Brand Analysis of Schwarzkopf - SUmant Kumar
Brand Analysis of Schwarzkopf - SUmant Kumar
Brand Analysis of Schwarzkopf - SUmant Kumar
Submitted by
Sumant Kumar
Semester VII
Centre for Business Administration
Central University of Jharkhand, Ranchi
DECLARATION
I hereby declare that the work incorporated in this report entitled Brand analysis and
satisfaction regarding products of Schwarzkopf in Ranchi district of Jharkhand is the
outcome of original study undertaken by me carried out under the guidance of Mr. Debraj
Dutta, Branch Head, HENKEL AG Co. Ltd., Kolkata, India.
I further declare that the matter in this report has not been submitted by me as a whole or
in part at any other University or Institution for the award of any Degree or Diploma.
ACKNOWLEDGEMENT
Firstly, I would like to express my immense gratitude towards the company HENKEL
AG ltd. and our institution Central University of Jharkhand, which created a great
platform to attain profound technical skills in the field of MBA, thereby fulfilling our
most cherished goal.
Last but not the least, I would like to cite my beloved parents, our faculty MR. NITESH
BHATIA & DR. J P VERMA and all my friends for their Love, and encouragement,
support and blessings. These pages could scarcely have been written without their help.
I express my gratitude to the Head and Faculty members of Center for Business
Administration (CUJ), who directly or indirectly helped me.
INDEX
S.NO.
CONTENTS
DECLARATION
ACKNOWLEDGEMENT
CHAPTER-1
1
2
3
4
5
CHAPTER-2
2.1
Company profile
CHAPTER-3
3.1
Literature Review
CHAPTER-4
4.1
CHAPTER-5
5.1
5.2
5.3
Findings
Conclusion
Suggestions and Recommendations
ANNEXURE
Bibliography
Questionnaire
CHAPTER-1
INTRODUCTION
This chapter presents the introduction to the study, definition of cell phone, concept,
objectives, research methodology and limitations of the study. The introduction starts
with a brief overview of brand and mobiles. It identify relevant research objective and
prepares the research design under which the study has been carried out. And it also
mention the limitations the study has went through.
The estimated size of the global hair care market from 2012 to 2021. In 2016, the global
hair care market is estimated to be worth about $83.1 billion.
A quick google search on Indian hair dye market threw up some interesting information.
In 2006 the hair dye (or more broadly hair care) market was close to Rs 300 crore,
according to a Business Standard story (Nov 2006). In two years it jumped to Rs
580crore, according to another story in Business Standard on August 22, 2008.
According to Confederation of Indian Industries (CII), the total Indian beauty and
cosmetic market size currently stands at $950 million and expected to grow 15-20% per
annum.
Although the overall market in the Asia-Pacific is still underlined by developed markets
such as Japan and South Korea, smaller markets such as Malaysia, Thailand and
Indonesia are showing much stronger growth, although this growth is still
overshadowed by India and China.
Increased consumer interest in healthy hair and awareness supported by greater
education of the benefits of salon products is helping fuel growth of salon hair care
products in the country. All of this is being driven by the fact that the rapidly evolving
Indian economy is giving way to an expanding middle class population with increasing
expendable income levels, reflected in the fact that visitor numbers to hair care salons
are on the rise.
The professional hair care market is still largely a nascent one affording much potential
and allowing an environment conducive for global beauty players to make an entry.
With a growing number of new salons opening competition is also becoming keener by
providing consumers with multiple choices and encouraging a higher quality of service
Hair dyeing or hair colouring is the practice of changing the natural hair colour. Hair
colouring is basically of 3 types- Permanent, Semi-permanent and Temporary. Often,
the prime reason for hair colouring is cosmetic and enhancement of natural beauty. Hair
colouring is extremely popular and various shades of hair dye are offered by almost
every leading cosmetic brand.
1.2
2. Limitations
This study has to be undergone with a Sample size of 70 Salons of
Ranchi District only. Hence, the interpretations cannot be extended for
the whole Universe.
