CHANAKYA NATIONAL LAW UNIVERSITY

A PROJECT OF
MARKETING MANAGEMENT
ON
“CONSUMER PROFILE OF DIFFERENT PATANJALI
PRODUCTS AVAILABLE IN THE MARKET”

SUBMITTED TO: SUBMITTED BY:

Dr. Manoj Mishra Abhishek Singh
(Faculty of Marketing Management) Roll No. - 1606
Semester – 2nd
B.BA LL.B
Session – 2016-2021

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 DECLARATION BY THE CANDIDATE

I hereby declare that the work reported in the BB.A. LL.B (Hons.) Project Report entitled
“CONSUMER PROFILE OF DIFFERENT PATANJALI PRODUCTS AVAILABLE IN THE MARKET.”
submitted at Chanakya National Law University; Patna is an authentic record of my work
carried out under the supervision of Dr. Manoj Mishra. I have not submitted this work
elsewhere for any other degree or diploma. I am fully responsible for the contents of my
Project Report.

(Signature of the Candidate)

ANHISHEK SINGH
Chanakya National Law University, Patna

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 ACKNOWLEDGEMENT

“ IF YOU WANT TO WALK FAST GO ALONE

IF YOU WANT TO WALK FAR GO TOGETHER”
A project is a joint endeavor which is to be accomplished with utmost compassion, diligence
and with support of all. Gratitude is a noble response of one’s soul to kindness or help
generously rendered by another and its acknowledgement is the duty and joyance. I am
overwhelmed in all humbleness and gratefulness to acknowledge from the bottom of my
heart to all those who have helped me to put these ideas, well above the level of simplicity
and into something concrete effectively and moreover on time.
This project would not have been completed without combined effort of my revered
Marketing Management teacher Dr. MANOJ MISHRA whose support and guidance was the
driving force to successfully complete this project. I express my heartfelt gratitude to him.
Thanks are also due to my parents, family, siblings, my dear friends and all those who helped
me in this project in any way. Last but not the least; I would like to express my sincere
gratitude to our Marketing Management teacher for providing us with such a golden
opportunity to showcase our talents. Also this project was instrumental in making me know
more about the Consumer Profile of different Patanjali Products available in the market. It
was truly an endeavour which enabled me to embark on a journey which redefined my
intelligentsia, induced my mind to discover the intricacies involved in consumer buying
behaviour.

Moreover, thanks to all those who helped me in any way be it words, presence,
Encouragement or blessings...

- Abhishek Singh
- 2nd Semester
- B.BA LL.B

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 TABLE OF CONTENTS

Acknowledgement………………………………………………………………3

Table of Contents……………………………………………………………….4

Aims and Objectives…………………………………………………………….5

Research Methodology………………………………………………………….5

1. Introduction…………………………………………………………….6-7

2. Consumer Buying Behaviour…………………………………………8-10

3. A Report on Patanjali Ayurveda…………………………………….11-16

4. Findings and Suggestions……………………………………………17-21

5. Conclusion………………………………………………………………22

Bibliography……………………………….......................................................26

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 AIMS AND OBJECTIVES

The objective of this project is to bring to light, using research and reports,
interviews and questionnaire on the consumer profile of various Patanjali
products available in market.

RESEARCH METHODOLOGY
For this research both doctrinal and non-doctrinal methods of research were
used.
Various literary works and reports from the library and the internet were used
extensively in collecting the data essential for this study for the doctrinal part of
this research.
For the non-doctrinal part of the research questionnaire was circulated among
the consumers of Patanjali products and the retailers of the Patanjali products
were also interviewed.
The method of writing used in this project is primarily analytical.

