Doing training was really an opportunity before me and when I could convert my theoretical

knowledge into practical and of real world type. Fortunately, the company I got is a true

follower of the various principles of management and also is the one of the good company in

its segment of the industry. The working environment that I was being provided was

extraordinary and helped me a lot in delivering my work properly and with full potency of

mine.

I did my summer training in the United Spirits Ltd, where I found all the professionals are

very much committed to their work as well as they were all professionals enough. This

helped me a lot in getting a good deal of exposure. As I had to consult the Manager and

assistant manager, I felt myself, in the beginning, in a bit problem. But the cooperation of my

superiors at the work induced confidence in me to deal with my problems. But the

cooperation of my superiors at the work induced confidence in me to deal with my problems

whenever they came.

Since I had to complete my project within a limited time frame, this made me experience the

actual stress of the workplace. The way the boss supported me and his other subordinates was

a good example of coordination and good manager. This shows that in the corporate world

the superior officer should not only take care of the target fulfilled but also the behavioural

aspect of the subordinates.

Working with the colleagues was a great experience as I came to know that how a person can

work as a team in a multifarious industry to achieve the organizational goal. Many a times,

while working, I had to sacrifice my personal feelings and inspirations just to keep the

organizational interests in my mind by giving it the top most priority. Indeed, I always tried

to do justice with my duties even at the cost of my personal life for the time being. But this

could be a success, as I got continuous support from my guide as well as other officers &

colleagues.

So, at last I would like to thank my institution for providing me with the opportunity to do

summer training, I am also grateful to the United Sprits Ltd for providing me all the

assistance in completing my project.

Contents

1. Acknowledgement………………………………………………4

2. Declaration………………………………………………………5

3. Executive Summary…………………………………………….6

4. USL at a glance………………………………………………….7

5. Government Policies of Liquor Sector………………………..14

6. Introduction to Liquor Industry……………………………….15

7. Market Analysis…………………………………………………16

8. Brand Management In Liquor Industry……………………….18

9. Wines In India……………………………………………………21

10. Market Analysis Of Wines………………………………………22

11. Product and Brand Management For Wines…………………..26

12. Brand Equity Pyramid…………………………………………..28

13. Marketing Mix……………………………………………………30

14. Literature Review………………………………………………...33

15. Objective of the Study……………………………………………38

16. Research Methodology……………………………………………38

17. Data analysis and interpretation…………………………………40

18. Findings ……………………………………………………………65

19. Limitations of the Study And Recommendation………………...66

20. Bibliography……………………………………………………….67

21. Annexure ...........................................................................................

ACKNOWLEDGEMENT

Preservation, inspiration and motivation have always played a key role in the success of any

venture. In the present world of competition and success, training is like a bridge between

theoretical and practical working; willingly I prepared this particular Project. First of all I

would like to thank to thank Mr. Rrjesh Phanda (GM) for granting me permission to

undertake the training in their esteemed organization.

I express my sincere thanks to Mr Ajay Chandel (Project Guide) & others faculty members,

for their valuable suggestion and making this project a real success.

I also thank to Mr Rajesh Phanda (GM). Mr Sandeep Kalra (Sr Branch Manager),Mr Vivek

Jain(head of Marketing) Mr Sanjay Manchanda (ASM) MR Shailendra (ASM) and other staff

of who devoted their valuable time by helping me to complete my project.

Last but not least, my sincere thanks to my parents and friends directly or indirectly who

helped me to bring this project into the final shape.

Shailesh Tiwari

DATE:-

Executive Summary

Perceptual mapping has been used as a strategic management tool for about thirty years. It

offers a unique ability to communicate the complex relationships between marketplace

competitors and the criteria used by buyers in making purchase decisions and

recommendations. Its powerful graphic simplicity appeals to senior management and can

stimulate discussion and strategic thinking at all levels of all types of organizations.

Perceptual maps may be used for market segmentation, concept development and evaluation,

and tracking changes in marketplace perceptions among other uses. In the late Nineteenth

Century, Angus McDowell set out from the scenic Northern lands of Gaelic Britannica. The

purpose was to make available the products of the industrial revolution to thousands of

expatriate Britons serving the Empire in various parts of the globe. It was this spirit of

adventure that launched McDowell & Company in India. Perceptual mapping of different

liquor brands have been taken for the study because it is very essential for every company to

know that what the customer think about the brand and what are the attributes that attracts

customer attention. For this I have taken various factors for purchase intention on five point

Likert scale and also analyzed socio economic status of the respondents and correlated with

the kind of liquor they take and how frequently they drink. The sample size was 200 and data

was collected through one to one interaction. The data analysis was done by using Microsoft

Excel. Findings have suggested that The factor influencing purchase decision were

packaging, price, taste, availability, brand image, manufacturing process, manufacturing

place, manufacture reputation and promotional scheme. Out of these factor price, taste, brand

image and promotional schemes were found to be most important factor for purchasing liquor

brands. However other factor like manufacturing place and manufacturing process was not

very much known by consumer Out of 5 companies which were taken into consideration for

the rating of the best company in for, taste, quality and promotional schemes most of the

respondents were in favour of United Spirit and Seagram’s. The best company for this

variable was united spirit. The best company Scotch and premium whisky was United Spirits

and the second best company was Seagram’s. United Spirits and Seagram’s were found to be

the best value provider companies.

USL AT A GLANCE

In the late Nineteenth Century, Angus McDowell set out from the scenic Northern lands of

Gaelic Britannica. The purpose was to make available the products of the industrial

revolution to thousands of expatriate Britons serving the Empire in various parts of the globe.

It was this spirit of adventure that launched McDowell & Company in India.

It had its origins in a warehouse near Fort St.George in Madras (now Chennai), which in

those days was a major trading centre of the British Empire.

In 1951, McDowell became the prime acquisition of the United Breweries Group. Under the

able guidance of the founder of the UB Group, Late Mr. Vittal Mallya the company became

the first to manufacture Indian substitutes to foreign liquor .A new term - IMFL (Indian Made

Foreign Liquor) was coined. Since then, McDowell has been the indisputable market leader

as one of the largest fast moving consumer goods companies in the country.

The Name

The name „McDowell‟ originally came from the Gaelic word „Macdougall‟. „Dubh gall‟

means dark stranger, possibly to distinguish the dark haired Danes from the fair-haired

Norwegians. Angus McDowell, after whose name McDowell & Company Limited came into

being, was a squire of the Dougall ancestry.

He started a firm - McDowell, in the northern islands of Gaelic Britannica, which was

marketing the finer products of the Industrial Revolution to the Britons staying in various

corners of the empire.

In India, McDowell had its warehouses situated about a mile to the north of Fort St.George in

Madras.

From being one of the first names to be associated with the import of wines and spirits into

India as early as in 1898, McDowell has now grown to become the country’s undisputed

leader in the spirits market.

