1. NCL Faculties
NCL Co-ordinator: Ms. Meghana Upadhyay
NCL Senior Administrator: Mr. Rajesh Nepali
NCL Marketing Executive: Ms. Vaishali Unhale
NCL Director: Mr. Indranil Ray
From
Ms. Sheetal Vishnoi (On behalf of team)
Batch: PGP- Market Research
Northpoint Centre of Learning (NCL) | 2020-21
Research Thesis Report
Topic: Marico Private Limited
Sector: FMCG
2. 2 | Client- Marico | Mini Dissertation Thesis
Acknowledgement
Hereby expressing humble gratitude to NCL mentors, for taking out time from a
busy schedule and taking extra efforts for letting me absorb market research
fundamentals, through various internship and theory sessions held at NCL. And,
also thanking NCL for issuing me thesis topics of Marico, wherein I could apply
these fundamentals at length.
Will be thankful to you, for you have been a fantastic mentor to me and also
inspired me to imbibe NCL’s core values of credibility, integrity, honesty and
reliability.
In accomplishment of completion of this thesis with Marico, I would want to
express my sincere regard to Northpoint Centre of Learning (NCL) faculty and
staff members, for their support and suggestions that helped me in completing
the internship sincerely.
Your valuable inputs and remarks allowed me to improve during various stages
of this internship.
And to colleagues, for their encouragement throughout.
5. 5 | Client- Marico | Mini Dissertation Thesis
Executive summary
This executive summary stresses on the experience I have gathered through the
mini dissertation thesis with Marico. I have included my experience of
internships w.r.t. Evaluation and measurement techniques for retail,
distribution, market share, assortment, product launches, price indexing and
impact of marketing campaigns on sales etc.; where I have also provided details
about the imperatives and tasks that were set by the mentor for me.
NCL is an established platform in market that provides structure for education
of services for media measurement, retail measurement, consumer trends
measurement, brand and product measurement of various sectors (including
FMCG). In this synopsis, I have mentioned the clients and brands that they are
managing at the moment.
Later in this synopsis, the issues tackled by retail w.r.t. consumption patterns
and trends, and operational bottlenecks and opportunities that exist in the
market; have beendiscussed.
The objective of this thesis was to establish a firm hold on FMCG fundamentals,
that would enable simplified and efficient implementation of methodologies. To
say the least, the aim has been achieved successfully.
7. 7 | Client- Marico | Mini Dissertation Thesis
Synopsis: Marico
MaricoLimitedisoneofIndia’sleadingconsumergoodscompaniesoperatingin
the health, beauty and wellness space. With its headquarters in Mumbai, Marico
is present in over 25 countries across emerging markets of Asia and Africa.
It nurtures leading brands across categories of hair care, skin care, edible oils,
healthy foods, hygiene, male grooming, and fabric care. In 2019-20, the
company generated a turnover of INR 73.1 billion (USD 1.03 billion) through its
products sold in India and chosen markets in Asia and Africa.
Marico touches the lives of 1 out of every 3 Indians, through its portfolio of
brands such as Parachute, Saffola, Saffola FITTIFY Gourmet, Coco Soul,
Parachute Advansed,Hair & Care, Nihar Naturals, Livon,Set Wet, Set Wet Studio
X, Veggie Clean, Kaya Youth, Travel Protect, House Protect, Mediker, Revive and
Beardo.
Marico has 8 factories in India located at Pondicherry, Perundurai, Jalgaon,
Guwahati, Baddi, Paonta Sahib and Sanand.
The international consumer products portfolio contributes to about 23% of the
Group’srevenue, with brandslike Parachute,Saffola,Parachute Advansed,
Mediker SafeLife, Just For Baby, HairCode, Fiancée, Caivil, Hercules, Black Chic,
Code 10, Ingwe, X-Men, Sedure, Thuan Phat and Isoplus.
