Download - 28858083 Cosmetics Research Report for MBA
INTRODUCTION
Use of cosmetics is not latest trend, it has its roots deep within the annals of
history. The word cosmetic has been given this modern name lately. Through
regular and formal use of cosmetics has gained momentum now, it has been in some
form or other since a long time.
To cite an example of the long usage of cosmetic, the cosmetics depict had
found its origin in China in the 4th century BC.
Indian too has not remained far behind in the development and frequent usage of
cosmetics. Household utility like haldi, chandan, basan uptoon have been used
centuries to preserve the natural beauty of skin. The reason for their usage was
adequate availability of pure material, apt knowledge of natural formulation and
virtually zeros effects.
The cosmetics industry, which started glowing in the early 1990s, is expanding
exponentially. With more women and men becoming conscious of their and
willing to spend on their grooming, this industry has been growing at 20-25
percent the last few years. No wonder then that the shelves are stocked with a
plethora of products and brands, targeted at various segments, catering to the
various needs of customers. The enormous growth in this segment has not only
attracted many MNCs but also provided space for many Indian companies to foray
or expand their product range.
GROWTH TRENDS AND PROSPECTS :
An ORG-Marg study reveals that while most FMCG products were affected by the
general slowdown, this segment witnessed relatively good growth in volume and
value 2001. Not only have more people started using cosmetics, they are also
willing to pay more to look and feel good. The penetration rate is higher in the skin-
care segment compared to lipsticks. While volume growth has remained low,
at 3 percent, in the case of lipsticks, much of the value growth ha come from price
rises.
This not only means that consumers are willing to spend the extra bit to look
and feel good, but also indicates the constant up gradation from mass to
premium products. Though mass products still constitute a major portion of the
market, a certain segment is obviously ready to upgrade to the next category as
disposable incomes rise. Increased media exposure, the willingness to spend
more on personal care, consciousness about looks, and advertisements and
promotions targeting various consumer segments are some reasons for these
trends in consumption and penetration. The growth trends definitely send
positive signals about the industry prospects. With numerous players fighting
for market share, is the industry really big enough and the growth high enough
to accommodate all the players? What makes a player tick and create a niche for itself
in the market? These questions need to be pondered upon before jumping to
conclusions about the industry's prospects.
Value growth Value growth Price growth
% % %
Skin Care 11 8 5
Lipsticks 13 3 3
Though most players see huge opportunity in this industry, what would actually
work wonders for the players is strong brand promotion, good distribution
network, constant innovation and quality improvement, the ability to provide a
variety of products and introduce affordable products without compromising on
quality.
Cosmetics are still seen as elitist products and may be the last thing on an
average Indian consumer's mind. Though the low penetration levels for most
cosmetic products suggest much potential, the market for cosmetic products
may remain a niche market, accessed by a small proportion of the consumers.
Despite the tall claims, the actual growth prospects would be limited to this
extent.
From the investment perspective, though many big listed companies have a
presence in the various sub-segments of the industry, HLL is the only listed
company that has a visible presence across all segments. Being a diversified
large company, the turnover from this segment may be too small for HLL to
affect investment decisions. As to the recent entrants such as Dabur and Dr.
Morepen, it may be a while before their financials reflect the dynamics of this
industry. The other listed players are Emami and J.L. Morison (India). Despite
their good financial track records, investing in these stocks may be highly risky
for a retail investor as low traded volumes and equity base characterize the
stocks.
COSMETICS
The cosmetic segment primarily comprises of colour cosmetics (Face, eye, lip
and nail care products), perfumes, talcum powder and deodorants. All these are
very small segments. Talcum powder is the most popular cosmetic product in
India. This market is estimated at Rs.3.5 bn and is yet growing at 10-12% in pa.
Awareness is very high at 80% with a penetration of 45.4% in urban areas and
25.2% in rural areas. Pond's dominates the talcum market with a 70% share
following by Johnson & Johnson, which has a 15% market share.
Attar and alcoholic perfumes each account for 50% of the fragrance market
estimated at Rs. 3 bn. In the alcoholic perfumes market, 1/3rd represnted b an
unorganized, with the balance largely imported. The June 98 budget halvd
duties to 50R Lakme ha a minor presence in the segment. Perception of damage to
skin on account of chemical ingredients restricts usage of face care products. The
nail polish market is the largest at Rs.25-30%.
Deodorants have a very negligible presence in the Indian market an estimated of
Rs. 0.3 bn. Wordwide, deodorants is the largest market followed by skin care,
shampoos and toothpaste. HLL has launched a couple of products in this
segment.
MARKET SEGMENTATION
The Indian market can be segmented in terms of product category and price.