USL CORPORATE BACKGROUND

United Spirits Limited (USL) – the INR 4000 crore (USD 1 billion) spirits arm of the UB

Group – is India’s largest and world’s third largest spirits company. USL was earlier

McDowell and Company Limited. Besides Whyte and Mackay and Bouvet Ladubay being

100 % subsidiaries of USL, the company has a portfolio of more than 104 brands, of which

16 are millionaire brands* (selling more than a million cases a year) and enjoys a strong 59%

market share for its first line brands in India.

United Spirits‟ brands have won the most prestigious of awards across flavours, ranging from

The Mondial to International Wine and Spirit Competition (IWSC) to International Taste and

Quality Institute (ITQI); a total of 84 awards and certificates (as of December 2007).

The Company is known to be an innovator in the industry and has several firsts to its credit

such as the first premixed gin, the first Tetra pack in the spirits industry in India, first single

malt manufactured in Asia and the first diet versions of luxury whisky and vodka in India.

USL has a global footprint with exports to over 18 countries. It has manufacturing and

Bottling units in 67 locations across the country and in Nepal and supported by a robust

Distribution network to deliver its products to customers located anywhere in India. USL has

a committed 6000 strong workforce spread across its offices and distilleries in the country.

USL represents the merged entities of erstwhile McDowell & Co. Limited, Phipson Distillery

Limited, United Spirits Limited, Herbertsons Limited.

CHAIRMAN’S NOTE

It has been another extraordinary year for McDowell – a year which will be remembered not

only for the significant organic growth in the market but also for various bold initiatives that

have led to a number of acquisitions taking the combined UB Group’s Spirits Division to the

second place among the world’s largest spirits companies.

It is with particular pride that I am able to share the historic moment on June 14th, 2005,

when finally, McDowell was able to complete its acquisition of majority shares in Shaw

Wallace & Company which has, for long, been our traditional rival in the market place. The

coming together of these two spirits companies heralds a new era for the industry and for the

consuming public as we prepare to offer consumers greater choice than ever before while

averaging the combined strengths of marketing, distribution and manufacturing to produce

and sell our products more efficiently than ever before.

While the acquisition of Shaw Wallace stands out, particularly given the hard fought battles

that went on behind the scenes, a number of other strategic moves were initiated, all of which

will contribute to your Company’s pre-eminence in the days to come.

This acquisition clears the way for a complete integration of Herbertsons‟ operations with

that of McDowell and other companies of UB‟s spirits business. It has long been our dream

to build up a consolidated United Spirits entity. In pursuance of this goal, McDowell also

exercised its Call Option on the balance 15% shares in Triumph Distillers & Vintners Pvt.

Ltd. You will recall that TDV comprised the Indian business of Diageo, the world’s largest

spirits company.

I have mandated leading Merchant Bankers and other Advisors to take forward the

integration of the various spirits companies so that value to all stakeholders can be

maximized.

India is going through an unprecedented period of business confidence on the back of

sustained growth across all sectors. With nearly 100 million people to reach legal drinking

age in the next decade and the opening up of job opportunities, particularly in the services

and export sectors, I believe that our industry is set to see vigorous growth. The young

citizens of India are plugged into a virtual global economy and share many of the attitudes of

their age profile in the developed world. 10

Economies of scale and economies of purchase will work towards a structural upward shift in

the profitability of our business. Similarly, increased negotiation strength vis-à-vis our often

monopolistic customers will also be helpful in this regard.

All the momentous events of the year cannot eclipse the sterling performance of your

Company’s brands in the market place. Three of our brands, all under the McDowell’s No. 1

umbrella, have made it to the top 100 global alcohol brands by retail value. McDowell’s No.1

Whisky sold 5.5 million cases, McDowell’s No.1 Celebration Rum achieved 5.04 million

cases and McDowell’s No. 1 Brandy reached 4.8 million cases. Additionally, Bagpiper

Whisky – a brand of our Subsidiary.

Herbertsons sold a historic volume of 7.9 million cases making it 1st among the 4 UB Group

brands in the list.

However, I cannot underplay the challenges associated with the integration of two entities

that have fought against each other for so many years and have evolved under different

cultures.

In conclusion, I wish to thank the Board of Directors, Employees, Suppliers, Customers, and

Bankers and of course, you Shareholders for your consistent support to our Company.

Dr Vijay Mallya

Chairman

MISSION STATEMENT

“To be the most admired global leader in the spirits industry by creating unique high quality

brands for consumers, driven by highly motivated employees and supported by best-in-class

processes and continued innovations. United Spirits is and will continue to be responsible

towards its stakeholders and the society.”

Introduction to liquor industry

1. Alcoholic Beverage in India

Alcohol consumption is generally frowned upon in India even though we find reference to

intoxicating substances like “somarasa” in the ancient religious texts. Over the past years

there has been a significant change in alcohol consumption trends. Alcohol has become one

of the commonly consumed intoxicating substances in India. It has won increasing social

acceptance among other groups, urban males being the prime example. It is easily available

and widely used, especially at festivals such as Deepawali and Holi. At the moment the use of

alcohol is infrequent among women who also tend to resist the habit among male family

members. Between 15 and 20 per cent of Indian people consume alcohol. The past decade

has seen a significant increase in the consumption of alcohol. The number of drinkers has

increased from one in 300 to one in 20. Annual sales of alcoholic beverages are growing by

about 20 percent annually. Indian liquor brands have registered significant growth in recent.

The varieties of alcohol manufactured for consumption in India are: 1. Beer

2. Country Liquor

3. Indian Made Foreign Liquor (IMFL)

4. Wines

2. MARKET ANALYSIS

India can boast of an upwardly mobile young population with a propensity to spend. The

country has one of the youngest populations, with around 50% citizens below 25 years. With

a free media and increasing exposure to western influences India has become part of the

Globalized economy

.The Indian alcoholic beverage market has been growing rapidly over the last 10 years.

Consumption of beer has jumped 51% from 70 million cases in 2002 to 105 million cases in

2006 while consumption of Indian made foreign liquor (IMFL) grew 53% to 115 million

cases during the period. This increase is due to the positive impact of demographic trends and

expected changes, like:

1. RISING INCOME LEVELS

Because of the economic reforms since 1991 there has been a significant increase in the

income levels. Rising income levels have been seen as generally favourable to the alcoholic

beverage industry.

2. CHANGING AGE PROFILE

A large proportion of the Indian population is in the age group of 25-34 years. This age group

is the most appropriate target for alcoholic beverage marketers. Many global players are

planning to enter the Indian beer sector and they realize that a partnership with a local player

is important to establish a successful presence in India in a short time frame

.3. CHANGING LIFESTYLES

A deep-seated traditional social aversion to alcohol consumption has been a traditional

feature of the Indian society. However, as urban consumers become more exposed to western

lifestyles,

through overseas travel and the media, their attitude towards alcohol is relaxing. Social habits

are undergoing a transformation as mixed drinks are becoming more popular. The greatest

evidence of this trend is the increase in beer consumption among women. More and more

women are consuming beer – the penetration in metropolitan areas is almost twice as high as

the penetration in other large cities – implying that the greater tolerance towards alcohol

consumption in metropolitan areas facilitates the consumption of beer. With increasing

urbanization, this acceptance is only going to rise.

