“MARKETING STRATEGY AT KERAKOLL FOR CUSTOMER ACQUISITION AND RETENTION” PROJECT REPORT 2008-10 SUBMITTED FOR THE PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE AWARD. OF POST GRADUATE DIPLOMA IN MANAGEMENTPOST GRADUATE DIPLOMA IN MANAGEMENTPOST GRADUATE DIPLOMA IN MANAGEMENTPOST GRADUATE DIPLOMA IN MANAGEMENT

SUBMITTED BY ASHUTOSH SHARMA ROLL NO: 8014 UNDER THE SUPERVISION OF EXTERNAL: MR.RAHUL SHARMA INTERNAL: DR. SIDDHARTH VARMA Department of management INSTITUTE OF MANAGEMENT EDUCATION

DECLARATION

I hereby declare that the project entitled “MARKETING STRATEGY AT KERAKOLL

FOR CUSTOMER ACQUISITION AND RETENTION ” submitted for the Post

Graduate Diploma in Management is my original work and the Project Report has not

formed the basis for the award of any degree, diploma, associate ship, or other similar

titles.

DATE:

PLACE: SIGNATURE:

INSTITUTE OF MANAGEMENT EDUCATION G.T. Road, Sahibabad, Ghaziabad (U.P.)

DEPARTMENT OF MANAGEMENT

CERTIFICATE

This is to certify that the Project Report entitled “ MARKETING STRATEGY AT KERAKOLL FOR CUSTOMER ACQUISITION AND RETENTION ” submitted by ASHUTOSH SHARMA for the partial fulfillment of the requirements of PGDM (Batch 2008-010), embodies the bonafide work done by him under my supervision.

---------------------------------------- Signature of the guide

ACNOWLEDGEMENT

Perseverance, inspiration and motivation have always played a key role in the success of any venture. A successful and satisfactory completion of any dissertation is the outcome of invaluable aggregate contribution of different person fully in radial direction, explicitly or implicitly.

Whereas vast, varied and valuable reading efforts lead to substantial acquit ion of

knowledge via books and allied information sources, true expertise exclude from collateral practical work and experience.

Not word have ever seemed so inadequate as now when I am endeavoring to

express my gratitude at the culmination of my project, to all those who have made it possible. Even the best efforts are vested without proper guidance and advice.

I am extremely thankful to Dr. D.P. Goyal (Director, IME) for his cooperation,

inspiration, keen supervision and the practical approach he gave to the dissertation. I am also grateful to Dr. Taruna Gautam (Asst. Director IME ), for providing

every support and her cooperation, motivation and a good guidance. I express my special thanks to my external project guide Mr. Rahul Sharma

(R.S.M. Kerakoll India P Ltd.) and Internal Guide Mr. Siddhrath Varma for their constant guidance, keen supervision and for providing every support and all facility incredible help to develop this.

I also pay my special thanks Mr. Kapil Kapoor (Senior Sales Manager, Kerakoll

India P Ltd.) for his helpful hand, kindness and throughout cooperation. I also pay my sincere thanks to Mr. Lalit Tyagi and Miss Simmi Bachani, for their

throughout co-operation. Further by blessing of GOD.I express my deep regards to my parents, my father

Shri Bharat Bhushan Sharma, my mother Smt. Santosh Sharma my sister and thanks to other family member and friends and all of my seniors who have painstakingly stood by me and made it possible through my studies.

Last but not the least I would like to thank all staff members of IME SAHIBABAD

for their kind help and co-operation. Ashutosh Sharma

EXECUTIVE SUMMARY

I started my project on 4th may by observing and understanding the various types of

products and its specifications and knows how to do site mapping and what is needed to do

the product promotion at Rohini Sector-9 Delhi, Corporate office of the KreaKoll india

private limited. There I met to Mr. Rahul Sharma and asked him to give detailed

information about the execution of the work. He has the sample outfits of the whole

products by means of which he gave me the detailed information. Four staffs are working

over there, one is to look after the computer center, and two are involved in the process of

generating sales & one Mr. Rahul Sharma himself, the regional sales manager.

The site mapping team is to do the site map, means to find out the various running

construction, from there the site mapping team collected information like site name,

contractor name, owner name, and architect name even the stage of the site. He then

provides the information to the architect team to do the further proceedings to generate the

sales. The architect team then goes to architect after having the appointment and tell them

about the various products of kerakoll. In the mean while the site mapping team is also

done some product promotion at the place of running sites and by telling about the product

to the contractors and site engineers. Apart from this the retail team is doing its further

effort to go for the retail penetration of the kerakoll products.

First of all I prepared the questionnaire according to work assigned to me. As per research

work, my respondents were site engineers or project managers. Initially I was assigned to

collect the information about the running projects in the Delhi and NCR region. I was also

asked to collect the information about the held up projects and the reasons for their helding

up. On the first day I started with the area of Sahibabad, Mohan nagar and Vashundhara

Ghaziabad. There I come to know about the problems of the customer acquisition &

retention and by means of which the running projects are delayed by so many renounced

construction companies like supertech, green vally, mahalaxmi group etc.

In the next phase of the training new work was assigned to me. I was asked to give the

details of the held up projects and its reason and also the new trends in construction

industry. That time I was little bit familiar to the construction industry. And by this time I

found so many held up projects some due to strategy problem related to acquisition &

retention of customer and some due to some other problems. The new trends in the

construction industry began to spread all over the country, as the people do not have much

and more time so they began to use more sophisticated technology and more advanced

products. Overall the Six weeks session, for me, was the opportunity to manipulate in

practical manner, whatever knowledge & learning I gain in 1st year.

CONTENTS Page No.

CHAPTER 1- Introduction ………………………………………………………... 1

Introduction to the Company ………………………………………. 2

Introduction of the topic ……………………………........................ 4

Need of the Study …………………………………………………… 5

Scope of the Study ………………………………………………….. 6

CHAPTER 2- Organization Information …………………………............................ 9

Company overview ………………………………………………… 10

Marketing Strategies …………………………………..................... 15

Major Competitors ………………………………………………… 25

Distribution Strategies …………………………………………….. 33

Future Prospects...……………………………………...................... 35

Awards & Recognitions …………………………………………… 38

CHAPTER 3- Descriptive work of subtopics of the study………………………… 41

Descriptive work of subtopics ………………………....................... 42

My own Contribution ……………………………………………… 43

CHAPTER 4- Research Methodology……………………………............................ 44

Objective of the Study ……………………………………………… 45

Type of Research …………………………………………………… 45

Methods of Data Collection ………………………………………... 47

CHAPTER 5- Data Analysis and Interpretation………………………………….. 50

Data Analysis ……………………………………………………….. 51

Data Interpretation ………………………………………………….. 62

CHAPTER 6- Conclusions, Suggestions and Limitations…………………………. 63

Conclusions………………………………………………………….. 64

Suggestions.………………………………………………………… 65

Limitations ………………………………………………………….. 66

References…………………………………………………………………………. 67

Appendix………………………………………………………………...................... 69

CHAPTER - 1

INTRODUCTION

.

Introduction to the Company

Kerakoll, an international leader in applied chemistry for the building industry, was

founded in 1968 in Sassuolo, Italy in the heart of the worldwide ceramic industry. At just

29 years of age, Romano Sghedoni founded Kerakoll in 1968 in Sassuolo, Modena.

Today the company is world leader in products and services for sustainable

architecture, historical restoration and interior design. The first single-component

adhesives for ceramics, designed and produced in his garage, were the result of his passion

for construction and chemistry, combined with a huge love of engineering.

His insight and amazing determination drove him in a continual pursuit of innovation,

inventing one new product after another, each one with a unique technology and ease of

professional application to make laying homogeneous tiles and natural stone easy,

whatever the circumstances.

