PREFACE

Preparing a project of this nature is an arduous task and I was

fortunate enough to get support from a large number o persons. I wish to

express my deep sense of gratitude to all those who generously helped in

successful completion of this report by sharing their invaluable time and

knowledge.

It is my proud and previledge to express my deep regards to

Respected HOD Dr.Pramesh Gautam, Head of Department of

Management Studies SVNU, SAGAR for allowing me to undertake this

project.

I feel extremely exhilarated to have completed this project under the

able and inspiring guidance of Miss Sweta Rajput she rendered me all

possible help me guidance while reviewing the manuscript in finalising the

report.

I also extend my deep regards to my teachers , family members ,

friends and all those whose encouragement has infused courage in me to

complete to work successfully.

SHALINI GARG

MBA IST SEM.

ACKNOWLEDGEMENTPreparing a project of this nature is an arduous task and I was fortunate

enough to get support from a large number o persons. I wish to express my deep

sense of gratitude to all those who generously helped in successful completion of this

report by sharing their invaluable time and knowledge.

It is my proud and previledge to express my deep regards to Respected , Head

of Department Dr.Pramesh Gautam, Department of Management Studies ,

SVNU, SAGAR for allowing me to undertake this project.

I feel extremely exhilarated to have completed this project under the able and

inspiring guidance of He rendered me all possible help me guidance while reviewing

the manuscript in finalising the report.

I also extend my deep regards to my teachers , family members , friends and

all those whose encouragement has infused courage in me to complete to work

successfully.

SHALINI GARG

MBA IST SEM.

DELCLARATION BY THE CANDIDATE 2

Date :

I declare that the project report titled " MARKETING STRATEGIES OF TOP FIVE

BRANDS OF TEA" on Market Segmentation is nay own work conducted under the supervision of

Miss Sweta Rajput Department of Management Studies , SVNU, SAGARTo the best

of my knowledge the report does not contain any work , which has been submitted for the award of

any degree , anywhere.

SHALINI

MBA IST SEM.

CERTIFICATE 3

The project report titled titled " MARKETING STRATEGIES OF

TOP FIVE BRANDS OF TEA" been prepared by SHALINI MBA IST Semester ,

under the guidance and supervision of Miss Sweta Rajput for the partial

fulfillment of the Degree of MBA

Signature of the Signature of the Signature of the

Supervisor Head of the Department Examiner

CONTENTS PREFACE ACKNOWLEDGEMENT CERTIFICATE DECLARATION

CHAPTER – I INTRODUCTION ABOUT PROJECT AN INSIGHTOF COMPANY HISTORY

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MISSION AND VISION STANDING POSITION OF COMPANY BRAND VALUE

CHAPTER – II OBJECTIVE OF THE STUDY CHAPTER – III RESEARCH METHODOLOGYCHAPTER – IV MARKET ANALYSIS

OVERVIEW BRANDS

CHAPTER – V CONSUMER GROUPS CONSUMER BEHAVIOUR

CHAPTER – VI PRODUCT PROFILE PLAN FOR PRODUCT MIX PRODUCT RANGE

CHAPTER – VII MARKETING STRATEGY PRICING POSITION AND DISTRIBUTION PROMOTION

CHAPTER – VIII ABOUT COMPETITORS COMPETITOR FOR PRODUCT PRICE OF COMPETITOR PRODUCT

CHAPTER – IX DATA ANALYSISAND INTERPRETATIONCHAPTER – X LIMITATIONCHAPTER – XI CONCLUSION & SUGGESTION BIBLIOGRAPHY QUESTIONNAIRE

ABOUT TEA

Tea is a part and parcel of Indian social, economic and cultural life.  Indians cannot

think of a day without their favorite cuppa tea. Tea is the most popular non-

intoxicating beverage in the world enjoyed by the rich and poor alike.