Again oral care, hair care shampoos & oils, skin care, soaps and distribution
network may divide the product categories. s
ORAL CARE
The oral care market can be segregated into toothpaste (60%), toothpowder
(23%) and toothbrushes (17%). While 60% of toothpaste is sold on the family
platform, around 35% is sold on cosmetic propositions. On the other hand,
while toothpowder accounts for 52% of the market, red toothpowder accounts
for 40% and black toothpowder accounts 8%. The penetration level of
toothpaste/powder in urban areas 3 X that in the rural areas. Traditional
materials such as neem and tobacoo are popular for cleaning in the rural areas,
Frequency of usage for toothpaste is only 1.5 times among other consumers,
compared with 2 times in the developed world. Per gm in Tahiland.
Given the low per capita consumption and penetration rates, toothpaste demand is
mainly being driven by the overall market growth of 8-10.The rural segment is also
tooth powder growth.
HAIRCAREOILS
The hair oil market is huge, valued at Rs.6 bn. Due to the varied consumption
habits of consumers across the country, where coconut oil and edible oil are
interchange used, the size of the market is likely to be higher than estimated.
More importantly, the market is growing at an impressive 6-7% in volume terms
despite the high penetration level.
Usage of hair oil is a typical Indian habit with 50% of the population out of
which some perceive that massaging the head with hair oil has a cooling impact. The
penetration of hair oil is fairly high at around 87% and evenly distributed among
the urban and rural areas.
HAIR CARE SHAMPOOS
The shampoo market in India is valued at Rs.4.5 bn with the penetration level at
13% only. The market is expected to increase due to lower duties and
aggressive marketing by players Shampoo is also available in a sachet, which is
affordable and makes up to 40% of the total shampoo sale.
The Indian shampoo market is characterized by a twin benefit platform;
cosmetic and antidandruff. It is basically an upper middle class product, as more than
50% of the consumers use ordinary toilet soap for washing hair.
While the awareness level is high, the penetration level is very low even in the
metros, which is only 30%. Urban markets account for 80% of the total
shampoo market; the penetration level is rapidly increasing due to decline in excise
duty, which was 120% in 1993 to 30% currently.
SKINCARE
The skin care market is at a very nascent stage with basic requirements of the
consumers being protecting the skin from cold and dryness in winter, and
improving fairness of the skin. Most of the product categories are niche
segments.
While the awareness rate is high in both urban areas accounting for 60R and
rural areas accounting for 30% the penetration level is low for both. This is
because of apprehensions that usage of skin care products may benefit in the long
run due to the chemical contents. Many households prefer to use traditional and
natural home made products.
Since the market is at a very nascent stage with very low penetration levels, the
growth rates are expected to be higher at 24-255 over the next five years. New
players such as Avon and Oriflame have entered the market with the natural
ingredient benefit platform, which could further spur growth.
SOAPS
The product categories can be classified into three segments; premium (Lux,
Dove), popular (Nirma, Cinthol), and economy (Nirma Bath, Lifebuoy). The
price differential between the premium and economy segments is about 2X. The
popular and economy segments account for about 4/5ths of the entire market for
soaps.
Penetration of toilet soaps is high at 88.6%. However per capita consumption
levels remain low India's per capita consumption of soap at 460 gms per annum is
lower than that of Brazil at 1,100 gms per annum.
DISTRIBUTION NETWORK :
Soaps are available in 5 ml retail outlets in India, 3.75 m of which are in the rural
areas. Therefore availability of these products is not a problems 75% of India's
population is in the rural areas; hence about 50% of the soaps are sold in the rural
markets.
PRICE SEMENTATION
Price is common basis for segmenting the cosmetics market. The market
segments formed accordingly now describe:
POPULAR SEGMENT
The sector is divided into two distinct segments-the premium segment catering
mostly to urban higher/upper middle class and the popular segment with prices as
low as 25%-30% of the premium segment , catering to mass segments in urban
and rural markets. The premium segment is less price sensitive and more brand
conscious.
ECONONY SEGMENT
India's rural markets have been a lot of activity in the last few years. Since
penetration levels are pretty high in most categories, future growth can come only
deeper rural penetration. FMCG majors are aggressively looking at rural India since
it accounts for 70% of the total Indian households.
GROWTH
High consumer awareness and penetration levels will enable the market to grow at
an average 8-10% per annum with slightly higher growth in the rural areas.
Higher penetration stems from popularity of low-cost detergents. Hence, besides
increase in per capita consumption, there is tremendous scope for movement up the
value chain.
HLL, Nirma and P&G are the major players in the market with 40%, 30% and 12%
share, respectively. While HLL dominates the premium segment, Nirma is the
leader in the popular segment.
CONSUMER
The term consumer is often used to describe two different kinds of consuming
entities; the personal consumer and the organizational consumer.
