1

Executive Summary

HISL deals in sanitary ware under the brand name HINDWARE which

was adjudged as a super brand in the year 2004-06. The tile of the project was

MARKET STUDY FOR HINDWARE PRODUCTS IN THE VIDARBHA

REGION.

The project was for the period of two months, June and July. As the

title of the project specifies, the project was all about determining the potential of

sanitary ware products in and around the region of Vidarbha. The summer trainees

of the company tried to find out the market potential of sanitary products of

HINDWARE in the Vidarbha region.

This task given as apart of the project gave an opportunity to work under a

challenging environment and gave the feel of the real market scenario. In this

project the company wanted the trainees to conduct personal interview of the

various dealers, sub-dealers, stockiest and retailers on behalf of the company. After

doing so the trainees had to fill in the questionnaire that was provided by the

company.

In this project report an attempt has been made to reveal the out comes and

the findings that has surfaced while working on the project. These findings are been

explained in a simple and illustrated form in the report.

2

Objective

Any survey conducted without an objective is like shooting in the darkness.

Hence, determination of an objective is very essential before carrying out any

survey.

The objective for the survey is as follows:

Determining the potential of sanitary ware in the region of Vidarbha.

Other specifications:

Sample size: 112

Area of Operation: As mentioned earlier, the survey covered the region of

Vidarbha, where in journey had to be made in some of the districts of Vidarbha,

namely-

NAGPUR

AMRAVATI

AKOLA

YAVATMAL

CHANDRAPUR

WARDHA

3

COMPANY PROFILE

HSIL made a humble beginning in1936, when

Somany's were stockbrokers in Calcutta. But a

few years later in 1944, their entrepreneurial

spirit led to the setting up of "Somany Glass

Works". Then, on the back of this successful

venture they set up "Hindustan Glass Works"

in 1952 India's first fully automated, state-of-

the-art glass manufacturing unit.

Today, the Somany Group has a diversified

range of products encompassing glass

containers, sanitary ware, bathroom

fittings,

HSIL Office in Bahadurgarh

bath tubs, shower enclosures, Shower partitions & panels, Kitchen appliances & Sinks and

ceramic tiles, as well as textiles and engineering goods.

The Somany Group s flagship company, Hindustan Sanitary ware and Industries Ltd., (HSIL)

was set up in 1962 in collaboration with Twyfords of UK. In India, it soon pioneered Vitreous

China Sanitary ware and gave the concept of sanitary ware a new meaning. Now, the "Hindware"

brand commands more than a third of the Indian sanitary ware market and is a leader in several

categories. Furthermore, amidst sanitary ware brands, it s a top export from India.

Hindustan Sanitary ware and Industries Ltd. (HSIL), is the first company in the Building

Materials Industry to be awarded the prestigious ISO 9001, 14001 and OHSAS 18001 certificate,

implying effective quality management and environment systems. It is recognized amongst the

top 300 companies in the country and is also rated amongst the 100 best small and medium sized

companies in the world by Forbes Magazine.

Over the last four decades, HSIL has earned respect in the Indian and international markets with

its commitment to innovation, unwavering quality and customer satisfaction. Today, it has 350,

00,000 plus satisfied customers, the world over, and commands more than a third of the Indian

sanitary ware market. HSIL pioneered the concept of vitreous china in sanitary ware and has

developed several water conservation flushing systems too.

4

The brand 'Hindware' commands more than a third of the domestic sanitary ware market, and is

the leader in several areas. Even on the international front, its parent company, Hindustan Sanitary

ware Industries Limited (HSIL) is the leading exporter of sanitary ware from India. Indeed, HSIL

today provides a complete range of solutions: sanitary ware, bath fittings, tubs, shower enclosures,

whirlpools and kitchen fittings, Shower partitions and panels, Kitchen appliances and Sinks. And this

is through an extensive, nationwide network of more than 800 dealers and 20,000 sub-dealers.

'Keramag' is the number 1 selling brand from Europe s largest bathroom product company. In India,

this select, up market range of bathroom solutions is brought to the customers by Hindustan Sanitary

ware Industries Ltd. (HSIL), through an exclusive tie-up for their distribution. Keramag comes with

special features like KeraTect glaze, Clou waste and overflow systems, Dual-flush and removable

seats, and the Kerafix invisible fixing system. Now, these imported sanitary ware products are sold

across India.

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HINDWARE QUALITY POLICY

Hindware is committed to a continuous improvement in their products and

services through innovative technology, meaningful human resource development,

installation of quality management systems of national/international standards and

establishing and reviewing quality objectives for superior customer values and

aspirations.

