Market research on Horlicks Foodles Submitted By: Rezaul Amin Choudhury Roll 32 MBA 3 rd Semester
Introduction:
GlaxoSmithKline Consumer Healthcare (GSKCH) with its flagship brand name Horlicks has forayed into the noodle market with a view to stand out against other noodle makers by offering the consumer a healthy noodle called as Horlicks Foodles. The brand name, Foodles with its punch line “noodles without a ‘no’ ” seems to be an attempt to distance themselves from the regular noodles. Although projected as a healthy noodles, but it is not a lone maker of such product; potential competition is faced from noodle makers like “Maggi” who have their own product line of healthy noodles.
In this report, a study has been made on consumer preferences over various product attributes along with an attempt to see consumer responses towards noodles as a healthy food product as one such attribute in order to determine Foodles future stand in the market. A comparative analysis has been made to see the extent of competition faced by Foodles with other market players. Also a study on the more of promotion of Foodles is also conducted.
Product profile in brief: The products including a 4-grain and regular variant with nine different vitamins are aimed at cueing health. This includes rice, ragi, wheat and corn. Each variant comes with different flavor. In total fifteen variants are available in the market.
Market competitors: The market has some aggressive competitors, namely Nestlé, Hindustan Unilever. They operate under the brand names of Maggi, Knorr Soupy and Noodles, respectively.
Maggi is the market leader with a share of over 70 per cent.
Some other players in this market include CG Foods (Wai Wai ) and Nissin Foods (Top Ramen), Mayos and Yummy noodles.
OBJECTIVE OF STUDY:
To study customer behaviour while purchasing noodles. To understand the perception of customers towards various brands of noodles available in the
market
METHODOLOGY:
DATA SOURCE: PRIMARY
RESEARCH APPROACH: EXPLORATORY
SAMPLING PLAN:
The sample was selected on the basis of simple random sampling. The sample
size is 30.
SAMPLING UNIT:
The sampling unit on which the study was done are residents of Guwahati.
DATA COLECTION TECHNIQUE:
The technique used for collecting data is the use of interview schedules with relevant questions. Data are collected by filling up the schedules by me on the basis of replies given by respondents. In the process the respondents were personally met and questions were asked pertaining to enquiry and collect the desired information.
SCOPE AND LIMITATIONS OF THE STUDY:
The study is confined to Guwahati The study is done on the sample interviewed on a particular day
SIGNIFICANCE:
The significance of the study lies in the fact that it helps in understanding the considerations that a customer make before actually purchasing noodles. The study also helps in getting a perception of the customers about the various products.
Data obtained by Likert scaling:
Customers were asked to rate each factor on a scale of five. The response obtained was entered in Microsoft Excel Sheet and the average scores for each factor were taken.
Analysis:
Important input stimulus considered by consumers while buying ice cream:
Descriptive Statistics of the attributes considered while buying noodlesN Minimum Maximum Mean Std. Deviation
Statistic Statistic Statistic Statistic Std. Error Statistic
TASTE 30 4.00 5.00 4.8000 7.428E-02 .4068 AVAILBILITY 30 3.00 4.00 3.8333 6.920E-02 .3790
BRAND 30 4.00 5.00 4.4000 9.097E-02 .4983 DIFFERENT
FLAVOUR30 3.00 5.00 3.8333 .1081 .5921
OFFERS 30 1.00 3.00 2.4000 .1406 .7701 FOOD VALUE 30 3.00 4.00 3.4333 9.202E-02 .5040
VARIOUS QUANTITY AVAILABLE
30 3.00 4.00 3.7667 7.854E-02 .4302
FAMLY PRFERENCE
30 3.00 4.00 3.6333 8.949E-02 .4901
REFERENCE FROM
FRIENDS
30 2.00 3.00 2.6667 8.754E-02 .4795
PACKGING 30 2.00 4.00 2.6667 .1207 .6609
Valid N (listwise)
30
INTERPRETATION:It is clear from the bar diagram that people mostly considers taste, brand name, availability of different flavours, availability in different quantities and family preference as potent attributes and points while buying noodles.
