A STUDY ON

CUSTOMER PERCEPTION

A project report submitted to JNTUK Kakinada,

In the partial fulfillment for the award of the degree Of

MASTER OF BUSINESS ADMINISTRATION

Submitted by

SARANALAYAM SAI SREE

Regd.No:15L31E0072

Under the esteemed Guidance of

Mr. V.SIVAJEE
MBA,.
Assistant professor

DEPARTMENT OF MANAGEMENT STUDIES

VIGNAN’S INSTITUTE OF INFORMATION TECHNOLOGY
(Approved By AICTE and Affiliated to JNTUK University, Kakinada)
Duvvada, Visakhapatnam-46
2015-17
 DECLARATION

I hereby declare that this project work entitled “A STUDY ON CUSTOMER

PERCEPTION IN PARLE AGRO, CHENNAI” submitted by me to the

JNTUK University, Kakinada, in partial fulfillment for the award of Degree of

MBA is entirely based on my own study is being submitted for the first time and

it has not been submitted to any other university or institution for any degree.

Date: SARANALAYAM SAI SREE

Place: (15L31E0072)
 VIGNAN’ S INSTITUTE OF INFORMATION TECHNOLOGY

DEPARTMENT OF MANAGEMENT STUDIES

(Approved by AICTE and Affiliated JNT University, Kakinada)
Duvvada, Visakhapatnam-46

Date:

CERTIFICATE

This is to certify that the project report “A STUDY ON CUSTOMER

PERCEPTION IN PARLE AGRO CHENNAI” is being submitted by

SARANALAYAM SAI SREE in partial fulfillment for the award of the Degree

of MBA has been carried out by him under my guidance and supervision.

Mrs. B. Chandra Mr. V. Sivajee

Head of the Department Project Guide
Dept. of Management Studies Dept. of Management Studies
VIIT, VISAKHAPATNAM VIIT, VISAKHAPATNAM

External Examiner
 ACKNOWLEDGEMENT
Apart from the efforts of me, the success of this project depends largely on the encouragement

and guidelines of many others. I take this opportunity to express my gratitude to the concerned that have

been instrumental in the successful completion of this project.

I extended my sincere gratitude to my project guide Mr. V.Sivajee for his consistent

encouragement, benevolent criticism, inseparable suggestions which were the main reasons to bring the

work to present shape.

I wish to convey my sincere regards to esteem Head of the Department Mrs. B. Chandra

for giving me the permission to carry out the project work.

I am also thankful to our beloved principal Prof.Ch. Narasimham for giving me the

permission to carry out the project work.

I am immensely thankful to HR manager Mr. S.kamalnath who has guided me at every

stage in preparing and finishing this project with their valuable suggestions.

Finally I would like to express my deep sense of gratitude to my beloved parents and my family members

for their love and blessings to complete the project successfully.

SARANALAYAM SAI SREE

 INDEX

CHAPTER Content PAGE NO

NO
I INTRODUCTION
Introduction 1-2

Need for the study 3

Objectives of study 4

Scope of the study 5

Methodology of the study 6-9

Limitations of the study 10

II ORGANISATION PROFILE
Industry profile 11-21

Company profile 22-33

III THEROTICAL FRAMEWORK 34-51

IV DATA ANALYSIS AND 52-71

INTERPRETATION
V FINDINGS ,SUGGESTION &
CONCLUSION
Findings 72-73

Suggestions 74

Conclusion 75

Bibliography
 CHAPTER – 1

INTRODUCTION

NEED FOR THE STUDY

OBJECTIVES OF THE STUDY

SCOPE OF THE STUDY

RESEARCH METHODOLOGY

LIMITATIONS
 INTRODUCTION

Customer Perception refers to the process by which a customer selects,

organizes, and interprets information/stimuli inputs to create a meaningful picture
of the brand or the product.

In today’s globalising economy competition is getting more and more

fierce. That means it becomes more difficult for products and services to
differentiate themselves from other offerings than ever before. Not only is the
number of competitive offerings rising due to globalisation of production,
sourcing, logistics and access to information. Many products and services face
new competition from substitutes and form completely new offerings or bundles
from industry outsiders.

Since product differences are closed at an increasing speed and many

companies try to win the battle for customers by price reductions, products and
services tend to become commodities.

On the other hand, customer behaviour becomes more hybrids. On one

hand, customers are increasingly price sensitive – searching for bargains at
marketplaces like e-Bay or buying their groceries at discount markets. On the
other hand they enjoy branded and luxury goods. One and the same person may
plan a weekend trip with a no-frills airline and a stay at a five-star-hotel.

In the result, customers have a wider choice of often less distinguishable

products and they are much better informed. For many offerings the balance of
power shifts towards the customer needs. Customers are widely aware of their
greater power, which raises their expectations on how companies should care for
them.

Bringing it all together, it becomes ever more difficult to differentiate a

product or service by traditional categories like price, quality, functionality etc.

1
 In this situation the development of a strong relationship between
customers and a company could likely prove to be a significant opportunity for
competitive advantage.

This relationship is not longer based on features like price and quality
alone. Today it is more the perceived experience a customer makes in his various
interactions with a company (e.g. how fast, easy, efficient and reliable the process
is) that can make or break the relationship.

Marketing concept that encompasses a customer's impression, awareness

and/or consciousness about a company or its offerings. Customer perception is
typically affected by advertising, reviews, public relations, social media, personal
experiences and other channels.

2
 NEED FOR THE STUDY

In a present Global Economy, The customer’s opinions are changing from

day to day due to lot of competition among companies of non carbonated
beverages. Now it is required to know and retain the customers by understanding
the needs and preferences. It is useful to create awareness, impression and
consciousness about a product.

This research is to carry out the study that how much level of awareness
was present in the customers about parle agro products.

It leads to get competitive advantage and create a positive attitude among

customers of a company. The changes in buying behaviour among customers will
result in positioning of a product in a market. This study gives valuable
information about customer perception towards parle agro products. This study
aims to better understand of customer need and desires.

By learning about the customer tastes, preferences and their expectations

about the products the company can made changes or update its products based on
their tastes and preferences. It helps to maintain good relationship with customers
and helps to understand customer in depth.

To build successful channel relationship to integrate sales. It helps for market

expansion and and increase market share and prof

3
 OBJECTIVES OF THE STUDY

 To analyze the perception of customers towards Parle agro products.

 To know the customer taste, beliefs, attitude and preferences of a Parle agro
brands.
 To measure the expectations of customers about the Products and to analyze the
position of the Parle agro in the minds of the customers.
 To measure the awareness about parle agro Products to improve the product line .
 To know the preference of the customer about the product and to find out the
interest of the customers towards parle agro.
 To know what factors affect consumer perception and how they choose their
beverages.
 To know the satisfaction level of customer and to analyze the loyalty status of the
customers .
 To know the customer opinion towards products and what they are expecting from
parle agro.
 To offer suggestions necessary if any to improve existing condition.

4
 SCOPE OF THE STUDY

 The study provides necessary information to the parle agro beverages about
consumer perception on their products. .

 This study provides a frame of mind of people, what are the expectations of
customer and up to how much level these expectations met.

 It deals with various aspects of the customer in regard to the requirements that
will enable to improve utilisation of the products.

 . It is useful to find out different behaviour of the customers and their

perception.

 This study will be helpful for retailers and companies so that they can
understand the consumer behaviour and can satisfy the consumer on more better
manner.

 The study is done in region of Tirupathi with the sample size of 120 members.

5
 RESEARCH METHODOLOGY

Research is a systematic design, collection, analysis and reporting of data

and findings relevant to specific situation or problem. The objective of the study is
to describe the research procedure and methods that have been adopted for
achievement of the project objectives.

RESEARCH PROCESS:

It consists of series of action necessary to effectively carry out research and

desired sequence of these steps.

 Defining the problem and research objectives

 Develop the research plan
 Collect the information
 Analyze the information
 Present the findings
 Make the decision

RESEARCH DESIGN: descriptive research

A research design is the arrangement of conditions for collection and

analysis of data in a manner that aims to combine relevance to the research
purpose with economy in procedure.

6
DATA SOURCES:

To perform the research study by researcher, the sources of data obtained are:

a. Primary Data:
Primary data is the data , which is collected for the first time by
investigator through questionnaire and interviews . a part from questionnaires
personal observation has given inputs to the assess the attitude of the
employees towards the organization .
Questionnaire was prepared according to the needs and priorities of the
study relating to the company.

b. Secondary Data:
Secondary data is the data collected from secondary sources which
includes:
 Internet
 Journals
 Company books
 Websites
 Previous records
 Manuals

RESEARCH APPROACHES:

Survey Research:
Surveys are best suited for descriptive research. Companies undertake
surveys to learn about customer knowledge, beliefs, preferences and satisfaction.
It requires development of a survey instrument, usually a questionnaire, which the
respondents are asked to fill up.

7
Research Instrument:
Questionnaire:

This is one of the data collection tool. It is quite popular particularly in case
of big enquires. It is being adopted by private individuals, research worker, private
and public organization and even government. A questionnaire consists of set of
questions presented to respondents. Because of its flexibility and it is issued to
persons concerned with a request to answer the questions and return the
questionnaire.

The researcher used the structured questionnaire in which the questions are:

a. Open ended questions

b. Close ended questions

a. Open ended questions:

It allows respondents to answer their own words and often reveal more
about the how people think.

b. Close- ended questions:

It specifies all possible answers and provides answers to interpret and
tabulate.

SAMPLING PROCEDURE:

Sampling is simply the process of learning about population on the basis of

sample
drawn from it. In this technique, instead of every unit of universe only a part of
the universe is studied and conclusion is drawn on the basis of entire universe.

8
 SAMPLING DESIGN:

Present perception and expectation from this brand. The researcher

selected the customers of Parle agro at Tirupati for this research study.

Sampling Plan:

 Sampling unit: Sampling unit includes all the customers of Parle agro products
present in Tirupati.
 Sampling size: sample size consists of 120 customers.
 Sampling Method: For collecting information from customers convenience
sampling method is used which is under non-probabilistic sampling method.

DATA ANALYSIS TOOLS:

Data analysis was conducted on the collected primary data by using statistical
techniques and data is presented with the help of pre-diagrams, bar charts and
tables.

Percentage Analysis:

By percentage method we mean the total number of respondents divided by

total sample size and then multiplied by 100. Percentage is used in making
comparison between two or more series of data.