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 INTRODUCTION
Patanjali Ayurved started in 2007 and has benefited from close association with
well-known yoga guru Baba Ramdev. The company is different from a typical
business and the stated philosophy is to plough back profits into the company or
to be used for social causes. The idea is to be present in as many categories as
possible in order to give consumers more choices, and profits are to be
reinvested in innovation and capacity expansion so pricing can be made more
competitive. The firm, in fact, has priced its product at a significant discount to
others in a number of categories, which is helping drive sales.
Patanjali is also said to be benefiting from a shift in consumer preferences
towards herbal and ayurvedic products which are considered to be closer to
nature. It has also positioned itself as a swadeshi brand, which has an appeal
among a category of consumers. Patanjali started its operations with Patanjali
yogpeeth in Hardiwar, Uttarakhand. Patanjali yogpeeth is one of the largest
yoga institutes in the country. Swami Ramdevji Maharaj and Acharya
Balkrishanaji Maharaj set up Patanjali Ayurveda Pvt Ltd for treatment, research
and development and for the manufacturing of ayurvedic medicines in Yoga
and Ayurveda.
Patanjali Yogpeeth offers treatment and scientific research and has brought a
revolution when it comes to healthcare in the country with the combined
approach of Yoga and Ayurveda.1
The infrastructural facilities at Patanjali Yogpeeth includes an OPD for free
medical consultation, IPD of thousand beds, laboratory for test investigation of
radiology, cardiology and pathology, a yoga research department, free yoga
classes, high quality ayurvedic medicines manufactured by Divya pharmacy,
facilities of library and reading room along with a cyber café, a huge

1
http://www.thehindu.com/news/cities/mumbai/business/fastmoving-ayurvedic-goods/article8187124.ece

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auditorium, apartments for senior citizens, a grand museum and a sale outlet of
11,000 square feet for literature related to yoga and Ayurveda.
Consumer buying behaviour is the sum total of a consumer's attitudes,
preferences, intentions, and decisions regarding the consumer's behaviour in the
marketplace when purchasing a product or service. The study of consumer
behaviour draws upon social science disciplines of anthropology, psychology,
sociology, and economics.
According to Engel, Blackwell, and Mansard, ‘consumer behaviour is the
actions and decision processes of people who purchase goods and services for
personal consumption’.
According to Louden and Bitta, ‘consumer behaviour is the decision process
and physical activity, which individuals engage in when evaluating, acquiring,
using or disposing of goods and services’.

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 CONSUMER BUYING BEHAVIOUR
Consumer buying behaviour is the sum total of a consumer's attitudes,
preferences, intentions, and decisions regarding the consumer's behaviour in the
marketplace when purchasing a product or service. The study of consumer
behaviour draws upon social science disciplines of anthropology, psychology,
sociology, and economics.
Consumer behaviour is the study of individuals, groups, or organizations and
the processes they use to select, secure, use, and dispose of products, services,
experiences, or ideas to satisfy their needs and wants. It is also concerned with
the social and economic impacts that purchasing and consumption behaviour
has on both the consumer and wider society. Consumer behaviour blends
elements from psychology, sociology, social anthropology, marketing and
economics, especially behavioural economics. It examines how emotions,
attitudes and preferences affect buying behaviour. Characteristics of individual
consumers such as demographics, personality lifestyles and behavioural
variables such as usage rates, usage occasion, loyalty, brand advocacy,
willingness to provide referrals, in an attempt to understand people's wants and
consumption are all investigated in formal studies of consumer behaviour. The
study of consumer behaviour also investigates the influences, on the consumer,
from groups such as family, friends, sports, reference groups, and society in
general.2
The study of consumer behaviour is concerned with all aspects of purchasing
behaviour - from pre-purchase activities through to post-purchase consumption
and evaluation activities. It is also concerned with all persons involved, either
directly or indirectly, in purchasing decisions and consumption activities
including brand-influencers and opinion leaders. Research has shown that
consumer behaviour is difficult to predict, even for experts in the field.

