Consumer Beahviour and Perception of Women Towards Lakme
Consumer Beahviour and Perception of Women Towards Lakme
Consumer Beahviour and Perception of Women Towards Lakme
TOWARDS LAKME
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PROJECT REPORT
NAME OF THE ORGANISATION
PLACE
: BADI, SOLAN
FIELD OF STUDY
:Marketing
TOPIC OF RESEARCH
SUBMITTED BY:
SAPNA SOOD
98/08
MBA
ACKNOWLEDGEMENT
I would like to extend my sincere thanks to my advisor, Ms. Neha for providing me with
continuous support and guidance which was vital for the successful completion of the
project. I would like to take this opportunity to express my gratitude to my project guide,
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Name : NEHA
(Project supervisor)
INDEX
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CHAPTER
PAGE NO
1.EXECUTIVESUMMARY...........6-7
2. INTRODUCTION TO CONSUMER BEHAVIOUR.......8-14
a). CONSUMER BEHAVIOUR...8
b). BLACK BOX MODEL......9
c). SELECTIVE PERCEPTION MODEL.....10
d). FACTORS WHICH INFLUENCE CONSUMER BEHAVIOUR.11-14
3. INTRODUCTION TO PERCEPTION...15-19
a). WHAT IS PERCEPTION, DEFINITION, FEATURES15
b). PERCEPTUAL PROCESS16
c). PERCEPTUAL SELECTIVITY...17-18
d). PERCEPTUAL ORGANISATION...19
4. REVIEW OF LITERATURE ..20
5. INTRODUCTION TO COSMETIC INDUSTRY IN INDIA..21-25
6. INTRODUCTION TO HINDUSTAN UNILEVER PRIVATE LIMITED26-28
a). INTRODUCTION OF HUL26
b). HISTORY....27
c). COMPETITORS.....28
7. INTRODUCTION TO LAKME UNILEVER PRIVATE LIMITED.29-35
a). INTRODUCTION, KEY FACTS AND VISION....29
b). PURPOSE AND PRINCIPLES.30
c). CODE OF BUSINESS PRINCIPLES.31-32
d). LAKMES POSITIONING IN TERMS OF PERSONALITY..33-34
e). HOW LAKME IS INFLUENCING ITS CONSUMERS?......................35
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EXECUTIVE SUMMARY
a).
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Cosmetics and toiletries are not just the domain of women any longer and Indian men
too are increasingly taking to the use of more and more body sprays, perfumes and
other cosmetics and toiletries. With rising demand from men, the Indian market is
getting enlarged and many players are coming out with cosmetic products especially
skin care products for men. Globalization will certainly increase cosmetic products
penetration and all professionals shall equip themselves to exploit opportunities offered
by this sector.
The consumers are the largest economic group in any country and the present day
business activities are because of consumers only. Thus, consumers are the pillars of
the economy. The consumers are not only the heart of marketing system, but also the
controller of marketing functions. But it the modern marketing system consumers
sovereignty has become a myth on account of the variety of problems in the process of
merchandising. The study of consumer behavior enables marketers to understand and
predict consumer behavior in the market place; It also promote understanding of the
role that consumption plays in the lives of individual.
This gives me an opportunity to work on with this endeavor focusing on the
Consumer behavior and perception of women towards cosmetics with special reference
to the Lakmes cosmetics products. The primary objective of the study is to understand
the consumer behavior and perception of women by studying the awareness of the
financial products within the consumers and the number of consumers who take the
products from Lakme.
The introductory chapter gives and insight to the cosmetic industry. It briefly explains
about the history of cosmetic sector. It also contain the organizational profile of Lakme,
stating about its mile stones, vision, products, protection solutions, advertising
effectiveness and finally about its marketing strategies and challenges.
The second chapter gives a glimpses idea about the area of dissertation i.e. theoretical
background of the study. This part clearly explains the theoretical part of consumer
behavior in general. It also includes statement of the problem, need and impotents of
the present study and focal objectives of the dissertation undertaken. The third chapter
explains about literature review. It briefly describes what all are the information source
for the present study and what benefits has derived from the reference of those
literatures.
Next part explains about the research methodology. With the basic understanding of the
study research design was formulated. To collect the data, questionnaires was
prepared.
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The necessary data were collected through personal interviews and interaction with
users of Lakme products. This chapter specifically explains about the type of research,
sample technique, sample size, actual collection of data and the tools used for the
testing of hypothesis.
The last but one chapter contains the analysis and interpretation of data collected. The
collected data was coded through tally bars and presented in percentage wise and
depicted in the form of graphical representation. It also includes the hypothesis test
about the overall result of the present study.
The last chapter is entirely the exploration of the research study giving all respondents
opinion in nutshell as findings i.e. stating that around percentage of customers behave
positively towards the Lakme,s products. The dissertation ends up with the suggestions
in order to modify the current system for a higher growth and progress.