The scope of the project is limited to the city of Ranchi. So, we cannot
say that the same response will exist throughout India.
Few of the retailers may not respond well during the course of study
because of several reasons. This may affect the study.
It also has been observed that the beauty care business is a very dynamic
industry. Any major move either by the new company or the existing
companies or changes in style and fashion trend can change the course
of business. Hence, this study will be limited to the time frame for
which this has been conducted.
It also have been analysed that the Industry affects from the seasonal
fluctuations. Hence, during the season of marriage or festive time, these
interpretations may not hold good.
This study need to be interpreted carefully. They can provide clues to the
companys performance. But on their own, they cannot show whether
performance is good or bad. It requires some quantitative information for
an informed analysis to be made.
3. Research Methodology
Sample Size 60 salons of Ranchi District
Sample Unit Professional Salons of Ranchi district
(Mainly Class A and Class B salons)
Sampling Area Ranchi
Sampling Technique - Convenience Sampling.
Exploratory and Descriptive Research Design.
Types of Data: - Primary Data and Secondary Data.
Primary data has been taken in the form of Structured
Questionnaire & Observation, are the two basic methods
used of collecting primary data, which suffices the research
objectives.
Secondary data sources like catalogue of the company,
product range book of the company & various internet sites
such as google, Companys website, research books, and
available related materials can used.
CHAPTER-2
COMPANY PROFILE
History
The company was founded in 1876 in Aachen as Henkel & Cie by Fritz Henkel (a 28
year-old merchant who was interested in science) and two more partners. They
marketed his first product, "Universalwaschmittel", a universal detergent based on
silicate.
In 1878, to take advantage of the better transport links and sales opportunities, Henkel
relocated his company to Dsseldorf on the Rhine (its present site). Dsseldorf was the
gateway to the Ruhr region, which became the most important industrial area of the
German Empire from the 19th century onward. That year, the first German brand-name
detergent appeared: Henkel's Bleich-Soda [Bleaching Soda], an affordably-priced
product supplied in sturdy paper bags. Made from water-glass and soda, it was the result
of Fritz Henkel's own research. The soda was obtained from Matthes & Weber in
Duisburg (Henkel bought this company in 1917 and sold it in 1994).
In 1879, Fritz Henkel was entered as the sole owner in the register of companies. Sales
of Henkel's Bleaching Soda increased so rapidly that within just one year the rented
factory on the Schtzenstrae in Dsseldorf was unable to meet the demand. Fritz
Henkel decided to build his own factory with a railway link.
In 1883, to improve liquidity and make better use of the company's travelling sales staff,
Fritz Henkel decided to sell merchandise in addition to his detergents. Sales started in
1884. The range included the colorant ultramarine [laundry bluing agent], gloss starch,
a liquid cleaning agent, and a pomade for cleaning, beef extract, and a hair pomade.
Very soon Henkel developed its international presencein 1886, Henkel opened its
first international sales office in Austria. Carl Pathe had gone to Vienna as a
representative the year before. In 1893, Henkel established its first business links with
England and Italy.
In 1903, Schwarzkopf founded by Hans Schwarzkopf (18741921) launched a powder
shampoo. Persil came in 1907 as the first self-acting laundry detergent.
Henkel has been a family-run business since the beginning. In 1893, Fritz Henkel, Jr.
(18751930) joined the firm as an apprentice. After receiving commercial training he
became his father's right-hand man in commercial matters. He put Henkel's brand-name
product business on a sound footing, developed its already successful advertising still
further and was responsible for the company's field service. On July 25, 1904, he
became a partner in Henkel, which was transformed into a general commercial
partnership. By this time, 110 people were employed at the Holthausen site. On April
25, 1905, Dr. Hugo Henkel (18811952), the youngest son of Fritz Henkel, Sr., joined
the company as a chemist. He was in charge of Chemical Products and Technology.
Over the years, he laid the foundations of systematic research and introduced advanced
Page technologies and new raw materials. In 1908, he became a personally liable partner
in the company.
