A Study On

“DELAERS OPINION ON MARKETING MIX”

With Reference To
GLAXOSMITHKLINE CONSUMER HEALTHCARE LTD. FOOD
A Project Report submitted to JNTU, Kakinada
In Partial fulfillment of the requirements for the degree of
MASTER OF BUSINESS ADMINISTRATION

Submitted by

KORIKANA SRIKANTH
(REG. NO: 18B21E00N2)

Under the Guidance of

Mrs. P.VARALAKSHMI, MBA
Assistant Professor

KAKINADA INSTITUTE 0F ENGINEERING & TECHNOLOGY

(Approved by AICTE, GOVT.OF.A.P. & Affiliated to JNTU, Kakinada)
Yanam Road, Korangi-533 461 E.G.Dist (A.P.)
2018-2020
 INTRODUCTION

Economic reforms introduced in Indian economy has thrown open many opportunities to
the enthusiastic entrepreneurs. One such business opportunity is the manufacturing and marketing of
consumer healthcare drinks products. Earlier the nutritional drinks market has been dominated by the
small Indian companies. But with the advent of liberalization many big companies entered into the
business and made the nutritional drinks market highly competitive. One of the prime products of
Glaxosmithkline is Horlicks. This company is an Indian healthcare industry which is competitive in
Indian healthcare drinks market.

Glaxosmithkline plays the vital role with market volume and a share of 70%. Indian
health drink market is very large. There is a huge competition between the manufacturers. GSK is a
monopoly in the market with their brands. GSK is the leader of the health drink market.

The factory is situated at Dowlaiswaram industrial estate 10 kilometers away from

Rajahmundry. Where 50 acres of land was acquired in 1968-1969. GSK, Rajahmundry is in the
forefront of implementing a new technological initiative to enhance its competencies. They present a
snapshot of all the functions and their initiatives and their initiatives in increasing the competitive edge
of the locality.
 NEED FOR THE STUDY

Today any industry is facing tough competition in any field. Any organization can confront its
competition if it can move from a selling philosophy to consumer oriented marketing philosophy. The
organization can go about winning customer and other forms of competitors by owing a better job of
meeting and satisfying customer needs.

Ever since decades the healthcare products has a continuous demand and it plays a vital role
in development. The key brands highly in healthcare industry are like Horlicks, Complan, Born vita,
Viva, Boost etc. So in this heavy competition marketing of food products is somewhat difficult task.
So in marketing of GSK products, I felt that there is a need to study about the customer awareness and
perception of Horlicks, to marketing strategies and the market share with reference Vizag market.
 OBJECTIVES OF THE STUDY

The primary objective is to examine to consumer behavior in nutritional food products of

Glaxosmithkline with reference to Horlicks.

Accordingly the objectives are:

1.To know about the product awareness of Horlicks in market.

2.To analyse the perception by nutritional values of the Horlicks.

3.To determine the brand preference of the customer.

4.To identify some of the important marketing variables that influence the consumer buying
decision.
 METHODOLOGY OF THE STUDY

The analyses about the GSK products is from two sources, of primary data and secondary data
has been followed through the methodology.

Primary Date:

In the primary data, a detailed questionnaire was used to collect information from a random
sample of 300 customers representing the total population. In this method, questionnaire is served to
the people concerned with a request to answer the questions and return the questionnaire. A
questionnaire consists of a number of questions printed in a systemetic order on a form or set of forms.
These questions are easy to understand and the customers are requested to write down the replay in the
space provided.

Secondary Data:

Apart from primary data information from secondary data such as company records, bulletins,
brochures, magazines, websites of GSK (www.gsk.com) were used. The secondary data, on the other
hand, are those which have already been collected by someone and which have already been passed
through the statistical process.

Sample method and simple size: The data was conducted using a random sampling method. The
fieldwork was conducted in Visakhapatnam and about 300 customers were interviewed.
 SCOPE AND LIMITATIONS FOR THE STUDY

Resources and single person effort have limited the scope for the study because of constraints
of time. However it is felt that using 300 respondents wouldn‟t any way hinder the purpose of
research. Since the reliability of data can be gained by taking every case or every respondent into
consideration.
 INDUSTRY PROFILE

The Indian economy is continuing to enjoy steady growth, and this has also reflected in the
Indian healthcare industry. For the Indian Government, the healthcare sector is a priority area.

This is augmented by an increased budgetary outlay and heavily slashed customs duty on
imports of medical equipments. Also there are special incentives being provided for setting up new
hospitals. Much of India‟s healthcare expenditure comes from private patients‟ pockets, primarily the
higher-income households. The Government of Indian plans to improve health infrastructure by
upgrading and increasing the total number of hospitals, clinics, and clinical laboratories in urban and
rural areas. This is expected to drive growth in this sector.

The healthcare sector in India offers abundant opportunities for businessmen, equipment
makers and service providers to invest in curative and preventive services and possibilities of investing
in the Indian healthcare industry provides all the necessary information,trends, figures and facts for
making an informed decision regarding this sector.

INDIAN HEALTH DRINK INDUSTRY

Consumer habit & practices:

13
 Energy drinks and milk drinks are perceived as luxury and expendables, which is the
reason for low intake.

While the white beverages are hailed for their therapeutic offerings, the consumers
look upon the brown as mere taste additives.

Promotions such as freebies offered with product, contents also play an important
role in brand choice. They are mainly targeted at children who force their parents to buy the products.

White beverages are popular in south where they are consumed as a substitute for
milk; consumption of brown is higher in north & west, which are surplus regions.

Major Market Players of the Industry:

Indian health drink market is very large. There is a huge competition between the
manufacturers. The consumers want to buy that health drink which is of maximum use to them. So the
manufacturers of the products mainly concentrate on quality and nutrition. The major market players
of the industry are GSK, Cadbury, Heinz, GCMMF, and Nestle.

In the market Ask plays the vital role with market volume and share of 70%. GSK is
monopolistic in the market with their brands. GSK is the leader of the health drink market. The others
in the market

14
Cadbury, Heinz, GCMMF, and Nestle with the market share of 12%,

10%, 4%, 3%, at places of 2, 3, 4, 5, respectively.

THE PROFILE OF THE MAJOR HEALTH DRINK INDUSTRY

GLAXOSMITHKLINE INDIA PRIVATE LIMITED

Acquired in 2000

Head office: Delhi

Registered office: Partial Road, Nabha (Punjab)

Factories: Dowlaswaram, Nabha (Punjab)

Sonepet (HARYANA)

Brand Names: HORLICKS, BOOST, MALTOVA AND VIVA.

The company also has a consumer Healthcare portfolio comprising over-the-counter (OTC)
medicines; oral care products and nutritional healthcare drinks, all of which are among the market
leaders.

GSK R&D is based at twenty-four sites in seven countries. The company has a leading position
in genomic/ genetic work at 85 manufacturing sites in 37 countries and over 16,000 are in R&D.