The constant growth that followed enabled the company to extend its operations into the

restoration sector, where it turned its attention to tackling waterproofing problems, the

deterioration of concrete mistakenly considered indestructible, and the restoration of

buildings plagued by damp.

Sghedoni also applied his innovative approach to building a motivated team with a shared

mission, vision and values. The strong corporate culture that resulted led to the

foundation of Kerakoll Global Service in 1990, establishing Kerakoll as a leading name in

the consultancy and end-to-end technical support field.

His children Fabio, Gian Luca and Emilia assure the business continues to be guided by

the same Sghedoni name and dedication; together they have championed the

internationalisation process, building an international team, and adopting an increasingly

global approach and innovative way of adding value to the brand.

In September 2000 and April 2006, Kerakoll increased its respective stakes in Slc

Rinaldi and Rankover, both leading European manufacturers of adhesives and varnishes

for hardwood floors, and decorative coatings for the construction industry.

Kerakoll employs more than 1,100 people with an average age of 35 throughout its15

branches in Europe, USA, Asia and Australia; it exports almost 40% of its products to

more than 100 different countries and supplies 20,000 builders merchants and 5,000

wood flooring centres worldwide, serving the nigh on 2,000,000 building professionals

who choose Kerakoll products every year.

From the outset, the pillar of the Kerakoll vision has always been to make the difference

through innovation. This belief led first to the launch of Biocalce and

Building Wellness in April 2005, i.e. the new take on sustainable building in which the

focus is to safeguard health and improve the quality of life, and Kerakoll Design in

February 2007, the new eco-friendly solid surfaces in Cementoresina®that are a particular

favourite with architects, design engineers and interior designers.

Products, services and specific know-how formed the basis of Kerakoll's rise to

become The Innovative Group, the only company to provide a global offering for

contemporary architecture, building wellness, historical restoration and interior design.

Over the years , the group has achieved acclaim for its rapid and steady growth, proof of

which can be seen in revenues which have risen from about 11 million Euros in 1990 to

285 million Euros in 2006. Kerakoll has 910 employees, 16 operating companies, 9

manufacturing plants in Italy and abroad, 3 research centers, 1 training institute and 1

technical centre.

With the gradual internationalization of the business, 35 % of the groups revenue are now

generated through foreign sales, thanks to the company’s presence in 14 countries:

• Manufacturing plants in Spain, Poland and Greece.

• Sales network in United Kingdom, France, Croatia, Portugal, Sweden, Singapore,

USA, India and Hungary based on local partnerships or commercial companies.

Innovation and research have always been the driving factors behind kerakoll expansion.

Investment in these areas account for about 5.5% of annual turnover and translate into

continuous product improvement in line with market requirements, as well as the

development of new products/services which have broken new ground in buildings

practices.

Kerakoll products are used in the most important construction sites in Italy and around the

world. To name but a few of the architectural projects signed by internationally acclaimed

architects who chose kerakoll as their technological partner:

• “Citta della Musica By Renzo Piano in Rome,

• European Court of Human Rights by Richard Rogers in Strasbourg,

• World Trade Centre by WJ Atkins & Partners in Bahrain,

• Queen Sofia Palace of the Arts by Santiago Calatrava in Valencia.

Introduction of the Topic

The Project undertaken is “MARKETING STRATEGY AT KERAKOLL FOR

CUSTOMER ACQUISITION AND RETENTION” Construction industry related

chemicals and adhesives. All of them want to snatch a big chunk of Construction related

adhesive business from the existing market which is increasing rapidly year on year. They

have different strategy to cater competition, to satisfy their customer’s, to increase their

sales and market share.

I had visited so many sites during my projects and I found that this is the most difficult job

regarding sales generation for a company which is new in India and that is facing a very

high competition. I had great opportunity to work with Mr. Kapil Kapoor, Senior manager

Sales and I was impressed by the excellent management of the company for generating

sales.

Under such topic, the main motive of study is to find out such features of product which

are important in customer’s point of view and could increase sales and find the position of

Kerakoll in Delhi & NCR region and also reasons for problems faced by this company in

sales due to customer perceptions about the product and expectations from the company in

the whole world.

Need of the Study

Now a day due to MARKETING STRATEGY AT COMPANY FOR CUSTOMER

ACQUISITION AND RETENTION, the construction industry is facing so many problems

and slow running construction projects. The company wants to know the reason behind this

site slowdown. Thus this study enables the company to know about the reason of these site

slowdowns and the new emerging recent trends in the construction industry. The company

wants to know about the current market conditions and by means of that it can generate

more and more sales. It wants to get into big market of India and have bigger shares in this

market. To become major player, company has to concentrate on sales and sales should be

increased by creating effective demand and by going to the recent industry trends. Effective

demand will come mainly from middle and high income consumers in urban areas. The

growth of disposable incomes, change in family structures, more women joining the work

force are the main reasons that leads to have a single apartments and thus it encourages the

construction of the new housing societies , Malls , big hospitals and this is the reasons that

big names and industries are being involve in this industry.

The need of the study is to discover the major recent trends affecting the construction

adhesives and chemicals markets also to understand consumers' consumption and

expenditure patterns and to understand the future direction of this market. The need of

study is to know about Market forces, customer retention, competitor’s price, product, and

place and also to know about the strength, weakness, opportunities and threats of Kerakoll,

and for this systematic and logical analysis is to be done which provide solution to the

various problems and will help to analysis various issues in construction Industry.

Scope of the Study

Completion of the project could help marketing team to develop marketing strategies as

per the market condition and demand. Also it will help to understand the current market

scenario and essence of marketing in stiff competition and this present scenario of customer

acquisition & retention. Being a student of management we can draw the relevant

conclusions from the market survey and give the appropriate suggestion to the

organization.

The company can take decisions according to the suggestions and it will provide better

experience to the students for their bright career.

My study will help me to:

To identify prospective markets for the company

To understand customer perceptions about the product and expectations from the

company.

To identify the target market for the company.

To carry out competitors’ analysis.

To make recommendations to the company to increase sales and enhance brand

image.

Problem formulation

Kerakoll is the international leader in applied chemistry for the building industry, it

provides a wide variety of the adhesives and products for the construction industry.

Kerakoll has a wide variety of 360 types of products available in the market. It is kerakoll’s

endeavor to (a) ensure that each and every product of Kerakoll reached to consumers at

competitive prices and; (b) the company must provide the products as per the requirement

of the industry norms. However certain problems are faced by Kerakoll like problems

related to market conditions and present scenario, product differentiation and value

addition, new emerging trends in the market and also increased disposable income of

consumers, results in uncertainty in demand, . The project will help to find out the reasons

which affect the sales adversely. On the basis of the study company will take remedial step

to sort out the problem.

Literature Review

Before starting the project I wanted to make every possible arrangement for the success of

study .Initially I took help from my guides and did literature survey. I visited the Institute’s

library and studied the project reports of my seniors. Few of them were related with the

Construction Industry. It helped me to understand the research process and formulate the

problem. I took help from some of the course books like Marketing Research by N K

Malhotra, Research Methodology by C R Kothari and Marketing Management by Philip

Kotler.

I started my project with certain presumptions like Pidilite and Kwality Wall’s would have

good market share and being the most prominent player in Building material segment,

Kerakoll’s products also would have effective demand among the Customers. Although

these two players have significance presence in the region, but comparatively Kerakoll is

better somehow.

CHAPTER – 2

ORGANIZATION

INFORMATION

Company Overview

Kerakoll India Private Limited, 100% subsidiary company of Kerakoll S.p.A. - Italy.