In 1912, total production in Dsseldorf-Holthausen rose to 49,890 tons. At 19,750 tons,
Persil laundry detergent accounted for 40 percent of this, just five years after its market
launch. The number of employees increased by 89 relative to the previous year,
resulting in a total workforce of 1,024. Around half were female. A first-aid centre was
set up in the plant and a full-time nurse was employed. In the previous year Henkel had
installed ball fields and play areas to encourage exercise during break times. Female
employees could attend the plant's own housekeeping school during the lunch break.
On January 11, 1923, troops from France and Belgium occupied the Rhineland. The
occupation made delivery of adhesives from suppliers used for the packaging of Persil
unreliable. The disruption caused Henkel to internally manufacture adhesives for its
own needs. Henkel found there was a demand for adhesives on the market, and on June
22, 1923, the first adhesive shipment left the plant.
During World War II, foreign civilian slavery workers and prisoners of war were
working for the company. Henkel was part of a large-scale restitution settlement.
On April 16, 1945, American troops occupied Henkel's Dsseldorf site. On June 5, the
British military command in Dsseldorf took over from the Americans. From July 20,
the British military government gradually granted permission for the production of
adhesives, P3 and water-glass by Henkel, and for soaps and detergents as well as shoe
polish by Thompson. In February 1946, Matthes & Weber in Duisburg was given
permission to process available raw materials into soda. On September 20, 1945, five
members of the Henkel family and another seven members of the Management Board
and the Supervisory Board were interned.
In 1949, the launch of Schauma shampoo by Schwarzkopf marked the start of the most
successful German shampoos.
In 1954, Henkel-subsidiary Dreiring launched Fa soap, a new type of toilet soap. From
1970 onward it was joined by a series of Fa deodorants, shower gels and bubble baths,
making Fa one of the best known umbrella brands in the toiletry sector.
Pritt, the world's first glue stick, made its debut in 1969. Over the years, other products
were introduced under this brand, underlining Henkel's importance in the office and
stationery supplies sector. Exports of Pritt began in the same year, eventually making
this Henkel's most widespread global brand. Vernel fabric softener and enzyme-based
bioactive Persil 70 appeared.
1. Brands
Laundry & Home Care
Henkel's most famous brand is Persil, introduced in 1907, the first commercial
"self-activated" laundry detergent, which means a bubbles forming bleach
(sodium perborate) with a soap component (silicate). The abbreviation of the
names of the two main components perborate and silicate compose the product
name.
Other laundry & home care brands include Purex washing powder, Vernel/Silan
fabric softener, Somat/Glist dishwasher tablets and Pril washing-up liquid.
Persil Abaya Shampoo or Persil Black is a liquid detergent that Henkel
introduced to the Saudi Arabian market in 2007 and later to other Gulf
Cooperation Council region markets. The company sells the liquid as a specialist
detergent for abayas, the loose, traditionally-black, robe-like garments worn by
women in many Islamic cultures.
Beauty Care
Schwarzkopf hair care, Schauma shampoo, Fa shower gel and deodorant,
Diadermine skin and body care, Dial shower and hand soap.
2.
at Gurgaon, Chennai and Parwanoo. Henkel Anand India Private Limited is TS 16949,
ISO 14001 and OHSAS 18001 Certified Company by DQS of Germany. The company
manufactures and supplies Adhesives, Sealants and NVH Products to all Automotive
OEMs in India
Henkel Chembond Surface Technologies Ltd., established in 1996, is a joint venture
between Henkel KGaA and Chembond Chemicals Ltd. Headquartered in Navi Mumbai,
India, Henkel Chembond operates in the business areas of Metal Treatment Chemicals,
which includes pretreatment chemicals, neutral cleaners, lubricants, and coatings. The
company offers its products to the Indian automotive OEMs and component suppliers,
steel industry, general industry, appliance, construction equipment, and aviation,
defense, and aluminum customers. The renowned brands offered by Henkel Chembond
in the country include Bonderite, Multan, P3, Turco, Autophoretic, Aquence, and
Passerite. Henkel Chembonds manufacturing facilities are located in Tarapur and
Sitarganj with warehouses and offices across the country.