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Consumer behaviour is the study of when, why, how, and where people do or do not
buy product. It blends elements from psychology, sociology, social anthropology and
economics. It attempts to understand the buyer decision making process, both
individually and in groups. It studies characteristics of individual consumers such as
demographics and behavioural variables in an attempt to understand people's wants. It
also tries to assess influences on the consumer from groups such as family, friends,
reference groups, and society in general.
Customer behaviour study is based on consumer buying behaviour, with the customer
playing the three distinct roles of user, payer and buyer. Relationship marketing is an
influential asset for customer behaviour analysis as it has a keen interest in the rediscovery of the true meaning of marketing through the re-affirmation of the importance
of the customer or buyer. A greater importance is also placed on consumer retention,
customer relationship management, personalisation, customisation and one-to-one
marketing. Social functions can be categorized into social choice and welfare functions.
Each method for vote counting is assumed as a social function but if Arrows possibility
theorem is used for a social function, social welfare function is achieved. Some
specifications of the social functions are decisiveness, neutrality, anonymity,
monotonocity, unanimity, homogeneity and weak and strong Pareto optimality. No social
choice function meets these requirements in an ordinal scale simultaneously. The most
important characteristic of a social function is identification of the interactive effect of
alternatives and creating a logical relation with the ranks. Marketing provides services in
order to satisfy customers. With that in mind, the productive system is considered from
its beginning at the production level, to the end of the cycle, the consumer.
Belch and Belch define consumer behaviour as 'the process and activities people
engage in when searching for, selecting, purchasing, using, evaluating, and disposing of
products and services so as to satisfy their needs and desires'.'
Environmental Buyer
Stimuli
characteristics
economic
attitudes
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Marketing
Stimuli
Product
The black box model considers the buyers response as a result of a conscious, rational
decision process, in which it is assumed that the buyer has recognized the problem.
However, in reality many decisions are not made in awareness of a determined problem
by the consumer.
Information search
Once the consumer has recognised a problem, they search for information on products
and services that can solve that problem. Belch and Belch (2007) explain that
consumers undertake both an internal (memory) and an external search.
The relevant internal psychological process that is associated with information search is
perception. Perception is defined as 'the process by which an individual receives,
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Sub Culture :-
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A group of people with shared value systems based on common life experiences and
situations.
Each culture contains smaller sub cultures a group of people with shared value system
based on common life experiences and situations. Sub culture includes nationalities,
religions, racial group and geographic regions. Many sub culture make up important
market segments and marketers often design products.
Social Class:Almost every society has some form of social structure, social classes are societys
relatively permanent and ordered divisions whose members share similar values,
interests and behaviour.
02. Social Factors :A consumers behaviour also is influenced by social factors, such as the (i) Groups (ii)
Family (iii) Roles and status
Groups :Two or more people who interact to accomplish individual or mutual goals.
A persons behavious is influenced by many small groups. Groups that have a direct
influence and to which a person belongs are called membership groups. Some are
primary groups includes family, friends, neighbours and coworkers. Some are
secondary groups, which are more formal and have less regular interaction. These
includes organizations like religious groups, professional association and trade unions.
Family:Family members can strongly influence buyer behaviour. The family is the most
important consumer buying organization society and it has been researched
extensively. Marketers are interested in the roles, and influence of the husband, wife
and children on the purchase of different products and services.
Roles and Status :A person belongs to many groups, family, clubs, organizations.
The persons position in each group can be defined in terms of both role and status.
03. Personal Factors :-
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It includes
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Age and life cycle stage (ii) Occupation (iii) Economic situation (iv) Life Style (v)
Personality and self concept.
Age and Life cycle Stage:People changes the goods and services they buy over their lifetimes. Tastes in food,
clothes, furniture, and recreation are often age related. Buying is also shaped by the
stage of the family life cycle.
Occupation :A persons occupation affects the goods and services bought. Blue collar workers tend
to buy more rugged work clothes, whereas white-collar workers buy more business
suits. A Co. can even specialize in making products needed by a given occupational
group. Thus, computer software companies will design different products for brand
managers, accountants, engineers, lawyers, and doctors.
Economic situation :A persons economic situation will affect product choice
Life Style :Life Style is a persons Pattern of living, understanding these forces involves measuring
consumers major AIO dimensions. i.e. activities (Work, hobbies, shopping, support etc)
interest (Food, fashion, family recreation) and opinions (about themselves, Business,
Products)
Personality and Self concept :Each persons distinct personality influence his or her buying behaviour. Personality
refers to the unique psychological characteristics that lead to relatively consistent and
lasting responses to ones own environment.
04. Psychological Factors :It includes these Factors.
i)
Motivation :-
Perception :-
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Motive (drive) a need that is sufficiently pressing to direct the person to seek satisfaction
of the need
The process by which people select, Organize, and interpret information to form a
meaningful picture of the world.
Learning:Changes in an individuals behaviour arising from experience.