Cross tabulation of the important factors considered as per age group:
TASTE * AGE CrosstabulationAGE Total
TASTE
1.00 2.00 3.00 4.004.00 Count 1 2 3 0 6
Expected Count
.4 1.8 3.2 .6 6.0
% within TASTE
16.7% 33.3% 50.0% .0% 100.0%
% within AGE 50.0% 22.2% 18.8% .0% 20.0%
% of Total 3.3% 6.7% 10.0% .0% 20.0%5.00 Count 1 7 13 3 24
Expected Count
1.6 7.2 12.8 2.4 24.0
% within TASTE
4.2% 29.2% 54.2% 12.5% 100.0%
% within AGE 50.0% 77.8% 81.3% 100.0% 80.0%
% of Total 3.3% 23.3% 43.3% 10.0% 80.0%
TASTE
5.004.00
Co
un
t
14
12
10
8
6
4
2
0
AGE
children
teenagers
adult
vaterens
BRAND * AGE CrosstabulationAGE Total
BRAND
1.00 2.00 3.00 4.004.00 Count 1 7 7 3 18
Expected Count
1.2 5.4 9.6 1.8 18.0
% within BRAND
5.6% 38.9% 38.9% 16.7% 100.0%
% within AGE 50.0% 77.8% 43.8% 100.0% 60.0%
% of Total 3.3% 23.3% 23.3% 10.0% 60.0%5.00 Count 1 2 9 0 12
Expected Count
.8 3.6 6.4 1.2 12.0
% within BRAND
8.3% 16.7% 75.0% .0% 100.0%
% within AGE 50.0% 22.2% 56.3% .0% 40.0%
% of Total 3.3% 6.7% 30.0% .0% 40.0%
BRAND
5.004.00
Co
un
t
10
8
6
4
2
0
AGE
children
teenagers
adult
vaterans
It is clear from the cross tabulations that most of the adults, who make purchases for their family considers brand name and taste as the important points which they consider while making purchases of noodles.
Derived Stimulus Configuration
Euclidean distance model
brand association
2.01.51.0.50.0-.5-1.0-1.5-2.0
bra
nd
att
rib
ute
s c
osid
ere
d f
or
bu
yin
g
1.5
1.0
.5
0.0
-.5
-1.0
-1.5
yummy
w aiw ai
mayos
knornodl
foodles
topramn
maggi
INTERPRETATION:On constructing an Eclidean distance model in terms of brand association and attributes considered while purchasing, it was found that Horlicks foodles is way below consideration as compared to other brands of noodles.
Standardized Canonical Discriminant Function CoefficientsSL NO Function
1 2 3 4 5 6
1 TASTE -.146 -.027 .907 .189 .193 .185 2 PRICE .733 -.002 .077 -.497 -.163 -.008 3 AVLIBILITY -.366 -.156 -.025 -.118 -.632 .454 4 FLAVOURS -.004 .761 -.321 -.093 .339 .304 5 OFFERS .082 .003 .079 .196 .680 .110 6 FOODVALU .007 .431 .392 .200 -.266 -.537 7 PACKAGIN -.317 -.290 -.024 -.330 .138 -.544
8 DIFFERENT QUANTITY AVAILABLE
.786 .003 .238 .373 .055 .033
9 FAMILY PREFEREN
CE
.051 .028 .042 -.117 .074 .357
10 REFFERNCE
.172 .036 -.317 .580 -.302 -.142
From the scatter plot diagram above, it is seen that ‘foodles’ stands good in terms of taste,and food value. However it lacks in preferences made by family members, and availability in different quantities.
CONLUSION:From the analysis it is seen that brand relation wise, horlicks foodles is recognised in the market. It also competing well in terms of taste, and food value .however it lags behind in providing much flavours, family preferences, and offering different quantities of the product in the market. The success of foodles will be significantly be dependent up on the mentioned factors.
QUESTIONAIRRE:(TICK THE APPROPRIATE OPTION)
1) Name of the respondent ………………………………………
2) Gender: Male Female.
3) Age: Children teenager adult veteran
4) Do you consume noodles? Yes No
5) How important are the following attributes to you when you purchase noodles?
Attributes Very Strongly
strongly Neutral poorly Very poorly
Taste
AvailabilityBrand nameDifferent of flavors
Promotions and offersFood value
Availability in various quantityFamily preference
Kins and friend’s ReferenceAttractive packaging
6) Do you think that it is important that noodles should have higher food value?
Yes No
7) Are you aware of the newly launched noodles called ‘Foodles’?
Yes No
8) How do you perceive the following companies performance in the following attributes: (Rate between 1 and 5) 1=least importance and 5=high importance
Attributes Maggi TopRaymen
Foodles Knor souppy noodles
Mayos Wai-wai
Yummy noodles
TasteAvailabilityBrand nameDifferent of flavorsPromotions and offersFood valueAvailability in various quantityFamily preferenceKins and ReferenceAttractive packaging
9) If your favorite brand is not available will you buy some other related brand?
Yes No
10) If yes, then will you buy “foodles”?
Yes No
11) How will you rate the following brands in rows against those in column? (rate from 1 to 7, 1 for lowest and 7 for highest)