Not Sure Yet Thesis Proposal Example | Topics and Well Written Essays - 250 words

Not Sure Yet - Thesis Proposal Example Rationale: The investigation of this topic will take place through research and analysis of the state of environmental health during and after Hurricane Katrina. The thesis will first examine the nature of Katrina itself and the immediate damage done. It will then proceed to describe how the immediate destruction affected or threatened the environmental health in the region. Finally, the thesis will explore the extent to which these environmental health threats have been relieved through the hurricane help efforts, and which ones continue to be affecting the environment, posing a threat for future society in the region. Literature: The main sources to be used include an report and analysis provided by the U.S Environmental Protection Agency, a New Orleans Environment Watch, which provides articles about specific post-Katrina environmental health issues and progress, and other articles that address more narrowed topics, such as access to healthy food. Conclusion: Although progress has been made, New Orleans continues to face numerous environmental health threats and challenges. This thesis will produce a summary and analysis that identifies which challenges are most essential in terms of needing to be addressed to provide a safe and healthy future

Asset Management Discussion Post 6 Coursework Example | Topics and Well Written Essays - 250 words

Asset Management Discussion Post 6 - Coursework Example For purposes of recording keeping, a broker may inquire about the customer’s name, address, and date of birth, driver’s license, employment status, annual income, and net worth. This information helps to verify identification of the client and check whether the client appears in any known or suspected terrorists groups or agencies. Other questions would be whether a brokerage firm and their annual income employ them. Details of telephone number and account investment objectives are also crucial questions. This information must be obtained in good faith but if the customer neglects to provide such information then a broker can break the rule of good faith in obtaining such information. As a broker, questions asked must be periodically repeated to check accuracy over a certain period. According to the SECs, rules every brokerage firm is required to send information obtained from a client periodically for verification (Markham, 2014). There are certain characteristics that a client must possess for the investment to make sense. The main characteristic of the client is the suitability for investments. The broker might inquire about the income of the client and their net worth. The broker may inquire about security holdings, risk tolerance, and investment objectives of the client. All this is contents that must be there for one to be deemed suitable to create a portfolio in any

Constitutional Law of the European Union Case Study

Constitutional Law of the European Union - Case Study Example Accordingly. Germany must defend that the decision to restrict its national policy of supporting companies with financial benefits should have been taken by unanimous voting. Article 94 also envisages that there shall be a unanimous decision in respect of directives, regulations and regulations affecting the common market functioning. This is a good defence for Germany to maintain that if national companies are not supported with financial benefits, they will be adversely affected by unhealthy competition from the financially strong companies. Though there are proviso for derogation of these requirements by adopting Qualified Majority Voting, (QMV), the derogation power for overriding the unanimous voting requirements can not used for restricting a single member state from supporting its national companies when there possibilities of similar practices being followed at all member states in some form or other though the commission may not have received complaints.. There is no reason how it will distort competition when such practices likely to be followed by all the member states. Hence a decision of this nature should not be discriminatory towards a single member state alone. ... In the instance case itself, though there were complaints against France and Germany, action is directed at Germany only. Hence the decision is blatantly discriminatory by the abuse of QMV. The EC Treaty itself has provisions for creating interventionist funds to ward off difficulties. Hence Germany can rely on the above defences before the court of justice for cancelling the impugned decision. As Luxembourg Compromise was only a guideline and not statutory until recently without anticipating any such exigency, Germany can argue that this QMV principles must be reviewed so as to prevent vested interests from joining together against a single member state by insisting on unanimous voting. Germany's practice has been open and transparent while other member states are not likely to be so as there is no way of detecting such practices in guise. Germany being singled out alone will result in competition distortion. Moreover the commission does not appear to have followed the procedures giving opportunity to Germany before taking the impugned decision. In case no C-288/962, the court of justice has observed as follows. Plea in law alleging failure to observe the rights of the defence 92 By its first plea in law the German Government complains that the Commission denied it and the Land of Lower Saxony access to the observations, mentioned in section II of the grounds of the contested decision, which had been sent to the Commission, during the administrative procedure, by letters of 31 August 1995, 1 September 1995 and 4 September 1995, by four competitors of Jadekost. 93 According to section II, the letters in question pointed out, in particular, that Jadekost had used the aid granted to win market share from its competitors through sales at below-cost prices.

Movies and cultural influences Essay Example | Topics and Well Written Essays - 1000 words

Movies and cultural influences - Essay Example With the sudden urbanization on a large scale, the ordinary factory workers in the city became psychologically isolated, though they were in the midst of a huge mass of urban population. This situation was further aggravated by the arrival and assimilation of a large number of immigrants, most of whom were not English speaking, and from a different cultural background. With time and money at their disposal due to the rising affluence, the urban workers needed to find avenues for entertainment. They still could not afford to attend entertainment shows such as music performances, theater plays etc. The invention of the moving picture towards the end of the nineteenth century, suited this demand perfectly. This amazing novelty captured the imagination of the common man. This medium had several advantages over other forms of entertainment. It was cheap. It could be copied, transported, and staged simultaneously at several places. Initial silent movies had no language barrier, and hence had a universal appeal. The earlier movie producers, mostly jews, Italian or greek immigrants who could not get in the mainstream industrial workforce, but were nonetheless hungry for success, utilized these advantages to attract a huge audiences and make maximum profits. Nickelodeon theaters, with shabby seating arrangements inside, and crude and gaudy posters outside, sprang up throughout the cities and even countryside. Some owners included vulgar and objectionable content in their movie shows. The dark environment inside the theatre was also found to foster unsocial and immoral activities. Cul tural traditionalists saw, in this movement, a potential to corrupt the minds of the young generation and a threat to the moral society. This commercial amusement activity was directly in contrast to playgrounds, libraries, school recreation centers, church sponsored recreation, which were considered to be the conserving moral agencies of a respectable society. Large scale criticism of the uncontrolled commercialism, as regards to movies, ultimately led to stricter theater regulations and even a temporary closure of all the movie houses in New York in 1908.Susequently, the movie men fought and won legal battles with the administration against this action, but with a clear message, that some form of regulation was needed. The first comprehensive law in the United States, regulating movie theaters was enacted in 1913, banning objectionable content such as vaudeville acts, enforcing the provision of better amenities inside the theaters etc. Movies and advertisement: The success of the industrial revolution, which started around the middle of the nineteenth century, was a collective result of several factors acting simultaneously in a complementary manner. The practical application of technological innovations, like telephony and telegraphy, effective use of electricity development of transport systems, and development of mechanized assembly lines greatly helped the economic growth of the American society as a whole. This further fueled the demand, not only for technology based products by the industries, but also for consumer based products and services by the masses. The Cycle of demand and growth prompted the manufacturers towards large scale production of goods. At the same time, these manufacturers had to compete with each other for maximizing their market share in the fully

Columbian Food Exchange Essay Example for Free

Columbian Food Exchange Essay Columbian Exchange Food/Ingredient Project By: Aaron Poulin Mr. Yonkers 6th Period What is the origin of your food/ingredient? Cinnamon originates from the islands of Shri Lanka (formerly called Ceylon), southeast of India. It is also native to southwest of India and the Tenasserin Hills of Burma. Cinnamon is part of the Lauraceous, a branch of the Laurel family of spices. Although there have been many versions of cinnamon with stews, desserts, and everyday food, I am focusing on cinnamon buns, also known as sticky buns, a delicious by-product of cinnamon and bread rolls combined. Both cinnamon and bread rolls are ancient foods, but when did they first combine? According to early spice historians, the history of cinnamon is unclear. Dr. Ronald Wirtz (American Institute of Baking) has researched sticky buns in depth. He begins with the ancient Egyptians, Greeks, and Romans. Wirtz believes that our modern sticky bun owes some of its origins to British cooking and baking, perhaps with some degree of influence from the Dutch and Germans. The cinnamon bun or sticky bun came to Philadelphia with 18th century English and German immigrants. The cinnamon buns that reached Philadelphia were composed of cinnamon, sugar flavored yeast dough, with raisons, buts, and caramelized topping. They are now very popular in the United States and some parts of England. Why is this crop/ingredient historically important? Cinnamon buns played a historic role in Europe mostly, originating from central Europe; they formed as a tasty treat for higher-class people. Because cinnamon was hard to harvest and only grew parts of Asia and the Middle East it was hard to transport and therefore made it pretty expensive. Many myths surrounded cinnamon and how people harvested it. The source of cinnamon was unknown in the middle ages; it was thought that the Arabs supplied people with cinnamon. It was said that giant cinnamon birds collected the sticks from an unknown land where cinnamon trees grew, and used them to construct their nests. Fastened to sheer cliffs, the Arabians employed a trick to obtain the cinnamon. They killed and chopped up oxen and other beasts of burden into pieces, laid them near their nests and withdrew to a distance. The birds were then tempted down to carry the chunks of meat back to their nests, where the weight of the carcasses broke them from the cliffs. Leaving the Arabians to collect the fallen cinnamon. According to Herodotus until as late as 1310. Cinnamon had many other appearances in classical literature, including Socinus’ Collecanea Rerum Memorabbilium (Collection of Remarkable Facts), Aristotle’s’ Historia Animalium (History of Animals) just to name a few. Where did your food/ingredient spread? Cinnamon became more popular than ever during the middle Ages, in a matter of years it had spread to many different countries, so popular that stories had created myths about the tasteful spice. It also made Arabia famous for its export of cinnamon. But today Indonesia is the largest exporter of cinnamon in the world.