Beliefs and attitudes :Belief is a descriptive thought that a person holds about something
Attitude, a Persons consistently favourable or unfavourable evaluations, feelings, and
tendencies towards an object or idea
INTRODUCTION TO PERCEPTION
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Human beings may differ because of their differences & uniqueness. People often see
the same situation/ phenomenon differently within the organization & outside the
organization. For example: when there is an accident in the factory, the supervisor may
treat it as the carelessness of worker while the worker may treat it as lack of adequate
provision of security measures. Thus the situation remaining the same, cause has been
assigned differently by different group of people. In order to understand why people see
the same situation differently, one has to understand PERCEPTION & its different
aspect.
WHAT IS PERCEPTION ?
Perception is a congnitive process. Cognition is basically bit of information; cognitive
process involves the way in which people process/understand that information.
Perception process involves selecting, organising and interpreting the stimulus. Thus
perception is the process selecting, organizing and interpreting or attaching meaning to
the events happening in the environment. However, what one can perceive can be
different from objective reality. Their need not be but there is often, disagreement. For
example: its possible that all the employee in a firm may view it as a great place to work
favorable working conditions, interesting job assignment, good pay and excellent benefit
but as most of us know, its very unusual to find such agreement.
DEFINITION
PERCEPTION may be defined as a process by which individual organize and interpret
their sensory impression in order to give meaning to their environment.
FEATURES OF PERCEPTION
Perception is the intellectual process through which a person selects the data
from the environment, organizes it, and obtains meaning from it.
Perception is a psychological process also. The manner in which people perceive
the environment affects his behavior.
Perception, being an intellectual and psychological process, becomes a
subjective process and different people may perceive the same environmental
event differently.
PERCEPTUAL PROCESS :
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Review of Literature
When consumers perceive an advertisement for a certain brand as promoting
another, it is not only ineffective, but even counterproductive (Kamen, 1987;
Poiesz and Verhallen, 1989): it produces an effect that the advertiser specially
wants to avoid.
Therefore, perception, although seldomly studied, is a phenomenon that has an
impact over its consumers, and researchers. unremitting attention, and measures
of consumer behavior and perception should be added to the more conventional
measures to increase the sales of a product(Poiesz and Verhallen, 1989).
Consumer behavior is studied so that we can come to know that how perception
and attitude of a person decides that what should be the buying pattern of the
consumers (Poiesz and Verhallen, 1989).
A. Sengupta and Noopur Agrawal
Not only the consumer behavior but the perception of consumers, may be the
subject of people buying the products of lakme (Poiesz and Verhallen, 1989).
Correct identification and confusion are not perfectly related. It is possible that the
recipient of the message cannot attribute any particular brand to an advertising
message, in which case he/she is not really confused, but simply does not have
any idea.
A consumer confusing brands thinks he/she recognises the brand. Depending
upon what is the perception of the consumers, it can be positive or negative.
(Hcker and Verhallen, 1988; Poiesz and Verhallen, 1989). Negative perception
refers to the extent to which the respondents will not buy the product. Positive
brand perception refers to the degree to which the other respondents are willing
to buy the product. Positive Brand perception is an advantage for a brand.
Negative brand perception may be a threat to a clear positioningof the product
amongst the women.
Brengman et al. (2001) found that Consumers most vulnerable to brand
perception generally have higher level of knowledge about the products which
they are using.
Products are becoming more and more objectively similar with respect to their
functionality and product presentation (Poiesz and Verhallen, 1989). Ha (1996)
refers to the degree of similarity and proximity of advertisements. (De Pelsmacker
and Geuens, 1997a).the more the proximity the more consumers are prone to buy
the products.
Successful advertising techniques get imitated and waves of similar advertising
arise. It can be expected that a higher DOSS leads to more brand confusion. In
parallel, similarity in visual appearance of products has also been found to be a
major reason for confusion in advertising (Loken and Ross, 1986; Ward and
Loken, 1986).
Furthermore, in a study of brand perception of consumers cited the product or the
packaging. as a primary reason for recognition and buying of the product. (De
Pelsmacker and Van Den Bergh, 1997b).
INTRODUCTION TO COSMETICS INDUSTRY IN INDIA
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Lakme is the Indian womans Beauty Sutra inspiring expression of her unique beauty
and sensuality.Lakme brings expert products and services that are borne out of true
understanding of the needs of the Indian woman. They help the Indian woman in
expression of her best self sensual, original, expressive, alive and intuitive. Lakme
inspires her to unleash the potency of her femininity, beauty and sensuality
Key facts
Lakme was the first major beauty brand in India and takes pride in being the expert on
Indian Beauty for over 50 years. It is complete beauty brand spanning colour cosmetics,
skin care & hair styling products and extending to beauty services through the network
of Lakme Beauty Salons. Its bond with beauty and fashion is manifested through the
Lakme Fashion Week, which is now the largest fashion event of its kind in the country.
Lakme has a foot print of over 1200 assisted sales outlets, which is the largest span of
outlets with Beauty Advisors in the country.
