Internship report

Internship Report
On
“A Study on Consumer Behaviour with Reference to
Whirlpool Refrigerators” for Whirlpool of India Ltd
Submitted to
Acharya School of Management
Hesaraghhata Main Road
Bangalore – 560 090

Submitted by
Sanjay Kumar
Post Graduate Diploma in Management
Batch – (2011-2013)
(Roll No-ASM1103014)

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DECLERATION
I Sanjay Kumar, a student of Acharya School of Management PGDM (20112013) Batch declare that every part of the project report “Consumer Behaviour
of Whirlpool of India Ltd” that I have submitted, is original.
I was in regular contact with the nominated guide and contacted several times
fir discussing the project.

Date of Project Submission - ……………………..

Faculty’s comments

(Prof. Ravi Kumar)

Mr. Sanjay Kumar

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ACKNOWLEDGEMENT
I would like to heartily thanks to Miss. Malini, Department manager of
Reliance digital store (J.P Nager 2nd Phase Bangalore) that she allowed me
to pursue my internship in her retail store.

I also would like to express my heartiest gratitude to my project guide,
Mr.Rajveer Chauhan (Internship in-charge of Whirlpool of India Ltd) for
guiding me throughout the project. His constant guidance and support enabled
me to accomplish the project successfully.

My special thanks to extend to all the staffs of Reliance Digital for their
valuable guidance, regular encouragement and inspiration and valuable insight s
throughout the 45 days of internship.

Also I would like to thank my Dy. Director & Dean Prof. UK Ashoke Rao, he
gave me opportunity to do summer internship in Whirlpool of India Ltd.

Also I would like to thank my internship Guide Prof. Ravi Kumar for guiding
to undertake the project and finalizing the report.

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TABLE OF CONTENT

Serial
No.
1

Title

Page No.

Declaration

2

2

Acknowledgement

3

3

Executive Summary

5

4

7

5

Objective & Hypothesis of the
Study
Industry Profile

6

Company Profile

11

7

Mission & Vision

18

8

Whirlpool Leadership

28

9

Swot Analysis

31

10

Marketing Mix

34

11

Research Methodology

36

12

Types of Research Design

40

13

41

14

Results and
Discussions/Findings
Major Learning

15

Findings & Conclusions

51

16

Suggestions

52

17

Questionnaire

53

8

50

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EXECUTIVE SUMMARY

In my summer internship, I have done my project in Whirlpool of India Pvt.
Ltd. As I was asked to promotion for newly lunched Whirlpool refrigerator
(Neo- Ichill) in one of the popular retail sector “Reliance Digital (J.P Nagar 2 nd
Phase, Bangalore)” and the topic I have been provided to do research and make
report is “Consumer Behavior and competitive study of different brands Vs
Whirlpool in Refrigerator segment.

In India, consumer durable sector is rising with the increase income of public.
The durables section consists of refrigerator, washing machine, air conditioner,
Television, Microwave etc. The segment I had to research was on refrigerator.
In India, demand of home appliances increases day by day which in turn
increases the competition in refrigerator market as well. Refrigerator industry in
India examines the evolution of industry in India over the years. It examines the
structural changes in the industry after liberalization of the Indian economy.
Few companies like Kelvinator, Godrej, and Voltas were the major players in
the consumer durables market, accounting for no less than 90% of the market.
Then, after the liberalization, foreign players like LG, Samsung, Whirlpool,
Hitachi, and Panasonic came into the picture. In India, refrigerators have the 2 nd
highest aspirational value of all the consumers’ durables with the exception of
television. This account for the high growth of the refrigerator market.
Refrigerators are presently being manufactured in 2 basic designs, which are
referred as direct cool (DC) and frost free refrigerators (FF). The direct cool
segment continues to dominant the Indian refrigerator market compared to more
expensive frost free models.

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This research mainly provides the marketing strategy of whirlpool refrigerators
and the comparison with its strong competitor in refrigerator segment, LG,
Samsung. The report begins with the market overview section that gives an
insight into the consumer durable industry, its market size and segments. This is
followed by the overview of the domestic refrigerator market in India, which
includes the market size and growth, as well as the market share of major
players, with a brief description of the penetration level of various consumer
durable products. Distinction between various types of refrigerators on the basis
of their mechanism and features is also included in this section.

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Objectives & Hypothesis of the study

Objectives
 The main objective of the survey was to know Consumer Behavior and
competitive study of different brand in refrigerators segment.
 To find out which was the earlier brand owned by the people.
 To know the satisfaction level.
 To know the reason for buying Whirlpool refrigerators.
 To examine preference of consumer in selected brands (Whirlpool, LG,
and Videocon) of 200 Lts. Refrigerators on the basis of price, Brand
Name and Quality.
 To study the influence of various factors on the purchase of Refrigerators
o Price.
o Quality.
o Brand Awareness.
 To know about the marketing skills use while convincing the customers.
Hypothesis The after sales services provided by Whirlpool are far much better than
the competitors.
 The quality of refrigerators of Whirlpool is better than its competitors.
 Promotional activities of Whirlpool are less in number.
 In shop displays of Whirlpool’s product is less as compared to its
competitor.