The percentage analysis is calculated by using the following formula.

Percentage= No of respondents/Total respondents

9
 LIMITATIONS OF THE STUDY

 The survey was conducted within the limits of Tirupati and the finding arrived
cannot be generalized for the entire state.

 The survey was conducted within the period of 45 days. So the respondents will
be less.

 Since the method of sampling is non probability convenience sampling. The

research results may be an accurate.

 The customer tastes, preferences, and expectations change day by day and these
generalizations will not be suitable in all the times.

 Respondent may give biased answer due to lack of information and awareness
about the brand.

 Findings of the study are based on the assumption that the respondents have given
correct information.

10
 CHAPTER-2

INDUSTRY PROFILE

COMPANY PROFILE
 INDUSTRY PROFILE

INTRODUCTION:

The beverages industry refers to the industry that produces drinks, in

particular ready to drink beverages. Beverage production can vary greatly
depending on the beverage being made. that bottling facilities differ in the
types of bottling lines they operate and the types of products they can run.
Other bits of required information include the knowledge of if said beverage is
canned or bottled, hot-fill, cold-fill and natural or conventional. Innovations in
the beverage industry, catalysed by requests for non-alcoholic beverages,
includes.

Soft Drink:

A soft drink (also called soda, pop, coke, soda pop, fizzy drink, seltzer, mineral, Lolly
water or carbonated beverage) is a beverage that typically contains carbonated water,
a sweetener and flavouring. The sweetener may be sugar, high-fructose corn syrup,
fruit juice, sugar substitutes (in the case of diet drinks) or some combination of these.
Soft drinks may also contain caffeine, colourings, preservatives and other ingredients.

Soft drinks are called "soft" in contrast to "hard drinks" (alcoholic beverages).
Small amounts of alcohol may be present in a soft drink, but the alcohol
content must be less than 0.5% of the total volume. if the drink is to be
considered non-alcoholic. Fruit juice, tea and other such non-alcoholic
beverages are technically soft drinks by this definition but are not generally
referred to as such.

Soft drinks may be served chilled or at room temperature, and some, such as
Dr Pepper, can be served warm.

11
The History of Soft Drink

The history of soft drinks can be traced back to ancient times. Ancient societies believed that
bathing in natural springs and drinking mineral waters could cure diseases. People often
confuse soft drinks as just sodas. However, any beverage that does not have alcohol or dairy
products is considered to be a soft drink. They include bottled waters, iced tea, fruit punch
and soda.

The sherbet is most likely the earliest soft drink. Developed in the Near East during the
medieval times, these juices were made of crushed herbs, fruits and flowers. These sherbets
are totally different from the frozen ones we enjoy today.

The first naturally carbonated drink appeared around 1265 in England. Dandelion and
Burdock was very popular during that time.

Non-carbonated soft drinks were first marketed in the West during the 17th century. The
drinks were made of honey, lemon and water. Marketer carried barrels of this drink on their
backs and sold them to the people in towns.

In the 18th century carbonated drinks were introduced to the world. Wanting to replicate
naturally carbonated water "Joseph Priestly discovered a method of infusing water with
carbon dioxide to make carbonated water" With its pleasant taste, carbonated water became
very popular. Later on in the century, flavours were introduced to the water.

In the early 1800s, soda water was popular in the United States. Using a Nooth
apparatus, Benjamin Silliman sold soda by dispensing them in cups and glasses. This was
the birth of the soda fountain. Since this was a major success, large factories were producing
soda fountains be the 1830s. Since mineral water was and still is a healthy beverage,
Pharmacists set about to improve the taste.

They added herbs and used "birch bark, dandelion, sarsaparilla, fruit extracts and other
substances".

12
Soft drinks in India

The 50-bn-rupee soft drink industry is growing now at 6 to 7% annually. In India, Coke
and Pepsi have a combined market share of around 95% directly or through franchisees.
Campa Cola has a 1% share, and the rest is divided among local players. Industry
watchers say, fake products also account for a good share of the balance. There are
about 110 soft drink producing units (60% being owned by Indian bottlers) in the
country, employing about 125,000 people. There are two distinct segments of the
market, cola and non-cola drinks. The cola segment claims a share of 62%, while the
non-cola segment includes soda, clear lime, cloudy lime and drinks with orange and
mango flavours.

The per capita consumption of soft drinks in India is around 5 to 6 bottles (same as
Nepal's) compared to Pakistan's 17 bottles, Sri Lanka's 21, Thailand's 73, the
Philippines 173 and Mexico 605. The industry contributes over Rs 12 bn to the
exchequer and exports goods worth Rs 2 bn. It also supports growth of industries like
glass, refrigeration, transportation, paper and sugar. The Department of Food Processing
Industries had stipulated that 'contains-no-fruit-juice' labels be pasted on returnable
glass bottles. About 85% of the soft drinks are currently sold in returnable bottles. There
was a floating stock of about 1000 mn bottles valued at Rs 6 bn. If the industry were to
abide by the new guidelines, it would have to invest in new bottles, resulting in a cost
outgo of Rs 5 bn. Neither Coke nor Pepsi is in a position to invest such a large amount.

Around 400,000 tonnes of raw material would be required to replace the existing stock
of bottles. Instead, the soft drink industry suggested that a seven-year moratorium be
extended to the industry so that it can incorporate the change in a phased manner. There
is no such mandatory requirement anywhere in the world to specifically label the glass
surface of returnable bottles. The government has decided to extend the date for
replacing the bottles to end-march 2006. In the meantime, the producers have shifted
substantially to the use of PET bottles.

Soft and aerated drinks were considered products for the middle class and the affluent.
That segregation is no more valid. Soft and aerated drinks are consumed by all except
those who cannot afford to buy any drink. An NCAER study says that 91% soft drink

13
sales are made to the lower, middle and upper middle classes. The soft drink industry
has been urging the government to categorise aerated waters (soft drinks) equitably with
other consumer products of mass consumption and remove special excise duty.

The industry estimates that the beverage market should grow at twice the rate of GDP
growth. The Indian market should have, therefore, grown by atleast 12%. However, it
has been growing at a rate of about 6%. In contrast, the Chinese market grew by 16% a
year, while the Russian market expanded at almost four times the rate of growth of the
Indian market.

It may be recalled that Coca-Cola, the world's number one player, was present in India
for a long time in collaboration with an Indian producer but was thrown out in the late
1970s. It reappeared in India following the economic liberalization era - but after its
rival, world's number two, had already entered in a big way following a long and tough
fight against the opposition from the domestic producers. When Coca-Cola re-entered, it
installed a new milestone. It acquired the well flourishing India's top player, Parle.
Since then it is basically a fight between the two American giants. Others are playing a
peripheral role, as adjuncts to the two MNCs.

World's third biggest player, Cadbury Schweppes, had also made an entry but was
gobbled up by Coca-Cola. When Coca-Cola acquired Parle brands, it was, in fact,
buying the bottling facilities, the marketing network, and the established consumer
preference during the market build-up. The brands were a drag on the global brand.
Since Coca-Cola was not interested in brands (like Thumps Up), it did not promote
them. The result, at least, in the short run was a loss of the market to the competitor.
Coca-Cola decided to market more effectively the Parle brands. It had in its armoury
Coke, Thumps Up, Limca and Fanta. The latest to enter market was Parle’s erstwhile
Rimzim, alongside Portello, a black currant flavoured drink, very popular in Srilanka.

Coca-Cola operates through 35 plants and 16 franchisees throughout the country,

while PepsiCo has 20 plants, but it has 7 more franchisees at 23 to 16 of its rival. Coca-
Cola claims a market share of 51%, while Pepsi has a share of 46%. The claims,
however, remain disputed. The other smaller players like Pure Drinks Ltd claim the rest

14
of the market. The shares of the two lead players are consolidated figures, which include
the respective bottlers. Coca-Cola had approached the government for a five year
extension for divesting 49% equity in its bottling subsidiary, Hindustan Coca-Cola
Holdings. It had set up the marketing subsidiary as part of its strategy to integrate all its
bottling operations, both company-owned and franchisee bottlers, apparently keeping in
line with its global policy. All together, it had bought initially over 38 franchisee
bottlers.

Kandhari Beverages, coke bottlers for north have been eyeing to lift a stake in Coca-
Cola India. Coca-Cola had filed an application to offload 49% stake of its bottling
operations in favour of their Indian operators. Besides Kandhari, three other bottlers,
one each from Uttar Pradesh, Gujarat and Jammu, were lined up to invest in Hindustan
Coca-Cola Holding. Kandhari has already invested Rs 300 mn in 1999 and 2000 to
upgrade its capacity. The total investment by all the four was expected to be Rs 1000
mn. Both Coca-Cola and PepsiCo planned for the launch of lemon-flavored versions of
their products. Both have been expanding their non-carbonated drink line-ups, as
consumers seem to be shifting away from carbonated soft drinks. PepsiCo is
deliberating whether to come out with Pepsi Twist, a cola mixed with lemon. But while
both companies have juice sports drinks, bottled water and other such drinks in their
line-ups, neither coke nor Pepsi has launched a new national variety of a cola-flavoured
carbonated soft drink in years.

PepsiCo had achieved Rs 3 bn worth of exports, which include processed foods,

basmati rice, guar gum and soft drinks concentrate. PepsiCo completed the second
phase of its expansion and with this expansion, PepsiCo was to explore the possibility
of expanding the export of concentrates to more countries in addition to the exports to
Russia and other South Asian countries.

Pepsi India has entered into a marketing tie up with Hindustan Lever to promote sales of
soft drinks through Pepsi-HLL network of vending machines and fountains. The major
soft drink brands in the Pepsi stable are Pepsi, 7UP, Mirinda, Tropicana and Acquafina.

As a major strategic departure, both MNCs were expanding their brand range.
Consequent to some diversifying moves, at present, the sales ratio of Coca-Cola

15
 between soft drinks and other beverages is 95.5. The company intended to change this
to 80:20 in the next three years. Its juice brand, Maaza - acquired from Parle a few years
ago - is being given a major thrust. It has plans to go in for canned coffee, iced tea and
purified categories under expansion schemes. It has already launched its bottled water
brand, Kinley, in the Indian market. Besides, it is intending to acquire domestic brands
in the non-carbonated beverages segment.

