CHAPTER-1

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TOPIC RELATED CONCEPTS

Retailing in India is receiving global recognition and attention and this emerging market is witnessing a significant change in its growth and investment pattern. It is not just the global players like Wal-Mart, Tesco and Metro group are eying to capture a pie of this market but also the domestic corporate behemoths like Reliance, KK Modi ,Aditya Birla group, and Bharti group too are at some stage of retail development. Consumer taste and preferences are changing leading to radical alteration in lifestyles and spending patterns which in turn is giving rise to new business opportunities. Companies need to be dynamic and proactive while responding to the everchanging trends in consumer lifestyle and behavior. The generic growth is likely to be driven by changing lifestyles and by strong surge in income, which in turn will be supported by favorable demographic patterns. Rapid growth in international quality retail space brings joy to shoppers and shopping malls are becoming increasingly common in large cities. The number of department stores is growing at a much faster pace than overall retail, at 24 per cent annually. Supermarkets have been taking an increasing share of general food and grocery trade over the last two decades. Development of mega malls in India is adding new dimensions to the booming retail sector. Shopping experience in the nation of shopkeepers is changing and changing very fast. There is significant development in retail landscape not only in the metros but also in the smaller cities. Even ITC went one step ahead to revolutionize rural retail by developing Choupal Sagar a rural mall. On one hand there are groups of visionary corporate working constantly to improve upon urban shopping experience and on the other hand some companies are trying to infuse innovative retail experience into the rural set up. Drivers of Retail Change in India We are all witness to the change happening in retail in the country .the local bania has gradually transferred himself in to a small super market. The transformation of what used to be known has Phoenix mills, in to high street phoenix is a reality this change is not restricted to the metro cities but has rapidly spared to smaller cities and towns as well .The person driving this change the person driving this change is the Indian consumer

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1. Socio-economic factors:

Socio economic factor are seen has fundamental to development India is today a nation which has a large middle class, a youth population which is happy spending and study rate of growth of GDP. Basic amenities like drinking water and electricity are also likely to be commonly available .thus we can say that there is a definite improvement in basic quality of life of an average citizen. With the basic necessities being taken care of ,there is a good chance that the demand for other products and services may increase.
2. Changing profiles:

Study economic growth has fuels the increase in

personal income in India .The middle

class forms the back bone of the India market story and it is the raising income in the young middle class population that is fuelling its growth.
3. The age factor:

Compare its several advanced countries, where the overall population is gaining, India is very young nation, with more than 70% of its population below the age of 40. And more than 47% below the age of 20.the increasing youth population has also started early also increases the overall purchasing capacity of the country, and has an implication on the productivity of labor.
4. The changing role of Women and the evolving family structure:

The increased economic independence of women has re defined the rules of social behavior. The family income the apart from, it has lead an increase in the family income , it has lead to a change in the kind products 5. Diminishing difference between Rural and urban India: Rural India accounts for over 75% of India population and this in itself offers a tremendous opportunity for generating volume driven growth. Tax benefit. In year 200203 LIC sold 50% of its policies in rural India. Same BSNL also sold its 50% connection in small towns. 6. Changes in Consumption patterns:

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Occupational changes and expansion of media have caused a significant change in the way the consumer lives and spends his money. The changes in income brought about changes in the aspirations and the spending patterns of the consumers. the buying basket of the consumer changed
7. The emergence of a young Earning India:

Nearly 70% of the Indian population is below the age of 34. taking advantages of employment opportunity in the booming service sector these young Indians are redefining service and consumption patterns. Retail Marketing Mix: Price: Pricing is an integral part of the retail marketing mix. The price policy that the organization decides to follow depends on the customer profile that is the target audience for its range of products. It also depends on whether the product offering is unique or has other substitutes available. For example designer clothing is always expensive as compared to the prt lines offered. Place: For a very long time the location of the retail store was considered to be the most important element of the retail marketing mix. However, with the advances in technology and the advent of television shopping and the Internet many retailers are now going in for click and mortar approach. Promotion: The advertising budget the sales promotions publicity and public relations play a very important role in competitive world of retailing. Retailers need to develop a communication strategy in line with target market and the products that they stock in store. Presentation:
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The manner in which the merchandise is presented at the store level is very important. This aspect not only deals with the store layout and ambience created, but also with visual merchandising Visual Merchandising is the orderly systematic and intelligent way of putting stock on display in the retail store. Many large retail organizations employ visual merchandisers to aid the store in this function. Customer service: The support services that a retailer has have become very important today. The credit policies, product returns policies etc. need to clear not only to the sales staff but also to the end customer Relationship marketing , data warehousing and customer relations management are the new buzzwords in the industry today, and all these are aimed at enhancing customer service, People: Retailers operate in a unique environment. The retail industry is characterized by a large number of inexperienced workers, who need to put in line hours of work. Most of the time, these employees are in direct contact with the customer and may face irate or unreasonable customers. The people who work at the front end of a retail organization are very important, as they are the face the organization for the customers. Their attitude behavior manners and product knowledge play a very important role in building long term relations with the customers. Development of Retail Formats It is difficult to fit a successful international format directly and expect a similar performance in India. The lessons from multinationals expanding to new geographies too point to this. For example, Wal-Mart is highly successful in USA but the story is different in Asian countries like China. Therefore, it is important for retailer to look at local conditions and insights into the local buying behavior before shaping the format choice. Considering the diversity in terms of taste and preferences existing in India the retailers may go for experimentation to identify the winning format suited to different geographies and segments. For example, the taste in south is different from that in north and this brings challenges to the retailers. Therefore, most of grocery retailers