OBJECTIVES OF THE COMPANY

To be a cost effective and a profitable organization

To retain market leadership

To comply with relevant statutory and regulatory requirements related to

their products and to continuously train and up grade the skills of the

employees

COMMITMENTS OF HSIL

Pursing the sustainable growth while continually improving the

environmental performance of the organization

Complying with relevant environmental legislations, requirement and

other requirements

Establishing objectives and targets for environmental performance,

reviewing them regularly and revising policy if required

Promoting increased environmental awareness among our people and

interested parties

6

Theoretical Background

The report mainly deals with the market study for the sanitary

products of HINDWARE in the Vidarbha region. Vidarbha still being a

developing region presents some potential for the company s product. In

order to device a strategy to develop this untapped market, market survey

came as a handy tool.

Market survey was conducted in the Nagpur, Amravati, Yavatmal,

Chandrapur, Akola, and Wardha districts of Maharashtra. All the relevant

information was gathered through the help of questionnaires. The

questionnaire was developed in such a way that it would reveal information

about the preferences for different products, factors affecting sales, potential

for future growth, attitudes and taste of the customers, lacunas in the

process of distribution, competition etc.

Analysis of data collected with the questionnaire is very essential for

the purpose for market segmentation. Price, quality, brand awareness are

major factors for determining the market trends existing in the region. The

process of market segmentation proved to be helpful in arriving at the

conclusion that Nagpur s market has immense potential for HINDWARE

product.

The process of market segmentation also suggested launching of a

new range of low priced products for the districts that were covered during

the project.

Channel of distribution plays a very important role for the products

to reach the customers at the right time, right quantity and at the right place.

The study regarding the availability of the HINDWARE products indicated

that the reason why products are not readily available in the market.

Company does not have any bulk break point i.e. a depot in the region this

also escalates cost of transportation for dealers and retailers while

procurement of the material. This non-availability of the products also

hampers the market share of the company.

Media planning is an essential part of any marketing program.

Advertisements through television, radio, print medias and hoardings can

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help in building of brand awareness among the potential customers of the

region in particular.

Market survey is the first step in designing a marketing program.

The data gathered through this market survey has revealed some very

important findings to understand the present market conditions and what

steps could be taken to widen the market and is also helpful for the company

as far as the market share of HINDWARE products are concerned.

8

Research Methodology

The task of data collection begins after an objective has been ascertained and

the methodology followed chalked out. While deciding about the method of data

collection to be used for the study, the researcher should keep in mind two types of

data viz. primary and secondary data. The primary data are those which are

collected a fresh and for the first time and thus happen to be original in character.

The secondary data, on the other hand, are those which have already been collected

by someone else and which have already been passed through the statistical

process. The researcher would have to decide which sort of data he would be using

(thus collecting) for his study and accordingly he will have to select one or the other

method data collection. The methods of collecting primary and secondary data

differ since primary are to be originally collected, while in case of secondary data

the nature of the data collection work is merely that of data compilation.

Primary Data : In case of doing research of descriptive nature and

while performing surveys, whether sample survey or census surveys, then

one can obtain primary data either through observation or through

observation or through direct communication with respondents in one

form or another or through personal interviews. There are several

methods of primary data collection, particularly in the case of surveys.

Important ones are:

Observation Method : Under this method, the information is

sought by way of investigator s own direct observation without

asking from the respondents

Interview Method : The interview method of collecting data

involves collection by presentation of oral-verbal stimuli and reply

in terms of oral- verbal responses. This method can be used

through personal interviews and, if possible, through telephone

.interviews.

9

Questionnaires Method : This method of data collection is

very popular, particularly in the case of big enquires. It has been

adopted by private individuals, research workers, private and

public organizations and even by governments. In this method the

questionnaire contains a number of questions in a particular

sequence. These questionnaire is either given to the respondents to

fill up or is being filled up by the company employee on the basis

of the responses obtained during the conversation with the

respondent

Schedule Method : This method is some what like the

questionnaire method with a slight difference. In this method the

schedule (proforma containing a set of questions) are filled up by

the enumerator who are specially appointed for the purpose.

There are other methods of data collections which are used by big business

houses in the modern times, namely :

o Warranty Card Method

o Distributors or Store Audit Method

o Pantry Audit Method

o Consumer Panel Method

o Mechanical Device Method

o Projective Method

o Depth Interview Method

o Content Analysis Method

Secondary Data : Secondary data means the data that are already

available i.e. they refer to the data which have already been collected and

analyzed by someone else. When the researcher utilizes secondary data,

then he has to look into various sources from where he has obtained them.

Secondary data may be published or unpublished data. The main sources

of secondary data is as follows.:

o Various publications of central, state and local governments

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o Various publications of foreign government or international

bodies and their subsidiary organizations

o Technical and trade journals

o Books, magazines and newspapers

o Reports and publications of various associations connected with

business and industry, banks, stock, stock exchange, etc

o Reports prepared by research scholars, universities, economists,

etc. in different fields

o Public records and statistics, historical documents, and other

sources

Methodology Followed :

This project has been framed by the company as it wanted to know to the

latest market trends existing in the region. I as a trainee was strictly instructed by

the company, not to disclose my identity to the respondents as it might create the

panic button among the dealers, sub-dealers and retailers. This would in turn force

them to give unauthentic answer to the questions in the questionnaires. So I had to

disguise myself as a potential customer for their sanitary ware product who would

be ordering in bulk in future. This instigated the respondents to provide me with the

proper answers to the questions in the questionnaires as they would be getting

business if they provide me with the correct information. Care was taken, not to put

forth the questionnaires (on paper) in front of then respondent as thy might be

suspicious about the survey. So instead of putting the questionnaires in front of the

respondents, I had memorized the set of questions which I would put forth in the

due course of conversation with the respondents.

