Godrej & Boyce- insight into market activation and consumer preference regarding Godrej Refrigerator: A case study of Chandigarh Presented By: Amrit Gill 94972238139
THE BEGINNING The beginning of the Godrej Group can be traced to India's freedom struggle. Its founder, Ardershir Godrej, a lawyer by profession and a staunch nationalist, believed that India could attain freedom only by being self-reliant. In doing so, India would overcome economic degradation. On 7th May, 1897, Ardershir Godrej gave up law and took up lock making. Godrej and Boyce Mfg. Co. Ltd., was established at Lalbaug, Mumbai. This was the holding company of the Godrej Group. On 3rd March, 1932, it was incorporated with limited liability. Established in 1897,the company was incorporated with limited liability on March 3,1932 under the Indian Companies Act, 1913.
ABOUT GODREJ One of India’s most trusted brand, Godrej enjoys the patronage and trust of over 470 million Indians every single day. With 7 major companies with interests in real estate, FMCG, industrial engineering, appliances, furniture, security and agri care – to name a few – turnover crosses 2.6 billion dollars. 20% of the business is done overseas. Presence in more than 60 countries ensures that customers are at home with Godrej no matter where they go. With brands one can believe in, service excellence one can count on and the promise of brighter living for every customer, Godrej knows what makes India tick today.
Corporate Timeline 1897- Godrej & Boyce Mfg. Co. Ltd. Was established 1902-Safe/Security Equipment Mfg. Started. 1918-Godrej Soaps Limited was incorporated 1971-Godrej Agrovet Limited began as an Animal Feeds division of Godrej Soaps 1974 - Veg oils division in Wadala, Mumbai was acquired. 1990 - Godrej Properties Limited, another subsidiary, was established 1991 - Foods business started
Corporate Timeline 1991 - Godrej Agrovet Limited was incorporated 1994 - Transelektra Domestic Products was acquired 1995 - Transelektra forged a strategic alliance with Sara Lee USA 1999 - Transelektra was named Godrej Sara Lee Limited 2001 - Godrej Consumer Products was formed 2002 - Godrej Tea Limited was set up
Corporate Timeline 2003 - Entered the BPO solutions and services space with Godrej Global Solutions Limited 2004 - Godrej HiCare Limited was set up providing professional pest management services 2006 - Godrej Beverages & Foods Limited 2007 - Godrej Beverages & Foods Limited formed a JV with The Hershey Company ,renamed Godrej Hershey Foods & Beverages Limited 2008 - Godrej relaunched itself with new colorful logo 2009 – Godrej launched the whole new range of EON home appliances
Corporate Mission Operate in existing and new businesses which capitalize on the godrej brand and our corporate image of reliability and integrity. Objective is to delight our customer both in India and abroad. Achieve objectives through continuous improvement in quality, cost and customer service. Strive for excellence. Encourage an open atmosphere, conducive to learning and team work.
Corporate Vision GODREJ IS dedicated to DELIVER SUPERIOR STAKEHOLDER VALUE by providing solutions to existing and emerging consumer needs in the Household & Personal Care business. We will achieve this through ENDURING TRUST & RELENTLESS INNOVATION delivered with PASSION & ENTREPRENEURIAL SPIRIT.