8. 8 | Client- Marico | Mini Dissertation Thesis
Marico: Portfolio
a. Hair
b.Skin
c. Body
d.Foods
e.Clothes care
9. 9 | Client- Marico | Mini Dissertation Thesis
FMCG
retail
Digital Marketing
, Brand &
Research
Market and
Finances
Innovations
Nielsen
res
Corporate
Social
ponsibility
Media
measurement
Public
Relations
Corporate
Communic
ation
Marico: Organisation Structure
Marico
10. 10 | Client- Marico | Mini Dissertation Thesis
Tasks by faculties
Mini Dissertation: Thesis objectives / KRAs- set by faculties
Chapter 3
Thesis Description
11. 11 | Client- Marico | Mini Dissertation Thesis
Mini Dissertation- Thesis Objective
(KRAs, Objectives)
▪ Business Objective:
As issued by NCL.
▪ Scope of study:
Study the core of Indian Hair Oil segment and strategise for penetration into
ayurvedic segment of the category through retail landscape
▪ Research Objective:
Do an in-depth study in your market to ascertain the strategy Nihar should take
to become a top contender in the Ayurvedic hair oil market
o Proposal andCosting
- Types of proposal
▪ Subscriptions
▪ Ad Hoc
▪ Research Methodology:
Primary and Secondary Research
12. 12 | Client- Marico | Mini Dissertation Thesis
Executive Summary:Marico
Marico Headquarters: Mumbai, Maharashtra, India.
As of 2019-20 (India): Turnover of Rs. 7,334 Crores (37% market share
in Indian hair oils segment), 66% share of business is from urban and
85% of revenue share from traditional trade
Coverage: 4.6 million stores reach out of 9.2 million total universe
8 Factories: Pondicherry, Perundurai, Kanjikode, Jalgaon, Paldhi,
Dehradun, Baddi and Paonta Sahib
Categories and Brands:
Hair Care: Parachute, Parachute Advanced, Nihar Naturals, Nihar
Naturals Uttam, Hair & Care Fruit Oils, Livon
Skin Care: Parachute Advanced Body Lotion, Derma Rx, Kaya Youth
Fabric Care: Revive
Edible Oils: Saffola
Healthy Foods: Saffola Oats, Saffola Fittify
Male Grooming: SetWet
Marico’s Values: Openness and transparency on values, Bias for
action, Excellence, Innovation, Opportunity seeking, Consumer
solutions, Boundarylessness, Global views
13. 13 | Client- Marico | Mini Dissertation Thesis
Simplifying ResearchObjective
Research Objective: Strategy for Marico to make an entry into Indian
Amla ayurvedic hair oils segment through Nihar Naturals.
Terminologies usedby FMCG firms for ayurvedic ranges: Herbal, Ayurvedic,
Natural, Essentials etc. In branded hair oil category (61 bn), Coconut hair
oil has around 28% market share (Marico), then Amla with 20% market
share(Dabur).Emami’sNavratnaOilhas8.7%marketshare.Dabur,Emami
and Marico together have > 60% market share in hair oils category.
Patanjali,with verylocal approachhas made it’sown niche in the mass
segment.
Few start-ups: Biotique, Forrest Essentials, Kama Ayurveda, Khadi, Trichup
etc.
Marico launched Parachute Advansed Ayurvedic Hair Oil (Coconut Oil with
ayurvedic herbs). They roped in Tamanna Bhatia for endorsements. Dabur
Vatika (meaning ‘garden’) was re-launched with 7 ayurvedic herbs
narrative to tap the segment in Coconut Hair Oils specifically. Dabur’s
exclusive website for tips: https://www.mybeautynaturally.com/. They
have dedicated beauty bloggers for beauty tips. Emami acquired Kesh King
and re-launched 7-oils-in-one with herbal ingredient narrative to tap this
segment. Juhi Chawla and Katrina Kaif are the brand ambassadors. HUL
acquired Indulekha (Keshraj- King of hair) from Mosons Group, in 2015 to
enter natural / premium ayurvedic segment. Indulekha had a turnover of
100 Cr when acquired. Baidyanath’s Mahabhringaraj Hair Oil and
Patanjali’s Kesh Kanti (with very local positioning) have made themselves
comfortablein the mass / price sensitive segment.