The personal consumer buys goods and services for is or her own (e. g. soap,
shampoo etc.) for use of the household (e.g.TV VCR or car) or as a gift for a
friend (e.g. bike, camera etc.). In each of these cases, individual who are
referred to as end uses or ultimate consumers buys the goods for final use.
The organizational consumer buys goods and services in order to run their
organization. Manufacturing companies buy raw material etc. to manufacture and
sell their own products. Institutions buy the material they need to maintain
themselves.
UNDERSTANDING CONSUMEROLOGY IMAGE SELLING
Whenever a consumer purchase a product, he is not just buying a brand. He is also
buying an image that is associated with the brand. Every marketer, and
marketing company, operates with the sole objective of crafting an array of
image, and reinforcing this diverse image in a contextual framework that is
relevant to the target segment. In ensures that the company is able to bring the
brand so close to the consumer that the brand creates a special place for itself in the
consumer's mind
Imagery is everything. When a consumer parts with money to purchase a
product, it is actually a response to the image that a particular band of the
product has cotnrived in his mind. This image, when confronted by a need state
translated itself into a purchase decision. During this period, the consumer is
creating a relationship with the brand which, depending on is consumption
experience, determines the future-buying pattern of the consumer. A series of
good repeat purchase experience gives you a local customer.
CONSUMEROLOGY
Once that real understanding of a brand's drives through an identification of the
unique associative image in obtained, in then becomes the task of the brand
Consumerology to craft relevant fit for the brand into the consumer-selected
image. From this fit an image is interpreted into a social and vocational set that is
consonance with the consumer's image and the image of the brand through the
medium of an image solution.
Having identified the image solution, the next task is to deliver it through the
variables of marketing like packaging, pricing, distribution, merchandising,
promotion and advertising. The most important aspect of Consumerology, and
image solution, is that they never dormant. Imagery, being everything is
constantly changing, so do the image solutions. Thus, these image solutions are
a function of listening to the consumer. They involves constant listening to
check if a brand's drivers are changing, if the consumer's image is changing and
id the image of the brand is being molded according to the changing situation.
So, the correct practice of Consumerology implies the creation of market
listening post, which is constantly receiving consumer feedback and passing it
to the brand consumerlogist who, in turn, interprets it for the creation of new
image solution. If the listening stops, the solutions are no longer the result of
consumer understanding, but merely the products of the experiential biases of the
solution creators.
CONSUMER BEHAVIOUR
Consumer behaviour is the study of individual, individual in a group as whole
while the individual decides to spend his/her time, effort and money on
consumption related items. Consumer behaviour refer to the behavior that
consumer displays in searching for, purchasing using, evaluating and isposing
of products and services that they expect will satisfy their needs.
They study of consumer behaviour is the study of how individual make decision
to spend their available resources viz. Time, money and effort on they buy from,
where they buy it, how often they buy it and how often they use it.
Take the case of consumer durable e.g. the T.V. set. What features they look for?
What is the reason for buying particular T.V. Set? How likely are they to replace
their old models when new models with added features become available?
The answer to such question can only be found through consumer research that
provide. TV manufacture with important product scheduling, design
modification and opting final strategy.
Although this study focuses on how and why consumers make decision to buy
T.V Consumer behavior and considers the uses consumers make of the good
they buy and then subsequent equations. For example, a buyer may experience
dissatisfaction to friend, and in turn influence his friend future TV purchase
decision or may vow never to buy same brand or model again, prescribing his own
future selection decisions. Each of these possible consequences of consumer
post purchase strategies into their promotional campaigns.
NEED OF CONSUMER BEHAVIOUR STUDY
For marketers, it is important for us to decide to whom to direct the promotional
efforts by recognizing why and how individuals make their consumption
decisions. If marketers understand consumer behavior they are able to predict how
consumer are likely to react to various informational and environmental cues, and
able to shape their marketing strategies accordingly.
The initial thrust of consumer research was from a managerial perspective;
marketing manager wanted to know the specific causes of consumer behavoir.
They also wanted to know how people receive, store and use consumption
related information, so that they could design marketing strategies to influence
consumption decisions. They regarded the consumer behavior discipline as an
applied marketing science; if they could predict consumer behavior, they could
influence it.
DEVELOPMENT OF THE FIELDS OF CONSUMER BEHAVIOUR
There are a number of reasons why the study of consumer behavior developed as
separate marketing discipline. Marketing had long noted that consumer did not
always act or react as marketing theory would suggest. The size of the
consumer market in this country highly diversified. Even in industrial markets,
where needs of good and services are always homogeneous than in consumer
markets, buyers are exhibiting diversified preferences and less predictable
purchase behavior.
To better meet the needs of specific groups of consumers, most marketers
adopted a policy of market segmentation, which called of the division of their
total potential markets into smaller, homogeneous segment for which they could
design specific products or promotional campaigns. To try to improve the new
product success rate to try to ensure consumer acceptance marketers make
determined efforts to learn everything they could about their perspective
consumer i.e. their needs, preference, changing life style. Research into
consumer behavior provided them with necessary insights to develop new
products and services and to design persuasive promotional strategies.