HEINZ INDIA PRIVATE LIMITED:

CQUIRED IN 1994.

REGISTERED OFFICE: MUMBAI (INDIA)

15
FACTORY: ALIGRAH/BANGALORE.

MAJOR PRODUCT LINES: GLUCOSE POWDER / INFANT

FEEDING.

PRODUCTS: KETCHUP/ MEDICATED POWDERS / MILK-

BASED BEVERAGES.

BRAND NAMES AND TRADE MARKS:

COMPLAN/ FAREX/GLUCOND/HEINZ/NYCIL/SAMPRITI.

CADBURY INDIA PRIVATE LIMITED:

ACQUIRED IN 1970

REGISTERED OFFICE: MUMBAI (INDIA)

BRAND NAMES: BOURNVITA (HEALTH DRINK), CHOCOLATES DAIRY MILK, 5 STAR.

Bournvita is the leading brand in the brown drinks segment of milk/malted food products.
Overall share in the malted food drinks market is estimated at 15%. Brown drinks earlier positioned as
taste enhances were losing market to white drink during the last few years. Cadbury relaunched
Bournvita with a formulation and advertising campaign and positioning it on the health benefit
platform to compete with white drinks. The brand was relaunched in the south the largest food
16
drink market in the country, during 2001 to contributing 24% of total turnover.

Cadburys other products include Cadbury chocolate and Cadbury drinking coca powder. These
account for only 1% of Cadbury turnover.

NESTLE INDIA LIMITED:

HEAD OFFICE: GURGAON, HARYANA.

MAJOR PRODUCTS: NESCAFE, NESTEA, MILO

GLAXO HORLICKS, BOOST,

SMITHKLINE
 MALTOVA, VIVA

CADBURY BOURNVITA

HEINZ COMPLAN

GCMMF NUTRAMUL

NESTLE MILO

LEADING PLAYERS AND THEIR BRANDS

17
 Horlicks is the largest brand in the segment, followed by Bourn vita and Complan.

GSK leads the health beverage market with a 62% volume share and a 65% value share. GSK
consumer has acquired the two-jagatjit brands.

The two Maltova and Viva together and annual sales 7000 tons. The brands have been acquired
for a consideration of rupees 860mm. Post acquisition; SmithKline market share has risen to a
dominating 70%. Cadbury has a share maintained no.2 position with a 12% volume share and Heinz
has a share of 10%. Nestle relatively new entrant in the category.

MAJOR PLAYERS AND MARKET VOLUME:

18
 COMPANY Market volume

GLAXO SMITHKLIN 70

CADBURY 12

HEINZ 10

GCMMF 4

NESTLE 3

OTHERS 1

Market volume
1

10

12
70

GLAXO
SMITHKLIN CADBURY HEINZ

GCMMF NESTLE OTHERS

MAJOR PLAYERS AND MARKET VOLUME SHARES:

19
 COMPANY SHARE % VALUE

GLAXO SMITHKLIN 70

CADBURY 11

HEINZ 12

GCMMF 4

NESTLE 3

SHARE % VALUE

4 3
GLAXO
12 SMITHKLIN
CADBURY

HEINZ
11

GCMMF
70
NESTLE
COMPANY PROFILE

20
GLAXO INTRODUCTION

Lacto SmithKline

The name lacto was derived from the Latin word for milk, so the company‟s founding fathers
decided to try galactin, the Greek Word for milk. Therefore, after some word games, the name Glaxo
was registered as a trademark on 27 oct.1906.

Marketing success

So why this obsession with milk? Glaxo was the U.k name for a dried milk product imported
from the company‟s business in dairy-rich New Zealand, where it was known as Defiance. The Glaxo
product was an outstanding success and eventually, the trademark was chosen as the company name.

Legacy of family names

While GSK‟s major legacy companies of the past150 years took their names form their
founding families- Smith, Kline, Beecham, Burroughs, Welcome, French, and Allen and Hanburys-
Glaxo is the only name to have been specially created.

OUR COMPANY:

As a company with a firm foundation in science, we have a flair for research and a track
record of turning that research into powerful,

21
marketable drugs. Every hour we spend more than £300,000 (US$562,000) to find new medicines.

We also market other products, many of which are among the market leader

Over – the- counter (OTC) medicines including Gaviscon and Panadol.

Dental products such as Aquafresh and Macleans.

Smoking control products Nicorette/Niquitin.

Nutritional healthcare drinks such as Lucozade, Ribena and Horlicks.

GSK at a glance

In 2006 our global community investment was £ 302 million, 3.9% of profit before tax. Many
of our consumer brands are household names: Ribena, HOrlicks, Lucozade, Aquafresh, Sensodyne,
Panadol, Tums, Zovirax.

OUR MANAGEMENT:

Our company is managed by the Board of directors and the Corporate executive team. The
Board is comprised of three executive and eight non-executive directors who are responsible for our
corporate

22
governance and ultimately accountable for our activities, strategy and

performance.

The CEO is responsible for the management of the business and is

assisted by the Corporate executive team manges our activities. Each

member is responsible for a specific part of the business and reports to

the CEO.

CHAIRMAN & CHIEF EXECUTIVE OFFICERS

Sir Christopher Gent – non – executive Chairman.

Sir Christopher Gent is non- executive chairman of GSK.

Dr Jean-Pierre Garner – CEO

OUR STRATEGY

Our strategy is to strive for excellence in the following four key

areas of our business:

Optimizing the performance of key products

Delivering the product pipeline for patients

Being the best place for the best people to do their best work

Improving access to medicines

Governance:

The board is responsible for our company‟s corporate governance

and is ultimately accountable for our activities, strategy and financial

performance. This section tells you more about our decision-making and

23
the rules under which we operate. We are a public limited company incorporated on 6 December 1999.

The company‟s constitution is set out in its memorandum and Articles of Association, a copy
of which can be viewed via the link opposite.

On 27 December 2000 we acquired Glaxo Wellcome Plc and SmithKline Beecham plc, by way
of a scheme of arrangement. The company, its subsidiary and associated undertakings, are a major
global healthcare group that creates, discovers, develops, manufactures and markets pharmaceutical
and consumer health products.

The company‟s ordinary shares of 25p each are listed on the London stock Exchange.

(Ticker symbol GSK) and as American Depositary shares (ADSs), representing two ordinary shares,
on the New York stock Exchange (ticker symbol GSK).

GENERAL INFORMATION

Introduction:

GlaxoSmithkline is a pharmaceutical & healthcare company born of the merger of two leading
international organization SmithKline ltd., & later Glaxo welcome.

24
 It is the leading manufacture of health drinks in India and one of the vaccine manufacturers in
the world. GSK is a forward-looking company with an exciting future and they are mind full of their
global quest to improve the quality of human life for future generations.

GSK is a world leading research based Pharmaceutical Company with powerful combination of
skills and resources that provide platform for delivering strong growth in today‟s rapidly changing
health care environment. Headquarters in UK and within operations based in the USA, the new
company is one of the industry leaders with an estimated 7% of world‟s pharmaceutical market.