Tea is both an official and unofficial drink. A drink popular with the

intellectuals and the happy-go-lucky crowd.  The Annual Book Fair of Kolkata,

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India, is dotted with tea stalls.  Indian literature and especially Bengali literature is

replete with incidents of steamy discussions over tea. In India, we have less of formal

tea parties, in British style. "Adda" or an informal get-to-gather is what we usually

associate with tea. Roadside tea is immensely popular among the masses. It is quick,

convenient and has a unique taste. 

The Indian Tea industry was founded in the first half of the 19th century with

the discovery of wild tea plants in Assam. Gradually, tea was cultivated, local tea

markets came up and tea companies were formed. Tea is finally packed into wooden

chests or jute bags for delivery to warehouses before being auctioned. Tea from the

gardens is also packed into consumer packs and sent to distributors. Being one of the

world's largest producers of tea, India requires a large network of tea producers,

retailers, distributors, auctioneers, exporters and packers. The tea industry of India

acts as one of the largest workforces in the country.

Tea is one of the most refreshing and popular beverages of the world. India is

one the largest Tea producer in the world. Indian tea is the finest quality in the

world. Tea is being cultivated in the high ranges of Northern and Southern India.

HISTORY OF TEA

Tea is often thought of as being a quintessentially British drink, and we have been

drinking it for over 350 years. But in fact the history of tea goes much further back.

In the world, tea is second only to water in being the beverage of choice. It has many

uses, such as to bring on sleep, restore good health, calm in times of stress, and

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simply add to the enjoyment of a solitary afternoon by the fire or a good old chinwag

with friends. It can be taken hot or iced, plain or with lemon, milk or sugar, and

drunk from a hefty mug.

The word tea refers to the leaves or flower buds of the shrub Camellia sinensis and is

known as pure teas; however infusions can be made from steeping any leaves,

berries, flowers, root, bark or seeds in boiling water. The Chinese first brought to

light the pleasures of tea drinking around 4,000 years ago, and called it “the gift of

heaven”. It was first referred to in the writings of the emperor Shen Nung in about

2737BC, and legend has it that he insisted that his drinking water always be boiled,

as he had noticed that those people who did so appeared healthier than those who did

not. One day as the water was boiling, some leaves from an overhead branch blew

into the pot; he was attracted by the fragrance, drank it and voila! The venerable cup

was born.

The cultivation of tea gradually spread to Japan and the Far East, and was brought to

Europe in the sixteenth century by Portuguese merchants in Lisbon. It was

transported by Dutch traders who formed the Dutch East India Company, who began

to trade directly with the Orient. It was taken in France in 1636 and Russia in

1638.As the popularity of tea drinking grew in England in the mid 1600s, that of beer

and wine declined, minimizing tax revenue; to balance out this loss Charles II

introduced the first English tea taxes in 1660. Thus the black market in tea took hold

and flourished.

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By 1750, the tea craze grew into “tea gardens”; beautifully landscaped areas where

the most fashionable people of the time would gather to discuss the topics of the day

and to pose in all of their finery. In the mid 1800s, Anna Duchess of Bedford made

popular the idea of afternoon tea in the home, when she became hungry between

lunch and the evening meal which wasn’t due to be served until at least 9 pm. She

asked that a few sandwiches, cake and a pot of tea be brought to her to stave off her

hunger and the habit was born when she asked friends to join her on subsequent

occasions.

After the advent of the East India Trading Company when England began doing

business directly with the East, the first commercial tea plantations in India were

started. In the 1930s another fad hit – tea dances. These were held in hotels and local

halls, and attracted hundreds of people during weekend afternoons, where they would

gather to eat, drink and dance to the sounds of the big bands. During World War II,

the government made sure that all factory workers were provided with tea in spite of

the rations, in order to maintain morale – a ritual that was unmovable by the hand of

God or man!

Tea drinking was slow to catch on in the Americas, after William Penn brought it to

the Quaker colony in 1682. Then as cities such as New York grew, tea gardens as

fashionable as those in England became popular; in the ten years before the

Revolution, 7,800,000 gallons of tea were drunk by 1.5 million people. Alas though,

the issue of taxes reared its ugly head, resulting in the famous Boston “Tea Party”,

causing the rapid decline in tea as a beverage of choice.