The growth of consumer movement created an urgent need to understands how
consumers make consumption decision e.g. in order to identify sources of
consumer confusion and deception, consumer advocates sought to discover
perceive and interpret various marketing and promotional information i.e.
promotional appeals, package labels, warranties etc.
Most of organizations have recognized that need to market globally to achieve
major economics of scale. Marketers now use cross cultural consumer research
studies as the basis for product development and promotional strategies to meet the
needs of targeted consumers.
FACTORS INCLUENCING BUYING BEHAVIOUR
PSYCHOLOGICAL FACTORS
Diversity in human behavior often causes us to look the fact that people are
really very much alike. Psychologists and consumer behavior agree that most
people tend to experience the same kinds of needs and motives, they simply
express these motives in different ways. For, this reason an understanding of
human psychology is very important to market place. The human psychology is
major factors that influence the buying behavior of the consumer. Under the
psychological factors the following points are taken into consideration
HUMAN NEEDS
MOTIVATION
PRECEPTION
LEARNIGN
ATTITUDE
HUMAN NEEDS
Very individual has some needs some are innate, others acquired. Every person
made purchase according to his needs e.g. purchase of food to satisfy need to
hunger, purchase of car to satisfy ego needs.
As far as the purchase of T.V. is concerned, it has become the needs of every
individual besides he belongs to any income group or social class.
MOTIVATION
Motivation is a driving force towards some object or condition or a driving
force some object or condition e.g. a person may be impelled towards a hotel to
satisfy his hunger need and away purchase a C.T.V.
OBJECTIVE OF THE STUDY
Objectives are the route map of any research. Without setting objectives any
research would be meaningless and all the efforts of the researcher will go in vain.
The objectives of this project titled "consumer behaviour regarding purchase of
cosmetics" were:
1) Finding major factors that influence the purchase decision of consumers
to purchase cosmetics.
2) To find out the variety of cosmetics, the women and students prefer most.
3) The brands, which are popular for the particular type of product.
4) The expenditure and the frequency of using the cosmetics.
5) Determining the sources from where the women get the information
about cosmetics.
6) Consumer perception towards the cosmetics ads.
7) Whether they are influenced and inspired by the ads.
RESEARCH METHODOLOGY
Problem Formulation:
It has normally observed that most of the marketers are spectacle about
consumers in India. Each company tries to provide more information about their
products for consumers. Very few companies are really providing information
according to the requirement of Consumers. They look for bargaining and lack of
proper advertisement about products.
Thus being a MBA student I felt, I should study the effectiveness of information of the
product of cosmetic consumers in depth. Another side of coin is that cosmetic
market in India is growing rapidly and enormous untapped potential lies there. Thus
also motivated me for selecting my topic of study as "Consumer buying behaviour
regarding Cosmetic in Yamuna Nagar City".
Research Methodology:
Market research methodology is as old as the marketing is without which it is
almost impossible to reach at any tangible decision. Although various methods are
adopted to undertake this activity but the goal is almost same i.e. to reach on a final
decision or solution of the problem.
There is a very famous quote "if you are confident of doing something, half of
the work is done". And confidence comes when you have a proper framework
for the particular job . Hence to carry out any work of necessary to chalk out a
framework.
To carry out the research project, we first define the research methodology that is
to be used for the research.
Research Methodology is the way of systematically solving the research
problem. It may be understood as a science of studying how research is done
scientifically. In it we study the various steps that are generally adopted during
the course of research along with the logic behind them. It is necessary for the
research to know not only the research methods but also the methodology.
The purpose of the research is to discover the answers to the questions through the
application of scientific procedures. Though each research study has its own
scientific objectives, we may think of research objective as falling in to a
number of following broad groupings:
1) To gain familiarity with a phenomenon or to achieve new insights into it.
2) To portray accurately the characteristics of particular individual situation.
3) To determine the frequency with which something occurs or with which
it associates with something else.
Nature of the project:
The project assigned to me was the "Consumer buying behaviour regarding
Cosmetic in Yamuna Nagar City". The consumers survey was conducted in
Yamuna Nagar area. Data is collected people who are living in Yamuna Nagar
area.
Survey Planning:
Planning is the most essential part for a successful survey. A right approach has to be
decided before heading forward keeping in mind the objective.
Due consideration has to be given at this stage towards:
1) Purpose of the survey
2) Scope of the survey
3) Units of the data collection
4) Sources of data
5) Techniques of data collection
6) Degree of accuracy desired
7) Miscellaneous consideration
SAMPLING PLAN:
Sample Size
Consumer (100)
Survey Methodology
Collection of Data:
This is the first step of the process. It forms the foundation for the whole of
statistical analysis. Faulty data can lead to unreliable conclusions so most care is
required while collecting the data.