MISSION:

“OUR GLOBAL QUEST IS TO IMPROVE THE BETTER QUALITY OF HUMAN LIFE BY

ENABLING PEOPLE TO DO MORE, FEEL BETTER AND LIVE LONGER.”

We at GlaxoSmithKline will dedicate our selves to delivering innovative medicines and

products that help millions of people live longer, healthier lives with happiness for each of us.

VISION:

Our vision is to achieve sustainable competitive business advantage through leadership and
excellence environment health and safety.

25
 GSK is recognized leader in protecting and enhancing the health of its employees globally,
enabling sustainable business success.

OBJECTIVEES

The objectives of our GSK review were to: -

Check that the information presented is accurate, and that it represents GSK‟s
performance fairly.

Assess the effectiveness of GSK is data management studies.

Passion: GSK works to protect people and environment in a company dedicated to

improving the quality of human life.

Entrepreneurial: We look for new ways of working through out the organization –
from R&D to manufacturing and sales in order to

improve our efficiency.

Innovation: We want to be a leader in the way we manage our environmental health

and safety responsibilities by adopting new

approaches to chemistry, manufacturing process waste treatment, safe working, transparent reporting
and every thing we do.

Integrity: GSK includes responsibility for good environment health and safety
management in our definition. It is fundamentally the

right things to do.

GSK INTENT:
26
 “ WE WANT TO BECOME THE UNDISPUTABLE LEADER IN

OUR INDUSTRY”.

ORIGIN OF GSK:(GLOBAL)

1873: James and William Horlicks, from Gloucester rehire, founded a company in Chicago; USA to
manufacture patented malt milk drinks as an artificial infant food.

1875: Business moved to larger premises at Racine, Illinois with an abundant supply of spring water.

1883: Parent granted for first malted milk drink mixing powder with hot water.

1890: James returned to London to set up office importing US- made product.

1906: Slough selected as site for new factory.

1908: Factory construction completed at a cost of – 28,000.

1914: James created Baronet. World war One saw extensive use of this nutritional drink at home and at the
Front.

1921: Death of James saw the company split, with William having responsibility for the America and sir
James sons having the rest of the world.

1931: “Night Starvation” story developed to promote Horlicks as a bedtime drink.

27
1935: small factory opened in Australia for the local market, including New Zealand.

1936: William Horlicks died, aged ninety.

1945: The US Company was acquired by the British Horlicks Business.

1952: Horlicks is linked to the successful treatment of gastric ulcers and some form of Diabetes.

1960: Factory built in Indian Punjab to make Horlicks from buffalo milk.

1968: Factory built in west Punjab, Pakistan to supply local demand (including East Pakistan, now
Bangladesh).

1969: Horlicks acquired by the Beecham Group (since 1989, SmithKline Beecham and from 2001
GlaxoSmithKline). The Slough factory now produced 30 million lbs power each year.

1975: Second Indian factory under construction in Andhra Pradesh, with further expansions up to 1978.

1980: Bulk powder exported to overseas market for local packing.

1982: Instant Horlicks launched as the first instant malted drink.

1985: Flavors (Chocolate and Chocolate malt) added to original Horlicks.

1988: Instant Horlicks changed from jars sachet packaging format.

Based on 2006 Annual Results, GSK had sales of – 20.3 billion ($37.2 billion) and profit
before tax of – 6.1 billion ($11.1 billion) total pharmaceutical turnover was just over – 17 billion ($31
billion).

28
 GSK has over 100,000 employees worldwide. Of these, over 40,000 are in sales and marketing,
the largest sales force in the industry. Around 35,000 employees work at 85 manufacturing sites in 37
countries and over 16,000 are in R&D.

Amongst GSK‟s quality nutritional products, Horlicks stands out as the No.1 malt drink. As
the leading nourishing malt drink, Horlicks established its household stature as the trusted source of
nourishment by combining wholesome goodness of milk, wheat, and malted barley. Horlicks contains
twice the calcium of a glass of fresh milk and is fortified with Iron and 8 key essential vitamins.

GSK R&D is based at 24 sites in seven countries. The company has a leading position in
genomic/genetics and new drug discovery technologies. The GSK R&D budget is about – 2.4bn/$4bn.

ORIGIN OF GSK (INDIA):

In the early years Horlicks was imported, bottled and sold in India. Due to change in the import
policy in the year 1955 the import of Horlicks was stopped.

In 1956-57, a team from HORLICKS Ltd visited India to explore the possibities of setting up
a plant. With the support of the then Maharaja of NABHA, His Highness PRATAP SINGH, a plant
was set up at NABHA, in Punjab. Thus was born on October 30, 1958, Hindustan

29
Milk Food Manufacturers Private Ltd, promoted by HORLICKS Ltd. In the year 1969, Beecham
pharmaceutical, acquired HORLICKS Ltd, and became the majority shareholder in Hindustan Milk
Food Manufacturers Ltd. Ten years lated in 1979, Beecham India private Ltd, Bombay, merged with
Hindustan Milk Food Manufacturers Ltd and the non-resident equity shareholding was reduced to
40%. The name of the company was also changed to HMM Ltd.,

Beecham Group Pharmaceutical, U.K., and SmithKline, U.S.A, merged on Sep 16,1991, to
form smithKline Beecham plc, with its registered office in the U.K. HMM Ltd thus became a part of
SmithKline Beecham Yet another christen took place in March 1994 then the name of the company
was changed to SmithKline Beecham consumer Healthcare Ltd, reasserting the company‟s of
providing healthcare to Consumers.

SmithKline Beecham Consumer Health care.

SmithKline Beecham pharmaceuticals.

SmithKline Beecham Health Cares Services.

SmithKline Beecham Clinical Laboratories.

The parent company of SmithKline Beecham Consumer‟s Healthcare Ltd. SmithKline

Beecham plc. Globally merged with Glaxo Welcome plc. On 27th Dec 2000 to form a new entity call
GSK.

30
 The business of this company and its corporate entity will however continue to remain the same.

GSK DRIVE:

„‟We face a highly competitive market place, populated by other excellent companies, with their
own gifted people, and determination to succeed. How do we, as a company, expect to focus our
energies to stay ahead of the competition by achieving in five areas that are primary drivers for our
business.‟‟

PRODUCTS THAT ARE MARKETED IN INDIA:

The products that are currently being marketed in India:

1. Horlicks

2. Chocolate Horlicks

3. Junior Horlicks

4. Mother Horlicks

5. ENO

6. Boost

7. Aquafresh Tooth Brushes

8. Viva

9. Maltova
10. Horlicks Biscuits

31
11. Boost Biscuits

12. Vanilla Horlicks

13. Women Horlicks

Consumer Healthcare

We bring dental health products, over-the-counter medicines and nutritional drinks to millions
of people. Many of our brands, such as Panadol, Aquafresh, Lucozade and Nicorette/Niquitin are
familiar around the world.