The Company has Representative Offices in Colombo (Sri Lanka), The Netherlands, Sharjah (UAE), Riyadh (Saudi Arabia) and Guangzhou (China-PRC). EMPLOYEES 10,700 (including 2,000 in Sales and Service) BANKERS Central Bank of India, Union Bank of India, Citibank N.A., ICICI Bank Ltd., State Bank of Patiala, Axis Bank Ltd., Export-Import Bank of India STATUTORY AUDITORS KALYANIWALLA & MISTRY, Chartered Accountants
The Range Refrigerators i-FRESH Spartan Door Design Apex Direct Cool Frost Free
GODREJ REFRIGERATORS (FROST FREE) Godrej Eon, GFE 36 DZ / DY Capacity: 343 L BEE Star Rating: 4 Colours Available: Also available in 330L, 305L, 294L, 283L, 271L SPECIFICATIONS Model Type : Double Door Defrosting : Fully Automatic Dimensions (unpacked) (HXWXD)mm: 1762 x 597 x 754 Voltage Range: 160-240V No. of shelves in the main compartment : 2 Door Finish : Metallic Interiors: Tinted
Godrej Pentacool, GFP 220 P/S Capacity: 197 L BEE Star Rating: 3 Colours Available: RED, GREY & BLUE FEATURES • Twist & Serve Ice Trays • Chilled Case • Intellflo for Superior Air Flow • Thicker Insulation for Better Cooling Retention • Greater Storage Space • High Effeciency Compressor • Fully Integrated Plastic Base • Chrome Finish External Handle • 100% Green • ZOP Technology for rust protection • Capacity : 197 L
GODREJ REFRIGERATORS ( DIRECT COOL) GODREJ EDGE FEATURES • 5 Star Energy Rating • Large Vegetable Tray - 20 L • 2.5L AquaSpace • Thicker Insulation • Humidity Controller • Easily Removable Gasket • 100% Green • 10 Year Rust Free Warranty With ZOP Technology • Capacity: 183L, 221L & 251L
FEATURES Stylish Chrome Finish, High Grip Ergo Handle Unique Arc Door Design Tinted Shelves Roll Bond Freezer And Thicker Insulation Bottle Snugger Humidity Controller Toughened Glass Shelves(GDP 195 V5 T) High Effeciency Compressor Door Lock 100% Green Capacity: 181 L & 204 L GODREJ PENTACOOL V5 & V2
PENTACOOL FEATURES Fully Integrated Plastic Base Thicker Insulation External Thermostat Transparent Interiors Adjustable Door Shelves Extra Freezer Space 5 Star Energy Rating
GODREJ AXIS FEATURES • Rib Door Design • Better Space Organisation • 2.5L Aqua Space in the Door • Deep Bottom Chiller Tray • High Effeciency Compressor • 3 Star Energy Rating • 100% Green • ZOP Technology • Capacity: 181L
FEATURES • Thicker Insulation • High Effeciency Compressor • ZOP Technology • External Thermostat Control • 100% Green • Recessed Handle, Tall Sleek Design GODREJ NO. 1
FEATURES • Silver Finish External Handle • Maximum Storage Space • Twin Vegetable Tray • In - built Apron • Adjustable Door Shelves GODREJ COLD GOLD DELUXE GDC 110 S FEATURES • High Effeciency Compressor • External Thermostat Control • Thicker Insulation For Superior Cooling Retention • Door Lock • 3 Star Energy Rating • ZOP Technology
SWOT ANALYSIS WEAKNESSES The Company does not go for advertising of its appliances. The effective selling schemes are not available like payment on instalments. Gifts not being so attractive. Most of the dealers prefer other companies appliances. The After Sales Services provided by the company are not up to the mark. STRENGTHS Image of a Quality Product Company. The Company has wide range of product line. Robust manufacturing and Supply Chain competencies. Detailed insight of the market.
Changing lifestyle trends of Consumers. Market Development
THREATS Competitors grab on the market. Lot of branding done by other competitors.
Financial Ratio Analysis Current Ratio = Current Assets (Rs’000) Current Liabilities
Liquid Ratio = Current Assets – (Inventories + Prepaid Expenses) Current Liabilities (Rs ’OOO)
(Rs’000) Absolute Liquid Ratio = Cash & Bank + Short – term securities Current Liabilities
Debt-Equity Ratio = Debt_________ Equity shareholders funds (Rs’000)
Equity Ratio = Shareholders’ Funds Total Assets (Rs’000)
Net Profit Ratio = Net Profit after Taxes X 100 Net Sales (Rs’000)
PART B Godrej & Boyce- insight into market activation and consumer preference regarding Godrej Refrigerator: A case study of Chandigarh
OBJECTIVES Tostudy the marketing activities done by the appliance division at Mohali branch.
To know the factors which influence regarding purchase of refrigerator. To know the features that influenced the purchase of refrigerator by consumer.