Nature of data collection:
Primary Sources of data
Secondary sources of data
Area Covered
Instrumental Survey
Types of Questions
b) Organizing the date:
: Interview and Questionnaire
: Internet and Magazines
: Yamuna Nagar
: Questionnaire
: Close Ended/Open Ended
Collected data are meaningless unless presented in a proper manner to make
them useful in decision making. The data obtained is edited, classified
and put in as tabulated form to make it understandable.
c) Presentation:
After collecting and analyzing the data, it is ready for presentation. There
are different modes of presentation including charts, diagrams and graphs
etc. The main purpose of presentation is to put the collected data into an
easy readable form. In the present project report data has been graphically
presented by pie diagrams.
d) Analysis of data:
Having gathered the data, the researcher has to proceed towards drawing
conclusion by logical inference. At this stage, the data is in a tabulated
form and requires to be interpreted. With SPSS Software to analysis the data.
Thus, analysis involves the refinement and manipulation of data. It basically
involves.
Bringing the raw data in to measured data.
Summarizing the data.
Applying analytical methods to manipulated the data so that their
interrelations and quantitative meaning become evident.
Tools of Analysis: Percentage and Bar Diagram.
e) Interpretation:
Interpretation means to bring out the meaning of data or convert into
information. The climax of the research process is approached as one
prepares to draw conclusion for the data analyzed. The whole
investigation culminates reaches in drawing inference that leads to
conclusion. This phase calls for a high degree of interpretative skill both
quantitative and logical.
FINDING
In the present scenario, all the females use cosmetics. However the
number of cosmetics used varies. The highest response is being shown by
working women, next by students and least by non-working women.
Nearly, all the females use branded products.
Cosmetics are generally used for improving there looks and personality.
Using cosmetics gives them psychological satisfaction and give to their
body.
Cosmetics now a days has become a necessity for all the females.
Cosmetics are purchased keeping in mind the brand name, price and
quality. Packaging and ease of use do not hold much significance. This is
true for all the three categories.
Friends and media play a very important role in making females aware of
cosmetics.
Cosmetics are generally purchased from general stores by all the three
categories of females.
Working women spend more on cosmetics on an average than
housewives and student.
Cosmetics have after effect though their frequency is very les. But to
satisfy their short term need they are being used.
Advertisements play a role in helping customer decide on specific brand
of cosmetics. Students and working women influenced more.
Working women buy cosmetics in medium size, student in small sie and
working women in large in size.
There is trend to use herbal cosmetics. Due to the awareness, the ill-
effects are being considered while buying them.
Customer while purchasing cosmetics are not brand loyal.
No brand as such is providing all the popular products in cosmetics.
Duplicity although very less is being experienced which result in brand
switching.
Creating variety of cosmetics of a particular brand creates a healthy
impression in the mind of customers to a considerable extent.
Price of cosmetics is found to be consummate with the utility it offers.
PREFACE
Consumer behaviour is the key factor affecting the today's marketing
environment. After the liberaliation and the globalization there has been a sea
change in the Indian market scenario. The MNC's have entered the fray, which
forced the Indian giants to change their strategies. There is a cutthroat
competition and in order to survive and to have an edge over competitors,
marketers have realized the value of consumers. Consumers orientation is the key
word in present times.
I feel it my pleasure to work on this topic and present this study in form of
research project report a that is essential for every MBA student. The purpose of this
project is to provide the students with the practical exposure of the market in
today's changing scenario. It helps in the development of practical skills and
analytical thinking process. It provides with basic skills required to perform the
survey; and statistical tools required analyzing the data. Also it makes more
aware about the perceptions and tastes of consumers. Thus it helps in molding the
students according to the requirements of market.
Consumers buying preferences tastes choices have changed and they have
become more conscious. Change in consumers perception has lead to a situation
of unsatisfaction among consumers. There has been a lot of change in the rural
consumers. Their living standard has got uplifted and they are ready to spend
more to have qualify products.
The present study is based on the behaviour of the consumers in urban area
(Hisar) while purchasing cosmetics. It gives the information about the attitude,
perception and effect of social, cultural, economic, demographic and
psychographics factors on purchase of the consumers.