Representation of mental health problems in the media

Representation of mental health problems in the media Media tends to use harsh words such as psycho and maniac as the headline when referring to people with mental health problem, which can influence the public perception. Previous research suggests that there is a strong rink between negative portray of mental health and public attitude towards people with those conditions (Rose, 1998). This essay, aims to examine negative representation of mental health problems in the media. It will be based on qualitative research method and will take a view of thematic analysis of the sun newspaper. Result indicated that media tends to focus on the negative news as it is more news worthy, exaggerate and generalising people with mental health problems. Recommendations suggested; media should stick to facts in relation to mental health and should stop producing negative information in this field. Introduction and aims Data from 2010 survey by the UK Office of National Statistics showed that 1 in 6 adult experience at least one diagnosable mental health problem at any given time and that severity will vary from mild anxiety to conditions such as bipolar disorder (http://www.guardian.co.uk). Previous studies in this area found that people perception were influenced by media negative representation of mental health disorders (Rose,1998), this was supported by philo (1993) who found that public attitude towards crime and mental health was based on what was presented in the media. Media representation of mental health problems tends to be shadowed with negative comments and always emphasises on the link between people with mental health and violent crimes. A study by Cutcliffe and Hannigan (2001) examined media reporting of people with mental health problems and concluded that media stories tends to be focused on violence dangerousness and criminality toward others in relation to a person with a mental illness. Anderson (2003) also suggest that the media only focus on reporting negative events such as murder committed by those with mental health problems more than then the awareness of mental health. Yet there is evident that people with mental health problems do not commit more crimes than the rest of the population. According to large et al (2008) study on homicides due to mental health between 1950-200, they suggested that only a small proportion of people with mental health do commit violent crimes compared to those with no mental health problems. The relationship between mental health problems and violent crimes are mostly linked to alcohol and substance abuse and not just mental health condition. Although a small proportion of pe ople with mental health problems tends to be violent, the majority are victims of violent attacks and the media seems to forget produce this (www.guardian.co.uk). Furthermore, Edney (2004) Argue that even though media always features stories relating to mental health, those stories tend to be exaggerated and negative in torn. Anderson (2003) claimed that media stories which portray people with mental health negatively tend to gain more publicity than those which dont. The purpose of this essay is to examine the impact of portraying people with mental health negatively in the media which will be achieved by thematically analysing article from the sun newspaper. Studies such as that of Stuart (2006) claimed that, media negative presentation on mental health does have a significant effect on people with mental health problems. Analytic approach Article on coverage story of Raoul moat 37 was chosen from the sun newspaper from the internet dated (10th July, 2010), who shoot his ex-lover through the window of her house and killed her then boyfriend while trying to protect her as well as living a police officer blind after gunning him down while on duty. Before going on a run for almost a week and turning the gun on himself after a police standoff. The sampling method used was probability sampling. Thematic analysis was employed In order to explore how people with mental health problems are portrayed by the media. Thematic analysis procedure involves different stages. First stage involved; Students being instructed to develop a research question which related to the representation of mental health illness. Stage two; students had to read the article which was based on a story of Raoul Moat in order to be familiar with the data. Stage three; here students had to transcribe data from the article into text stage four is coding for themes; this involves organizing words which relate to similar topics into categories which requires reading text and note down words of interest for the chosen research question, Text needs to be examined closely, line by line. Stage five includes; Text being re-examined to see if all the information is relevant to themes. The final stage is reporting each theme by writing its description and illustrating it with a few quotations from the original text. This will be coved in the findings section. (Boyatzis, 1998). Findings and discussion The following themes where identified within the text. Theme 1: Paranoid about the cops. Moat hated the police whom he called animals, He hated the policeà ¢Ã¢â€š ¬Ã‚ ¦.called them pigs. He believed that they had something against him due to the amount of time he had been stopped before going to prison, They harassed him on the outside by pulling him over in his car every five minutes for no reason. More crucially, having being dumped over the phone by his then lover while saving time in prison for attacking a relative left him convinced that she had left him for a cop. he was fixated on the other man being a police officerà ¢Ã¢â€š ¬Ã‚ ¦.. Shes dumped me for a fucking pig. Theme 2: Emotional meltdown. Prior to calling Samantha from the prison phone booth, moat was in good mood he was fine beforeà ¢Ã¢â€š ¬Ã‚ ¦..he said he was going to ring Samantha. But after making that call he came back a different person, the colour of his skin had changed to red and he was in ties. He completely changedà ¢Ã¢â€š ¬Ã‚ ¦His neck and face had turned red. He was crying like a baby. Moat took all the feeling of being rejected on the fellow prisoners fuck off scam- get out of my face. he went mental one time because Eric had stuck out the place. the articles looked at referred to mental health in general and exaggerate on the actual information. Most of the information reported was descriptive e.g. media called him psycho even though there was no evidence to support that he was suffering from psychosis.These articles where published by journalist who may have little or no back ground knowledge on mental health, they are business driven and therefore look for news worth in order to sell the papers instead of focusing on the actual facts. Media create a label for people with mental health problems such as mentally ill, and psycho. Character of information Most publications relating to mental health problems tend to be exaggerated. Media we use one particular incidence (e.g. how moat had mental health) to generalised everyone with mental health condition. Most of the information the media report tends to be descriptive (e.g. how person with mental illness has committed murder). Very little place is devoted to explanatory information example, about causes or symptoms of mental illnesses) recommendations for good practice when reporting on violent crime stories which may be linked to mental illness: Media should Avoid using offensive words like psycho and nutter, be certain about the information they report instead of speculating news. They should make it clear to the reader that only a very few people with mental health problems are violent. Conclusions Publications in media relating to people with mental health problems are negatively which paints a picture of people with mental health problems as dangerous criminals which can live them being labelled and stereotypes with society. In order to remove this stigma, journalists should be provided with some guidelines where they can find information on mental health problems In general media coverage of mental health problems tends to be negative, Media uses harsh words such as crazed, maniac or monster to referrer to people with mental health problems. Specific conditions were less likely to be mentioned in headlines than general references like mental illness. Media representation of mental health tends to be more sensational headlines than sensational stories.