The next step was to collect the visiting cards of the respondents which was

pretty easy task once the shop owner is convinced that I am a potential customer for

their sanitary ware products.

After the prior mentioned steps, I would go back to my room with all the

collected information and the visiting cards and fill up the questionnaires on the

basis of the information collected form the respondents. Along with the

questionnaires the visiting cards of the respondents were also attached so as to

11

prove the authenticity of the survey and also to provide the name, phone number

and the address of the shop owners.

Data Collection :

Data is a very essential part of a survey. As for this survey data forms the

life blood. In this survey too, data was bifurcated into two types, namely, primary

and secondary data. Listed below are the sources through which the data has been

collected:

Primary Data :-

Personal interviews

Phone calls

Personal observation

Secondary Data :-

Company pamphlets

Company magazines

Company catalogues

Company price lists

Methods Followed :-

As discussed earlier that there are various methods of collection of data,

hence, in this survey too some of these methods have been put into use.

The first and fore most method that has been put into use is the questionnaire

method. Questionnaire had been prepared and based on the questionnaire the survey

was conducted in the region.

The next method that was followed was the interview method. Interview of

the respondents have to be conducted and based on the information gathered at the

time of the interview the questionnaires were supposed to be filled up as well as the

visiting cards of the respondents were supposed to be attached along with the

questionnaires.

Lastly, observation method was put into use. The questionnaire contained

some questions where in the interviewer had to observe the products displayed in

12

the shops. Based on this observation the relevant questions were supposed to be

answered in the questionnaire.

Thus, it is pretty evident that the survey has been a combination of a set of

methods of data collection.

13

Motivation In Survey

Every survey conducted has got some motivation apart from it objectives.

These motives generally form the guiding force for a particular survey.

Below listed are some of the probable motives behind carrying out a survey:

Desire to get a research degree along with its consequential

benefits;

Desire to face the challenge;

Desire to get intellectual joy of some creative work;

Desire to be of service to society;

Desire to get respectability.

Given above is a non-exhaustive list of factors motivating people to

undertake the task of survey.

This survey also had a personal motivating factor like other surveys,

namely, the challenging environment which it provided to the trainees during the

period of the training. It gave an opportunity to understand the market scenario in

reality and the forces driving the market. This survey also provided an opportunity

for creating a wide outlook of the trainee working on it.

14

Data Analysis

Data is a very essential part of any survey. The data collected should

be valid so as to get the correct picture of the market. After the collection of

the data, it has to be processed and analyzed in accordance with the outline

laid down for the purpose at the time of developing the survey plan. This is

essential for a scientific study and for ensuring that there is presence of all

relevant data for making contemplated comparisons and analysis. Analysis

means the computation of certain indices or measures along with searching

for patterns of relationship that exists among the data group. If the analysis

is not done in a proper manner then the very purpose of conducting the

survey is defeated.

Hence in this report an attempt is made to do the correct analysis of

the data collected by me in the due course of time.

15

SALE OF BASINS

BASINS WALL HUNG

BASINS

VANITY BASINS

PERCENTAGE 61% 39%

61%

39%

Wall Hung Basins Vanity Basins

In the above chart the percentage-wise sale of basins has been

depicted. In the questionnaire the basins were mainly bifurcated in Wall

Hung Basins and Vanity Basins. The pie above clearly shows that the

percentage-wise sale of Wall Hung Basin (61%) is more as compared to the

Vanity Basins (39%), in the region of Vidarbha.

16

SALES OF CLOSETS

CLOSETS ORISSA

PAN

FLOOR

MOUNTING

WALL

MOUNTING

PERCENTAGE

49% 32% 19%

49%

32%

19%

orissa pan floor mounting wall mounting

This pie is all about the percentage-wise sale of closets, namely

Orissa Pan, Floor Mounting Closet and Wall Mounting Closet. From the

chart above it is pretty evident that the traditional Orissa Pan still rules the

Vidarbha market. Again another thing that can be noticed is that the Floor

Mounting Closets are not very far behind the Orissa Pans. Infact according

to the dealers and retailers surveyed had the opinion that the Floor Mounting

Closets have a good future as nowadays customers are going in for well

decorated and fashionable bathrooms and Floor Mounting Closets form a

perfect part of their stylish bathrooms. Floor Mounting Closet are followed

17

by the Wall mounting Closets which has got the least sale in the Vidarbha

market, on the whole

18

SALE OF CISTERNS

CISTERNS PVC CONCEALED

CISTERN

FLUSH

TANK

PERCENTAGE 57% 8% 35%

57%

8%

35%

PVC Concealed Flush Tank

This chart has been prepared to show the percentage-wise sale of

cisterns, namely, PVC Cistern, Concealed Cistern and Flush Tank. It is clear

from the pie that the best performance in today s market is been given by

the PVC Cistern which has a share of 57%, followed by the Flush Tank

having a share of 35% and the Concealed Cistern having a share of mere

8%.