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are region-centric at this point in time. Now a number of retailers are in a mode of experimentation and trying several formats which are essentially representation of retailing concepts to fit into the consumer mind space. Apart from geography even rural and urban divide poses different kind of challenge to the retailer. Pantaloon Retail India is experimenting with several retail formats (see Exhibit 1) to cater to a wide segment of consumers in the market. Some of the new formats are Fashion Station (popular fashion), Blue Sky (fashion accessories), aLL (fashion apparel for plus-size individuals), Collection i (home furnishings), Depot (books & music) and E-Zone (Consumer electronics). The retailer is trying to segment the market with the help of format. The retailer developed another new format in the form of Wholesale Club to sell a segment of consumer who purchase on bulk and look out for discounts and offers. The new format is going to be kind of wholesale club which is likely to be located close to Food Bazaar. Consumers who are interested to purchase on bulk can take benefit from this format. Similarly the Land mark group also operates multiple formats such as hypermarket (Max), departmental store (Lifestyle), Shoemart and Funcity12 etc. (see Exhibit 2). Such experimentation and identification of an appropriate format for the local conditions would separate winners from losers in India, possibly implying multiple formats could be the reality in the long run. Malls Mall development is phenomenal in India. The mall mania is spreading fast and entering even the second tier cities in India. Real estate developers are jumping very fast to take this further from Metro cities to smaller cities and corporate Department Store A department store offers an extensive assortment (width and depth) of goods and services that are organized into separate departments for the purpose of efficient buying, assortment, promotion and above all ease of shopping for the consumer. Hypermarket Hypermarkets have emerged as the biggest crowd pullers due to the fact that regular repeat purchases are a norm at such outlets. Hypermarkets not only offer consumers the most extensive merchandise mix, product and brand choices under one roof, but also create superior value for money advantages of hypermarket shopping.

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Supermarket Unlike western countries where supermarkets are prominently visible, in our country this is lacking. The supermarkets largely concentrate on selling food related products and are considerably smaller in size compared to hypermarkets. Their value proposition is also different from the hypermarkets. Convenience Stores A Convenience store offers location advantage for the shoppers and provides ease of shopping and customized service to the shoppers. It charges average to above average prices, depending on the product category and carries a moderate number of stock keeping units (SKUs). Discounters Wal-Mart, the largest retailer in the world is a discounter. Practically the discounters offer several advantages such as lower price, wider assortment and quality assurance. The discounters like Wal-Mart and Aldi were able to quickly build scale and pass on benefits to the consumer. Branded Store The major apparel brands in India are Madura Garments, Zodiac, Raymonds, Colour Plus and Arvind Mills. Category Killer The category killer concept originated in the U.S. due to abundance of cheap land and the dominant car culture. Category Killer is a kind of discount specialty store that offers less variety but deep assortment of merchandise. Dollar Stores Dollar stores have their roots in America's homey five-and- dimes, the general stores that offered a range of products at low prices. Brand Equity A brand is a name or symbol used to identify the source of a product. When developing a new product, branding is an important decision. The brand can add significant value when it is well

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recognized and has positive associations in the mind of the consumer. This concept is referred to as brand equity. What is Brand Equity? Brand equity is an intangible asset that depends on associations made by the consumer. There are at least three perspectives from which to view brand equity:

Financial - One way to measure brand equity is to determine the price premium that a brand commands over a generic product. For example, if consumers are willing to pay $100 more for a branded television over the same unbranded television, this premium provides important information about the value of the brand. However, expenses such as promotional costs must be taken into account when using this method to measure brand equity.

Brand extensions - A successful brand can be used as a platform to launch related products. The benefits of brand extensions are the leveraging of existing brand awareness thus reducing advertising expenditures, and a lower risk from the perspective of the consumer. Furthermore, appropriate brand extensions can enhance the core brand. However, the value of brand extensions is more difficult to quantify than are direct financial measures of brand equity.