FMCG Market Analysis

FMCG Market Analysis EXECUTIVE SUMMARY The FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. Penetration level as well as per capita consumption in most product categories like jams, toothpaste, skin care, hair wash etc in India is low indicating the untapped market potential. Burgeoning Indian population, particularly the middle class and the rural segments, presents an opportunity to makers of branded products to convert consumers to branded products. Growth is also likely to come from consumer upgrading in the matured product categories. With 200 million people expected to shift to processed and packaged food by 2010, India needs around US$ 28 billion of investment in the food-processing industry. Rapid urbanization, increased literacy and rising per capita income, have all caused rapid growth and change in demand patterns, leading to an explosion of new opportunities. Around 45 per cent of the population in India is below 20 years of age and the young population is set to rise further. Aspiration levels in this age group have been fuelled by greater media exposure, unleashing a latent  demand with more money and a new mindset. The importance of consumer sales promotion in the marketing mix of the fast moving consumer goods (FMCG) category throughout the world has increased. Companies spend considerable time in planning such activities. However, in order to enhance the effectiveness of these activities, manufacturers should understand consumer and retailer interpretations of their promotional activities so that appropriate differentiation can be used. Retailers stated that role of word of mouth and television advertising was very important in providing information inputs to the consumers regarding sales promotion activities. This perception of retailers was supported by the consumer unaided recall of sales promotion schemes which were widely advertised. The research concludes with the discussion of the results, managerial implications limitation of the study and future research directions. CHAPTER 1 INTRODUCTION I. ABOUT THE DISSERTATION INTRODUCTION Advertisements convey brand differentiation and this may be important in several categories, which consist of several brands. In FMCG products like tea, coffee and detergents, â€Å"differentiation awareness† can be created by television advertising, but in certain categories there may be a need to demonstrate the effectiveness of brands. Differentiation with which consumers cannot â€Å"connect† may have a negative implication and if a brand â€Å"connects† consumers with its differentiation, it is likely to also differentiate itself in terms of getting identified with the consumer. A detergent or a washing machine, which claims â€Å"low water consumption† has to demonstrate this claim at a retail outlet especially given the fact that the quality of water varies across areas even in a specific geographical region. It is also essential that a good â€Å"differentiation proposition† result in a positive word-of-mouth. In a certain situation, the company may have two offerings in a product-line and there is a need to differentiate them clearly depending on the target segments involved. This is a complex situation where differentiation decides the growth of the brand and the perceived difference between the offerings. An added layer to the complexity is the same brand name being used for the offerings. Fairness cream is a category in which the benefit is the fairness of the complexion. A brand like Fair and Lovely built over the years still has a strong association with the category but under tremendous pressure from competitive brands and the most important criteria which these brands is the herbal touch associated with them. Herbal ingredients are becoming popular with consumers in several categories and personal care in India has a strong tradition of herbal care. Fair and Lovely had to launch its herbal variant (it used the same brand probably because of the brand equity built up over the years) . The interesting fact is the differentiation being conveyed by advertising. The original version uses an aspiration route in which the brands ultimate benefit is success through confidence. Estimates based on Chinas current per capita Consumption, the Indian FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. The dominance of Indian markets by unbranded products, change in eating habits and the increased affordability of the growing Indian population presents an opportunity to makers of branded products, who can convert  consumers to branded products. Penetration level in most product categories like jams, toothpaste, skin care, hair wash etc in India is low. The contrast is particularly striking between the rural and urban segments the average consumption by rural households is much lower than their urban counterparts. Low penetration indicates the existence of unsaturated markets, which are likely to expand as the income levels rise. This provides an excellent opportunity for the industry players in the form of a vastly untapped market. Moreover, per capita consumption in most of the FMCG categories (including the high penetration categories) in India is low as compared to both the developed markets and other emerging economies. A rise in per capita consumption, with improvement in incomes and affordability and change in tastes and preferences, is further expected to boost FMCG demand. Growth is also likely to come from consumer upgrading, especially in the matured product categories. CHAPTER 2 I. LITERATURE REVIEW Impact of Effective Advertisement on Consumer Attitude Dr. F.R. Alexander Pravin Durai By going through this article I have come across some points which you should look upon. If you want to read the article it is present in the appendix. Following are some points:- Advertising is the only direct method which helps to reach masses of potential buyers. Advertising, being dynamic, changes with changing methods of distribution and consumption. In the present era of information explosion and media influence, these advertisements playa major role in changing the settled perception or thinking, which is otherwise called attitude, of the consumer and · also the consumption pattern of the society in general. Thus, the impact leads to cultural and social changes to a great extent. Why is there a need of advertising? Advertising is a way of communicating information to the consumer which enables him or her to compare and choose from the products and services available. Advertising is the most economical means by which a manufacturer or an Institutional body can communicate to an audience whether to sell a product or promote a cause of social welfare. Essentials of Effective Advertisement-the writer thinks that there are 4 important things for an advertisement to be effective. They are importance of claim, believable, uniqueness and repetition. The advertiser must constantly assess the situation to choose the right environment and ideal time for an advertisement to be launched. Some of the situations are as follows:- When there is a favorable primary demand of particular product. When there is a distinctive product differentiation from other competitive brands. When mass market is penetrated. In order to ensure that the advertisements reach the target consumers in a most effective way and gets right response from them, it has to be ensuring that such advertisements are presented in the right way. The following steps on the part of the consumer may ensure that the advertisements are on the right track. Getting attracted towards the advertisements. Listening and observing the contents of the advertisements in full. Continuous watching of the same over a period. Comparing the advertisements of similar products. Making a trial purchase as follow up activity. Assessing the level of utility of the product individually. Ascertaining the level of utility derived with other similar consumers. In the article Dr. Alexander Told about a model which exemplifies the attitude or response of a consumer to an advertisement. Techniques of advertising for Fast Moving Consumer Goods Dr. Archi Mathur- Assistant lecturer, Department of Management Studies, National Law University, Jodhpur Dr. HK Bedi- Professor, Dean, Department of Management Studies, National Law University, Jodhpur This article shows how an advertiser can use different techniques of advertisements to show FMCG products. The techniques are as follows: Value added ads- In addition to providing information about the product; Value-added advertising transforms a product into something more appealing to consumers than the physical object produced in the factory. Therefore, it is a missing link between brand attributes and the customer perception, between product features and need fulfillment, .between benefits and values. Comparative ads- the advertiser compares the 2 brands of the same product category. The ad can be copied as the Pepsi and sprite example in the case. They have used the same story but both have them had a different approach. Informative ads- these ads are used to provide information to the consumer about different products and services. Health and Hygiene ads- these ads show that the product is taking care of the consumers health. It is emphasizing of the physical attribute of the product. What does the product do? How does it help you? The ad tells you all. These are some of the techniques. Lifestyle ads- Another way to. nave an impact on the consumers mind is portraying the life-style of a successful person. Humorous ads- Humor in the advertisement is normally kept in order to create a light, jovial and likely kind of an atmosphere Demographic ads- these ads are meant for different segments based on age, sex etc. Farex