Our vision
Unilever products touch the lives of over 2 billion people every day whether that's
through feeling great because they've got shiny hair and a brilliant smile, keeping their
homes fresh and clean, or by enjoying a great cup of tea, satisfying meal or healthy
snack.
A clear direction
The four pillars of our vision set out the long term direction for the company where we
want to go and how we are going to get there:
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Our corporate purpose states that to succeed requires "the highest standards of
corporate behaviour towards everyone we work with, the communities we touch, and
the environment on which we have an impact."
Conducting our operations with integrity and with respect for the many people,
organisations and environments our business touches has always been at the heart of
our corporate responsibility.
Positive impact
We aim to make a positive impact in many ways: through our brands, our commercial
operations and relationships, through voluntary contributions, and through the various
other ways in which we engage with society.
Continuous commitment
We're also committed to continuously improving the way we manage our environmental
impacts and are working towards our longer-term goal of developing a sustainable
business.
Our corporate purpose sets out our aspirations in running our business. It's underpinned
by our code of business Principles which describes the operational standards that
everyone at Unilever follows, wherever they are in the world. The code also supports
our approach to governance and corporate responsibility.
We want to work with suppliers who have values similar to our own and work to the
same standards we do. Our Business partner code, aligned to our own Code of
business principles, comprises ten principles covering business integrity and
responsibilities relating to employees, consumers and the environment.
A vitality mentality
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Unilever's mission is to add Vitality to life. We meet everyday needs for nutrition,
hygiene and personal care with brands that help people feel good, look good and get
more out of life. Our deep roots in local cultures and markets around the world give us
our strong relationship with consumers and are the foundation for our future growth. We
will bring our wealth of knowledge and international expertise to the service of local
consumers a truly multi-local multinational. Our long-term success requires a total
commitment to exceptional standards of performance and productivity, to working
together effectively, and to a willingness to embrace new ideas and learn continuously.
Code of business principles
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Business partner code There shall be compliance with all applicable laws and
regulations of the country where operations are undertaken. There shall be respect for
human rights, and no employee shall suffer harassment, physical or mental punishment,
or other form of abuse. Wages and working hours will, as a minimum, comply with all
applicable wage and hour laws, and rules and regulations, including minimum wage,
overtime and maximum hours in the country concerned .There shall be no use of forced
or compulsory labour, and employees shall be free to leave employment after
reasonable notice .
There shall be no use of child labour, and specifically there will be compliance with
relevant ILO standards .There shall be respect for the right of employees to freedom of
association* .Safe and healthy working conditions will be provided for all employees .
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8. Lakme sun expert (sunscreen): sun safe hamesha! (face the sun with a smile)
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: baddi
State
:HIMACHAL PRADESH
Status
: Private
Telephone number
: -+91 2222870622
: info@lakmelever.com
Website
: http://lakmeindia.com
: Mr.Anil chopra
: Richa puranesh- marketing manager
Mobile no
: 912222850552
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RESEARCH METHODOLOGY
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Research methodology is a careful investigation for inquiring in a systematic method and finding
solution of a
problem. It comprises the defining and redefining of problem formulating hypothes
collection and evaluating data, making detection and reaching conclusion. This research consists o
following element.
OBJECTIVE OF STUDY
SOURCES OF DATA
RESEARCH DESIGN
SAMPLING DESIGN
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SOURCES OF DATA
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Primary data are those collected by the investigator himself for the first time and thus they are origin
in character, they are collected for a particular purpose. A wellstructured questionnaire was persona
administrated to the selected sample to collect the primary data.
Secondary Source of Data
Secondary data are those, which have already been collected by some other persons for their purp
and published. Secondary data are usually in the shape of finished products. External Data, was
generated from magazines, research books and internet (websites).
RESEARCH DESIGN
The study was conducted as an exploratory sampling survey method to collect primary and second
data.
SAMPLE SIZE Sample size denotes the number of elements selected for the study. For the presen
study, 100 respondents were selected at random. All the 100 respondents were the customers of on
or another cosmetic industry. Out of these 100 respondents 60 were specifically Lakme customers.
SAMPLE DESCRIPTION The respondents of this dissertation was 100 cosmetics users of differen
cosmetics companies in general, out of which 60 respondents were the users of Lakme in particula
as the dissertation was focused on the consumer behavior and perception of users towards the
cosmetic products with special reference to Lakme. The respondents were personally contacted for
the purpose of the study. A questionnaire was used for survey and was answered by the customers
different life insurance companies. Most of the respondents were in age group of 18-20; which was
having a frequency of 68, 14 respondents were in the age group of 21-24, 10 respondents were in t
age group of 24-29 and 8 respondents were more than 30 years. According to gender wise, all were
female respondents. Nearly half of the respondents were students and a big chunk of the rest was
employed women.
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LIMITATION OF STUDY
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1. An underlying assumption for the entire project is that the details and the feedback received from
the population is true.
2. It was difficult to find respondents as they were busy in their schedule, and collection of data was
very difficult. Therefore, the study had to be carried out based on the availability of respondents.