The consumer healthcare business brings and added dynamic dimension to our company, but,
as for all of our products, the driving force behind our consumer healthcare business is science. With
four dedicated consumer healthcare R&D centres and consumer marketing excellence and offers
leading-edge capability in both. Some of these products may not be available in your country.

GLOBALWISE HORLICKS PRODUCT: Major Markets

UK

India

Australia and New Zealand

Caribbean
32
 Central America

Middle East

Africa

Pakistan & Asia

CONSUMER HEALTHCARE PRODUCTS ANALYSIS OF SALES

RESULT (as per 2011)

Our principal consumer Healthcare products are in three major areas. An

analysis of sales by these areas is set out below.

Year 2011 £m 2012 £m 20013£m

OTC 1,496 1,437 1,400

MEDICINES

ORAL CARE 993 943 913

NUTRITIONAL 658 619 573

HEALTHCARE

TOTAL 3147 2999 2,886

In 2011 consumer healthcare sales were £3.15bn- six per cent higher in CER terms than in 2010.

33
 Major products which are not necessarily sold in all markets.

CATEGORY

1. Over the counter medicines

2. Oral care

3. Nutritional Healthcare (Horlicks, ribena, Lucozade):- The leading products in this

category are Lucozade glucose energy and sports drinks, Ribena, a blackcurrant juice-based drink rich
in vitamin C, and Horlicks, a range of milk-based malted food and chocolate drinks.

HORLICKS

Horlicks is a nutritional drink made from wheat, milk and malted barley and is sold in powdered
form. The range also includes Horlicks biscuit, and „Mother‟s Horlicks‟ specially formulated for
expectant and breastfeeding mothers.

„The Great Family Nourisher‟

Horlicks is the leading Health Food Drink in India and as the „Most Trusted Drinks Brand‟
(Economic s Times Survey, 2004) in India, enjoys more than half of the Health Food Drink market.

34
 The flagship brand of the company, this product name is associated with that of the company. It
would be interesting to know how and why this global brand took off. Way back in 1883, James
Horlicks, a London chemist experimented with powdered malt mixed with milk launched this product
in Chicago, USA as “ Malted Milk‟ in 1900. He returned to England and set up a factory at Slough.
Renamed as Horlicks in 1931. It became a part of the giant Beecham group in 1969. India forms
almost half of the world market for Horlicks. Elaichi Horlicks was launched in October 1974. Horlicks
position in the milk food drinks was further strengthened with the launch of chocolate Horlicks in
November 1990.

HORLICKS NINJA

Horlicks is the leading health Food Drink in India and enjoys more than 50% share of the
Health Food Drink Market.

Horlicks has been a popular brand in the country since the 1930‟s. Today, the modern
Horlicks stands for trust and its promise of „Pleasurable Nourishment‟ with a delicious range of
flavours including Chocolate, Vanilla and Elaichi.

Horlicks is the only health drink, clinically proven* in India, to make kids taller, stronger and
sharper.

35
JUNIOR HORLICKS

„Specially formulated for preschool children‟

Preschool children may be fussy in consuming food and may often refuse or waste food that is
nutritionally good for them. This may cause certain dietary gaps in the diet of preschool children. New
Junior Horlicks 1-2-3 provides essential nutrition and when taken as part of a healthy diet, helps
complete A to Z nutrition for preschool kids. It was launched in April 06 with an all new formulation
and exciting new packaging. Presenting New Junior Horlicks 1-2-3 with.

Mother Horlicks

„Healthy Mothers for Healthy and Smart Babies!‟

Mother‟s Horlicks, a specialist nutritional extension of Horlicks for pregnant and breastfeeding
women was launched in 1997. An attempt to increase brand differentiation in the category and
enhance nutritional superiority saw the launch of its new variant in May 2004- Mother‟s Horlicks
fortified with DHA.

36
Mother‟s Horlicks, in three serves [6 scoops], provides 100% RDA* for iron, folate, calcium, vitamins
C, B2,B6 and B12.

Horlicks lite

„Horlicks Lite & Lite Bite‟

A nutritional drink & snack specially formulated for all health conscious adults and is also suitable for
use by people with diabetes.

Horlicks Lite health food drink and Lite Bite biscuits was launched in the market in Sep‟05.

This range of products have been specially formulated keeping in mind nutritional needs of adults and
is also suitable for use by people with diabetes.

Horlicks Biscuits

With the power of calcium,

A Horlicks biscuit has been growing in popularity ever since it was launched in 1992.
37
ORGANISATIONAL CHART

Supervisor

Sales Promoter

Driver

Loader

Sales &
Marketing

General Manager

Sales

Sales Manager

Whole Area
Sales Executive

Sales Executive
 Accounts Personnel Plant
Manager Assistants Manager
Chairman & Managing dirctor

Executive Director Accountants Quality

Control

Finance Personal ClerksProduction Machine

Dep. Dep. Dep.

Engineer

Finance Personnel Legal Executive

Manager Manager Director Chemist
38
Organisation:

The organization structure of GSK is headed by Chairman and M.D and different functional
departments heads, reports to the executive director. The organization structure is functional in nature.

Finance Department:

Finance Department is headed by the financial manager under him are manager accounts,
accountants and clerks. The department fixes the budgets for various activities performed by the
organization.

Personnel Department:

It is administered by personal legal manager. He deals all the matters that are related to
personnel department regarding recruiting, selection, training promotion. Personal officers and staff
numbers are concerned to personnel managers.

Production Department:

Executive Director is the one who organizes and controls the entire department. Production
manager is the head of the department under whom all the production supervisors, engineers, quality
control manager and chemist works in an order.

Marketing Department:
39
 The sales and marketing department is administered by G.M. Sales. Sales Manager, whole area
sales manager work under G.M. sales and all the marketing operation controlled by the G.M. sales.

All departments of the organization are very well coordinated the there is a good
communication between management and employees; share holders, consumers, because of this co-
ordinations and good communication is has been identified as one of the highly successful industrial
concerns.
40
CHAPTER-III
THEORITICAL FRAME WORK

41
 The term “buyer behavior” can be defined as behavior that consumer display in searching for,
purchasing, using, evaluating and disposing of products and services that they expect will satisfy their
needs. The survey of buyer behavior is the survey of how individual makes decisions to spend their
available to spend their available resource (money, time effort) on consumption- related items. It
includes the study of what to buy, how they buy it. When they buy it, where they buy it how often they
buy it.

Necessary study of Consumer Behavior

In olden days, the whole business is of sellers market. So, the Consumer‟s role use to be
limited but modern marketing is customer oriented. The study of consumer behavior is playing a vital
role in making decisions, production policies, price policies; decisions regarding channels of
distribution and sales promotion will take into considerations.

1.PRODUCTION POLICIES

The consumer behavior gives an insight into the various factors,

which prompt him to purchase a particular product. If it is seen that the

42
packing style or taste which attract the buyer, all these are consider by the producer and take attrition
to these attributes in his products, thus consumer behavior helps a great deal in formulating the
production policies.