The global deal between Coca-Cola and P&G to form a snacks and beverages joint
venture company was reported to have slipped into rough weather. The P&G brand of
potato wafer, Pringles, seemed to be faced with distribution problems in India. P&G had
globally tied up with Coca-Cola to form a stand-alone juice and snacks company. The
new firm is focused on developing and marketing new juices, juice based beverages and
snacks on a global basis. The Sharjah-based Allied Beverages was pushing its Ahlan
brand in India, having entered the market in mid-2000. Its target was carbonated drinks
market in PET bottles.

Its plans were to launch a PET bottle in the popular 300 ml category. Ahlan expected
to gain a 12% share of the total PET bottle market in northern India. Of the total
market, PET bottle segment is approximately 12%. Presently, Allied Beverages has a
manufacturing unit at Dharuhera in Haryana. The product range includes carbonated
drinks - cola, orange, lemon and soda in three pack sizes - 500 ml, 1500 ml and 2000
ml. Allied Beverages sells non-carbonated drinks in 200 ml foodgrade cups priced at
Rs 7 in its portfolio, available in four different flavours.

The company's future plans include pulp-based fruit drinks in flavours, which will be
available in 200 ml non-returnable glass bottles.

IFB Agro Industries has handed over the distribution rights of Cadbury
Schweppes in favour of Coco-Cola India, following the global takeover of Schweppes
beverages by Coke. The company still retains the bottling rights for the beverages.

It was noticed for the first time during the summer of 2004 that soft drink companies
were registering a slower growth in the sale of bottled water at 20% compared to 35% in
case of drinks.

16
Soft drinks in India

 777 – soft drink – panner, cola, orange, lemon, clear lemon lime, mango
 Appy Fizz by Parle Agro
 Agua Blue – natural mineral water by LR Beverages Pvt Ltd
 Aquavida by Secure Beverages Industries Private Limited
 Banta – lemon-flavoured soft drink
 Boss cola
 Bovonto – grape soda produced by Kali Mark
 Campa Cola – popular Indian soda introduced in 1977
 Citra
 Cloud 9 – energy drink
 Code Red – energy drink
 Delhi-Daredevils – energy drink age 18+
 Duke's Lemonade
 Duke's Mangola – mango drink from Dukes bought by PepsiCo
 Frams – local drink from Pune
 foozy- sugar cane juice
 Frooti – mango-flavoured drink from Parle Argo
 Fruit Jump – mango Drink from Om Food Products
 Ganga Sagar – Local drink of Haryana

Gold Spot

 Grappo Fizz
 Guptas – 8 flavoured soft drinks introduced in 1947
 h2o – powered carbonated soda
 Juicila – powdered soft drink concentrate available in orange, mango, lemon, cola,
masala.
 Kalimark
 Kickapoo
 Lava Cold Drink

17
 Limca – lemon-lime soda
 LMN – lemon drink produced by Parle Agro
 Maaza – mango drink from Parle bought by Coca-Cola
 Mahaajan Beverages – carbonated Kokum drink
 Paneer Soda - lemon soda in the states of Tamil Nadu and Andhra Pradesh
 Rooh Afza – popular juice produced by Hamdard Laboratories
 Thums Up - from parle agro then bought by coca cola
 Tzinga – energy drink
 Xtra Power Energy Drink– Universal Group
 XXX – energy drink
 X.ray energy drink.

NON-CARBONATED BEVERAGES
Non-carbonated beverages do not have added carbon dioxide. Because
of this, they lack the protection against spoilage offered by carbonation and are
typically pasteurized either in bulk or by continuous flash pasteurization prior
to filling or in the bottle.

Examples include bottled water, tea and coffee. Fueled by the perception
that noncarbonated beverages are healthier than carbonated ones, the market is
enjoying recent growth and most traditional soft-drinks producers are
diversifying their offering to include noncarbonated beverages.

It represents an important segment of the market for soft drinks but

they present some special technological issues for product level- open and
manufacturer alike.

The principal groups of non-carbonated beverages are as follows:

1. Dilutable drinks

2. Ready-to-drink pre-packaged beverages

3. Fruit juices and nectars.

18
Classification of NCSD

The non-carbonated SOFT DRINK (NCSD) sector can be classified as Fruit

drinks, Nectar and Juices.

The classification is based on the percentage of the fruit pulp content in the
beverage.

Fruit drink has to have minimum fruit pulp content of 10% While Nectar
needs to have a minimum fruit pulp content of 25%. The total size of the
branded noncarbonated beverages in the organized segment is estimated at
Rs.500 crores.

The fruit drink segment is estimated at Rs.250-300crores, while the juice

market (Branded & Packaged) is estimated at rs.150 crores.

Nectar is a small category of around Rs.35-50 crores.

In the fruit drink category, Parle’s Frooti, Godrej’s Jumpin and Coca-Cola’s
Maaza and Pepsi’s Slice is the major brands.

In the Nectar segment, the key national players are – Dabur, Godrej Xs and
parle’s Appy.

The two key national level players in the juice segment are Tropicana and the
real.

Real is the market leader with 55-60% market share. Tropicana has an
estimated share of 30-35%.

Several local/ regional brands also exist besides a huge unorganized sector.
The juice category is the fastest growing segment at present , estimated to be
growing by 20-25% p.a.

The fruit drink category has also been witnessing growth of 5%p.a.

“The main reason for this growth in the NCSD Category is the change
of the consumer preference from the carbonated to the non-carbonated

19
soft drink sector mainly due to increasing Health Awareness among
consumer and the pesticide issue relating to coke and cole.

In the Fruit Drink segment, Frooti is the clear market leader with around
85% market share but in the NCSD category as a whole, its 12 share has been
declining because of the growth in Fruit Juice segment. So, with the growth of
the NCSD category, Frooti has to compete with all the segments in this
category to take a larger share of this growth.

20
Variant Brand Analysis

21
 COMPANY PROFILE

parle products pvt.ltd based in Mumbai, India has been india’s

largest manufacturer of biscuits and confectionery, for almost 80 years. Makers
of te world’s largest selling biscuit, parle-G and a host of other very popular
brands. Its reach spans even to the remote villages of the india. Many of the
parle products biscuits or confectioneries are market leaders in their category
and have won acclaim at the Monde selection, since 1971.whit a 40% share of
the total biscuit market and a 15%vshare of the total confectionery market in
india.parle has grown to become a multi-million dollar copany. parle agro is a
food and beverage company, the only India transactional giant with the past
experience of having successfully launched leading soft drink brand like
“Frooti, Appy, Saint juice, N-joi and Bailley”.

Today its brand portfolio consist of no.1 brands like frooti along with appy
,saint juice, N-joi and bailey. Parle agro was the first to identify the dormant
mango segment in india and india’s first national drink segment. Today ,the
patle group turnover is over Rs.600 crores with group strength of over 1000
employees ,including over 400 professionals.

Entered into snaks and confectionery business recently (2008-09)

Headquarters: Mumbai

Annual turnover: Rs.1000cr

Company owned 12 factories across india

Reach out to around 5lakh outlets across india.

Parle products, led by Vijay, Sharad and Raj Chauhan (owner of the brands Parle-
G, Melody, Mango Bite, Poppins, Kismi Toffee Bar, Monaco and Krack Jack)

 Parle Agro, led by Prakash Chauhan and his daughters. (owner of the brands
such as Frooti and Appy)
 Parle Bisleri, led by Ramesh Chauhan

All three companies continue to use the family trademark name "Parle".

22
Mission:

“we will be the leaders in our business by maintaining high quality, introducing new
and innovative products , reaching every part of indais, remaining customer-centric,
constantly upgrading our knowledge and skill”.

“To provide consumers superior, wholesome agro based food and adrink brands
through which parle can build a profitable, growth oriented organization”.

Parle Agro

Parle Agro commenced operations in 1984. It started with beverages, and later
diversified into bottled water (1993), plastic packaging (1996) and confectionery
(2007). Frooti, the first product rolled out of Parle Agro in 1985, became the largest
selling mango drink in India.

Separation from the parent company

The original Parle group was amicably segregated into three non-competing
businesses. But a dispute over the use of "Parle" brand arose, when Parle Agro
diversified into the confectionery business, thus becoming a competitor to Parle
Products. In February 2008, Parle Products sued Parle Agro for using the brand
Parle for competing confectionery products.

23
 Later, Parle Agro launched its confectionery products under a new design which did
not include the Parle brand name.In 2009, the Bombay High Court ruled that Parle
Agro can sell its confectionery brands under the brand name "Parle" or "Parle Confi"
on condition that it clearly specifies that its products belong to a separate company,
which has no relationship with Parle Products.

PARLE AGRO BRANDS

Parle Agro Pvt. Ltd operates under three major business verticals:

 Beverages – fruit drinks, nectars, juice, sparkling drinks

 Water – packaged drinking water
 Foods – confectionery, snacks

Parle Agro also diversified into production of PET performs (semi-

finished bottles) in 1996. Its customers include companies in the beverages,
edible oil, confectionery and pharmaceutical segments.

BEVERAGES:
The beverages industry refers to the industry that produces drinks, in
particular ready to drink beverages. Beverage production can vary greatly
depending on the beverage being made.

Citra was a clear lemon and lime flavoured soda sold in India in the
1980s and early 90s.

24
FROOTI:

Launched in 1985, Frooti was India's only beverage sold in a Tetra Pak
packaging at the time. It went on to became the largest selling Mango drink in
the country. frooti is India’s favourite mango drink and ranked amongst the
most trusted brands in numerous national surveys.

APPY:

Appy Classic was launched in 1986 as an apple nectar and originally

available in a white TetraPak packaging with an apple and leaf graphic. As of
2011[update], it comes in black Tetra Pack packaging. It was the first apple
nectar to be India.

25
APPY FIZZ:

Launched in 2005, Appy Fizz is India’s first sparkling apple drink

available in a champagne shaped PET bottle. Considered the champagne of the
fruit drinks.

Appy Fizz is a one of a kind product in the beverage market. Recently ,Appy
Fizz has been given a makeover in terms of a new packaging.

SAINT JUICE:

Launched in 2008, Saint Juice is available in three variants – Orange,

Mixed fruit, Grape and Apple. At the time of its launch, its USP was "100%
juice with no added color, sugar or preservatives".

26
LMN:

LMN was launched in March 2009, as non-carbonated lemon drink

GRAPPO FIZZ:
Launched in 2008, Grappo Fizz is a sparkling grape juice drink. Credited
with creating the sparkling fruit drinks category in India (citation needed),
Grappo Fizz is along the lines of existing product Appy Fizz. It is purple red in
colour and has no close competition in the market.