3. Some of the respondents were not ready to fill the questionnaires and some of them were not rea
to come out openly.
TESTING OF HYPOTHESIS
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The test of hypothesis begins with an assumption about the population from which the sample is
drawn. According to Prof.Morris Ham bury, A hypothesis is simply a quantitative statement about a
population. Hypothesis testing deals with a procedure, which accepts or rejects the hypothesis.
Hypotheses are of two types:
1. Null Hypothesis
2. Alternate Hypothesis
Null Hypothesis
The null hypothesis is a very useful tool in testing the significance of difference. It states that there i
no real difference in the sample value and population value in the particular value under considerat
This means that the observed difference is due to the random fluctuations. The null hypothesis is
denoted by Ho.
Alternate Hypothesis As against the null hypothesis the alternative hypothesis specify those value
that the researcher believes to hold true, and he hopes that the sample data lead to acceptance of
hypothesis as true.
Types of Errors When a statistical hypothesis is tested there are four possibilities:
1. The hypothesis is true but the test reject it (Type 1 error)
2. The hypothesis is false but the test accepts it (Type 11 error).
Level of Significance Confidence with which the null hypothesis is accepted or rejected depends o
what is called significant level. The probability, with which we may reject a null hypothesis, when it i
true, is called the level of significance. Therefore the level of significance is the risk, statisticians
running in his decision. The level of significance is denoted by a. It is better to keep level of
significance at a low percentage. It means that we should not reject a true hypothesis.
Acceptance Region This represents the region with which the calculated value of the statistics mu
lie to accept the null hypothesis. If calculated value lies in this region then the null hypothesis will be
rejected.
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1. Set up a null hypothesis (Ho) and alternative hypothesis (H1) appropriate to the test to be
conducted.
2. Specify the suitable level of significance.
3. Decide the test criterion suitable to the test statistics
4. Calculate the value of the test statistics using the appropriate formula
5. Make decisions about accepting or rejecting the null hypothesis. If calculated value is less than
tabulated value, Ho is accepted, else, HA is accepted by rejecting Ho.
Tools used for testing of hypothesis
Chi- square Test: It is a non- parametric test. It describes the magnitude of discrepancy between
observed value and expected value. Higher the value of Chi-square y 2, greater the discrepancy
between the observed values from sample to sample. It is a statistic whose value is always positive
and varies from zero to infinity. It is the sum of difference between the expected value and observed
value. This distribution is a limiting approximation of multinomial distribution with g as the mean and
(nu) as the variance of the distribution. The test depends on the set of observed and expected valu
and the degree of freedom g (nu). It is a continuous distribution, which can be applied to discrete
random variables.
Degree of Freedom (DOF)
It is the number of classes to which the values can assigned arbitrarily with out violating the
restrictions or limitations placed. It is calculated using the following formulae.
DOF = (r- 1)* (c 1) where r is the no: of rows
C is the no: of columns DOF = (n-1), where n is the no: pairs of observed and expected values.
Condition for Applying Chi-square Test:
The total sample size must be reasonably large.
No theoretical cell frequency should be less than 5. In case, the cell frequency is less
than 5, then Yates correction factor will be applied.
The constraints on the cell frequency, if varies, should be linear.
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It is used as a test of independence of attributes. This test brings association, if any, between
the attributes.
It is used as a test of goodness of fit. In other words, it tests whether the given set of
observation will fit in to the distribution (normal, binomial etc)
It is used as a test of homogeneity. In other words, it tests whether a set of readings are mor
uniform or non-uniform. So with this test we can determine whether two or mor independent
random samples are drawn from the same population or not.
1. An underlying assumption for the entire project is that the details and the feedback received from
the population is true.
2. It was difficult to find respondents as they were busy in their schedule, and collection of data was
very difficult. Therefore, the study had to be carried out based on the availability of respondents.
3. Some of the respondents were not ready to fill the questionnaires and some of them were not rea
to come out openly.
TEST OF HYPOTHESIS
Whether the consumers are satisfied with cosmetic products and services of Lakme company.
CUSTOMER
SATISFACTION
SATISFIED
DISSATISFIED
TOTAL
COSMETIC
PRODUCTS
53
7
60
SERVICES
TOTAL
48
12
60
101
19
120
HYPOTHESIS:
Ho : consumers are satisfied.
Ha: consumers are not satisfied.
Level of significance: 5%
Degree of freedom ( DOF): (R-1) (C-1) = (2-1) (2-1) = 1
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Tab=7.88
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EXPECTED VALUE
(E)
50.5
9.5
50.5
9.5
(O-E)*2
(O-E)*2/E
5
-5
-5
5
0.099
0.526
0.099
0.526
1.25
Cal = 1.25
Tab = 7.88
Conclusion and Interpretation:
Since, the calculated value (cal) is lesser than tabulated value ( tab), null hypothesis (Ho) i
accepted, i.e. alternate hypothesis (Ha) is rejected. It means consumers are satisfied products and
services of LAKME.