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INDUSTRY PROFILE
Indian Refrigerator Market:
A whooping increase of around 45-50% in the consumer durables market in
India has seen the upsurge of many companies entering into this sector. With
liberalization fever in the air for last 7-8 years and the penetration of
refrigerators nearly 10% of the organized sector activities, the refrigerator
market is expected to grow at 20% per annum by the year 2002. Also 20.7% of
all households will own a refrigerator in the next three years against to current
10%.
As of now, the entire durables industry in India is in a state of flues. The full
impact of liberalization on the market is yet to be felt. The Rs. 1200 crore
refrigerators market in particular has been very interesting. The No. 1 position
of Kelvinator has been lost out to Godrej in the recent times. Godrej in
collaboration with the global leader GE has launched frost-free refrigerator.
Samsung, Daewoo has already started building up a base in the market. Not for
hind are the economical Videocon & Stylish BPL, who too have starting
attracting the niche segments. Thus, with the foray of MNC’s & the existing
brands’ redesigning their marketing strategies, the competition in the industry
has ready heated up.
How the market will respond to the launch of a large no. of world- class brands
in quick succession & the dramatic increase in the level of marketing activities
that it would entail, is major question for which there are no reliable answers.
The changes in the offing, affect the entire range of durables at the same time &
therefore, the priorities across a basket of durables will come into play.

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Whirlpool’s presence in India can be traced back to the year 1989, when it
established a joint venture with the TVS group to enter the Indian market. In
1995 Whirlpool took another step forward and the merger with Kelvinator of

India heralded its entry in the refrigeration business. In 1996 Whirlpool of India,
(WOI), came into being with the merger of washer and refrigerator businesses.
The tremendous potential of the India market can be gauged from the fact that
in this country there is a growing middle class whose consumption and living
standards today are comparable to those of western economies in the 1960s.
This places India on the threshold of phenomenal economic growth.
Whirlpool is trying to capture the market for its recent product range that is for
the Air-conditioners and Microwave ovens. This will help a lot in making
customers brand loyal as well as eating a lion’s share in the market.
RETAIL INDUSTRY
Indian Retail Industry is ranked among the ten largest retail markets in the
world. The attitudinal shift of the Indian consumer and the emergence of
organized retail formats have transformed the face of Retailing in India. With
the sign of reemergence of economic growth in India, consumer buying in retail
sector is being projected as a key opportunity area. As a consequence, Indian
corporate houses are refocusing its strategic perspective in retail marketing with
the idea to use resources optimally in order to create core competence and gain
competitive advantage.

The paper theme is to analyze finer strategic perspective for the retail sector in
India and suggest measures so that the corporate strategists could incorporate

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The same both qualitatively and quantitatively. Based upon the qualitative
judgment, a retail unit may be given an overall understanding about the
expected performance that can further be corroborated by quantitative analysis.

Retail trade has emerged as one of the largest industry contributing to
employment generation, revenue generation, increased turn over and many
more. Organized retailing is showing signs of enormous creativity. It. has
emerged as one of the most dynamic and fast paced industries with several
players entering the market.

As a matter of fact retailing in India is gradually edge its way towards
becoming the next boom industry. This paper provides detailed information
about the growth of retailing industry in India. It examines the growing
awareness and brand consciousness among people across different socioeconomic classes in India and how the urban and semi-urban retail markets are
witnessing significant growth. The paper includes growth of retail sector in
India, strategies, strength and opportunities of retail stores, retail format in
India, recent trends, and opportunities and challenges.
This paper concludes with the likely impact of the entry of global players into
the Indian retailing industry. It also highlights the challenges faced by the
industry in near future.
Major players in home appliance segments: 






Whirlpool
Samsung
LG
Godrej
Hitachi
Panasonic

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Company profile
Whirlpool Corporation is a global manufacturer and marketer of major home
appliances. The company manufactures in 13 countries and markets products in
approximately 170 countries under 11 major brand names such as Whirlpool,
Maytag Kitchen Aid, Roper, Estate, Bauknecht, Laden and Ignis.
Whirlpool Corporation entered India in the late ‘80’s and today has grown to
become one of the leading manufacturers and marketers of major home
appliances in India. Whirlpool Corporation entered into a joint venture
agreement with TVS group to produce automatic washers at a plant set up in
Pondicherry. A modest beginning was made to establish the Whirlpool brand in
India. In 1995 Whirlpool Corporation acquired Kelvinator of India Limited and
entered into the Refrigerator market in India. In late 1995 majority ownership
was gained in the TVS joint venture and the two entities were merged to form
Whirlpool of India Limited in 1996.

Whirlpool has the distinction of having ISO certification for all its facilities in
India. The refrigerator facility is located at Faridabad and manufactures a
complete range of direct cool refrigerators. With the infusion of technology,
machinery and streamlining the processes the capacity of this plant was
increased from 700,000 to 1,000,000 annually.
Whirlpool’s commitment to the Indian operation has resulted in the sting up of a
state-of-the-art facility for the manufacture of no frost refrigerators at
Ranjangaon near Pune. This facility has set the standards as one of the world’s
front-runners in environmentally sensitive eco-friendly manufacturing units.

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Whirlpool of India Ltd is a leading manufacturer of home appliances. The
company is primarily engaged in manufacturing and trading of Refrigerators,
Washing Machines, Air Conditioners, Microwave Ovens and small appliances
and caters to both domestic and international markets. They also provide
services in the area of product development, information technology,
accounting and procurement services to Whirlpool Corporation, USA and other
group companies. The company owns three state-of-the-art manufacturing
facilities at Faridabad, Pondicherry and Pune. Each of these manufacturing setups features an infrastructure that is witness of Whirlpool's commitment to
consumer interests and advanced technology. The company exports their
product to Russia and East European countries and exports small appliances to
the USA under the Kitchen Aid brand. Whirlpool of India Ltd was incorporated
in the year 1960 as Kelvinator of India Ltd. The company was formed in
collaboration with Kelvinator International Corporation, USA for the
manufacture of refrigerators compressors and allied products. In the year 1974,
they established a factory for the manufacture of electrical grade stampings in
collaboration with Thermal Refrigeration Ltd, UK. In the year 1975, the
company established a modern tool room for the manufacture of tools dies jigs
and fixtures. In the year 1976, they established a factory for the manufacture of
electromechanical cash registers in collaboration with Gross Cash Registers Ltd,
UK. Aravalli Svachalit Vahan Ltd, a sick unit at Alwar merged with the
company with effect from May 26, 1982. In the year 1985, the company entered
into a collaboration agreement with White Consolidated Industries Inc, USA for
the manufacture of washing machines. In the year 1986, they introduced a 300litre 2-door refrigerator for the lower and middle class consumers. In addition,
they introduced a single speed (VIP-1) and 3-speed kick-start (VIP-3) along
with two new models of cash registers. In the year 1993, the company entered