All these factors combined make the scenario very promising for beer industry and are 'in

sync' with their strategy for India.

India is a big and growing market with a weakness for spirits, especially whisky. This is not

surprising considering that in the wake of the reforms, as the social transformation gathered

momentum and global consumption patterns get increasingly assimilated, the country's moral

fabric is loosening. Drinking liquor has rapidly gained acceptance and is no more taboo --

even among the conservative middle-class but whose attitudes have changed with improved

standard of living has improved. Liquor companies have been quick to latch on to this trend.

In fact, the youth, women and middle-class overlapping segments – are being targeted by the

liquor companies looking for growth.

Strong beer (alcohol content in excess of 5 per cent), a category non-existent in developed

countries, has been growing at about 15 per cent in India for t he last two years, and already

accounts for 55 per cent of beer consumption. This trend is slated to continue. Thus, there is

significant latent demand and vast scope for growth in liquor consumption, both in the urban

and prosperous rural areas, once the e regulatory environment is relaxed. A little noticed

factor pertains to the gradual, but pronounced, shift of liquor consumers to the organized

sector. The Indian market has traditionally been inclined towards the unorganized sector,

which accounts for two-thirds of the liquor consumption in India. However, maturing tastes

and preferences are making the Indian liquor market more brand-led. This should promote

growth in the organized sector.

3. BRAND MANAGEMENT IN LIQUOR INDUSTRY

Building a strong brand for alcoholic beverage products has had a significant impact on sales

and profitability. Alcohol is a product which is not evaluated on functional features, it is a

product that is subjectively evaluated and hence branding is essential. For companies to

differentiate building a strong brand is a must.

In India, creating a strong lasting umbrella brand for the various products is crucial as there is

a restriction on promotion of alcoholic beverages. For example: Vijay Mallya’s King Fisher

products cannot be advertised however through other promotional activities, the King fisher

brand is promoted as the “king of good times”. SABMiller, for instance, sells a mineral water

called Royal Challenge, not coincidentally the name of one of its lagers.

3.1. Surrogate Advertisements

Advertisements have a strong influence in our life. We like them because they provide

information and create awareness about the market. But many times, some advertisements are

accused of misleading people. When such accusations are proved, some advertisements are

scrapped off from media. Such instances have been reported in the advertisements endorsing

alcoholic drinks and cigarettes. Hence the Government had imposed a ban on advertisements

of these products in the media in the year 2002.

As a reaction to the directive of Government, the liquor & tobacco majors sought other ways

of endorsing their products. They have found an alternative path of advertising through which

they can keep on reminding their liquor brands to their customers. They have introduced

various other products with the same brand name. Launching new products with common

brand name is known as brand extension, which can be carried out for related products (eg:

Kingfisher Airlines and Kingfisher Beer). In this case, the companies launch other products

with the same brand name for the purpose of reminding their old customers. Heavy

advertising is done so that the customers do not forget their liquor & tobacco brands, for

which advertisements are banned. The advertisements for such new products are placed under

the category of "Surrogate Advertisements". Their only objective is to compensate the losses

arising out of the ban on advertisements of one particular product (i.e. liquor). This is a

loophole challenging the Government's action.

The liquor industry is a prominent player in this game. Few surrogate advertisements shown

in print, electronic and outdoor media are - Bagpiper soda and cassettes & CDs, Hayward’s

soda, Derby special soda, Gilbey green aqua, Royal Challenge golf accessories and mineral

water, Kingfisher mineral water, White Mischief holidays, Smirnoff cassettes & CDs,

Imperial Blue cassettes & CDs, Teacher's achievement awards etc. These products bear

exactly the same brand name and logo, which we had seen earlier in liquor advertisements. It

was little surprising to know that liquor giants like McDowell's and Seagram's have entered

into new segments like cassettes & CDs, mineral water, sports accessories etc. Later it was

found that the basic aim of these surrogate advertisements was to promote their liquor brands

like beer, wine, vodka etc. This brand extension is an act of bypassing the advertisement ban.

Between April and June this year, three liquor ads which were termed as 'surrogate' by the

consumer complaints council (CCC) of ASCI, have been withdrawn. In case of a few other

advertisements which ASCI felt were surrogate, assurance of compliance is awaited from the

advertiser. Among the ads which were withdrawn, is United Breweries' Kingfisher Premium

ad which showed a visual depiction of a dancing couple with "packaged drinking water"

written in fine print. ASCI felt that the visual and the headline ("the night rocks") did not bear

any relevance to the product advertised - packaged drinking water. In the absence of specific

information, ASCI felt the advertisement appeared to be a surrogate advertisement for a

liquor brand. Another ad which was withdrawn after being declared surrogate was from

Diageo India. The complaint against this ad was that while it mentioned the brand name

'Johnnie Walker', it talked about CDs and cassettes, which bears no relation to the product or

service being promoted. ASCI upheld the complaint against the advertisement, which was

subsequently withdrawn. Similar was the outcome of United Spirits' Antiquity advertisement.

Though the ad stated "indulge in Blue Antiquity", it mentioned CDs and cassettes without

showing any visual depiction of the same. After ASCI's decision that it was indeed a

surrogate advertisement, the advertiser informed the watchdog about the temporary

suspension of the campaign as regards new ads. The existing advertisements of Blue

Antiquity have been withdrawn. Complaints against Seagram India's Royal Stag ("Make it

large") and Chivas Regal (which mentioned CDs and cassettes in fine print) were also upheld

by ASCI. The complaint against Seagram's Royal Stag ad was that it showed photographs of

sports personalities, though the line "make it large" has a connection

with alcoholic drinks. In absence of any visual depiction of cricket gear, and the mention of

the brand name 'Royal Stag', the complainant felt that the advertisement was a surrogate ad

for a liquor brand. One of the Chivas Life ads mentioned "ice fishing in Alaska". The

complaint against the ad was that while it mentioned CDs and cassettes in the fine print, there

was no visual depiction of the same.

The industry segment has its own standpoint in defence. The liquor lobby claims that

everything is in accordance to the Government regulations. They clarify that they have

stopped showing liquor advertisements and they are free to use the brand name for any other

products. Even the Confederation of Indian Alcoholic Beverages Companies (CIABC)

advertising code maintains that advertisement of products (real brand extensions) by the

liquor industry must be allowed

3.2. Positioning Strategy of the Market Leader

UNITED BEVERAGES Group owned by Mr. Vijay Mallya uses different strategies to

position its product in market. It has 60 % market share in Indian wine market. Its brand

Kingfisher has itself 25% share in market.

- Wine a Part of food

We can see in this ad it is written that, food tastes better with KINGFISHER. So, if you want

add taste to your food you have to take Kingfisher. They have positioned the product as a part

of dinner or lunch as we take water after food, take wine.