After this, Marico is at strategy level with Nihar Naturals for an ayurvedic
launch in Amla Hair Oils category.
14. 14 | Client- Marico | Mini Dissertation Thesis
Introduction- NiharNaturals
Research Objective: As issued by NCL
Nihar Naturals celebrates progressive, strong women. Brand Ambassador:
Vidya Balan since 2010.
After the buyout, Nihar Naturals was re-launched with region-specific
advertising. Ties with Bengali band (Chandrabindoo), made a song- Jaani
na, with brand name ‘Nihar Naturals’ roped into lyrics. Brand film was
made with Vidya Balan. Nielsen data quoted, 1.3% increase in north (5.7%
m.s.), 0.7% increase in east (23.5% m.s.), 2.3% increase in west (8.6% m.s.);
as on May 2013 exit.
Proceeds from the brand go towards children’s education. Nihar has
partnered with Cry, sponsoring 19 projects across. There are three other
NGOs with whom brand had partnered in the past:Sesame Workshop (UP),
Goingto School (Bihar) and Educate Girls (Rajasthan).
15. 15 | Client- Marico | Mini Dissertation Thesis
Existing Range: NiharNaturals
Nihar naturals is the largest hair oil by volume in India. Range
specifications:
Nihar naturals shanti badam amla hair oil: 300ml and 500ml
Nihar naturals coconut hair oil: 98ml, 200ml, 240ml and 400ml
Nihar naturals sarson kesh tel: 70ml, 170ml, 300ml
Nihar naturals extra care: 100ml, 200ml
Nihar Uttam (100% pure coconut hair oil): 100ml and 175ml
16. 16 | Client- Marico | Mini Dissertation Thesis
Research Methodology: StageI
Methodology (Consumer):
Target respondent:
- Sample size:199. Urban:89, Rural:109.
- SEC: A-, B, C
- Youth (teenagers):67, Seniors: 132.
Geography:
- Location:HJN
- Towns near HJN (sub-segment): 6,7,8,9,4,5,6
Research methodology:
- Panel discussions (monadic)-
- Pen and Paper Interviews-
Instructions torespondents:
- Take the pen & paper (for monadicas well)
- Switch off mobiles
- Respond within the time-frame issued by the monitor
- For pen and paper interviews, respond as per regular habits. Taking
reference from others isn’t necessary.
Segmentation:
- Psychographic-Woman and teenage girls with healthy hair
- Behavioral- Existing user of a branded hair oil / branded ayurvedic
hair oil
- Demographics- wives / sisters / mothers/ daughters
17. 17 | Client- Marico | Mini Dissertation Thesis
Research Findings: Stage ISummary
Herbals / ayurveda has always been part of our culture- mostly in
unbranded, raw form through gradma remedies etc. What we are now
observing, is branded marketing of herbals / ayurveda as markets are
developing and consumers continue to seek easier and convenient
solutions totheirbusylifestyles.Aiding tothisarefactorssuchas, higher
wallet size and nuclear families with multiple earning members where
women have choices and ability to makepurchase decisions.
Herbals / ayurveda are in trend as consumers are seeking authentic
experiences and ‘comfort of their traditional roots’.
Eventually theswitchtobranded itemshadto happeninayurveda segment
as well, as brands intend to create a sustainable niche for themselves and
in the routine life of consumers as well.
Emergingchannelsforherbals/ayurvedicitems:Itreallydependsonthe
proposition of the brand. But herbals / ayurveda regime availability will
happen through existing retail format.
Youth is easily triggered fortrials. Theyare awareand prone toworry about
socialcausesandaretrendy.So,youth willtryayurveda /herbals also, ifthe
offerings are made in sync with their needs.
18. 18 | Client- Marico | Mini Dissertation Thesis
Research Findings
a. Stage I: Shopper
Factors affecting respondent Research Findings
Branded Hair Oils- source of information
Mostly through shopping at stores, then through
various media channels.