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into a tie-up with Whirlpool Corporation USA whereby Whirlpool contracted to
purchase from White Consolidated Industries Inc, USA. Also, Expo Machinery
Ltd, a wholly owned subsidiary merged with the company. In November 1995,
the Whirlpool brand was launched along with a new 310-litre refrigerator. In the
year 1996, Whirlpool Washing Machines Ltd merged with the Kelvinator India
Ltd and the company changed their name from Kelvinator of India Ltd to
Whirlpool of India Ltd. The Pondicherry washer unit introduced a re-styled
version of a fully Automatic Washing machine and a 3.5 Kg Twin-tub machine
under the Whirlpool brand. In the year 1997, the company signed a MoU with
Intrinsic Automation System Pvt. Ltd. for the hiving off their electronic cash
register division. They launched a venture consumer finance company in
association with Apple Industries. In the year 1998, the company launched
range of state of the art non-CFC frost-free refrigerators. In September 1998,
Whirlpool Financial India Pvt. Ltd. another group company of whirlpool
Corporation and a wholly owned subsidiary of Whirlpool Financial Mauritius
Ltd merged with the company. In the year 2000, the company expanded their
product range by launching Air conditioners and Microwave Ovens for the first
time. In the year 2001, they launched an indigenously developed Coffee
Grinder, Bag Dryer and Voltage Stabilizer. In the year 2002, they launched
Magic Cool series of Air conditioners, both Windows and Split type. During the
year 2003-04, the company won a major order for Manufacturing and Export of
Portable Home Appliances for the US market under the prestigious 'Kitchen
Aid' brand. The company converted a part of the Pondicherry facility into an
Export Oriented Unit to maximize the benefits and promote further exports. In
December 2003, they launched a new range of Fully Automatic Washing
Machines. In May 2004, the company launched new refrigerators in the 'ice
magic frost-free range'. They entered into a distribution tie up with Faber India

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during the year. In April 2005, the company launched 'Genius' a direct cool
refrigerator of 180 litters and premium range of window air-conditioners,
namely 'Magic Cool'. They also launched new Iceberg refrigerators during the
year. During the year 2005-06, the company opened four new call centers in B
class towns & non-metro cities to facilitate easy consumer access. In addition,
as a part of the process innovation initiative, 'Hotlines' were installed in key
trade partners? Locations to provide direct link to the call centers and service
partners. During the year 2006-07, the company launched two new refrigerators,
Whirlpool Delight in low capacity Frost Free and Fusion in high capacity Direct
Cool. In April 2006, the company launched a Washing Machine - Splash, which
is Fully Automatic Top Load. In September 2006, they launched Sparkle and
Verve in the Semi-Automatic Washing Machine segment and Sensation Classic
in Fully Automatic Front Load. In addition, they launched a Microwave (Jet
Chef) during the year. During the year 2007-08, the company introduced
Whirlpool Microwave Ovens with sixth sense technology. They also launched
Power Inverters during the year. In July 2007, the company introduced a stylish
and highly featured range of Built-In appliances, imported from Whirlpool
Europe. In January 2008, they introduced Whirlpool Purifies, a range of Water
Purifiers throughout the country. The company was also awarded the NDTV
Profit Business and Leadership Award 2008 for 'The Best Consumer Durables
Company' as an industry leader. In April-May 2008, the entire range in Direct
Cool was refreshed with the re-launch of Genius and Fusion brands. In October
2008, the Direct Cool range was augmented with the launch of Fusion 180-litre,
the first product in the entry level to have a frost control feature. In January
2009, they launched a completely new range of fully automatic top load and
front load washing machines, including the high capacity models, under White

Page | 14

Magic and Professional brands. The semi-automatic ranges were also
augmented with a 'plastic cabinet' washing machines.

Now in 2012 this company launched one new Fridge that is called Neo iChill
(Neo Series of Whirlpool).

Thus, in short history of the company can be stated as below:
 1908: The first Automatic washer was launched to public in late
1908, by 1900 Corporation, which in 1911 was renamed to Upton
Machine Company.
 1957: The Company was rechristened as ' The Whirlpool
Corporation.'

 1958: The Company moved out of country for the first time and
invested in Brazilian appliance market through purchase of equity
in Multibras S.A.
 1987: Whirlpool tied-up with Sundaram Clayton Ltd. of India to
form Whirlpool Ltd.
 1993: First time Whirlpool became the No.1 stand-alone brand in
UK, Ireland, Netherlands and Belgium

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 1995: Whirlpool Corp. acquired majority of stake in the TVS
Whirlpool Ltd. The DC manufacturing facility of Kelvinator India
was also acquired.
 1996: Whirlpool Washing Machines Ltd. and Kelvinator India Ltd.
merged together to form Whirlpool of India Ltd
 1999: Whirlpool of India crossed the milestone of 1 million sales
of appliances.
 2006: Whirlpool Corporation acquires Maytag and become the
World’s largest white goods company.
 2007: Received the 2007 Cause Marketing Golden Halo Award for
Business, America's highest honor for companies and organizations
that give back to the community through creative and effective
cause marketing campaigns
 2008: Whirlpool OF India” was awarded the NDTV Profit
Business & Leadership Award 2008 for “The Best Consumer
Durables Company

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 2009: Whirlpool was voted Product of the Year and received the
award for the 'Best Innovative Product' in the popular refrigerators
category. This was based on 40,000 consumers across 36 towns in
India voting Whirlpool Frost Free Refrigerators with 6th sense as
the Best Innovation in the Popular Refrigerator Category.
 2009: Named one of the “100 Best Corporate Citizens” by Chief
Responsibility Officer (formerly Business Ethics) magazine in
2009 and from 2000-2007
 2009: Hewitt ‘Best Employers in India’ 2009 Study.

