Sales promotion of SONY BRAVIA

PROJECT TITLE

A PROJECT REPORTON

“EFFECTIVENESS OF SALES PROMOTION ACTIVITIES OF NRS

MERCANTILE SERVICE PVT. LTD. (SONY CENTRE) IN CREATING CUSTOMER AWARENESS PERTAINING TO SONY

BRAVIA”

OBJECTIVES

To study the various sales promotion activities in creating awareness among the customer regarding Sony Bravia.

To examine the impact of sales promotion on customer purchase decision making process with respect to Sony Bravia.

RESEARCH METHODOLOGY

Title of the study – A study on effectiveness of sales promotion activities of NRS Mercantile service Pvt. Ltd (Sony centre) in creating

customer awareness pertaining to Sony Bravia.

Statement of the problem – Sony Corporation is a leading audio, video, communication and information technology products for the consumer

and professional markets. Its outstanding quality and value for money products have good acceptance in the market and so the sales performance of its stores, across the country has been found to be quite good.

However, Sony Corporation faces major competition from the competitive industries. In a way of beating competitors and striving to be the leading electronic industry in the market, Sony has engaged in aggressive promotional campaigns through advertising and sales promotion. Prominent among these are the sales promotion campaigns that it undertakes on regular basis such as discounts, coupons, instalments facility, premiums etc.

Sales promotion is a sure way of increasing store traffic and also the number of people who become loyal to the company. Given that sale promotion is expensive, it only makes sense if it brings positive results, i.e. achieving the objectives it was intended for.

Hence, this study was undertaken to determine the extent to which sales promotion has been successful in creating an impact on customers purchase decisions. Moreover, it would also draw the attention of the company towards the least effective sales promotion tool so that the company can redesign its sales promotion strategy to ensure that the company’s approaches are being implemented in a cost effective way and it stays ahead of competition.

Objective of the study -

1. To study the various sales promotion activities in creating awareness among the customer regarding Sony Bravia.

2. To examine the impact of sales promotion on customer purchase decision making process with respect to Sony Bravia.

Scope of the study -

The study is confined to the users as well as the customers willing to buy Sony Bravia at the NRS Mercantile (Sony centre) outlet. Furthermore, this study would help in formulating plans to improve upon the area of sales promotion which would lead to an improvement in the overall performance of the outlet. The area covered in this study is Guwahati.

Sources of data - The sources of data are: The Primary data has been collected through structured questionnaire and direct interview. The secondary data has collected through books and websites. Sample Size - The sample size for this study comprises of 40 respondents.

Sampling Technique – The sampling technique used in this study is convenience sampling. As its name implies, convenience

sampling refers to the collection of information from the members of the population who are readily available to provide it. It goes well with the nature of the assignment. Responses were collected from the customers who were available and willing to give their responses for the survey.

Operational Definition – Given below are the terminologies of few words used in the project study:

Proactive- (of a person or action) creating or controlling a situation rather than just responding to it after it has happened.

Reactive- Acting in response to a situation rather than creating or controlling it.

POP display- POP or point of purchase display or also know as point of sale display is found near, on, or next to a checkout counter that are intended to draw the customers' attraction to products, which may be new products, or on special offer, and are also used to promote special events.

Tie-In-Promotions- They involve two or more brands or companies that team up on coupons, refunds and contests to increase their pulling power.

Premiums- premiums are prizes, gifts and other special offers consumer receive when purchasing products.

Semiconductor- A material that is neither a good conductor (like copper) nor a good insulator (like rubber). The most common semiconductor is Silicon. Computer, chips both for CPU and memory, are composed of semiconductor materials.

Type of research – Descriptive research A descriptive study is undertaken in order to ascertain and be able to describe the characteristics of

the variables of interest in a situation. Such a study is very appropriate in the context of the problem relevant to the study.

Tools of data collection -The various tools that are being used for collection of data are as follows: Questionnaire Organisational documents Internet Plan of analysis – This study has been conducted based on the questionnaire approach which is further explained in

tabular form and is being represented graphically for better presentation.