27
 CAFE CUBA:

Launched in 19 May 2013, It’s a new product & first of its kind; Cafe
Cuba is a carbonated Cuban coffee, more of a bottled Espresso.

Flavours: Strong Coffee with little sugar, Helps to activate your energy levels
up high.

FOOD:
Confectionary:
Parle has been entered into the confectionary industry also. It main concentred
on children and adults .it introduced various candies an toffies with various
falours.

 Mintrox mints (launched in 2008), hard mint candy available in 2 flavours

 Buttercup candies (launched in 2008), hard boiled candy; it is targeted at kids
and adults alike.
 Buttercup Softease, a toffee available in 4 flavours
 Softies Mithai, a toffee available in 3 flavours .

28
SNACKS

 Hippo (launched in 2008), baked snack available in six flavour. Hippo is

a backed snacks with goodness of wheat. Italian pizza ,Chinese manchurian,
Hot-n-sweet tomato, Thai chilli, yoghurt mint chutney, Indian chatpatta and
Arabian salted. These backed wheat munchies have no added MSGN ,no
GMO and no cholesterol and zero trans-fat.

29
HISTORY

PARLE AGRO PHILOSOPHY

Profit comes from philosophy.

At Parle Agro, it’s not just about the business. It’s how we go about it.
It’s about the people. It’s about the culture and ethics. It’s also about
sustainability and social responsibility. Our philosophy is built around our
need to lead, our need to innovate, and our need to make the world a better
place with a little contribution from us.

Our Business Statement:

“We are in the business of refreshing India with our products,refreshing the
market with new categories and refreshing ourselves through innovation.”

Our Vision:

“To be the leaders in our business. We will stand apart from the competition by
being the first in the market to innovate.”

Our Mission:

“We will be the leaders in our business by - maintaining high quality,

introducing new and

innovative products, reaching every part of India, remaining customer-centric,

constantly

upgrading our knowledge and skills.”

A HISTORIC PAST IS THE SIGN OF A GREAT FUTURE

Parle Agro has always been a pioneer. Be it creating products that became
iconic, or changing market trends altogether. India’s first mango drink Frooti
is one such example. Back in the days when people stood at stores drinking
beverages from glass bottles, Frooti came in a Tetra Pak, offering consumers
the option to carry their drink along.

30
st time an Indian brand used Tetra Pak technology of hygiene and durability to
package its beverages. The launch of India’s first apple nectar, Appy was
another milestone in the beveragsegment.

Parle Agro also takes pride in being the first ever company globally to offer a
single pack of beverage at a price point as low as `2.5. This market offering
came in a unique triangular packaging (TCA). For the first time, A beverage
was available at the price of confectionary.

Parle Agro took a bold decision and launched India’s first baked snack, Hippo
munchies in a toastiest format. This unique snack soon became a hit and paved the
way for other interesting Hippo snack variants. The launch of Café Cuba, a
carbonated coffee beverage.

We are Parle Agro. And we are in the business of refreshing India.

We are the largest Indian food and beverage company. With brands that have
won the hearts of consumers everywhere, we are in almost every home across the
length and breadth of India.

Be it Frooti, India's first mango drink in a tetra pak, or Appy, India's first ever apple
drink, or Appy Fizz, the country's first sparkling apple drink, our beverages have,
over the decades, acquired iconic stature in one of the most competitive markets in
the world. Our latest beverage brand, CaféCuba, the carbonated coffee soft drink,
and Frio, a range of deliciously flavoured aerated drinks, have already made a grand
entry within the few months of their launch.

Our foray into the Foods category began with Hippo backed munchies being
launched in 2009. Today, Hippo offers a range of snacks in different
formats. Bailley, our packaged drinking water brand renowned for its purity, is one
of the largest water brands in the country and one of the most widely available.
Backward integration saw us open our own PET division, which makes us the only

31
beverage company in India to manufacture its own PET preforms. With a strong
presence in over 50 countries already, we are all set to become the first Indian global
Food & Beverage company.

Operations started as Baroda Bottling Company for carbonated

beverages

Parle Agro has always been a pioneer. Be it creating products that have become
iconic, or changing market trends altogether.
India's first mango drink, Frooti, is one such example. Back in the days when people
stood at stores drinking beverages from glass bottles, Frooti came in a Tetra Pak,
offering consumers the option to carry their drink along.

It was the first time an Indian brand used Tetra Pak technology of hygiene and
durability to package its beverages. The launch of India's first apple nectar, Appy,
was another milestone in the beverage segment.

Parle Agro also takes pride in being the first ever company globally to offer a single
pack of beverage at a price point as low as ₹ 2.50. This market offering came in
unique triangular packaging (TCA). For the first time, a beverage was available at
the price of confectionary.

Profit comes from philosophy.

At Parle Agro, it's not just about the business. It's how we go about it. It's about the
people. It's about the culture and ethics. It's also about sustainability and social
responsibility. Our philosophy is built around our need to lead, our need to innovate,
and our need to make the world a better place with a little contribution from us.

Our Business Statement:

"We are in the business of refreshing India with our products, refreshing the market
with new categories and refreshing ourselves through innovation."

32
Our Vision:
"To be the leaders in our business. We will stand apart from the competition by
being the first in the market to innovate."

Our Mission:
"We will be the leaders in our business by - maintaining high quality, introducing
new and innovative products, reaching every part of India, remaining customer-
centric, constantly upgrading our knowledge and skills.", to confirm the history.

33
 CHAPTER – 3

THEORITICAL FRAMEWORK
literature review is a body of text that aims to review the critical points of current
knowledge. Literature review are secondary sources and as such, do not report any
new experimental work.

Charles (2009) “ Market news service: fruit juices report” in his studies discussed
that the fruit juice market is presently relatively quiet, provided one ignores the
continued collapse in the price of FCOJ.

Bharadwaj (2008) “consumer behavior in health drink” discussed that consumer

behavior is divided into three sub categories. Consumption behavior, purchase
behavior and attitude perception. The consumer behaviour differs with age and the
life style. For kids health drink is a supplement with added calcium’s, minerals
and vitamins.

Gupta & gupta (2008) “fruit drinks: how healthy and safe” discussed that fruit
drinks are popularly used in most urban households today markets are flooded
with large variety of juices.
Eg: mango, apple, guava, litchi. The main reason for
increased consumption is changing lifestyles & rising level of health
consciousness among consumers and parents. They believe that these drink
provide superior nutrition because of their status & high beverage cost.

Gupta parul (2003):-studied the coke & Pepsi’s rural drive to push sales. Soft
drink giants coca-cola & Pepsi have signed on thousands of new retailers in a
drive into rural india that has pushed up sales steeply. Coca-cola has made its
beverages available in 40,000 additional villages in the last 3 years.

Jyoti k arun (2002), studies the coca-cola India’s marketing plan for the summer
peak sales season is vested with a rural thrust & rides on the back of its newly
launched 200-ml bottle. priced between Rs.5 to Rs.6 across the country. While the

34
soft drinks sales showed flat growth last year, sales in the that year are up by 80%
for the company.

Nigel poole, Laura (1996) Reports on research into the level of consumer
awareness of the attributes of citrus fruit. Claims it is necessary to convert
consumer attitudes towards healthy eating into appropriate consumer behaviour.
Hypothesizes that consumer knowledge of some important attributes of fruit and
vegetable products is low, and that better informed consumer might make better
informed purchasing decisions.
Describes the methodology and results of the survey which finds
evidence that consumers are largely ill-informed about the attributes of the citrus
fruit that they purchase.

David Hughes (1996) Notes that fresh fruit consumption in the UK is low.
relative to most other European countries, and static. Also that fruits which can
be grown commercially in the UK, such as apples and strawberries, show a
declining trend. Observes that in an increasingly competitive market place, fresh
fruit does not meet the evolving wants of key consumer groups.

Concludes fruit marketing organizations must invest in research and

development to produce strong consumer-oriented proprietary products and, then,
provide them with the promotional support that premium products warrant if they
are to survive and prosper in markets which will come under increasing
competitive pressure in the next decade and century.

Rosemary Duff (1999) this paper discusses the findings of a market research
programme carried out by SMRC Child Wise on behalf of TetraPak UK Ltd,
examining use of and attitudes to soft drinks among children and mothers. This is
a product field of increasing interest to children as they grow, and their
appreciation develops from being totally product-focused, to include packaging
and then brand considerations.

35
 The research examined behavior across the key drinks occasions that a
child’s day, looking in detail at drinks consumed at school. It is at school that a
child’s freedom of choice develops, and awareness of peer groups influences
becomes increasingly important. Children are highly receptive to new brands and
flavours, but also demand professional packaging and promotional input for
brands to be credible. Younger children appreciate having their own individual
carton with a straw but, for older boys, a can is preferred, whilst girls like the
practicalities of resealable bottles.

Srini S. Srinivasam, Brain D. (2002) Previous researches have established that

brand names are important in determining perceptions of brand quality and
attitude towards the product. In this research we investigate the role of brand
name in shaping consumers evaluation of search, experience, and credence
attributes. The findings confirm that, prior to trail, brand name increase consumer
perception of experience and credence attribute performance evaluations.
However, prior to trail, brand name is found not to affect consumers’ perception
of search attributes. Trail t of the brand is found to reduce (and not eliminate) the
advantage branded products have in enhancing consumers perception of
experience and credence attributes.

Douglas Sorenson, Joe Bogue (2005) The objective of this study is to identify
the optional product design attributes for a range of chilled probiotic orange juice
beverages, and to evaluate the contribution of market- oriented research
methodologies to the development and strategic marketing of innovative
functional beverages, although functionality should not be relied on solely to
leverage a competitive advantage.

Dilber Ulas, H. Bader Arslan (2006) The purpose of this study is to present a
brand view and analysis of brand switching of cola consumers in Turkish cola
market. Cola turka. The new cola brand, has captured almost one-quarter of the

36
market. It has the potential to create loyal consumers. Despite Coca-Cola
preserving its dominance, Pepsi-cola has been surpassed by this new product.