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Mission Everyone, Passionately Creating Loyal Customers for Life. Whirlpool mission
defines the focus and what it does differently to create value. It’s a company of
people captivated with creating loyal customers. From every job, across every
contact, it builds unmatched customer loyalty…one customer at a time.

Vision (Every Home… Everywhere… with Pride, Passion and Performance)
This vision statement reinforces that every home is their domain; every
customer and customer activity is their opportunity. This vision fuels the
passion that they have for customers, pushing towards to provide innovative
solutions to uniquely meet their needs.

Pride... in work and each other
Passion... for creating unmatched customer loyalty for their brands
Performance... that excites and rewards global investors with superior returns.

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Whirlpool values:
The company’s values are constant and define the way that all Whirlpool
Corporation employees are expected to behave and conduct business
everywhere in the world.
Respect -: Trust one another as individuals and value the capabilities and
contributions of each person.
Integrity -: It conducts all aspects of business honourably – ever mindful of the
long-time Whirlpool Corporation belief that there is no right way to do a wrong
thing.
Diversity and Inclusion -: It maintains the broad diversity of Whirlpool people
and ideas. Diversity honours differences, while inclusion allows everyone to
contribute. Together, it creates value.
Teamwork -: It recognizes that pride results in working together to unleash
everyone’s potential, achieving exceptional results.
Spirit of Winning -: The Company promotes a Whirlpool culture that enables
individuals and teams to reach and take pride in extraordinary results and
further inspire the "Spirit of Winning" in everyone.

Innovation
Whirlpool Corporation firmly believes innovative thinking comes from
everyone, everywhere. Nearly 10 years ago, they launched a worldwide effort to
instill innovation as a core competency throughout the entire organization.
Since then, Whirlpool employees worldwide have participated in and
contributed to innovation-related activities resulting in new ideas, products and
services; thus delivering real value to consumers in ways never before seen in
either the company or the home appliance industry.

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Focused on embedding innovation as a core competency, Whirlpool
Corporation has made a long-standing investment to build this competency.
This investment includes redesigning business processes, training thousands of
employees, building an innovation management system and changing the
culture of the company.
Innovation attracts consumers to the wide portfolio of brands; Whirlpool
Corporation generated more than $2.5 billion of worldwide revenue from
product innovations—well exceeding projected targets for the year—and the
robust pipeline of $4.5 billion will allow for continued growth over time.
Promising entity of the company
Whirlpool Corporation is committed in building products that consumers
around the world can rely upon to meet their daily needs. This commitment to
quality begins in the concept stages and continues throughout the lifetime of the
appliance. The result of these efforts is a sustainable and competitive advantage
for the company.
Globally, Whirlpool Corporation manufactures products using principles of lean
manufacturing and operational excellence to ensure continuous improvement of
processes and to produce products that meet the company's high-quality
standards.
At Whirlpool, there is a constant focus on seeking out new and unique ways to
improve the function, performance and sustainability of their products.

The ring of promise circling the Whirlpool Corporation logo.
The ring around the whirlpool logo clearly shows how the company
encompasses with a promising nature in developing an individual customer
loyalty with its services.

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Building the Corporate Brand
The Whirlpool corporate brand has a history dating back to 1911. The company
has steadily expanded its product line, revenues, and global footprint for more
than five decades, evident by milestone returns – from $1 billion in 1968, to $2
billion by 1978, to $6 billion by 1989, to the $13 billion reported in 2004. The
corporate mission has also remained focused over time, demonstrated by
mantras such as “Unmatched customer loyalty – the core of our strategy” and
“Customer passion and lifelong relationships – the focus of our business.”
Product Range
The product range covers a wide variety of products from Refrigerators to Fabri
care; from Air Con to Water Purifiers and also Microwaves to UPS.
Following is the product range of Whirlpool Of India Limited.
 Refrigerators
 Washing Machines
 Dyers
 Microwave
 Water Purifiers

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Product range refrigerators:

MODEL NAME

FEATURES

MODEL

MODEL LOOK

CAPACITY
& MRP
. Makes ice
faster than
any other
ICEMAGIC –

190L Dlx:
Rs.10350

fridge
210L Dlx:

DIRECT COOL
. Multi-

Rs.11425

purpose
chiller

190L Elite:
Rs.11025

. External
control for

215L Elite:

easy

Rs.12050

defrosting

260L Elite:

.

Rs.13500

Contemporary
international
look

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220L Dlx:
. Makes ice
super quick
ICEMAGIC –

. Quick

Rs.14100
220L Elite:
Rs.15225

cooling

250L Dlx:

system

Rs.15900

. Digital

250L Elite:

convenience

Rs.16800

. Auto power

285L Elite:

save

Rs.18700

. Door open

350L Elite:

alarm

Rs.27000

. Quick serve

FROST FREE

380L Elite:
Rs.32000
420L Elite:
Rs.35500

. India’s
largest single
door fridge
310L
. Spacious
FLEXIGERATOR

interiors

– DIRECT COOL
. No CFC

Flexigerator:
Rs.1427516850

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. Flexible
design to
adjust your
changing
needs

. Stores 8
large bottles
in the door
MASTERPIECE –
DIRECT COOL

. Special
utility bin

170L
Masterpiece:
Rs.822510700

. Unique 7
year
protection
plan
. Stores 8
large bottles
in the door
170L

CORONA ELITEDIRECT COOL

. Special
utility bin
. Unique 7

Corona:
Rs.890011250

years
protection
plan

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Neo I chill

Spacious with
gel pack and
deep freeze

340l to 450l
Rs 27500 to
40000

technology.

