Market Research Submitted To- Prof

Market Research Submitted to- Prof. M.R.Suresh

Submitted by:- Group C2 Ankur Malpani (13130) Arunesh Lall (13134) Dinesh M.R (13141) Gaurav Lalwani (13143) Jyoti Balasubramanian (13147) Mohnish Mishra (13156)

Market Research Proposal-I Group C2

Table of Contents

1. Introduction ...... 2 1.1 Market features ...... 2 1.2 Market Background...... 2 1.3 Marketing Issues: ...... 2 2. Decision making context ...... 3 3. Executive Summary ...... 3 4. Research objective ...... 3 5. Research Boundary ...... 4 Define Mysore- ...... 4 After Shave Lotion ...... 6 Scope of Park Avenue After Shave Lotion...... 6 What Should Park Avenue Do.? ...... 6 6. Hypothesis ...... 7 7. Information Requirements Planning and Dummy table...... 7 A Dummy table for Park Avenue...... 7 8. Research design ...... 9 A) Sampling Technique – Cluster Sampling ...... 9 9. Data collection method ...... 10 10. Questionnaire ...... 11 REFERENCES ...... 13

Market Research Proposal-I Group C2

1. Introduction 1.1 Market features The men’s grooming market which includes face cleansers, moisturizers, hair gels, body washes, deodorants and shaving products is estimated at around Rs.1, 500 crore, largely in urban India. Industry players say that the market has been growing at around 20%, with face care products and deodorants growing at twice the pace. Industry executives say the major challenge in the market is one of penetration. According to Ramesh Viswanathan, Executive Director of CavinKare pricing is very critical, especially in the context of rural markets.

MAJOR PLAYERS

Sr. No. Company Product Sizes Available Availability 1 Hindustan Lever Axe 50ml,100ml All major retail stores. 2 Raymond Park Avenue 50ml,100ml All major retail stores. 3 Procter and Gamble Old Spice 50ml,100ml All major retail stores. 4 Nivea Nivea Sensitive 100ml Malls, Departmental stores. 5 Procter and Gamble Gillette 50ml,100ml All major retail stores. 6 Amway India Dynamite 100ml,200ml Amway outlets, Amway agents. 7 Khadi Cosmetics Khadi premium 250 ml Company outlets. 8 Rustic Art Rustic Organic 75ml,150ml Company outlets.

1.2 Market Background

 Traditionally man has used alum as an after shave.  With development in the standard of living more people are using after shave lotion.  Initially imported and expensive brands like English leather, Yardley, Williams etc. were used by the upper segment of the people.  Need for cheaper and indigenous brands was felt.  Old spice and Monarch were launched in 70’s.  Old spice captured a major market share.  In 80s some new brands like-savage, Park Avenue, old spice musk were launched.  After Shave Lotion market is thus getting more competitive.

1.3 Marketing Issues:

 Market share of various brands.  Perception of consumers about Indian vis-à-vis foreign brands.

Market Research Proposal-I Group C2

 Characteristics sought after in an after shave lotion, reasons for retaining or changing the brand.  Purchasing behavior of consumers.  Effect of advertisements.

2. Decision making context

Park Avenue is an established brand in the Indian cosmetics market since 1986 under the umbrella of Raymond. Park Avenue intends to expand the segment of the Indian cosmetic industry on account of underlying potential and opportunities it carries.

Nowadays, increasing demand for aftershave products has led to wide opportunities in this sector. Raymond is keen to expand its presence in this segment through its product park avenue. Mysore has 43 cosmetic dealers at present and they are growing exponentially. Given the fact that the city has such a huge growth potential, company have approached us as they need to figure out whether Mysore has a significant customer base for their products.

3. Executive Summary

Aftershave lotions have huge market all over the world because it is the basic and primary need of men. Many brands are grooming in India and across the globe. With wide range of products aftershave lotions caters to premium segment of men’s grooming market. Aftershave lotions have intense competition among different brands in the shaving preparations market (shaving gel/foam/cream). With this intense competition, aftershave lotions has to cater to the various needs of consumers.

The Project aims to test the buying behavior of the people residing in Mysore as per the statement given for aftershave lotions from different age group consumers as defined in our population definition.

4. Research objective

 To assess consumer awareness about various aftershave lotion brands in the market.  To analyse the buying behaviour of the consumers, reasons for preferring a particular brand.  Examine the parameters that play the most important role in a consumer’s choice of buying aftershave lotion.  To define the brand loyalty of customers towards aftershave lotion.

Market Research Proposal-I Group C2

5. Research Boundary

Define Mysore- Mysore is the third-largest city in the state of Karnataka (after Bangalore and Hubli), India. Located at the base of the Chamundi Hills about 146 km (91 mi) southwest of the state capital Bangalore.