2
http://study.com/academy/lesson/what-is-consumer-buying-behavior-definition-types-quiz.html

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However, new research methods such as ethnography and consumer
neuroscience are shedding new light on how consumers make decisions.
Customer relationship management (CRM) databases have become an asset for
the analysis of customer behaviour. The voluminous data produced by these
databases enables detailed examination of behavioural factors that contribute to
customer re-purchase intentions, consumer retention, loyalty and other
behavioural intentions such as the willingness to provide positive referrals,
become brand advocates or engage in customer citizenship activities. Databases
also assist in market segmentation, especially behavioural segmentation such as
developing loyalty segments, which can be used to develop tightly targeted,
customized marketing strategies on a one-to-one basis.
Stages of the Consumer Buying Process

Six Stages to the Consumer Buying Decision Process (For complex decisions).
Actual purchasing is only one stage of the process. Not all decision processes
lead to a purchase. All consumer decisions do not always include all 6 stages,
determined by the degree of complexity.3
The 6 stages are:
Problem Recognition(awareness of need)--difference between the desired state
and the actual condition. Deficit in assortment of products. Hunger--Food.
Hunger stimulates your need to eat.
Can be stimulated by the marketer through product information--did not know
you were deficient? I.E., see a commercial for a new pair of shoes, stimulates
your recognition that you need a new pair of shoes.
Information search--
Internal search, memory.

3
https://www1.udel.edu/alex/chapt6.html

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External search if you need more information. Friends and relatives (word of
mouth). Marketer dominated sources; comparison shopping; public sources etc.
A successful information search leaves a buyer with possible alternatives, the
evoked set.
Hungry, want to go out and eat, evoked set is
Chinese food
Indian food
Burger king
Klondike kates etc.
Evaluation of Alternatives--need to establish criteria for evaluation, features
the buyer wants or does not want. Rank/weight alternatives or resume search.
May decide that you want to eat something spicy, Indian gets highest rank etc.
If not satisfied with your choice then returns to the search phase. Can you think
of another restaurant? Look in the yellow pages etc. Information from different
sources may be treated differently. Marketers try to influence by "framing"
alternatives.4
Purchase decision--Choose buying alternative, includes product, package,
store, method of purchase etc.
Purchase--May differ from decision, time lapse between 4 & 5, product
availability.
Post-Purchase Evaluation--outcome: Satisfaction or Dissatisfaction. Cognitive
Dissonance, have you made the right decision. This can be reduced by
warranties, after sales communication etc.
After eating an Indian meal, may think that really you wanted a Chinese meal
instead.

4
https://www1.udel.edu/alex/chapt6.html

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 A REPORT ON PATANJALI AYURVEDA

Patanjali started its operations with Patanjali yogpeeth in Hardiwar,

Uttarakhand. Patanjali yogpeeth is one of the largest yoga institutes in the
country. Swami Ramdevji Maharaj and Acharya Balkrishanaji Maharaj set up
Patanjali Ayurveda Pvt Ltd for treatment, research and development and for the
manufacturing of ayurvedic medicines in Yoga and Ayurveda.
Patanjali Yogpeeth offers treatment and scientific research and has brought a
revolution when it comes healthcare in the country with the combined approach
of Yoga and Ayurveda.
The infrastructural facilities at Patanjali Yogpeeth includes an OPD for free
medical consultation, IPD of thousand beds, laboratory for test investigation of
radiology, cardiology and pathology, a yoga research department, free yoga
classes, high quality ayurvedic medicines manufactured by Divya
pharmacy, facilities of library and reading room along with a cyber café, a huge
auditorium, apartments for senior citizens, a grand museum and a sale outlet of
11,000 square feet for literature related to yoga and Ayurveda.