Strategy Execution
The main strategy of the whirlpool is building strong brands, which has loyal
consumer base. Whirlpool is trying to build trustworthiness of the customer and
lead the customer life easier.
Whirlpool mainly does lot of work contributing in building unmatched levels of
loyalty to their brands through lifelong relationships with the customers.
Whirlpool is committed to create the brand value using various strategies such
as focusing on innovation, cost productivity, product quality and consumer
value. Whirlpool always had a continuous effort to improve its global operating
platform to ensure the position of the best-cost and best-quality appliance
manufacturer worldwide. The company is maintaining a strong supply chain to
better deliver products in trading customers and consumers. The benefits of
these actions today can be seen through a stronger network, increased
efficiencies and timely deliveries.
Now and then, even in the future the whirlpool focus is not simply on producing
products but more on the innovation and customer perception in creating them.
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Its major focus is always on maximizing the benefits of their worldwide
network of resources, which is unmatched in the industry. They are creating
better, more innovative products that improve consumers' lives—in and around
the home—each and every day. The company is always committed in being an
agile, global consumer products company that creates value through their
brands and innovations. With their compelling and growing brands, fuelled with
innovation, the company always attracts and retains loyal customers for life.

Segmentation
The Refrigerator industry for Whirlpool can be segmented on the basis of social
class and income group (demographic segmentation). Whirlpool has done the
market segmentation as given below.

Segment

Category

Sub-brand`

Characteristic

Low income

Economy

170L

Looking for

Masterpiece,

low price

rural class

170L Corona
Middle income
bracket of semi

Standard

Ice magic
Direct cool

Value for

urban
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190L & 210L

consumer

Upper middle

Premium

money

Ice magic

income bracket

Direct cool

of urban

(190L–

consumer

260L),

High quality

IcemagicFrost free
(220L-250L)
&
Flexigerator
Upper class

Super premium

285L- 420L

Unique

urban

ice magic-

attribute,

sophisticated

frost free

image.

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WHIRLPOOL LEADERSHIP

Jeff M. Fettig became Whirlpool Corporation's chairman and chief
executive officer, effective July 2004. He served as president and chief
operating officer and was first elected to the Whirlpool board of directors in
June 1999.

Fettig joined Whirlpool in 1981 as an operations associate. He held a
number of managerial positions in Operations, Sales, Planning and Product
Development before being promoted to vice president, Marketing, Kitchen Aid
Appliance Group in July 1989. In October 1990, he was named vice president,
marketing, for the Philips Whirlpool Appliance Group of Whirlpool Europe
B.V., the company's European subsidiary, and he was named vice president,
Group Marketing and Sales, North American Appliance Group, in October
1992. In 1994 he was named an executive vice president of Whirlpool and
president, Whirlpool Europe and Asia. Fettig also serves on the Board of
Directors

of

The

Dow

Chemical

Company.

A native of Tipton, Indiana, USA. Fettig holds a bachelor's degree in finance
and a Master of Business Administration from Indiana University.

Mr.RajJain, the Managing Director of Whirlpool of India Limited joined
Whirlpool in 1996 and has held various senior management positions within the
company. Prior to his current elevation

Page | 28

Mr. Raj was the Executive Director and was responsible for marketing,
sales, consumer services and logistics. He has also held the position of Vice
President? Sales and before which he headed the setting up of Whirlpools Frost
Business in India with an investment of over $80mn.

Prior to joining Whirlpool he had a stint of 16 yrs. with Unilever in India
and overseas in various assignments in Marketing, Sales and Project
Management. He also worked with Unilever in UK for a period of 3 years as a
part of marketing launch team on Pan European basis.
OTHERS MEMBER INCLUDES: Board of Directors
o Arvind Uppal (Chairman & Managing Director)
o Anil Berera
o Mr. Sanjiv Verma
o S.J. Scarff
o Anand Bhatia
o Mr. Vikas Singhal
Audit Committee
o Anand Bhatia, Chairman
o S.J. Scarff
o Anil Berera
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Directors Remuneration Committee
o S.J. Scarff
o Sanjiv Verma
o Investors Grievance Committee
o Arvind Uppal
o Mr. Anil Berera
o Share Transfer Committee
o Mr. Anil Berera
o Mr. Ravi Sabharwal
o Mr. Vinay Kumar

Page | 30

SWOT ANALYSIS
STRENGHTS:





Large experience executive team
Market leader
Large market share
Big brand name
Global operating platform

 Best trade position
WEAKNESS:  After product service
 Lack of strategy
 Reducing market share
OPPOURTUNITIES: 




To arrange capital
Provide attractive schemes
Growing Asian market
Launching new products

 Refrigerator category growing at a larger rate
THREATS:  Samsung, LG and other are the competitors
 Reducing market share
 Increase raw material cost
 Distributors getting angry and leaving the network
RECOMMENDATIONS:  Motivate distribution channels
 Needs more aggressive and competitive promotions
 Healthy environment between top executives
 Launch sideways doors refrigerators

Page | 31

SCOPE
In terms of Purchasing Power Parity (PPP), India is the 4th largest economy in
the world and is expected to overtake Japan in the near future to become the 3rd
largest. Indian consumer goods market is expected to reach $400 billion by
2010. India has the youngest population amongst.