Hair oil brand preference and formats
Parachute, Vatika, Nihar Naturals. Formats-
Coconut and Amla (in that order).
Buying and usage of branded hair oils
Buying-Monthlyandquarterly.Usage-weeklyor
twice weekly.
Factors that trigger buying of branded hair oils
- Urban-Brand loyaltythenprice.Rural-
price (huge trigger)
Brand loyalty for hair oil segment
Urban- mostly loyalists. Rural- Frequent switchers
(also make their own oil).
- Ladies-loyalists.Teenageyouth-switchers/
triggered for trials.
Hair oils brand endorsements- preference
Urban- Social causes, celeb endorsements, store
activations.
- Rural-Huge affinitytowards celeb
endorsements,thensocialcauses&store
actions
Haircare regime usage
- Urban& rural respondents (ladies&
teenagegirls)usehaircareregimenmostly
for nourishment andremedies
Branded Hair Oils- source of information
Mostly through shopping at stores, then
through various media channels.
Hair oil brand preference and formats
- Parachute,Vatika,NiharNaturals.Formats-
Coconut and Amla (in that order).
Buying and usage of branded hair oils
- Buying-Monthlyandquarterly.Usage-
weeklyor twice weekly.
Factors that trigger buying of branded hair oils
- Urban-Brandloyaltythenprice.Rural-
price (huge trigger)
Brand loyalty for hair oil segment
Urban- mostly loyalists. Rural- Frequent switchers
(also make their own oil).
- Ladies-loyalists.Teenageyouth-switchers/
triggered for trials.
19. 19 | Client- Marico | Mini Dissertation Thesis
Hair oils brand endorsements- preference
Urban- Social causes, celeb endorsements, store
activations.
- Rural-Huge affinitytowards celeb
endorsements,thensocialcauses&store
actions
Haircare regime usage
Urban & rural respondents (ladies & teenage girls)
use haircare regimen mostly for nourishment and
remedies
Branded Hair Oils- source of information
Mostly through shopping at stores, then through
various media channels.
Most cared for attributes in human body
Youth / Teenage girls: Full body & hair. Ladies: Skin
and hair.
Format of haircare used most Youth & Ladies: Hair Oils and Shampoos
Most important haircare need Youth & Ladies: Healthy, silk and shine, bouncy hair
Benefit sought from haircare regimen
Youth / Teenage girls: Hairfall, dandruff, scalp
cooling, nourishment etc.
Ladies: cover grey hair, hairfall, nourishment
Existing ayurvedic haircare regime user
Ayurveda usage by ladies is higher as compared to
youth. Youth was mostly neutral on existing usage.
Ayurvedic innovation
Youth is triggered for trials, while ladies will mostly
stay with existing regime.
Innovation format preference
Youth and Ladies: Hair oils and shampoos Hair Oils:
Bhringaraj and brahmi, Shampoos: Shikakai and
soapnut(reetha)
Various options were mentioned to respondents.
Ingredients preferred
Mostly through routine store shopping, then
through media
Source of information for Nihar naturals
(without brand sample) Nihar Naturals brand
recognition (with branded sample)
Highly recognized label and brand
20. 20 | Client- Marico | Mini Dissertation Thesis
Research Methodology: StageII
Methodology (Retail)-
Target respondent:
- Total sample size:199. (Urban & Rural).
- SEC for the find:A-, B, C
- Youth(teenagers): 67, Ladies: 132.
- Storeformats:ModernTrade, TraditionalTrade
- Basis of selection: In-storefootfall
Geography:
- Locationfor this stage: HJNand sub-segment
Research methodology:
- PenandPaperCasualInterviews(in-store)-8,9,4,5,6,7,2
In-store schematics:
- Formalpermission was taken fromstore management forin-store access
and research
- Pen & Paper casual interviews (in-store)- Researcher recorded the
response from respondenton paper
- Mobile andother electronic items to be on silent mode
- For the interview, respond as per regular habit. Taking reference from
others isn’t necessary.