Consumer-based - A strong brand increases the consumer's attitude strength toward the product associated with the brand. Attitude strength is built by experience with a product. This importance of actual experience by the customer implies that trial samples are more effective than advertising in the early stages of building a strong brand. The consumer's awareness and associations lead to perceived quality, inferred attributes, and eventually, brand loyalty.

Strong brand equity provides the following benefits:

Facilitates a more predictable income stream. Increases cash flow by increasing market share, reducing promotional costs, and allowing premium pricing.

Brand equity is an asset that can be sold or leased.

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However, brand equity is not always positive in value. Some brands acquire a bad reputation that results in negative brand equity. Negative brand equity can be measured by surveys in which consumers indicate that a discount is needed to purchase the brand over a generic product. Building and Managing Brand Equity In his 1989 paper, Managing Brand Equity, Peter H. Farquhar outlined the following three stages that are required in order to build a strong brand:
1. Introduction - introduce a quality product with the strategy of using the brand as a

platform from which to launch future products. A positive evaluation by the consumer is important.
2. Elaboration - make the brand easy to remember and develop repeat usage. There should

be accessible brand attitude, that is, the consumer should easily remember his or her positive evaluation of the brand.
3. Fortification - the brand should carry a consistent image over time to reinforce its place

in the consumer's mind and develop a special relationship with the consumer. Brand extensions can further fortify the brand, but only with related products having a perceived fit in the mind of the consumer. Alternative Means to Brand Equity Building brand equity requires a significant effort, and some companies use alternative means of achieving the benefits of a strong brand. For example, brand equity can be borrowed by extending the brand name to a line of products in the same product category or even to other categories. In some cases, especially when there is a perceptual connection between the products, such extensions are successful. In other cases, the extensions are unsuccessful and can dilute the original brand equity. Brand equity also can be "bought" by licensing the use of a strong brand for a new product. As in line extensions by the same company, the success of brand licensing is not guaranteed and must be analyzed carefully for appropriateness. Managing Multiple Brands

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Different companies have opted for different brand strategies for multiple products. These strategies are:

Single brand identity - a separate brand for each product. For example, in laundry detergents Procter & Gamble offers uniquely positioned brands such as Tide, Cheer, Bold, etc.

Umbrella - all products under the same brand. For example, Sony offers many different product categories under its brand.

Multi-brand categories - Different brands for different product categories. Campbell Soup Company uses Campbell's for soups, Pepperidge Farm for baked goods, and V8 for juices.

Family of names - Different brands having a common name stem. Nestle uses Nescafe, Nesquik, and Nestea for beverages.

Brand equity is an important factor in multi-product branding strategies. Protecting Brand Equity The marketing mix should focus on building and protecting brand equity. For example, if the brand is positioned as a premium product, the product quality should be consistent with what consumers expect of the brand, low sale prices should not be used compete, the distribution channels should be consistent with what is expected of a premium brand, and the promotional campaign should build consistent associations. Finally, potentially dilutive extensions that are inconsistent with the consumer's perception of the brand should be avoided. Extensions also should be avoided if the core brand is not yet sufficiently strong.

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CHAPTER-2

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INDUSTRY AND ORGANIZATION PROFILE

Heritage Foods (India) Ltd [commonly known as Heritage] is one of the largest private sector dairy enterprise in Southern India. The company has recently expanded into food and grocery retailing under the brand Heritage Fresh. The heritage group was founded in 1991-92 by Sri Nara Chandra Babu Naidu, with four-business divisions viz. Dairy, Agri, Bakery and Retail under its Flagship Company Heritage Foods (India) Limited (HFIL), one infrastructure subsidiary. Heritage infra Developers Limited and other associate Companies viz., Heritage Finlease Limited, Heritage International Limited and Heritage Agro Limited. The annual turnover was Rs. 1090 crores in 2010-2011. This year target is to reach Rs. 1415 crores of turnover. Presently Heritages milk products have market presence in Andhra Pradesh (Hyderabad, Visakhapatnam, Tirupati, etc), Karnataka, Kerala, Tamil Nadu, Maharashtra and Orissa and its retail stores across Bangalore, Chennai and Hyderabad. Integrated Agri operations are in Chittor and Medak Districts and these are backbone to retail operations and the state of art Bakery division at Uppal, Hyderabad, Andhra Pradesh. In the year 1994, HFIL went to public issue to raise resources, which was oversubscribed 54 times and its shares are listed under B1 Category on BSE (Stock Code 519552) and NSE (Stock Code HERITGFOOD). Heritage Foods has its headquarters in Hyderabad, Andhra Pradesh, India. HERITAGE SLOGAN When you are healthy, we are healthy

