0601079 advertising and brand image

A

PROJECT REPORT ON

“ADVERTISING AND BRAND IMAGE OF CONSUMER ELECTRONICS AND ITS

IMPACT ON SALES OF A BRAND”

FORVIDEOCON INDUSTRIES LTD. PUNE.

IN THE PARTIAL FULFILLMENT OFTHE DEGREE OF MASTER OF BUSINESS

ADMINISTRATION

SUBMITED TOUNIVERSITY OF PUNE

BYKARANJE GAJANAN VIJAY

MBA2006 – 2008

VISHWAKARMA INSTITUTE OF MANAGEMENT KONDWA

PUNE – 4110 57

1

Vishwakarma Institute of Management

Kondwa, Pune.

CERTIFICATE

This is to certify that the project titled

“ADVERTISING AND BRAND IMAGE OF CONSUMER

ELECTRONICS AND ITS IMPACT ON SALES OF A BRAND” done

at “VIDEOCON INDUSTRIES LTD., PUNE” is a bonafide work of Mr.

KARANJE GAJANAN VIJAY a student of “Vishwakarma Institute Of

Management Kondwa , Pune”.

The work carried by the student under my guidance was found satisfactory &

complete in all respect.

Place: Pune. Prof. M. HALALE

(Project Guide)

2

DECLARATION

I, the undersigned honestly declare that, this project titled


ELECTRONICS AND ITS IMPACT ON SALES OF A BRAND” is a

genuine & bonafide project prepared by me & submitted to Director,

Vishwakarma Institute Of Management , Kondwa in partial fulfillment of

Master Degree In Business Administration.

The project work is original & conclusions drawn here in are based on the

data collected by myself.

To best of my knowledge, the matter presented in this project has not been

submitted for awards of any degree, diploma or membership either to this or

any other institute or university.

Place: Kondwa, Pune.

GAJANAN KARANJE

(Student)

3

4

ACKNOWLEDGEMENT

My first thanks to Dr. S.V. Joshi, Director of Vishwakarma Institute of

Management, Pune; and all those people who helped me during the training

and completion of this Project Report. The list of such people is indeed

exhaustive but a few need special mentioning.

I am thankful to Mr. Shantanu Joshi (Branch Head) for giving me an

opportunity to work in their esteemed organization.

I am grateful to Mr. Praveen Pandey (Project Guide) and Mr. Siddhart

Pingley for their valuable advice and guidance during the preparation of this

report.

I take this opportunity to extend my gratitude for co-operation;

professional guidance and useful help tips provided to me by my guide Prof.

M. Halale, without whose help the project would not have been completed.

Last but not the least, I am thankful to all the dealers, respondents

whom I have interfaced during my training period.

GAJANAN KARANJE

5

INDEX

CHAPTER No. TOPIC PAGE No.

CHAPTER 01 INTRODUCTION 07

CHAPTER 02 ORGANISATION -- HISTORY, GROWTH 40

CHAPTER 03 ANALYSIS AND INTERPRETATION

OF DATA54

CHAPTER 04 FINDINGS AND SUGGESTION

81

APPENDIX 88

BIBLIOGRAPHY 93

6

Chapter (1)

INTRODUCTION

7

SR. No. TOPIC PAGE No.

CHAPTER 01 INTRODUCTION 07

1.1 Title of Project 09

1.2 Company Selected 10

1.3 Aims And Objectives

of The Study

11

1.4 Research Design and

Methodology

12

8

TITLE OF THE PROJECT


ELECTRONICS AND ITS IMPACT ON SALES OF A BRAND”

IMPORTANCE AND RELEVENCE OF THE STUDY

The training in the organization gives us an idea of different marketing

activities and it is seen how business is done tactfully. It develops

problem solving ability in a candidate.

The 60 days training in an organization for MBA course is not the

answer of all the problems that arise in a particular field. There is no

certain formula for any particular problem but the aim of this study is

to analyze the various advertising activities carried out by various

companies to enhance their sales of consumer electronics (Television),

the image of the brand and what impact it has on the sales of a brand.

Videocon (Main branch, Pune), wanted to know the impact of its

activities on sales as compared to the competitors, which will help in

improving their performances in all stages.

9

COMPANY SELECTED

VIDEOCON is number 1 company in the market of consumer goods

and home appliances. So, the company is renowned in India. The company

has achieved a cumulative turn over of more than Rs 5000 crores in

electronics and home appliances.