- Taste of an International Brand

Kingfisher has been positioned as international brand in the mind of customers, so if they

drink it they should feel that it is not any local liquor, it is an international wine, taken by all

across the world. - Positioning by Packaging

Kingfisher it is available in the packs, in which cold drinks are available, so it can be

positioned as substitute for cold drinks, when a person is tired, or want drink some for

energy, he can take the beer.

* KINGFISHER a Synonym of Style

As we can see in this ad also, it is written that, „drink your KINGFISHER in style‟. So if a

person is stylish, he will definitely go for this brand.

* Brand Positioning by Mr. Vijay Mallya

Vijay Mallya, it owner also does different kind of advertisement and publicity shows to

promote and position its brand as a different one in comparison with other brands. In one Ad,

he is shown with some young girls, so it gives a message, if a person wants same fun he

should take that brand. He also represents his generation which over 45, so, don’t let at that

stage also Take Kingfisher and Keep on Batting on front foot in life with enjoy and style.

4. WINES IN INDIA

Wine is an alcoholic beverage made by fermentation of grapes or grape juice. Global market

for wine is estimated at 25 billion liters. Compared to other countries, wine manufacture and

consumption in India is insignificant. This is attributed to earlier period of prohibition in the

country and higher price compared to spirits like whisky and brandy manufactured in the

country, referred to as Indian Made Foreign Liquors (IMFL). However, over the last few

years Indian wine industry has been steadily growing over the last ten years. Wine is

gradually becoming a part of urban Indian life style. Rising incomes of Indian population,

changing demography and exposure to new culture is adding to the higher consumption. The

market for wine is expected to grow at over 20 % per annum. The wine industry is both

competitive and challenging. It exhibits the characteristics of the consumer packaged goods

(CPG) industry –aggressive brand building supported by large advertising and event budgets,

combined with high manufacturing costs. But a key differentiation in the wine industry is the

relatively higher packaging costs– glass bottles, labels, foils etc. So a key challenge for

industry is maintaining lower costs were to control the cost of expensive packaging inputs.

Another challenge for the company was to manage the distribution of the finished goods.

Eighty percent of wine consumption in the country is confined in major cities such as

Mumbai (39%), Delhi (23%), Bangalore (9%) and Goa (9%). 22

There are new players entering the Wine playing field and India can now boast 3-4 large

Wine manufacturers with capacity of about a million cases per year. 2008 has been great year

for Indian Wine manufacturers as Indian Wines have won awards and acclaim in Europe and

U.S. Indian Wines however still are not very well accepted and there is still a resistance to

“Made in India” label. The real challenge for winemakers in India is to develop a domestic

market. Consumption of Wine when we compare it with the other alcoholic beverages is very

small. The younger segments are not drinking nearly as much wine – those aged 18-24

represent only 6% of wine consumed. They are spoilt for choice –a proliferation in alternative

purchase decision. There has been an explosion in the RTD (Ready to Drink) market and the

options available for many varied markets. The young customers are very focused on „brand‟

– they are „brand‟ savvy. They are open to brand promises, indeed look for Brands as a way

of making the choices they make all the time. Focusing on brand strengthening within these

key markets of tomorrow will be vital. While it is likely that young people of today will

gradually grow their wine consumption, it is by no means assured. Ensuring that a smooth

transition into wine consumption is possible will involve making wine easily accessible to the

average alcohol consumer, who may generally find making alternative selections such as beer

or RTDs easier.

5. MARKET ANALYSIS OF WINES

Both the Indian wine market and the indigenous wine industry are in their nascent stages, but

growing by leaps and bounds. Fifteen years ago there was no locally made wine that was

drinkable. Now there are three significant wine makers, all family-owned businesses, the

Chougules, the Grovers and the Samants. There is also great interest in wine makers from

France, Italy, Australia, South Africa, America, and Chile to enter the Indian market. The per

capita consumption of wine in India is only 9 ml, compared with 400 ml in China. Since the

two countries are often placed in the same economic bracket, this is being interpreted as a

huge latent demand in India.

During the year 2007-08, the total annual production of wine in India was 6.214 million

litres, out of this 5.4 million litres was produced in Maharashtra alone. This is a very small

fraction as compared to world’s annual production of 32,000 million litres. The country also

imports 72,000 wine cases (9 litres/case) in a year where 32,000 cases are bottled in origin

and remaining 0.36 million litres are imported in bulk flexi bags and subsequently bottled by

Indian wineries. The biggest consumption up to 80% is however confined to major cities like

Mumbai (39%), Delhi(23%), Bangalore (9%) and the foreign tourist dominated state of Goa

(9%), where as Rest of India has only 20% consumption. Some Indian wine makers have also

started importing foreign made wine and bottling and selling it here in India. Among the

importers; ITDC (Indian Tourism Development Corporation), Sansula, Brindco and E&J

Gallo predominate. There is a huge potential in Indian market itself. For export market, the

increasing popularity of Indian cuisine is an automatic opening. With more and more

professionals visiting India on regular basis, and the fact that Indian wine exports are going

up every year, word is getting spread very fast creating awareness of Indian wines in

International market.

5.1. MARKET POTENTIAL

The per capita consumption in India is only 0.07 litre/person/year as against 60-70 litres in

France and Italy, 25 litres in US and 20 litres in Australia and even China has 0.4 litres. The

Indian market is way behind major wine drinking countries. Consumption for Wine in India

is also very low when we compare it with the consumption of other alcoholic beverages like

Beer, Whiskey, and Rum etc. Given the healthy status and growth of alcohol beverage

industry on the whole there is tremendous potential for Wine. There has been much debate

about the precise number of potential consumers in India’s wine market. About half of the

Indian population meets the minimum drinking age of 25 years; however, that number is

greatly increasing as the Indian population matures. This maturity creates an opportunity for

younger generations to acquire a taste for wine, breaking from a tradition of hard liquor.

Although many Indian religions encourage abstinence from alcohol, few have formally

banned its use. Three Indian states maintain prohibition laws and others have set strict

regulatory measures on alcohol sales. On the conservative side there are about 24 million

potential Wine consumers, on the more realistic side the number goes up to 74 million. 24

5.1.1. TRENDS FACILITATING WINE GROWTH IN INDIA

- Increasing disposable incomes in the „shining‟ Indian economy.

- Changing life styles

- An increasing number of professionals coming back to work in India

- A growing awareness of the health benefits of wine Perception of wines as being up-market

and sophisticated - Low alcohol: entry into corporate boardrooms

- Wine is in fashion and probably the latest beverage that is “IN‟.

- Wine has started enjoying the patronage of hi-flyers and top notch in society.

- More acceptable to women

- Wine Clubs in Key cities

5.2. Market Segmentation

The Indian Market largely can be classified into two Segments

- Domestic

- Foreign Tourists

In the domestic market it is important to note that the majority of India’s population is rural.