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When you are happy, we are happy We live for your HEALTH & HAPPINESS

MISSION Bringing prosperity into rural families of India through co-operative efforts and providing customers with hygienic, affordable and convenient supply of Fresh and Healthy food products. VISION To be a progressive billion dollar organization with a pan India foot print by 2015. To achieve this by delighting customers with Fresh and Healthy food products, those are a benchmark for quality in the industry. We are committed to enhanced prosperity and the empowerment of the farming community through our unique Relationship Farming Model. To be a preferred employer by nurturing entrepreneurship, managing career aspirations and providing innovative avenues for enhanced employee prosperity. THE DAIRY BRAND HERITAGE Heritage by choosing Chittoor district of Andhra Pradesh as its primary procurement base of milk had taken full advantage of the large, high yielding and cross-bred cow population found in the area, which has become the secret of the success story of Heritage. Today Heritage has the network in the states of Andhra Pradesh, Karnataka, Tamil Nadu and Maharashtra for procurement and distribution of quality milk and milk products. Heritage products are also distributed in the state of Kerala. Heritage has drawn plans to be a pan-India player in the diary. THE RETAIL BRAND HERITAGE FRESH

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Recently the retail stores were rebranded as Heritage Fresh. Heritage Fresh today has a total of 75 stores across three cities- 30 in Hyderabad, 18 in Bangalore and 26 stores in Chennai. The Company has pan-India expansion plans, with phase 1, to open 75 stores in South India completed in 2008.

Heritage is recognized as one of Indias largest and most successful Diary for the last 18 years. Based in Hyderabad with an existing brand presence in Andhra Pradesh, Tamil Nadu, Karnataka, Kerala and Maharashtra. Heritage is known for its high quality standards and premium range of milk and milk products and following high quality manufacturing, packing and distribution practices. Heritage is now become the ISO 22000 certified company by maintaining international quality for its dairy division. Heritage diary divisions is having 12 packing stations, 74 chilling centres/bulk coolers with operationally safe process equipments. Heritage brand is seen in 8.0 lakh households today. PRODUCTS Milk Products Fresh 1. Toned Milk Curd Cup 2. Full Cream Milk Curd Cup 3. Curd Pouch
4. Fruit n Curd Cup Strawberry & Mango Flavour

5. Butter Milk 6. Jeera Butter Milk 7. Garlic Butter Milk 8. Paneer 9. Cooking Butter 10. Pasturised Table Butter

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11. Cheese Chiplets 12. Cheese Slice 13. Cheese Carton & Tin Packs 14. Doodhpeda 15. Milk Cake 16. MalaiLaddu 17. Sunundalu 18. SoanPapdi Milk Products Long Shelf Life 1. Ghee poly Cow & Buffalo 2. Ghee Alu Foil Cow & Buffalo 3. Ghee Jar Cow 4. Ghee Tin Ice-Creams 1. Small Cups (50 ml x 18)a) Vanilla b) Strawberry c) Butterscotch 2. Large Cups (100 ml x 12)a) Vanilla b) Strawberry c) Pista

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d) Tutti Fruity e) Butterscotch f) Chocolatechips g) KesarPista h) Mangoalphanso 3. Family Packs (400ml) a) Vanilla b) Strawberry c) Pista d) Butterscotch 4. Economy Packs (750 ml) a) Vanilla b) Strawberry c) Pista d) Tutti Fruity e) Butterscotch f) KajuKismis g) Choco Chips h) Mango Tango i) KesarPista j) AnjeerBadam 5. Party Packs (1000 ml)

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6. Premium Tubs (500 ml) 7. Juicy Stick (55 ml) 8. Twin Bars a) Mango Twin (60 ml) b) Resberry Twin (60 ml) 9. Bars a) Choco Bar (70 ml) b) Jr. Choco Bar (35 ml) c) Jr. Creamy Treat (35 ml) 10. Kulfi Bar a) MalaiKulfi b) KesarKulfi 11. Bar Novelties 12. Celebration Cones 13. Junior Range (50 ml) a) Butter Scotch b) Choco Chips 14. Sundaes (100 ml) 15. Novelties 16. Catering Packs (4 Ltrs) FMCG Products 1. Bread

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2. Brownie Bread 3. Agarbatti 4. Heritage Eggs 5. Namkeens 6. Farmers Pride Aata 7. Pickles HERITAGE SLOGAN When you are healthy, we are healthy When you are happy, we are happy We live for your HEALTH & HAPPINESS MISSION Bringing prosperity into rural families of India through co-operative efforts and providing customers with hygienic, affordable and convenient supply of Fresh and Healthy food products. VISION To be a progressive billion dollar organization with a pan India foot print by 2015. To achieve this by delighting customers with Fresh and Healthy food products, those are a benchmark for quality in the industry. We are committed to enhanced prosperity and the empowerment of the farming community through our unique Relationship Farming Model. To be a preferred employer by nurturing entrepreneurship, managing career aspirations and providing innovative avenues for enhanced employee prosperity. ISO Certification: Heritage is the dairy in Southern India to be accredited with the ISO 22000 certification.