Cereal Food for infants is an advertisement targeted directly towards the infants, as it comprises a healthy food for them. It is also targeted indirectly towards the mother. Packaging ads- Advertisement is trying to lure the customers to buy their products on the basis of the way they are brought in front of the consumers eyes ie. Packaging. Dabur has brought in different flavors in the market of fruit juice. E.g. Mango, Pineapple, Orange, Mixed Fruit Jete. All these are in different packages, i.e. 50 ml, 1000 ml, etc. They claim that unlike other juices, which have preservatives in them, these products are without preservatives. Hence, the punch line is Real Fruit Juice. Price ads- Marketers also lure the customers by showing in an advertisement that a product is available at a lesser price without any compromise on the standard. Cadbury India advertised the 5-Star chocolate by offering 30% more chocolate in its 5-Star bar for the same price. Celebrity ads- Celebrities are mainly used in the advertisement either to lure the rural people in buying a particular product or in forcing the young generation to buy the products. This is also called endorsement advertising.,{t is also used in portraying that a particular product is best inqtJality because a person who is also very well known in his/her field endorses it. The impact of these stars in advertisements enables the company to increase its sale. CHAPTER 3 I. RESEARCH METHODOLOGY II. RESEARCH OBJECTIVE The main objectives of the study are: 1. To assess current consumer sales promotion schemes in the market 2. To assess how consumers differentiate the products based on advertisements 3. To get an insight into retailers views regarding the schemes being offered in toilet soap category, and consumer perceptions 4. To study consumer perceptions regarding various schemes in this category and responses toward them. 5. To study the various methods of differentiation. 6. To analyze the methodology adopted by companies to target end consumers. 7. To address basic business questions like: Do companies have the right product/service to offer? How companies reach their customers? How the buying power can be created? To prepare new business strategies RESEARCH METHODOLOGY Methodology: Technique used for the survey is questionnaires, focus group discussions and interviews. In order to address the above questions an exploratory study was conducted. The idea was to probe and get deeper insight into sales promotion scenario in toilet soap market and to tap perceptions of retailers and consumers. In order to address above mentioned objectives (i) study of secondary sources was carried out, 10(ii) in-depth interview of six retailers was undertaken and 11(iii) structured questionnaire was designed to seek consumer responses. Convenience sampling was used for both retailers as well as consumer studies. Six retailers ranging from small kirana store to supermarket were approached. All the retailers were located in the Noida. The respondents for consumer study were postgraduate students in the age group of 19-24 belonging to middle and upper middle and upper class. The total respondents were 30 in number. They were residing in hostel or as PG hence sole decision-makers for t his category. Also this age-group being more experimental and likely to be more deal prone, so their perceptions, preferences would give some insights to companies planning sales promotions targeted at them. Scope and Limitations: The geographical scope of the study was restricted to the NOIDA city due to time and resource constraints. The study being exploratory in nature, the sample size was restricted to 30 consumers (student group) and 6 retailers. Focus being mainly on in-depth probing, the generalizations drawn are only indicative and not conclusive. CHAPTER 3 I. FMCG AN INTRODUCTION II. INDIAN CONTEXT III. MARKET OPPORTUNITIES IV. EVOLUTION AND CHARECTERSTICS FMCG -FAST MOVING CONSUMER GOODS BRIEF DECRIPTION OF INDIA FMCG MARKET MARKET OPPORTUNITIES IN FMCG: According to Estimates based on Chinas current per capita Consumption, the Indian FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. The dominance of Indian markets by unbranded products, change in eating habits and the increased affordability of the growing Indian population presents an opportunity to makers of branded products, who can convert consumers to branded products. Penetration level in most product categories like jams, toothpaste, skin care, hair wash etc in India is low. The contrast is particularly striking between the rural and urban segments the average consumption by rural households is much lower than their urban counterparts. Low penetration indicates the existence of unsaturated markets, which are likely to expand as the income levels rise. This provides an excellent opportunity for the industry players in the form of a vastly untapped market. Moreover, per capita consumption in most of the FMCG categories (including the high penetration categories) in India is low as compared to both the developed markets and other emerging economies. A rise in per capita consumption, with improvement in incomes and affordability and change in tastes and preferences, is further expected to boost FMCG demand. Growth is also likely to come from consumer upgrading, especially in the matured product categories EVOLUTION:  § 1950s-80s Low Investment in the sector Low purchasing power Govts emphasis on small scale sector HLL and other companys urbane focus  § Post liberalization Entry of MNCs Focus shifted to getting to rural consumer first Others, like Nestle, remained with the urban population Latest fad to hit the market is the ‘sachet bug.  § Mushrooming of regional brands Nirma enters and changes the focus to ‘Value for Money in the 70s Post liberalization, Jyothi Laboratories, ‘Ghari Detergent and ‘Anchor toothpaste giving the nation-wide brands a run for their money. CHARECTERSTICS: FORECAST 2010:  § Rural and semi-urban  § 128 million population thrice the urban  § Market size growth from 48k to 100k Crores (Growth of 50% at 10%CAGR)  § Increase penetration from the current less than 1%  § Problems in the rural sector * Low per capita disposable incomes * Large number of daily wage earners * Acute dependence on vagaries of monsoon * Seasonal consumption * Poor infrastructure roads and power supply  § Urban  § Market 16.5k to 35k Crores (Growth of 100% at 20%CAGR)  § Intense competition severe pressure on margins Focus on newer products, such as fruit juices Source: Assocham Report ‘Future Prospects of FMCG CHAPTER 5 I. UNDERSTANDING DIFFRENTIATION II. TYPES OF DIFFRENTIATION III. THE INDIAN CONTEXT I. II. UNDERSTANDING DIFFERENTIATION: Differentiation is the process of adding a set of meaningful and valued differences that distinguish a companys offering from those of its competitors. Differentiation is strongest when it satisfies all of the following criteria: 1. Important: the difference delivers a highly valued benefit to a sufficient number of buyers 2. Distinctive: the difference can be delivered in a clear way 3. Superior: the difference is a better way of obtaining a benefit 4. Pre-emptive: the difference cannot be easily copied 5. Affordable: the buyer can afford to pay for the difference 6. Profitable: the company will earn a return by maintaining the difference BRAND loyalty in fast moving consumer goods categories is a topical issue, with several brands resorting to price cuts across categories. More importantly, price cuts or sales promotion by themselves do not seem to have done much for brands in terms of sustaining brand loyalty. They may attract consumers in the short run: consumers may stock the brands and consumers new to the brand may try it. But over a period of time, a brands value may get diluted in consumers psyche, and will eventually lose a strong base of consumers. The following are some aspects of marketing mix elements and consumer behavior which could contribute to brand loyalty. Product differentiation If the products are differentiated in their characteristics and this difference is perceivable, there are chances of brand loyalty being formed based on satisfaction with greater performance or fit of product with needs. In this case, loyalty is driven by functional or symbolic benefits. Functional benefits would be specific tangible features of the product whereas symbolic benefits would be intangibles such as brand personality and `hedonistic value of purchase. Price differentiation If the price differentiation in the market is perceivable, price-led loyalty might exist in the market. Price-led loyalty is practised by supermarkets, airline companies and FMCG brands, which come out with frequent sales promotions based on freebies. Alternatively, price might be taken as an indicator of brand quality, and the customer might go in for higher priced options. Price-led loyalty has to be carefully considered with other marketing mix elements and the consumer should never perceive dilution, especially in low-priced bands. Hence, lower prices should create a sense of value through the product offerings as well as through communication. Branding activity If the category is organized and there is branding activity, there will be greater loyalty than there would have been if the category were unorganized. Branding activities can differentiate between brands on name, symbol, images and associations. Branding activity in this context refers to creating strong associations which will influence the consumers not only with regard to functional attributes but also with symbolism. Hamam soaps portrayal of its pure ingredients with the child and mother imagery is a good example of one of these dimensions. Branding activities in a broad sense could range from