Videocon electronics has been continually providing superior

technology products and value for money to 10 million households and more

than 60 million customers in India. It has already become numro-uno in most

of its products. It has out performed all its competitors within a span of few

years. It has introduced several new-sophisticated technologies in India to

cater to all desires of the customers. It has continuously developed new

products specially to tap the Indian middle class customers.

10

OBJECTIVE OF THE STUDY

Survey was undertaken on the following objectives.

To find out an image of a brand.

To compare the advertising policies of the companies.

To find out the impact of advertising and brand image on sales.

To examine the reason why dealers are interested to sale a particular

brand.

To make strategy to capture the total market.

To identify the company position in the market of consumer

electronics.

11

METHODOLOGY

Research methodology comprises of all research activities carried in

connection with the marketing management. Marketing research, systematic

analysis of the marketing problems, model building and facts finding for the

purpose of improvements in decision making and control in the marketing of

the products and services.

Research methodology may be understood as a science of studying

how research is done scientifically. To plan research project, it is necessary

to anticipate all the steps that must be undertaken if the project is to be

completed successfully. These steps are often collectively referred

collectively as research process.

Research methodology states the study undertaken to complete the

project. It includes specification of:

RESEARCH METHODOLOGY

SOURCES OF DATA

COMPLETION OF DATA

SAMPLING PLAN

RESEARCH DESIGN

A research design is simply a framework or plan for study that is used

as a guide in collecting and analyzing the data. It is a blue print that is

followed in completing the project.

The research design specifies the methods and procedures for

acquiring the information needed. It is overall operation pattern or

12

framework of the project that stipulates what information is to be collected

from which sources and by what procedures.

There may not be single, standard and correct method of research.

There may be different types of research design to suit different purpose of

research.

There are various types of research design. They are:

o Exploratory Research

o Descriptive Research.

Depending upon the objective of research, marketing research design

is selected.

According to the research objective I plan to choose exploratory

research.

EXPLORATORY RESEARCH

The major emphasis of exploratory research is to extract new insight

into the problem. This research will help to know some facts about other

people preferences and choice.

It helped me in knowing the following information:

o What are the preferences of people towards purchasing the

television of a particular brand?

o How they rate a certain brand?

o How effective are the advertising activities carried out by the

brands for its sales?

13

SOURCES OF DATA

The next step is to gather information. There are two types of data.

They are:

PRIMARY DATA

SECONDARY DATA

PRIMARY DATA

First of all, all the sources of primary data from various sources should

be explored and examining the possibility of their use for study.

In many cases the data may not be inadequate or unusable and

therefore, may realize the first hand information.

There are two methods by which primary data can be collected.

They are:

Observation method

Communication method

OBSERVATION METHOD

Observation is one of the methods of collecting data. It is used to get

both past and current information. For example, instead of asking responder

about their current behavior, we may observe the result of such behavior.

The observational method is not used frequently. All the same it is

used especially in marketing experimentation.

14

COMMUNICATION METHOD

This method is very popular. The method is used for the project study.

Advantages:

It helped in correcting not only factual data in terms of demographics

but also attitude and opinions.

The recorded data is more reliable and valid.

It is less time consuming and less expensive than observation method.

SECONDARY DATA

Any data, which has been gathered for some other purpose, is the

secondary data in the hands of research.

Advantages

The major advantage in the use of secondary data is that it is more

economical, as the cost of collecting original data is saved.

It saves much of the time of the researcher. This leads to prompt

completion of the project.

Search for secondary data is helpful, not only because secondary data

may be useful but because familiarity with such data indicates the

deficiencies and gaps. As a result the primary data can be collected

more specifically and more relevant to the study.

Finally the secondary data can be used as basis for comparison with

primary data.

15

COLLECTION OF DATA

Primary Data:

It involves two aspects. The techniques and tools that are used in

collecting data are as follows;

Techniques

There are two techniques of collecting primary data

Observation

Survey

Secondary Data

The secondary data is collected from various business newspapers and

websites, journal and various magazines. The secondary data gave me brief

overview of the current market situation, the history of the company and the

sales figures of the latest quarter.

RESEARCH INSTRUMENT

In this project most of the data and information collected are in the

form of primary data, so the references and the contacts are very useful

instrument in such data collection.

Here unstructured questionnaire was used which was not pre-decided

depending upon the certain customers and it included both open-ended and

close-ended questions.

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SAMPLE PLAN

Sample plan is very much important for a research; after deciding on

sample instrument and research approach, sampling plan calls for following

decision.

Sample unit

This is very important for a research to decide as to who is going to be

surveyed, or what the sample unit is. In this research different category of

people, dealers were targeted to gather correct and reliable information.