CHAPTER-3
LITERATURE REVIEW
This chapter presents the issues and factors, ideas and opinions, and results of the
research that others have undertaken in the study area. The conceptual framework that
best describes the theory with the relevant variables identified and discusses how they
are related.
Hair colour market in India is driven because
Today the consumer not only needs cover grey hairs but also to look presentable
and stylish and to feel better and has become a fashion statement, especially for
the young and trendy
Rise in affordability, media penetration and increase in fashion consciousness
among both women and men
Availability of products especially the premium brands in the reach of consumers
Recent Consumer Trends
Consumers have started to consider hair as an important part of their personality
and are very keen to maintain them
As their household incomes as well as the disposable incomes continues to grow
they are willing to spend on high-quality hair care products
Brand Image
The associations made by the consumer based on his memory about a brand influences
his perceptions about the brand and these perceptions form the brand image. So, its not
in the technology, features or the product, that the brand image exists but in things like
promotions, users opinions or advertisements (Keller, 1993). According to (Zeithaml,
1988); Richardson, Dick and Jain, 1994, When the evaluation of a product is done by a
consumer before actual purchase, the extrinsic cue which is often used to influence is
the Brand image.
Perceived Value and Quality
The judgment of a consumer on the overall superiority and the excellence but not the
actual or real quality of the product is known as perceived quality (Zeithaml, 1988).
Informational cues influence the beliefs of the consumers and they use these to judge
the products quality and decide on the final purchase based on these influenced beliefs
(Olsan, 1977)
Performance, Conformance, Features, Reliability, Durability, Serviceability, brand
image and aesthetics are the influencers of perceived quality (Gavin, 1987) According
to (Petric, 2002), the products perceived quality can be measured on a 4 dimension
scale with the dimensions being consistency, dependability, superiority and reliability.
Perceived
Quality
Brand
Association
Brand
Equity
Brand
Awareness
Brand Loyalty
concentrating on the high value salon business. Having entered this category in 1997
with the premium Majirel (priced at Rs 210), LOreal is now tapping the mass-based
middle segment. In February, it launched Matrix (Rs 119), the brand acquired from
Bristol Myers five years ago. It is positioned as fun and lively compared to its
sophisticated counterpart. There are plans to penetrate every salon in Mumbai and
Delhi before taking Matrix to second-tier towns. Now a days several National and
international brands in hair colour market are available in India. Many more making
their way, well the market is vast.
CHAPTER-4
DATA ANALYSIS AND
INTERPRETATION
NO. of Customers
No. of salons
Less than 15
19
15 30
23
30 35
11
More than 45
07
12 30, 23,
38%
In the first question it is clear from the collected data that major salons in Ranchi had
around 15-30 customers footfall. And 70% salons had less than 30 customers footfall
2. Have you heard the brand name Schwarzkopf?
Yes
43
17
No
Among the respondents 43 of the
salon known about brand Schwarzkopf and rest of the salons were not aware of the
brand so the brand has less awareness among the retailers.
3. Do you keep Schwarzkopf at your Salon?
Yes
37
23
No
62% retailers said that they are the sellers of Schwarzkopf products and rest 38% of
the salons did not have Schwarzkopf products in their salons
The base for analysis of the following questionnaire are based upon the responses of
the 37 Schwarzkopf products seller.
4. What percentage of customers are aware of the brand Schwarzkopf (SKP)?
Percentage of Customers
Less than 25%
No. of salons
26
25% - 50%
05
50% 75%
06
75% - 100%
00
50% 75%,
6, 16%
75% - 100%,
0, 0%
25% - 50% ,
5, 14%
Less than
25%, 26,
70%
According to most of the salons only 25% of the customers who visit know about the
brand and rest were unaware of the brands who visit their salon. 05 of the salons
responded that around 25%-50% customers are aware of the brand
5. Among the customers what is the percentage of first time users of the
Schwarzkopf product?