advertising to sales promotion and public relations involving several aspects. III. The Indian context The following were the observations from the literature survey and the examples chosen from the Indian context. The factors indicate that there will be a large segment of consumers for whom price-led loyalty will dominate. Hence there will be strong behavioural loyalty in the segment and only weak attitudinal loyalty. There is thus spurious loyalty in this sector. There is a moderate level of symbolic and functional differentiation which has been exploited by strong brands to build a loyal following. Examples of this include brands such as Dove, Ponds Dreamflower talcum powder, Gold Flake, Wills Navy Cut, Amul and Cadbury. These brands have probably built strong attitudinal loyalty through their brand personality and other brand building efforts. In the FMCG sector, brand habit is high whereas attitudinal loyalty is low. As creating attitudinal loyalty based on functional differentiation is difficult, symbolic differentiation is the key. Building strong brand personalities and associated symbolic benefits is important for crafting customer loyalty. The factors discussed cannot be treated in isolation: they are to provide a synergy to result in brand loyalty. The combination of these factors and the timing of the combination is the topical challenge which marketers face in an environment where loyalty is slowly eroding. Local challengers Some of the most successful FMCG brands in 2002 came, not from the stables of a Hindustan Lever and a Colgate, but from obscure regional players such as Kaleesuwari Refineries, Parakh Foods, Anchor Switchboards and Kanpur Detergents. Over the past couple of years, brands such as Gold Winner and Gemini in refined oils, Anchor White in toothpastes and Ghari in detergents have managed to sustain double digit growth rates, even as the market leaders have struggled to hold on to single digit growth rates for their brands. Yes, the comparison is unfair, as the local brands had a minuscule base to start with. But these brands have demonstrated it is not impossible for a new challenger to break into the traditional bastion of one or two large FMCG players. Traditionally, large FMCG categories in India have been dominated by just one or two players, who rule the roost by dint of their sheer financial muscle and distribution reach. But, of late, successful regional brands have been finding chinks in their armour. And how! Aggressive pricing In the edible oils market, as national players were forced to hike their selling prices in response to rising commodity prices, both Gemini and Gold Winner have used aggressive pricing to woo consumers away from the national brands. Packed tea too, has seen similar trends. The limited differentiation in grocery and the flexibility offered by a restricted area of operations have stood these companies in good stead. Anchor White, among the few debutants in the toothpaste market to garner a significant share, first wooed the retail trade with high distribution margins, and then used rock-bottom prices to lure consumers into trying the product. Though none of these companies can match the market leaders in adspend, they have used focused regional and local advertising to draw consumers attention to their brands. The mushrooming of local and regional media has undoubtedly helped the local players milk the most from their ad budgets. Banking on `power brands While the local brands have been adding to their brand portfolios, the market leaders have largely stayed off new product launches. In keeping with its power brand strategy, Hindustan Levers marketing strategies in 2002 revolved around rejigging and relaunching established brands such as Lifebuoy, Rin, Surf and Vim. The company phased out brands such as Sunlight in detergents, and Jai in toilet soaps, so as to focus better on its 30 power brands. The strategy appears to have worked, as brands such as Lifebuoy and Rin have moved into a higher growth trajectory after the relaunch. In fact, HLLs power brand strategy has found a few followers in the FMCG market, with companies such as Godrej Consumer also announcing plans to focus on a clutch of key brands. Streamlining and spend While the power brand strategy has helped the leading players put their marketing prowess behind their most important brands, it has not really helped them save on ad spend. For most FMCG companies, advertising and promotion spends in 2002 grew faster than their sales. In high penetration categories such as soaps, detergents and toothpastes, marketing efforts of the players revolved around persuading existing consumers to use more of the product or to upgrade to a higher-priced brand. The slew of 100 gm free for every 150 gm offers in toothpastes and the series of promos on the 2 kg packs of premium detergents were both intended to induce existing consumers of a product to pep up their usage of the brand. Companies operating in relatively low-penetration categories such as chocolates, shampoos and skin creams tailored their marketing strategies to bringing in new users, through scaled-down versions of their brands in affordable pack sizes. The low-priced Chocostik, a liquid chocolate in a small-sized pack, launched by Nestle India, has helped pep up the companys topline and is now a large contributor to the companys revenues. Nestle India is now trying out a similar small-sized Rs 5 pack for Maggi noodles. Shampoos have been among the few FMCG categories to register a positive growth rate in 2002, and growth in this category has been driven mainly by sachet packs and by scaled-down 50 ml bottles priced at less than Rs 10. Overall, the FMCG slowdown of the past three years has served a useful purpose. At one level, it has made sure that the dominant players in the market no longer enjoy unlimited pricing power, as they have in the past. There now appears to be a greater effort on the part of the players to hold selling prices and look at their own operations to save on cost. At another level, the emergence of the regional challengers has made sure that consumers of FMCG products have a few more choices in their purchases of essentials. Is selling soap the same as selling a TV? It isnt. The difference is how the particular product is sold and more importantly, how is it distributed. India is a unique market, where the manufacturers who deliver products at the doorstep, which is the ideal way to deliver anything, spoil our consumers. We have an extremely evolved distribution mechanism for most products. Different products are sent to the consumer differently. Depending on the number, the price of the product and the complexity of the selling process, they may vary from direct selling to selling through a channel that may have as many as four levels between the manufacturer and the consumer. A look at a few of them will show what it means to be a sales person of that product. Most FMCG (fast moving consumer goods) products are not hard-sold to the end consumers. Sales are built up largely by pull a technique using advertising and consumer promotion. The sell-in happens to the trade i.e. to various members of the distribution channel the CarryingForwarding/Super-stockist, the distributor, the wholesaler and most importantly the retailer, who is the interface with the end-consumer. This chain forms the most important link in getting the product economically to the consumers doorstep. A large MNC in the FMCG industry may be covering as many as 1 million outlets across the country with the help of thousands of distributors. Even a mid-sized company covers at the least 1 lakh outlets. Factoring in the vagaries of operating in more than 25 different states, each with its own sales tax complexities, different consumer needs, differences in the distribution structure, not forgetting differing octroi structures within a state, distribution is extremely complex in India. If the sell-in does not happen to this channel for whatever reason or is sub- optimal, a product is likely to fail. CHAPTER 3 I. UNDERSTANDING ADVERTISEMENT II. UNDERSTANDING SALES- PROMOTION III. CREATING DIFFRENTIATION THROUGH ADVERTISEMENT IV. PROBLEMS FACED BY MARKETERS I. UNDERSTANDING ADVERTISEMENTS Whether it is a serial in a regional satellite channel or a One Day International cricket match, there is a non-stop stream of advertisements, which clutter the commercial break. Well-established brands attempt to sustain brand recall while new ones try appealing to prospective consumers to get into their `consideration set. There are ads for children, housewives and youth. With advertising expenditure in the order of Rs. 8000 Crores per annum in the recent times and the proliferation of brands across categories, there is a strong need to consider the effectiveness of these advertisements. The idea is not to cease advertising but to consider how considering decisions would have to be considered with non-advertising alternatives. These non-advertising alternatives may also enable a brand to create and sustain consistent associations, which may be desirable in terms of long-term implications. A contemporary approach that creates a synergy between various aspects of a promotional mix (a dvertising included) provides a refreshing approach towards marketing communications. There may be several objectives of advertising and a promotional mix could be used in an innovative manner to address each of these objectives depending on the product category and target segment. Creating-brand-awareness When a new brand enters a category or creates a â€Å"new to the market† offering, it needs to create brand awareness. This would depend on whether the product is a consumable or a durable. The involvement level in a speci FMCG Market