Universe

The universe of the research here were the people and dealers of Pune

from different areas.

Contact Method

The sample method used here was personal visit. This is the oldest and

most commonly used method of marketing research. Naturally it could work

out more accuracy.

Here the unstructured and indirect type of personal question method is

used. The response is then direct and limited to the question framed in the

questionnaire which researchers record simultaneously.

17

Sample Size

The sample size in this research was:

200 customers. ({100 customers < Age 40} + {100 customers >

Age 100})

5 branch offices of 5 companies.

50 dealers.

Area No. Area No. Of Dealers

Area No. 01 PCMC 07

Area No. 02 Aundh 02

Area No. 03 Kothrud 06

Area No. 04 Tilak Road 08

Area No. 05 Camp 06

Area No. 06 Khadki/Yerwada 09

Area No. 07 Swargate/ Katraj 04

Area No. 08 Fatima Nagar/ Hadapsar 03

Area No. 09 Main City 05

TOTAL 50

Sample method

Here random sampling method is used.

18

Chapter (2)

ORGANISATION –

HISTORY, GROWTH

19

Sr. No. TOPIC PAGE

No.

CHAPTER

03

ORGANISATION – HISTORY,

GROWTH

40

3.1 CORPORATE PROFILE OF THE

ORGANIGATION

43

3.2 BUSINESS PROFILE OF THE

ORGANIZATION

45

3.3 LOGO LOGIC 46

3.4 HISTORY & GROWTH 47

3.5 VIDEOCON AT A GLANCE 48

3.6 MAJOR BRANDS UNDER VIDEOCON 49

3.7 VISION & MISSION 50

20

3.8 VALUES & PHILOSOPHY. 53

21

CORPORATE PROFILE OF THE ORGANIGATION

The Videocon group emerges as a USD 2.5 Billion global

conglomerate continuing to set trends in every sphere of its activities

from a conference room sized assembly line in 1979.

Today the group operates through 4 key sectors :

Consumer Durable Thomson CPT CRT Glass Oil & Gas

Consumer Electronics, Home Appliances & Compressor

manufacturing in India

We enjoy a pre-eminent position in terms of sales and customer

satisfaction in many of our consumer products like Colour Televisions,

Washing Machines, Air Conditioners, Refrigerators, Microwave ovens and

many other home appliances, selling them through a Multi-Brand strategy

with the largest sales and service network in India. Our in-house compressor

22

http://www.videoconworld.com/consumer-durables/index.php

http://www.videoconworld.com/thomson/index.php

http://www.videoconworld.com/glass/index.php

http://www.videoconworld.com/oil-gas/index.php

manufacturing technology in Bangalore further supports refrigerator

manufacturing.

Display industry and its components

With the Thomson acquisition Videocon has emerged as one of the

largest Colour Picture tube manufacturers in the world operating in Mexico,

Italy, Poland and China, continuing to lead through new innovative

technologies like slim CPT, extra slim CPT and High Definition 16:9 format

CPT.

Colour Picture Tube Glass

Videocon is one of the largest CPT Glass manufacturers in the world

with a high level of experience and technical expertise operating through

Poland and India. Videocon will leverage on this synergy after the Thomson

acquisition to internally source glass for its CPT manufacturing increasing

efficiencies and lowering costs.

Oil and Gas

23

An important asset for the group is its Ravva oil field with one of the

lowest operating costs in the world producing 50,000 barrels of oil per day.

The group has ambitious plans for expansion in this sector globally.

BUSINESS PROFILE OF THE ORGANIZATION

24

LOGO LOGIC

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This is the new Videocon symbol. It reiterates the ethos of a company

dedicated to maintaining the highest international standards of excellence

through quality, technology and innovation. For over a decade now,

Videocon has been bringing the latest and very best in Consumer Electronics

and Home Appliances. Successfully adapting the best of international

technology to suit Indian needs, and crafting it to improve the quality of life

– as million of satisfied customers will agree.

The new symbol of Videocon asserts its passion for global impact, and

the two ‘E’s on either side represent the Group’s wide spectrum of interests

ranging from ‘Electronics to Energy’. Along with the steely glint, this

communicates the group's global ambition, its strength, sterling credentials

and innovative drive. A symbol that proclaims a paradigm shift. A sign that

represent the new force that is Videocon. Thus recapitulating our principle of

reaching out and touching the lives of millions of people. Worldwide.

