role of sales promotion in FMCG Sector (Bathing Soaps)

1. Sub : Research Methodology
Project on
Role of Sales Promotion in FMCG
Presented by :
Jay
Vakharia(03)
Shahrukh
Khan(09)
Sunny
Jain(13)

2. Contents
 Purpose of Research
 Objective
 Hypothesis
 Nature of Research
 Research Methodology
 Research Design
 Sampling Design
 Data Collection Tool
 Data Analysis
 Result
 Conclusion

3. Purpose of Research
 “Role of sales promotion in FMCG
sector (bathing soaps)”.
 To study consumer oriented sales
promotion in FMCG sector in which
emphasis given to the effect of sales
promotion on buying habits of
consumers.

4. OBJECTIVE
 To study consumer preferences with
respect to sales promotion in FMCG
sector.
 To study the effect of sales promotions in
FMCG sector especially in soaps
industry.
 To study consumer behavior in purchase
of soaps.
 To study media habits of consumer

5. HYPOTHESIS
 Ho: There is no significant difference between
consumer preference of cash discount and free
gifts as sales promotion scheme.
 H1: There is significant difference between
consumer preference of cash discount and free
gifts as sales promotion scheme.
 Ho: Annual income do not have a significant
effect on the purchase of Brand.
 H1: Annual income have a significant effect on
the purchase of Brand.

6. NATURE OF RESEARCH
 Exploratory

7. RESEARCH METHODOLOGY
Research Objectives
Product categories under study(Bathing
Soaps)

8. Research Design
We have focused on primary research. It
includes the analysis and results of survey
which focuses on consumer’s behaviour
towards sales promotion campaign and
promotional incentives given by companies
to retailers to push their brands.
The survey is conducted with the help of
structured questionnaire. We have also
used secondary research for collecting
information on FMCG industry i.e., balance
sheet , turnover , new products introduced ,
variety of soaps available.

9. Sampling Detail
 Target population: The population for
this research study consists of the
residence of south Mumbai.
 Sampling unit: In this study the
sampling unit is individual consumer.
 Sample size: 25 consumers 25
retailers.
 Sampling method: The sample is
selected by using convenience-
sampling method.

10. DATA COLLECTION TOOL
 Primary Data Collection Method:
◦ Survey method was used for primary data
collection.
◦ We used questionnaire as an instrument
for survey method.
◦ Structured questionnaire.
◦ Type of questionnaire: Open ended and
closed ended.
 Secondary Data Collection
method:
◦ Internet.

11. DATA ANALYSIS-consumer
1.Which brand of soap do you use ?
22
5
3
6
14
0
5
10
15
20
25
lux lifebuoy pears dove dettol
RESPONDENTS
RESPONDENTS

12. Q2. Do you always buy the same
brand of Soap?
28
22
0
5
10
15
20
25
30
Yes No
RESPONDENTS
RESPONDENTS

13. Q3. Which factors do you normally
consider while purchasing a
particular brand of Soap?
0
5
10
15
20
25
30
BATHING SOAPS
BATHING SOAPS

14. Q4. Do you consider Annual Income while
purchasing a particular brand of soap?
Here H1 is accepted as the graph shows
that 39 out of 50 consumers consider
A.income while purchasing.
0
10
20
30
40
50
YES NO
RESPONDENTS
RESPONDENTS

15. Q5. Which of the following promotional
schemes you have come across so
far?
0
5
10
15
20
25
30
35
40
45
RESPONDENT
RESPONDEnT

16. Q6. Which medium do you feel is
suitable to promote the various
promotional schemes?
3
30
12
3 2
0
5
10
15
20
25
30
35
Mediums to promote the promotional
schemes
respondents

17. DATA ANALYSIS-Retailers
Q1. Since how long are you in this
business?
0
5
10
15
20
25
30
35
1-5 Years 5-10 Years More than 10
years
respondents

18. Q2. Name the Soap you stock ?
9
11
8
2
20
0
5
10
15
20
25
lux lifebuoy pears dove dettol
soaps in stock
respondent

19. Q3. Rank the following factors that
customers look for in the purchase of
Soap ? (Rank from 1-5)
0
5
10
15
20
25
30
35
1 2 3 4 5
Fragrance
Quality
Company Image
Price
Packaging

20. Q4. Do you suggest customers to purchase a certain brand?
Q5. If Yes why?
0
20
40
Yes No
Suggestion
Respondents
0
5
10
15
20
25
30
Reasons
Respondents

21. Q6. Do customers look for various
schemes in the product?
discounts, product bundling and extra
quantity are more demanded by the
consumers over others schemes.
0
10
20
30
40
50
Yes No
Customers look for various schemes
Respondents

22. RESULT
SOAPS RESPONDENT
(CONSUMERS)
RESPONDENT
(RETAILERS)
R1 R2 D=R1-R2 D2
LUX 22 9 1 3 -2 4
LIFEBU
OY
5 11 4 2 2 4
PEARS 3 8 5 4 1 1
DOVE 6 2 3 5 -2 4
DETTO
L
14 20 2 1 1 1
TOTAL 14
Spearsman Rank is 0.16
Hence, there is no co-relation when the response taken from
Consumers & Retailers

23. Findings
 People are not much aware of the schemes which continue in the market
it may be because of the present stock of the product at their place.
 1+1 or 2+1 or other free schemes are more demanded and more aware
schemes in the market.
 People are ready to switch over to another brand if they find better
promotional schemes which suits their budget means more qyt + less
cost + quality.
 Retailer stocks all types of soap because of competition.
 People are more quality and price oriented.
 Consumer remember that name of the product by the company name
and also from the past performance of that company.
 HUL attracts more consumers through such promotions, such as display
of the product, banners etc.

24. Recommendations
 Companies need to create sufficient
awareness about sales promotion schemes
through mass media in order to create
awareness.
 It is essential that companies need to design
attractive, striking for scheme
announcements.
 It is necessary that the perceived value of a
free gift has to be appealing and high for the
target consumers.
 Repetitive use of the same premium for a
prolonged period may have negative effect on
the loyal customers.

25. Limitation of the study
 We considered South Mumbai region only because of
limited time duration.
 Due to this, our sample size is only 50, which is not very
large.
 All the respondents could not fill their questionnaire on
their own due to language problem and also problem of
time and lack of positive behavior.
 Respondent may give biased answer due to some lack
of information about other brands.
 Findings of the study are based on the assumption that
the respondents have given correct information.

26. Conclusion