ANALYSIS OF RESPONSES GIVEN BY STUDENTS,
NON-WORKING AND WORKING WOMEN
Q.1 USAGE OF COSMETICS
Product Students Non-working Working
Shampoo 54 32 14
Eye Liner 40 20 8
Kajal 8 0 1
Face Wash 42 0 10
Moisturizer 34 20 8
Muscura 6 0 4
Compact 14 0 4
Conditioner 8 0 6
Bleach Cream 20 18 12
Astringent 16 0 6
Cleansing Milk 36 20 8
Foundation 12 6 2
Lipstick 50 24 12
Perfume 30 16 10
Deodorant 44 12 12
Nail Paint 48 8 6
Cream 34 8 4
For Students
Shampoo
Nail Paint Cream
Deodorant
Perfume
Lipstick
Foundation
Cleansing Milk
Eye Liner
Kajal
Face Wash
Moisturizer
Muscura
Compact
Conditioner
Bleach Cream
Astringent
Non-working
Nail PaintCream
Deodorant
Perfume
Lipstick
FoundationAstringent
Cleansing Milk
Shampoo
Eye Liner
Kajal
Face Wash
Moisturizer
Muscura
Compact
Conditioner
Bleach Cream
Working
Cream Shampoo
Nail Paint Eye Liner
Deodorant Kajal
Perfume Face Wash
Lipstick Moisturizer
Foundation Muscura
Cleansing Milk Compact
Astringent Conditioner
Bleach Cream
THE POPULAR BRANDS AMONG
Product Students Non-working Working
Shampoo Sunsilk, Pentene Clinic Plus, Clinic Plus,
Sunsilk Vatika
Eye Liner Lakme Lakme Lakme
Kajal Lakme Lakme Lakme
Face Wash Ponds, Pears Ponds Ponds, Pears
Moisturizer Ponds, Pears Ponds Ponds, Pears
Muscura Lakme Lakme Revlon, Lakme
Compact Lakme Lakme Lakme
Conditioner Ultura Doux Ultra Doux Ultra Doux
Bleach Cream Fem, Joilen Fem, Jolen Fem, Jolen
Astringent Ayur Ayur Ayur
Cleansing Milk Lakme, Ayur Lakme, Ayur Shenaz, Ayur,
Lakme
Foundation Lakme Lakme Touch, Revlon
Lipstick Lakme Lakme Relon Lekme, Revlon
Perfume El-Paso, Elle Rexona, Do-it Charlie, Oriflame
Deodorant Elle-18 Rexor Rexona Elle-18, Fa,
Ponds
Nail Paint Revlon, Lakme Revlon, Lakme, Alpha, Lakme
Alpha
Creams Charmis F & L Ponds Nivea Nivea, Ponds
Q2. TYPES OF COSMETIC USED:
Type Students Non-working Working
Branded 40 8 24
Local 14 6 8
STUDENTS
Local 26%
Branded 74%
The survey shows that students use branded cosmetics.
NON-WORKING
Local 43%
Branded 57%
The survey shows that non-working women use branded cosmetics.
WORKING
Local 25%
Branded 75%
The survey shows that working women use branded cosmetics.
Q3. REASON FOR USING COSMETICS:
Reason Students Non-working Working
To improve your personality 26 9 6
Social influences 5 10 3
Fashion and status symbol 5 5 2
Health point of view 8 4 1
Psychological satisfaction 10 4 2
Students
Psychological satisfaction
19% To improve your
personality
Health point of 48%
view 15%
Fashion and status symbol
9%
Social influences 9%
The survey shows that students buy cosmetics, keeping in mind health and
personality improvement. Fashion and status and social influences do not cater
much.
Non-working
Psychologicalsatisfaction
13%
Health point ofview13%
Fashion andstatus symbol
16%
To improveyour personality
28%
Socialinfluences
30%
The survey shows that the non-working buy cosmetics for their psychological
satisfaction and health.
Working
Psychological satisfaction
14%
Health point ofview7%
Fashion and statussymbol
14%
Social influences21%
To improve yourpersonality
44%
The survey shows that working women buy cosmetics to improve the
personality and they are also effected by social influences.
Q4. PERCEPTION ABOUT COSMETICS:
Perception Students Non-working Working
Luxury 10 6 2
Necessity 36 24 10
Both 8 2 2
Students
Both Luxury15% 19%
Necessity
66%
The survey shows that students perceive cosmetics to be a necessity.
Non-working
Both Luxury6% 19%
Necessity 75%
The survey shows that non-working perceive cosmetics to be necessity.
Working
Both Luxury14% 14%
Necessity 72%
The survey shows that working women perceive cosmetic to be a necessity.
Q5. FACTORS BEHIND BUYING DECISION
Factors Students Non-working Working
Brand 40 8 8
Price 48 12 5
Quality 24 4 10
Packaging 6 2 4
Ease of Use 14 6 2
Availability 20 4 2
Students
Availability13%
Ease of Use Brand9% 26%
Packaging 4%
Quality 16% Price
32%
The survey shows that students consider price and brand name to an important
determinant in buying cosmetics.
Non-working
Availability11%
Ease of Use17%
Packaging6%
Quality11%
Brand22%
Price 33%
The survey shows that the non-working women consider brand name price and ease
of use to be an important determinant in buying cosmetics.