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Quality policy: We are committed to achieve customer satisfaction through hygienically processed and packed Milk and Milk Products. We strive continually to improve the quality of our products and services through up gradation of technologies and systems. Adhering to its moral commitment and its continuous drive to achieve excellence in quality of Milk, Milk products & Systems, Heritage has always been laying emphasis on not only reviewing & re-defining quality standards, but also in implementing them successfully. All activities of Processing, Quality control, Purchase, Stores, Marketing and Training have been documented with detailed quality plans in each of the departments. Information Technology: Considering Information Technology as a very critical tool for providing this competitive edge in business, Heritage successfully implemented ERP at all its locations, thereby also building a communication network. Heritage is now operationalizing the information as a resource, which may be put to use in creating informed products or in developing new and more effective business strategies, objectives or Organizational missions. THE DAIRY BRAND HERITAGE Heritage by choosing Chittoor district of Andhra Pradesh as its primary procurement base of milk had taken full advantage of the large, high yielding and cross-bred cow population found in the area, which has become the secret of the success story of Heritage. Today Heritage has the network in the states of Andhra Pradesh, Karnataka, Tamil Nadu and Maharashtra for procurement and distribution of quality milk and milk products. Heritage products are also distributed in the state of Kerala. Heritage has drawn plans to be a pan-India player in the diary. THE RETAIL BRAND HERITAGE FRESH Recently the retail stores were rebranded as Heritage Fresh. Heritage Fresh today has a total of 75 stores across three cities- 30 in Hyderabad, 18 in Bangalore and 26 stores in Chennai. The

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Company has pan-India expansion plans, with phase 1, to open 75 stores in South India completed in 2008. Heritage is recognized as one of Indias largest and most successful Diary for the last 18 years. Based in Hyderabad with an existing brand presence in Andhra Pradesh, Tamil Nadu, Karnataka, Kerala and Maharashtra. Heritage is known for its high quality standards and premium range of milk and milk products and following high quality manufacturing, packing and distribution practices. Heritage is now become the ISO 22000 certified company by maintaining international quality for its dairy division. Heritage diary divisions is having 12 packing stations, 74 chilling centres/bulk coolers with operationally safe process equipments. Heritage brand is seen in 8.0 lakh households today. HERITAGE PARLOURS:-Heritage Parlours is a Franchise based business model that provides excellent business opportunities for new entrepreneurs as well as existing business owners. Heritage Parlours are exclusive outlets selling the whole range of Heritage products, which includes Heritage milk, milk products, ice-creams, bread, bakery products, eggs, labeled products, and also products supplied/approved by Heritage Foods (India) Ltd. With a well established network of over 1000 Parlours in Hyderabad, Visakhapatnam, Rajahmundry, Vijayawada, Tirupati, Chennai and Bangalore, Heritage Parlours plays a vital role in ensuring that Heritage products are available to the customers at their doorsteps. Every Parlour is a Brand ambassador of Heritage and HFIL along with the Franchisee ensures that every Parlour delivers the right message to the customers. To become Franchisee Visibility- The shop should be in the residential/semi-commercial location. Shop area: 100-200 sft. Exclusive Heritage outlet- Selling only Heritage products and items supplied/approved by Heritage Foods (India) limited. Need to take shops and establishment License and required statutory

Licenses/Permissions. The franchisee has to renovate/modify the shop as per the HFIL design.

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The Franchisee would be required to furnish and interest free refundable security deposits Rs 10,000/-

The delivery of products will be done through the regular channel of the company on cash and carry basis only (No credit).

Heritage will Financially assist to some extent for the development of the Parlour. One deep freezer (300/40 Ltrs Capacity) for ice-creams and one Chest cooler/Glass door refrigerator for Milk and Milk products.

One oven for selling puffs. Franchisee should possess a bank account and should submit residential and identify proofs.

Agreements with HFIL has to be executed by Franchisee for a period of three years.