Segmentation:
- Psychographic-Womanandteenagegirlswithhealthyhair
- Behavioral-Existinguserofabrandedhairoil/brandedayurvedic
hair oil and haircareregimen (shampoos, conditioners, serums,
mousse etc.)
- Demographics-wives/sisters/mothers:earningmembersofthe
family(whocanmakedecisions) /daughters(teens)
21. 21 | Client- Marico | Mini Dissertation Thesis
Research Findings: Stage IISummary
The hair regimen that is shopped most by respondents: hair oils, shampoos,
conditioners and rest. Frequency of purchase for hair care regimen is monthly or
quarterly and purchased either self or by a family member. Web ordering is still
at a very nascent stage.
Where in-store merchandising / shelf display is a trigger for regular shopping,
cross-category merchandising has to toil hard before it makes its own niche
with the shopper. Having said that, haircare categories that must be
merchandised together for simplified shopping are hair oils with combs,
shampoos with conditioners, hair oils & shampoos etc.
Shopper is found to be triggered (impulse) easily by shopping festivals, in-store
activations, offers, price etc.
In-store brand availability is the most vital factor for the purchase decision.
Urban consumer seeks to shop for brands from store as compared to imitations
/ private labels. Having said that, rural price sensitive consumer who is touted
as a brand switcher- has high bend towards imitations / private labels, that offer
competitive claims for lower price.
22. 22 | Client- Marico | Mini Dissertation Thesis
b. Research Findings: Stage II (Retail)
Factors affecting respondent behaviour Research Findings
Store respondent profile
Shopping from store is equally famous across
urban & rural segment
Shoppers definitionof in-store haircare
segmentation
HairOils,Shampoos&Conditioners,Thenrest.
Method of shopper interaction with on-shelf
displays
Mostly for regular shopping or when offers are
there. Comparison of brand label is a trigger
Satisfaction level with on-shelf display interaction
- Shopper is highly satisfied with well
merchandisedstoreascomparedtosmaller
traditional stores, wherecategory
segmentation / merchandising ismessier
Reaction on in-store merchandising
- Merchandising mostly makes regular
shopping hassle-free, and is vital in
highlighting offers,innovation / launches
etc.
Factors that influence in-store shopper behavior
- Basics: merchandising / category
managementandstorelayout.Incremental
factors: shopping festivals,in-store
activations, availability of importantbrands
Impact of several in-store stimuli on purchase
decision
- Priceandonshelf brands display. Rest are:
availability, imitations, private labels etc
Store respondent profile
- Shopping fromstore is equallyfamous
across urban & rural segment
Shoppers definition of in-store haircare
segmentation
- Hair Oils, Shampoos & Conditioners, Then
rest.
Method of shopper interaction with on-shelf
displays
- Mostlyforregularshoppingorwhen offers
arethere. Comparisonofbrand label isa
trigger
Satisfaction level with on-shelf display interaction
- Shopper is highly satisfied with well
merchandisedstoreascomparedtosmaller
traditional stores, wherecategory
segmentation / merchandising ismessier
Reaction on in-store merchandising
Merchandising mostly makes regular shopping
hassle-free, and is vital in highlighting offers,
innovation / launches etc.
Factors that influence in-store shopper behavior
Basics: merchandising / category management and
store layout. Incremental factors: shopping
festivals, in- store activations, availability of
important brands
23. 23 | Client- Marico | Mini Dissertation Thesis
Impact of several in-store stimuli on purchase
decision
Price and on shelf brands display. Rest are:
availability, imitations, private labels etc
Most satisfying in-store interaction with which
shopper would want to interact
Shelf displays and in-store activations. Rest are:
offerdisplays, aislepromooffers,freesamplingetc.
Reactions on the categories to be locatedtogether
Hair Oils& Combs: 36%, Shampoos & Conditioners:
23%, Hair Oils & Shampoos: 26%, Conditioners &
Serums: 8%, Mousse & Sprays: 2%, etc.
Reactionsonin-storecrosscategorymerchandising
Confusing- 34%, Mixed category- benefit when on
offer: 32%, Remove:34%
Consumer shopping- self or other
Shopping byafamilymember:31%, Shopforself:
28%, Web ordering: 16%, Isn’t fixed: 25%
Frequency of purchase for haircare regimen Mostly monthly or quarterly.