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FREQUENCY
20
60
15
05
PERCENTAGE
20%
60%
15%
5%
lakme
loreal
garnier
lotus
Out of the 100% population only 20% ladies are using loreal.
Out of 100%of population only 60% of ladies are using Lakme.
Out of 100% of population only 15% of the ladies are using garnier.
Out of 100% of population only 5% of the ladies are using lotus.
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FREQUENCY
12
20
10
58
PERCENTAGE
12%
20%
10%
58%
makeup
skin care
hair care product
body care product
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3. Do you think that your product provides you with an option of healthy and long lasting harmless
Table showing the number of people who think that think that their product provides them with an
option of healthy and long lasting harmless Makeup
particulars
Yes
No
May be
Not sure
Frequency
58
20
17
5
PERCENTAGE
58%
20%
17%
5%
graph showing the number of respondents who think that their cosmetics are healthy
4.5
4
3.5
Series 1
3
2.5
2
1.5
1
0.5
0
no
not sure
may be
yes
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4. What is the reason that motivates you to use the products of a particular company?
Table showing the reasons that motivates the respondents to buy particular product.
PARTICULARS
ECONOMICAL
TRENDSETTER
MEASURABLE RESULTS
EASILY AVAILABLE
FREQUENCY
35
20
28
17
PERCENTAGE
35%
20%
28%
17%
ECONOMICAL
TRENDSETTER
MEASURABLE
EASILY AVAILABLE
5.
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Table showing that how much the respondents invest in the buying of cosmetics.
PARTICULARS
Below Rs. 500
Rs. 500 Rs. 1000
Rs. 1000- Rs. 2000
Rs. 2000 and above
FREQUENCY
68
12
14
6
PERCENTAGE
68%
12%
14%
6%
Series 1
Rs. 500
0.5
1.5
2.5
3.5
4.5
6.
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Table showing that how many respondents find their cosmetics to be economical.
PARTICULARS
YES
NO
MAY BE
NOT SURE
FREQUENCY
49
30
11
10
PERCENTAGE
30%
11%
10%
chart showing the respondents who find their cosmetics economic or less economic
yes
no
may be
not sure
49 respondents out of 100 respondents believe that their cosmetics are economical.
30 resondents out of 100 respondents believe that their cosmetics are not economical.
11 respondents out of 100 respondents say that not all the products are economical.
10 respondents out of 100 respondents are not at all sure of economic reliability of their
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cosmetics.
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7. If you are being asked to choose amongst one of the best product that you use, what would that
be?
Table showing the best cosmetic product of the respondents of their brand .
PARTICULARS
SUNSCREEN LOTION
HAIR BOUNCERS CREME
MOISTURIZERS
LIP GLOSS
FREQUENCY
59
15
9
17
PERCENTAGE
59%
15%
9%
17%
sunscreen lotion
hair bouncers crme
lip gloss
moisturizers
59 respondents out of 100 respondents found sunscreen lotion to be the best product.
15 respondents out of 100 respondents found hair bouncers crme to be the best product.
9 respondents out of 100 respondents found moisturizers to be the best product.
17 respondents out of 100 respondents found lip gloss to be the best product.
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43
FREQUENCY
32
14
44
20
PERCENTAGE
32%
14%
44%
20%
graph showing the most appreciated services provided by the cosmetic company
facial/ massgae
hair sevicing
Series 1
Category 2
steam bath
0.5
1.5
2.5
3.5
4.5
44
FREQUENCY
2O
18
12
1O
PERCENTAGE
33.33%
30%
20%
16.66%
45
Page
CHART SHOWING THE REASON WHICH MOTIVATES RESPONDENTS TO BUY LAKME PRODUCTS
measurable results
economical
easily available
trend setter
Table showing the lakme cosmetic in which the maximum investment is done by respondents.
PARTICULARS
SUNSCREEN LOTION
HAIR BOUNCERS CREME
MOISTURIZERS
LIP GLOSS
FREQUENCY
34
9
5
12
PERCENTAGE
56.66%
15%
8.33%
20%
46
Page
Series 2
2
1.5
1
0.5
0
hair bouncer and shiner crme
moisturizers
34 respondents out of the total 60 lakme respondents spend maximum money in sunscreen
lotion.
9 respondents out of the total 60 respondents spend maximum money in hair bouncers crm
5 respondents out of the total 60 lakme respondents spend maximum money in moisturizers
12 respondents out of the total 60 respondents spend their maximum money in lip gloss.
11.what is your level of information on Lakme as a brand?
Table showing the level of information of respondents on Lakme as a brand.
PARTICULARS
EXCELLENT
GOOD
MODERATE
FREQUENCY
14
28
10
PARTICULARS
23.33%
46.66%
16.66%
13.33%
Page
BAD
47
good
excellent
moderate
bad
14 respondents out of 60 lakme respondents had excellent knowledge about lakme as a bra
28 respondents out of 60 lakme respondents had good knowledge about lakme as a brand.