Analysis FMCG Market Analysis EXECUTIVE SUMMARY The FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. Penetration level as well as per capita consumption in most product categories like jams, toothpaste, skin care, hair wash etc in India is low indicating the untapped market potential. Burgeoning Indian population, particularly the middle class and the rural segments, presents an opportunity to makers of branded products to convert consumers to branded products. Growth is also likely to come from consumer upgrading in the matured product categories. With 200 million people expected to shift to processed and packaged food by 2010, India needs around US$ 28 billion of investment in the food-processing industry. Rapid urbanization, increased literacy and rising per capita income, have all caused rapid growth and change in demand patterns, leading to an explosion of new opportunities. Around 45 per cent of the population in India is below 20 years of age and the young population is set to rise further. Aspiration levels in this age group have been fuelled by greater media exposure, unleashing a latent  demand with more money and a new mindset. The importance of consumer sales promotion in the marketing mix of the fast moving consumer goods (FMCG) category throughout the world has increased. Companies spend considerable time in planning such activities. However, in order to enhance the effectiveness of these activities, manufacturers should understand consumer and retailer interpretations of their promotional activities so that appropriate differentiation can be used. Retailers stated that role of word of mouth and television advertising was very important in providing information inputs to the consumers regarding sales promotion activities. This perception of retailers was supported by the consumer unaided recall of sales promotion schemes which were widely advertised. The research concludes with the discussion of the results, managerial implications limitation of the study and future research directions. CHAPTER 1 INTRODUCTION I. ABOUT THE DISSERTATION INTRODUCTION Advertisements convey brand differentiation and this may be important in several categories, which consist of several brands. In FMCG products like tea, coffee and detergents, â€Å"differentiation awareness† can be created by television advertising, but in certain categories there may be a need to demonstrate the effectiveness of brands. Differentiation with which consumers cannot â€Å"connect† may have a negative implication and if a brand â€Å"connects† consumers with its differentiation, it is likely to also differentiate itself in terms of getting identified with the consumer. A detergent or a washing machine, which claims â€Å"low water consumption† has to demonstrate this claim at a retail outlet especially given the fact that the quality of water varies across areas even in a specific geographical region. It is also essential that a good â€Å"differentiation proposition† result in a positive word-of-mouth. In a certain situation, the company may have two offerings in a product-line and there is a need to differentiate them clearly depending on the target segments involved. This is a complex situation where differentiation decides the growth of the brand and the perceived difference between the offerings. An added layer to the complexity is the same brand name being used for the offerings. Fairness cream is a category in which the benefit is the fairness of the complexion. A brand like Fair and Lovely built over the years still has a strong association with the category but under tremendous pressure from competitive brands and the most important criteria which these brands is the herbal touch associated with them. Herbal ingredients are becoming popular with consumers in several categories and personal care in India has a strong tradition of herbal care. Fair and Lovely had to launch its herbal variant (it used the same brand probably because of the brand equity built up over the years) . The interesting fact is the differentiation being conveyed by advertising. The original version uses an aspiration route in which the brands ultimate benefit is success through confidence. Estimates based on Chinas current per capita Consumption, the Indian FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. The dominance of Indian markets by unbranded products, change in eating habits and the increased affordability of the growing Indian population presents an opportunity to makers of branded products, who can convert  consumers to branded products. Penetration level in most product categories like jams, toothpaste, skin care, hair wash etc in India is low. The contrast is particularly striking between the rural and urban segments the average consumption by rural households is much lower than their urban counterparts. Low penetration indicates the existence of unsaturated markets, which are likely to expand as the income levels rise. This provides an excellent opportunity for the industry players in the form of a vastly untapped market. Moreover, per capita consumption in most of the FMCG categories (including the high penetration categories) in India is low as compared to both the developed markets and other emerging economies. A rise in per capita consumption, with improvement in incomes and affordability and change in tastes and preferences, is further expected to boost FMCG demand. Growth is also likely to come from consumer upgrading, especially in the matured product categories. CHAPTER 2 I. LITERATURE REVIEW Impact of Effective Advertisement on Consumer Attitude Dr. F.R. Alexander Pravin Durai By going through this article I have come across some points which you should look upon. If you want to read the article it is present in the appendix. Following are some points:- Advertising is the only direct method which helps to reach masses of potential buyers. Advertising, being dynamic, changes with changing methods of distribution and consumption. In the present era of information explosion and media influence, these advertisements playa major role in changing the settled perception or thinking, which is otherwise called attitude, of the consumer and · also the consumption pattern of the society in general. Thus, the impact leads to cultural and social changes to a great extent. Why is there a need of advertising? Advertising is a way of communicating information to the consumer which enables him or her to compare and choose from the products and services available. Advertising is the most economical means by which a manufacturer or an Institutional body can communicate to an audience whether to sell a product or promote a cause of social welfare. Essentials of Effective Advertisement-the writer thinks that there are 4 important things for an advertisement to be effective. They are importance of claim, believable, uniqueness and repetition. The advertiser must constantly assess the situation to choose the right environment and ideal time for an advertisement to be launched. Some of the situations are as follows:- When there is a favorable primary demand of particular product. When there is a distinctive product differentiation from other competitive brands. When mass market is penetrated. In order to ensure that the advertisements reach the target consumers in a most effective way and gets right response from them, it has to be ensuring that such advertisements are presented in the right way. The following steps on the part of the consumer may ensure that the advertisements are on the right track. Getting attracted towards the advertisements. Listening and observing the contents of the advertisements in full. Continuous watching of the same over a period. Comparing the advertisements of similar products. Making a trial purchase as follow up activity. Assessing the level of utility of the product individually. Ascertaining the level of utility derived with other similar consumers. In the article Dr. Alexander Told about a model which exemplifies the attitude or response of a consumer to an advertisement. Techniques of advertising for Fast Moving Consumer Goods Dr. Archi Mathur- Assistant lecturer, Department of Management Studies, National Law University, Jodhpur Dr. HK Bedi- Professor, Dean, Department of Management Studies, National Law University, Jodhpur This article shows how an advertiser can use different techniques of advertisements to show FMCG products. The techniques are as follows: Value added ads- In addition to providing information about the product; Value-added advertising transforms a product into something more appealing to consumers than the physical object produced in the factory. Therefore, it is a missing link between brand attributes and the customer perception, between product features and need fulfillment, .between benefits and values. Comparative ads- the advertiser compares the 2 brands of the same product category. The ad can be copied as the Pepsi and sprite example in the case. They have used the same story but both have them had a different approach. Informative ads- these ads are used to provide information to the consumer about different products and services. Health and Hygiene ads- these ads show that the product is taking care of the consumers health. It is emphasizing of the physical attribute of the product. What does the product do? How does it help you? The ad tells you all. These are some of the techniques. Lifestyle ads- Another way to. nave an impact on the consumers mind is portraying the life-style of a successful person. Humorous ads- Humor in the advertisement is normally kept in order to create a light, jovial and likely kind of an atmosphere Demographic ads- these ads are meant for different segments based on age, sex etc. Farex Cereal Food for