The major countries. There are a lot of young people in India in different
income categories. Nearly two- thirds of its population is below the age of 35,
and nearly 50 % is below 25. There are 56million people in middle class, who
are earning US$ 4,400- US$ 21,800 a year. And there are 6million rich
households in India. The upper-middle and high-income households in urban
areas are expected to grow to 38.2 million in 2007 as against 14.6 million in
2000.Rural sector offers huge scope for consumer durables industry, as it
accounts for 70% of the Indian population. Rural areas have the penetration
level of only 2% and 0.5% for refrigerators and washing machines respectively.
The urban market and the rural market are growing at the annual rates of 7%10%and 25% respectively. The rural market is growing faster than the urban
market. The urban market has now largely become a product replacement
market. The bottom line is that Indian market is changing rapidly and is
showing unprecedented business opportunity.

Page | 32

TARGETING

Whirlpool of India has intelligently targeted level, middle and upper class
income groups, as this is the group looking for better products and willing to
pay a little premium for international quality products.
Whirlpool believed that with rising income and increasing westernization, it
could upgrade the refrigerator market and consumers could be willing to pay a
few rupees more for a quality product. Whirlpool realized that 85% of the
Refrigerator market comprised and reliability played a major role in their
purchasing decision.
Positioning
In the refrigerator market, which is heavily cluttered both in terms of brand
varieties and corresponding messages, it is very difficult to differentiate and
position a product as mundane in the mind of consumers to show him to become
a loyal user.
Whirlpool of India positioned itself as a company of global structure, but one,
which listened carefully to its local customer. For instance, it showed an
engineer of foreign origin. Explaining how the compressor was modified to
stand up to high voltage fluctuations based on feedback from Indian
housewives.

Page | 33

MARKETING MIX
Product
Product is anything that can be offered to a market for attention, acquisition,
and use of consumption that might satisfy a need of want. The product can be
look at five levels.

The core product is the essential service that the buyer is buying. In this case it
is the cooling effect.

The Generic product is a refrigerator the expected product is a set of attributer
that the buyer expected to get. In this case efficiency of cooling and chilling is
important.

Augmented product is that what is provided by the seller beyond the expected
product attributer lie those attributes that seek to distinguish the products from
other in its category, Whirlpool refrigerator is put across as a complete
refrigerator for Indian condition. It provides long life HTC compressor which is
specially designed to fight voltage fluctuations.

Potential Product refers a set of possible new features that might eventually be
added to the product being offered.
Refrigerators as a product does not offer much and cope beyond changes in
design and materials but whirlpool refrigerator provide lot of unique feature

Page | 34

to make it potential product like. Adjustable door trims, fully flexible door
shelves, clean back or external condenser, Fold-back shelf etc.
Creation of Product The whirlpool range of refrigerator are designed and
manufactured with utmost care, to ensure to give trouble free performance for
years. The whirlpool provides more flexibility than any other refrigerator and
provides complete freedom to create space as per need.

Price
Whirlpool has followed a pricing strategy so as to appeal to the mass-market
buyers.
Whirlpool believed that with rising incomes and increasing westernization. It
could upgrade the refrigerator market and consumers will be willing to pay a
little more for a quality product.
Hence prices are kept 3% more than the nearest competitor, Godrej, refrigerator
i.e. the premium for a quality product.

Place
Whirlpool firmly believes in taking its values and philosophy into its supply
chain. The company’s commitment extends to encompass its extensive network
of distributors and dealers who are looked upon as partners in growth, and an
integral part of the whirlpool family
The products are transferred from factory to carrying and forwarding agents
(C& FAs). The C& FAs dispatch the goods to direct dealers or distributors who
further supply the retailer.

Page | 35

Research Methodology
Research:Research in common refers to a search for knowledge.
Research can also be defined as a specific and systematic search for pertinent
information on a specific topic. In fact, research is an art of scientific
investigation. The advanced leaner’s Dictionary of current English lays down
the meaning of research as “a careful investigation or inquiry especially through
search for new facts in any branch of knowledge”. Marketing research is the
systematic design, collection, Analysis and reporting of data and findings
relevant to a specific marketing situation or problem”.
Research Methodology:Research Methodology may be understood as the science of study how research
is done significantly and scientifically.
The objective of this section is to describe the research procedure and methods
that have been adopted for the achievement if the project objectives. The
research methodology adopted for the study, which is intended to examine the
consumer Behaviour in selected brand (Whirlpool, LG, and Videocon) of 200
Lts Refrigerators on the basis of price, Brand Name, Quality & after sales
services in the Region of J.P Nagar 2nd Phase (Bangalore).
 Nature of Research – Quantitative & Qualitative
 Data collection – Primary data & Secondary data
 Sample size – 100 customers of Refrigerator at Reliance Digital, J.P
Nagar Bangalore
 Sampling Area - Reliance Digital, J.P Nagar Bangalore.
Page | 36

Data Collection:Data collection includes the type of data & the source of data that I used while
doing a project.
The data is collected from both Primary data and secondary data sources.
Primary Data:- Primary data is the data which is new. I use the primary source
to

collect

the

primary

data.

Primary

source

include

personal

meeting/Interviewing methods. As primary sources of data I have filled the
Questionnaires from different customers who were using different brands of
Refrigerators of 200 Lts (Whirlpool, LG, and Videocon).
Under my research following are the ways through which I derived the
primary data:  Interview to the dealers.
 Interview to the customers.
 Telephonic interview.