According to Mysore Municipality it is spread across an area of 128.42 km2 (50 sq. miles)

Total land area usage in Mysore city is 39.9% residential, 16.2% roads, 13.8% parks and open spaces, 13.48% industrial, 8.96% public property, 3.02% commercial, 2.47% agriculture and 2.15% water

We divided Mysore in 69 regions According to Post Office (as of 14/9/2011)

 Ashokpuram - 570008  Metagalli - 570016  Basaveswara Block - 571602  Mysore Fort - 570004  Belvadi - 571186  Mysore Head Office - 570001  Brindavan Extension - 570020  Mysore Law Courts - 570004  Chamundipuram - 570004  Mysore South - 570008

Market Research Proposal-I Group C2

 Kabir road 570001  Chamundi extn - 570004  Mysore university - 570005  Chamundi hill - 570010  Nachanahalli palya - 570008  Devaraja mohalla - 570001  Narasimharaja mohalla - 570007  Food technology 570013  Nanjumallige circle - 570004  Gandhinagar - 570007  Nazarbad - 570010  Gayathripuram - 570001  New bamboo bazar - 570021  Gokulam extension - 570002  New banl)imantap extension - 570015  Hinkal - 570017  P.t.c.campus - 570011  Indira nagar - 570010  Rajendranagar - 570007  Industrial estate - 570020  Ramakrishna vidyalaya - 570020  Lashkar mohalla - 570001  Yadavagiri - 570020  Manasagangothri - 570006  Mandi mohalla - 570021  Yelwal - 571130  Industrial suburb - 570008  Ramanuja road - 570004  Iningere - 570001  Regional college of education - 570006.  Ittigegud - 570010  Saraswathi puram - 570009  J.p.nagar - 570008  Sarvajanika hostel road - 570004  J.t. extension - 570023  Second idiga - 570021  Jalapuri - 570019  Shivarathreeswara nagar 570015  Jayalakshmipuram extension - 570012  Siddarthanagar - 570011  Jayanagar extension - 570014  Sri krishnarajendra mills 570003  Jyothinagar - 570011  Srirampura - 570008  K.r.circle 570001  Tilak nagar 570021

Market Research Proposal-I Group C2

 K.r.mohalla 570024  Udayagiri 570019  University campus 570005  Kantharaje urs road 570004  V.v.market 570004  Krishnamurthy puram - 570004  Vani vilils mohalla - 570002  Kuvempunagar - 570023  Vidyaranyapuram - 570008  Kyathamaranahalli - 570019  Vijayanagar - 570017  Lakshmipuram - 570004  Vishweshwara nagar – 570008

After Shave Lotion COMPANY - An aftershave lotion is a lotion use mainly by men after they have finished shaving. It contains an antiseptic agent such as denatured alcohol or tearate citrate which prevents infection.

INDUSTRY - Aftershave is a product used most commonly by men on the skin of the face after shaving, it helps keep the skin smooth and in good condition.

CONSUMER-Men use an aftershave lotion after they have finished shaving. To prevent infection from cuts, as perfume, and as moisturizer to soften the facial skin.

RESEARCHERS: An aftershave lotion is a liquid created from chemical/herbal agents that soothes the skin and keeps it smooth after a shave, it also protects the skin from infections and heals any abrasions from the shave. Some lotions even act as a moisturizer and leave a lingering fragrance.

Scope of Park Avenue After Shave Lotion Scope of park Avenue or others brand is very good because the market for male grooming products is forecast to experience increases over next five years, propelled by technological innovation, significant new product launches, high levels of consumer engagement, and growing interest among male consumers in the use of grooming product.

What Should Park Avenue Do.?  Use advertisements to improve visibility  Launch brand with attractive packaging as a gift.

Market Research Proposal-I Group C2

 Introduce attractive features and offers in the product.

6. Hypothesis

Null Hypothesis: No significant difference with respect to the attributes, price and brand between young and old age groups, while buying aftershave lotion. (Brand image and price is insignificant while making the decision to buy.)

Alternate Hypothesis: There exists a significant difference with respect to the attributes, price and brand between young and old age groups, while buying aftershave lotion. (Brand image and price plays a significant role while making the decision to buy.)

7. Information Requirements Planning and Dummy table.

Information Sources of Primary or Measurement Scale Requirements Information Secondary

Individuals, retailers Age group Primary Nominal and distributers Individuals, retailers Income group Primary Nominal and distributers Attributes/ Individuals, retailers Characteristics and distributers and Primary/ Secondary Ordinal preference/ Aesthetic internet Appeal

Retailers and Price Range distributers, Primary Nominal Individuals, Note: Individuals include students, professionals and homemakers.