HISTORY & GROWTH

26

VIDEOCON AT A GLANCE

27

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MAJOR BRANDS UNDER VIDEOCON

Tie-ups with Global Leaders

Partner Product Nature Of Tie-Up

Samsung Electronics Fly BackTransformers, Tuners

Technical Support

Matsushita Electric Washing Machine Technical Collaboration

Matsushita Electric Air Conditioner Design & Drawing

Matsushita Electric Refrigerator Design & Drawing

Sansui Electric Co. Ltd Audio Productsand Colour TV

ODM for Indian Market

Techneglas Glass Shell Technical Collaboration

Akai Audio Productsand Colour TV

ODM for Indian Market

Hyundai Colour TV ODM for Indian Market

Electrolux AB Sweden Refrigerator,Air Conditioner andWashing Machine

1.ODM & Indian Market2.Sourcing of components for

Global Market3.ODM for Global market

VISSION & MISSION

29

Videocon’s mission: a reflection of continuity and change

Videocon’s mission expression has been crafted to envelope both extant

and emerging realities:

“To delight and deliver beyond expectation through ingenious

strategy, intrepid entrepreneurship, improved technology, innovative

products, insightful marketing and inspired thinking about the future.”

A breakdown of the statement above reveals a ‘means and end’

approach, where the end is articulated at the beginning with the means linked

to it.

“To delight and deliver beyond expectation…”: the end

This segment not only underlines the importance of the ultimate goal -

customer satisfaction (‘delight’) and ultimate target - the customer, but also

of intermediate processes and principals, which have contributed to building

a robust, dependable Videocon value chain (‘deliver’). As a result of its

focus on developing loyal customers and reliable associates, Videocon is

able to exceed expectations.

“…through ingenious strategy…”: the means

In the cutthroat world of today, it is only by taking recourse to

advance planning and strategy that a business can hope to survive. Although

textbook strategy has its uses, reproducing it in verbatim for the real world

would be foolish because of the absence of textbook conditions. Thus, there

is a need for a bounded rationality, spontaneity and improvisation that is

30

flexible enough for scenarios both imaginable and unimaginable. Videocon’s

ingenious maneuvers are actually flexi-strategy that abstracts from shifting

ground conditions and decides game-plans, or sometimes changes the rules

of the game.

“…intrepid entrepreneurship…”: the means

An enterprise with the odds stacked against it makes great business

sense. This is because higher the obstacles, lower the number of players

likely to be active in that field - thus, fetching extraordinary returns. The

only requirement is a bold and confident attitude willing to brave the odds.

Videocon’s foray into oil and gas is a bold and intrepid endeavor that arises

from immense faith on the surefooted competence of the company’s in-

house managerial talent.

“…improved technology…”: the means

Technology is no more a premium input; it has become the bare

minimum in recent years. Rapid advances have only fuelled this

phenomenon. Videocon is extremely vigilant in shunting out dated

technology and replacing it with the best-in-class offers of the times.

“…innovative products…”: the means

Product development, innovation and customization are the tools

Videocon uses to stay ahead of the competition. This is because a continuous

stream of innovative products excites the market and enhances brand recall.

A strategy that Videocon banks on a lot, especially on the domestic front.

31

“…insightful marketing…”: the means

The market share battle scene has long shifted from technology and

processes to the psyche of the customer. This means that those with

deeper insights into the elusive mind of the buyer are likely to dominate.

Videocon is reinforcing marketing strengths to read better the pulse of the

market and help create products that map perfectly into customer

preferences.

“…inspired thinking about the future.”: the means

The future is unpredictable, but not doing anything about it is fraught

with grave risk. Videocon extrapolates future trends on the basis of current

changes in technology and preferences as well as sheer gut feel. Fine-tuned

business instincts are worth their weight in gold, lots of it. The company has

perfected its practice almost into an art form with some calculated gambles

like oil and gas proving to be absolute money-spinners.

VALUES & PHILOSOPHY

32

Shri Nandlal Madhavlal Dhoot, the founder of the Videocon Group,

completed his education in Ahmednagar and Pune. He was a successful

sugarcane and cotton cultivator. As a next logical step to vertical integration,

he boldly took upon an entrepreneurial venture by importing machinery from

Europe to set up the Gangapur Sakhar Karkhana (Sugar Mill) in 1955. Those

were the times when the village did not even have electricity. Thus was

unleashed an Industrial Revolution.

The die was cast. Over the years, Nandlalji's path-breaking attitude

found expression in a myriad ways, earning him the well-deserved reputation

of the pioneer of industrial activity in Marathwada.