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Herbal teas other than Camellia sinensis have been brewed for thousands of years;

more often they were drunk not just for pleasure but for healing purposes. Plato

referred to them in 410BC, Aristotle in 480BC and his student Theophrastus wrote

“On the History of Plants”, advising of the uses of herbs. The Roman Pliny the Elder

in 77AD in his work “Natural

History”, referred in detail to the process of growing herbs for both culinary

and medicinal uses. In England herb teas were widely used, and many of those who

came to America brought seeds with them; chamomile, balm, elderflower and mints

were the most widely grown. After the Boston fiasco, many folk banned the use of

imported tea, and so it was only natural that domestically grown herbs took

precedence; these were patriotically know as “liberty teas”. Nowadays, the increasing

interest in alternative medicines and organic foods has helped revive the art of

drinking tea, especially herbal which does not contain caffeine.

The English quickly developed an almost unquenchable thirst for the drink and

began searching for a way to get tea without having to buy it solely from China. In

1835 the English East India Company, upon discovery of an indigenous variety of

Camellia Sinensis in Assam, India, established their first experimental tea plantation

there. It was largely unsuccessful at the beginning. In 1856 varieties of tea from the

Yunnan and Keemun provinces of China were introduced in Darjeeling, India, and

soon thrived. Some of the most prized and expensive Indian black teas come from

this high mountain region. One year later tea was cultivated in Ceylon (Sri

Lanka).Luckily, for tea growers and consumers, a fungus wiped out the coffee crop

9

in Ceylon in 1869, then its' main export. This opened the door to increased tea

production and exportation.

By the early 1900's tea was being cultivated in Java, Sumatra, Indonesia,

Kenya and other parts of Africa. Presently, the United States has been added to the

list of tea producers as there is one plantation in North Carolina.

HERITAGE OF INDIAN TEA

Tea has found a permanent place in the lives and hearts of diverse peoples the world

over, and spread cheer and camaraderie for over 4500 years. Poets and philosophers

have lavished praise on it, and perhaps no other beverage has been the object of such

ritual and ceremony across the planet. Today, over 3 bn cups of tea are consumed

every day across the globe, making it the most popular and cheapest drink in the

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world after water. Its fragrance, flavor and gentle aroma generate a sense of pleasure,

well-being, and fellowship across the world, around the clock.

India is the largest producer and consumer of tea in the world. Since the mid-

nineteenth century, tea has been one of the largest foreign exchange earners

and a major source of state and central taxes. Eco-friendly, it is also a caring

industry that generates income and livelihood for nearly 20 m. people in the

country. Far from the madding crowd, located in remote and backward areas,

tea-growing regions have silently, almost bashfully, evolved a remarkably

humane corporate ethos.

The Heritage of Indian Tea provides a perspective of the history of the tea industry in

India, the role tea plays in our lives and that of our country, and wide-ranging

developmental initiatives that have for decades been undertaken by the Indian tea

industry.

This is a story that needs to be told because few are acquainted with the fascinating

process through which the tea that enters their markets and homes passes, and how it

beneficially impacts the lives of millions of hitherto marginalized individuals. Most

outside the distant confines of the Indian tea industry will be astonished at the sheer

range, scale, and scope of the innovative welfare schemes launched by an industry

that chooses to care.

A well-researched and carefully documented book, it analyses the problems

that are threatening to bring the Indian tea industry to its knees and hampering its

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ability to invest, modernize, grow, and remain competitive in world markets. It raises

important questions that deserve serious attention and, above all, decisive action. The

author presents a balanced, scholarly, and comprehensive picture of the industry as a

whole bringing many hitherto unexplored facets to light that will interest tea

professionals and tea enthusiasts alike.