Kerakoll being 40 year old company has presence in India to cater the need of industry

growing professional in construction field. Kerakoll having plant, offices and customer

worldwide is one of the world's biggest building chemical companies for the building

industry. Kerakoll International currently doing turnover of more then 400 Million US$

with major international divisions manufacturing professional laying systems for tile &

stone, wood & parquet and also specialised in other building chemical products and

solutions for the restoration of historical buildings. Currently Kerakoll operating 9 plants

worldwide with production over 5000 tones a day, 2 R&D Center & 1 Technical center

along with more then 900 employees around the globe. Our company can be considered

international in the true sense of the word; we manufacture more than 500 'specialty'

products for building professionals all over the world. Kerakoll India having full set-up and

it's head office at Mumbai and warehouse and having full time professional working team

available in technical and sales department to provide best pre and after technical-sales

service support to its customer at South East Asia continent. With Kerakoll expertise of 40

years in this field, certainly it can satisfy customer need for challenging and rapid growing

construction requirement.

In 1978, Kerakoll set the pace in the Italian ceramic industry by inventing H40 Flex, the

world’s first ever single- component adhesive that finally provided a safe solution to

securing single-fired and homogeneous tiles in all domestic and commercial applications

with no technical restrictions.

To promote and spread a better quality of building, Kerakoll sees technical refresher

courses and vocational training as key tools, proof of which is the fact that in the four year

period from 2003 to 2006, the company invested 3.2% of its turnover in these areas.

With 2,500 sq.m. Of teaching worksite and 30 specialized trainers, the Kerakoll technical

centre held 3,256 courses in the five year period from 2002 to 2006, qualifying some

120,000 building professionals around the world.

Mission and Vision of the company:

Our goal is to channel our enthusiasm, team spirit and culture into improving the quality of

life by producing superior quality building materials capable of transforming the

appearance, comfort and design of a home into an ideal habitat in which to live healthier.

Our guiding principles are a passion for excellence, meaning we love things that both

look and feel good, and an ethos that inspires us to build value over time through

sustainable building, transparent procedures, and valuing our human resources.

Driven by the passion that inspires our every action, we want to improve the quality of

life for our stakeholders.

We want to be a worldwide benchmark for culture and excellence in low

environmental impact construction materials industry and historical restoration,

promoting sustainable technological innovation.

Ours is a pioneering group, offering the best services and the best construction systems,

thanks to which the company now occupies a forefront position in the high end of the

market, whilst never losing sight of our identity and remaining true to our founding

principles.

Multi Business:

Kerakoll's firm belief in a culture of quality is one of the pillars of its competitive

advantage and success. Quality means responsibility, personal commitment to creating it,

total customer satisfaction and continuous improvement. Quality means paying attention to

the projects, the needs and the expectations of application professionals and suppliers, it

means continuous innovation with new ideas, new products, and state-of-the-art

technologies to capture the desires of consumers who are increasingly attentive to their

quality of life, the environment and new lifestyles. In these concerns, Kerakoll Innovative

Group saw the pillars of competitive advantage, and evolved its organisation accordingly

to create 4 business units:

-Contemporary Architecture

-Building Wellness

-Historical Restoration

-Interior Design

Three key brands:

Kerakoll - Biocalce - Kerakoll Design

360 listed products

1,650 product variations and

12 different product ranges

Screeds, self-levelling products, adhesives and joint fillers for ceramic and natural stone

floors and coverings.

• Substrates, smoothing products, adhesives and varnishes for hardwood, resilient and textile

floor coverings.

• Special hydraulic binders.

• Special mortars to restore concrete structures.

• Paints, glazes and decorative coverings for modern building.

• Waterproofing products and protective coats.

• Thermal insulation systems.

• Industrial resin flooring.

• Pure NHL breathable mortars, plaster/render coats, and adhesives.

• Sound-absorbent, dehumidifying, breathable, pure NHL plaster/render coats.

• Natural lime-based and pure silicate paint and finish coats.

• Eco-friendly solid surfaces in Cementoresina

•

Companies Brands:

Kerakoll, the most famous of the Group’s brands and the one

best known in Europe, has been helping its partners to achieve

success for over 40 years, thanks to intelligent solutions and

high quality building systems: adhesives, sealants, mortars,

decorative paint coatings, waterproofing systems, and thermal

insulation products. We make innovative technologies

that conform to the principles of sustainable

development and meet the requirements of increasingly

discerning consumers mindful of the environment they live in

and new lifestyle choices.

Biocalce is the green brand that offers an end-to-end range

of natural building materials for Building Wellness and

Historical Restoration. Biocalce puts man and his health at

the centre of attention with regard to Sick House Syndrome,

and has become a pioneer in the development of Building

Wellness, i.e. the new sustainable way of building with

NHL-based mortars, plaster/render coats and paint coverings

that improve the quality of indoor air.

New Kerakoll Design Cementoresina® solid eco-

surfaces have unlimited creative potential, and are particularly

favoured by architects and designers for their ecologically

compatible projects. The fusion of innovative materials such

as resins and cement with a new take on natural materials the

likes of wood and breathable paints expresses the value and

style of any project.

Companies Values:

Kerakoll Innovative Group is determined to improve its performance in all ways, firm in

the belief that to create value over time you have to first create a firm business culture.

Business culture in Kerakoll means being committed to recognizing and reclaiming the

value of key experiences and practices of the past, and at the same time being constantly

willing to go out on a limb.

Research and innovation only make sense in such a context, where progress goes hand-in-

hand with restoration, preservation and reclaiming the heritage of the company's past.

The Kerakoll Innovative Group mission is to meet the needs of its consumers with a

constant supply of new and original ideas, remaining ever faithful to a business culture

always ready to consider the ideas of all its members.

When it comes to knowledge assets, people are a key resource for Kerakoll along with the

values, expectations, hopes, ideas and originality they bring with them.

Kerakoll Innovative Group business ethos, and the five pillars of this approach represent

our modus operandi in both life and work.

Worldwide presence:

In its 40 years in the industry, Kerakoll Innovative Group has been so successful that it has

gone from being top of the domestic market to a top Italian-based business in Europe,

before also becoming a leading European group (and Italian at heart) bound for the

international arena.

International expansion and an ever more global approach have certainly not eroded the

longstanding Kerakoll identity. The company has remained faithful to the values that saw it

rise to 3rd place in the rankings of manufacturers producing high-end professional

tile-laying systems around the world.

Innovation, respect for the environment, ambitious leadership, sensitivity to stakeholders'

interests, and a pure, wholesome approach are the defining tenets of Kerakoll Innovative

Group.

The international dimension of the company also emerges in the makeup of our

management team. In global markets, the majority of managers are selected locally, which

explains why you'll find local experts heading up our branches in USA, India, Singapore,

UK, Portugal, Sweden, Germany and Hungary. Our intense investment policy and 15

branch operations around the world have enabled us to continue to grow and consolidate

our position, the aim being to keep in close range of our markets.

Over the years, Kerakoll has carved out an extremely competitive position for the company

in its benchmark markets, managing to take our standards of customer service to new

levels by making sure our full product range is constantly in stock in the local market.

Large amounts of money were also invested in 2007 to improve our technical support

service, our intention being to offer a standardized global support service by qualified

Kerakoll Worldwide Global Service experts onsite within 24 hours of the call-out.

Kerakoll Worldwide Global Service

400 specialist technicians

Highly professional team whose skills and knowledge are in constant development

Onsite Technical Support

Expert site visits

Technical Consultancy Service

Call Centre with 40 experts providing real-time assistance

Online technical support

24/7 web assistance

Special quick call-out service

Expert assistance onsite within 24 hours of the call.