Marianela Fornerino, Francoisd’Hauteville (2010) This experimental research

seeks to offer a method for measuring the respective product and brand
contributions to the global perceived quality dimension in the case of five brands
of orange juices. Results indicate an assimilation effect for the national brands,
particularly strong with the most preferred brand, and a non-significant brand
effect for the retailer’s brand, although both products were rated the same in the
blind evaluation.

Michal S. Donaldson (2001) Reports the results of a survey of followers of the

mostly raw, pure vegetarian, Hallelujah diet, which is promoted by the Hallelujah
Acres Foundation in the USA. Seven –day semi-quantitative dietary records kept
by 141 followers of the diet were collected and analyzed for nutrient intake.
Claims self-reported improvements in health and quality of life after adoption of
the diet were significant (p<1E-07). Mean daily consumption of fruits and
vegetables was 6.6 servings and 11.4 servings, respectively. The mean energy
intake was 1,460 kcal/day for women and 1,830kcal/day for men. Claims that,
with some modifications, this diet pattern allows people to adopt a low calorie
diet sufficient in most nutrients.

S.O. Aroyeun (2004) Cashew apple was used as a nutritional additive in the
production of yogurt. The yogurt so produced (CAY-A) had a higher vitamin
content of 53.70g/100ml than both sample B and C with values 14.1/100ml and
19.2g/100ml of vitamin C respectively. The cashew apple fortified yogurt was
evaluated for physicochemical parameters like pH, refractive index, specific
gravity, titratable acidity, ash, moisture, protein and fat and the values 4.10 (pH).
20 degrees brix soluble solid content, specify gravity 1.023, titratable acidity
(0.78g/100ml lactic acid), 0.84 percent ash, 77.0 percent moisture, 3.22 percent
protein and 3.2 percent fat were obtained. The three yogurts produced were

37
presented to ten regular tasters of yogurt for sensory evaluations using Fan Milk
yogurt as the reference sample C. Assessors were asked to identify the odd
sample.
This method was used to determine if ingredient substitution or some other
change in the manufacturing process could result in a detectable difference in
products. The result obtained indicated that the yogurt into which cashew apple
had been added compared favorably with the reference sample in all the attributes
evaluated and there was no significant difference at p = 0.05.

Gunne Grankvist, Hans Lekedal, Maarit Marmendal (2007) The purpose of

this article is to study whether preference for a product increased, of decreased, as
a consequence of information that the product was either eco-or fair trade labeled,
an additional purpose was to investigate association between importance attached
to values and preference for eco- and fair- trade labeled food products. No
significant effects of the experimental manipulation were observed. Attaching
greater importance to the value “warm relationships with others” was associated
with a more favourable rating of the taste of both eco- and fair- trade labeled
juices. The value “security” was positively associated an increased taste
preference for the group exposed to the fair trade, but not the eco, label.

Mehdi Seltene, Olivier Brunel(2008) The objective of this paper is to evaluate

brand extension from a consumer consumption perspective. The most relevant
entity becomes both the product and the choice vector. This provides a different
aspect of the heterogeneity as it concerns brand extension. The study shows that
the effect of the context fit and the typicality are most important when the
category to which the brand extension. The study shows that the effects of the
context fit and the typically are more important when the category to which the
brand extension is found is less sensitive to the consumption context.

Different customers may perceive one and the same product or service in different
ways. A customer’s perception of an offering may even deviate from what the producer
or service provider or marketer had intended. This may cause serious problems in

38
today’s attention economy. Everybody is exposed to more and more diverse information
than ever before. It is hard enough for an offering to get a potential customer’s attention
at all. If the customer’s perception of this offering is an unfavourable one, it probably
will not get a second chance to make a better impression.

Customer perception

Different customers may perceive one and the same product or service in different
ways. A customer’s perception of an offering may even deviate from what the producer
or service provider or marketer had intended. This may cause serious problems in
today’s attention economy. Everybody is exposed to more and more diverse information
than ever before. It is hard enough for an offering to get a potential customer’s attention
at all. If the customer’s perception of this offering is an unfavourable one, it probably
will not get a second chance to make a better impression.

Why customer perception is important for businesses?

In today’s globalising economy competition is getting more and more fierce. That
means it becomes more difficult for products and services to differentiate themselves
from other offerings than ever before.

Not only is the number of competitive offerings rising due to globalisation of

production, sourcing, logistics and access to information. Many products and services
face new competition from substitutes and from completely new offerings or bundles
from industry outsiders. Since product differences are closed at an increasing speed and
many companies try to win the battle for customers by price reductions, products and
services tend to become commodities.

On the other hand, customer behaviour becomes more hybrid. On one hand, customers
are increasingly price sensitive – searching for bargains at marketplaces like ebay or
buying their groceries at discount markets. On the other hand they enjoy branded and
luxury goods. One and the same person may plan a weekend trip with a no-frills airline
and a stay at a five-star-hotel.In the result, customers have a wider choice of often less

39
distinguishable products and they are much better informed. For many offerings the
balance of power shifts towards the customer. Customers are widely aware of their
greater power, which raises their expectations on how companies should care for them.

Bringing it all together, it becomes ever more difficult to differentiate a product or

service by traditional categories like price, quality, functionality etc.

In this situation the development of a strong relationship between customers and a

company could likely prove to be a significant opportunity for competitive advantage.
This relationship is not longer based on features like price and quality alone. Today it is
more the perceived experience a customer makes in his various interactions with a
company (e.g. how fast, easy, efficient and reliable the process is) that can make or
break the relationship. Problems during a single transaction can damage a so far
favourable customer perception.

Customer loyalty and customer perception

The consequence for companies is that they have to adapt their ways of competing for
customers. Traditionally, companies have focused their efforts of customer relationship
management on issues like customer satisfaction and targeted marketing activities like
event marketing, direct marketing or advertising. Although doubtless necessary and
beneficial, these activities are not longer enough.

They narrow the relationship between company and customer down to a particular set
of contacts in which the company invests its efforts. Most likely this will produce not
more than a satisfied customer who is well aware of the companies offerings and has a
positive attitude towards them. However, a satisfied customer is not necessarily a loyal
one.

If a customer is satisfied that means that a product of service has met his expectations
and that he was not dissatisfied by it. Customer satisfaction is doubtlessly very
important. It is the precondition for repeat purchases and it prevents the customer from

40
telling others about his disappointing experiences. A loyal customer, however, is more
than a customer who frequently purchases from a company.

The difference is the emotional bond which links the customer so closely to the
company that he develops a clear preference for these products or brands and is even
willing to recommend them to others. Loyal customers truly prefer a product, brand or
company over competitive offerings.

Thus loyalty goes beyond a rational decision for known quality or superior price-
performance-ratio. It is about the customers’ feelings and the customer perception about
the brand or product.

When the customer makes his buying decision, he evaluates the benefits he perceives
from a particular product and compares them with the costs. The value a customer
perceives when buying and using a product or service go beyond usability. There is a set
of emotional values as well, such as social status, exclusivity, friendliness and
responsiveness or the degree to which personal expectations and preferences are met.

Similarly, the costs perceived by the customer, normally comprise more than the actual
price. They also include costs of usage, the lost opportunity to use an other offering,
potential switching costs etc. Hence, the customer establishes an equation between
perceived benefits and perceived costs of one product and compares this to similar
equations of other products.

Based on this, customer loyalty can be understood as to how customers feel about a
product, service or brand and whether their perceived total investments with a it live up
to their expectations.The important point here is the involvement of feelings, emotions
and perceptions. In today’s competitive marketplace, these perceptions are becoming
much more important for gaining sustainable competitive advantage.

41
Impact factors on customer perception

Customer perception is influenced by a variety of factors. Besides the actual outcome –

i.e. did the product or service deliver the expected function and did it fulfil the
customers need – the whole process of consumption and all interactions involved are of
crucial importance. In today’s globalised information driven economy this can also
comprise issues like

 How other customers or influencing groups perceive the product or brand

 The degree to which the customer feels the actual marketing campaign addresses
the most important issues
 Responsiveness and service quality of any affiliates, e.g. distribution partners

Customer perception is dynamic. First of all, with the developing relationship between
customer and company, his perceptions of the company and its products or services will
change.

The more experience the customer accumulates, the more his perceptions will shift from
fact-based judgements to a more general meaning the whole relationship gains for him.
Over time, he puts a stronger focus on the consequence of the product or service
consumption.

Moreover, if the customers’ circumstances change, their needs and preferences often
change too. In the external environment, the offerings of competitors, with which a
customer compares a product or service will change, thus altering his perception of the
best offer around. Another point is that the public opinion towards certain issues can
change.

This effect can reach from fashion trends to the public expectation of good corporate
citizenship. Shells intention to dump its Brent Spar platform into the ocean significantly
altered many customers perception of which company was worth buying fuel from.

42
 Research has been done on the impact of market share on the perceived quality of a
product. Depending on the nature of the product and the customers’ preferences,
increasing market share can have positive or negative effects on how the customer
perceives the product.

Positive effects of increasing market share on customer perception

 Increasing market share can send out positive signals by acting as an indicator of superior
quality that is recognised by more and more other customers. This effect is particularly
strong for premium priced products. Customers normally assume that a product must be
of exceptional quality if it can gain such an unexpected market success despite its high
price.
 Many brands offer positive emotional benefits of using a product that is popular in the
markets.
 The value of a product or service can rise through increasing number of users of the same
product, e.g. number of members of an online community, better availability of software
for popular computer systems.

Negative effects of increasing market share on customer perception

 For premium and luxury products, customers may translate an increasing market share
into a loss of exclusivity and thus perceive it as less valuable


 The quality of services may suffer if they are consumed by increasing numbers of users.
Diseconomies of scales and congestions can be observed with busy airports and many
other services so that customers may look out for other providers that promise more
timely service and convenience.

The concept of customer perception does not only relate to individual customers in
consumer markets. It is also valid in business to business situations. For example, a
competitor benchmarking survey of a large industrial supplier revealed that the market

43
leader, although recognised for excellent quality and service and known to be highly
innovative, was perceived as arrogant in some regions.

If we take into consideration that there are about four other large players with a similar
level of quality and innovative ideas, this perceived arrogance could develop into a
serious problem. Customers here are well aware the main characteristics of all the
offerings available at the market are largely comparable. So they might use the
development of a new product generation of their own to switch to a supplier that can
serve them not better or worse, but with more responsiveness and understanding.

Companies have done a lot to improve customer satisfaction and customer relationships
in the past. As discussed above, this will not be enough any more.

