market research on salt

7/28/2019 market research on salt

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Survey on


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Introduction

Traditionally the worlds largest salt producer, the U.S. was surpassed in2007 by China. Each produce about 50 million tons of salt, combining for40% of total world salt production.

India-Third largest salt producing country in the world (after US and China)

with an average annual production of about 148 lakh tones

Per capita consumption of salt in the country is estimated at about 12 kg

Now, salt production of India is 18 to 20 millions tons per annum .

-From http://www.saltinstitute.org
http://www.saltinstitute.org/http://www.saltinstitute.org/


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Distribution

Railways transport salt from three surplus states to the entire

length and breadth of the country. The remaining moves by road andwaterway.

Exported mainly to Japan, Philippines, Indonesia, Malaysia, Nepal, andBhutan etc.

India for the firstime, exported 32,500tonnes of common salt to the US duringDecember 2002

-From http://www.economywatch.com
http://www.economywatch.com/http://www.economywatch.com/


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Size

Salt production of India is 18 to 20 millions tons per annum .

Average annual production-148 lakh tones in India

Indian salt industry growing at 20 % pa.

Private sector contributing over 95% of the salt production

-From http://www.economywatch.com
http://www.economywatch.com/http://www.economywatch.com/


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Objective

To find the CORRECT target audience towhom to market our brand of salt.

To differentiate our product from otherproducts.

To check if age and consumption ofiodized salt are dependent on each other.

To analyze salt consumption based onage and occupation.


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Research Methodology

Primary data obtained by fillingquestionnaires with a sample size of200.

Secondary data obtained from

various sites on the internet.


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Analysis of Data


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Top of Mind Awareness


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Source of Purchase

Buy salt from

Frequency Percent Valid PercentCumulative

Percent

Valid Kirana stores 110 55.0 55.0 55.0

Malls 65 32.5 32.5 87.5

others 25 12.5 12.5 100.0

Total 200 100.0 100.0


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Source of Purchase


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Reason for Purchase

First thing noticed about the brand in use

Frequency Percent Valid Percent

Cumulative

Percent

Valid brand name 72 36.0 36.0 36.0

quality 63 31.5 31.5 67.5

price 26 13.0 13.0 80.5

size 18 9.0 9.0 89.5

packaging 16 8.0 8.0 97.5

availability 5 2.5 2.5 100.0

Total 200 100.0 100.0


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Reason for Purchase


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Demographics-by age


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Demographics-by occupation


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Descriptive Statistics

N Mean

Availability of Tata 200 1.38

Availability of Captain cook 200 2.48

Availability of Annapurna 200 3.09

Availability of Surya 200 3.44

Availability of Aashirvad 200 3.75

Valid N (listwise) 200

MMDS Availability


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MMDS Availability


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N Mean

Color of pack of Tata 200 1.82

Color of pack of Captain

cook200 2.54

Color of pack of Annapurna 200 3.06

Color of pack of Surya 200 3.26

Color of pack of Aashirvad 200 3.55


MMDS Color


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MMDS Color


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N Mean

Iodine of Tata 200 1.80

Iodine of Captain cook 200 2.46

Iodine of Annapurna 200 2.89

Iodine of Surya 200 3.24

Iodine of Aashirvad 200 3.74


MMDS Iodine


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MMDS Iodine


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N Mean

Texture of Tata 200 1.93

Texture of Captain cook 200 2.44

Texture of Annapurna 200 2.96

Texture of Surya 200 3.23

Texture of Aashirvad 200 3.74


MMDS Texture


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MMDS Texture


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Monthly Consumption


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Usage of Iodized salt


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Advertisements seen-as per age


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Chi-Square test

Is usage of iodized salt dependent on age?

Hypothesis:

H0: Usage of iodized salt is independent of age

H1: Usage of iodized salt is not independent of age


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Case Processing Summary

Cases

Valid Missing Total

N Percent N Percent N Percent

Use iodized salt * age 200 100.0% 0 .0% 200 100.0%


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Chi-Square Tests

Value df

Asymp. Sig.

(2-sided)

Pearson Chi-Square 5.767a

2 .056

Likelihood Ratio 6.213 2 .045

Linear-by-Linear Association .694 1 .405

N of Valid Cases 200

a. 0 cells (.0%) have expected count less than 5. The minimum

expected count is 7.25.


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Symmetric Measures

Value

Asymp. Std.

Errora

Approx. Tb

Approx. Sig.

Interval by Interval Pearson's R .059 .059 .833 .406c

Ordinal by Ordinal Spearman Correlation .054 .060 .765 .445c

N of Valid Cases 200

a. Not assuming the null hypothesis.

b. Using the asymptotic standard error assuming the null hypothesis.

c. Based on normal approximation.


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Conclusion

Value of p as per the Pearsons Chi Square test is 0.056,which is more than 0.05. hence we accept H0 and concludethat usage of iodized salt is independent of age.

Since 0% cells have expected count < 5, Chi Square test isa good test to be used in this case.


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Our Biggest Competitor- TATA Salt


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Some facts about Tata salt:

The brand is the biggest packaged salt brand in India, witha market share of 17% commanding a sales share of Rs3.74 billion out of the total estimated market for packagediodized salt in India which is worth Rs. 21.7 billion.

Tata Salt reaches around 3.75 Crore Households in Indiaaccording to the IMRB Household Panel.

Amongst a few vacuum evaporated salt brands.

Available in 500 gm, 1 kg, 2 kg sizes.

Most popular is 1 kg pack with MRP Rs.14-From http://www.wikipedia.or
http://www.wikipedia.org/http://www.wikipedia.org/


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CrystalThe Nutritive Salt


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Crystal Salt MarketingStrategies

Free sampling before launching

Attractive packaging

Traditional marketing using media like

TV and newspapers.

Sponsor cooking contests and TV shows

Website that showcases recipies by

Tarla Dalal


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Crystal Salt ProductDifferentiation

Less Sodium content-and fortified with mineralsand vitamins

Convenience-500 gms or smaller sized packets

Sachets

Celebrity endorsement by Tarla Dalal


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Crystal salt - Positioning

Positioned as the salt fortified with minerals andvitamins. Less sodium content, but sufficiently highiodine content

Product positioning:

Healthy for the entire family emotional connect


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Crystal Salt Getting 4Ps right

Product: High levels of purity and quality by using technology like vacuum evaporation

to eliminate impurities

Packaging-To attract ladies

Price: Cheaper than the market leader TATA salt

Place:

Initially in smaller markets, distribution in malls and kirana stores, howeveremphasis on kirana stores.

Promotion: Ads which show babies and mothers, emphasis on purity and nutritive value

of the salt

Documents

market research on salt