TEA AND OUR HEALTH

We have heard that tea is good for our health. Hard to believe that something as

simple as tea can actually keep man in good health. Research suggests that tea

drinkers have lower rates of heart disease and cancer. It may promote healthy bones

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in mature women. And, tea can give the man the lift that he wants from caffeine

without the negative side-effects.

According to the scientists of Human Nutrition Department of a government research

centre at Adelaide in Australia, tea effectively shields skin from cancer-causing

ultraviolet rays. High exposure to sun's ultraviolet rays generates free radical oxygen

atoms that mutate the genetic code of skin cells and makes them cancerous. The

antioxidants present in tea deter this process. These anti-oxidants also help in

fighting ageing.

According to studies conducted by UPASI in India, tea helps in controlling diabetes

and hyper cholesterol in humans. On a short-term basis the consumption of tea

improves alertness. Hindustan Lever has set up a tea health information research

centre at Bangalore to gather scientific data from all over the world about the role of

tea in improving health and identification of components in tea which are good for

human health.

Following are the diseases that can be prevent from drinking the cup of tea:

1. Heart Disease

2. Cancer

3. Healthy Bones

Explanation:-

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1. Heart Disease:-

Heart disease is our number one killer disease. Many people die because of heart

disease each year. The heart muscle needs a constant supply of oxygen and nutrients

from blood carried through coronary arteries. Clogged arteries inhibit the heart’s

supply of oxygen and nutrients. Arteries become clogged through the buildup of

plaque (a mix of cholesterol, fat, blood clots, etc.) and can be blocked completely if a

piece of plaque breaks off and gets stuck in the artery. Then, downstream heart tissue

will be starved of oxygen and nutrients.

Various studies suggest that tea plays a role in reducing cholesterol levels. In one

study, researchers found that women age 55 or older who drank as little as a cup or

two of black tea a day, were 54 percent less likely to have severe atherosclerosis,

which can lead to heart attack or stroke, than those that did not. The more tea they

drank, the less their risk. This outcome could be because the antioxidants in tea

prevent “bad” (LDL, low-density lipoprotein) cholesterol from promoting the plaque

build-up that clogs arteries

It is found that cholesterol levels of subjects were inversely related to the

consumption of green tea. Tea helped to decrease the amount of cholesterol in the

artery walls. It even helped break down clots that had already formed

2. Cancer :-

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A study of more than 35,000 post menopausal women that showed those who drank

at least two cups of black tea a day were 40 percent less likely to develop urinary

cancer and 68 percent less likely to develop cancer in the digestive tract than women

who did not drink tea. Other research shows that tea may be helpful in the fight

against cancers of the stomach, bladder, and esophagus. A study in China even

concluded that smokers who drink tea have a lower incidence of lung cancer.

Flavonoids are ubiquitous in the plant world, but tea is an especially rich source and

tea drinking can easily fit into a pattern of daily consumption. It’s practically like

eating fruits and vegetables. Letting the tea steep for 3 to 5 minutes extracts 69 - 85%

of the flavonoids. Many of the studies showing that tea is protective against cancer

were done in Asia where people generally drink green tea; some research has shown

that green tea has more of the powerful flavonoids called catechins than does black

tea.

3. Healthy Bones:-

Tea drinkers had significantly greater bone density measurements. These findings

were independent of smoking status, use of hormone replacement therapy, coffee

drinking, and whether or not milk was added to tea. When milk was added, BMD

(bone mineral density) was much higher. The study suggests that tea has components

that weakly mimic the effect of the female hormone estrogen which may be helpful

to older women.

15

Tea drinkers appear to live longer after a heart attack; Drinking 3 cups of tea each

day is associated with 11% lower incidence of heart attacks; Smokers who drank 4

cups of decaf green tea daily had a significant decrease in signs of damage to the

cells and heart.

An Overview of an Indian Tea Industry

The tea industry in India was created to satisfy England's desire for high quality

black teas without dependency on trade with China. First, the British East India

Company's monopoly of the tea trade and its dominance over India where the

Company maintained the largest private army in history had to be broken. At the

same time growers and tea experts were experimenting with seeds, plants and

cuttings secured from China which they believed would grow in India's climate.