Measuring customer perception

Any serious effort to manage customer perceptions starts with a good measurement
system. Companies must be truly willing to look at the whole process of interaction
through the customers eyes. For many companies, this requires a more or less extensive
shift in mindset, since most departments from development to sales will be involved.

The backbone of any customer perception management and measurement

system, however, is thorough market research and surveys. There are several aspects of
measuring customer perceptions.

First of all the company has to find out how itself and its offerings are perceived by the
customers. It is essential to identify what the customer is actually buying and which
features are most important to him. Only this way it is possible to align the internal
focus and resources to the customers expectation. This information is of greater value if
it can be compared to the customers’ perception of competitive offerings. Not only will
this reveal relative strengths and weaknesses, it is also a valuable source of ideas for
improvement.

44
  Besides that, surveys should also identify the relative importance of several
influencing variables in the eyes of the customer. To know what matters most to
the customer helps to set priorities for projects.
 Of course, as with any market research activities, it should be based on a careful
customer segmentation. Customer groups that differ by frequency of use, social
status, geographical region or other criteria, are likely to have different
expectations and preferences. Hence, they will probably perceive an offering in
different ways.
 Zeithaml et al suggest to incorporate several behavioural-intentions questions to
identify signals that are potentially favourable or unfavourable for the company.
Questions for behaviour intentions are potentially of higher validity and richer
diagnostic value than the “overall service quality” or “customer satisfaction” variables.
Since these questions are directed at potential future actions they can not only indicate
of changes in demand and market trends. They also provide early warning signs and
help to take to take timely corrective action.

How to manage customer perception

Only if a company knows which features of its products and services or which other
points of contact with the customer are considered most important by the customers, it
can develop appropriate strategies. Such a strategy will not only help the company to
strengthen the emotional bond with the customer through targeted improvements and
activities. It may also have the positive side effect that the customers’ whole experience
leads him to the conclusion that this company really understands his distinctive needs
and really takes him seriously. Hence, the customers perception of the whole company
may improve beyond a positive attitude towards a particular product.

Based on thorough research, companies can develop strategies and initiate targeted
activities to manage and improve customer perceptions. This article finishes with some
examples of how this can be done. It has to be taken into consideration, however, that
there is no one right strategy. Since these measures shall provide a distinctive
competitive advantage, they should be based on the particular competencies and

45
resources of a company and they should aim at setting the company apart from the other
market participants.

 The service experience is closely linked to his perception of the total company
and its offerings – be it products or service. A common idea of many authors is that it is
not always necessary to deliver the absolutely perfect customer experience. Instead it is
important to solve the customers need or problem in a matter that is perceived
appropriate. For many retail products, for example, it will be sufficient in most cases to
offer an appropriate group of substitute products, but not all particular products. In
service situations, customers will – depending on the actual nature of the service – not
expect an immediate service delivery.


 They will however expect a delivery within a time frame that is either market
standard or meets the service promise of the actual service provider. As long as the
company keeps this promise, the customer will perceive this as satisfying. Byrnes even
suggests that you earn more customer loyalty when you do a good job fixing a service
problem, than if there had been no problem at all. The point is to meet or excel the
customers’ expectations, not to achieve some ideal level of product or service delivery.

Companies should try to make sure that their customers are fully aware of all the ways
their offering can provide value to them. They have to explain the customer how this
particular product can deliver more value than those from competitors. This approach
means to widen the customer perception and to extend their awareness and appreciation
to more features or aspects of the offering. However, this point has to be considered
very carefully in order not to produce an diametrical effect.

Example

A customer who uses a large part of the functionality of his mobile phone might be
delighted to learn about additional features and functions of the next generation product.
Here the perceived value of the new product could be increased by highlighting the
utility of the new functions. Another type of customer only uses his mobile phone to
make and receive phone calls. He would probably not appreciate this type of
46
communication. His equation of product value and cost will shift to the perception that
he should pay an higher price for even more features he does not need and will not use.

This point again highlights the critical importance of market research. In this example,
market research would help the company to develop different communication strategies
that focus on those product features that are of high priority for particular market
segments.

A commonplace strategy to circumvent the loss of exclusivity associated with high

market share is to leverage the brand by introducing new related brands. This is very
efficient with fragrances or fashion brands.

In situations in which customers perceive high market shares lead as a sign of quality, it
is advisable to advertise a favourable high share, e.g. “Americas most popular SUV”,
“Three out of five people already use …”.

It is advisable to contact customers who indicate low results for loyalty or perception of
the company in the surveys. Direct contact allows to identify the roots of the problem
and – if possible – to solve the issue.

Besides solving some customer-specific problems and thus improving the perception of
some individuals, such follow-ups may reveal some causes for problems that are
common to wider parts of the customer base. These are the starting points for some
improvements with potentially significant effects.

Follow-up is the hallmark of any loyalty or customer perception surveys. The effects of
any activities should be measured and analysed by follow-up surveys to provide further
insights.

47
Benefits of customer perception

 It enables fact-based decision making

 Helps you understand what customers like about your company and why
 Identifies opportunities for improvement
 Prioritizes changes based on customer feedback
 Strengthens your customer relationships
 Measures effectiveness of advertising and PR programmers
 Develops a focused and effective communications programme
 Benchmarks you against your competitors

Importance of customer perception

The success of a business depends upon its ability to attract and retain customers that
are willing to purchase goods and services at prices that are profitable to the company.
Consumer perception describes how customers and potential customers view a company
and its products and services. Consumer perception is important to businesses since it
can influence consumer behavior, which ultimately affects the profitability of a
business. Many businesses spend large amounts of resources to influence consumer
perceptions.

Consumer Perception Basics:-

Consumer perceptions can determine the success or failure sSof a business. For
example, if a certain restaurant has a reputation as being the best pizza place in town,
the general consumer perception in the town might be that you should to go the
restaurant if you want a good pizza. This sentiment could strongly influence the pizza
shop's ability to make profit. On the other hand, if consumers have negative views about
company it could seriously hamper revenue success. For instance, if a hardware store
becomes known for cheap, shoddy products, consumers might avoid purchasing its
goods unless they cannot afford higher quality goods.

48
Marketing:-

Marketing describes how a company chooses what types of products and services to
offer and how it distributes, prices and promotes those products and services. Consumer
perceptions often determine the types of products and services companies offer. For
example, if consumers expect to be able to eat for $5 at a fast food restaurant,
restaurants might be compelled to offer products that are profitable at a price of $5 or
less. Businesses create advertisements to make consumers aware of their products and
services and influence how consumers perceive those products and services.

Branding:-

A trademark is a name, phrase, symbol or combination of words and symbols that a

company uses to distinguish its identity or brand or its products from others. Businesses
spend large amounts of resources to build up brand name recognition and to get
consumers to associate certain positive qualities with their brands. Consumers may be
more trusting of more recognizable brands, which can influence buying behavior.

Considerations:-

Businesses often conduct market research to gain insight into consumer

perceptions and preferences. Understanding how and why consumers make the choices
they do is integral to providing products and services that will be in demand and
promoting those products and services effectively.

Consumers can evaluate a product along several levels. Its basic characteristics are
inherent to the generic version of the product and are defined as the fundamental
advantages it can offer to a customer. Generic products can be made distinct by adding
value through extra features, such as quality or performance enhancements. The final
level of consumer perception involves augmented properties, which offer less tangible
benefits, such as customer assistance, maintenance services, training, or appealing
payment options. In terms of competition with other products and companies,
consumers greatly value these added benefits when making a purchasing decision,

49
making it important for manufacturers to understand the notion of a “total package”
when marketing to their customers. For example, when manufacturing automotive parts,
a high-performing product will provide the customer base with basic benefits, while
adding spare parts, technical assistance, and skill training will offer enhanced properties
to create a total package with increased appeal to consumers.

Consumer perception theory

Consumer perception theory is any attempt to understand how a consumer’s perception of a

product or service influences their behavior. Those who study consumer perception try to
understand why consumers make the decisions they do, and how to influence these decisions.
Usually, consumer perception theory is used by marketers when designing a campaign for a
product or brand. However, some people study consumer perception in order to understand
psychology in a much more general sense.

Perception

In general psychological terms, perception is our ability to make some kind of sense of
reality from the external sensory stimuli to which we are exposed. Several factors can
influence our perception, causing it to change in certain ways. For example, repeated
exposure to one kind of stimuli can either make us oversensitive or desensitized to it.
Additionally, the amount of attention we focus on something can cause a change in our
perception of it.

Branding

A brand, or a brand name, is the attempt to impose some kind of identifying feature on a
product or service so that it is easily recognized by the general public. A brand is
oftentimes associated with an image, a set of expectations or recognizable logo. The
goal of a brand is to set a product or service apart from others of its kind, and influence
the consumers to choose the product over similar products simply because of its
associations.

50
Positioning, Repositioning or Depositioning

Positioning is the process whereby marketers attempt to build a brand. Marketers

actively try to create an image which is both recognizable and appeals to a certain group
of people or target market. Repositioning is the process of altering this image, usually in
order to influence a larger target market and thereby influence the behavior of a greater
number of consumers. Depositioning is the practice of trying to devalue alternative,
competing brands in the perceptions of a shared target market.

Value and Quality

Value refers to the perceptions a consumer has of a product's benefits when weighed
against its cost. Value can be measured both qualitatively--the emotional or
psychological pleasure a consumer derives from a product or service--and
quantitatively, in terms of the actual financial gain it wins them. Quality can be related
to value, and may be taken into account when measuring the value of a product or
service. More formally, it refers to the way in which a product or service relates to its
competitors, or else conforms to a set of measurable standards.

Buyer’s remorse

Buyer’s remorse is a strong feeling of regret which occurs after a purchase has been
made. It is a specific case of cognitive dissonance, or the psychological state of worry or
unease which comes about when attempting to come to terms with conflicting ideas,
perceptions or motives. Buyer’s remorse usually occurs after a consumer has made a
purchase he or she has come to regret. Generally, it involves the realization that the
opportunity of purchasing one product or service over another in some way outweighs
the value of the purchase. In this regard, it occurs when a consumer’s perception of a
purchase changes after he or she has already invested in it.

