A Project On ABD's Marketing)
A Project On ABD's Marketing)
A Project On ABD's Marketing)
Submitted by
Amit Mehta
Reg.0906276086
2009-2011
Under the guidance of:
Mr. s.k. Das U.c. pujari
a.s.m (ABD) faculty of marketing
Bhubaneswar brmimit
A summer project Submitted in partial fulfillment of the requirement for the
award of degree in Master of Business Administration
PREFACE
To start any business the success entirely depends on the marketing
research done about the particular and the consumer attitude towards the
product. Marketing research plays a vital role in a business to make it
success.I have tried to put my best effort to complete this task on the basis
of skill that I have achieved during my studies
in the institute. I have tried to put my maximum effort to get the accurate
statistical data.
DECLARATION
I AMIT MEHTA students of BRMIMIT BHUBANESWAR [Semester
III] hereby declare that I have completed my project, titled ‘CONSUMER
SATISFACTION’.
The information submitted here in is true and original to the best of my
knowledge.
Signature of Student
AMIT MEHTA
CERTIFICATE
This is to certify that the present report of summer training in ”ALLIED
BLENDERS & DISTILLERS” is a result of genuine field survey carried
out by Amit mehta ” of (MBA) under my guidance and supervision.
This report is an outcome of extensive study on the Subject is
for partial fulfillment of the master in business administration .No part
of this book has been submitted for our other curriculum or published in
any other form.
INTRODUCTION
In the modern urban culture consumption of alcohol particularly among younger generation
has become very popular. Alcohol in various forms like whisky ,rum, vodka, wine, gin etc are
widely consumed by urbane population at various occasions like dinner parties, marriages, get
together, birthday calibration etc.
With the growing consumption of alcohol, the technology of its production, preservation,
transportation and or marketing in the recent years has witnessed phenomenal changes.
The so-called competition for this product in the market is from different other brands. Mass
media, particularly the emergence of television, has contributed to a large extent of the ever
growing demand for alcohol.
It is expected that with the sort of mass advertising, reaching almost the entire country and
offering various varieties annual demand for the product is expected to rise sharply in the
times to come.In any marketing situation, the behavioral / environmental variables relating to
consumers, competition and environment are constantly influx. The competitors in a given
industry may be making many tactical maneuvers in market all the time. The may introduce or
initiate an aggressive promotion campaign or announce a price reduction. The marketing man
of the firm has to meet all these maneuver and care of competitive position of his firm and his
brand in the market. The only route open to him for achieving this is the manipulation of his
marketing tactics.
In today’s highly competitive market place, mainly two players has dominated
the Indian industry UNITED BREWERS and SEAGRAMS
Alcohol Industry In India
International players
The major international players are Pernod Richard, Remy Cointreau, and Diageo (Diageo has
tied up with Radico for entering Indian markets in brown spirits)
Investment Rationale
Inherent Potential, Deregulation, western cultural influence and high entry barriers has helped
the industry in notching up higher sales growth. Alcohol sale is driven by the high GDP growth
and more people entering the drinking club with newly obtained prosperity or from up trading
from the existing brand.
Inherent Potential:
Since liberalization, the economy has been growing at steady pace with per capita income rising
from INR 23,222 in 2005 to INR 6,012 in 1991.
Shift from country liquor to IMFL is expected with rising per capita income and limiting the sale
of country liquor by states due to hygiene factor.
Industry has one of the lowest per capita consumption of both Liquor and Beer and also since the
margins are amongst the lowest...
NEW DELHI: The total consumption of alcoholic beverages in India is expected to touch 217.1 million cases in
2010, marking a growth of 8 per cent from the previous year, according to a report.
According to a report published by market research firm International Wine and Spirit Record (IWSR), the total
consumption of spirits in the country stood at 200 million cases in 2009. A case has 12 bottles, totaling nine
litres.
The Indian market for alcohol — mostly spirits and beer, as well as wine — totaled $14 billion last year, and
was one of the fastest-growing alcohol markets in the world. Imports account for only a tiny fraction of that, but
with India booming while demand elsewhere stalls, no international beverage company can afford to ignore it.
Over the next five years, the Indian market for alcohol is projected to grow at 10% a year — more than in
China, the U.S. and Europe combined, according to an estimate by KPMG India.
Drinking patterns in India are unlike those of any other major market. Hard liquor is far more popular than beer
and wine, with spirits accounting for about 70% of the market.