In early 80's Nandlalji initiated his three sons - Venugopal, Rajkumar

and Pradeep into business. Through a technical tie up with Toshiba

Corporation of Japan, he launched India's first world-class color Television:

Videocon. Today, Videocon is household name across the nation- India's No.

1 brand of Consumer Electronics & Home Appliances, trusted by over 50

million people to improve their quality of life.

Late Shri. Nandlal Madhavlal DhootFounder, The Videocon Group

(26 February 1932 - 26 April 1993)A man of Ideas. A man of Substance.

A man of Vision.

33

Chapter (3)

ANALYSIS AND

INTERPRETATION OF

DATA

34

Table No. 01

Title:- Market display share of total Televisions of 21’’

Brand Units Percent

LG 240 22%

SAMSUNG 172 17%

ONIDA 123 12%

VIDEOCON 142 14%

SONY 142 14%

OTHERS 221 21%

TOTAL 1040 100%

Explanation:-

The above table represents the market display share of televisions of

21’’. The total number of units is 1041.

35

Source: Survey

Finding:-

In the market of televisions of 21’’, Videocon is at No. 4 position

giving competition to LG, Samsung and Sony.

Thus the brand image of Videocon is the fourth strongest.

Suggestion:-

The brand image of Videocon is weaker as compared to its

competitors like LG, Samsung and Sony. The organization thus should carry

out activities which may increase its brand image much more strong.

36

Table No. 02

Title:- Market display share of total Televisions of 29’’

Brand Units Percent

LG 118 22%

SAMSUNG 98 18%

ONIDA 89 16%

VIDEOCON 59 11%

SONY 88 16%

OTHERS 90 17%

TOTAL 542 100%

Explanation:-

The above table shows the market display share of the televisions of

29’’. The total number of units being 542.

37

Source: Survey

Finding:-

From the above graph it is clear that LG is leading in the market of

televisions of 29’’. Its market share is 23% to that of Videocon’s 11%.

Suggestion:-




38

Table No. 03

Title:- Market display share of total LCD’s/Plasma

Brand Units Percent

LG 91 26%

SAMSUNG 54 15%

ONIDA 25 7%

VIDEOCON 44 13%

SONY 54 15%

OTHERS 83 24%

TOTAL 351 100%

Explanation:-

The above table shows the market display share of the LCD’s and

Plasma’s. The total number of units being 351.

39

Source: Survey

Finding:-

From the above graph it is clear that LG is leading in the market of

LCD’s/ Plasma with 26% followed by Samsung – 15%, Sony – 15% and

Videocon – 13%.

Suggestion:-




40

Table No. 04

Title:- Market display share of total

Televisions/LCD/Plasma

Brand Units Percent

LG 449 23%

SAMSUNG 324 17%

ONIDA 237 12%

VIDEOCON 245 13%

SONY 284 15%

OTHERS 394 20%

TOTAL 1933 100%

Explanation:-

The above table shows the overall market display share of the

televisions, LCD’s and Plasma’s. The total number of units being 1933.

There are five major players in the market of TV/LCD/Plasma namely LG,

Samsung, Sony, Videocon and Onida.

41

Source: Survey

Finding:-

From the above representation it is very clear that in the market of

TV/LCD/Plasma, Videocon is enjoying No. 4 position with its display share

being 13% and the market leader is LG with 23%. Samsung’s share is 17%,

Sony with 15%, Onida 12% while the others sum up to 20%.

Thus we can analyze the brand image where LG has strongest

compared to Onida having lowest.

Suggestion:-




42

Table No. 05

Title:- Market share of total Television/LCD/Plasma

Source: Secondary Data from the Internet

Explanation:-

As per the Internet sources these are mainly five major players of

TV/LCD/Plasma in the market in descending order as LG, Samsung, Sony,

Videocon, and Onida. Thus we can analyze the brand image from the

diagram above.

43

Finding:-

From the above graph it is clear that Videocon is enjoying No. 4

position along with Sony where LG is at the top. Thus the brand image of

LG is the strongest. Thus the relevance of survey can directly be compared

with this data.

Suggestion:-



out activities which may its increase brand image much more strong.

44

Table No. 06

Title:- ADVERTISING ACTIVITIES {According to the Dealers(50)}

Activities No. Of Dealers.

TV Commercials LG SAMSUNG ONIDA VIDEOCON SONY

Excellent 8 6 5 3 3Good 22 20 18 12 11Fair 12 18 18 26 24Poor 8 8 9 9 10Total 50 50 50 50 50

Outdoor Activities LG SAMSUNG ONIDA VIDEOCON SONY


Press Ads/Magazines LG SAMSUNG ONIDA VIDEOCON SONY


Explanation:-

The following are the responses of the dealers regarding the

advertising activities carried out by the various companies. The total number

of dealers is 50. The responses regarding TV commercials, Outdoor

activities, and Press/Magazine advertisements are taken in category of

excellent, good, fair, and poor.