51
 CHAPTER-4

DATA ANALYSES & INTERPRATION

 1. How do you get awareness about parle agro brands?

a. electronic media b. print media c. friends d. internet e. other

Table:1

S. no Attributes No. of respondents % of respondents

1. Electronic Media 46 38.33

2. Print Media 20 16.66

3. Friends 28 23.33

4. Internet 17 14.16

5. Other 09 7.50

Total 120 100

Graph:1

Know about Parle agro brands

45
40 38.33
% of respondents

35
30
25 23.33
20 16.66
15 14.16
10 7.5
5
0
Electronic Print Media Friends Internet Other
Media
Attributes

Interpretation:
Almost all the respondents are aware of the parle agro brand . most of the customers
that 38.33% are aware about the company through electronic media. 23.33 are aware through
their friends and remaininng aware through prient media, internetand other sources.

52
2.Which brand do you prefer in parle agro?

a. mango frooti b. appy c. saint juice d. café cuba e. LMN

Table:2

S. no Attributes No. Of respondents % of respondents

1. Mango Frooti 58 48.33

2. Appy 32 26.66

3. Saint Juice 14 11.66

4. Cafe Cuba 04 3.33

5. LMN 12 10

120 100

Graph:2

Brand Preference
60

50 48.33
%of respondents

40

30 26.66

20
11.66 10
10
3.33
0
Mango Frooti Appy Saint Juice Cafe Cuba LMN
Attributes

Interpretation:
Most of the customers prefer products bassed on their preception towards the products
and taste and perference. In parle agro brand most of the respondents 48.33% perfer frooti.
And some perfer appy 26.66%. remainig 24.99% customers prefer other products of the
brand.

53
 3.what is your Opinion on Quality of Mango Frooti?

a. Excellent b. good c. average d. poor e. very poor

Table:3

S. No Attributes No. Of respondents % of respondents

1. Excellent 46 38

2. Good 44 37

3. Average 18 15

4. Poor 08 7

5. Very poor 04 3

Total 120 100

Graph:3

Quality of Mango frooti

40 38 37
35
30
%of respondents

25
20
15
15
10 7
5 3

0
Excellent Good Average Poor Very poor
Attributes

Interpretation:
In parle agro brand most of the customers perfer frooti for their regular consumption.
Most of the customers that is 38% of them fell that frooti is excellent in quality. And 37% fell
it is good inquality.15% fell its average and reamaining 10% frooti is poor in its quality.

54
4. Availability of Mango Frooti in Lower Price?

a. strongly agree b. agree c. neutral d. disagree e. strongly disagree

Table:4

S. no Attributes No. Of respondents % of respondents

1. Strongly Agree 60 50

2. Agree 42 35

3. Neutral 9 8

4. Disagree 6 5

5. Strongly disagree 3 2

Total 120 100

Graph:4

Availability of Mango frooti in lower price

60
50
50
%of respondents

40
35
30

20

10 8
5
2
0
Strongly Agree Agree Neutral Disagree Strongly
disagree
Attributes

Interpretation:
In parle agro brand most of the customers perfer foorti for regular consumption
because it’s a quality product and most of the fell is avaliable at low price .nearly 50% of
respondents strongly agreed that foorti is avaliable at low price.35% to agreed the statement.
Remaining 15% are netural and disagree the statement.

55
5.Do you feel that Mango Frooti is healthy drink?

a. strongly agree b. agree c. neutral d. disagree e. strongly dissagree

Table:5

S. no Attributes No. of respondents % of respondents

1. Strongly Agree 35 29

2. Agree 48 40

3. Neutral 20 17

4. Disagree 12 10

5. Strongly disagree 5 4

Total 120 100

Graph:5

Mango Frooti is good for health

45
40 40
35
%of respondents

30 29
25
20 17
15
10
10
4
5
0
Strongly Agree Agree Neutral Disagree Strongly
disagree
Attributes

Interpretation:
For the statement that mango frooti is a health drink. most of the respondents that
nearly 40% agreed the statement and 29% strongly agree and some respondents says they are
natural.14% says they disagree the statement.

56
6. Is there any Difference between Appy fizz and Appy Classic regarding
taste?

a. Yes b. no

Table:6

S. no Attributes No. Of respondents % of respondents

1. Yes 83 69

2. No 37 31

Total 120 100

Graph:6

Taste difference between appy fizz

and appy classic
80
69
70
%of respondents

60
50
40
31
30
20
10
0
Yes No
Attributes

Interpretation:
Both appy clasic and appy fizz are the apple nectuar drinks but appy fizz is a
sparkling drink. Most the respondents says that there a difference between the classic and
fizz. Nearly 69% respondents says yes and only 31% says there is no difference.

57
7. What type of package do you perfer for appy fizz and appy classic?

a. appy fizz tetra pack b. appy fizz pet bottle

c. appy classic tetra pack d. appy classic pet bottle

Table:7

S. no Attributes No. Of respondents % of respondents

1. Appy fizz tetra pack 30 25

2 Appy fizz pet bottle 54 45

3. Appy classic tetra 22 18

pack

4. Appy classic pet 14 12

bottle

Total 120 100

Graph:7

Preference of pack between appy fizz

and appy classic
50
45
40
%of respondents

30 25
20 18
12
10
0
Appy fizz tetra Appy fizz pet Appy classic Appy classic
pack bottle tetra pack pet bottle

Attributes

Interpretation:
For appy fizz and appy classic drinks are avaliable in both pet bottles and tetra packs.
But choosing in package will be differ for appy fizz most the customers that nearly 45%
perfer pet botles only 25% perfer tetra packs. Inn appy classic 18% perfer tetra packs and
12% perfer pet bottles.

58
8.Regularly which Quantity packs do you choose in appy?

a. 160ml b. 200ml c. 250ml d. 500ml e. 500ml

Table:8

S.no Attributes No. of respondents % of respondents

1. 160ml 42 35

2. 200ml 25 20

3. 250ml 27 23

4. 500ml 16 13

5. 1ltr 10 9

Total 120 100

Table:8

Quantity choose in appy

40
35
35

30
%of respondents

25 23
20
20

15 13
9
10

0
160ml 200ml 250ml 500ml 1ltr
Attributes

Interpretation:
Generaly customers prefer packs based on their requirement and price . in appy
most the respondents says that nearly 35% choose 160 ml packs and 23% perfer 250ml
packs and 20% perfer 200ml. 13% choose 500ml and only 9% customers choose liter packs

59
9.what is your Level of satisfaction towards appy advertisement?

a. highly satisfied b. satisfied c. moderate d. dissatisfied

e. highly dissatisfied

Table:9
S. no Attributes No. Of respondents % of respondents

1. Highly satisfied 10 8

2. Satisfied 17 14

3. Moderate 14 12

4. Dissatisfied 49 41

5. Highly dissatisfied 30 25

Total 120 100

Graph:9

Satisfaction with appy advertisement

45 41
40
35
30
%of respondents

25
25
20
15 14 12
10 8
5
0
Highly satisfied Satisfied Moderate Dissatisfied Highly
dissatisfied
Attributes

Interpretation:
Generally customers aware and purchase products based on the advertisement and
their level os satisfaction towards the advertisement. For appy advertisement nearly 41%
respondetns says that they are not satisfied with the advertisement.25% are totally
dissatisfied. Only 14% are satisfied with advertisement.

60
10 .You treat saint juice as a…..?

a. As a health drink b. as a status symbol c. as a put off thrist

Table:10

S. no Attributes No.of respondents % of respondents

1. As a health drink 64 54

2. As a status symbol 15 12

3. As an put off thirst 41 34

Total 120 100

Graph:10

View of saint juice

60
54
50

40
%of respondents

34
30

20
12
10

0
As a health drink As a status symbol As an put off thirst
Attributes

Interpretation:
Customer purchase the products only when they aree healthy and quality . for the
statement how customers trrate saint juice as? for that most of the respondents that 54% says
they treat saint juice as health drink . 345 say they treaat for to put off thrist. And 12% for
status symbol.

61
11. why and which induce you to choose saint juice….?

a. good nutrition b. quality c. availability d. taste e. quantity

Table:11

S. no Attributes No. Of respondents % of respondents

1. Good nutrition 40 33

2. Quality 20 17

3. Availability 16 13

4. Taste 34 28

5. Quantity 10 9

Total 120 100

Graph:11

Induces to choose saint juice

35

30
% of respondents

25

20

15

10

0
Good nutrition Quality Availability Taste Quantity
Attributes

Interpretation:
Saint juice is fruit drink from parle agro. In saint juice which induces to choose saint
juice, 33% choose because its is good nutrition and 27% choose because of its taste. and
some for its quality.

62
12. what is your Opinion on price of saint juice?

a. very high b. high c. moderate d. low d. very low

Table:12

S. no Attributes No. Of respondents % of respondents

1. Very high 19 16

2. High 36 30

3. Moderate 28 23

4. Low 21 18

5. Very low 16 13

Total 120 100

Graph:12

Opinion on price of saint juice

35
30
% of respondents

25
20
15
10
5
0
Very high High Moderate Low Very low
Attributes

Interpretation:
Customers purchase the products when the price of the product is reasonable. In
saint juice most of the respondents 30% says that price of the saint juice is high .and 23%
says price is moderate. And 17% feels price is low. and 16% feels price of saint juice is very
high.

63
13. Are you getting awareness on saint juice with frequent advertisement ?

a. strongly agree b. agree c. moderate d. disagree e. strongly disagree

Table:13

S. no Attributes No. Of respondents % of respondents

1. Strongly Agree 30 25

2. Agree 49 41

3. Moderate 21 18

4. Disagree 14 11

5. Strongly disagree 6 5

Total 120 100

Graph:13

Awareness on saint juice

45
40
35
% of respondents

30
25
20
15
10
5
0
Strongly Agree Agree Moderate Disagree Strongly disagree
Attributes

Interpretation:
Customers aware about the products throught advertisement only. in case of saint
juice nearly 41% respondents agree that they aware about it through frequent advertisement
only. 25% strongly agree it. But 11% respondents not aggred to this statement.10% strongly
diagree this .

64
14 .What are your views on Overall package appearance of parle agro
brands?

a. excellent b. good c. neutral d. poor e. very poor

Table:14

S. no Attributes No. of respondents % of respondents

1. Excellent 45 37

2. Good 62 52.

3. Neutral 10 8

4. Poor 3 3

5. Very poor -

Total 120 100

Graph:14

60
52
50
% of respondents

40 37

30

20

10 8
3
0
Excellent Good Neutral Poor Verypoor
Attributes

Interpretation:
Package appreance is the one of the important area which attract customers to
purchase the products. In parle agro brand nearly 52% customers feels overall package is
good and 37% feels its excellent. 8% feels netural. And only 3% says it is poor.