Patanjali Ayurveda- Entry into FMCG

Patanjali started off manufacturing bulk ayurvedic medicines later branching its
operations into FMCG markets as well. Since, the FMCG market has low entry
barriers, Patanjali soon established itself as a major consumer goods’
manufacturer. The recent trends clearly imply that the company’s priorities are
shifting from medicines to consumer goods, perhaps because the net revenues
earned through FMCG are on par with ayurvedic medicines.5

5
http://stellarix.com/fusce/a-report-on-patanjali-ayurveda/

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Patanjali Ayurveda – Current Market Insights
Patanjali as a brand currently has more than 350 products from Soap to
Toothpaste and from Oats to Health drinks. The 2014-2015 revenue of Patanjali
Ayurveda crosses Rs. 2000 crore figures. In January 2016, IIFL said “Patanjali
Ayurveda Ltd has, in a short span of less than a decade, recorded a turnover
higher than what several companies have managed to achieve over several
decades. There is no doubt that Patanjali is a disruptive force in the FMCG
space and is a credible threat for the incumbents.” The industrial data indicates
that the brand has a market share of 4-5%.

Patanjali Sales (2012-2015)

Focus on revenue over profitability

As per the report by edelresearch “The company is well on course to achieve its
targeted revenue of ~INR50‐ 60bn in FY16 (INR20.2bn in FY15). Even though

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the thrust is not on profitability, the company managed to clock ~20% EBITDA
margin in FY15, aided by better cost management (latest machinery and strong
R&D capabilities) and lower A&P spends”

Proactive moves in Innovation

Patanjali Ayurveda is aggressively planning to enter into every consumer
category. Currently Patanjali Ghee is expected to be at INR 12 billion in the
financial year 2016 and if it gains solid distribution expertise, it could pose a
serious threat to its competitors. An innovative R&D facility equipped with
latest technology, Patanjali has also launched a mobile app which helps the
consumer to locate retail outlets and for online ordering of Patanjali products

Patanjali’s Supply Chain Management

The three phases of patanjali’s supply chain are product flow, information flow
and cash flow. Patanjali has recently completed a tie up with Future group to
sell the products. They also sell their products through their own outlets opened
in almost every district/city of India. Each outlet has to send their demand to
central office at Hardiwar. Then as per the demand, various products are
gathered from various units of Patanjali. The items are delivered to outlets
majorly through Patanjali transport.

Sales and Distribution – Patanjali

Patanjali provides sale of products online and can also be procured through post
by sending the money through demand draft
Patanjali herbal products are available at Post Offices across the country
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Patanjali also has “Patanjali Chikatsalayas” and “Patanjali Arogya Kendra” in
almost all the cities of the country
To strengthen the distribution Patanjali is also implementing ERP which will
help them in managing the inventory.6

Patanjali‘s R&D facility

Patanjali’s R&D center has all the advanced technology and machinery required
for testing the products. The company also has a separate R&D department for
each of its production units. The company also has a high-end central R&D
facility.

Products at R&D level:

 Butter milk in powdered form
 Weight gain and loss products
 Madhuram
 Masala Oats

Patanjali Products in the Market

6
http://stellarix.com/fusce/a-report-on-patanjali-ayurveda/

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Patanjali’s Pipeline
Patanjali has a very strong pipeline, thanks to their innovative and huge R&D
setup.

The new products include:

 Patanjali yoga wear (Vastram)
 Dant Kanti Advance
 Sugar free Chyawanprash
 PowerVita
 Seabuck thorn dietry supplement

Pricing of Patanjali products vs its competitors

SWOT ANALYSIS

Strength
1. Spiritual connect with the consumer en masse.
2. Herbal products with natural ingredients.
3. Strong and Innovative R&D.
4. Baba Ramdev – face of the brand.

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Weakness
1. Controversies like noodles not approved by FSSAI at the time of
launching.
2. Products like putrajeewak which creates negative impact on the brand.
3. Strong competitors and low exports.

Opportunity
1. There is a large domestic market for FMCG Products.
2. Low entry barrier for new and innovative herbal products.

Threats
1. Competitors keeping a close eye on the growth of Patanjali Ayurveda.
2. Controversies around the Patanjali group.
3. Weak supply chain as compared to the competitors.