Marketing Strategies

Focused Approach

Kerakoll wants to get into bigger markets and have bigger shares in those markets. The

cooperative is also expanding its product portfolio further to match rival offerings. For the

first 10 years of its existence, it only works for applied chemistry for the building industry.

It was in 1978 that it came up with Sup reflex Adhesives, and now a day Kerakoll has a

wide variety of products. So while the product portfolio has been growing, Kerakoll has

plans for reach out to newer markets - but the strategy here is more product-specific.

Initially Kerakoll entered into Delhi market but now it is expanding its markets like in

Rajasthan and Haryana.. Their objective of getting into newer locations is not to make

Kerakoll larger, but to ensure that there is a large viable distribution network and consumer

brand of Kerakoll.

Wider Spread

However, as far as applied chemicals and adhesives for building industry products are

concerned, Kerakoll plans to expand across the board. International expansion and an ever

more global approach have certainly not eroded the longstanding Kerakoll identity. The

company has remained faithful to the values that saw it rise to 3rd place in the rankings of

manufacturers producing high-end professional tile-laying systems around the world.

Product Differentiation

Kerakoll’s idea is not just to enter new markets, but to do well in those markets - which

mean bigger market shares in the different product categories in whichever market it is

present. The drivers will be value created through quality of the offerings as well as

innovations in products. This will, of course, be backed by relevant marketing and

promotion campaigns. Kerakoll is bringing in mass Indian flavors which are building up in

terms of absolute percentage of contribution. Their attempt is to make the quality products

in building industry as familiar as possible so as to increase quality buildings. Likewise in

case of adhesives, it invented H40 Flex the world’s first ever single component adhesive.

Smart Marketing

On the marketing front, Kerakoll is trying to take its product campaigns and

communications to a higher platform. For instance, in the case of grouting and elastic

joints, the campaigns do not talk about the obvious benefits but rather it targets hotels and

hospitals and are created around ideas such as "The country needs you, you can build

better”. As far as other products is concerned like professionals adhesives and leveling

products, it has created a strong presence in the market.. Here, Kerakoll has dared to go

different. Since the adhesives are the most frequent selling product of the Kerakoll the

company is giving more attention at this product. While Kerakoll has been carrying out

various programs to encourage the sales of its product. Clearly, Kerakoll has aggressive

plans. But, strong regional brands and other co-operatives will continue to give it tough

competition.

Kerakoll products

Kerakoll has a wide variety of products which are categorized into three main categories.

These are:

1. PREPERATION OF THE SUBSTRATE- It includes

• Professional, high resistance binders, leveling and self leveling products.

• Professional products for substrate preparation.

• Professional waterproofing products for substrate.

2. LAYING CRAMIC TILES AND NATURAL STONES- It includes

• Professional adhesives.

• Professional adhesives with SAS technology.

• High performance professional adhesives.

3. GROUTING AND ELASTIC JOINTS- It includes

• High chemical and mechanical resistance professional grouts.

• Professional elastic sealants.

• Laying accessories for ceramic tiles and natural stones.

Detail of products:

PREPERATION OF THE SUBSTRATE

• Professional, high resistance binders, leveling and self leveling products.

� KERACHEM

� KERATECH R 30

� KERALEVEL

� KERALEVEL LR

� KERABUILD FINITURA

� RASOBUILD LBF

� P5

• Professional products for substrate preparation.

� KERAGRIP

� PRIMER A

• Professional waterproofing products for substrate.

� IDROBUILD

� IDROBUILD RETE

� IDROBUILD GIUNTOFLX 120

� IDROBUILD GIUNTOFLEX 160

� KERABUILD EPOADESIVO

� IDROBUILD OSMOCEM

� IDROBUILD SI

LAYING CRAMIC TILES AND NATURAL STONES

• Professional adhesives.

� SUPER

� EXTRA

� TACK

• Professional adhesives with SAS technology.

� H40 FLEX

� H40 TENAX

• High performance professional adhesives.

� SUPERFLEX

� ELASTIK

� TOP LATEX

GROUTING AND ELASTIC JOINTS

• High chemical and mechanical resistance professional grouts.

� FUGABELLA 2-12

� FUGABELLA PORCELANA 0-5

� FUGAFLEX

� DELTA PLUS

� FUGABELLA EPOXY

• Professional elastic sealants.

� SIGIBUILD

� SIGIBUILD PU

� SIGIBUILD PU 40

• Laying accessories for ceramic tiles and natural stones.

� SIGIBUILD JOINT

� SIGIBUILD FR

� TROWELS

� SPACERS

Future prospects

Basically Kerakoll is focusing on its supply system and to increase its market share as this

company is new in India. Though the company is an internationally named brand but for

India it is the first time that a company is launches applied chemistry for building industry.

Efforts are on to ensure greater availability of Kerakoll products at pushcarts and small

outlets.

Business Model

� Product Consistency – By developing a sophisticated customer networked

operation and distribution system, the company has been able to achieve consistent

product quality across geographies.

� Act like a retailer and think like a brand – Kerakoll focuses not only on

delivering sales for the immediate present, but also protecting its long term brand

reputation.

Kerakoll in India

Kerakoll India having full set-up and its head office at Mumbai and warehouse and having

full time professional working team available in technical and sales department to provide

best pre and after technical-sales service support to its customer at South East Asia

continent. With Kerakoll expertise of 40 years in this field, certainly it can satisfy customer

need for challenging and rapid growing construction requirement.

Challenges in Entering Indian Markets

� Regiocentricism: Re-engineering the menu - Kerakoll has continually adapted to the

customer’s wants, value systems, lifestyle, language and perception. Globally Kerakoll

was known for producing high-end professional tile-laying systems around the world.

Most Indians are barred by their perception not to use adhesives, sealants, mortars,

decorative paint coatings, waterproofing systems, and thermal insulation products. To

survive, the company had to be responsive to the Indian sensitivities. So Kerakoll came

up with innovative technologies that conform to the principles of sustainable

development and meet the requirements of increasingly discerning consumers mindful

of the environment they live in and new lifestyle choices.

� Customer awareness – India has a huge population, max are in middle class. To

cater to this customer segment, the company came up with a completely new line of

customaries & economical products. The separation of consumers class is

maintained throughout the various stages.

Segmentation, Targeting and Positioning

Kerakoll uses demographic segmentation strategy with age as the parameter. The main

target segments are Retailers, Architectures and Contractors.

As shown above, customer reign supreme in purchase related to cements products. So to

attract customer Kerakoll has to give max attention in this section, by which customer more

attract their product. For this, they have Keracem a special cement with Professional,

superior-technology, high-resistance hydraulic binder for screeds and heat-radiant slabs,

with normal setting and rapid drying, compensated shrinkage and high thermal

conductivity; suitable for laying ceramic tiles, homogeneous tiles, natural stone, parquet

and resilient materials with adhesives. At several places, it also provides special facilities

like they have there own running testing labs where all the tests related product has been

done in front of customer. This strategy is aimed at making Kerakoll a complete product

information & awareness. This also helps Kerakoll to attract the new construction

companies in India wanting to spend some quality time while their new projects have been

70%

55%50%

0%

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

Cements Adhesives & sealan

Waterproofing system

% of customer who influence what branded material they buys.

started. To target the customer, Kerakoll has priced several products aggressively, keeping

in mind the price sensitivity of this target customer. In addition, facilities like free testing,

valuable suggestions, etc are also provided to attract customer to the come, use & try these

products.

“IGI’s Third Terminal” projects Kerakoll as a place for the whole Construction

standard as well as product quality. When Kerakoll entered in India it was mainly

perceived as targeting the urban upper class project. Today it positions itself as an

affordable place to use without compromising on the quality, service and standard. This

commitment of quality of product and service in time, standard and relaxing atmosphere

has ensured that Kerakoll maintains a positive relationship with the customers.