Reference period – 20 days duration of time period was taken to conduct the survey. Limitation of the study

1. As the project study was carried out for a short duration of time some aspects of the problem could not be explained.

2. Some responses may have been biased, as some of the respondents were reluctant to participate in the survey or provide the right information.

3. Adequate secondary data related to the store was unavailable.

DATA ANALYSIS AND

INTERPRETATION

92.50%

7.50%

YesNoCant say

Analysis – From Table No. 1, it is evident that 92.5% out of the total respondents agreed upon

having T.V. as a necessary asset in the household today. Wherelse, none of the respondent disagreed. Only 7.5% respondent seems to stay neutral on the subject.

Interpretation – It is observed from the above graph that majority of the respondent agreed that T.V. is

a necessity as well as an important asset in Indian household today. Very few do not hold any opinion about it.

OPTIONS NUMBER OF RESPONDENTS PERCENTAGE (%)

Yes 37 92.5%

No 0 0%

Can’t say 3 7.5%

Table No.1 – Necessity of T.V. in an Indian household today.

Table No.2 – Users of Television brands at present.

Analysis – From the above table, it is observed that 30% out of the total respondent are using Sony Television at present, 12.5%, 17.5% and 10% are using Samsung, LG and Panasonic respectively. While 30% respondents are using other brand of Televisions.Interpretation – It is observed from the above graph that majority of the respondents is currently using Sony Television. Samsung, LG and Panasonic have almost equal shares. Apart from the above mentioned brands of Television, some respondents are also using other brands that include local brands as well.

BRANDS NUMBER OF RESPONDENTS PERCENTAGE (%)SONY 12 30%SAMSUNG 5 12.5%LG 7 17.5%PANASONIC 4 10%OTHER 12 30%

30.00%

12.50%17.50%10.00%

30.00% SONY

SAMSUNG

LG

PANASONIC

OTHER

Table No.3 – Source of information to purchase Sony Bravia Television.

Analysis - From the above table, it is observed that 47.5% out of the total respondents came to know about

Sony Bravia through advertisement. While 20%, 25% and 7.5% came to know through newspaper, friends and relatives and hoardings/banners. None of the respondents came across any other medium.

Interpretation - From the above graph, it was found that majority of the people came to know about Sony Bravia

Television through advertisement. Few respondents came to know through newspaper. And also through word of mouth from friends and relative. Hoarding and banners did not persuade many customers.

SOURCES NUMBER OF RESPONDENTS PERCENTAGE (%)Through Advertisements 19 47.5%Through Newspaper 8 20%Through Hoardings and banners 3 7.5%Through friends and relatives 10 25%Other mediums 0 0%

48%

20%

8%

25% Through Adver-tisements

Through Newspaper

Through Hoardings and banners

Through friends and relatives

Other mediums.

Table No.4 - Attractive promotional scheme of Sony Bravia.

Analysis – It is evident from the above table that, 55% out of the total respondent finds discounts and

rebates attractive. 27.5% respondents felt instalment facility to be attractive. Only 7.5% and 10% respondents’ finds exchange offer and festive offers to be attractive.

Interpretation – From the above graph, it can be said that majority of the respondents find discounts and

rebates to be most attractive. Few also agreed that instalment facilities are good to attract customers and very few felt exchange offers and festive offer to be least attractive among the others.

SCHEMES NUMBER OF RESPONDENTS PERCENTAGE (%)

Installment facility 11 27.5%

Discounts and rebates 22 55%

Exchange offers 4 10%

Offers during festivals 3 7.5%

28%

55%

10% 8%

INSTALLMENT FACIL-ITY

DISCOUNTS AND REBATES

EXCHANGE OFFERS

OFFERS DURING FESTIVAL

Table No.5 – Discount on Sony Bravia Television.