10 respondents out of 60 lakme respondents had moderate knowledge about lakme as a bra
8 respondents out of total 60 respondents had bad knowledge about lakme as a brand.
12. what is the purpose for which you buy lakme products?
Table showing the purpose for which the respondents buy the lakme products
PARTICULARS
SKIN PROTECTION
LONG AND STRONG
FREQUENCY
17
13
PERCENTAGE
28.33%
21.66%
10
48
HAIR
GLOW AND ACNE FREE
SKIN
MAKE UP
16.66%
20
Page
33.33%
chart showing the purpose for which the lakme products are being used
make up
skin products
long and strong hair
glow and acne free
FREQUENCY
18
PERCENTAGE
30%
28
14
0
Page
GOOD
MODERATE
POOR
49
1
2
3
1: excellent
2: good
3: moderate
From the following table we can infer that;
18 respondents out of total 60 lakme respondents rate lakme products as excellent.
28 respondents out of total 60 respondents rate lakme products as good.
14 respondents out of total 60 lkame respondents rate lakme as moderate.
None of the respondents rate lakme products as poor.
14. Are you satisfied with the beauty services offered by lakme saloons?
Table showing the satisfaction level of the lakme respondents with respect to the saloons services
provided by it.
50
FREQUENCY
48
12
Page
PARTICULARS
YES
NO
PERCENTAGE
80%
20%
1
2
48 respondents out of 60 respondents are satisfied with the services provided by the saloon
of lakme.
12 respondents out of 60 respondents are not satisfied with the services provided by the
saloons of lakme
51
15. Are you satisfied with the products offered by the company?
PARTICULARS
YES
NO
Page
Table showing the whether the respondents are satisfied with the products of lakme.
FREQUENCY
53
7
PERCENTAGE
88.33%
11.66%
1
2
52
PARTICULARS
YES
NO
Page
PERCENTAGE
70%
30%
1
2
53
Page
FREQUENCY
40
8
8
4
PERCENTAGE
66.66%
13.33%
13.33%
6.66%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00%
10.00%
0.00%
1
1. depicts money below Rs. 500. ;2. depicts money between Rs. 500-Rs. 1000.;3. depicts mon
between Rs. 1000- Rs. 2000.;4. depicts money between Rs 2000 and above.
From the following table we can infer that:
40 respondents out of 60 lakme respondents spend below Rs 500.
8 respondents out of 60 lakme respondents spend between Rs 500-Rs. 1000.
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54
FREQUENCY
68
12
10
10
PERCENTAGE
68%
12%
10%
10%
1
2
3
4
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55
19. Would you continue to buy Lakme products even if its price rises by say upto 15%?
Table showing if the respondents will use the lakme product even if the price rises by 15%
PARTICULARS
FREQUENCY
YES
39
NO
21
From the following table we can infer that:
PERCENTAGE
65%
35%
1
2
56
Page
1. Lakme is the clear market leader across all age groups and income levels.
2. Majority of the respondents ie. 60 respondents out of total 100 respondents are using lakme
products. With Loreal in the second number having 20 regular customers of it. 15 responden
rae using Garnier and only 5 are using Lotus cosmetics. This shows that lakme has more
number of women using it.
3. The dissertation shows that maximum number of the respondents are using make up produc
of their brand like mascara, eyeliner, foundation, facepowder, blushers etc. next the eopleare
investing maximum in skin care products.
4. 58 respondents trust their brand of cosmetics when it comes to healthy make up. 20
respondents do not find their cosmetics to be healthy in the sence that the brand uses more
chemicals in its compositions.
5. 35 respondents use their cosmetic products because they are economical in nature, while a
major portion of the bulk buys the products of a brand because they show measurable result
6. 68 respondents spend below Rs. 500 on their cosmetics. However there are many people ie
who spend Rs. 1000- Rs. 2000 in cosmetics.
7. 49 respondents out of 100 respondents find their cosmetic brand to be economical in nature
8. 59 respondents out of total of 100 respondents find sunscreen lotion to be the best product o
their cosmetic brand. While 17 out of them find lip gloss to be the best part of its brand.
9. 44 people appreciate the facial and massage services provided by their favourite cosmetic
company. 32 out of 100 users find steam bath to be very appreciative.
10. 20 respondents out of 60 users who use only lakme products, use lakme products because
they show measurable results. While 18 out of 60 uses it because lakme is very economical
nature.
11. 34 respondents out of 60 users of lakme products use the sunscreen lotion the maximum tim
the next product being lip gloss.
12. 28 respondents have a very good knowledge about lakme as a brand.
13. 20 respondents out of 60 respondents use lakmes makeup products, while 17 respondents
lakme products of skin protection.
14. 28 respondents found lakme to be good, 18 found it to be an excellent product, 14
respondents , moderately like the products of lakme.
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57
SUGGESTIONS
1. Affordable cosmetic products must be launched, drawing less than 1000 rupees per month.
This will attract mores of youg women towards it and will further increase the market share o
the company.