Notably, an indigenous strain of tea plant growing wild in India had been discovered

years earlier. The year 1838 marked the first Indian tea harvest, a mere 350 lbs., to be

auctioned in London. It was greeted with much excitement and high reviews from tea

experts.

In 1858 the British East India Company turned its rule over India to Britain. The

stage was set for the rapid expansion of tea product. As it turned out the indigenous

plants produced tea far superior in quality to the Chinese transplants. And so the

Indian tea industry was born. Now India produces more tea than any other country.

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The tea industry is also denied the benefit of deductions under section 80 HHC of the

Income Tax Act, 1961. Under section 33AB of this Act, assesses engaged in growing

and manufacturing tea are allowed a deduction limited to only 20 per cent of their

profits. Other industries are allowed 100 per cent deduction on profits from export

production. (In Oct'98, however, the union government granted this exemption to tea

industry also.)

The tea industry in India was earlier suffering from stagnant production and low

price realizations. 1996-97 was a year of turnaround and 1997-98, a year for

consolidation for the tea industry. In these years almost all the tea companies in the

country have witnessed increase in sales and profits. 

The tea industry is also denied the benefit of deductions under section 80 HHC

of the Income Tax Act, 1961. Under section 33AB of this Act, assesses engaged in

growing and manufacturing tea are allowed a deduction limited to only 20 per cent of

their profits.

The tea industry in India was earlier suffering from stagnant production and

low price realizations. 1996-97 was a year of turnaround and 1997-98, a year for

consolidation for the tea industry. In these years almost all the tea companies in the

country have witnessed increase in sales and profits. 

The farmers invested more on fertilizers and upkeep of their plantations in 1997 and

1998 because of better price realizations which also resulted in better output in the

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following years. According to the industry, subject to good weather conditions, the

output in 1999 is likely to touch still higher levels.

Indian Tea Industry at a glance:

Total turnover is approximately $2.25 billion.

Total Net Foreign Exchange earned is approximately is $413 million p.a.

Tea production, since independence has grown over 250%.

Generates income and livelihood for nearly 20 million people in the

country.

Women constitute 50% of the workforce.

Tea trading in the domestic market is done in two ways- Auction and

Private Selling.

India is the largest producer and consumer of tea in the world.

Notable Progress:-

Assistance is also being extended for establishment of a small Tea

Research Field Laboratory in Uttaranchal in order to develop a scientific

package of practices suitable for cultivation of tea in Kumaon region.

The project on ‘application of Bio-technological tools in tea breeding’

which has been coordinated by the Department of Bio Technology and

partly funded by Tea Board is in the final stages of completion.

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A pilot plant has been set up at TRA Jorhat under the project on

‘application of electronic devices in tea manufacturing and automation’

which has been coordinated by the Ministry of Information Technology.

With the establishment of pesticide residue testing laboratories in the North

East and South India, scientific data on residue in tea have been generated

for developing a national protocol which is now being considered by the

Prevention of Food Adulteration Authorities (PFA) and also Inter

Governmental Group on tea of FAO (Food and Agriculture Organization)

towards harmonization of MRL. The standards as stipulated in the

European Commission and other countries are also being circulated to the

tea industry from time to time.

The National standard on quality of tea were revised and harmonized with

the International standards. Similarly the quality parameters of the

International standard ISO 3720 were also revised. The drafts for revised

specifications for green tea have been finalized for publication.

OBJECTIVE OF THE STUDY

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To identify the constraints faced by the exist ing small tea

growers in Assam so asto create opportunities for the new small

tea growers.2 .

T o f o r m u l a t e a   v i a b l e s m a l l t e a g r o w i n g m o d e l f o r

t h e n e w s m a l l t e a g r o w e r s i n the state that can be supported

by Financial Institutions.3.