A Dummy table for Park Avenue

P value < .003

P value <.05

Market Research Proposal-I Group C2

Independent variable Standardized Rank (importance in Mean Score rank Regression coefficient determining frequency) (How Park Avenue’s rank compared to the ten closest competitors) .50** 1 6 Packaging

Fragrance .45** 2 7

Market Research Proposal-I Group C2

Pleasantness on skin .30** 3 5

Convenience of .25* 4 8 location

Advertising .15** 5 3

Prices .05** 6 4

Table 1.1: Regression table: Results showing which variables determine Aftershave Lotion’s Loyalty. Table 1.1 shows a dummy table for our research proposal. From this, we can see that it shows which thing most determine how often a customer chooses an aftershave lotion over its top competitors. If the results turn out as shown in the dummy table, it would suggest that Park Avenue needs to emphasize on packaging, fragrance, pleasantness on skin, convenience of location, advertising, and pricing to establish sensitivity. In contrast, results like these would emphasize that customers are not price-sensitive. Price is not a factor when determining brand loyalty.

These results indicate that emphasis on cost control, to the extent that it lowers prices, reduces the fragrance or packaging quality is misplaced and harmful. In addition, results like these would suggest that Park Avenue’s strengths are things that are not very important. Although the results say that Park Avenue is second overall in terms of consumer price perceptions, this variable does not determine loyalty. Looking at the dummy table, Park Avenue can see how the results could be used.

8. Research design

A) Sampling Technique – Cluster Sampling

Market Research Proposal-I Group C2

We will do cluster sampling by collecting samples between four age groups as mentioned below, simple random sampling by selecting people randomly in the selected groups. To perform the same we will collect samples from male students of different colleges to cater to young age group and residential area such as apartments for old and super markets and men hair saloons for both.

 Sampling Frame: Residential areas, Super markets and Educational institutions.

 Sampling unit: Households, corporate and students.

 Sample Size: 100 (20 from each chosen region)

 Population: All people (male) between age group of 18 and above using aftershave lotion in the district of Mysore defined as per the given statement.  Clusters: 4 different groups of age group – (18:25), (26:35), (36:50) and (above 50).

 Obtain a simple random sample: Five region selected in and around Chamundi Hill and Siddhartha Layout out of the given region division.

 Sample: 5 people from each cluster in the selected region chosen on first come basis.

9. Data collection method

The process of data collection will include face to face interviews. We are choosing this process, as this is the apt for products like aftershave lotions, where the target market are only men and we could interact with them in person and get the responses while buying a shaving product and lotion.

Market Research Proposal-I Group C2

10. Questionnaire

Dear respondent,

We are conducting a survey for aftershave lotions and shaving lotions. We would be grateful if you fill up this questionnaire and co-operate us for the success of our project.

1. Do you use an aftershave lotion? () Yes () No

2. Which of the following brands have you heard of?

(a) Park Avenue (b) Old Spice (c) Axe (d) Yardley (e) Khadi Aftershave (f) Rusticart Aftershave

3. Which aftershave lotion are you using presently?

4. Can you give reasons for consistency in your aftershave lotion?

(a) Habitual (b) Value for money (c) Don’t like others (d) Any other please specify

5. Can you give reasons for change in your aftershave lotion? (a) Like to try other brands (b) For a change (c) All brands are same (d) Any other please specify

6. Why do you use an aftershave lotion? (a) As an antiseptic (b) As a perfume (c) To feel fresh (d) Girlfriend loves it

Market Research Proposal-I Group C2

(e) To feel the sting (f) Any other reason

7. When do you use an aftershave? (a) After a shave (b) After a bath (c) Anytime of the day (d) Before going to a party

8. Given an easy availability of Indian and foreign brand which one would you choose?

(a) Imported (b) Indian

9. Who buys the aftershave lotion for you? (a) Self (b) Family (c) Normally get it as a gift.

10. Here we have mentioned a set of factors that you may consider while buying an aftershave lotion. Give your response on a 5 point scale ranging from 1- Most important to 7- Least important for each of them.

(a) Price (b) Brand name (c) Fragrance (d) Antiseptic property (e) Packaging

Market Research Proposal-I Group C2

REFERENCES

 http://www.worldlistmania.com/list-largest-cities-karnataka/

 http://en.wikipedia.org/wiki/Mysore

 http://www.mapsofindia.com/mysore/pin-code.html

 http://www.gcimagazine.com/marketstrends/regions/bric/A-Boom-in-Mens-Grooming- in-India-230093291.html

 http://www.zeepedia.com/read.php?types_of_probability_sampling_systematic_random_ sample_research_methods&b=71&c=28

 http://www.rgs.org