Customer Perception and Customer Expectation

Customer perception is a key factor affecting a product’s success. Many potentially

revolutionary products have failed simply because of their inability to build a healthy

perception about themselves in the customers’ minds. Kerakoll being an internationally

renowned brand brings with it certain expectations for the customers.

Customers expect it to be an ambient, standard and a little sophisticated brand that respects

their values. The customer’s expect the brand to enhance their self-image. Customer

responses obtained at the, Mumbai outlet confirmed the fact that they connect strongly with

the brand. However, fulfilling some of the customer expectations like a broader product

variety provide Kerakoll a great scope for improvement.

Target Segment What is Kerakoll for customer?

Architects A complete Design & construction help as per product.

Contractors Standard product, quick service without affecting the work schedule

Retailers Hangout with customers, but keep it affordable.

Kerakoll’s Marketing Mix (5 P’s)

After segmenting the market, finding the target segment and positioning itself, each

company needs to come up with an offer. The 5 P’s used by Kerakoll are:

1. Product

2. Place

3. Price

4. Promotion

5. People

Product: How should the company design, manufacture the product so that it

enhances the customer experience?

Product is the physical product or service offered to the consumer. Product includes certain

aspects such as packaging, guarantee, looks etc. This includes both the tangible and the

non-tangible aspects of the product and service.

Kerakoll has intentionally kept its product depth and product width limited. Kerakoll

studied the behaviour of the Indian customer and provided a totally different menu as

compared to its International offering. It dropped professional adhesives, adhesives with

SAS and Self-levelling tectnology from the menu. India is the only country where Kerakoll

serve different menu as per condition. Even the all the product in India are 100% eco-

friendly. Kerakoll continuously innovates its products according to the changing

preferences and standard of its customers.

The recent example is the introduction of the Kerakoll H40 Flex is a professional single

component adhesive with SAS (Shock Absorbing System) technology and high

deformability, suitable for laying of Craftstone products onto most surfaces including brick,

block and fibre-cement sheet.

Kerakoll bring with it a globally reputed brand, world class construction chemical

quality and excellent customer specific product features.

Place: Where should be the product be available and the role of distribution

channels?

The place mainly consists of the distribution channels. It is important so that the product is

available to the customer at the right place, at the right time and in the right quantity.

Nearly Kerakoll’s has the entire running project on the bases of contract.

There is a certain degree of quality and standard that a customer feels each time he dines at

Kerakoll. There are certain value propositions that Kerakoll offer to its customers based

on their needs. Kerakoll offers standard product, good quality and great service. Now

Kerakoll have also started giving 0nline suggestion in Interior Design & construction at

their web portal. There are certain dedicated areas for customer where they can assets

while their construction/project can have some quality time together.

Price: What should be the pricing strategy?

Pricing includes the list price, the discount functions available, the financing options

available etc. It should also take into the consideration the probable reaction from the

competitor to the pricing strategy. This is the most important part of the marketing mix as

this is the only part which generates revenue. All the other three are expenses incurred. The

price must take into consideration the appropriate demand-supply equation.

Kerakoll came up with a very catchy punch line “You can build better” . This was to

attract the middle and high class consumers and the effect can clearly be seen in the

consumer base Kerakoll has now.

Kerakoll has certain value pricing and bundling strategies such as mobile testing labs,

product & construction consultant, service etc to increase overall sales volumes.

Promotion: What is the suitable strategy and channels for promotion of the

product?

The various promotion channels being used by Kerakoll to effectively communicate the

product information are given above. A clear understanding of the customer value helps

decide whether the cost of promotion is worth spending.

There are three main objectives of advertising for Kerakoll are to make people aware of

an item, feel positive about it and remember it. The right message has to be

communicated to the right audience through the right media. Kerakoll does its promotion

through television, hoardings and bus shelters. They use print ads and the television

programmes (costume in F1 race ) are also an important marketing medium for promotion.

Some of the most famous marketing campaigns of Kerakoll’s are:

“The innovative group”

“Substance for your ideas”.

“You can build better”

“Kerakoll: Passion, Ideas and Innovation”.

People: How to converge the benefits of internal and external marketing?

Kerakoll understands the value of both its employees and its customers. It understands the

fact that a happy employee can serve well and result in a happy customer.

Kerakoll continuously does Internal Marketing. This is important as it must precede

external marketing. This includes hiring, training and motivating able employees. This way

they serve customers well and the final result is a happy customer.

The level of importance has changed to be in the following order (the more important

people are at the top):

1. Customers

2. Front line employees

3. Middle level managers

4. Front line managers

The punch line “You can build better” is an attempt to show that the employees are loving

their work at Kerakoll and will love to serve the customers.

The Kerakoll’s Experience

Marketing in a services industry is becoming an increasingly complex challenge. The

paradigms of service marketing demand a passionate understanding of customer

expectations and perceptions, and linking them to product design & delivery as well as

operational planning. This is where Kerakoll’s has excelled due to its ability to successfully

integrate the customer’s perspective in its products and operations in a comprehensive

manner. The revamped menu in India is an example of Kerakoll’s strategy of integrating

the customer’s perspective in its products. And, the operational integration is evident from

Kerakoll’s emphasis on its suppliers as its customers as well as its treatment of its

consumers as co-producers of services.

The ultimate aim of Service Marketing is not just to become a Service Leader but to create

a Service Brand. The Service Delivery Process is the key to achieving this aim of Service

Marketing.

Core Product

Supplementary Process

Service Delivery Process

During the Service Delivery Process, each moment of interaction between the firm and the

customer, called “Moments of Truth”, helps understand the opportunities that a firm has

to win or lose the customer. For example, these “moments of truth” are created for

Kerakoll’s every time then customer came at the, Kerakoll’s meets the customer, every

time an attendant takes down the order from the customer , every time the manager

interacts with the customer, every time the attendant helps the customer guided the

customer towards the construction/project, etc.

Managing these “moments of truth” is a great challenge in Service Marketing especially

due to customer’s involvement as a co-producer of services (e.g. Kerakoll’s self-service

concept where in the customer not only collects the order but also giving them discounts).

However, Kerakoll's has been able to create a great experience for its customers by

understanding the nature of the entire Service Delivery Process and the various stages in

the process that are exposed to the customers. Transparency in the processes at its outlet

has helped Kerakoll’s bring the back office in its outlet at the front so that the customer is

able to know the operations and provide feedback on service design improvements.

Internal Customer Focus is equally important as External Customer Orientation in order to

win these “moments of truth”. Kerakoll’s focus on its People and their service delivery

methods therefore plays a very important role in creating a successful Service Brand. The

quality and the consistency of the service delivered by Kerakoll’s have been greatly

enhanced by the combination of the factors mentioned above. This has helped Kerakoll’s

become Service Leader and a successful Service Brand. This is evident from the fact that

very few of its customers opt for mobile testing labs, while most of them prefer to take

product guidance at the customer care and enjoy the Kerakoll’s experience.

“Moments Of Truth” “Moments Of Truth” “Moments Of Truth” “Moments Of Truth” –––– The Service EncounterThe Service EncounterThe Service EncounterThe Service Encounter

Customer

Service Delivery Points Service Provider

Kerakollizing the Suppliers

Kerakoll’s has changed the nature of not only the service industry but also the construction

chemical industry as well. Kerakoll’s realized that the battle between construction chemical

chains would increasingly be one of efficiency of supply, lower cost production and greater

desire to innovate. It pioneered with innovative and sophisticated product distribution and

packaging systems when the traditional product processors were unwilling or unable to

supply product items that Kerakoll’s demanded. They achieved amazing consistency by

devoting more attention than anyone else to field service and training at store level.