AGRIDIVISIONS: Heritage has always endeavored not only to understand what assumes critical importance in caring for the dairy farmer and his cattle, but also to make him understand that good environment, milking practices, housekeeping, sanitary standards, personal hygiene and his work habits; And maintaining balanced nutritious diet, health, safety, hygiene and the productivity of his dairy animal should be a natural thing to do. Being a catalyst between the farmer and itself, Heritage undertakes several integrated activities, some of which include: Distribution of regular Agricultural Inputs to dairy farmers viz., Feed, hybrid seeds, mineral mixtures at subsidized prices, Growing fodder and providing it free of cost to farmers, Supply of quality medicines to farmers,

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 Arranging seasonal cattle vaccinations &dewarming through a trained team of veterinarians, etc., Arranging Medical camps and supplying medicines for dairy animals free of cost, Providing medical attention to dairy animals through Heritage's trained vet doctors. Heritage also undertakes to: Provide loan support to farmers for purchase of milk animals and cattle insurance thereon. Organize "RythuSadassu's" (farmer group meetings) aimed not only at motivating the farmers to adopt better and latest practices in Dairy farming (including scientific feeding) & preventive health measures, but also at providing well-built facilities and training to adapt such trends in realizing higher quality milk yield. Not only train people in villages to provide veterinary first aid and insemination services, but also, carries out Artificial Insemination by trained personnel, for improving the genetic potential of livestock. Identify and supply quality breeding Bulls with good pedigree to farmers, in order to edge over the highly diverse livestock genetic resources reared under widely varying agroecological conditions of the Country. All of which have not only resulted in preventing the outbreak of cattle diseases, but also in improving the Milk yield. In this emerging new context of the Indian Milk sector, the need to further improve Heritage's potential in terms of the scope: To enhance supplies to meet the growing demand, To enhance productivity of the cattle and the capacity of farmers To take advantage of the international market under the regime of reduced subsidies is multi-faceted and necessary.

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CHAPTER- 3

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NEED FOR STUDY

Present scenario of competitive market conditions there has been increased competitions among the players. It becomes need for the company to study and analyses the needs of its retailers, which help in strategic planning of the company. Heritage sells four categories of products, among these products I was asked to do market analysis for a product called fresh products the company wanted to know what factors that influence the sales of the fresh dairy products. The study also includes the dealers in the market, to know how many of them sell fresh dairy products, the challenges faced by them and the reasons for non selling fresh dairy products .Hence research study attempts to identify the various accepts of consumers and dealers, the needs and behavior in order to develop a strong relationship with them.

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DEFINITION AND SCOPE OF THE PROJECT

2.1 PROJECT OBJECTIVES:
To know level of awareness of retailers for fresh dairy products. To estimate market potential & perception of consumers towards heritage fresh products. To find the reasons for consumers purchasing heritage fresh dairy products.

To understand the current market demand and the buying behavior of the consumers. To find out the problems faced by the distributors & dealers in selling the fresh dairy products To find out the level of consumer satisfaction towards heritage. 2.2 PROJECT FOCUS: Retailer requirements. Challenges faced by the Dealers Distribution channel Strategy of competitors

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Distributors.

RESEARCH METHODOLOGY

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RESEARCH DESIGN: QUANTITATIVE DESIGN RESEARCH DURATION: 6 WEEKS SIZE OF SAMPLE: 60

DATA COLLECTION METHOD:Primary data is collected by direct interviewing the consumers and the dealers with the help of the Questionnaire SECONDARY DATA: Secondary data is collected from the databanks, websites, blogs etc. DATA ANALYSIS METHOD: Analysis of data is done by using SPSS 17 and MS Excel AREA OF SURVEY: Hyderabad City 3.CONCEPTUAL REVIEW OF TH PROJET: The first step of a research project is to understand what the management wants, what is

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the problem that they are facing. The results of the analysis would then help them in talking a decision to solve the problem. This is called defining the management question. Define research question, choosing hypothesis that states objective of study. Resource allocation & budget: Justify costs ,funds required for project planning data collection, analysis report etc. Research proposal: Incorporates decision made during project planning stage. A written proposal ensures that both parties concur on purpose, methods of investigation etc. Research design: Blue print for fulfilling objectives and answering questions. Selection can be complicated due to variety of methods, techniques, procedures etc.Decide on data collection techniques, instruments, sampling, plan, &pilot testing plan. Data collection: Primary data Vs secondary data. Can be collected through surveys, observation, labs, journals, data banks etc Data are edited to ensure consistency and locate omissions. Reduces recording errors. Data coding reduces responses to more manageable system for storage and processing. Data analysis and interpretation: Managers need information not data. Develops summaries looks for patterns by application of statistical tools, relationship among variables are explored.

Reporting results: Necessary to report and transmit the findings and recommendations to

managers for the intended purpose of decision making. Report should be developed from the clients perspective.