Most of India’s poor reside outside of developed areas. Large, densely populated cities;

however, account for most of India’s middle and upper classes and therefore for the majority

of wine consumption in India. 25

5.2.1. AGE SEGMENTATION

The median age in India is about 25 years old, this demonstrates the fact that half of the

Indian population is not yet old enough to drink, and one quarter of the population is under 10

years old. In the coming years, 10 percent of the current population comes of legal drinking

age, bringing with them new views of wine which could influence them away from hard

liquors. The strength of India is in its youth who are familiarizing themselves with the world

beyond their borders.

5.2.2. Other Demographics – Income and Education

Income The gross national income (GNI) for India has risen to $800 per capita as recorded in

2006. This number, however, is greatly skewed because of the outliers in both extreme

wealth and poverty.

Education The education levels in India correlate with estimates for potential consumers.

Those 24 million who have attained college level degrees make up the majority of potential

wine consumers. The remaining 160 million or so who have finished secondary school

complete the bulk of the rising middle class of India.

Tastes, Preferences, and Presentation

The tastes and preferences of the Indian population err towards still wines, and more

specifically, table wines. Though a market exists for champagne and sparkling wines, these

varieties sell at a much lesser rate than the still wines. In general, slightly sweet wines and the

varietals of Sauvignon Blanc and Chenin Blanc are fairly popular and also pair well with

typical Indian dishes. Similarly, rose and blush have been projected as good fits for the Indian

market; however, the majority of sales have stayed on traditional still red and white wines. In

regards to presentation, wine producers have two different demographics in the Indian market

upon which to focus: the upper class and the general consumer. While the upper class prefers

the classic presentation, i.e. real cork, full bottle size, and dry red and white wines, the

growing consumer class in India gravitates towards approachable wine packaging, i.e. screw

caps, half bottle sizes, and sweet wines. 26

5.2.3. CURRENT CONSUMERS

- Senior executives, successful business people, high ranking officials, politicians.

- People with rich traditional background, i.e. “old money”.

- People who have had International Exposure and have travelled the world.

- Wine collectors, purchase from wine merchants (London, Tokyo, Singapore, HK)

- Can own some of the best wine collections in the world.

- Consume wines at fine dining restaurants, at home.

6. Product and Brand Management in Wine

6.1. Product

There are basically three types of wine:

- Table Wines (Still wines)

Table wines, also known as still or natural wines, are produced in many different styles and

make up the majority of wines on the market. Traditionally consumed as part of a meal, table

wines contain between 10 and 14 percent alcohol and are further classified by their colour,

sugar content, and the variety and origin of the grapes that were used. Most table wines are

fermented until they are dry i.e., all the grape sugar has been turned to alcohol by the yeast.

Slightly sweet or off-dry wines are made by stopping the fermentation before all the sugar is

gone or by adding grape juice back to the wine afterwards.

- Sparkling Wines

- Fortified wines

Depending on the grape variety and wine-making technique, wines can be white, red, or pink

in colour. In the Still wine or table wine category the Indian market is divided mainly into

two major 27

Categories: - White wines

- Red wines

Further all the wines available in the above categories are divided in following three

categories: - Domestic Indian Wine

This is the wine, which is produced from Indian grapes and bottled in India by the domestic

wineries. - Foreign Bulk Wine Bottled in India

Few large domestic producers import bulk wine and bottle it in India.

- Foreign Wine Bottled in origin

More than 200 brands are currently available in this category that are Imported by Domestic

players, Importers and Foreign players.

Wines are categorized using a number of different methods. Sometimes they are grouped into

different categories by grape variety, region of origin, by colour, by the name of the wine

maker or viticulturalist, or by production technique.

Product Life Cycle for Wine in India

Thus the real challenge for winemakers in India is to develop a domestic market, and that is

where the problem arises. There are a lot of myths associated with Wine - People believe

wine and curry do not go well.

- Traditionally wine lovers around the world have some kind of a mental block against Indian

wines. They are just not comfortable with the Made in India tag." - Confusion about storage

and usage.

7. A New Brand

As part of this project we have studied macro, micro aspects of the Wine industry and market.

We have also studied the brands that exist currently. From our study the following facts come

to 28

Light: - Huge potential of Wine market in India

- One or Two recognizable brands.

- Lack of clear brand positioning.

- None of the brands is targeting the young Wine consumers.

Brand Equity Pyramid

7.1. Target Segment

Consumers belonging to Generation X

- Aged 25 – 40

- Young professionals

- More open to western culture, while remaining true to their heritage

- Ready to experiment

- Spend on credit

7.2. Positioning

There no single sentence that defines our positioning statement. However, this matrix defines

our positioning perfectly.

Confident Stylish Creative

Original Innovative Challenging

Exciting Different Independent 29

7.3. Branding Activity

- Presence in Hotels

India is the home of some of the finest hotels and resorts in the world. Every major hotel

group is present in Asia and has an aggressive growth plan in the region. Indian groups are

now expanding in Europe and the US as well (Peninsula, Shangri-La, Mandarin, Oberoi, and

Taj). Hotels and resort is a key channel to develop the wine culture as windows of the

western way of living. Hotels will purchase wine from all origins and from all price points:

from house wines to sommelier list.

- Presence in Trendy Bars

Trendy bars offer similar type of entertainment experience as in Europe. These are places to

see and be seen, where trends are made, where east meets west. It is a key channel for

communicating with younger consumers. Good opportunity for new world wines. - Press

Activities

Improve awareness through well documented press articles. Inviting wine maker to the

market or the journalist to the winery.

- Merchandising

- Improve awareness through visibility at the point of sales.

- Especially relevant off trade: mass and specialized retail.

- More efficient if coupled with tasting or brochure distribution.

-Wine Displays at Point of Sale

- Wine exhibitions

4. Marketing Mix

One of the primary reasons for the low consumption of wine is consumer awareness. It is one

of the primary purposes of a marketer to spread awareness about their products as well as

educate the consumers about their products. Unfortunately promotion of alcoholic beverages

has been prohibited by the Government of India, so the marketer has to look to innovative

ways of promoting their brands using surrogate marketing.

According to Theodore Levitt, a marketer is a “mixer of ingredients”. Based on the target

market and positioning, marketing mix is presented here:

7.5. Product

If you haven’t got the product right all your branding effort will be in vain. When it comes to

Wine, the product is not just about the intensity of flavour, complexity, balance, texture and

length of flavour, it also includes the bottle, the label, the closure, and cases. Following are

some of the aspect of product that is planned:

- Caters to both Red wine & White wine drinkers

- High Quality

-Designer style bottle

- Packaging…..attractive capsules…the way it had been bottled…

- Wine Name will be aspiration & lifestyle based

7.6. Pricing

Quality Strategy: High quality with medium Price

Price Objective: Product Quality Leadership

Demand: Limited at beginning stage. So there is inelastic demand

Estimating Cost: Major costs will be grapes plantation, Sales Promotion & Advertising 31

Pricing Strategy

Pricing Method: In the beginning pricing method will be Going Rate Pricing so it shall be a

medium priced product and will help in Rapid Penetration. Pricing strategy will be partially

influenced by the prevailing prices in the market as ours is a new launch and our target

segment is young professionals who are new entrants to this category. So this kind of pricing

strategy will help our product to gain penetration.