45

Finding:-

From the above chart it is clear that according to most of the dealers

the advertising activities carried out by LG and Samsung are far more

positive as compared to the other brands.

For TV commercials 30 out of 50 dealer’s response for LG is

Excellent/good compared to that of Videocon with only 15 out of 50 dealers.

Similarly for outdoor activities only 20 out of 50 dealer’s response for

Videocon is positive as compared to that of LG (40 out of 50 dealers).

In terms of press/magazine advertisements the Excellent/good

response of the dealers is, 40/50 for Samsung, 36/50 for LG, 29/50 for Sony,

23/50 for Videocon, and 16/50 for Onida.

46

Suggestion:-

Videocon has got many unique features that other brands do not have.

But the existing customers are unaware about these features. These features

are in need to be communicated in more effective manner as that

communicated by LG, Samsung, etc.

47

Table Nos. 07, 08, 09.Title: - ADVERTISING ACTIVITIES {According to the

customers (200)}

Table No. 07Activities No. Of Customers

TV commercials LG Samsung Onida Videocon SonyExcellent/Good 82 43 78 81 82

Fair/Poor 118 157 122 119 118Total 200 200 200 200 200

Table No. 08Activities No. Of CustomersOutdoor Activities

LG Samsung Onida Videocon Sony

Excellent/Good 115 101 65 84 122Fair/Poor 85 99 135 116 78

Total 200 200 200 200 200

Table No. 09Activities No. Of Customers

Press/ Magazine Ads

LG Samsung Onida Videocon Sony

Excellent/Good 139 142 99 117 128Fair/Poor 61 58 101 83 72

Total 200 200 200 200 200

Explanation:-

The following are the responses of the customers regarding the

advertising activities carried out by the various companies. The total number

of customers is 50. The responses regarding TV commercials, Outdoor

activities, and Press/Magazine advertisements are taken in category of

excellent/good, and fair/poor. Table no. 07 represents responses regarding

the TV commercials, table no. 08 regarding outdoor activities and table no.

09 regarding press/magazine advertisements.

48

Table No. 07

Table No. 08

Table No. 09

49

Finding:-

As this is the slack period of television sales most of the

customers do not come across TV commercials of various brands. However

outdoor activities and press/magazine advertisements show decent response.

LG and Samsung out cast all the other brands in almost all the

activities.

Suggestion:-

Now a days incentives and schemes play a vital role to lure the

customers. Lower middle class customers are more attracted towards gifts,

which must have long-term equity. Hence such schemes should be

implemented.

50

Table No. 10

Title:- ADVERTISING ACTIVITIES {Based upon

Observations}

Brand Dealers Out Of 50

LG 32

SAMSUNG 31

ONIDA 10

VIDEOCON 16

SONY 13

OTHERS 9

Explanation:-

This is how the dealers highlight a particular brand in their

showrooms. Total number of dealers is 50.

51

Source: Survey

Finding:-

32 Dealers out of 50 highlight LG in their showrooms while

only about 16 dealers out of 50 highlight Videocon in their showrooms.

Suggestion:-

Though Videocon’s reach to the local market dealers is good, its

reach to the modern trend of huge multi-brand showrooms, malls, etc is not

as effective as that of its competitors. The company has to target these

effectively to stay in the competition.

52

Table No. 11

Title: - BRAND PREFERRED BY THE CUSTOMERS

{Below Age of 40} (100 customers)

Brand No. Of Customers

LG 31

SAMSUNG 26

ONIDA 9

VIDEOCON 11

SONY 19

OTHERS 4

TOATL 100

Explanation:-

The above table represents the preference of the customers (below

age of 40). Total number of customers is 100.

53

Source: Survey

Finding:-

In the market, most of the customers below the age group of 40

prefer LG or Samsung as compared to the other brands. 31% customers

below age 40 prefer LG whereas only 11% prefer Videocon.

Suggestion:-

Most of the sales are accounted by the younger generation.

The company thus has to take appropriate steps to target this section. The

company should work on the color, design, and technology of the product to

make it more attractive.

54

Table No. 12

Title: - BRAND PREFERRED BY THE CUSTOMERS

{Above Age of 40} (100 customers)

Brand No. Of Customers

LG 22

SAMSUNG 21

ONIDA 17

VIDEOCON 20

SONY 12

OTHERS 8

TOATL 100

Explanation:-

The above table represents the preference of the customers (above

age of 40). Total number of customers is 100.