2.PRICEING POLIICES

Price is an important consideration that would make the firm a Success. Price policies refer to
the decisions relating to the change in price of the product, service etc. A Marketing Manager has to
consider a number of factors while determining price of the product.

For example, cost of production, middleman‟s margin, cost of Physical distribution, selling
expenses, price of competing brands, etc. here it Would consider by the managers to consider single
pricing policies or differential pricing policies.

3. CHANNELS OF DISTRIBUTIOIN

In the distribution mix, consist of two things physical distribution and channels of distribution.
Physical distribution includes all those activities involved in moving products or services from
producer to consumer. In channels of distribution are those routing through which goods move from
the producer to the ultimate consumer. The decisions regarding channels of distribution will take as
per the consumer behavior.

4. SALES PROMOTION

43
 Sales promotion is also plays a key role in the marketing. It enables the producers to know
what motive prompts consumer. To make purchase and continue to buy the product using the
promotional activities like packing, discount, samples, price off offers, demonstrations, fairs and
exhibition etc. All these are done to aware the consumer towards these products. So that they change
the behavior of consumer towards favors of these products. Therefore, the study of consumer behavior
plays an important role in taking decisions. Market success or failure depends mainly on target
customers individual and group reaction expressed in the form of buying patterns.

SCOPE OF THE CONSUMER BEHAVIOUR

As consumers, we play a vital role in the health of the economy local, National, international.
The purchase decisions we make affect the demand for basic raw materials, for transportation, for
production, for transportation, for production, for braking; they affect the employment of workers and
the failure of other.

In order to succeed in any business, and especially in today‟s dynamic and rapidly evolving
marketplace , marketers need to know everything about consumers what they want, what they think,
how they work, how they spend their leisure time they need to understand the

44
personal and group influences that effect consumers decisions and how the decisions are made.

The term consumer behavior describes two different kinds of consuming entities: the personal
consumer and the organizational consumer. The personal consumer buys goods and services for his or
her own use, for his or her own use, for the use of the household, or as a gift for a friend in each of
these contexts, the products are bought for final use by individuals, who are referred to as end users or
ultimate consumer.

The second category of consumer- profit businesses, government agencies (local, state, and
national), and institutions (e.g., schools, hospitals, and prisons), all of which must buy products,
equipment, and services in order to run their organizations.

CONSUMER DECISION PROCESS:

A great deal of the research activity in marketing is designed to shed light on; the consumer
decision process. A few rather elaborate models or theories have been proposed in recent years

45
and numerous lesser or “middle range theories can be founding the literature buying behavior,
emerging out of the utility theory of economics, turned first to the traditional stimulus -response views
of American psychology.

Behavior could be explained simply by stimulus and stimulus and response, reward and
punishment, cues and drives. Complex constructs such as motivation, values, and attitudes, however,
could not long be ignores or left implicit. Hence in the 1940‟s it was the psychoanalytically oriented
motivating researchers who were to introduce and emphasize both conscious and unconscious
motivation in marketing.

CONCEPTUAL BEHAVIOR ANALYSIS

In this section we know about the behavior of farmers and their tastes and influencing factors
to buy the product.

In this conceptual framework we must consider two points they are the meaning of behavior
analysis and the nature of the farmer. Behavior analysis refers to the analysis of the person‟s who are
interested in purchasing the products and the persons known as the consumers.

46
 Here the behavior of the consumer is related with the product and how the consumer react in
the situation these all are analyzed in the behavioral concept. In our scenario the tastes of farmers and
this behavioral pattern will be considered.

CONSUMER BEHAVIOR AND MARKETING STRATEGY

The study of consumers helps firms and organizations improve their marketing strategies by
understanding issues such as how

The psychology of how consumers think, feel, reason, and select between different
alternatives

The psychology of how the consumer is influenced by his or her environment

The behavior of consumers while shopping or making other marketing decisions;

Limitations in consumer knowledge or information processing abilities influence

decisions and marketing

outcome;

How consumer motivation and decision strategies differ between products that
differ in their level of importance or

interest that they entail for the consumer; and

47
 How marketers can adapt and improve their marketing campaigns and marketing
strategies to more effectively

reach the consumer.

Understanding these issues helps us adapt our strategies by

talking the consumer into consideration. For example, by understanding that a number of different
messages compete for our potential customers‟ attention, we learn that to be effective, advertisements
must usually be repeated extensively.

We also learn that consumers will sometimes be persuaded more by logical arguments, but at
other times will be persuaded more by emotional or symbolic appeals. By understanding the
consumer, we will be able to make a more informed decision as to which strategy to employ.

One “official” definition of consumer behavior 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 needs and the impacts that these processes have on the consumer and
society.” Although it is not necessary to memorize this definition, it brings up some useful points :

Behavior occurs either for the individual, or in the context of a group (e.g., friends
influence what kinds of clothes a

48
person wears) or an organization (people on the job make decisions as to which products they firm
should use).

Consumer behavior involves the use and disposal of products as well as the study of
how they are purchased. Product use is often of great interest to the marketer, because this may
influence how a product is best positioned or how we can

encourage increased consumption. Since many environmental problems result from product disposal
(e.g., motor oil being sent into sewage systems to save the recycling fee, or garbage piling up at
landfills) this is also an area of interest.

Consumer behavior involves services and ideas as well as

tangible products.

The impact of consumer behavior on society is also of relevance. For example, aggressive
marketing of high fat foods, or aggressive marketing of easy credit, may have serious repercussions for
the national health and economy.

CONSUMER BEHAVIOUR

In earlier times, marketers could under stand consumers through the daily experiences of
selling to them. But the growth in the size of companies and markets has removed many marketing
managers from

49
direct contact with customers. Increasingly managers have had to rely on consumer research for
answers to the following key questions about any market.

Who constitutes market? Occupants.

What does the market buy? Objects.

Why does the market buy? Objectives.

Who participate in the buying? Organizations.

How does the market buy? Operations.

When does the market buy? Occasions.

Where does the market buy? Outlets.

MAJOR FACTORS INFLUENCING BUYING BEHAVIOUR

Cultural factors exert the product and deepest influence consumer behaviour.

CULTURAL

Culture is the most fundamental determinant of a person‟s wants and behaviour. The growing
child acquires as set of values, perceptions, preferences, and behaviour. Through his or her family and
other key institutions.

SUB CULTURE

Each culture consists of smaller sub cultures that provide more specific identification, and
socialization for its member sub cultures
50
including nationalities, religion racial groups, and geographical regions. Many subcultures make up
important market segments, and marketers often design products and marketing programmers tailored
to their needs.

SOCIAL CLASS

Virtually all-human society exhibits social stratification. Stratification some times takes the
from of a caste system where the member of different castes are reared for certain roles and cannot
change their caste membership. More frequently, stratification takes the form of social classes. Social
classes are relatively homogeneous and enduring divisions in a society, which are hierarchically
ordered and whose members share similar values, interests, and behaviors.