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LIMITATIONS OF THE STUDY

Due to busy schedule of stores manager data couldnt be collected satisfactorily. As with all studies there is the problem of finding good and relevant information.The Iinformation in this project is restricted whatever relevant information the reacher can find that is related to the subject matter.

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CHAPTER-4

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ANALYSIS
Relation among gender, age and store visiting No. of respondents-store visiting Rarely 24 Occasionally 17 Regularly 9 No. of respondents-Gender Male 37 Female 13 No. of respondents-Age Less than 20 3 20 to 40 42 40 to 60 5

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Figure 1: Graph showing relation between Store visiting, Age, Gender Interpretation: As per the above graph, 5% of males less than 20yrs of age visiting the store occasionally; 32% of males between 20yrs to 40yrs of age visiting the store rarely; 2% of both male and female between 20yrs to 40yrs of age Relation among company, age and gender Company alone friends 5 24 Age 20 to 40 42 Gender

Family 18 >20 3 Male 37

anyone 3 40 to 60 5 Female 13

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Figure 2: Graph showing relation between Company, Age, Gender Interpretation: 38% of male between 20 to 40yrs of age wants to eat the ice cream with friends 5% of female between 40 to 60yrs of age wants to eat the ice cream with family 2% of male less than 20yrs of age want to eat the ice cream alone

Relation between occupation and store visiting

No. of respondents-store visiting Rarely 24 Occasionally 17 Regularly 9 Occupation Student 16 in service 26 in business 8

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Figure 3: Graph showing relation between Store visiting, Occupation Interpretation: 22% of service people visit the store rarely 3% of business people visit the store regularly

Relation between flavor, age and gender vanilla 13 >20 3 Flavour strawberry butterscotch Any other 13 20 4 Age 20 to 40 40 to 60 42 5 Gender Male Female
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37

13

Figure 4: Graph showing relation between Flavor, Age, Gender Interpretation: 28% of male between 20 to 40yrs of age likes butterscotch flavor 4% of both male and female between 40 to 60yrs of age like vanilla flavor

Relation among attraction, age and gender Attraction Packaging 3 Age 20 to 40 42 Gender

Pricing 13 >20 3

Taste 28

Brand 6 40 to 60 5

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Male 37

Female 13

Figure 5: Graph showing relation between Attraction, Age, Gender Interpretation: 46% of male between 20 to 40yrs age say that they were attracted with the taste of the product 2% of male between 40 to 60yrs age say that they were attracted with the packing of the product and 2% of female less than 20yrs of age say they were attracted by the brand of the product

Relation between expenses and occupation

100 17 student 16

Expenses 100-200 more than 200 18 15 Occupation in service 26 in business 8

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Figure 6: Graph showing relation between Expence and occupation Interpretation: 24% of service people spend more than 200 rupees 3% business of people spend 100 rupees

Respondents based on influence

yes 24

Influence no 6

may be 20

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30% 50%

20%

Figure 7: Graph showing percentage of people influencing others to eat ice cream Interpretation: 50% people said they would influence their friends 30% people said they may be influence their friends 20% people said they will not influence their friends

Respondents based on brand influence Brand Influence No May Be 7 12

Yes 31

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40

20 %

50 %

Figure 8: Graph showing percentage of people influenced by the brand Interpretation: 50% people say they were influenced by brand 40% people say they may be influenced by brand 20% people say they were not influenced by brand .

Respondents based on availability Aviailability Away from place 21

Near your place 26

Travel much to get it 3

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10 %

40% 50%

Figure 9: Graph showing percentage of store availability to the people Interpretation: 50% PEOPLE SAY IT IS NEAR TO THERE PLACE 30% PEOPLE SAY IT IS AWAY FROM THERE PLACE 10% PEOPLE SAY IT IS FAR AWAY FROM THERE PLACE

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 Respondents based on satisfaction Satisfaction satisfied 42

Strongly satisfied 3

Dissatisfied 5

25 %

15 %

55 %

Figure 10: Graph showing percentage of people satisfied with the products Interpretation: 55% people say they were satisfied 25% people say they were dis-satisfied 15% people say they were strongly satisfied

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 Respondents based on rating of heritage Rating of Heritage Good 35

Excellent 4

Average 11

15 % 25 %

55 %

Figure 11: Graph showing percentage of people rating heritage Interpretation: 55% people rate heritage ice cream is good 25% people rate heritage ice cream is average 15% people rate heritage ice crem is excllent .

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BRAND EQUITY
Availability of products

100 %

Figure 13: Graph showing all the products are available

Interpretation: All the products are available in the stores.

Available brands
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100 %

Figure 14: Graph showing all the brands are available Interpretation: Heritage and amul are the brands available in all the stores.