65
15.what are your Overall ratings for Parle agro brands?

a. excellent b. good c. neutral d. poor e. very poor

Table:15

S. no Attributes No. of respondents % of respondents

1. Excellent 35 29

2. Good 40 33

3. Neutral 24 20

4. poor 12 10

5. Very poor 9 8

Total 120 100

Graph:15

overall rating for parle agro brand

35

30

25

20

15 % of respondents

10

0
Excellent Good Neutral poor Very poor

Interpretation:
Brand name is more important for a product thay give differeent ratings for different
brands . for parle agro brand nearly 33% has given good in ratings . 29% given excellent. 205
given netural. 10% given poor ratings. Only 8% are given verry poor.

66
16. what is your Satisfaction levels towards promotions of parle agro
brands ?
a. highly satisfied b. satisfied c. neither satisfied nor dissatisfied

d. dissatisfied e. highly dissatisfied

Table:16

S. no Attributes No. of respondents % of respondents

1. Highly satisfied 20 17

2. Satisfied 45 38

3. Neither satisfied nor 33 27

dissatisfied

4. Dissatisfied 15 12

5. Highly dissatisfied 7 6

Total 120 100

Graph:16

40
38
35
30
% of respondents

27
25
20
17
15
12
10
5 6

0
Highly satisfied Satisfied Neither satisfied Dissatisfied Highly
nor dissatisfied dissatisfied
Attributes

Interpretation:
parle agro do various promotional activities to attract customers.when customers
satisfied with the promotions they buy the products. Nearly 38% respondents are satisfied
with the promotions of the parle agro.17% are highly satisfied .27% are neithersatisfied nor
dissatisfied.12% are dissatisfied.

67
17. weather the Company reaching customers expectations in the market?
a. strongly b. agree c. moderate d. disagree e. strongly disagree

Table:17

S. no Attributes No. of respondents % of respondents

1. Strongly agree 15 12

2. Agree 38 32

3. Moderate 26 22

4. Disagree 30 25

5. Strongly disagree 11 9

Total 120 100

Graph:17

35
32
30
25
25
% of respondents

22
20

15
12
10 9

0
Strongly agree Agree Moderate Disagree Strongly
disagree
Attributes

Interpretation
Companies should always reach the customers expertations to stay in the market.
Parle agro brand is reaching the expertations of the customers ? for this nearly 32% agree this
. 25% resondents are not agree to this .22% are moderate. 12% are strongly agree it.and 9%
are strongly dissagree this

68
.

CHI-SQUARE TEST

Ho: The age group is independent of perception of customer towards parle

agro brands

Age group Excellent Good Neutral Bad Very bad Total

10-15 6 8 3 2 1 20

15-30 12 30 9 5 4 60

30-40 5 7 6 4 3 25

>40 2 4 5 2 2 15

Total 25 49 23 13 10 120

The table of expected frequency is:

4.16 8.16 4.6 2.16 1.6 20.68

12.5 24.5 11.5 6.5 5 60

5.2 10.20 4.79 2.70 2.08 24.97

3.12 6.12 2.87 1.62 1.25 14.98

24.98 48.98 23.76 12.98 9.93 120

69
Arranging the observed and expected frequencies in the following order:

Observed values Expected values (O-E)2 (O-E)2/E

6 4.16 3.38 0.8125

12 12.5 0.25 0.02

5 5.2 0.04 0.0076

2 3.12 1.25 0.4006

8 8.16 0.02 0.0024

30 24.5 42.25 1.7244

7 10.20 10.24 1.003

4 6.12 4.49 0.7366

3 4.6 2.56 0.5565

9 11.5 6.25 0.5434

6 4.79 1.46 0.3048

5 2.87 4.53 1.5783

2 2.16 0.02 0.0092

5 6.5 2.25 0.3461

4 2.70 1.69 0.6259

2 1.62 0.14 0.0864

1 1.6 0.36 0.225

4 5 1 0.2

3 2.08 0.84 0.4038

2 1.25 0.56 0.448

120 10.03

70
Degree of freedom = (r-1) (c-1)

= (4-1) (5-1)

=3*4

= 12

 The value of chi – square for 12 of freedom at 5% level of significance is 21.0

 The calculated value of chi – square 10.03 is less than the table value (21.0) at 5%
level of significance with 12 degree of freedom. So that Ho is accepted.

INFERENCE:

The age group is independent of perception of customers towards parle agro brands.
based on the age group and their independent perception of the customer . the result may be
change.

71
CHAPTER – 5

FINDINGS,

SUGGESTIONS

CONCLUSION
 FINDINGS:

 Nearly 39% of the customers are known about parle agro brands through
Electronic media and 24% of the customers are known through their friends.

 48.33% of the customers mostly prefer mango Frooti and 26% of the customers
prefer Appy. Only 3.33% of customer prefer café cuba.

 38% of the customers feels that mango frooti is a excellent in quality and 37% feel
that the quality is good. Only 3% feel that its quality is very poor.

 50% of the customers strongly agree with mango Frooti available in lower price
and at reasonable price.

 Nearly 40% of the customers agreed that mango frooti is a health drink and they
feels that it is good for health.

 69% of the customers feels that there a difference between appy classic and appy
fizz regarding their taste. Only 31% says there is no difference.

 Nearly 45% of customers prefer pet bottles for appy fizz and 25% prefer tetra
packs. for appy classic customers prefer both bottle pack and tetra packs.

 Most of the customers 35% prefer 160 ml packs and other than that they prefer
250ml packs.

 Most of the 42% customers are not satisfied with advertisement of appy.

72
 Nearly 54% of customers treat saint juice as health drink .34% treat saint juice
for thrust .

 Most of the customers feel that price of saint juice are high.

 Most of the customers accepted that they are getting awareness of saint juice
through frequent advertisement.

 Most of the customers are satisfied with the package of parle agro products.

 Most of the customers are satisfies with promotions used by the parle agro brand
for its products.

 Nearly 32% of customer fells that company is reaching the customer expertations
and 25% are not agreed with the statement.

73
 SUGGESTIONS:

 To increase the sales the parle agro should create awareness on its
products in minds of the customers.

 The company should show variation in the taste of their products.

 It should increase its promotional tool and strategies to increase its sales
and create more awareness in the minds of thee customer.

 The company should expand its services to the rural areas.

 Parle agro should rethink over the prepositioning of the saint juice as in
trade prospective.

 Parle agro should design its packages and price to attract all categories of
customers.

 The company should concentrate over the taste and preference of its brand
to meet the competition in the market.

 The proper promotion of the brand can increases the sales since there is
positive sign of less shelf life.

74
 CONCLUSION

As I study that parle agro has been refreshing India since two decades with
leading brands. with the customer perception we may able to know that , now the
beverage consumers are looking for the hygiene convince refreshing taste,
affordability, availability, healthy, and thirst quencher. It also helps us to know
what customers are excepting from the brand. Parle products are going to satisfy
all the consumer needs.

For the market survey it is found that as a brand offering. parle agro will doing
well in the market. Though parle agro is a good FMCG organization, is having a
good potential in the market than are required to make certain amendments in the
existing and launch a new range of products with different flavours and tastes.
they have improve their promotional activities to reach the all categories of
customers. That will help them in creating awareness and help in increasing their
sales, profit margin, and, good will in the market.

75
 BIBLIOGRAPHY

TITLE: Author’s Name:

1. Marketing Manager - Philip kotler

2. Marketing Management - V.S RAMASWAMY & S. RAMAKUMARI

3. Research Methodology - Donald R Cooper

(South Indian Edition 11th )

WEBSITES:

www.google.co.in

www.parleagro.com

www.managementparadise.co.in
list of soft drinks in india
industry profile of non-carbonated soft drinks.
Indian beverages industry.
 QUESTIONNAIRE
A STUDY ON CUSTOMER PERCEPTION TOWARDS PARLE AGRO
BRANDS, TIRUPATI

NAME:___________________________
AGE:_____________________________
GENDER:_________________________
OCCUPAION:_____________________

1. How do you know about Parle agro brands?

a. Electronic Media b. Print Media c. Friends d. Online ads

e. Any other specify________

2. Which brand do you prefer mostly in Parle agro?

a.Mango Frooti b. Appy c. Saint Juice d. Cafe Cuba e.LMN

3. What is your opinion on quality of product Mango Frooti?

a. Excellent b. Good c. Average d. Poor e. very poor

4. Is mango Frooti available in lower price in the market?

a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly

Disagree

5. Do you believe that mango Frooti is good for health?

a. Strongly agree b. Agree c. Disagree d. Strongly Disagree

6. Is there any difference between Appy fizz and Appy classic regarding
taste?
a. Yes b. No
7. Which pack will you prefer between Appy fizz and Appy classic?
a. Appy fizz tetra pack b. Appy fizz pet bottle
c. Appy classic tetra pack d. Appy classic pet bottle

8. Which quantity do you choose in Appy?

a. 160ml b. 200ml c. 250ml d. 500ml e. 1ltr

9. What is your level of satisfaction with the Appy advertisement?

a. Highly satisfied b. satisfied c. Moderate d. Dissatisfied e. highly
dissatisfied

10. How do you view saint juice?

a. As a health drink b. As a status symbol c. As an aid of put off thirst

11. What induces you deal with Fruit juices?

a. Good Nutrition b. Quality c. Availability d. Taste e. Refreshment

12. What is your opinion on the price of Saint Juice?

a. Very high b. High c. Moderate d. Low e. very low

13. Do you think frequent advertisement will give more awareness on Saint
Juice?

a. Strongly agree b. Agree c. Neutral d. Disagree

e. Strongly Disagree

14. How is overall packaging appearance of Parle agro brands?

a. Excellent b. Good c. Neutral d. Poor e. Very Poor

15. Overall ratings of product line of Parle agro?

a. Very likely b. Somewhat likely c. Neutral d. somewhat unlikely

16. State the level of satisfaction towards the promotional activity of Parle
agro brands?

a. High satisfied b. satisfied c. Neutral d. Dissatisfied

e. Highly dissatisfied

17. Is company reaching to customer expectations in the market?

a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly

Disagree

18. Any other suggestions, please specify ……………………

Thank you for your kind attention on my research and spending your
valuable time with me.

Signature of the respondent