Most satisfying in-store interaction with which
shopper would want to interact
Shelf displays and in-store activations. Rest are:
offerdisplays,aislepromooffers,freesamplingetc.
Reactions on the categories to be locatedtogether
Hair Oils & Combs: 36%, Shampoos & Conditioners:
23%, Hair Oils & Shampoos: 26%, Conditioners &
Serums: 8%, Mousse & Sprays: 2%, etc.
Reactionsonin-storecrosscategorymerchandising
Confusing- 34%, Mixed category- benefit when on
offer: 32%, Remove:34%
Consumer shopping- self or other
Shopping byafamilymember:31%, Shopforself:
28%, Web ordering: 16%, Isn’t fixed: 25%
Frequency of purchase for haircare regimen Mostly monthly or quarterly.
Most satisfying in-store interaction with which
shopper would want to interact
Shelf displays and in-store activations. Rest are:
offerdisplays,aislepromooffers,freesamplingetc.
Reactions on the categories to be locatedtogether
Hair Oils & Combs: 36%, Shampoos & Conditioners:
23%, Hair Oils & Shampoos: 26%, Conditioners &
Serums: 8%, Mousse & Sprays: 2%, etc.
Reactionsonin-storecrosscategorymerchandising
Confusing- 34%, Mixed category- benefit when on
offer: 32%, Remove:34%
Consumer shopping- self or other
Shopping byafamilymember:31%, Shopforself:
28%, Web ordering: 16%, Isn’t fixed: 25%
24. 24 | Client- Marico | Mini Dissertation Thesis
Strategy for Marico: Nihar Naturals
▪ Marketingcampaignfor an ayurvedicregimenlaunchfor women with disposable income
and teenagers
▪ Launch strategyexplained:
- STP- Segmentation, Targeting, Positioning
- SWOT- Strength, Weaknesses, Opportunities, Threats
- 4P Modeling- Price, Product, Promotion, Placement
▪ Product suggestions:
- Brand name
- Launch price estimation, with packaging unit
- Label suggestions- Hair Oils and Shampoos
- (along with ingredient specifications)
▪ Launch campaignsuggestions:
- Launch by existing brandambassador
- Stage-wise launch medium utilisation
- Retail strategy
- Distribution strategy
- Corporate SocialResponsibility
▪ Annual reporting: Marico (2019-20)-
- Financials
- Consumer
- Value chainpartners
- Environment
▪ Way ahead: Marico & Nihar Naturals-
- Strategic enablers
- Growing with strongfundamentals
- Risk managementcommittee
- Consumer
- Growing with partnership
- Maintaining the philanthropic efforts
- Nihar naturals range- grow the core and build value drivers
25. 25 | Client- Marico | Mini Dissertation Thesis
Suggestions on way ahead
Marico and Nihar Naturals
Strategic enablers: Business & Go-to-market models, Product
innovations, technology and automation, Cost management, Talent &
Culture, Mainstreamingsustainability
▪ Growing with strong fundamentals: Maintaining liquidity and cash flow,
maintainingefficiency
▪ Risk management committee for: Strategic and financial risk,
operationalrisk, compliance and governance risk, social risk
▪ Consumer: Affordability, availability, early innovations, product
experience, purposeful brands, Innovations, enhancing consumer
experience through campaigns, maintain product quality
▪ Growing with partnership: Rewards and recognition for suppliers /
vendors, automation in warehouse / depots, annual retailer
engagement and rewardrecognition
▪ Maintain the philanthropiceffort (CSR) of education for Nihar Naturals
▪ Suggestions for Nihar Naturals range:
▪ Annual campaign for brand visibility around Nihar Naturals core range, with
very high impetus on retail engagement.
▪ Continue to celebrate women empowerment with Nihar Naturals campaigns
▪ Become trendsetter through innovations
▪ Maintain market share & improve footprints (distribution)