7.7. Place

Key Point of Sales is

- Hotels

-Restaurants - Retail stores & super markets.

-Duty free shops

- Wine shops

Taking the logistics and transport activities slowly in our own hands. (Part of Forward

Integration strategy). It will help us in reducing the transportation time & cost. We will also

have better control of the quality of the product as norms for storage and transportation can

be followed.

7.8. Promotion

Direct advertisement and promotion in print and electronic media is not permitted in India so

we have to look for other methods of promotion. As wine is an asp rational product that is

often linked to a lifestyle of individuals. The following methods will help us in promoting our

product: -Celebrity Endorsement/Surrogate advertisement

- Wine tasting sessions at Page 3 parties.

- Sponsor a Social Evening.

- Offer an occasional WINE TOUR

- Freebies

- Wine exhibitions

- Improve awareness through visibility at the point of sales

- Especially relevant off trade: mass and specialized retail

- More efficient if coupled with tasting or brochure distribution

- By-the-glass promotion: the essential tool to develop the consumption of premium wines in

India - Can be supported by promoters in some restaurants/clubs

- Food Pairing: still nascent but very promising

- Improve awareness through well documented press articles

- Inviting wine maker to the market or the journalist to the winery Activities like wine tours,

sponsoring social evening etc will help us in positioning our Brand as an lifestyle product. It

will also generate awareness and induce curiosity among the target segment to try wine over

other alcoholic products.

Review of literature

Hooley, G. J(Jan. 1979) has studied perceptual mapping for product positioning in his article

“Perceptual Mapping for Product Positioning: A Comparison of Two Approaches” and has

stated that Multivariate techniques for market segmentation and product positioning can be

used by applying one of 2 approaches to the formulation of a perceptual map. The first

approach uses individuals' judgments of brand attributes which have been obtained through

earlier, qualitative research. The judgments are analyzed by using multiple discriminant

analysis to distinguish attributes between brands. The perceptual map's dimensions are

suggested by the attributes. The second approach is based on direct judgments of similarity

between brands which have been measured by ranking or rating pairs of brands. If the model

is to be of practical value to management, perceptions must be related to behavior or intended

behavior. This can be achieved by superimposing individuals' ideal points on the brand map.

Using brand attributes alone for mapping purposes may not lead to an operationally useful

model of consumer perceptions because of the existing possibilities of omitting important

attributes and including irrelevant attributes. Choosing the appropriate type of multiple

discriminant analysis is important if the model is to be of any use. The multidimensional

scaling method offers an alternative approach. It is the most costly and cumbersome but does

not have the inherent drawbacks.

Fassino and Michael J(.Jan 6, 1984) have given New Approach Eliminates Inherent

Shortcomings of Perceptual Maps and have stated that Perceptual maps illustrate market

segmentation by representing positions of a group of competing products relative to the basic

criteria consumers use when evaluating these products. The usefulness of conventional

perceptual mapping is limited by: 1. a special/geometric representation of data that is not

always the best way to communicate a relationship, 2. inability to show trends, and 3. the

possibility of overstating similarities/differences or representing relationships ambiguously.

A new approach to perceptual mapping, was developed to overcome these inherent

shortcomings. Similarity trees (SIMITREE) represents the distance between products in

terms of paths or trees. The more similar the products are judged, the shorter the paths are

that connect them. Initially, all products are equidistant from each other, but are pulled apart

or pushed closer together by their differential association with the various product features.

SIMITREE provides new insights into relative strengths and weaknesses of products in the

marketplace. 34

Michel J. ( Apr 1987)has studied that what people think about the products in his article

“Find Out How Your Product Is Viewed” and has stated that Before customer can make

choices, they must first perceive that: 1. alternatives exist, 2. products are somehow different,

and 3. the ways in which products differ are important. There are a set of powerful techniques

for modeling this primary and important phase of the choice/preference process. The

procedures, known as perceptual mapping, share 2 allied goals: 1. to determine the basic

attitudinal dimensions physicians or consumers use in differentiating products, and 2. to

locate precisely the relative position a set of branded or potential products occupies on these

basic dimensions.

Hauser, John R., and Koppelman, Frank S.( Nov 1979) have given Alternative Perceptual

Mapping Techniques in their article “Alternative Perceptual Mapping Techniques: Relative

Accuracy and Usefulness” and have stated that Perceptual mapping has been widely used in

marketing to: 1. analyze market structure, 2. design new products, and 3. develop advertising

strategies. However, theoretical arguments have developed and empirical evidence has

emerged which indicate that factor analysis is superior to discriminant analysis and similarity

scaling, which are the current techniques used. Factor analysis provides more accurate

predictive ability. It also facilitates managerial interpretability and ease of use.Factor analysis

is likely to be superior in developing measures of consumer perceptions in categories where:

1. the number of products in the average consumer's evoked set is relatively small, 2. there is

variation in the way consumers perceive products in the category, and 3. qualitative research

has identified a set of attributes likely to represent the product category. The results of a

single theoretical and empirical comparison may spur the need for continued research to

identify whether factor analysis is always superior or, if not, under what conditions the

alternative mapping techniques should be used.

Johnson, and Rick. (march 1988) have analysed Perceptual Mapping in their article

“Adaptive Perceptual Mapping” and have concluded that In marketing, most perceptual

mapping studies have the following objectives: 1. to learn how products in a class are

perceived with respect to strengths, weaknesses, and similarities with each other, 2. to find

out what potential buyers want, and 3. to learn how to produce or modify a product to

maximize its appeal to the target population of potential buyers. The Adaptive Perceptual

Mapping (APM) System from Sawtooth 35

Software can provide researchers with a useful interview tool divided into several distinct

sections. APM allows a market simulation using factor analysis to create a product space for

each separate respondent, containing product perceptions and ideal point. Respondents'

distances are changed to shares of preference, which in turn are aggregated over respondents

to produce the "base case" in which products are currently perceived. A series of simulations

in which products are repositioned in various ways then can be performed to achieve useful

marketing estimates.

Zaichowsky et al (july 2010) have studied the ways of Managing industrial brand equity in

their article “Managing industrial brand equity: Developing tangible benefits for intangible

assets” and have stated that Young and Rubicam's (Y&R) BrandAsset Valuator® (BAV),

commonly used to assess brand equity in consumer markets, was applied to assess the brand

health of an industrial B2B supplier. Customers were asked questions about perceived

esteem, relevance, knowledge and differentiation of the company to find its strengths and

weaknesses. The results were then plotted to reveal the overall customer perception of the

company and also its competitors. Through this plot, the strategic direction how to improve

the brand equity of the company became clear. Evidence suggests that the BAV can be used

in industrial markets to assess the brand equity of the firm.

