price, Brand

name, Taste, Purity and Quality.

Interpretation-

From the above table it is clear that mostly 68% consumers are buying Parag products

due to its better quality, 64% due to taste, 54% due to price & purity and 16% due to

brand name of it.


Y axis

X axis

5. If other brands are available at the same quality, would you like

to switch over to other brands?

TABLE NO. 5 - The response of respondents towards switching over to other brands if

available at the same quality.

Think No. of consumers Percentage

Yes 32 32

No 68 68

FIG. 5 - The response of respondents towards switching over to other brands if available

at the same quality.

Interpretation-

Above table shows that 32% consumers would switch over to other brands if available at

the same quality and 68% consumers have no effect.


Y axis

X axis

6. Do you come across problems regarding the non availability of

Parag products?

Table No. 6 - The response of respondents towards facing problem in availability of

Parag products.

Think Consumers Percentage

Yes 88 88

No 12 12

FIG. 6 - The response of respondents towards facing problem in availability of Parag

products.

Interpretation-

Above table shows that 88% consumers want more number of booths set up in their

location and 12% consumers have no effect.


X axis

Y axis

7. Are you satisfied with the price of Parag Products?

TABLE NO. 7 - The response of respondents towards price of PARAG products.


Yes 60 60

No 40 40

FIG. 7 - The response of respondents towards price of PARAG products.

Interpretation-

Above table shows that mostly 60% consumers are satisfied with price of Parag products

40% are dissatisfied.


X axis

Y axis

8. Are you satisfied with the quality of Parag products?

TABLE NO. 8 - The response of respondents towards quality of PARAG products.


Yes 92 09

No 08 08

FIG. 8 - The response of respondents towards quality of PARAG products.

Interpretation-

Above table shows that most of 92% consumers are satisfied with quality of Parag

products and only 8% are dissatisfied.


X axis

Y axis

Analysis & Interpretations of Data

64% consumes are satisfied with the taste of Parag products & 36% consumers are dissatisfied.

60% consumers are satisfied with the price of Parag products & 40% consumers

are dissatisfied.

92% consumers are satisfied with the quality of Parag products & 8% consumers

are dissatisfied.

88% consumers want more number of Parag booths to be set up in their locality &

12% have no effect.

32% consumers have positive response to switch over, if other brands are available

at the same quality & 68% consumer have no effect.

We contacted with 100 consumers, 54 consumers are using Parag Milk but 46

consumers use other brands.

During the survey I found 63% consumers are buying 1 litre milk, 31%

consumers are buying 0.5 litre milk and 6% consumers are buying 0.25 litre milk.


4.2: FINDINGS


FINDINGS

By the help of analysis & interpretations of the data we come to some findings, these

findings are as follows.

PARAG has good market position in the regional market. It holds 54% of market

share. This shows the loyalty of customers towards PARAG.

Most of the customers are satisfied with the quality & availability of PARAG

products.

Increasing price of PARAG milk & other products are the big challenge for the

PARAG, because these products are available in the market at the comparatively

lower price.

Customers want to make the availability of the PARAG products nearer to their

home.

Establishment of PARAG milk ATM gives the PARAG a competitive advantage

and enhance the availability among the customers.

40% of customers are not satisfied with the price of the PARAG products. They

suggest the reduction in the price of PARAG products.

Some customers want to improve the packaging of the PARAG products.

Most of the customers are aware about the new PARAG products from the retailer

shops.

That is retailers are the main source of making the customer aware about the

PARAG products.


4.3: LIMITATIONS


LIMITATIONS

Some of the respondents were not co-operative.

Some respondents were hesitating to give the details.

Biasness is another limitation that the scope of the survey.

The reliability and scope of survey greatly relies on the cooperation of the

respondents.

Due to illiteracy of some respondents, specific information could not be

recovered.


4.4: SUGGESTIONS

&

RECOMMENDATIO

NSPARAG DAIRY, KANPUR 56

SUGGESTIONS & RECOMMENDATIONS

1. More milk ATM should be established to enhance the availability of Parag milk.

2. Make the customers aware about the Parag products through different mode of

advertisement.

3. There should be no leakage in the liquid milk & if the exists than these packets

should be replaced.

4. Packing of the liquid milk should be reusable that helps to reduce the price of the

products.

5. Online information about the Parag products & trading should be facilitates by the

company.


6. There should be regular visit for getting the customer feedback about the Parag

products. This helps to know the changing demand of the customers.

7. For fulfilling the increasing demand of milk the company should try to increase the

production.

4.5: BIBLIOGRAPHY

1. BOOKS:-

Research Methodology – C. R. Kothari

Principles of Marketing – Philip Kotler

2. OTHER SOURCES:-

India Today

Business World

Annual Report of Parag


www.nddb.com

www.paragmilk.com

4.6: ANNEXURE


http://www.nddb.com/

QUESTIONNAIRE

This questionnaire has been designed for a survey on “A STUDY OF CONSUMER

PERCEPTION ABOUT PARAG PRODUCTS (Milk, Flavored Milk, Sweet Curd,

Mattha, Butter” in KANPUR. Your inputs will be crucial in making final study. Please

take a couple of minutes in completing this brief questionnaire. This is confidential and

just for purpose of study. So please provide true inputs.

A. Full Name: _________________________

B. Address ______________________________________________________


C. Contact No.:________________ Mob: _________________

D. Sex:

Male Female

E. Occupation:

Student Service

Job Retired Business

Unemployed

1. Which of the Parag products do you consume?

(a) Flavored milk

(b) Sweet curd

(c) Mattha

(d) Butter

2. What is the intake of products your use?

(a) Flavored milk (daily/weekly/monthly)

(b) Sweet curd (daily/weekly/monthly)

(c) Mattha (daily/weekly/monthly)

(d) Paneer (daily/weekly/monthly)


3. Do you think that Parag products are worth the money paid by you?

(a) Yes

(b) No

4. Do you come across problems regarding the non availability of Parag

products?

(a) Yes

(b) No

5. Which basis you consider while buying Parag products?

(a) Price

(b) Brand Name

(c) Taste

(d) Purity

(e) Quality

6. If other brands are available at the same quality, would you like to switch

over to other brands?

(a) Yes

(b) No


7. Do you want more number of Parag booths to be set up in your location?

(a) Yes

(b) No

8. Are you satisfied with the price of Parag Products?

(a) Yes

(b) No

ACTIVITY-1

MARKET SHARE OF DIFFERENT MILK COMPANIES IN KANPUR

During the project a survey is being conducted to know the market share of Parag in

Armapur State. This survey is been done among 100 people. This is shown with the help

of following table and Pie chart:

1. Which brand of milk you usually prefer to use?

Table No. 1.1


Company No. of consumer in %

Parag 54

Amul 19

Namaste India 21

Mother Dairy 6

INTERPRETATION:

1. It is clear from the chart that 54% people give preference to Parag.

2. 19% people give preference to Amul.


3. 21% people give preference to Namaste India.

4. 6% people give preference to Mother Dairy.

2. Which time of the day do you purchase the milk?

INTERPRETATION:


1. 46% consumers are buying milk in the morning.

2. 24% consumers are buying milk in evening.

3. 30% consumers are buying milk in both the times.

3. How much quantity of milk you purchase per day?

QUANTITY NORMALLY DEMANDED OF MILK


INTERPRETATION:

1. 63% consumers are buying 1.0 litre milk.




THANK YOU!


Harsh Sip (Parag)

Documents

harsh verma mba

operative dairy federation

western dairy products

parag products consumption

interpretationabove table shows

product innovation approach

parag products

buying parag products