Percentage of Customers
No. of salons
07
25 50
09
50 75
17
75% - 100%
04
75% - 100% ,
4, 11%
Less than
25%, 7, 19%
25 50 , 9,
24%
50 75, 17,
46%
Around 46% of the respondents said that 50% to 75% of the customers are first
time users. So it is clear that many customers are first time users of the products
No. of salons
21
25% 50%
12
50% 75%
03
75% - 100%
01
Around 57% of the respondents said that less than 25% customers switch the brand
next time.
7. Who mostly decides about the product that customer is going to use?
Factors
No. of salons
Customer itself
10
26
Someone else
01
Someone
else, 1, 3%
Customer
itself, 10,
27%
Person
providing
service, 26,
70%
From the data collected the response of the salons were that mainly the person
providing the service suggest the customer that which brand and product they
should use and 27% salon said that they decide the product and brand by their
own.
8. How will you rate these factors that a customer consider before selecting a
brand? (Rate on scale of 1-5 where 1 is minimum and 5 is maximum)
Factors
Average Rating
Convenience in usage
2.51
2.96
Brand Name
4.35
Product quality
4.19
2.74
Brand Promotion
3.22
5
4
3
4.35
2
1
2.51
4.19
2.96
2.74
3.22
0
Convenience in
usage
Brand Name
Product quality
No. of salons
Softness of hair
12
Brand Name
16
Colour retention
09
00
18
16
14
12
10
8
6
4
2
0
Softness of hair
Brand Name
Colour retention
11. According to you which are the competing brands of Schwarzkopf that you
keep at your salon?
40
35
30
25
20
15
10
5
0
Loreal
Garnier
Matrix
Wella
Brands
No. of salons
Loreal
34
Garnier
11
Matrix
20
Wella
10
Revlon
Streax
13
Revlon
Streax
12. What could be the possible reasons behind preferring the competitive brands
among the non-users of the Schwarzkopf product?
Reasons
No. of salons
Softness of hair
05
Brand name
12
Colour retention
02
08
Other reasons
10
14
12
10
8
6
4
2
0
Softness of hair
Brand name
Colour retention
Other reasons
13. Do you get an advantage over other by using Schwarzkopf products in your
salon?
Yes
12
25
No
14. Do you think company needs Brand extension?
Yes
11
26
No
17. Do you think Promotional activity of the company attracts the customers?
Yes
12
25
No
16
Growing Slowly
18
Growing rapidly
02
Mature
01
00
Declining
20
18
18
16
16
14
12
10
8
6
4
Mature
Declining
Less potential
Growing Slowly
Growing rapidly
The base for analysis of the following questionnaire are based upon the responses of
no-sellers of Schwarzkopf products
1. Who mostly decides about the product that customer is going to use?
Factors
No. of salons
Customer itself
08
13
Someone else
02
14
12
10
8
6
4
2
0
Customer itself
Someone else
2. How will you rate these factors that a customer consider before selecting a
brand? (Rate on scale of 1-5 where 1 is minimum and 5 is maximum)
Factors
Average Rating
Convenience in usage
1.92
3.21
Brand Name
3.79
Product quality
4.86
3.14
Brand Promotion
4.23
5
4
3
2
1
0
Convenience in Value for money Brand Name
usage
Product quality
Natural or
organic
contents in
product
Brand
Promotion
4. According to you which are the competing brands of Schwarzkopf that you keep at
your salon?
Brands
No. of salons
Loreal
19
Garnier
15
Matrix
11
Wella
04
Revlon
01
Streax
09
20
18
16
14
12
10
8
6
4
2
0
Loreal
Garnier
Matrix
Wella
Revlon
Streax
3. What could be the possible reasons behind preferring the competitive brands
among the non-users of the Schwarzkopf product?
Reasons
No. of salons
Softness of hair
06
Brand name
09
Colour retention
03
01
Other reasons
04
10
9
8
7
6
5
4
3
2
1
0
Softness of hair
Brand name
Other reasons
Statistical Analysis :Below carried normality test is of the responses collected from the sellers of Schwarzkopf
products
Tests of Normalityb,c
Kolmogorov-Smirnova
Statisti
df
Shapiro-Wilk
Sig.