It can be analyzed that the in today s scenario the PVC cistern is

more popular than other types of cisterns in the market.

19

SALE OF URINALS

URINALS SENSO SPREADER SIMPLE

PERCENTAGE

10% 20% 70%

10%

20%

70%

Senso Spreader Simple

From the consensus obtained from the dealers, sub-dealers

and retailers regarding the sale of urinal at Vidarbha, the data collected and

the statistics drawn reflects that Senso type urinals sales for 10% , Spreader

type saling for 20% , and Simple type saling the most making a remarkable

figure of 70%.

Thus, according to the survey it is evident that SENSO and

SPREADER types are preferred at places like theatres and five star hotels

whereas SIMPLE fits in anywhere.

20

BATHTUBS

In the vibrant world of HINDWARE, Bathtubs , form an integral

part of the superior technology. Nowadays bathtubs have become an

inseparable part of the bathrooms of the rich class.

Hindware offers it customers a wide range of bathtubs that come in

various shapes and sizes. Hence, the bathtub also formed a part of the

survey. The company mainly intended to know whether bathtub is a

necessity for the rich class of people, which brand of bathtubs are being kept

by the dealers and retailers and which is the most popular size of the bathtub

that is being sold in the Vidarbha market. In turn the company wanted to

know the scenario that prevails in the bathtub market.

Some of the brands of bathtubs sold in the region of Vidarbha are as

follows:

HINDWARE

PARRYWARE

CERA

MADONA

HINDUSTAN

JOHNSON

PRESIDENT

CARRIER

OYSTER

ITALIO

REGENCY

RELAXO

AQUEL

SWISS

NOBLE

SILWARE

SONEX etc.

21

Is Bathtub A Necessity?

68%

32%

Yes No

The chart above shows the percentage of dealers, sub-dealers and

retailers who replied in YES or NO when asked about the necessity of

bathtub to the rich class.

Of all the dealers, sub-dealers and retailers surveyed 68% were of

the opinion that bathtub is necessary for the rich class. Bathtub nowadays

forms a part of the stylish bathroom and of the rich class.

On the other hand 32% percent of the dealers, sub-dealers and

retailers said that bathtub is not a necessity to the rich class and they can do

without bathtubs in their bathrooms

22

The above bar graph is a pictorial representation which depicts the views of

various sanitary ware dealers, sub-dealers and retailers about their opinion -

Whether BATH -TUBS is a necessity for the rich class or not?

NAGPUR

87%

13%0%

20%40%60%80%

100%

YES NO

OTHERS

47%

53%

44%46%48%50%52%54%

YES NO

23

The survey came up with a satisfying conclusion at NAGPUR 87% of the

dealers, sub-dealers and retailers responded positively (yes) whereas 13% of them

said they didn t feel it to be a dire necessity of the upper class.

From the consensus drawn at VIDARBH, I came up with a response that

around 47% dealers , sub-dealers and retailers saying YES and 53% of them

saying NO to it .

Thus, from this consensus we can draw this conclusion that

The need for

BATH TUBS were highly felt at places where the concentration of the rich class is

the most and the need of modern amenities is a part and parcel of their day-to-day

life .

24

Procurement Of Material

53%

40%

7%

0% 10% 20% 30% 40% 50% 60%

From

Com

pany

Dea

lers/dist

rbutor

sOther

Sou

rces

Percentage

Source From

Company

From

Dealers/Distributors

Other

Sources

Percentage 53% 40% 7%

This bar diagram is mainly prepared to show the percentage-wise

distribution of dealers, sub-dealers and retailers pertaining to their source of

procurement of the sanitary ware products which they deal in.

According to the survey conducted, around 53% of the dealer, sub-dealers

and retailers get their materials directly from the company. 40% of them procure

their material from other dealers and distributors and the rest 7% get their material

from some other sources, namely, other retailers, stockiest etc.

25

Bathroom Size

(As per customer preference)

Size Compact Medium Large

Percentage 22% 59% 19%

22%

59%

19%

Compact Medium Large

As HINDWARE has conducted the survey in order to know the present

market scenario, hence, the size of the bathrooms as per the preference of the

customer is of some importance to the company.

The pie chart above shows the percentage-wise bifurcation of customer

preference pertaining to the size of the bathroom. It clearly denotes that majority of

the customers of Vidarbha prefer a MEDIUM size bathroom (59%). 22% of the

customers prefer COMPACT size bathrooms and the rest 19% prefer LARGE size

bathrooms.