Ashton A. S. et al.(July 2010) have stated “The relationship between perceived value and

intention to purchase” in their article Hotel restaurant dining: The relationship between

perceived value and intention to purchase” and have concluded that Restaurants affiliated

with the hotel industry play an important role in increasing revenue and responding

effectively to customer expectations. This paper examines how perceived value relates to

intention to purchase (ITP) in the context of hotel restaurant dining using a quantitative

approach involving multiple regression analysis. In addition, the findings indicate that there

are three significant key variables that positively contribute to ITP: perceived brand image,

perceived quality and perceived sacrifice (both monetary and non-monetary price)

Ziqi Liao and Xinping Shi. (2009) have explored consumer perceptions of Internet-based e-

retailing in a highly concentrated retail market environment in their article “ Consumer

perceptions of internet-based e-retailing: an empirical research in Hong Kong” and have 36

incorporated market and social factors to examine consumer attitude and behavioral intention

to use Internet-based e-retailing based on the survey data collected from individuals in Hong

Kong. The empirical results suggest that perceived usefulness and perceived ease of use have

positive impact on consumer attitude towards e-retail business. The easily accessible local

retail market and the concern about risk in the virtual environment significantly affect

consumer attitude and behavioral intention to use e-retailing. However, consumers may

consider using e-retailing if they are influenced by particular social groups. Future research

can be carried out along similar contextual dimensions to explore consumer behavior and

critical success factors of e-retail business in different geographical environments and social

contexts. The present findings have theoretical and practical implications for managing and

developing e-retail business.

Nan Kwon K et al (2008) have investigated the effect of perceived product characteristics on

private brand purchases and have stated that the effects of perceived product characteristics

(i.e. involvement, product type, and switching cost) and consumer value consciousness on

private brand purchase intent. A college student sample was surveyed to measure product

characteristic perceptions for six product categories and to evaluate private brand purchase

intent. Analysis of covariance was conducted for hypothesis testing. Support existed for the

significant effects of all three product characteristics on the intent to purchase private brands.

A moderating effect by value consciousness on the product type (search versus experience)

emerged. It is critical that retailers identify appropriate product categories as they develop

private brands. Private brand marketing strategies should be designed to reduce the level of

product involvement and switching cost, and to increase consumer perception of search

properties. The research is one of the few studies to test the effects of product characteristics

extensively and to provide related marketing implications

Yang, Xiaojing (2006) has investigated the impact of perceived advertising creativity in his

article “The impact of perceived advertising creativity on ad processing and response” and

have stated that For the cognitive route, perceived advertising creativity activates an open-

minded approach of information processing (heightened desire to postpone closure), which in

turn leads to fewer negative statements and more curiosity statements about the brand.

Accordingly consumers' brand attitude is more favorable and their intentions to view the ad

again and purchase are enhanced. For the affective route, the positive affect engendered upon

viewing 37

creative ads affects downstream ad processing and response variables by (1) indirectly

affecting consumers' desire to postpone closure (2) directly transferring to brand attitude and

intention to view the ad again.

Research objective

1. To analyze the factors influencing the purchase of liquor brands.

2. To study that if there is an significant relationship between monthly income and frequency of drinking and age group and kind of liquor

3. To analyse the attribute based position of liquor brand in the mind of consumers.

Research methodology

Research type –descriptive research

Secondary data Sources

The information has been gathered from authentic and reliable sources like Government agencies, Trade associations, Trade journals, Industry portals Newspapers, Company websites.

Primary data source

Primary data was collected by one to one interaction with the customers in Golf Club, SR Bar and Awadh Gymkhana Club At Lucknow.

Sampling Method

Convenience sampling.

Sample Size

The sample size of 100 respondents have been taken for the study

Data Analysis Method

The methods of Historical Trend Analysis, and industry Analysis, SPSS factor analysis, ANOVA, Discriminant analysis and Microsoft Excel analysis have been used.

Data analysis and interpretation

ANOVA

frequency of drinking

Sum of Squares df Mean Square F Sig.

Between Groups 153.295 4 38.324 40.877 .000

Within Groups 89.065 95 .938

Total 242.360 99

Interpretation and findings

Statement-to find out if there is any significant relationship between monthly income and

frequency of drinking.

Monthly income- monthly income coded as 1 for less than 10000, 2 for 10000-20000, 3 for

20000 -30000, 4 for 30000-40000 and 5 for more than 40000.

Frequency of drinking- frequency of drinking was coded as 1 for daily, 2 twice a week, 3

for once a week, 4 for twice a month and 5 for once a month.

Null hypothesis-there is no significant relationship between monthly income and frequency

of drinking.

Alternate hypothesis-there is a significant relationship between monthly income and

frequency of drinking.

Findings- the value of F arrived at through the F-test is 40.877 and its significance is

0.000whch s less than .05 ( because I have taken 95% confidence level)

Inference- As 0.000<.05, the null hypothesis cannot be accepted and I infer that there is an

significant relationship between monthly income and frequency of drinking.

ANOVA

kind of liquor

Sum of Squares Df Mean Square F Sig.

Between Groups 80.710 3 26.903 39.900 .000

Within Groups 64.730 96 .674

Total 145.440 99

Interpretation and findings

Statement-to find out if there is any significant relationship between age group and kind of

liquor

Age group. Age group coded as 1 for less than 25 years, 2 25-35years, 3 for 35-45 and 4 for

45 and above.

Kind of liquor- Kind of liquor coded as 1 for regular whisky, 2 for premium whisky, 3 for

scotch whisky, 4 for vodka and 5 for beer

Null hypothesis-there is no significant relationship between age group and kind of liquor

Alternate hypothesis-there is a significant relationship between age group and kind of

liquor.

Findings- the value of F arrived at through the F-test is 39.900 and its significance is

0.000whch s less than .05 ( because I have taken 95% confidence level)

Inference- As 0.000<.05, the null hypothesis cannot be accepted and i infer that there is an

significant relationship between age group and kind of liquor

Factor analysis

KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of Sampling

Adequacy..623

Bartlett's Test of

Sphericity

Approx. Chi-Square 247.288

df 91

Sig. .000

Kaiser-Meyer-Olkin Measure of Sampling Adequacy is .623 that is more than .5 that reveals

that sampling was adequate.

The Scree plot refers the stage 1 of the factor analysis that to decide how many factors to be

extracted from the data. As per thumb rule all factors with Eigen value of one or more should

be extracted. From the above Scree plot it is evident that 6 factor are having Eigen value 1 or

more than 1 that has been extracted.