Analysis – From the above table, it is observed that 75% out of the total respondents feel that they get

sufficient discount. Wherelse 15% respondents felt discounts were occasional. Only 10% respondents felt that the discount made by the company on Sony Bravia is rare.

Interpretation – From the above graph, it can be stated that majority of the customers get sufficient

discounts on Sony Bravia from the company. Few customers felt discounts were occasional and very few deprives on getting discounts on Sony Bravia.

OPTIONS NUMBER OF RESPONDENTS PERCENTAGE (%)Always 21 52.5%Often 9 22.5%Sometimes 6 15%Rarely 4 10%never 0 0%

52.50%

22.50%

15.00%

10.00%

Always

Often

Some-times

Rarely

never

Table No.6 – Benefits of discounts made by the company on Sony Bravia Television.

Analysis – From the above table, it was found that 90% out of the total respondents agreed

upon getting benefits of discounts on Sony Bravia from the company. Only 10% respondents seem to be neutral on the subject. None have disagreed to it completely.

Interpretation – From the above graph, it is evident that almost all the customers hold a positive

opinion of having benefits on discounts made by the company on Sony Bravia.


Strongly agree 12 30%

Somewhat agree 24 60%

Neither agree nor disagree 4 10%

Somewhat disagree 0 0%

Strongly disagree 0 0%

30%

60%

10%Strongly agree

Somewhat agree

Neither agree nor disagree

Somewhat disagree

Strongly disagree

Table No.7 – Customer opinion regarding seasonal ending offer and festival offers.

Analysis – From the above table, it is observed that 35% out of the total respondents agreed that seasonal

ending offers and festive offers are most motivating sales promotion tool for Sony Bravia. 45% respondents did not find this promotion tool to be most motivation. While 20% seem to disagree to it.

Interpretation - From the above graph, it can be stated that majority of the customers don’t find seasonal ending and festive offers to be most motivating while some customers also felt that these tools are most motivating to make a purchase decision. Few customers disapprove of it.


Strongly agree 5 12.5%

Somewhat agree 9 22.5%



Strongly disagree 0 0%12.50%

22.50%

45.00%

20.00%Strongly agree

Somewhat agree


Somewhat disagree

Strongly disagree

Table No.8 – Customers opinion on interior decorum of NRS Mercantile (Sony Centre) regarding Sony Bravia.

Analysis – From the above table, it is evident that 80% out of the total respondents finds proper

assortment and systematic displays of Bravia inside the store to be most attractive. While only 20% felt that the price tags along the Bravia Television sets to be more attractive.

Interpretation – It is observed from the above graph that majority of the customers in the outlet finds

the proper assortment and display of Bravia to be most appealing. Wherelse very few finds properly mentioned price tags of all Bravia sets to be attractive. While none of the respondents paid attention to the hanging stickers and danglers of Bravia.

OPTIONS NUMBER OF RESPONDENTS PERCENTAGE (%)Proper assortment and display of Bravia

32 80%

Properly mentioned price tags along with features for all the Bravias.

8 20%

Hanging stickers and danglers of Bravia.

0 0%

80%

20%Proper assortment and display of Bravia

Properly mentioned price tags along with features for all the Bravias.

Hanging stickers and danglers of Bravia.

Table No.9 – Impact on customers purchase decision for endorsing Sony Bravia by celebrities.

Analysis – From the above table, it is observed that 50% out of the total respondents agree upon

creating impact on purchase decision when endorsed by celebrities. While 45% stays neutral on the subject. Only 5% respondents deprive of it.

Interpretation – From the above graph, it can be stated that the percentage of customers who agreed upon

creating impact on purchase decision and the percentage of those customers who did felt neutral are almost same. Very few customers felt that celebrity endorsement does not play a role to make a purchase decision.


Strongly agree 7 17.5%





17.50%

32.50%

45.00%

5.00%

Strongly agree

Somewhat agree


Somewhat disagree

Strongly disagree

Table No.10 – Benefits for customers as Sony Bravia is a major sponsor in FIFA world cup.