26

Colour Preference

(As Per Customer Perception)

Colours Light Dark Tiles

Matching

Any

Percentage

64% 14% 19% 3%

64%14%

19%3%

Light Dark Tiles Matching Any

Form the survey conducted by the company to draw views of the

customers at Vidarbha about the colour of preference of their sanitary ware which

would give their toilets and bathrooms an aesthetic look. The company has come up

with a brilliant response from the dealers, sub-dealers and retailers- with 64%

opting for light colour, 14% opting for dark , 19% going for the colour of tiles and

the remaining 3% opting for any colour.

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Thus, it is evident that the colour of the sanitary wares is even

governed by some parameters in most of the cases while for a smaller fraction of

dealers ,sub-dealers and retailers colour is not a matter of concern in case of

sanitary wares .

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Customer Preferences In Sanitary ware

Rank Parameters

1 Price

2 Design

3 Brand

4 Quality

5 Colour

6 After sales Service

Given above are the PARAMETERS which are mainly considered by the

customers while purchasing sanitary wares. As the survey has been conducted by

the company in the region of Vidarbha, hence the table gives talks about the

customer preferences in the area of Vidarbha only.

PRICE : According to the survey conducted, PRICE has been

identified as the most important parameter which the customers judge

while purchasing any sanitary ware item. The Vidarbha is a very price

oriented market. A slight difference in the price level can bring massive

change in the sales volume. In short one can say that Vidarbha is an

extremely price sensitive market.

DESIGN : DESIGN , has been attributed to be the second most

important factor which the customers consider in general. Customers are

very conscious about the design and mostly prefer those designs which

suit their taste.

29

BRAND : BRAND , has been over all considered to be the third most

important factor adjudged by the customers while purchasing any

sanitary ware item. The main reason for brand standing third on the list is

because the market is PRICE SENSITIVE , rather than been BRAND

CONSCIOUS. The customers have very less or absolutely no

knowledge about the branded product. Hence, this ignorance on the part

of the customers provides a good market for the Gujarat made local

products. These are the non-branded products which are of poor quality

and far cheaper than the price of the branded products existing in the

market.

QUALITY : After brand , QUALITY , comes into the picture. As

mentioned earlier, that price plays the most important role in the region

and brand suffers, hence as brand suffers, quality suffers too. Quality in

the market is only been offered by the branded products and branded

products are costly as compared to the Gujarat made local ones. Thus

quality stand fourth in the list of the parameters which are taken into

consideration by the customers while purchasing any type of sanitary

ware items.

COLOUR : Though the sanitary ware companies offer a wide range of

colours, still COLOURS , rank fifth in the lists of the parameters. The

customers of the region mainly go in for light colours, namely, white and

ivory. According to the dealers, sub-dealers and retailers, the customers

going in for dark colours are in minority when compared with customers

preferring light colours.

AFTER SALES SERVICE : According to the survey conducted,

AFTER SALES SERVICE , ranks last i.e. sixth in the list of the

parameters. As per the perception of the dealers, sub-dealers and

retailers, after sales service is not been given much weightage by the

customers while purchasing any sanitary ware product. There are only a

hand full of customers who take into consideration the after sales

services provided by the dealer, sub-dealers and retailers, while buying

sanitary ware product

30

Thus from the previous explanation it can be stated that PRICE is the most

dominant factor that rules the market of Vidarbha. Whereas factors like BRAND

and QUALITY , suffers to a large extent.

31

Availability Of Different Brands

Brands Hindware Parryware Cera Others

Percentage

10% 12% 9% 69%

10%12%

9%69%

hindware parryware cera others

The pie chart exclusively prepared from consensus drawn from

different dealers, sub

dealers and retailers about the availability of different

brands of sanitary ware like

Hindware , Parryware , Cera and others to name a

few.

It is quite evident from the above pie chart that, any branded quality

sanitary ware like

HINDWARE, PARRYWARE, and CERA are not available in

the market as extensively as any other local made products. The probable reason

being the cost. The availability of the branded companies is being recorded as

merely 31% in the whole market. Whereas the non-branded companies have an

existence of a massive percentage of 69%.

32

Dealers, sub- dealers and retailers like to keep the sanitary ware which is

mostly preferred by general people. Hence the presence of the branded companies

is available in minority.

33

Display Of Different Brands

Brands Hindware Parryware Cera Others

Percentage

5% 6% 6% 83%

5% 6% 6%

83%

Hindware Parryware Cera Others

The above pie-chart is a pictorial representation of the survey done by the

company with regards to the Display of different brands of sanitary ware at various

places meant for public awareness or advertisements. In this survey we had made an

attempt to know the parameters governing the ratio of display of different brands at

various Dealers , sub- dealers and retailers shop or showroom.