SOCIAL FACTORS

A consumer behaviour is also influenced by social factors as reference groups, family and social
roles and status.

REFFRENCE GROUP

Many groups influence a person‟s attitudes or behaviour. Groups having a direct influence on a
person are called membership groups. These are groups to which the persons belongs and interacts.

Some are primary groups such as family, friends, neighbours, co-workers, with which the
person interacts fairly& continuously primary groups tend to be informal. A person always belongs to
secondary

51
groups, such as religious, professional and trade union groups. Which tend to be more formal requires
less continuous interaction. Group influence is strong for products that are visible to others whom the
buyer respects.

FAMILY

Family members constitutes the most influential primary reference groups. We can distinguish
between two families in the buyers life. The family orientation consists of one‟s parents. This will
very widely in different countries and social classes. The marketers as always has to research the
specific patterns in the particular target market.

ROLE AND STATUS

A person participates in many groups through out his life like family, club, organizations. The
person in each groups can be defined in terms of roles and status.

PERSONAL FACTORS

A buyer‟s decisions are also influenced by personal characteristics notably the buyer‟s age and
life cycle stage, occupation, economic, circumstances, life style and personality and self concept.

AGE AND CYCLE STAGE

52
 People buy different goods and services at different ages. They eat baby food in their early
years, most food in their early years, most foods in the growing and mature years and special diets, in
the later years people‟s taste in clothes, furniture and recreation is also age related.

OCCUPATION

A person occupation also influence his or her consumption pattern. Marketers try to identify
occupational groups that have above avg interest in their products and services. A company can even
specialize their products for certain occupational groups.

ECONOMIC CIRCUMSTANCES

Product choice is great affected by ones economic circumstances. People‟s economic

circumstances consist of their spend able income, saving and assets, debts, borrowing power and
attitude towards spending verses saving.

LIFE STYLE

People coming from the same sub culture social class and occupation may have quite different
life styles. A person‟s life style is the person‟s patterns of living in the world as expressed in the
persons activities, interests and opinions.

PERSONAL ITY AND SELF CONCEPTS

53
 Each person has distinct personality that will influence his or her buying behaviour. By
personality we mean the person‟s distinguishing psychological characteristics that lead to relatively
consistent and enduring responses to his or her environment. Many marketers use a concept related to
personality a person‟s self concept or self-image.

PSYCHOLOGICAL FACTORS

A person‟s buying choice is further influenced by four major psychological factors.

MOTIVATION

A person has many needs at any given time, some needs are biogenic. They arise from
psychological states of tension such as hunger, thirst, discomfort other needs are psychogenic. They
arise from psychological states of tension such as need for recognition, esteem, or belonging. Most of
psychogenic needs are not intense enough to motivate the person to act on them immediately. A need
becomes a motive when it is aroused to a sufficient level of intensity. A motive is a need that is
sufficiently pressing to drive the person to act. Satisfying the need reduces the left tension.

PERCEPTION

A motivated person is ready to act. How the motivated persons actually acts is influenced by
his perception of the situation. Perception is

54
defined as “the process by which an individual selects, organizes, and interprets information inputs to
create a meaningful picture of the same object because of three perceptional processes. Selective
attention, selective distortion and selective retention.

LEARNING

When people act they learn. Learning describes changes in an individuals behaviour arising
from experience. Most human behaviour is learned.

Learning theorists say that a person‟s learning is produced through the interplay of drives,
stimuli, cues, responses and reinforcement.

BELIEFS AND ATTITUDES

Through doing and learning people acquire and attitudes. These in turn influence their buying
behaviour. A belief is a descriptive through that a person holds about something. These beliefs may be
based on knowledge opinion or faith.

An attitude describes a person‟s enduring favourable or unfavourable cognitive evaluation,

emotional feeling, and action tendencies towards some object or idea. People have attitude towards
some almost everything. Religion, politics, clothes, music, of liking or disliking an object moving or
away from it.

55
CHAPTER-IV

ANALYSIS AND INTERPRETATION

56
1. Level of Education

Education No. of respondents Percentage

10th 85 28%

Inter 65 22%

Degree 55 18%

Post-graduate 35 12%

Others 60 20%

Total 300 100%

INTERPRETATION

Education level:

A Persons‟ education will also influence his or her consumption pattern. Marketers mostly
identified educated persons preferred to consume healthcare products. In the survey six level of
education persons have been identified. They are 10th, Inter, Degree, post graduate and
others(illiterates and below 10th).

From the table it is revealed that 28% of the respondents are 10th. Above 22% are of inter and
18% in degree, 12% are post graduate and remaining 20% are others(illiterates and below 10th).
57
Level of Education

20%
28%

12%

18% 22%

10th Inter Degree Pos t-graduate Others

2. Occupation group of respondents

 Occupation No. of Respondents percentage

58
 Business 118 39.33%

Self employee 66 22%

Employee 55 18.33%

Professional 40 13.33%

Others 21 7%

Total 300 100%

INTERPRETATION

Occupation Group

A person‟s occupation will also influence his or her consumption pattern. Marketers tried to
identify the occupation group that have above average interest in their products. In the survey four
occupation groups have been identified. They are business, self-employee, employee, professionals
and others.

From the table it is revealed that 40% of the respondents are business. Above 22% are of self
employee and employee 18%, and 13% are professional and 7% remaining are others.
59
Occupation group of respondents

7%

13%

40%

18%

22%

Business Self employee Employee

Professional Any others
3. Income group of respondents

60
 Income Group No. of respondents Percentage
INTER (RS)
Below 1 Lakh 168 56%

PRETA
1 Lakhs- 2 Lakhs 72 24%

TION: 2 Lakhs- 3 Lakhs 45 15%

Above 3 Lakhs 15 5%

Total 300 100%

Income

Group

Product choice is greatly affected by one‟s income. This is one of the factors which influence a
consumer to purchase a product. In the survey four income groups are taken (i.e.) below Rs.1 lakh,
Rs.1 lakh – 2 lakhs, Rs.2 lakhs – 3 lakhs and above 3 lakhs. From the table it is revealed that in the
income below Rs.1 lakh, 56%, 1 lakh- 2 lakhs, 24%, 2 lakhs- 3 lakhs, 15% and the 5% of responding
belong to income of 3 lakhs above. These findings are clearly presented in the table.
61
Income group of respondents

5%

15%

56%

24%

Below 1 Lakh 1 Lakh- 2 Lakh

 2 Lakh- 3 Lakh Above 3 Lakh

4. Awareness of Nutritional food products

62
 Awareness of No. Of Percentage
Nutrition foods respondents

Yes 270 90%

No 30 10%

Total 300 100%

INTERPRETATION:

Awareness of Nutritional food Product:

To find out the awareness of customers about Nutritional food products of Horlicks customers
was questioned whether yes or No. During the survey 90% answered yes about awareness of
Nutritional foods and only 10% answered they do not known about Nutritional food products.