55

Source: Survey

Finding:-

The preference of older brands shoots up with the age of customers.

The old brands like Videocon and Onida are equally preferred by the older

generation. Here Videocon is preferred by 20% of the customers of age

group of above 40. This shows that Videocon is still popular with the older

generation of the customers.

Suggestion:-

The popularity of Videocon’s brand image can be seen in the older

generation. The company has to perceive this strength and implement new

policies, which can help to make an impact on younger generation too.

56

Table No. 13

Title: - Televisions Owned By The Customers.

Brand Units Percent

LG 35 18%

SAMSUNG 32 16%

ONIDA 39 19%

VIDEOCON 36 18%

SONY 12 6%

OTHERS 43 21%

NIL 3 2%

TOTAL 200 100%

Explanation:-

The above table represents the televisions owned by the customers.

Total number of customers is 200.

57

Source: Survey

Finding:-

The percentage of older brands owned by the customers is more than

the new brands like LG, Samsung.

Suggestion:-

The company needs to come up with new technologies and

innovations to sustain the competition in the market and enhance its sales.

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Table No. 14

Title: - Sale figures of TV’s for of the previous quarter.

(April, May, June)

Brand Units Percent

LG 9982 28%

SAMSUNG 10046 28%

ONIDA 4563 13%

VIDEOCON 5071 14%

SONY 6028 17%

TOTAL 35690 100%

Explanation:-

The above table represents the sale figures of the various brands of

TV’s of the previous quarter (April, May, June). These figures are primary

sale figures given by the branch offices of each brand.

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Source: Secondary Data collected from branch offices

Finding:-

We can clearly make out the impact of advertising activities and brand

image on the sales. As the activities of LG, and Samsung totally outcast its

other competitors the sale figures too report the same.

Suggestion:-

The impact of advertising and the brand image thus can be figured out.

The company thus has to make its advertising activities more precise which

can enhance its sales.

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Chapter ()

FINDINGS AND

SUGGESTION

61

FINDINGS

In the market of televisions of 21’’, Videocon is at No. 4 position

giving competition to LG, Samsung and Sony.

Thus the brand image of Videocon is the fourth strongest.

(With reference to Table No. 01, page no. 55)

From the graph it is clear that LG is leading in the market of

televisions of 29’’. Its market share is 23% to that of Videocon’s 11%.


From the graph it is clear that LG is leading in the market of LCD’s/

Plasma with 26% followed by Samsung – 15%, Sony – 15% and

Videocon – 13%.


From the above representation it is very clear that in the market of

TV/LCD/Plasma, Videocon is enjoying No. 4 position with its display

share being 13% and the market leader is LG with 23%. Samsung’s

share is 17%, Sony with 15%, Onida 12% while the others sum up to

20%.

Thus we can analyze the brand image where LG has strongest

compared to Onida having lowest.


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From the graph it is clear that Videocon is enjoying No. 4 position

along with Sony where LG is at the top. Thus the brand image of LG

is the strongest. Thus the relevance of survey can directly be

compared with this data.


From the chart it is clear that according to most of the dealers the

advertising activities carried out by LG and Samsung are far more

positive as compared to the other brands.

For TV commercials 30 out of 50 dealer’s response for LG is

Excellent/good compared to that of Videocon with only 14 out of 50

dealers.

Similarly for outdoor activities only 20 out of 50 dealer’s response for

Videocon is positive as compared to that of LG (40 out of 5o dealers).

In terms of press/magazine advertisements the Excellent/good

response of the dealers is, 40/50 for Samsung, 36/50 for LG, 28/50 for

Sony, 23/50 for Videocon, and 13/50 for Onida.


As this is the slack period of television sales most of the customers do

not come across TV commercials of various brands. However outdoor

activities and press/magazine advertisements show decent response.

LG and Samsung out cast all the other brands in almost all the

activities.

(With reference to Table No. 07, 08, 09, page no. 68)

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32 Dealers out of 50 highlight LG in their showrooms while only

about 16 dealers out of 50 highlight Videocon in their showrooms.

(With reference to Table No. 10, page no.71)

In the market, most of the customers below the age group of 40 prefer

LG or Samsung as compared to the other brands. 31% customers

below age 40 prefer LG whereas only 11% prefer Videocon.

(With reference to Table No.11, page no. 73)

The preference of older brands shoots up with the age of customers.