Here one will see the major cause that is

customer s preference of sanitary

ware brands. The majority of common people (80%) going for the Gujarat made

sanitary ware products which are inexpensive as well as of poor quality, whereas

people of rich class, the upper middle class and some part of the middle class going

for

HINDWARE (5%), PARRYWARE (6%) and CERA(6%), which are

expensive and of very premium quality. This justifies the difference in the display

34

of branded and Gujarat made sanitary ware products in the shop and showrooms of

the region.

35

Architect s Influence

Response Yes No No. Of Dealers, Sub-dealers and

Retailers 100 12

Percentage 89% 11%

89%

11%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

Percentage

Yes No

This survey was conducted by the company in order to find out the

influence of the architects in buying of sanitary ware products. Out of 112 dealers,

sub

dealers and retailers, 100 of them said they were influenced by architect s

preference of sanitary ware products, whereas 12 of them said architect s preference

was not a matter of concern for them.

Hence, architect s preference is a matter of concern for the majority of

dealers, sub dealers and retailers.

36

Retailer s Influence

(on the customer for changing the brand )

Response Yes No No. Of Dealers, Sub-

dealers, Retailers 112 0

Percentage 100% 0%

100%

0%0%

10%20%30%40%50%60%70%80%90%

100%

Percentage

Yes No

This survey was done by the company in order to find out the influence

of retailers on the customers for changing the brand. Customers generally do not

possess brand and quality awareness. Retailers thus play a vital role in assisting

customers in making the right choice of sanitary ware. Retailers many times stress

the customers to buy the products available to them.

Thus it is clear from the above statistics that 100% of the retailers play

a vital role in influencing customer for change of brand.

37

Findings

Every survey is conducted in order to find out something related to the

topic. These findings are the life blood of the survey as without these findings the

very purpose of carrying out the survey is been defeated. It can be treated as the

inferences drawn from the research.

The findings should be purely based on the outcomes of the survey as it

enables the organization conducting the survey to get the best possible. One cannot

term the findings to be absolutely correct as a survey is bounded by some

limitations but as far as possible, utmost care should be taken to ensure that the

outcome of the survey has got the least number of flaws so that the very purpose of

carrying out the survey is fulfilled.

This survey carried out under the head MARKET STUDY FOR

HINDWARE PRODUCT IN VIDARBHA REGION , has also got some

findings. Again these findings have got some limitations as these are based on the

data collected and analyzed during the survey, but utmost care has been taken to

ensure the numbers of flaws in the findings are kept to the least possible extent.

Listed below are the findings of the survey:

Price Sensitive Market : The very first inference that has surfaced out

of the survey is that the region of Vidarbha is a very price sensitive market.

The customer are mainly driven by price of the product, especially when it

comes to sanitary ware items. A slight increase in the price of the product

can chase the customer to some other shop that offers the same product at a

low price. Due to this price sensitivity the Gujarat made products have a

good market in the region as they are very cheap as compared to the branded

products. According to the statistics, only 31% of the shopkeepers surveyed

keep the branded product or can make branded product available to the

customer. If further analysis is done then one can see that the products

which cost less, even in the case of the branded products are sold more.

This can be purely related to the price sensitivity of the region of Vidarbha.

Customer Ignorance About The Brand : This is a very striking

feature of the survey conducted. The customers of the region have less

knowledge or absolutely no knowledge about the brands existing in the

38

market. This ignorance on the part of the customer has created a heaven for

selling the local made cheap product which are of extremely poor quality

and are non-branded.

Promotion Of Duplicate Brand : Another important out come of the

survey is that in the region there an a good presence of the duplicate brands.

Duplicacy has captured a lump sum market in the region. In fact these

duplicate products are often promoted by the shop owners, claiming to be

the original branded product. As mentioned earlier, the customers are

ignorant about the brands, hence, they find it difficult to distinguish between

the original and the duplicate brands, making it easy for the duplicate ones

to survive. Given below are few of the names of the duplicate brand existing

in the market:

HINDUSTAN for HINDWARE

PARRYS for PARRYWARE

JOHNSON for JOHNSON PEDDER

RECERA for CERA etc.

Strong Hold Of Gujarat Product : A huge market has been captured

by the Gujarat made products as these products are cheap and there

availability is much more than the branded ones (e.g. if a shop owner needs

three days to a week to provide the customer with a branded product, the

same shop owner can provided the customer with the Gujarat made product

in a matter of few hours or at the most a day ). Some of the Gujarat made

which have come out as the market dominator are listed below:

SONA

JOHNSON

DELPHI

SILWARE

BIG BOSS

BIG BOY

RECERA

APOLLO

PRIYA

ICON

39

SONORA

HINDUSTAN

PARRYS

BELL

SANIO

DEVDOOT

SONEX

ANCHOR

GLOSSY

APPLE

EAGLE

SAMRAT

PEARS

BOSS

MARVEL

SONALIKA

SWARNA

PARHURAM (still available in few shops although its production

has stopped)

REGENCY

SONNY

MARK

VASANT etc.