Now days every person is taking care of the Health and mother taking care of the childern
Health. So that the persons enquires about same Nutritional foods. So that 90% of people aware of
Nutritional foods. The remaining persons not aware of Nutritional foods. Because of low income &
illitirates.
63
Awareness of Nutritional food products

No

10%

Yes

No

Yes

90%
5. Source of information about these Nutritional foods

Source No. Of respondents Percentage

Through family 80 29.62%

64
 Friends/peers 45 16.67%

Advertisements 90 33.33%

Publicity 55 20.37%

Total 270 100%

INTERPRETATION:

Source of information about these Nutritional foods :

To know about the sources through which the consumers are getting knowledge about these
Nutritional foods reference groups have been selected - family, friends/peers, advertisements and
publicity.

In the table 30% knew about this through family, 17% are friends / peers, 33% are
advertisements and 20% publicity. These findings are clearly presented in the table.

Electronic media like T.V & internet influence elders and children. Health drinks adds the T.V
channels influence the children more. So the children wants their parents to buy the products. The
elders also aware by these adds. So that, 33% respondents came to know about Nutritional foods
through source of adds.
Source of information about these Nutritional foods

65
 Buying products No. of respondents Percentage

Local genaral store 55 57.89%

Medical store 18 18.94%

Departmental store 12 12.63%

Shopping malls 10 10.53%

Total 95 100%

Th

A
6. Type of store for buying product

66
INTERPRETATION:

Type of store for buying product

There are many reasons to purchase a good Health drink Product from a particular brand.
Most of the consumers selected the near by shops. Like local general store, departmental store,
medical store and shopping mall. Because customers can get those products easily from near by
market places.

From the table it is revealed that 57% respondents choose local General store buy a products,
19% respondents choose medical store, and Remaining buying the product at departmental store and
shopping mall with 13% and 11%.

Customers can get those products easily from local general store. Because every householder
uses to buy provision and grocery near by local general store. In the general all health drinks products
are available.

Type of store for buying product

67
 Mostly used health No. Of respondents Percentage

drinks Depa
Horlicks 95 35.2% ntal s
Boost 57 21.11% 13

Complan 43 16%

M
Born vita 40 15%

s
Viva 22 8.15%

Maltova 13 4.81%

Total 270 100%

Loca

Depa
7. Mostly used Health drinks
68
INTERPRETATION:

Mostly used Health drinks:

A brand is defined as a name, symbol or deign or a combination of term which is intended to

identify the goods and services of one seller or group of sellers and differentiate them from those of
competitors.

We are living in the age of brands in industrial as well as consumer Goods there is a
proliferation of brands. Health drinks (or) Nutritional food product market is highly competitive one
and there are different companies producing Nutritional foods. So it is essential for every manufacturer
to differentiate his product with his competitors product. Due to this reason every manufacturer of
Nutritional foods are giving a separate brand name to his product.

During survey only „6‟ brands have been identified as 270 respondents are using them.
During the survey it was found that majority (i.e.) 35% of respondents are using Horlicks, and the
second place is occupied by boost with 21%, Third and Fourth are occupied by complan and Born vita
with 16% and 15% each. And next to the above VIVA,

69
Maltova are occupying the place with a percentage 8%, 5%. The ranking

of the brand is clearly presented in table.

Reasons No. of respondents percentage

Price 15 15.79%

Availability 28 29.47%

Advertising 32 33.68%

Hereditary 15 15.79%

others 5 5.26%

Total 95 100%

Mostly used Health drinks

120

100
35.20%
80

60
21.11%
40 95 16% 15%
 57
20 43 40 8.15%
22 4.81%
13
0

vita Viva
Horlicks Boost Complan Born Maltova

8. Reasons to buy the product

70
INTERPRETATION:

Reasons to buy the products

There are many reasons for a consumer to purchase a particular brand of Health drinks for their
satisfaction. Generally a consumer prefers to purchase particular brand of Health drink, which gives
maximum satisfaction, at a reasonable price. Apart from these reasons consumer should have
knowledge/information about a product and the product should be available at the nearest purchasing
product, and advertising, hereditary. So in the survey the above reasons are found to be governing the
consumer, to use a particular brand in preference to the others. The findings which are noticed in the
survey are given in the table.

During the survey it found that 34%OF respondents influenced by the adds and the reason to
buy Horlicks is they are going through the adds is the T.V channels. Because T.V channels has
become the main entertainment to the householders. 31% of respondents opted for availability. Price
and Hereditary are 15% & 15% of the customers opted that the reasonably price and 5% remaining
customers respondents opted for others.

71
 Reasons to buy the products

Frequency of buying No. Of Percentage

products respondents
others Price
Hereditary
5% 16%
Weekly 16% 6%

Once in two weeks 16%

Availability
Once in three weeks 26% 9.
29%
Advertisin Fre
Monthly 50 53%
g que
Total 34% 95 100% ncy
of

Price Availability Advertising Hereditary others

buying product
INTERPRETATION:

Frequency of buying product

The frequency of buying health drinks varies from different

groups depending upon various reasons. In that mostly high income

72
people and low income people wants to use these products. Those reasons are given below in the table.

During the survey majority of the consumers (i.e.) 53% responded that they buy the product
monthly and 26% of consumers buy this type of product once in three months and remaining 16% and
5% of consumers are buying it once in two weeks and weekly.

The frequency of buying the product depends up on the consumption pattern No. of family
members, income and awareness of health.

Frequency of buying product

73
 No. Of respondents Percentage
50

Consume the 40 No. Of Percentage

product per day respondents
30
One‟s 20 20 21.
Twice 60 63.
10
Thrice 12 .
0
Once in Once in
Not at all Weekly3 3.16% Monthly
two three

Total 95 100%

No. Of 5 15 25 50

respondents

Percentage 6% 16% 26% 53%

10. No. Of times children consume the product in a day
74
INTERPRETATION:

No. Of times children consume the product in a day

Many consumers take special care of their children. So they are using this health drink
product and even elders prefer this kind of health drink products. And children would like to consume
this health drink number of times. In the survey it was found that majority of consumers are giving this
health drink to their kids twice which makes 63%, and 21% of consumers once in a day, and 13% of
customers thrice in a day and remaining 3% are not at all giving.

63% of respondents consume these drinks twice a day. Because they are very conations about
there health‟s.

No. Of times children consume the product in a day

75
No. Of respondents

Not at all
Thrice One’s
3%
13% 21%

Twice

63%

One’s Twice Thrice Not at all

11. Response Important feature considerations of the product

76
 Feature like No. Of Percentage
user‟s respondents
Quality 46 48%

Quantity 22 23%

Offers 22 24%

Package 5 5%

Total 95 100%

INTERPRETATION:
Response of Important feature considerations of the product

Generally the consumers take different factors into consideration to buy any product. There
are many reasons for a consumer to use particular brand of health drink products.