2. Lakme should also concenterate on the cosmetic products for the mails. As today even boys
are becoming more concerned of the way they are looking. More and more boys are turning
to be metro sexual. This category will rise in the future and lakme must concentrate on
catching them so that the company can generate more sales from them.
3. Lakme must not limit itself to serve only the women, as it will be ignoring a large chunk of loo
conscious and metro sexual boys.
4. It would be wise for the company to target young people in the above category and grow alo
with them as they and the nation prospers.
5. Many respondents in their answer as to why they did not take lakme product said that lakme
does not provide a makeup or sunscreen lotion which is to be put only once as it is not
moisture resistant. So lakme should work more in creating a water resistant sunscreen lotion
which could stay all through the hard sweaty days.
6. More of the saloons should be created in order to provide easy accessibility to the consumer
of the services and products provided by lakme.
7. Lakme can start contests for free makeover of women , as it was being started by dove, sun
and ponds in collaboration- be beautiful.
8. Website Changes:
a. Lakme must advertise more about its website in the mass media so people can gain
firsthand knowledge about its products at their convenience in a more detailed manne
b. The website is good but instead of having a glossary as a separate entity, link words
which are difficult to understand for a first timer (even if it is as simple as spf) must b
marked up (underlined) in the text, which upon clicking must open out to a window giv
details.
c. A page must be devoted on why cosmetic products of lakme must be taken plus real l
stories of how people with use of lakme cosmetics improved their looks.
d. Links to other sites extolling the virtues of cosmetics must be given.
e. A page devoted to Lakmes beginning as a cosmetic industry must be included in the
website to assure potential customers that this is one company that will stick around f
long time to come. Exciting contests can be launched for those who visit the website.
9. lakme has tied up with HUL hence it must advertise in these websites also. It can also
advertise in other beauty related sections of websites like vogue.com and feminaindia.com.
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58
Youth sites like mtstylecheckvindia.com, facebook.com, orkut.com, twitter.com etc can also b
targeted.
10. According to Abraham Maslows hierarchy of needs the 2nd step to self actualization is the
fulfillment of the safety needs. Though people feel the need for being presentable and have
good looks, a large number live in an ivory tower and they procrastinate to take decisions
regarding this aspect. It is this dormant aspect that Lakme should awaken in people and brin
about restlessness and unfulfilled feeling regarding their and their familys overall physical
grooming. The next choice then would be cosmetics. This could be brought about by an
innovative campaign slogan saying, The decision is now.
11. Lakme must not target people only when they start earning but much before that. To gain the
early bird advantage they must organize sessions in schools and colleges giving explanatio
on how the medicure, pedicure, facials, massage etc can in general help in their overall
development. . It can also bring about a stronger brand commitment in this manner.
12. Leverage information technology to service large numbers of customers efficiently and bring
down overheads. Technology can complement or supplement distribution channels costeffectively. It can also help improve customer service levels considerably.
13. Use data warehousing, management and mining to gauge the profitability and potential of
various customer and product segments and ensure effective cross selling.
14. Understanding the customer better will allow cosmetic companies to design appropriate
products, determine pricing correctly and increase profitability.
15. Ensure high levels of training and development not just for staff but for distribution
organizations. Existing organizations will have to train staff for better service and flexibility, w
all companies will have to train employees to cope with new products and an intensive use o
information technology. The importance of alliances and tie-ups means that companies will
have to integrate related but separate providers into their systems to ensure seamless delive
16. Build strong relationships with intermediaries such as agents. The agency force is an importa
customer interface and companies must partner with this group to reach customers and serv
them effectively.
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CONCLUSION:
59
The different information or benefits derived from the in-depth study of the above mentioned
information sources are as follows:
1. consumer behavior and perception study; it helped to know that what actually is consumer
beahviour and what are the factors that affect the buying behavior of consumers. It also help
us to know that how can perception have a positive and a negative impact on the consumer
beahviour.
2. cosmetic industry in india- this section helped in knowing tat cosmetic is not a new concept
india. People have been grooming themselves physically. The only difference is the addition
chemicals and technology to our personal grooming.
3. Competition existing in the present insurance market; there are many other companies posi
tough competition to lakme ie Revlon , garnier, loreal, lotus etc.
4. All the marketing information sources has given a significant contribution to the detailed
theoretical perspective for the research i.e. about consumer behavior an perception.
5. World Wide Web also worked as a highly important information source as it provides update
information for the research relating to various areas.
LISTOF TABLES
TABLE
NO
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13
14.
15.
16
17.
TITLE
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ANNEXURE
60
PAGE NO
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
TABLE
NO
1.
TITLE
PAGE NO
44
Page
61
18.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13
14.
15.
16
62
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
19.
62
18.
17.
60
61
62
Websites used
1. www.invogue.com
2. www.lakmeindia.com
3. www.google.com
Page
4. www.hindustanunilever.com
5. www.feminaindia.com
63