Analysis – From the above table, it is observed that 37.5% out of the total respondents agree upon having

benefits for customers as Sony Bravia is a major sponsor in FIFA world cup. 50% respondent had neutral opinion on the subject matter. While Only 12% of the customers deferred to it.

Interpretation – From the above graph, it can be stated that the majority of the customers felt not many

benefits can be pointed out of Sony Bravia even after being a major sponsor in FIFA world cup. While some customers feel that it has visible benefits. Very few deferred to it.


Strongly agree 2 5%



Somewhat disagree 5 12.5%


5.00%

32.50%

50.00%

12.50%Strongly agree

Somewhat agree


Somewhat disagree

Strongly disagree

Table No.11 – Attractiveness of Sony Bravia’s advertisement.

Analysis – From the above table, it is observed that 67.5% out of the total respondents find bravia’s

advertisement to be extremely attractive, 30% respondents find it attractive while only 2.5% felt just average.

Interpretation – From the above graph, it can be said that most of the customers approves that Sony Bravia’s

advertisement is very attractive.


Extremely attractive 27 67.5%

Attractive 12 30%

Average 1 2.5%

Unattractive 0 0%

Not at all attractive 0 0%

68%

30%

3%Extremely attrac-tive

Attractive

Average

Unattractive

Not at all attrac-tive

Table No.12 – Quality aspect of Sony Bravia as per its advisement.

Analysis – From the above table, it is observed that 90% out of the total respondents agreed to the very

quality of Sony Bravia. While only 10% respondents felt the quality of Sony Bravia to be just average.

Interpretation – From the above graph, it can be stated that majority of the customers finds the quality of Sony

Bravia to be excellent as per its advertisement. While very few felt that it could have been better.


Excellent 14 35%

Good 22 55%

Fair 4 10%

Poor 0 0%

35%

55%

10%

Excellent

Good

Fair

Poor

Table No.13 – Overall experience in NRS Mercantile (Sony centre).

Analysis – From the above table, it is observed that 90% out of the total respondent were delighted

and satisfied with the overall experience of the store. While 10% respondents felt that the overall experience was just average.

Interpretation – From the above graph, it is observed that almost all the customers felt satisfied with the

overall experience in NRS Mercantile (Sony centre).


Excellent 9 22.5%

Above average 27 67.5%

Average 4 10%

Below average 0 0%

Poor 0 0%

22.50%

67.50%

10.00%

Excellent

Above average

Average

Below average

Poor

SUMMARY OF FINDINGS

Based on the data analysis and interpretation the following findings have being forwarded:

93% customers hold a strong opinion about having a Television in the household today, as it is an important and necessary asset. Television today is seen as synonymous to being in touch with the outer world.

30% of the customers preferred Sony Bravia is usually preferred. In fact, most customers have desired willingness to make a purchase Sony Bravia. But at the same time, Samsung, LG and Panasonic are its major competitors who have almost equal shares in the market.

48% of the customers came to know about Sony Bravia through its advertisement. Newspaper equally played an important role among the other sources. While hoardings and banners did not pay much heed in creating customers awareness.

Among the various sales promotion schemes of the company, discounts and rebates is found to be the most attractive among the customer regarding Sony Bravia, i.e. 55% customers have appreciated it. Although few customers i.e. 28% also appreciates the instalment schemes of the company provided by HDFC bank that have very low interest rate.

75% of the customers approves of getting the sufficient discount on Sony Bravia from the company pertaining to Sony Bravia.

90% customers have positive impression regarding the benefits of discount made by the company on Sony Bravia.

Most of the customer approves discounts and rebates to be most attractive wherelse seasonal offer and festive offers are not considered as the most motivating, to make a purchase decision.

NRS Mercantile (Sony centre) has the potential to attract customers to its outlet for the proper assortment and systematic display of Sony Bravia. 80% customers approves to the subject matter.