Statistic
df
Sig.
c
footfall
.259
37
.000
.855
37
.000
Customer Awareness
.428
37
.000
.613
37
.000
.277
37
.000
.858
37
.000
Switching customers
.338
37
.000
.727
37
.000
.418
37
.000
.655
37
.000
Convenience in usage
.229
37
.000
.852
37
.000
.244
37
.000
.884
37
.001
Brand name
.296
37
.000
.790
37
.000
Colour retention
.224
37
.000
.840
37
.000
Natural content
.203
37
.001
.908
37
.005
Brand promotion
.277
37
.000
.883
37
.001
Suggest Schwarzkopf
.401
37
.000
.616
37
.000
.218
37
.000
.808
37
.000
Loreal
.534
37
.000
.307
37
.000
Garnier
.442
37
.000
.575
37
.000
Matrix
.359
37
.000
.635
37
.000
Wella
.456
37
.000
.556
37
.000
revlon
.526
37
.000
.360
37
.000
streax
.415
37
.000
.605
37
.000
.243
37
.000
.847
37
.000
Schwarzkopf Advantage
.428
37
.000
.591
37
.000
Brand extension
.442
37
.000
.575
37
.000
Customer satisfaction
.539
37
.000
.241
37
.000
.359
37
.000
.635
37
.000
Potential
.262
37
.000
.757
37
.000
competitor
The below carried descriptive analysis is of the responses collected from the sellers of
Schwarzkopf products.
Descriptive Statistics
N
Minimum
Maximu
Mean
m
Statistic
Statistic
Statistic
Std.
Skewness
Kurtosis
Deviation
Statistic
Statistic
Statistic
Std.
Statistic
Std. Error
Error
footfall
37
1.00
4.00
2.1351
.94757
.545
.388
-.462
.759
Customer Awareness
37
1.00
3.00
1.4595
.76720
1.314
.388
.084
.759
37
1.00
4.00
2.4865
.93159
-.285
.388
-.790
.759
Switching customers
37
1.00
1.00
1.0000
.00000
37
1.00
1.00
1.0000
.00000
Convenience in usage
37
1.00
4.00
1.5676
.76524
1.333
.388
1.541
.759
37
1.00
3.00
1.7568
.49472
-.494
.388
-.111
.759
Brand name
37
1.00
4.00
2.0541
.81466
.224
.388
-.682
.759
Colour retention
37
1.00
5.00
2.9730
.83288
.052
.388
.075
.759
Natural content
37
2.00
5.00
4.2432
.86299
-.781
.388
-.428
.759
Brand promotion
37
2.00
5.00
3.8919
.87508
-.044
.388
-1.161
.759
Suggest Schwarzkopf
37
1.00
5.00
2.9189
1.18740
.270
.388
-.593
.759
37
1.00
6.00
3.1351
1.13437
.687
.388
.052
.759
Loreal
37
.00
1.00
.6216
.49167
-.523
.388
-1.828
.759
Garnier
37
1.00
3.00
1.9189
.75933
.139
.388
-1.209
.759
Matrix
37
.00
1.00
.9189
.27672
-3.201
.388
8.713
.759
Wella
37
.00
1.00
.2973
.46337
.925
.388
-1.213
.759
revlon
37
.00
1.00
.5405
.50523
-.170
.388
-2.087
.759
streax
37
.00
1.00
.2703
.45023
1.079
.388
-.887
.759
37
.00
1.00
.1081
.31480
2.632
.388
5.207
.759
37
.00
1.00
.3514
.48398
.649
.388
-1.672
.759
Brand extension
37
1.00
5.00
3.1622
1.48162
-.024
.388
-1.570
.759
Customer satisfaction
37
.00
1.00
.3243
.47458
.783
.388
-1.470
.759
Salon Partner
37
.00
1.00
.2973
.46337
.925
.388
-1.213
.759
Potential
37
1.00
4.00
1.6757
.70923
1.060
.388
1.775
.759
Valid N (listwise)
37
competitor
Schwarzkopf
Advantage
satisfaction
The below analysis explains the correlation between the factors which gives the advantage to
a Schwarzkopf sellers and it is found that they are satisfied as well. And these two factors are
highly positively correlated, which means that if one factor increases the other factor also
increases.