The Indian alcoholic beverages market is dominated by whisky, which accounts for more than half of the total
spirits consumed in the country.
The total consumption of whisky is estimated to be around 131 million cases in the current year, a rise of 10 per
cent from 119 million cases in 2009.
After whisky, rum is the most popular alcoholic beverage in India and the total consumption is estimated to be
at 42.4 million cases in the current year, a rise of 8.7 per cent from 39 million cases in 2009.
— is likely to grow by 7 per cent to 195.5 million cases of 7.8 litres each (1.52 crore Hecto Litres) in the current
year, as compared to 181.5 cases (1.41 crore Hecto Litres) in 2009.
IWSR is a London-headquartered market research firm that focuses exclusively on the global alcoholic beverage market.
The Indian alcoholic beverage market is currently dominated by local brands such as McDowell, XXX, Bagpiper, 8PM
and Officer's Choice, collectively known as the semi-premium segment.
The Vijay Mallya-promoted United Spirits, which has brands like McDowell and Bagpiper under its portfolio, is the
largest player in the segment — with sales of over 100 million cases per annum.
Diageo, the largest spirits maker globally, is the second-largest player in the country with brands like Johnnie Walker
under its portfolio.
Among domestic companies, Radico Khaitan — with brands like 8PM and Magic Moments — is the second-largest firm
after United Spirits in the country.
The Indian market for alcohol — mostly spirits and beer, as well as wine — totaled $14 billion last year, and was one of
the fastest-growing alcohol markets in the world. Imports account for only a tiny fraction of that, but with India booming
while demand elsewhere stalls, no international beverage company can afford to ignore it. Over the next five years, the
Indian market for alcohol is projected to grow at 10% a year — more than in China, the U.S. and Europe combined,
according to an estimate by KPMG India.
Liquor Companies in India
Ace Continental Exports - Manufacturer of beer
Amrut Distilleries - Supplier of dark rum, brandy and whisky
Champagne Indage - Producers of still & sparkling wine
Chateau Indage - Sparkling wines manufacturer
Cobra - Beer manufacturer
Dajeeba Vineyards - Red and white wine manufacturer
Kem Liquors - Rum and brandy bottling services
Liquors India - Manufacturer of liquor
ND Wines - Red, white and appetizer wines producer
Radico Khaitan, Rampur - Liquor manufacturer
Shaw Wallace - Producers of spirits and beer
United Breweries - Kingfisher - A leading brand of Indian beer from
the UB group
Vinbros & Co - Manufacturer of whisky, vodka, brandy, rum & gin
.
Good customer service is the life blood of any bussiness. Although new customers
are important and good customer service will help generate loyality and repeat
bussiness. With each satisfied customer bussiness is likely to win many more
customers through recommendations and remember, if we are not taking care of our
own customer, our customer will decrase. A customer satisfaction survey will help
us not only identify problem areas but will also demonstrate to our customer that
you care and are proactive in looking for ways to improve the service that you
provide.
Company profile
Allied Blenders and Distillers Pvt. Ltd. (ABD), a company
promoted by industry stalwart Mr. Kishore Chhabria. Acclaimed as a veteran in the spirits
industry, he has been spearheading the business for over 20 years. Leveraging on his expertise
and leadership, ABD has successfully added an array of exquisite brands of Indian Made
Foreign Liquor to his credit.
At ABD, their highly experienced and passionate management team ensures that they keep pace
with the changing business dynamics and global competition. Which is why, ABD have
strategically located their sales offices in 14 cities across four zones to ensure a pan-India
presence. Today, they are proud to be associated with some of the most popular brands in the
country and are poised to become the most admired liquor company.
Export Division:
Their flagship brand Officer's Choice not only has a strong equity base in India but also
amongst Indians in various international markets. Keeping that in mind, their export strategy for
overseas markets was to make their brands available in countries with a sizeable Indian
population. Thus, they aimed at focusing on countries like UAE, Sultanate of Oman, Bahrain,
Qatar and Malaysia.
At ABD, they've devised a unique packaging technique to help Officer's Choice create its own
brand identity overseas. In the IMFL segment across UAE - the biggest liquor market in the
Middle East - Officer's Choice is currently ranked as the second largest Indian brand.
Exports have been continuously growing on a year on year basis. ABD export volumes have
grown from 89000 cases in 2006-07, 260000 cases in 2007-08, 470000 cases in 2008-09.