Preference of brand Preference of brand Service Brand 1

Quality 8

Others

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30

70%

Figure 15: Graph showing percentage of the preference of brand Interpretation:

70% of managers prefer a particular brand by its quality 30% of managers prefer a particular brand by both its quality and margin

Preference of heritage products Preference of heritage products Margin Service 2

Quality 8

Brand

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10 %

10%

10% 70%

Figure 16: Graph showing the percentage of preference of heritage products Interpretation: 70% store managers say they prefer heritage products by quality 10% store managers say they prefer heritage products by quality and service 10% store managers say they prefer heritage products by quality and brand 10% store managers say they prefer heritage products by service

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 Services of heritage

Service of heritage
very good 8 good 2 satisfied bad

30%

70 %

Figure 17: Graph showing the percentage of service of heritage. Interpretation: 70% of managers said the service of heritage is very good 30% of managers said the service of heritage is good

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 Quality of heritage Quality of heritage good Average 2

Excellent 8

Bad

30 %

70%

Figure 18: Graph showing the quality of heritage products Interpretation: 70% of stores managers said that quality of heritage products is excellent 30% of stores managers said that quality of heritage products is good

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Price of heritage Price of heritage High Medium 8 3

Very high

Low

40%

60 %

Figure 19: Graph showing the percentage of price of the heritage products Interpretation: . 60% of stores managers said that price of heritage is high 40% of stores managers said that price of heritage is medium

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CHAPTER-5

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FINDINGS As per the analysis, it is observed that all the products are available in the stores. Heritage and amul are the brands available in all the stores. Most of the store managers prefer a particular brand by its quality and also said that say they prefer heritage products by quality It is also noted that service of heritage is very good and quality of heritage products is excellent whereas price of heritage products is high Most of the people eat ice creams weekly once and they prefer going with friends and family members.

RECOMMENDATIONS Distribution system has to be set right by hiring efficient distributions and assigning them areas which are not yet covered by the existing distributors. The trucks from the distribution center should leave early so that the products are delivered to the distributors on time. The company should promote the products through different advertising mediums which would help in increasing the awareness among the consumers. Exploring possibilities to export the products to most of them foreign countries.

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ANNEXURE-1 (QUESTIONNAIRE)
OBJECTIVE: To study the Performance of Heritage Ice-creams
1. Name:-

2. Gender a) Male b) Female

3. Age a) Below 20 years b) Between 20-40yearsc)Between 40-60 yearsd) Above 60 years

4. Occupation a) A Student b) In Service c) In Business d)Others

5. !! With whom you like to eat ice-cream? a) Family b) alone c) friends d) anyone

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6. Which brand you prefer? a) Kwality walls b) Sccops c) Heritage d) Amul 7. Why you prefer that brand? ________________________________________ 8. Which flavor you prefer? a) Vanilla b) Strawberry c) Butterscotch d) Any other one 9. !!How often do you eat ice cream? a)once in a week b) once in a fortnight c) once a month d) once in 3 months . 10. What attracts you to eat ice-cream? a) Pricing b) Taste c) Packaging d) Brand 11. Would you influence your friends/people to try this? a) Yes b)No c) Maybe 12. !!The competitors offers plenty of options when it comes to plenty of ice creams a) Strongly agree b) agree c) disagree d) strongly disagree e) neutral. 13. !!which of the product you often purchase? a) Cup Ice cream b) cone c) sticks d) juices e) novelties f)sundae 14.!!Are you currently satisfied making purchases of Heritage Ice cream? a)Yes b)No 14. How much you spend on icecream ? a) Below 100 b) 100-200 c) More than 200

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15. !! I look only for my brand a) Strongly agree b) agree c) disagree d) strongly disagree e) neutral Any suggestion_________________________ Phone no : ___________________Signature: _________

Annexure-2 Questionnaire Brand equity

Name of the store :___________________________

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1.

Area : __________________________

2. What are the dairy products available in the stores? a) Curd b) lassie c) pannier d) butter

3. Which brands you are selling in your stores ? a ) Heritage b) jersey c) Vijay d)Amul

4. Value of bill for each brand? a) b) c) d)

5. How do you prefer a particular brand? a) Quality b) margin c) service d) others

6. Percentage of shelf space given for each brand? a) b) c) d)

7. How much sales of Heritage products takes place per day? a) b) c) d)

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8. I prefer Heritage products by a) Quality b) service c) brand d) others

9. Service provided by the Heritage? a) Very Good b)good c) satisfied d) bad

10. Quality of Heritage products? a) Excellent b) good c) average d) bad

11. Price of the Heritage products? a) Very high b) high c) medium d) low

12. Suggestions:

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Bibliography

Research methodology by C. R. Kothari http://www.holding.com/articals/articles8.html

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