infants is an advertisement targeted directly towards the infants, as it comprises a healthy food for them. It is also targeted indirectly towards the mother. Packaging ads- Advertisement is trying to lure the customers to buy their products on the basis of the way they are brought in front of the consumers eyes ie. Packaging. Dabur has brought in different flavors in the market of fruit juice. E.g. Mango, Pineapple, Orange, Mixed Fruit Jete. All these are in different packages, i.e. 50 ml, 1000 ml, etc. They claim that unlike other juices, which have preservatives in them, these products are without preservatives. Hence, the punch line is Real Fruit Juice. Price ads- Marketers also lure the customers by showing in an advertisement that a product is available at a lesser price without any compromise on the standard. Cadbury India advertised the 5-Star chocolate by offering 30% more chocolate in its 5-Star bar for the same price. Celebrity ads- Celebrities are mainly used in the advertisement either to lure the rural people in buying a particular product or in forcing the young generation to buy the products. This is also called endorsement advertising.,{t is also used in portraying that a particular product is best inqtJality because a person who is also very well known in his/her field endorses it. The impact of these stars in advertisements enables the company to increase its sale. CHAPTER 3 I. RESEARCH METHODOLOGY II. RESEARCH OBJECTIVE The main objectives of the study are: 1. To assess current consumer sales promotion schemes in the market 2. To assess how consumers differentiate the products based on advertisements 3. To get an insight into retailers views regarding the schemes being offered in toilet soap category, and consumer perceptions 4. To study consumer perceptions regarding various schemes in this category and responses toward them. 5. To study the various methods of differentiation. 6. To analyze the methodology adopted by companies to target end consumers. 7. To address basic business questions like: Do companies have the right product/service to offer? How companies reach their customers? How the buying power can be created? To prepare new business strategies RESEARCH METHODOLOGY Methodology: Technique used for the survey is questionnaires, focus group discussions and interviews. In order to address the above questions an exploratory study was conducted. The idea was to probe and get deeper insight into sales promotion scenario in toilet soap market and to tap perceptions of retailers and consumers. In order to address above mentioned objectives (i) study of secondary sources was carried out, 10(ii) in-depth interview of six retailers was undertaken and 11(iii) structured questionnaire was designed to seek consumer responses. Convenience sampling was used for both retailers as well as consumer studies. Six retailers ranging from small kirana store to supermarket were approached. All the retailers were located in the Noida. The respondents for consumer study were postgraduate students in the age group of 19-24 belonging to middle and upper middle and upper class. The total respondents were 30 in number. They were residing in hostel or as PG hence sole decision-makers for t his category. Also this age-group being more experimental and likely to be more deal prone, so their perceptions, preferences would give some insights to companies planning sales promotions targeted at them. Scope and Limitations: The geographical scope of the study was restricted to the NOIDA city due to time and resource constraints. The study being exploratory in nature, the sample size was restricted to 30 consumers (student group) and 6 retailers. Focus being mainly on in-depth probing, the generalizations drawn are only indicative and not conclusive. CHAPTER 3 I. FMCG AN INTRODUCTION II. INDIAN CONTEXT III. MARKET OPPORTUNITIES IV. EVOLUTION AND CHARECTERSTICS FMCG -FAST MOVING CONSUMER GOODS BRIEF DECRIPTION OF INDIA FMCG MARKET MARKET OPPORTUNITIES IN FMCG: According to Estimates based on Chinas current per capita Consumption, the Indian FMCG market is set to treble from US$ 11.6 billion in 2003 to US$ 33.4 billion in 2015. The dominance of Indian markets by unbranded products, change in eating habits and the increased affordability of the growing Indian population presents an opportunity to makers of branded products, who can convert consumers to branded products. Penetration level in most product categories like jams, toothpaste, skin care, hair wash etc in India is low. The contrast is particularly striking between the rural and urban segments the average consumption by rural households is much lower than their urban counterparts. Low penetration indicates the existence of unsaturated markets, which are likely to expand as the income levels rise. This provides an excellent opportunity for the industry players in the form of a vastly untapped market. Moreover, per capita consumption in most of the FMCG categories (including the high penetration categories) in India is low as compared to both the developed markets and other emerging economies. A rise in per capita consumption, with improvement in incomes and affordability and change in tastes and preferences, is further expected to boost FMCG demand. Growth is also likely to come from consumer upgrading, especially in the matured product categories EVOLUTION:  § 1950s-80s Low Investment in the sector Low purchasing power Govts emphasis on small scale sector HLL and other companys urbane focus  § Post liberalization Entry of MNCs Focus shifted to getting to rural consumer first Others, like Nestle, remained with the urban population Latest fad to hit the market is the ‘sachet bug.  § Mushrooming of regional brands Nirma enters and changes the focus to ‘Value for Money in the 70s Post liberalization, Jyothi Laboratories, ‘Ghari Detergent and ‘Anchor toothpaste giving the nation-wide brands a run for their money. CHARECTERSTICS: FORECAST 2010:  § Rural and semi-urban  § 128 million population thrice the urban  § Market size growth from 48k to 100k Crores (Growth of 50% at 10%CAGR)  § Increase penetration from the current less than 1%  § Problems in the rural sector * Low per capita disposable incomes * Large number of daily wage earners * Acute dependence on vagaries of monsoon * Seasonal consumption * Poor infrastructure roads and power supply  § Urban  § Market 16.5k to 35k Crores (Growth of 100% at 20%CAGR)  § Intense competition severe pressure on margins Focus on newer products, such as fruit juices Source: Assocham Report ‘Future Prospects of FMCG CHAPTER 5 I. UNDERSTANDING DIFFRENTIATION II. TYPES OF DIFFRENTIATION III. THE INDIAN CONTEXT I. II. UNDERSTANDING DIFFERENTIATION: Differentiation is the process of adding a set of meaningful and valued differences that distinguish a companys offering from those of its competitors. Differentiation is strongest when it satisfies all of the following criteria: 1. Important: the difference delivers a highly valued benefit to a sufficient number of buyers 2. Distinctive: the difference can be delivered in a clear way 3. Superior: the difference is a better way of obtaining a benefit 4. Pre-emptive: the difference cannot be easily copied 5. Affordable: the buyer can afford to pay for the difference 6. Profitable: the company will earn a return by maintaining the difference BRAND loyalty in fast moving consumer goods categories is a topical issue, with several brands resorting to price cuts across categories. More importantly, price cuts or sales promotion by themselves do not seem to have done much for brands in terms of sustaining brand loyalty. They may attract consumers in the short run: consumers may stock the brands and consumers new to the brand may try it. But over a period of time, a brands value may get diluted in consumers psyche, and will eventually lose a strong base of consumers. The following are some aspects of marketing mix elements and consumer behavior which could contribute to brand loyalty. Product differentiation If the products are differentiated in their characteristics and this difference is perceivable, there are chances of brand loyalty being formed based on satisfaction with greater performance or fit of product with needs. In this case, loyalty is driven by functional or symbolic benefits. Functional benefits would be specific tangible features of the product whereas symbolic benefits would be intangibles such as brand personality and `hedonistic value of purchase. Price differentiation If the price differentiation in the market is perceivable, price-led loyalty might exist in the market. Price-led loyalty is practised by supermarkets, airline companies and FMCG brands, which come out with frequent sales promotions based on freebies. Alternatively, price might be taken as an indicator of brand quality, and the customer might go in for higher priced options. Price-led loyalty has to be carefully considered with other marketing mix elements and the consumer should never perceive dilution, especially in low-priced bands. Hence, lower prices should create a sense of value through the product offerings as well as through communication. Branding activity If the category is organized and there is branding activity, there will be greater loyalty than there would have been if the category were unorganized. Branding activities can differentiate between brands on name, symbol, images and associations. Branding activity in this context refers to creating strong associations which will influence the consumers not only with regard to functional attributes but also with symbolism. Hamam soaps portrayal of its pure ingredients with the child and mother imagery is a good example of one of these dimensions. Branding activities in a broad sense could