Production was concentrated in huge plants devoted exclusively to Kerakoll’s. Kerakoll’s

also started with tiny suppliers and grew with them displaying great loyalty.

Nowhere is the supplier loyalty more evident than in development of new, improved

products. Some of Kerakoll’s classic product items like etc. are results of supplier

innovation. Interestingly, it took Laticrete(competitor) more than three years before in

finally introduced its own version of construction chemicals. Thus supplier technological

expertise had given Kerakoll’s a product which was not a mere marketing innovation but a

technical one. Kerakoll’s attempted to squeeze labour out of the stores by moving more

preparation back into the processing plant, creating the opportunity to develop unique

products based on suppliers’ processing skills. For the first time, Kerakoll’s suppliers

became the focal point of new product development. This converted the construction

industry’s most fragmented distributed system into more efficient one which helped

Kerakoll’s reduce its inventory and manage costs effectively.

Importance of PLC in Kerakoll’s

The requirements of customers change over time and thus the product offering has to be

changed accordingly. What is the fashion today may be out of market within few weeks.

Thus continuous innovation is required.

To counter these changes Kerakoll has continuously introduced new products and has

phased out the old ones which were at the decline stage of their PLC. The introduction is

timed such that the new product does not cannibalize the product already in the maturity or

growth stage. Thus the secret lies in getting profits with different products in the different

stages of the PLC.

A perfect example of revitalising a product in decline

phase

The professional adhesives have been an important part of the Kerakoll menu worldwide.

But now it was in the stage of decline and was actually not generating proper return. In an

attempt to revitalize it, a new variant was introduced namely SAS Technology. This is

being placed with professional adhesives which has resulted in increase in the sales of

professional adhesives and has elevated it from to the decline stage. This is used to delay

the decline of a well established product which has the potential of generating further

revenue.

Competitors Analysis

Kerakoll’s has been a leading construction outlet in Mumbai. But the outlet understudy has

other competitors eating away into its market share. In addition to its traditional rivals—

Laticrete, Waber, Bal Endure—the firm encounters new challenges. Pidilite competes using

a back-to-basics approach of quickly serving up burgers for time-pressed consumers. On

the higher end, the Laticrete has become potent competitor in the quick service field, taking

away customers from Kerakoll’s. Perhaps in the new environment, fast, convenient service

is no longer enough to distinguish the firm. At this time, a new critical success factor may

be emerging: the need to create a rich, satisfying experience for consumers. This brings us

to service and experience based competition which Kerakoll’s can use for competitive

advantage against Pidilite. Keeping in mind the demographics of the area, Kerakoll’s has

testing labs enabled facility which impresses customers. It is for this overall “Passion, Ideas

& Innovation” experience that customers pay a premium over the other competitors.

Competition also reduces product lifecycle; inducing firms to revise their products

portfolios and to revisit their product market to understand changing needs, expectations

and perception of different market segments. The new SAS Technology would be

introduced in adhesives in professional & high class project. This would open up a whole

new revenue stream for Kerakoll’s by tapping into the construction and big commercial

projects (like-World square mall, etc) by providing a standard and wholesome solution.

This shows how demographic shift can affect the demand for products and services.

Kerakoll’s has anticipated these changes to maintain its competitive edge.

Two Dimensional Perceptual Mapping

SWOT Analysis

The Road Ahead

� Entry to Tier 2 and Tier 3 cities – The main target customer for Kerakoll’s is the

new urban Indian construction/projects. With the customer demographics constantly

changing and tectonic social and cultural shifts being observed in Tier 2 and Tier 3

cities due to globalization, the company is now expanding to Tier 2 cities.

� Rolling out Kerakoll’s innovation technology across all out – In India, the

company has recently launched its entry into the adhesives category. This is now

launched on a pilot testing labs basis on select area. In Mumbai, it available at the

main head office/outlets. The company views this category as a key growth driver

in future.

Awards and Recognitions & milestones

Milestones

1968

Realizing the huge potential to be tapped, Romano Sghedoni started producing tile

adhesive in his garage and founded Kerakoll in Sassuolo, province of Modena, at the heart

of worldwide ceramic industry.

1978

H40 Flex was invented, the world's first single-component SAS (Shock Absorbing System)

technology adhesive. This was a landmark moment for the ceramic industry as it provided a

secure way of fixing single-fired materials and homogeneous slabs in high stress

applications. It was also the first step on the road to success (Kerakoll Ceramic Range).

1990

Kerakoll ventured into the construction industry with high-resistance laying systems for

ceramic tiles and natural stone, leading the way and partnering construction companies

around the world. Single-technology, BME (Low Elastic Modulus) technology was

introduced, revolutionising the concept of special mortars for concrete (Kerakoll

Construction Range).

2000

Kerakoll acquired SLC, a top European company founded in 1963 in Brugine (PD) making

professional laying and finishing systems (screeds, primers, adhesives and paints) for wood

floors, carpeting, rubber and PVC. HP (High Protection) technology, the ultimate in low-

VOC varnishes for parquet, was launched after 4 years of research in Charlotte North

Carolina (Kerakoll parquet range).

2005

Biocalce was born, the world's first green brand and comprehensive range of natural

construction materials (mortars, NHL-based plaster/render and paint coats) for Building

Wellness and Historical Restoration. Building Wellness established itself as the new design

philosophy to safeguard health and improve the quality of life and living comfort.

2006

Kerakoll acquired Rank over, a company founded in 1972 in Zimella (VR) and leading

European business in the formulation, production and development of decorative coatings

for contemporary building and at the cutting edge of the production of natural paint coats

for building restoration.

2007

Kerakoll Design was born, the new cult brand for eco-friendly solid surfaces in

Cementoresina®. Love York, the contemporary home design collection, was unveiled for

the first time at the Milan FuoriSalone.

Kerakoll becomes The Innovative Group with 3 brand divisions:

Kerakoll - Biocalce - Kerakoll Design.

Awards and Recognitions

Number one for people management, speed of innovation, product reputation and high

standards of service. Having customers name us as their partner is a testament of the

quality of our products, services, attention to detail, reliability, efficiency and reputation.

These principles have taken Kerakoll Innovative Group to the very forefront of the

industry for competitiveness and quality of the company's Made in Italy strategy, a

rare accreditation awarded to the small number of elite businesses that continue to generate

value.

2009

At the end of May in Montecarlo during the World Entrepreneur Of The Year

Award Gian Luca Sghedoni, Kerakoll CEO, was named Best Italian Entrepreneur in

the world

2008

Kerakoll CEO Gian Luca Sghedoni was named national winner of the "2008

Entrepreneur of the Year" award, for "having succeeded in taking Kerakoll from the top

of the domestic market to being a top Italian-based business in Europe, before also

becoming a leading European group (Italian at heart) bound for the international arena."

2007

lthe Kerakoll Innovative Group business culture was commended in the 2007 Italian

competition watchdog based on the compared financial results of the top 1,700 businesses

as compiled by Mediobanca;: 1st for competitiveness and quality of strategy in the

chemical industries rankings and 6th in the stability table.

In November 2007, Kerakoll Innovative Group won the “2007 Entrepreneur of the year”

award, organised by the US service firm Ernst & Young. The Group CEO Gian Luca

Sghedoni triumphed in the Innovation category, winning the award for "dedication to

creating innovative products and making constant advances in scientific research, which

translate into newer, higher standards of performance and a competitive advantage capable

of sustaining further growth".

2006

The 2006 Italian competition watchdog saw Kerakoll place 12th overall, 1st for

competitiveness and quality of strategy in the chemical industries standings, and 3rd for

stability, having maintained excellent ratings over the three-year period.