647565 cases in 2009-10. And in the current year, they aim to grow by another 50% and hope
to cross 1 million cases mark. Apart from strengthening existing markets, the African markets
across East and West Africa too provide for exciting growth opportunities
EXPORT
700000
600000
500000
400000
647,565
300000
470,000
200000
260,000
100000 89,000
0
2006-2007 2007-2008 2008-2009 2009-2010
Vision
At ABD their vision, values and philosophy are at the heart of everything
they do. These are not just the foundation but also a testament to their
success.
Their Vision is:
“To be the most admired spirits company” recognised by their:
Shareholders for the value we create
Consumers for the quality and unique proposition of our brands
Customers for our fair business practices and the value that we derive
from selling and promoting our brands
Employees for our work ethics, environment and the opportunities for
growth and learning
Suppliers for our transparent and win-win buying policies
Regulators for operating within the framework of law and timely
paying their dues to the exchequers
Proper selection and procurement of right quality raw material i.e. ENA, Malt Spirit,
Grape Spirit etc.
Production of high quality De Mineralized Water
Focusing on process of maturation and blending
Proper filtration, ensuring high levels of clarity in our products
Analysis and measurement of product quality and finally bottling of packaging standards
Networks of ABD
Officer's Choice, is the 2nd largest brand in the prestige whisky segment in India. In FY
2009-10, Officer's Choice clocked a sale of 11.82 million cases i.e. a staggering growth of
27% over the previous year. This year the brand is poised to cross the 15.5 million cases
mark.
Officer's Choice whisky popularly known as 'OC' among its connoisseurs is respected and
trusted by millions. A favourite amongst its patrons; it’s now exported to more than 7
countries across the globe.
Officer’s Choice enjoys a high status amongst its current users and the brand name
symbolizes status, class, respectability & a sense of control. The fastest growing Indian
whisky brand is strongly identified and known by its unique "Appellate".
The brand is now positioned on the "Righteousness" platform with a baseline "Jagaiye Apne
Andar Ka Officer". The new campaign fuels the needs and aspirations of a common man
(central to the idea) to constantly do good and make the right choices in life.
Sale
cases(mllio.)
15.5
11.82
9.31
2008-2009
2009-2010
2010-2011
Product competitors
Senate
Aristocrat
DSP Black
Director's Special
Blender's Pride
Bagpiper
Mc dowel’s No.1
Green label
Manufacturers of Indian whisky
United Spirits, a division of United Breweries
Amrut Distilleries
Shaw Wallace
Mohan Meakins
Jagatjit Industries
Som Distillery
Khoday
Premier Distilleries
Allied Blenders and Distillers Ltd.
CLASS
Product Description
Launched in Nov '06; Class Grain vodka was launched as the Indians first grain
vodka in the regular segment.
Apart from the premium grain spirit; the charcoal filtration process used, makes the
blend smooth and pure. Class Grain vodka was ranked no. 1 in Smoothness in blind
tests conducted along with other premium vodka blends.
Most neutral of all spirits Vodka is a perfect mixer and that's why is used in making
cocktails. CLASS logo lives true to its character with the Inverted A in CLASS
looking like a martini glass and stirrer & olive therein, symbolizing a vodka
cocktail.
Targeted at the younger generation Class Grain vodka is positioned as Your ticket
to the A-CLASS life; the brand is gaining immense popularity across India.
Sale
3
2.5
1.5
cases(lak.)
1
0.5
0
2008-2009
2009-2010
2010-2011
Product competitors
Magic moment
White mischief
Volga
Jolly Roger
Product Description
With the launch of Jolly Roger Dark Rum, ABD has added yet another premium
brand to its impressive portfolio. Smooth rum blended with original matured
Jamaican Pot Still rum and natural spices; Jolly Roger is perfect for all occasions.
With its superior quality and international flavor, the rum offers its patrons a unique
blend at an affordable price. Satisfying the status needs of its consumers by offering
them a premium brand, Jolly Roger aims to successfully create a new segment
amongst rum drinkers.
Launched in select markets with a distinctive, stylish family shaped pack and a
special tamper proof cap across SKU’s, Jolly Roger is sure to set the pulse racing of
today's uber cool generation.
Jolly Roger is positioned as the Spirit Of Jamaica. The campaign "Get High On
Life……… Man" brings alive the Jamaican spirit and their Zest for life, creating
the desired imagery for Jolly Roger - fun, smooth, flirty yet sensuous and 100%
passionate. “An authentic dark rum for all occasions, Jolly Roger has a rich aroma and a well balanced, rounded taste that comes from a rare composition
of original matured Jamaican pot still rum and natural spices.