Correlations
Schwarzkopf
Salon Partner
Advantage
satisfaction
Pearson Correlation
Schwarzkopf Advantage
Sig. (2-tailed)
.000
N
Pearson Correlation
Salon Partner satisfaction
.794**
Sig. (2-tailed)
37
37
.794**
.000
37
37
Correlation between advantages salons get in keeping Schwarzkopf, Satisfaction And Brand
potential.
Correlations
Pearson Correlation
Schwarzkopf Advantage
Pearson Correlation
Sig. (2-tailed)
N
Pearson Correlation
Brand Potential
Salon Partner
Brand
Advantage
satisfaction
Potential
.794**
.702**
.000
.000
37
37
37
.794**
.497**
Sig. (2-tailed)
N
Schwarzkopf
Sig. (2-tailed)
N
.000
.002
37
37
37
.702**
.497**
.000
.002
37
37
37
The above analysis clearly explains that all the three factors are positively related with
correlation values between Advantage they get and Satisfaction as .794 and
Advantage and Brand potential as .702.
Correlation between the reasons for selecting Schwarzkopf and Reasons for selecting
other Brands.
Correlations
Reason for selecting
Reason for
competitor
suggesting
Schwarzkopf
Pearson Correlation
Reason for selecting competitor
Pearson Correlation
Sig. (2-tailed)
-.235
.162
Sig. (2-tailed)
N
37
37
-.235
.162
Schwarzkopf
N
37
37
The above data represents the Correlation between the reasons for selecting
Schwarzkopf and Reasons for selecting other Brands which is -.235 which means that
both the variables are very less negatively related. In common terms these two are not
related and we can interpret that Reasons for selecting the competitor and Schwarzkopf
totally varies either this could be because Schwarzkopf is easily differential from its
competitor or the competitors are having differential qualities which Schwarzkopf is
not having. So now it depends over the market performance of the Brands that which
brand is more efficiently differentiated and enjoys the market share.
CHAPTER-5
FINDINGS
CONCLUSION
SUGGESTION AND RECOMMENDATION
This chapter presents a general discussion on the results on the analysis of the
preceding chapter. The chapter also assesses how far the objectives of the research
have been achieved. Comparison and contrasting of the findings in relation to the
previous findings are also presented.
1. Findings
In 82% of the saloons the average footfall in a day was less than 15 38 % had
15- 30, 18% had 30-35 and 12% had more than 75 customers footfall at their
saloons.
43 of the 60 saloons were aware of the brand.
Among the 43 saloons i.e. 62% who were aware of the brand 37 saloons had
Schwarzkopf product.
Around 70% of the saloons said that less than 25% of the customers bare aware
of the brand.
Around 50% to 75% of the customers of Schwarzkopf were the first time users
of the product which was the response of 46% of the saloons and 24% of saloons
said that 25-50% of the total users were the first time users.
57% of the respondents said that only 25% of the Schwarzkopf users switch the
brand next time.
Mainly the person providing the service influence the customers about the
product he is going to use and almost 70% of the saloons had same respond. Only
27% of saloons said that the customer itself decide the product they will use.
On the scale of 5 where the 1 is minimum and 5 is maximum, brand name and
labour retention were the factors that were rated high and it explains that these
are the most important factors customers consider before selecting a product.
23 of 37 Schwarzkopf sellers said that they suggest the Schwarzkopf product to
their customers due to their brand name and softness they provide to hairs.
Loreal were the brand which were available in most of the saloons and is
considered as a competitor for Schwarzkopf.
Competitors of Schwarzkopf are mostly considered because of the brand name
and some other reasons like market demand.
12 of the 37 sellers think they get the advantage over other saloons by keeping
Schwarzkopf.
26 of respondents out of 37 said that company doesnt need brand extension.