Total Variance Explained

Comp

onent

Extraction Sums of Squared Loadings Rotation Sums of Squared Loadings

Total

% of

Variance

Cumulative

% Total

% of

Variance

Cumulative

%

1 2.943 21.024 21.024 2.187 15.621 15.621

2 1.596 11.401 32.425 1.859 13.281 28.903

3 1.462 10.439 42.865 1.586 11.328 40.231

4 1.284 9.168 52.033 1.406 10.043 50.274

5 1.076 7.688 59.721 1.196 8.540 58.813

6 1.015 7.247 66.968 1.142 8.155 66.968

Extraction Method: Principal Component

Analysis.

Rotated Component Matrixa

Component

1 2 3 4 5 6

1.packaging as a factor of influence

.083 .182 -.310 .070 -.710 .134

2.price as a factor of influence

-.315 .444 -.494 -.113 .219 -.040

3.availability as a factor of influence

.847 .096 -.104 -.001 .208 -.011

4.taste as a factor of influence

.854 -.186 -.024 .606 .205 -.049

5.alcohol content as a factor of influence

-.216 -.203 .253 -.059 .013 .677

6.brand image as a factor of influence

-.093 .037 .794 -.019 .023 .037

7.manufacturing place as a factor of influence

.134 -.458 -.534 -.050 .023 .236

8.brand ambassador as a factor of influence

.082 .341 .715 .324 .016 .235

9.promotonal schemes as a factor of influence

.081 .370 .199 -.636 .243 .240

10.manufacturer reputation

-.153 .082 .091 . 846 -.231 .081

11.waiter's advise -.442 .051 .390 .009 .497 .025

12.friend's suggestion -.037 -.767 -.002 .091 .111 .005

13.hang over .315 -.261 .025 .277 -.120 -.744

14.timing of drinking and purchase

-.502 .644 .091 .115 .042 .068

Extraction Method: Principal Component Analysis.

Rotation Method: Varimax with Kaiser

Normalization.

a. Rotation converged in 10 iterations.

Interpretation and findings

Looking at Rotated Component Matrix that availability and taste have loading of .847

and .744 this suggest that factor one is the combination of availability and hangover and that

can be interpreted as taste convenience.

Now factor 2 friends suggestion and timing of drinking have loading of .767 and .644 this

suggest that factor two is the combination of a friends suggestion and timing of drinking and

that can be interpreted as party time.

For factor 3 brand image and brand ambassador have loading of .794 and .715 this suggest

that factor three is the combination of brand image and brand ambassador and that can be

interpreted as branding elements.

For factor 4 manufacturer’s reputation is having loading of .846 this suggest that factor four

is manufacturer’s reputation and that can be interpreted as reputation of manufacturer.

For factor 5 packaging is having loading of .701 this suggest that factor five is packaging and

that can be interpreted as product look.

For factor 6 alcohol content and hangover have loading of .774 and .677 this suggest that

factor six is the combination of alcohol content and hangover and that can be interpreted as

consumption effect .

This is evident from above interpretation that out of 14 factors considered initially, 6 are the

above mentioned main factors that influence the purchase of liquor product. And from the

Total Variance table it constitutes 66.9% of cumulative variance.

Discriminant Analysis

Tests of Equality of Group Means

Wilks' Lambda F df1 df2 Sig.

taste of the product .780 41.914 2 297 .000

brand image of the products

.376 246.173 2 297 .000

promotional schemes .281 379.517 2 297 .000

availability of the brand .425 201.216 2 297 .000

Standardized Canonical Discriminant Function Coefficients

Function

1 2

taste of the product .190 -.247

brand imageof the products

.453 -.650

promotonal schemes .774 .067

avalablity of the brand .293 .900

Functions at Group Centroids

brand names

Function

1 2

white and Mickey -2.937 -.210

teachers 50 1.815 -1.231

Black dog 1.122 1.441

Unstandardized canonical discriminant functions evaluated at group means

X Y

taste of the product0.24557

80.07191

7

brand image of the products0.44554

20.43342

9

promotional schemes0.63938

60.47012

9

availability of the brand0.43864

5-0.89674

black dog-0.81292

0.240016

teachers 50 0.00035 -0.48034

White and Mickey0.81256

70.24032

6

PRECEPTUAL MAP

-4 -3 -2 -1 0 1 2 3

-1.5

-1

-0.5

0

0.5

1

1.5

2

Series2

Black Dog

White and Mickey

Teacher's 50

promotional Scheme

availability

Brand image

Taste

Interpretation and findingsThe perceptual map has been prepared for the three brands namely Black Dog, Teachers 50

and White and Mickey .the attributes that has been selected were brand image, taste,

availability and promotional schemes. Standardized Canonical Discriminant Function

Coefficients and Functions at Group Centroids were taken on two co ordinates. Function 1

was taken on x axis and 2 was taken on y axis the above graph represents the vectors for each

attributes brand image, taste, availability and promotional schemes. These vectors represent

the effect of discriminating on each dimension. Longer arrow pointing more closely towards

given group centroid that is the brand name represents the variables are most strongly

associated with that particular group (brand). As from the graph Black Dog, Teachers 50 and

White and Mickey have their unique position on the map. On the same map value of

attributes have been plotted. From the above graph it is clear that Black Dog seems to be

stronger in promotional schemes and availability, Teacher’s 50 seems to be strong in brand

image and taste while White and Mickey seems to be weak in all the attributes.

Suggestions

1. Company should consider age group and monthly income of the customer before

launching a new product or to reposition existing products in the market.

2. White and Mickey should be given special consideration.

Questionnaire

Hello Sir,

I am Shailesh Tiwari , doing a research on perceptual mapping of different

liquor brands. Would you like to answer some question? It will hardly take 10

minutes .

Great , now my questionnaire starts with…..

1. Your name?

…………………………………………………………………………………………

……………………..

2. Age group

Below 25 years

25 to 30 years

35 t0 40 years

40 to 45 year

Above 45 years

3. Educational qualification

School level

Undergraduate

Postgraduate

Professional

4. Your monthly income

Less than 10000,

10000 to 20000,

20000 to 30000,

30000 to 40000,

More than 40000

5. Your occupation

Private sector employee

Public sector employee

Self-employed

Student

6. How often do you drink?

Daily,

Twice in a weak,

Once in a weak,

Twice in a month,

Once in a month

7. Which kind of liquor do you often take?

Regular whisky Premium whisky Scotch whisky Vodka

Beer

8. From where do you get know about liquor brands?

From wine shops From friends and relatives From banners

and posters

9. Please rate the influence of following factors on your purchase of liquor

brands.

(Most important 1 to least important 5 )

Packaging

Price

Availability

Taste

Alcohol content

Manufacturing place

Manufacturing process

Brand ambassador

Brand image

Promotional schemes

Manufacturer’s reputation

Friends suggestion

Time of purchase and consumption

Hangover

11. Please rate the brand i.e Black Dog, Teachers 50 and White and Mickey on

availability, Taste, Brand image and Promotional schemes (1 for very good, 2

good, 3 neutral, 4 bad, 5 very bad)

Availability brand image taste promotional scheme

Black Dog

White and Mickey

Teacher’s 50

Thank you very much for your co-operation. Have a wonderful evening.