Working Availability
6%
Ease of Use 6% Brand
26% Packaging
13%
Price Quality 16%
33%
The survey shows that the working women consider quality and brand name to be
important determinant in buying cosmetics.
Q6. SOURCE OF INFORMATION
Sources Students Non-working Working
Beautician 34 10 6
Doctors 8 4 0
Shop-keepers 4 2 0
Friends 48 16 8
Media 30 24 12
Students
Media24%
Friends40%
Beautician27%
Doctors6%
Shop-keepers
3%
The survey shows that friends and beautician are sources that make students
aware of cosmetics.
Non-working
Beautician 18%
DoctorsMedia42%
Friends29%
7%
Shop-keepers
4%
The survey shows that media and friends make non-working women aware of
cosmetics.
Working
Beautician 23%
Doctors 0%
Media46%
Shop-keepers
0%
Friends31%
The survey shows that media and friends influence working women.
Q7. OUTLETS FOR PURCHASE:
Outlets Students Non-working Working
General Stores 46 24 10
Exclusive 4 0 0
Cosmetic
Beauty Parlours 28 4 3
Cosmetic Stores 14 4 2
Students
Cosmetic Stores
15%
GeneralBeauty
Parlours 30%
Stores51%
ExclusiveCosmetic
4%
The survey shows that student generally buy cosmetics from general stores and
parlors.
CosmeticStores13%
BeautyParlours
13%
ExclusiveCosmetic
0%
Non-working
GeneralStores74%
The survey shows that non working women largely buy cosmetics from general
stores.
Working
Cosmetic Stores
13%
Beauty Parlours 20%
ExclusiveCosmetic
0%
GeneralStores 67%
The survey shows that working women buy cosmetics from general stores.
Q8. EXPENDITURE ON COSMETICS:
Expenditure Students Non-working Working
0-50 8 4 0
50-100 32 12 0
100-150 4 10 0
150-200 4 2 4
More 6 0 10
More11%
150-2007%
100-1507%
Students
0-5015%
50-10060%
The survey shows that students spend Rs. 50-100 monthly on cosmetics.
Non-working More 0%
0-50 150-200 14%
7%
100-150 36%
50-100 43%
The survey shows that non working women spend on an average Rs. 50-100 on
cosmetics.
Working100-150
0%
0-500%
More71%
50-1000%
150-20029%
The survey shows that working women spend on an average Rs. 150-200 on
cosmetics.
Q9. EFFECT OF COSMETIC ADVERTISEMENT:
Effect Students Non-working Working
Help 36 8 8
Not Help 18 24 6
Students
Not Help 33%
Help 67%
The survey shows that advertisement help many students to decide on type and
specific brand of cosmetics.
Non-working
Help 25%
Not Help 75%
The survey shows that housewives are generally not influenced by cosmetic
advertisements in deciding type and specific brand of cosmetics.
Working
Not Help 43%
Help 57%
The survey shows that cosmetic advertisements play a role in helping working
women to choose on specific brand and type of cosmetic.
Q10. TYPE OF COSMETICS:
Type Students Non-working Working
Herbal 40 22 10
Non-herbal 14 10 4
Students
Non-herbal 26%
Herbal 74%
The survey shows that students preferred to use herbal cosmetics.
Non-working
Non-herbal 31%
Herbal 69%
The survey shows that most of the non working women use herbal cosmetics.
Working
Non-herbal 29%
Herbal 71%
The survey shows that working women prefer herbal cosmetics.
Q11. BRAND SWITCHING
Attitude Students Non-working Working
Change 34 22 10
Not change 20 10 4
The survey that students generally change their present brand.
Students
Not change 37%
Change 63%
The survey shows that working women change their brands frequently.
Non-working
Not change 31%
Change 69%
The survey shows that non - working women change their brands
Working
Not change 29%
Change 71%
Reason for Changing:
New product introduction 20%
Price change 29%
Ad-intensity 11%
Pack change 4%
Product improvement 36%
Q12. SAME BRAND FOR ALL EXISTING PRODUCT CATEGORY
Response Students Non-working Working
Yes 10 10 2
No 44 22 12
Students
Yes 19%
No 81%
The survey shows that students use different brands for different product.
Non-working
Yes 31%
No 69%
The survey shows that non working women do not use same brand for all
cosmetics. However, a few still use same brand.
Working
Yes 14%
No 86%
The survey shows that a very high percentage of working women use different
brands.
Q13. EXPERIENCE OF DUPLICITY
Experience Students Non-working Working
Yes 12 12 2
No 42 22 12
Students
Yes 22%
No 78%
The survey shows that a few students experienced duplicity.
Non-working
Yes 35%
No 65%
The survey shows that about one third of the non working women have
experienced duplicate.