RESEARCH METHODOLOGY RESEARCH DESIGN: Descriptive Universe: All the consumers of Refrigerator. Population: All the consumers of Refrigerator in Chandigarh. Sampling unit: A single resident of Ashiana Society and Advocate Society who filled the questionnaire. Sampling technique: Convenience &Random sampling. Sample size: 100 respondents
Data Collection Primary data:-has been collected by using questionnaire. Secondary data:-has been collected from the company source, internet, researches.
Limitations of the Research The customer does not reveal the correct information so biases come. The life of the people in metropolitan cities is running so fast. They don’t have much time to give reply. The major portion of this fieldwork is confined to a single city Chandigarh only therefore study does not reveal the exact market condition.
Figure No. 4.2.8 Title: Recommend Godrej Refrigerator to your friends and relatives
OBJECTIVE 3 To know the features that influenced the purchase of refrigerator by consumer.
Table No. 4.2.6Title: Rank according to preference
Figure No. 4.2.9Title: Awareness of Other Godrej Appliances
55 Respondents who have not used Godrej Refrigerator
Figure No. 4.2.1Title: Awareness of other Godrej Appliances
Figure No. 4.2.2 Title: Media for creating awareness for other appliances
Figure No.4.2.3 Title: Current brand of refrigerator in use
Figure No.4.2.4 Title: Got a chance to see the Godrej Appliances while buying
GRAPH 4.2.5 Title: Reason for using that particular brand
Table No. 4.2.6Title: Experience with the refrigerator Mean Score = Resp. score sum / No. of respondents =106/55 = 1.93 1 2 3 4 1.93
Figure No. 4.2.7Title: Like to buy Godrej appliance in future
Figure No. 4.2.8 Title: Like Godrej appliance advertisements
Figure No. 4.2.9 Title: Model/Actor in Godrej advertisement
RESULTS AND FINDINGS PHASE 1 Godrej recorded maximum market share for Quarter 1 sales in Haryana Within 10 days billing of 600 washing machines was done by the dealers of Amritsar and Karnal. CII Coolex Exhibition lead to sale of 533 AC’s, Refrigerators 102, Washing machines 65. BTL Activity: society demos for microwave ovens lead to sale of 14microwaves in 2days. Pos placements (Standees, danglers, banners) are used to make people aware of Godrej appliances.
FINDINGS OF ADVERTISEMENT ANALYSIS Samsung did most no. Of ads and leads the Chandigarh Tribune with thorough advertising for the whole month by placing ad every 3RD OR 4th day. Samsung, LG & Godrej focused only on Air Conditioners and Refrigerators. Hitachi & Carrier focused only on Air Conditioners for the whole month. Whirlpool focused only on Refrigerator & Washing Machine for the month June. Maximum advertising was done in Chandigarh Tribune. Least advertising was done in HT National. Least advertising was done by Voltas & Electrolux Highest focus was given on Air Conditioner ads in the month of June. Least size advertising was done by Carrier and Maximum size advertising was done by LG.
45 Respondents Those Who Have Used Godrej Refrigerators Majority of the people came to know about Godrej Refrigerator through Dealer/Distributor, Print media, T.V. Ads and least came to know from internet. Most important factor which influenced to choose the Godrej Refrigerator is features, followed by image and prestige and least factor is income level.
The most important feature for purchase of refrigerator by the consumer is quality followed by features and brand name and least is after sales service.
55 Respondents Those Who Haven’t Used Godrej Refrigerators People are using Refrigerators of Samsung brand the most followed by Whirlpool, the Videocon and LG. People use their current brand of refrigerators because of the factors like Quality, Brand name and Features. Majority of the people don’t know about the Brand Ambassador of Godrej only 1/4th knew it.
Suggestions & recommendations Awareness level of Godrej appliances is very low so they should plan regressive advertisement campaigns as other brands like LG, Samsung etc. After sale services are one of the least ranked factors i.e. consumers are not satisfied with so efforts should be made to deal with the services. The company needs to bring out innovative and attractive Schemes to keep pace with the Competitors; company can tie up with some organizations etc. Free gifts along with the purchase of Godrej Appliance to attract the customers. Advertising in the newspapers such at Times of India, Indian Express, HT etc. should also be started so as to spread awareness in the public. Frequency of advertisements in Tribune and HT needs to be increased.