35 of the respondents feel that customers are satisfied using Schwarzkopf
products and 17 of them were also happy doing business with Schwarzkopf.
Schwarzkopf promotional activities does not attract the customers very much.
Many of the customers believe that the brand is growing slowly and some
believes that the brand has less potential while very little of the saloons said that
the brand growing rapidly and some of the respondents said that the brand is
declining.
There is high positive correlation between the advantage of keeping
Schwarzkopf products and the saloon partner satisfaction which is valued as .794
Strong positive correlation was also observed between brand potential and
advantage in keeping Schwarzkopf
There was no correlation between the reason for selecting competitor and
Schwarzkopf.
There was no correlation between the reasons for selecting Schwarzkopf and
Reasons for selecting other Brands which is -.235 which means that both the
variables are very less negatively related
2. Conclusion
From the above study it was concluded that the beauty care industry the
companies offering products is needed to be most competitive and innovative to
survive in this market. From the study it was concluded that the beauty care
sector is the fast growing business and is the most competitive and innovative
market. It has also been observed that the industry is dynamic and the trends in
beauty care industry changes very fast.
The research study explores the brand with attributes like brand awareness,
quality, perception & association, and loyalty of the Salon partners and the
customer. From the study it can be concluded that the brand awareness of the
Schwarzkopf brand is quite low in the Ranchi district as it doesnt carry out any
major promotional activity through which the awareness can be spread to the
market.
The users or customers who use the Schwarzkopf product are satisfied and only
25% of the total customers switch the brand next time. So a high level of loyalty
has been observed among the customers. The salon partners show almost same
behaviour with the product as their satisfaction level is high. Some of the retailers
discontinued the product just because they had some issues regarding the timely
delivery of the products.
Proper training of employees also plays an important role in the professional hair
care market because skills of the person providing service and the quality of
product results in the end satisfaction of the customers. If the experience of
customer is enriched with the high level of treatment from the person providing
the service then they will be delighted and will show loyalty to the salon and
product as well. So it is very important for a company to observe the proper
training and development of the employees at professional salons. Schwarzkopf
is not able to tackle the training part and many of the salon said that they are
losing market share due to that so the company must focus over this part.
The statistics also convey that there is a high level of correlation between the
Satisfaction levels if they get an advantage of keeping the product into their
salons. So company must try to satisfy the salon partners to increase the brand
equity.
A positive correlation was also observed in the brand potential and satisfaction.
ANNEXURE
Bibliography
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Questionnaire
Please find few minutes to fill the following questionnaire. It has been designed only for the
purpose of Study and no data given by you would be published by your name. Thank you so
much for your co-operation.
Salon Profile
Name of salon:-
Phone no:-
Address:
Manpower:Educational qualifications:-
c) 60 90
d) More than 90
c) 50% - 75%
d) 75% - 100%
3. Among the customers what is the percentage of first time users of the Schwarzkopf
product?
a) Less than 25%
b) 25% - 50 %
c) 50% - 75%
d) 75% - 100%
4. After using Schwarzkopf product what percentage of customers Switch the brand next time.
a) Less than 25%
b) 25% - 50 %
c) 50% - 75%
d) 75% - 100%
5. Who mostly decides about the product that customer is going to use?
a) Customers itself
b) Person providing Service
c) Someone else
6. How will you rate these factors that a customer consider before selecting a brand? (Rate on
scale of 1-5 where 1 is minimum and 5 is maximum)
a) Convenience in Usage
b) Value for money
c) Brand Name
9. According to you which are the competing brands of Schwarzkopf that you keep at your
salon?
a) Loreal
b) Garnier
c) Wella
d) Revlon
e) Streax
f) Matrix
10. What could be the possible reasons behind preferring the competitive brands among the
non-users of the Schwarzkopf product?
a) Softness of hair
b) Brand Name
c) Colour retention
11. Do you get an advantage over other by using Schwarzkopf products in your salon?
a) Yes
b) No
b) No
b) No
b) No
15. Do you think Promotional activity of the company attracts the customers?
a) Yes
b) No