Presence Of Branded Company Is Less : The presence of branded

company in the market is less. As per the statistics collected, only 31% of

the shop owners said that they keep branded products or can make them

available. Again out of the 31%, only 10% of the shopkeepers interviewed

said that they keep HINDWARE products or can make them available to the

customers. If one scans through the list of displays in the shops, it can be

seen that only around 17% of the shops have branded products on the

displays out of which only about 5% of the shops have the HINDWARE

products on the display. These figures and statistics given in the data

40

analysis part make it pretty evident that the presence of branded product in

the region is less. Moreover the performance of HINDWARE is not up to

the mark when it comes to Vidarbha.

41

Market Scenario Of Different Cities

The company mainly intended to conduct the survey in the region of

Vidarbha. Here the scenario that prevailed in different cities has been explained to

the best possible extent. Thus the following districts were covered in the due course

of time of the survey conducted:

Nagpur : Nagpur can be termed as potentially strong market. The

city is developing on a medium pace. There are many builders and

promoters who contribute to the infrastructural development of the

city. Thus the want for sanitary ware products are on the rise and in

the near future a good market can be expected fro the sanitary ware

products. If the individual customers are taken into consideration, it

can be observed that they are more educated and stylish when

compared to the rest of Vidarbha. Hence, they have some flair for

decorated bathrooms which again provides a good market for the

sanitary ware products. Although it has been stated before that the

region of Vidarbha is very price sensitive, still the city of Nagpur has

got many buyers for costly branded products as per as sanitary wares

are concerned.

Amravati : Amravati is the second biggest city in the whole of

Vidarbha. It ranks only after Nagpur. The level of Amravati is not as

high as Nagpur when it comes to development. But still the city can

be considered to be a potentially good market for the sanitary sector.

According to the people surveyed in the city feel that infrastructural

development is on the rise. This in turn will give a boost to the sale

of the sanitary ware in the city and in the places near by. On

speaking about the sanitary ware market, one can observe that it is

well stretched and not very much scattered.

Yavatmal : Yavatmal is a stagnant city i.e. very nominal amount

of development has taken place in the city. The city is small when

compared to Nagpur and there are very few people in the city are

rich as well as fashionable. Hence, not much scope exists in the

42

when it comes to the spread of sanitary ware item. Moreover the city

is very price sensitive and people generally do not care much about

the branded products. They mainly purchase the local made products

that are less expensive and affordable to their pockets.

Akola : Again the city of Akola is a stagnant city like Yavatmal.

But there are some places in Akola where some amount of

development has really taken place and people have flair for

decorated bathrooms. Even the size of the sanitary ware market of

Akola is some what bigger than places like Wardha, Yavatmal and

Chandrapur. So some growth in the sanitary ware sector can be

expected from the city of Akola in the near future.

Wardha : Wardha again is a stagnant city when it comes to the

development of the city. One of the most striking feature about the

city is that although it is a big city still the sanitary ware market is

small and scattered. Thus, the inference that can be drawn from this

is that there is less scope for the expansion of the sanitary ware

market in the city.

Chandrapur : Out of all the cities covered in the due course of

time, Chandrapur is the smallest city as per it area is concerned. The

city does not have too much of infrastructural development. Neither

does it have very rich class of people in majority. Hence, it also has

got very less growth in the field of sanitary ware.

43

Limitations Of The Project

Trainees were asked not to reveal their identity to the dealers, sub-dealers

and retailers

At times the respondents were biased towards the brands they dealt in

Time of only one and a half months was allowed for the survey. Hence, time

constrain was a big limitation.

The addresses of the dealers, sub-dealers and retailers were not provided by

the company. So some of the shop owners were left out of the survey

Some of the shop owner did not have the full knowledge of the products

they deal in

44

Problems Faced By The Company

Price Driven Market : The market of Vidarbha is a very price

sensitive market. Thus, cheap and non-branded products find a good

market for themselves. HINDWARE is a branded company, hence, its

price is more than the Gujarat made products. Although HINDWARE

has a good market for itself but is generally not preferred by the

customers of the region. Thus, the presence of HINDWARE products is

less as compared to the non-branded ones.

Availability Is Less : The availability of HINDWARE product is

very less in the region of Vidarbha. According to the statistics in the data

analysis section , the presence of HINDWARE products in the market is

only of 10%. Whereas , other branded products like PARRYWARE and

CERA have a presence of 12% and 9%, respectively. When asked for

any of the Gujarat products a shop owner can make it available in a

matter of few minutes or at the most within few hours. Whereas, when

asked for any of the branded products the same shop owner takes around

three days to a week. This makes it pretty evident that the availability of

branded products, specially HINDWARE is less.