Questionnaire:A Questionnaire is prepared to examine the Behaviour in selected brand
(Whirlpool, LG, and Videocon) of 200 Litters Refrigerators. The language of
Questionnaires should be so simple and Easy so that everyone can answer
easily. These questions have helped me to study the Behaviour of consumers.
Secondary Data:The data which is already in existence is known as secondary data. Secondary
sources include websites, Brochures of the respective companies, various papers
and magazines published from time to time.
Page | 37

Under my research secondary data were as follows:  Internet.
 Monthly Magazines.
 Whirlpool official website.
 Whirlpool journals.
 Customer Database provided by whirlpool.
Research design
A plan for collecting and utilizing data so that desired information can be
obtained with sufficient precision or so that a hypothesis can be tested properly.
This is research design. It could be also said as a framework or plan for a study
that guides the collection and analysis of the data.
Sampling Design:It includes size of sample & technique that I used for selecting the different
items from the sample. A sample design is a definite plan for obtaining a sample
from a given population. It refers to the technique that the researcher adopts in
selecting items for the sample. It should be ensured in the sampling process
itself that the sample selected is representative of the population.
Sample size:By sample size we mean that the number of people to be selected from the
population to make a sample. A sample size should be sufficient enough that
can serve our purpose. It should have Efficiency, Flexibility, and Reliability.
My sample size is of 100 people of JP NAGAR (Reliance Digital) those are
using the refrigerator.
Sample Unit:Sample unit is individual customer of JP Nagar (Bangalore) whose Preference
has to be examined.
Page | 38

Sample technique: This is the type of technique that one uses to select the items for the sample.
The sampling method that I have used is JUDGEMENTAL SAMPLING.
Which is a type of NON PROBABILISTIC SAMPLING?
ANALYTICAL TOOL:The tool that I have applied on my research report is Multidimensional scaling
& Correlation analysis.
Correlation Analysis: Correlation analysis refers to the techniques used in measuring the relationship
between the variables.
According to Simpson and Kafka “correlation analysis deals with the
association between two or more variables”.
It helps in determining the degree of relationship between two or more variables
but it does not tell us anything about cause and effect relationship.
Types: - Correlation is classified in several different ways. Three of the most
important ways are
 Positive or negative
 Simple partial or multiple
 Linear or non-linear
There are two types of variables
 Static- Consumer preference
 Dynamic- Brand Name, Price, Quality, after sales Services.

Page | 39

TYPES OF RESEARCH DESIGN
Exploratory Research
Designed to generate basic knowledge, clarify relevant issues uncover
variables associated with a problem, uncover information needs, and/or define
alternatives for addressing research objectives.
A very flexible, open-ended process.

Descriptive Research
Designed to provide further insight into the research problem by describing the
variables of interest.
Can be used for profiling, defining, segmentation, estimating, predicting, and
examining associative relationships.
Casual Research
Designed to provide information on potential cause-and-effect relationships.
Most practical in marketing to talk about associations or impact of one variable
on another.
This research, which was of ‘Competitive Analysis of Companies, competing
whirlpool’, was totally of exploratory in nature.

Page | 40

Results and Discussions/Findings

Q1. Which Brand of Refrigerator do you have?

No. of Respondents
100

Whirlpool
46

Videocon
7%

LG
38

Videocon
7

Others
9

Others
9%
Whirlpool
46%

LG
38%

Interpretation: From my survey, I have found that LG was having major
market share in items share in terms of Refrigerator as comparison to other
brands. There were 46% of the people those were having LG Refrigerators.

Page | 41

Q2. How did you come to know about your brand /model
of Refrigerator?

No. of Respondents
100

Newspaper
38

Magazines
16

Others
19%

Through
Friends
27%

Through
Friends
27

Others
19

Newspaper
38%

Magazines
16%

Interpretation: From my survey, I have found that Newspapers played a major
role in making aware to the customers about the refrigerator. The next major
role is played by the friends. However, only 16% 0f customers said that they
came to know about the product through magazines.

Page | 42

Q3. Which factor influence you more in your Buying
Decision?

No. of Respondents
100

Brand image
25

price
40

Quality
24

After Sales
Service
11

40
30
20

40
25

24

10

11

0
Brand image

price

Quality

After Sales
Service

Series1

Interpretation:

In factors that were responsible for choosing a particular

product was found to be Price, Brand name & Quality. There were 40% of the
people those said that price has influenced them more while buying.

Page | 43

Q4. Who influenced you more in your buying decision?
No. of Respondents
100

Self
15

21%

Friends & Relatives
26

Family
Members
38

Others
21

15%
Self
26%

38%

Friends & Relatives
Family Members
Others

Interpretation: From my survey, it is very much clear that there is a major role
of Family in the buying decision of the people. The next major role is played by
the Friends.

Page | 44

Q5. Awareness about Refrigerator brand available in
market.

No. of Respondents
100

Fully Aware
31

Unaware
41%

Less Aware
28

Unaware
41

Fully Aware
31%

Less Aware
28%

INTERPRETATION: from my survey, it is very much clear that there were
majority of the people those were not aware of the different refrigerator brands
available in the market. There were 40% of the people those were not aware.

Page | 45

Q6. What did you perceive first while buying a
Refrigerator?

No. of Respondents
100

Brand Image
21

Price
35

Quality
28

After Sales Service
7

Style & Looks
9

40
30
20
10
0

Series1
Brand
Image

Price

Quality

Series1
After
Sales
Service

Style &
Looks

Interpretation: The factor that were responsible for choosing a particular brand
of refrigerator was found to be price, Brand Name & Quality. There were 36%
of the people those said that price has influenced them more while buying a
Refrigerator.

Page | 46

Q7. Are you satisfied with its overall performance?

No. of
Respondents
100

Fully
Satisfied
12

Satisfied
43

Undecided
26

Less Satisfied
13

Poor
6

45
40
35

30
25

Series1

20
15
10
5
0
Fully
Satisfied

Satisfied Undecided

Less
Satisfied

Poor

INTERPRETATION: on asking that whether the customers were satisfied
with the overall performance of the refrigerator, only about 13% reported that
they were less satisfied whereas about 43% said they are satisfied with the
performance of the refrigerator.

Page | 47

Q8. According to you which company gives the most
beneficial schemes to the Customers?

No. of Respondents
100

Whirlpool
31

LG
38

Others
17%

Videocon
14

Others
17

Whirlpool
31%

Videocon
14%

LG
38%

INTERPRETATION:

on asking that which company provides the most

beneficial schemes to the customer, only about 17% of the people were in the
favour of other companies. 38% of the people were in the favour of LG.