Product competitors
Mc Dowels xxx
Celebration
Old cask
WODKA GORBATSCHOW
Product Description
Wodka Gorbatschow was recently launched in India through a joint venture between ABD Pvt.
Ltd. and Henkell & Company, Germany under the name of Henkell & Company India Pvt. Ltd.
Wodka Gorbatschow, a renowned premium vodka is being produced in Berlin since 1921 and is
growing from strength to strength internationally. With a market share of over 20%, it is
Germanys leading brand of vodka and at the same time the third strongest performing spirits
brand in Germany. Wodka Gorbatschow is one of the top 15 premium vodkas in the world, and
with 1.4 million cases sold it is a member of the Club of Millionaires. In 2006, Wodka
Gorbatschow was awarded the Monde Sélection Gold Medal.
Wodka Gorbatschow is the first brand marking the Henkell - ABD alliance in India. The mutual
goal is to exploit the large and developing Indian IMFL market and to establish Wodka
Gorbatschow as a leading premium vodka brand. Henkell & Co brings to this venture its
immense international expertise and production know-how and provides marketing synergies
and financial support for the brand in India. We at ABD, on the other hand, provide Wodka
Gorbatschow with domestic expertise in the field of production and excellent distribution
network in the country.
The brand Wodka Gorbatschow is highly superior to the other Vodka brands available because
of its special triple-chilled filtration process - a technical innovation brought by Henkell to
India.
This unique filtration process, conducted at minus 12°C, after which the vodka is painstakingly
double-filtered over charcoal, makes the product extremely smooth and exceptionally pure.
Since its launch in July, 2008, Wodka Gorbatschow has shown enormous potential and promise
and has grown from strength to strength. The brand has sold 47,475 cases in FY 2009-10
recording a staggering growth of 252% and achieving a market share of 10% in its segment.
This year the brand is poised to cross 1.25 lakh cases
Product competitors
Fuel
Romanov
Smirnoff
Customer
Profile: The customer mainly who require the
above job done are as follows:
Students
Beetle shops
Paint contractors
Auto drivers, Bus drivers
Dhaba
Private job holders
Objective of the study
To understand the customer and their need in a given segment.
To build new customer through offering better products.
To know whether their is any problem in the existing products..
To analyze the market share of the company.
To study the consumer preference about ABD’s products.
To find out the market plan of the company over the competitors.
Scope of the study
The study is limited to the customer of alcohol products only.
This study was conducted to analyze the customer satisfaction
towards ABD products.
To find out how much an average customer is dissatisfied with the
products of ABD.
To know the market share of ABD products.
Research methodology
Research design:
“The formidable problem that follows the task of defining the research
problem is the preparation of design of the research project reputedly known as the
research design” a research design Is the arrangement of condition for collection
and analysis of data in a manner that aim to combine relevance to the blue print for
the collection measurement and analysis of data. The purpose of research is to get
the feedback from the customer to its customer satisfaction. It also help to know the
problem facing Allied blenders & Distillers and provide necessary steps to
overcome.
Type of research
The type of research used hears are exploratory and descriptive research.
Structured and unstructured close ended and open ended questionnaire
was used.
Sampling method
Random sampling method is used.
Field work
The area of field work is Bhubaneswar.
Methods of analysis:
Simple statistical and mathematical tool used for analysis. First data was
classified and tabulated, percentage has been calculated for better
appreciation and interpretation of data collected then inference were
drawn and graphical representation was used.
Data analysis
PRIMARY SECONDARY
Questionnaire
SHOP DETAILS
Segment sale
Premium Average Lower
Offer Advertisement
Consumer details
Occupation Income
Beverages consumption
Whisky Rum Vodka Beer
Other sale
ABD sale
91.85
25000
20000
15000
Total sales
ABD sales
10000
5000
0
90 ml 180 ml 375 ml 750 ml
12.6
Wodka Gorbatschow
Jolly Roger
Class vodka
18.89
Officer choice
66.68
Findings
Whisky is the most salable product in the product line
There is absence of enough product line & product range in ABD.
There is no premium or regular range whisky to attract youth.
There was lack of stock of vodka class and jolly roger at various
shops though having good sales.
Jolly roger is getting customer as customer likes it.
There is quality problem in vodka class.
Suggestion
BIBLIOGRAPHY
4. www.officerchoice.com
5. www.jollyrojer.com
6. www.classvodka.com
7. www.wodkagorbatschow.com