During the survey many (i.e.) best and important features attracted towards their products are
quality, quantity, offers, packages. In this survey 48% of consumers liked the quality of the product
and 23% of consumers gave importance to quantity of the product and are remaining consumers opted
for offers and packages with 24% and 5%.

48% of respondents take the quality into consideration. Because they have been using other
product since long time. They can differ the performances of products. So that quality is the main
factor of Horlicks. 24% of respondent consider the offers because their Children are attracted by those
T.V adds.
77
Response of Important feature considerations of the product

No. Of respondents

Package

5%

Offers

23%

Quality

49%

Quantity
23%

Quality Quantity Offers Package

12. Improvements of found after using Horlicks

78
 Improvements No. Of respondents Percentage
found after using
Horlicks
Healthy immune 10 10.52%
system
Mental and physical 10 10.52%
development
release of energy
from food
Nervous system 5 5.3%
growth and bone
strength
Above all 70 73.69%

Total 95 100%

INTERPRETATION:

Improvements of found after using Horlicks:

The consumers after using Horlicks products perceived that they have seen different
improvements as specified by the product advertising. Mainly they have chosen for health care
through the nutritional foods provided through the health drink, they have opted for.

During the survey it was found that 11% of respondents selected For healthy immune
system and 10% for mental & physical development in release of energy from food respondents with
11% and 5% for nervous system growth and bone strength and remaining consumers has selected
above all with 73%.

Well educated persons only can give their opinions. Because their question needs much
knowledge of the product and general knowledge on their health.
79
73% people generally said that they observed all the developments

mentioned in table.

Improvements of found after using Horlicks

healthy

11%

energy

from food

11%

growth &

strength

5%

Above all

73%
 healthy energy from food growth & strength Above all

13. Willingness to shift from the Horlicks

80
 Shift from the No. Of respondents Percentage
Horlicks
Yes 75 37%

No 130 63%

Total 205 100%

INTERPRETATION:

Willingness to shift from the Horlicks:

Among all the consumers selected as sample, very few people who make 37% wanted to shift
from Horlicks. Apart from other reasons given below it was mainly that particular set of people who
want to try the other products also and some who want to try other brands regularly. But 63% which
makes the major part of the sample want to continue with Horlicks only.

It was found that 63% respondents are not willing shift from their brand. Because Horilcks
gives good results. Explanation given below.

During the survey it was found that 63% respondents are not willing to Horlicks. Because
Horlicks gives to lot of activities. Previous

table find that 10.52% wanted to like health immune, 10.52% want to like energy from food, 5.3%
want to like growth and strength and most of
the consumers like above all 73.69%. So not shift from Horlicks. Very few people 37% most want to
vitamins.

81
 Willingness to shift from the Horlicks:

Yes

37%

No

63%

Yes No
14. Reasons for shifting to other brand

Reasons for No. Of respondents Percentage

shifting to other
brand

82
 Advertising 10 9%

Taste 48 37%

price 32 24%
Energy 20 15%
Other reason 20 15%

Total 130 100%

INTERPRETATION:

Reasons for shifting to other brand

Health drinks usage by consumer depends upon various reasons. It may depend upon its
Energy or Growth and or Taste and Advertising or other. During the survey it was found that 16% use
it for seeking Energy, 24% were seeking price, and 37% Taste and 15% others and remaining were
seeking Advertising.

37% of respondents said that the Horlicks taste is not better than the other brands. 24% of
respondents Horlicks price is very high with out other brands like(boost, complain, viva, bourvita) so
on.15% of respondents said other reasons involves offers, package, quality, quantity.
Reasons for shifting to other brand

83
 60

50
37%
40
24%
30
48
20 15% 15%
32
10 9% 20 20
10
0

reaso
Taste price Energy Othe n
Advertising r

No. Of respondents Percentage

84
CHAPTER-V
SUMMARY

In India, edible nutritional foods business is booming. And the market is expected to grow over
the next few years. In such a big industry, competition is unavoidable with the advent of globalization.

85
But with this growing competition in Health care Industry will undoubtedly bring in high technology
and consumer education.

The organization should plan the strategies in such a way so that the consumer also benefits by
their strategies. On the whole, Indian nutritional food products market is quietly adjusting itself to the
entry of major players. While only the fittest in likely to survive, every one if free to dream for the
next few years.

SUGGESTION
 The success of a product mainly depends on the customer‟s awareness of the product and his
behaviour or affinity towards it. During the survey suggestions and opinions of the customers were
recorded and the outcome is narrated briefly.

86
 Most of the customers revealed that the advertising is not much. This reveals that
some of the respondents were not aware of the

range of the products produced by Horlicks. At this stage it is quite essential for GSK to educate and
make products know to the people about different range of products through various media or
advertisement.

Many of the customers expressed their opinion that sale price of Horlicks products
are on higher side so it is suggested to maintain

a competitive price.

Some of the respondents complained certain products are not available in some of the
retail outlets. Therefore it is suggested

that the company should make available it full range of products in all their retail outlets by adopting
effective distribution channels.

Company should increase its brand loyalty through various customer relationship
programs.

The organization should conduct exhibitive and contnious marketing research and
know the changing attitudes, buying

patterns, consumer wants and preferences so that product modifications can be done accordingly.
87
ANNEXURE

A SURVEY ON GSK PRODUCT IN HORLICKS

1. NAME :

2. Family Size :

3. Education :

4. Occupation :

a) Professional b) Employee

c) Businessman d) Self Employee

88
 5.Annual Income :

a) Bellow 1 Lakh b) 1Lakh – 2 Lakhs

c) 2 Lakhs- 3 Lakhs d) above 3 Lakhs

6.Are you aware nutritional foods:

a) Yes b) No

7.How you came to know about these nutritional foods:

a) Through family b) Friends/peers

c) Advertisements d) Publicity

8. Where do you buy the product?

a) Local store b) medical store

c) Departmental store d) shopping mall

b) Boost
9. Which health drink do you use? a) Horlicks

d) Born vita f)
c) Complan e) VIVA Maltova

10. Reasons to buy the product: a) Price

c) Advertising b) Availability d)
Hereditary
11. How often do you buy the product? a) Weekly

c) Once in three weeks

b) Once in two weeks d)
Month
89
 12. How many times your children consume the product per day?

a) Ones b) Twice

c) Thrice d) not at all

13. What is the best important feature that attracted you towards this product?

a) Quality b) Quantity

c) Offers d) Package

14. What do you find from the following in Horlicks ?

a) Healthy immune system

b) Mental and physical development release of energy from food

c) Nervous system growth and bone strength

d) Above all

15. Did you /Will you shift from the Horlicks?

a) Yes b) No

16. Reasons for shifting to other brand:

a) Advertising b) Taste

c) Price d) Energy

e) Other reasons

90
 17.Which brand did you /will you prefer to shift?

a) Horlicks b) Boost

c) Complan d) Bournvita

e) VIVA f) Maltova

18.Any suggestion!

Thank you Your Signature

91