Regional Market Life Cycle Analysis

Analyzing the consumer buying behavior towards shampoo in Delhi with a focus on Sunsilk and Garnier.

Chetanya Rajput MBA Class of 2013 Amity Business School

DISSERTATION

Amity Business SchoolAmity Business School1Theoretical FrameworkAmity Business School2ChallengesAmity Business SchoolObjectives of StudyTo identify factors that motivate consumers to switch between different brands.To study the impact of advertisements on consumer buying behavior towards a shampoo brand.To study the influence of celebrity endorsements on buying behavior of consumers.To study the preference of attributes which influence the consumer choice of shampoo. To study the impact of packaging of shampoo on consumer buying behavior.

Amity Business SchoolLiterature Review George S. Low and Jakki J. Mohr (2008)

Setting advertising and promotion budgets in multi-brand companies

Role of promotions in capturing the interest of consumers by analyzing their information seeking

Bakhare, Dr Ruhi (2012) A study of consumer behavior with respect to various brands of shampoo in Nagpur city External factors like demographic, price, quality, product attributes etc. for buying Shampoo

Srinivasan, and Vanhuele(2010)

"Potential, stickiness and lift: How consumer attitude dynamics drive marketings sales impact

Role of advertisementsJadhav G., (2012)

Marketing and distribution strategy for FMCG, Growing Indian rural market

Indian FMCG Market

Handa and Grover (2012).

"Retail sector in India: Issues & challenges

Role of packaging and distribution

Mohanty, Sangeeta (2012)

"Indian shampoo brand positioning: Multi dimensional scaling approach"

Perception of Indian consumers towards different shampoo brands and to differentiate it.Thapa, Anju (2010) "Consumer switching behaviour: A study of shampoo brands"Packaging and communication method

Lonial, Dr Subhash and Zaim, Dr Selim

Investigating of product attributes and their affect on overall satisfaction

Importance of attributesKaplan, Maryana and Zarrilli, Kendra (2009)

The role of fragrance in the brand personality of consumer products

Role of fragranceAmity Business School5RESEARCH METHODOLOGYAmity Business SchoolGenderMale45Female55Total100AgeFrequencyBelow 20yrs2521-30yrs6931-40yrs341-50yrs1Above 51yrs2Total100Annual Family IncomeFrequencyBelow 3 Lakhs63 Lakhs-6 Lakhs48Above 6 Lakhs46Total100OccupationFrequencyStudent61Service31Homemaker1Business7Total100Celebrity advt (Sunsilk) vs Attribute focused advt (Garnier)FrequencyPercentValid PercentCumulative PercentVSunsilk24 24.024.024.0Garnier58 58.058.082.0Both1 1.01.083.0None17 17.017.0100.0Total 100 100.0100.0Amity Business SchoolDATA ANALYSIS & FINDINGS

Interpretation of Constant Sum Strength is the most desired attribute of shampoo followed by shine. The third most desired attribute is moisturizing followed by fragrance at fourth. The color of shampoo is least preferred shampoo. Interpretation of t-Test - There has been significant difference noted in attitude of male and female respondents advertisements and moisturizing attribute.Interpretation of Chi-Square Test:- Since, 0.070 > 0.05. Since the difference is significant, therefore, reject H1. Respondents, regardless to their income, are not loyal to their choice of shampoo brand

Amity Business SchoolCONCLUSIONSObjective 1The costumers do not exhibit strong loyalty towards a particular brand. Through Chi-squared test, it was found respondents, regardless of their income, arent loyal to their choice of shampoo brand. Most of the respondents have switched at least once followed by three times, the number of shampoos changed in a year

Objective 2Advertisement plays a vital role in influencing buying behavior. The advertisement focused on the attributes and benefits of a shampoo is preferred more and plays a vital role in influencing consumer-buying behavior. There is a significant difference in attitudes towards advertisements between male and female

Amity Business School9CONCLUSIONSObjective 3Celebrity endorsement is not the preferred form of advertisement and its influencing power on consumer buying behavior is lesser as compared to an advertisement, which focuses on the attributes.

Objective 4Strength was most preferred attribute followed by shine. Significant difference in attitudes towards moisturizing (third most preferred attributes) between male and female.

Objective 5Plays a Vital roleMost preferred package is regular bottle & average monthly spending is Rs 100-250. The color of the shampoo was least preferred attribute.The male respondents were equally divided upon changing their decision of purchasing shampoo based on packaging, however, the female did not agree clearly.

Amity Business SchoolRECOMMENDATIONS

The preferred attribute, which shampoo manufacturers can cash on is strength followed by shine.Advertise key attributes such as strength and volume. The USP could be rebuilding damaged hair, silky and healthy hair.The most commonly used product was conditioner. It can be either used a sales promotion technique as a gift with a shampoo bottle. Focus on attributes than celebrities as celebrities do give positive stimulus to buyers mind but they should not be the prime focus while advertisement for shampoo.Offer value for money impetus for the decision maker to use the product more intensivelyDevelop quality and brand image so that by trial of brand is left with a good image and then followed by the usage of bigger pack, which then will be used by them.Amity Business SchoolRECOMMENDATIONS

In order to create brand loyalty, benchmark the company that has well positioned itself in the minds of the consumer and consumers rarely change their shampoo with the help of testimonial advertisements which focus on the satisfaction derived from core features of their brand. So, delivering the improved one will make them switch to brand but it should be well advertised and substantiated. This action of company will have other positive effect of attracting those switchers, changing frequently and/or occasionally and drawing the crowd towards the brand. Go for strategic sizing and pricing with packs available in the market so that people have a wider option availability and presence of your brand. After a gap of some time check which are the packs that are bought most and assure their availability. Sachet can be made available near rural and college hostel areas whereas family and regular bottles should be available in residential areas.In order to increase effectiveness of a promotional campaign of shampoo, a brand should be positioned as a foreign brand with the help of foreign actors focusing on attributes as studied in consumer perception of Garnier.

Amity Business SchoolLimitationsThe time span of research was less so observational research was not possible.The extent of research was only restricted to Delhi and NCR.Due to paucity of time, sample size could not be taken more.Lack of availability of ample prior research works on the topic. Due to paucity of time, some of the candidates had to respond online and on the phone which may be open to some biases in the answers.

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