45% of the customer holds a neutral opinion about creating an impact, when Sony Bravia is being endorsed by the celebrities, i.e. customers felt that celebrity endorsement does not play much of a role to make a purchase decision.

Majority of the customers that is 50% gives a sensation that not many benefits can be pointed out of Sony Bravia even after being a major sponsor in FIFA world cup. As a matter of fact, sponsorship does not play much of any role in customers purchase decision.

98% customers approved that Sony Bravia’s advertisement is very attractive.

Majority of customers 90% customers seems to find the quality of Sony Bravia to be excellent as per its advertisement.

90% customers felt delighted and satisfied with the overall experience of NRS Mercantile (Sony centre) outlet and they would like to visit again.

SUGGESTIONS

The company should continue marketing endeavours in T.V., newspaper and magazines, as they are most effective means of promotion.

Among the various sales promotion schemes of the company pertaining to Sony Bravia, discounts and rebates is considered to be the most attractive. This can be the strength of the company as well as an opportunity to increase its sales margin if properly maintained.

Majority of the customers already finds Bravia’s advertisements to be attractive with or without being endorsed by celebrity. Celebrity endorsement is a costly affair. The company can save expenditure on this regard and rather encourage more graphical, 3D effects to make it more eye catching.

The company can also implement upon using large stickers and wall paper apart from hanging danglers and stickers which are not able to create much attention. It is suggested that the company should emphasize using large size materials to make it appealing.

Although quality of Bravia has been very fine but few customers also felt that prices of the Television sets are comparatively high in regard of its quality. In this case, the company should impose more of complementary gifts, coupons, scratch cards, lucky draws to equalize upon the impression that customers hold with the high price criteria.

SIGNIFICANCE OF THE PROJECT STUDY

The project entitle “A Study on the effectiveness of sales promotion activities of NRS Mercantile Service Pvt. Ltd. (Sony Centre) in creating customer awareness pertaining to Sony Bravia” has been prepared in an attempt to study the various sales promotion activities of the company pertaining to Sony Bravia and to determine the impact of on the customer purchase decision

Based on the data analysis and data interpretation it was found that, Sony Bravia is usually preferred by customers as well as they have desired willingness to purchase Sony Bravia. But at the same time, Samsung, LG and Panasonic are its major competitors who have almost equal shares in the market. It was also found that among the various sales promotion schemes of the company, discounts and rebates is found to be the most attractive and customers have positive impression regarding the benefits of it.

Based on the findings of the study, few suggestions are being forwarded. The company

should continue marketing endeavours in T.V., newspaper and magazines, as they are most effective means of promotion. Among the various sales promotion schemes of the company pertaining to Sony Bravia, discounts and rebates is considered to be the most attractive. This can be the strength of the company as well as an opportunity to increase its sales margin if properly maintained.

Although quality of Bravia has been very fine but few customers also felt that prices of the Television sets are comparatively high in regard of its quality. In this case, the company should impose more of complementary gifts, coupons, scratch cards, lucky draws to equalize upon the impression that customers hold with the high price criteria.

Sony has engaged in aggressive promotional campaigns through advertising

and sales promotion. Prominent among these are the sales promotion campaigns that it undertakes on regular basis such as discounts, coupons, instalments facility, premiums etc. Sales promotion is a sure way of increasing store traffic and also a number of people who become loyal to the company. Given that sale promotion is expensive, it only makes sense if it brings positive results, i.e. achieving the objectives it was intended for.

Hence, this study was undertaken to determine the extent to which sales promotion has been successful in creating an impact on customers purchase decisions. Moreover, it would also draw the attention of the company towards the least effective sales promotion tool so that the company can redesign its sales promotion strategy to ensure that the company’s approaches are being implemented in a cost effective way and it stays ahead of competition.

Sales promotion of SONY BRAVIA

Data & Analytics

impact of sales promotion

sales promotion campaigns

area of sales promotion

sony bravia

sales promotion strategy

sales performance

effective sales promotion

sale promotion