Working
Yes 14%
No 86%
The survey shows that a very few working women have experienced duplicity. A
combined analysis shows that duplicity is being experienced.
Behaviour after experience duplicity
* Category switching 31%
* Brand switching 50%
* Brand Loyal 19%
Q14. REGARDINGF HEALTHY IMPRESSION ABOUT THE
QUALITY OF COSMETICS.
Response Students Non-working Working
Yes 78 56 71
No 22 44 29
Students
No 22%
Yes 78%
The survey shows that students think that variety of cosmetic create a healthy
impression about the quality of cosmetics.
Non-working
No 44%
Yes 56%
The survey shows that some non working women think that variety of cosmetics of a
particular brand does not create a healthy impression about the quality of
cosmetics.
Working
No 29%
Yes 71%
The survey shows that like students working women also think that variety of
cosmetics create a healthy impression about the quality of cosmetics.
Q15. Brand Usage in the family
Brand Students Non-working Working
Same 32 22 8
Difference 22 10 6
Students
Difference 41%
Same 59%
The survey shows that some families use all the products of cosmetics of the
same brand.
Non-working
Difference 31%
Same 69%
The survey shows that almost all the non working use cosmetics of the same
brand.
Working
Difference 43%
Same 57%
The survey shows that almost half of the working women families use
cosmetics of the different brand.
16. PRICE VERSUS UTILITY
Perception Students Non-working Working
Yes 22 20 10
No 32 12 4
Students
Yes 41%
No 59%
The survey shows that students do not think that price is consummate with the
utility they offer.
Non-working
No 38%
Yes 62%
The survey show that non working women think that price is consummate with the
utility they offer.
Working
No 29%
Yes 71%
The survey shows that like working women also think that price is consummate
with the utility they offer.
SUGGESTIONS
Marketers should try to create brand loyalty by special changes in
product.
They should try to generate positive word of mouth by delivering quality
products.
Duplicity should be checked as per standards.
Proper attention should be given to make cosmetics free of aftereffects.
For the promotion purposes, more attention to be given to general and
cosmetic store.
As media plays an important role. TV and magazines should be properly
exploited.
Celebrities and beauty consultants should be included in advertisements for
making them more effective.
BIBLIOGRAPHY
BOOKS
Philip Kotler, "Marketing Management".
Schiffmean Leon, knouck. Leslie, "Consumer Behaviour' (Prentice hall of
India Pvt. Ltd.)
MAGAZINE
Advertising and marketing
Reader Digest
WEBSITES
www.googlesearch.com
www.khoj.com
CONSUMER BUYING BEHAVIOUR AS REGARDS COSMETICS
1) Do you use cosmetics? (Yes/No)if yes, then please specify their name below
2) Which cosmetics do you use? Branded ( )
Local ( )
3) Reasons for buying and using cosmetics are To improve your personality. ( )
Social influences ( )
Fashion and status symbol ( )
Health point of view ( )
Psychological satisfaction ( )
4) What is your opinion about cosmetics?
Luxury ( )
Necessity ( )
Both ( )
5) What factors do you consider while purchasing cosmetics?
Brand ( )
Price ( )
Quality ( )
Packaging ( )
Ease of use ( )
Availability ( )
6) What are the sources that make you aware of cosmetics?
Beauticians ( )
Doctors ( )
Shopkeepers ( )
Friends ( )
Media ( )
7) From where do you purchase cosmetics?
General stores ( )
Exclusive cosmetics stores ( )
Beauty parlors ( )
Cosmetics stores ( )
8) How much on an average do you spend on cosmetics?
0-50 ( )
50-100 ( )
100-150 ( )
150-200 ( )
More ( )
9) Do you think cosmetics advertisements help you to decide on type
and specific brand of cosmetics? If yes recall.
10) What type of cosmetics do you like to buy?
A) Herbal ( )
B) Non Herbal ( )
11) Do you regularly use the same brand of cosmetics or change the bran
frequently? If yes, then reasons for changing.
Prince change ( )
New brand introduction ( )
Product improvement ( )
Package changes ( )
Advertising intensity ( )
Any other ( )
12) Do you use the same brand of cosmetics for all the existing productcategories in cosmetics? (Yes/No)
13) Have you eve experienced any inferiority/duplicity in cosmetics you have
purchased. If yes, how has that influenced your buying behaviour?
Brand switching ( )
Category switching ( )
Brand loyal ( )
Any other ( )
14) Does variety of cosmetics of a particular brand create a healthy
impression on your mind about the quality of cosmetics?
(Yes/No)
15) Does all your family members use same brand/ type of cosmetics
Same ( )
Different ( )
16) Do you think that the price of cosmetics in general is consummate with
the utility they offer?
(Yes/No)
Name
Age
Profession
Address