2005

Kerakoll, the only business in the applied chemical sector for the construction industry,

ranked 8th in the 2005 Italian competition watchdog.

2004

Kerakoll ranked 21st in the 2004 Italian competition watchdog.

2003

Kerakoll was the second-most dynamic company in Italy (+38%) for research,

innovation, marketing and internationalization in Mediobanca rankings.

CHAPTER - 3

DESCRIPTIVE WORK OF

SUBTOPICS OF THE

STUDY

Descriptive work of subtopics of the study

The project undertaken was to know the recent trends and the effect of financial crunch on

construction industry to achieve competitive edge over various competitors and to know

about the present market demand and situation to determine the best marketing strategies

for the sales. Basically my research work is divided into three parts:

• Market survey core site mapping.

• Analysis of various held up projects.

• Working procedure.

Market Survey

This was the first part of the project. This part deals in visiting so many running sites in the

NCR region to know the status of that site like stage owner contractor names etc.. The

survey will be helpful in understanding the current market scenario as well as the new

emerging trends in the construction industry. The main purpose lies in interacting with the

project managers and site architects who are the real promoter of the product. The

comments regarding the various products of various brands are gathered and in particular

of Kerakoll and by that we have to do the product promotion of Kerakoll. The positives and

negatives of each brand are noted. The issues such as water proofing leveling an laying of

tiles are to be observed. The basic purpose of market survey was to understand the markets

and the pros and cons of construction industry.

Analysis of Various Brand Preference of Product

This is the second part of the project. This part deals with the knowledge of various

product & consumer preference. The reason of their held up, their restart time etc.. There

may be various reasons of customer acquisition & retention and some personal problem.

Working procedure

Here we have to approach various architects, contractors, owners, project managers, and

various structural consultants etc. we are doing there the product promotion of Kerakoll.

We have to then go to some retailers and also tell them about the Kerakoll product. After

talking with the architects we try to analyze the recent marketing trend and try to establish

the new procedure for the sales and demand forecast. We have to submit Daily report about

each market and full information about each Site in those markets. Questionnaire and

observation method was used for collecting the information.

My own contribution

As far as my contribution is concerned I regularly visit to market, goes to locate different

running sites and found so many sales generating future prospects sites and used to meet

the concerned person’s like project managers, architects and contractors. I also wanted to

meet to the site owners but strange the site owners never come to these sites or may come

rarely.

Then I specially met to the various architects to know about the architectural view about

this topic, about the effect of financial crunch on site slowdowns and the new emerging

trends in the construction industry. My project is about understanding the building

chemical industry and in particularly the awareness of the Kerakoll products in India. This

project is helping me in getting practical experience about marketing research, channel

distribution, sales, and developing new strategies for demand forecasting and the new ideas

for product promotion.

CHAPTER - 4

RESEARCH

METHODOLOGY

Objective of the Study

To identify prospective markets for the company

To understand customer perceptions about the product and expectations from the

company.

To identify the target market for the company.

To carry out competitors’ analysis.

To make recommendations to the company to increase sales and enhance brand

image

.

Type of Research

Exploratory and Descriptive and Causal Research

Exploratory research is a type of research conducted because a problem has not been

clearly defined. Exploratory research helps determine the best research design, data

collection method and selection of subjects. Given its fundamental nature, exploratory

research often concludes that a perceived problem does not actually exist.

It seeks to find out how people get along in the setting under question, what meanings they

give to their actions, and what issues concern them. The goal is to learn 'what is going on

here?'

On the other hand descriptive research is aimed to find the complete description about an

existing problem or phenomenon

Here, during my project, the main focus was to find what is the effect of customer

acquisition & retention and how the market is facing the new emerging trends in the

building industry, and the retailers, contractors and architects are actually thinking about

the Kerakoll products. What are the attributes and reasons other brands are having by

means of which they are defeating Kerakoll products?

Causal research is to associate the cause and effect relationship of two reasons. In my

project I am proving relationship the relationship between site slowdowns and financial

crunch and the association between new emerging trend and financial crunch, by using chi-

square test.

Sampling methods

Process of selecting a sample from a population is called sampling. In sampling, a

representative sample or portion of members of a population or process is selected and then

analyze. Based on sample result called statistics,

Statistical interferences are made about the population characteristic. For example, a

political analyst selects specific or random set of people for interview to estimate the

proportion of the votes that each candidate may get from the population of the voters.

When I started my project, my external guide asked me to do the site mapping, means to

visit the running sites and to collect the information from there and to forward that

information to the next level to perform their tasks. And above all to do the product

promotion there, and find out the stage of the sites and try to correlate the site stage and the

usage of the Kerakoll product in those projects.

Sample area

The sample areas are Ghaziabad including Vashundhara, Ram prashta, Indirapuram and

Sahibabad, Noida (Sec-18, 58, 59, 60 62, 63) and Greater Noida including Surajpur Villege

and Kasna Vilege and different locations of Delhi including East, West, South and Central

Delhi.

Methods of Data Collection

The task of data collection begins after we define the research problem. While deciding

about the methods of data collection to be used for the study, the researcher should keep in

mind two types of data viz. primary and secondary. The primary data are those data which

are collected for the first time and thus it is original in nature. The secondary data on the

other hand are those which have already been collected by someone else and which have

already been passed to the statistical process. The researcher would have to decide which

sought of data he would be using for his study and accordingly he will have to select one or

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

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

nature of data collection were is merely that of compilation.

Collection of primary data:

There are several methods through which we can collect primary data. Some of these are:

Observation methods:

In observational studies, the investigator doesn’t ask question to seek clarification

on certain issue instead he records the behavior, as it occurs, of an event in which he

is interested. Sometimes mechanical devices are also used to record the desired data.

Interviewing:

Interview can be conducted either face to face or over telephone. Such interviews provide

an opportunity to establish a rapport with the interviewer and help extract valuable

information.

Questionnaire:

It is formalized set of question for extracting information from the target respondent. The

form of the question should correspond to the form of required information. The three

general form of question are dichotomous (yes/no type), multiple choice and open ended.

Here, in this project, I have used structured questionnaire to collect the responses from the

project managers, contractors and architects. The questionnaire has been planned very

carefully and I have tried my best to include every necessary question which are relevant

for the purpose of this study. The questionnaire has three types of questions – dichotomous,

multiple choice and open ended question.

Collection of secondary data:

Secondary data means 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 can obtain them. In

this scale he is certainly not confronted with the problems that are usually associated with

the collection of original data. Secondary data may either be published or unpublished.

Usually published data are available in various publications of the central, state, and local

bodies. In technical and trade journals, books magazines, newspaper, reports and

publication of various associations connected with business and industry, banks, stock

exchanges etc.

Most of the secondary data I have used in this project have been collected from various

websites through net. Some of the basic information was provided by the Company

(Kerakoll).

Sample Size

The target sample size is 100 and the research was conducted in almost Delhi and NCR

Region. .This is totally a judgment sampling .The Site selection was totally depending

upon us.

Project period:

From 4th May 2008 to 25st June 2008

CHAPTER 5

Data Analysis

&

Interpretation

DATA ANALYSIS

RESEARCH ON CONSUMER :

Study-I

1. Which is your favourite product at Kerakoll’s?

CONCLUTION:-

In this analysis, I found that most of the likes product which is used in making basic

structure of building, that is P5.

Favourite Product

6%

18%

12%

34%

12%

8%

10%

KERACEM

IDROBUILD H40 FLEX P5

SUPER

EPOXY

OTHERS

2. Is the product line in Kerakoll’s adequate?

CONCLUTION:-

In this analysis, I found that 38% of product line in Kerakoll’s adequate is average.