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 FINDINGS AND SUGGESTIONS
 Findings
Following are the findings of the survey conducted by the researcher.
Age group of the consumers
Age in Intervals No. of Respondents
15-25 17
26-35 13
36-45 18
46-55 8
56-65 4
Total 60

AGE

15-25
26-35
36-45
46-55
56-65

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Gender of the consumers

Gender No. of Respondents

Male 38
Female 22
Total 60

Gender

Male
Female

Occupation of the Consumers

Occupation No. of Respondents

Employees 21 (37)
Business 13(23)
Agriculture 3(2)
Students 14(25)
Housewives 9(13)
Total 60

Occupation

Employees
Business
Agriculture
Students
Housewives

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Factors Impacting on Consumer Towards Purchasing Patanjali Products

40

35

30

25
Strongly Agree
20
Agree
15
Neutral
10
Disagree
5 Strongly Disagree
0

Types of Products Consumers Purchase

Types of Products Consumers Purchase

Ayurvedic
Cosmetics
Food
Detergents

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Products Expected in Future

Products Expected in Future

Clothes
Cooking Oil
Rice
Dry Fruits
Perfumes

Reasons for expecting the above products

Reasons for expecting the above

products

Trust
Quality
Health
Swadeshi
Price

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  Suggestions

The researcher would like to give the following suggestions:

1. Most of the customers use Patanjali Ayurveda because of its quality and
reasonable price so the manufactures should maintain the same in future.
2. The good quality and reasonable price has made the brand trustworthy
and also the products are healthy, which is one of the main reasons why
the consumers prefer them. Thus, the producers must assure that this
quality of the brand does not change.
3. In the survey, it was found that the consumers are also expecting various
other products of Patanjali. The manufacturers must try to manufacture
them.
4. Good products must be made available consistently. Out-of-stock
products give a window to competition to win our customers. When we
go to a Patanjali outlet, we are not sure whether we will surely get a
particular product or not, because one or the other product is out-of-stock
regularly. Patanjali needs to strengthen its supply and distribution chain.
5. The stores are cramped. They look like a shop-cum-godown. A customer
has to struggle her way through assorted items, cartons, boxes etc. spread
across the store. The stores must be designed for a pleasant shopping
experience. A revamp is a must.
6. The stores are under-staffed. The customers have to wait for a long time
for their turn to be attended. Whatever staff is present, it is indifferent at
best. They need to be customer friendly.
7. The stores have very restrictive timings. Also, they don’t give any carry
bags (plastic, paper, cloth – nothing). Again, customer-centric approach is
required.

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 CONCLUSION

The study has revealed that the people between the age group of 15-45 are the
major consumers of patanjali products. It was observed that between age group
0f 15-25 years are preferring cosmetics. The rest of the age groups prefer food
related products. Hence the mileage can be taken to drive the market as people
are becoming more health conscious by introducing healthy food products. It
was observed in the study that noodles were not repeatedly purchased from
patanjali. Respondents were showing less interest towards detergents but were
interested towards tooth paste. Price has become a significant factor along with
ayurvedic and herbal. However patanjali is entering into much business it is
suggested that it focus on more cosmetic, health and food related products.

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 BIBLIOGRAPHY
 Books

1. Paul Baines, Chris Fill & Kelly Page, Essentials of Marketing (Oxford
University Press, New Delhi, 2013)
2. Marketing Management-Comprehensive Text, Best Practices, Corporate
Insight Arun Kumar & N. Meenakshi /Vikas Publications

 Websites

1. http://www.thehindu.com/news/cities/mumbai/business/fastmoving-
ayurvedic-goods/article8187124.ece
2. http://stellarix.com/fusce/a-report-on-patanjali-ayurveda/
3. https://www.kenresearch.com/blog/2016/07/company-profile-patanjali-
ayurved-limited-new-product-pipeline-brand-image-drive-company-
growth/
4. http://study.com/academy/lesson/what-is-consumer-buying-behavior-
definition-types-quiz.html
5. https://www1.udel.edu/alex/chapt6.html

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