range from advertising to sales promotion and public relations involving several aspects. III. The Indian context The following were the observations from the literature survey and the examples chosen from the Indian context. The factors indicate that there will be a large segment of consumers for whom price-led loyalty will dominate. Hence there will be strong behavioural loyalty in the segment and only weak attitudinal loyalty. There is thus spurious loyalty in this sector. There is a moderate level of symbolic and functional differentiation which has been exploited by strong brands to build a loyal following. Examples of this include brands such as Dove, Ponds Dreamflower talcum powder, Gold Flake, Wills Navy Cut, Amul and Cadbury. These brands have probably built strong attitudinal loyalty through their brand personality and other brand building efforts. In the FMCG sector, brand habit is high whereas attitudinal loyalty is low. As creating attitudinal loyalty based on functional differentiation is difficult, symbolic differentiation is the key. Building strong brand personalities and associated symbolic benefits is important for crafting customer loyalty. The factors discussed cannot be treated in isolation: they are to provide a synergy to result in brand loyalty. The combination of these factors and the timing of the combination is the topical challenge which marketers face in an environment where loyalty is slowly eroding. Local challengers Some of the most successful FMCG brands in 2002 came, not from the stables of a Hindustan Lever and a Colgate, but from obscure regional players such as Kaleesuwari Refineries, Parakh Foods, Anchor Switchboards and Kanpur Detergents. Over the past couple of years, brands such as Gold Winner and Gemini in refined oils, Anchor White in toothpastes and Ghari in detergents have managed to sustain double digit growth rates, even as the market leaders have struggled to hold on to single digit growth rates for their brands. Yes, the comparison is unfair, as the local brands had a minuscule base to start with. But these brands have demonstrated it is not impossible for a new challenger to break into the traditional bastion of one or two large FMCG players. Traditionally, large FMCG categories in India have been dominated by just one or two players, who rule the roost by dint of their sheer financial muscle and distribution reach. But, of late, successful regional brands have been finding chinks in their armour. And how! Aggressive pricing In the edible oils market, as national players were forced to hike their selling prices in response to rising commodity prices, both Gemini and Gold Winner have used aggressive pricing to woo consumers away from the national brands. Packed tea too, has seen similar trends. The limited differentiation in grocery and the flexibility offered by a restricted area of operations have stood these companies in good stead. Anchor White, among the few debutants in the toothpaste market to garner a significant share, first wooed the retail trade with high distribution margins, and then used rock-bottom prices to lure consumers into trying the product. Though none of these companies can match the market leaders in adspend, they have used focused regional and local advertising to draw consumers attention to their brands. The mushrooming of local and regional media has undoubtedly helped the local players milk the most from their ad budgets. Banking on `power brands While the local brands have been adding to their brand portfolios, the market leaders have largely stayed off new product launches. In keeping with its power brand strategy, Hindustan Levers marketing strategies in 2002 revolved around rejigging and relaunching established brands such as Lifebuoy, Rin, Surf and Vim. The company phased out brands such as Sunlight in detergents, and Jai in toilet soaps, so as to focus better on its 30 power brands. The strategy appears to have worked, as brands such as Lifebuoy and Rin have moved into a higher growth trajectory after the relaunch. In fact, HLLs power brand strategy has found a few followers in the FMCG market, with companies such as Godrej Consumer also announcing plans to focus on a clutch of key brands. Streamlining and spend While the power brand strategy has helped the leading players put their marketing prowess behind their most important brands, it has not really helped them save on ad spend. For most FMCG companies, advertising and promotion spends in 2002 grew faster than their sales. In high penetration categories such as soaps, detergents and toothpastes, marketing efforts of the players revolved around persuading existing consumers to use more of the product or to upgrade to a higher-priced brand. The slew of 100 gm free for every 150 gm offers in toothpastes and the series of promos on the 2 kg packs of premium detergents were both intended to induce existing consumers of a product to pep up their usage of the brand. Companies operating in relatively low-penetration categories such as chocolates, shampoos and skin creams tailored their marketing strategies to bringing in new users, through scaled-down versions of their brands in affordable pack sizes. The low-priced Chocostik, a liquid chocolate in a small-sized pack, launched by Nestle India, has helped pep up the companys topline and is now a large contributor to the companys revenues. Nestle India is now trying out a similar small-sized Rs 5 pack for Maggi noodles. Shampoos have been among the few FMCG categories to register a positive growth rate in 2002, and growth in this category has been driven mainly by sachet packs and by scaled-down 50 ml bottles priced at less than Rs 10. Overall, the FMCG slowdown of the past three years has served a useful purpose. At one level, it has made sure that the dominant players in the market no longer enjoy unlimited pricing power, as they have in the past. There now appears to be a greater effort on the part of the players to hold selling prices and look at their own operations to save on cost. At another level, the emergence of the regional challengers has made sure that consumers of FMCG products have a few more choices in their purchases of essentials. Is selling soap the same as selling a TV? It isnt. The difference is how the particular product is sold and more importantly, how is it distributed. India is a unique market, where the manufacturers who deliver products at the doorstep, which is the ideal way to deliver anything, spoil our consumers. We have an extremely evolved distribution mechanism for most products. Different products are sent to the consumer differently. Depending on the number, the price of the product and the complexity of the selling process, they may vary from direct selling to selling through a channel that may have as many as four levels between the manufacturer and the consumer. A look at a few of them will show what it means to be a sales person of that product. Most FMCG (fast moving consumer goods) products are not hard-sold to the end consumers. Sales are built up largely by pull a technique using advertising and consumer promotion. The sell-in happens to the trade i.e. to various members of the distribution channel the CarryingForwarding/Super-stockist, the distributor, the wholesaler and most importantly the retailer, who is the interface with the end-consumer. This chain forms the most important link in getting the product economically to the consumers doorstep. A large MNC in the FMCG industry may be covering as many as 1 million outlets across the country with the help of thousands of distributors. Even a mid-sized company covers at the least 1 lakh outlets. Factoring in the vagaries of operating in more than 25 different states, each with its own sales tax complexities, different consumer needs, differences in the distribution structure, not forgetting differing octroi structures within a state, distribution is extremely complex in India. If the sell-in does not happen to this channel for whatever reason or is sub- optimal, a product is likely to fail. CHAPTER 3 I. UNDERSTANDING ADVERTISEMENT II. UNDERSTANDING SALES- PROMOTION III. CREATING DIFFRENTIATION THROUGH ADVERTISEMENT IV. PROBLEMS FACED BY MARKETERS I. UNDERSTANDING ADVERTISEMENTS Whether it is a serial in a regional satellite channel or a One Day International cricket match, there is a non-stop stream of advertisements, which clutter the commercial break. Well-established brands attempt to sustain brand recall while new ones try appealing to prospective consumers to get into their `consideration set. There are ads for children, housewives and youth. With advertising expenditure in the order of Rs. 8000 Crores per annum in the recent times and the proliferation of brands across categories, there is a strong need to consider the effectiveness of these advertisements. The idea is not to cease advertising but to consider how considering decisions would have to be considered with non-advertising alternatives. These non-advertising alternatives may also enable a brand to create and sustain consistent associations, which may be desirable in terms of long-term implications. A contemporary approach that creates a synergy between various aspects of a promotional mix (a dvertising included) provides a refreshing approach towards marketing communications. There may be several objectives of advertising and a promotional mix could be used in an innovative manner to address each of these objectives depending on the product category and target segment. Creating-brand-awareness When a new brand enters a category or creates a â€Å"new to the market† offering, it needs to create brand awareness. This would depend on whether the product is a consumable or a durable. The involvement level in a speci