The old brands like Videocon and Onida are equally preferred by the

older generation. Here Videocon is preferred by 20% of the customers

of age group of above 40. This shows that Videocon is still popular

with the older generation of the customers.


The percentage of older brands owned by the customers is more than

the new brands like LG, Samsung.


We can clearly make out the impact of advertising activities and brand

image on the sales. As the activities of LG, and Samsung totally

outcast its other competitors the sale figures too report the same.


64

SUGGESTIONS


competitors like LG, Samsung and Sony. The organization thus should

carry out activities which may increase its brand image much more

strong.

(With reference to Table No. 01,02, 03, 04, and 05)

Videocon has got many unique features that other brands do not have.

But the existing customers are unaware about these features. These

features are in need to be communicated in more effective manner as

that communicated by LG, Samsung, etc.


Now a days incentives and schemes play a vital role to lure the

customers. Lower middle class customers are more attracted towards

gifts, which must have long-term equity. Hence such schemes should

be implemented.

(With reference to Table No. 07, 08, 09, page no 68)

Though Videocon’s reach to the local market dealers is good, its reach

to the modern trend of huge multi-brand showrooms, malls, etc is not

as effective as that of its competitors. The company has to target these

effectively to stay in the competition.


65

Most of the sales are accounted by the younger generation.

The company thus has to take appropriate steps to target this section.

The company should work on the color, design, and technology of the

product to make it more attractive.


The popularity of Videocon’s brand image can be seen in the older

generation. The company has to perceive this strength and implement

new policies, which can help to make an impact on younger

generation too.


The company needs to come up with new technologies and

innovations to sustain the competition in the market and enhance its

sales.


The impact of advertising and the brand image thus can be figured out.

The company thus has to make its advertising activities more precise

which can enhance its sales.

(With reference to Table No. 14, page no.79).

66

BIBLIOGRAPHY

APPENDIX

67

APPENDIX

QUESTIONNAIRE FOR CONSUMER

Date----/----/---- Product: TV/LCD/Plasma

1) Name Of The consumer: Mr./Mrs.________________________________

2) Age: ______

3) Address: _____________________________________________________

_____________________________________________

4) Which TV do you own?a) LG g) Haierb) Sansui h) Samsungc) Akai i) Onidad) Philips j) Videocone) BPL k) Sonyf) Toshiba l) Sharp

5) If you have to buy a TV, which brand will you prefer?a) LG g) Haierb) Sansui h) Samsungc) Akai i) Onidad) Philips j) Videocone) BPL k) Sonyf) Toshiba l) Sharp

6) Advertising Activities:-

A) TV commercials:-LG Samsung Onida Videocon Sony

ExcellentGoodFairPoor

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B) Outdoor Activities:-LG Samsung Onida Videocon Sony


C) Press/ Magazine Ads:-LG Samsung Onida Videocon Sony


69

QUESTIONNAIRE FOR DEALER

Date----/----/---- Product: TV/ LCD/Plasma

1) Name Of The DEALER:________________________________

2) Area/ Address: _______________________________________ ______________________________________

3) Observation:- Brands Highlighteda) LG d) Videoconb) Samsung e) Sonyc) Onida f) Others (___________)

4) Best Brand? As per Sales, Profit, Performance, Brand Image, Etc.a) LG d) Videoconb) Samsung e) Sonyc) Onida f) Others (___________)

5) Display Status:TV LCD/Plasma21’’ 29’’

LGSamsungOnidaVideoconSonySharpHaierPhilipsToshibaBPLOthers

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6) Last Month's SaleTV LCD/Plasma21’’ 29’’

LGSamsungOnidaVideoconSonySharpHaierPhilipsToshibaBPLOthers

7) Current Schemes, if any, on any of the brands?____________________________________________________________________________________________________________________________________________________________

8) Do you recommend any particular brand to customers? Yes/No

Reasons: - ___________________________________________ ___________________________________________

9) Advertising Activities:-

A) TV commercials:-LG Samsung Onida Videocon Sony


B) Outdoor Activities:-LG Samsung Onida Videocon Sony


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C) Press/ Magazine Ads:-LG Samsung Onida Videocon Sony


72

BIBLIOGRAPHY

Principles Of Marketing – Philip Kotlar & Gary Armstrong

Marketing Research – Sangeeta Agarwal

Principles & Practices Of Management – P L Mehta

www.videoconworld.com

www.economictimes.com

www.businessworld.com

www.wikipedia.org

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http://www.wikipedia.org/

http://www.businessworld.com/

http://www.economictimes.com/

http://www.videoconworld.com/