Is the product line adequate?

28%

34%

38%YES

NO

AVERAGE

3. What is the main problem you faced at Kerakoll’s?

CONCLUTION:-

In this analysis, I found that there is no problem in Kerakoll excepted price of product.

Problems Faced in Kerakoll's

24%

4%

16%

16%

40%

PRICE

DELIVERY TIME Congestion

Other

No Problem

4. Which area do you think needs the most improvement?

CONCLUTION:-

In this analysis, I found that most of the need in improvement of product variety because

customer has problem justify the product on their use.

Improvement Required

10%

6%

30%

24%

20%

10%

Delivery Time

Capaciousness

Product Variety

Prices

Offers anddiscounts

Others

5. What is the first thing that strikes your mind about Kerakoll’s?

CONCLUTION:-

In this analysis, I found that if customer go to the market the first thing strikes in its mind

that is Adhesives.

First Thing about Kerakoll's That Strikes Customer's mind

30%

26%

18%

4%

22%AdhesivesQualityPriceValue for MoneyService

Study-II

Relating to socio economic profile of respondents by Chi-Square test (X2) is presented in

the following tables:-

1. Relationship between consumer preference and Brand name:-

Hypothesis:

There is no significant association between the consumer preference and the brand

preference for construction chemical industry.

Table-1

Type of Construction

Brands Institutional Commercial Residential Industrial Total

Laticrete 9 10 7 6 32

Kerakoll 5 8 6 7 26

Pidlite 6 3 4 5 18

Bal Endure 2 5 2 4 13

Waber 4 2 2 3 11

TOTAL 26 28 21 25 100

INFERENCE:

From the above table the percentage of highly preferred respondents is more in the

commercial. It was followed by the groups Institutional, In medium preference the highest

percentage is in commercial group.

2. Relationship between Income level and brand preference:-

Hypothesis:

There is no significant association between income level and brand preference for

construction chemical industry.

Table-2

Income (Rs/ Month)

Brands Less 50,00,000 50,00,000

To

1,50,00,000

1,50,00,000 &

Above

Total

Laticrete 8 20 10 38

Kerakoll 8 15 2 25

Pidlite 9 3 2 14

Bal Endure 8 2 4 14

Waber 3 5 1 9

TOTAL 36 45 19 100

INFERENCE:

From the above table the percentage of highly preferred respondents is more in the group

above Rs.50, 00,000 To 1,50,00,000. It was followed by the groups Rs1,50,00,000 &

above, In medium preference the highest percentage is in Rs.50,00,000 To 1,50,00,000

group.

CHI-SQUARE TEST:

Chi-square test is applied to test the goodness of fit, to verify the distribution of observed

data with assumed theoretical distribution. Therefore it is a measure to study the divergence

of actual and expected frequencies; Karl Pearson’s has developed a method to test the

difference between the theoretical (hypothesis) & the observed value.

Chi – square test (X2) = (O – E)2 / E

Degrees Of Freedom = V = (R – 1) (C -1)

Were,

‘O’ = Observed Frequency

‘E’ = Expected Frequency

‘R’ = Number of Rows

‘C’ = Number of Columns

For all the chi-square test the table value has taken @ 5% level of significance.

CHI – SQUARE TEST IS CONDUCTED TO EXTENT THE RELATIO NSHIP

BETWEEN

THE CUSTOMER PREFERENCE AND BRAND NAME:

Hypothesis:

Ho: There is no significant relationship between customer preference and brand name.

O E O-E (O-E)2 (O-E)2/E

9 8.32 0.68 0.462 0.056

5 6.76 1.76 3.098 0.458

6 4.68 1.32 1.742 0.372

2 3.38 1.38 1.904 0.563

4 2.86 1.14 1.30 0.455

10 8.96 1.04 1.082 0.121

8 7.28 0.72 0.518 0.071

3 5.04 2.04 4.162 0.826

5 3.64 1.36 1.850 0.508

2 3.08 1.08 1.166 0.379

7 6.72 0.28 0.078 0.012

6 5.46 0.54 0.292 0.053

4 3.78 0.22 0.048 0.013

2 2.73 0.73 0.533 0.195

2 2.31 0.31 0.096 0.042

6 8.00 2.00 4.00 0.500

7 6.50 0.50 0.250 0.038

5 4.50 0.50 0.250 0.056

4 3.25 0.75 0.563 0.173

3 2.75 0.25 0.063 0.023

TOTAL 4.914

Degree of freedom - 12

Table value - 21.026

Calculated value - 4.914

INFERENCE:

Since the calculated value is less than the table value. So the Null hypothesis is accepted.

Hence, there is no significant relationship between Customer preference and Brand name.

CHI – SQUARE TEST IS CONDUCTED TO EXTENT THE RELATIO NSHIP

BETWEEN

THE CUSTOMER INCOME LEVEL AND BRAND PREFERENCE:

Hypothesis:

Ho: There is no significant relationship between customer income level and brand

preference.

O E O-E (O-E)2 (O-E)2/E

8 13.68 5.68 32.26 2.358

8 9.00 -1.00 1 0.111

9 5.04 3.96 15.68 3.111

8 5.04 2.96 8.76 1.738

3 3.24 -0.24 0.058 0.018

20 17.10 2.90 8.410 0.492

15 11.25 3.75 14.063 1.250

3 6.30 -3.30 10.89 1.729

2 6.30 -4.30 18.49 2.935

5 4.05 0.95 0.903 0.223

10 7.22 2.78 7.728 1.070

2 4.75 -2.75 7.563 1.592

2 2.66 -0.66 0.436 0.164

4 2.66 1.34 1.796 0.675

1 1.71 -0.710 0.504 0.295

TOTAL 17.761

Degree of freedom - 8

Table value - 15.507

Calculated value - 17.761

INFERENCE:

Since the calculated value is more than the table value. So the Null hypothesis is rejected.

Hence, there is significant relationship between Income level and Brand preference.

FINDINGS:

Customer Preference:

� The two-way table tells us the high satisfaction is derived by the respondents who use

construction chemical for building commercial sites group.

� Chi-squire test reveals that there is no significant relationship between the Customer

preference and brand name.

Income level Of Customer:

� The two-way table tells us the high preference is derived by the respondents who are

more in the group above Rs.50, 00,000 To 1, 50, 00,000 in a session of project.

� Chi-squire test reveals that there is significant relationship between the Income Level of

customer and Brand preference.

CHAPTER 6

Conclusions, Suggestions

and

Limitations

Conclusion:

After analyzing all things about Kerakoll the leading construction chemical industry in the

World. We can say that its product quality, service, standard, etc are much better than its

competitors as customer point of view and there expectation & perception but Kerakoll has

to more for Indian market, as we know it is a some of biggest market for construction in the

world.

As we know max products of Kerakoll are in premium segments, so it has to do more for

main for middle class market also, because in India more 70% are middle class & there is

great scope for improvement.

At last Kerakoll as a leading name in the consultancy and end-to-end technical support

field construction market & its products are compairless to its any of competitor in sense

of-

1.Product Quality.

2.Service.

3.Product Variety and many more…..

SUGGESTIONS:

Understand the connections between the lifestyle and expenditure characteristics of

customers, their propensity to purchase one product or brand over another, and leverage

this understanding for competitive advantage.

Improve direct marketing response by ensuring they are targeting the right households at

the right time, using the right media with the right message.

Leverage current consumer data to make better strategic decisions about products,

marketing and locations.

Increase customer loyalty and retention with a scientific, data driven approach to analytical.

References:

From companies website www.kerakollgroup.com

From “Marketing Research”- C.R.Kothari.

From Sales Manager- Kerakoll India.

From “Marketing Management”- Kottler