Customers Are Misguided By Duplicate Brands : There is

presence of duplicate brands in the market. Names like HINDUSTAN,

PARRYS, JOHNSON and RECERA are duplicating HINDWARE,

PARRYWARE, JOHNSON PEDDER and CERA to a large extent. The

duplicate ones eats up a good part of the market share of the branded

items. The shop keepers play an important role in misguiding the

customers. The thing that is important over here is that only the

customers who have some knowledge about the branded items are

misguided by the duplicate ones. They mostly find it difficult it

distinguish between the duplicate and the original ones, making them

vulnerable to duplicacy.

Customers Are Ignorant About The Brands : Most of the

customers of the region of Vidarbha are absolutely ignorant about the

existence of branded products in the market. They have no knowledge

45

about the branded companies and for them companies like

HINDWARE, PARRYWARE and CERA are no different from the non-

branded items.

46

Conclusion

The market survey for HINDWARE products in the region of Vidarbha

came up with some new findings and ideas in the areas of operation which was

left un-noticed. It will be definitely make the company build new strategies to

perform in this price sensitive market and improve its operations in the potential

market.

This project has concluded with certain facts re-discovered during the

process which have made the management plan its marketing strategies for the

region of Vidarbha.

Price, quality, availability and brand awareness are the major areas

where the company needs to look into. The market has a good potential if the

above mention points are thought upon and are suitable strategy involved.

The suggestion given in this report can help the company to solve the problem it

is facing in the region. It wills also enable the company to face the competition

prevailing in the market.

47

Recommendations

Though recommendations are the last part of a report, still it has got a

particular significance of its known. Recommendations in general can be termed

as the final touch for a report and as it is quiet obvious if there is no

recommendation the work is half done.

All the recommendations given in this report are the out come of the

feed back obtained after the completion of the survey in the region. These

recommendations are purely personal and have been given without any type of

bias stand and without favoring any body in particular. While providing with

the recommendations the objective of the survey has been kept in mind. Again

the market scenario has also been taken into consideration while framing these

recommendations.

Below are the list of recommendations which have been formulated

after keeping the objective of the survey into account:

Reduction In Price Or Introduction Of A New Range Of

Products : As it has already been stated that the region of Vidarbha is

very price oriented, thus, the company can reduce the price of it products

in the market. This step taken by the company will enable it to counter

the problem of price driven market. But if this step hampers the

reputation of the company then the company can also go in for the

introduction of a new range of products under a NEW NAME. And this

new range can be less expensive and affordable to the customers of

Vidarbha. In other words, HINDWARE is catering to the needs of

premium sector of customers but if it launches the proposed range of

new product under a new range then it will be in the reach of the price

sensitive customers too. This will definitely help the company to snatch

away a major part of the market share from the Gujarat made products

which do good business in the region.

Establish A Depot In Nagpur : The establishment of a depot in

the city of Nagpur can be a very fruitful step that the company can adopt

for the benefit of itself. It has been already been explained in the report

previously that the availability of HINDWARE products are less in the

48

region, moreover, when an order for HINDWARE product is placed it

takes long for the dealers and retailers take long to cater to the order. By

establishment of a depot in the city of Nagpur will give the company an

upper hand over its competitors. This step if taken will enable the

dealers and retailers to cater to specific orders and orders in bulk in no

time. This can also be a good alternative for attracting the customers

towards the company s products.

Efficient Distribution Channel : An efficient distribution channel

should be designed by the company. By doing so the material will reach

the dealers, sub-dealer and retailers on time. This will in turn make the

products reach the customers at the stipulated time, creating room for

customer delight. Thus, a proper and efficient distribution channel can

be a good option for a increasing the market share of HINDWARE

products in general.

Put More Stress On Advertisement : In the problems faced by

the company it has been stated that most of the customers are either

absolutely ignorant about the brands existing in the market or do not

have the complete knowledge about the branded items. This creates an

opportunity for the duplicate brands to place themselves as branded

products. In case of HINDWARE the company which duplicates itself is

HINDUSTAN. The shop owners play major role in promoting the

duplicate brands. The sad part is that these duplicate are available more

than the original product in the market and with a boost of the shop

owners have conquered a major portion of the market share. The success

of these duplicate products can be attributed to the ignorance and lack of

knowledge on the part of the common customers. Thus, a good

alternative for making the customers brand aware and brand conscious is

to concentrate on the means of advertisement. The company must see to

it that the number of advertisements it gives on different medias is

increased. Moreover the company should not only concentrate only on

giving their advertisement in the print media but should also go for

medias like televisions and radios as these medias have a large number

of viewers nowadays. By featuring their advertisement in these medias

49

the company will be able to make the common people brand conscious

and increase the brand awareness among the common mass. This will

also enable them to distinguish them between the original and duplicate

brands.

50

Bibliography

RESEARCH METHODOLOGY

C.R. KOTHARI

MARKETING RESEARCH M.V. KULKARNI

RESEARCH METHODOLOGY S.P. KASANDE

INTERNET (COMPANY WEBSITE)

COMPANY MAGAZINES AND JOURNALS

COMPANY CATALOUGE AND PRICE LIST

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