Page | 48

Q9. If any of other brands of Refrigerator offers you any
attractive scheme, will you go for that brand?

No. of Respondents
100

Yes
37

NO
63

37%

Yes
63%

INTERPRETATION:

NO

it is clearly seen that if a company offers more

attractive schemes then only 37% will go for that brand & 63% of the people
will not go for that brand.

Page | 49

Major learning
My Stint with the company has been a learning process; not only about different
brands and companies manufacturing refrigerators but also relationship between
locations based demographics, lifestyle and habits of consumers.

There are many companies engaged in manufacturing, production and sale of
refrigerators.

In view of my interaction with the customers and the dealers, I have come to
know about the marketing, sales and promotion strategies of Whirlpool and also
its competitors mainly Samsung and LG.

Observations are as follows:  Whirlpool, Samsung and LG are the leading brands in refrigerators
whereas LG giving the neck-to-neck competition to Whirlpool.
 I have come to learn various strategies both the leading refrigerators
follow to increase their sales.
 I have also come to know about what skills require to sale the product in
the market and also the customer expectations from the product and brand
as well.
 I have come to know about Consumer Behavior and competitive study
of different brand in Refrigerator segment of Whirlpool of India Ltd.

Page | 50

FINDINGS AND CONCLUSION
Findings
 The promotional activities done by Whirlpool are medium
 The in shop displays of Whirlpool products are very good in number as
compared to its competitors.
 As survey stated the Whirlpool customer never switches over to any other
company’s product.
 Whirlpool is not lagging behind of its competitors in Indian consumer
durables market.
 Whirlpool, being a no.1 company is liked by people.
Conclusion
 After being a part of Whirlpool (India) Pvt. Ltd. For two months as
summer trainee, I came to following conclusions
 Whirlpool being placed as 1st best consumer durable company globally as
well as in the Indian consumer durables market.
 The biggest positive point of Whirlpool is their innovativeness in the
products and it is highly liked by Indian public.
 Whirlpool products are liked by large numbers of customers who are
brand loyal.

Page | 51

Suggestions
On the basis of the survey conducted by me, following suggestions
are to be considered:
 The companies should work on promotional efforts to increase
the awareness of the consumers.
 The Company

should

contact personally

to

send
the

their

representatives

customers

to

avoid

to
any

communication problems.
 The Company should give more Attention to all the segments.
 The companies should come up with some attractive schemes to
attract more & more customers.
 Proper advertisement should be given

in order

to

remind

the customers about their schemes and other benefits.
 People generally consider price While purchasing a refrigerator
to company should emphasize on competitive prices.
 Promotional activities should be increased and should be more
efficient.

Page | 52

Questionnaire
Consumer Behaviour in selected brands (Whirlpool, Videocon, and LG etc.) of
200 litters refrigerators on the basis of Price, Brand name, Quality & After sales
Services”.
Name: - _____________________

Gender: - ______

Place: - _____________________

Age: -

Occupation: - __________________

Income: - ______

______

1. Do you have Refrigerator?
o Yes -------o No -------2. Which brand of Refrigerator do you have?
o Whirlpool ------o LG --------------o Videocon ------o Others ----------3. What is the price of your Refrigerator?
---------------------------------------------4. How long do you own this Refrigerator?
o Less than six month ----------o Six month ---------------------o One year ---------------------o Two year --------------------o More than 2 years

---------

Page | 53

5. How did you come to know about your brand/Model of Refrigerator?
o Newspaper -----------o Magazines -----------o Through Friends -----o Others ----------------6. Which factor influence you’re more in your buying decision?
o Brand Image ----------o Price ---------------------o Quality ------------------o After Sales Service -----7. Who influenced you more in your buying decision?
o Self ---------------------------o Friends/Relatives -----------o Family Members ------------o Others ------------------------8. Awareness about Refrigerator brand available in the market—
o Fully aware ---------o Less aware ---------o Unaware

----------

9. What did you perceive first while buying a Refrigerator?
o Brand Image -------------o Price -----------------------o Quality --------------------o After sales service ------o Style & Looks ------------

Page | 54

10. Are you satisfied with its overall performance?
o Fully Satisfied -----------o Satisfied ------------------o Undecided ---------------o Less Satisfied -----------o Poor -----------------------

11. According to you which company gives the most beneficial schemes
to the customers?
o Whirlpool --------------o LG ----------------------o Videocon --------------o Others -------------------

12.What are your views about brand image of following brands of
Refrigerator?
Very good

Good

Average

Bad

Worst

Whirlpool
LG
Videocon
Others

13.What are your views about Price of following brands of
Refrigerator?
Very good

High

Average

Low

Very Low

Whirlpool
LG
Videocon
Others

Page | 55

14.What are your views about Quality of following brands of
Refrigerator?

Very good

Good

Average

Bad

Worst

Whirlpool
LG
Videocon
Others

15.If any of other brands of Refrigerator offers you any attractive
scheme, will you go for that brand?
o Yes -------o No ---------

16.Suggestion/Problems, if any
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Customer’s Signature

Researcher’s Signature

-----------------------------

----Sanjay Kumar--------

Page | 56

References
1. http://www.whirlpoolindia.com/media.aspx? Id=25
2. http://www.whirlpool.com/Kitchen-1/Kitchen_Refrigeration-2/102110022/
3.http://www.4psbusinessandmarketing.com/26032009/storyd.asp?
Sid=2661&pageno=2
4.http://www.moneycontrol.com/news_html_files/news_attachment/2010/Whirl
pool.pdf
5. http://www.whirlpool.com/in/consumer/home-appliances/refrigerator
6. Whirlpool brochure

Thank You
Sanjay Kumar
Acharya School of Management
Bangalore

Page | 57

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