To study the feasibility of setting up of a Bought Leaf

Factory (BLF)

RESEARCH METHODOLOGY

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According to Green and Tall “A research design is the specification of the methods

and procedures for acquiring the information needed. It is the overall operational

pattern or framework of the project that stipulates which information is to be

collected, from where it is to be collected and by what procedures”

This research process based on primary data analysis and secondary data analysis

will be clearly defined to meet the objectives of the study.

I chose the primary sources to get the data. A questionnaire was designed in

accordance with our mentor in Ketchup. I chose a sample of about 30

corporate customers

I collected some data from the secondary sources like published Company

documents, internet etc.

Research Design

“A research design is the arrangement of conditions for collections and analysis of

data in a manner that aims to combine relevance to the research purpose with

economy in procedures”. It is a descriptive cross sectional design .It is the conceptual

structure with in which research is conducted; it constitutes the blueprint for the

collection, measurement and analysis of data.

It is needed because it facilitates the smooth sailing of the various research

operations, thereby making research as efficient as possible yielding maximal

information with minimal expenditure of effort, time and money.

In the preliminary stage, my research stage constituted of exploratory study by

which it is clear that the existence of the problem is obvious .So, I can directly head

for the conclusive research.

Sampling Plan

“Sampling plan” is a distinct phase of research process. In this stage I have to

determine who is to be sampled, how large should be the needed sample and how

sampling unit is to be selected.

Population

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In my research, I have defined my population as a complete set of customers of Sagar

City.

Sample Survey

As compared to census study, a sample study has been conducted by us because of:

Wide range of population, it was impossible to cover the whole population

Time and money constraints.

Sample Unit

In this survey I took the list of customers from the dealers of Ketchup

Sampling Technique

Sampling technique implies the method of choosing the sample items, the two

methods of selecting sample are:

Probability method.

Non-probability method.

“Probability method” is those in which every item of the universe has an equal chance of the inclusion in the sample. “Non-probability methods” are those that do not provide every item in the universe with known cause of being included in the sample. The selection process is partially subjective.For my study, I employed the Non-probability sampling technique, in which I got the

data of the customers from the dealer of Ketchup.

Instrument of collection of data

I have used one set of questionnaire to collect data from the customers. This questionnaire is structured and highly ordered. This includes both close ended and open ended questions. The close ended questions included both dichotomous and multiple choice questions.

CONSUMER BEHAVIOR

The consumer is a riddle. His needs and desires are innumerable; and they vary from

security needs to aesthetic needs. These needs and desires are at different stages of

emergence and actualization. The consumer has his own ways and means of

meetings these needs. Some of these needs are within his means; he can easily meet

them. Some others may be beyond realization.

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The consumer is exposed to a word of information- about new product, new services,

and new uses for existing product, new ideas and new styles. He may ignore certain

pieces of information, whereas he may actively seek out some other information. He

may read certain messages but may not digest them. In other word, he filters the

information in a rather unconscious manner. His perception is selective in the sense

that he perceive and retains only what he would normally like to perceive and retain.

When a consumer takes a buying decision, there is no rigid rule to bind him,

Sometimes; the decision is taken on the spot. That does not necessarily mean that it is

an irrational decision. Sometime he may after a long search, after evaluating various

alternatives available and reassuring him with the opinion on those who have already

purchased the product. Still he may feel later his purchase was impulsive. He may go

to shop after having taken the decision to buy a product; but he may not still buy.

The consumer is also influenced by the social environment in which he lives- his

family, his society, his neighbors, his friends, his job, and his colleagues. Every

component of his social environment leaves some imprint on him and influences him

in his day to day life. They influence his buying behavior too.

Factor influencing consumer behavior:-

1. Information from a variety of sources.

2. Socio- cultural Environment/ Group Influence Affecting Consumer Behavior.

3. Religion and language.

4. Concern about states.

EXPLAINATION:-

1. Information from a variety of sources:-

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The consumer is exposed to a veritable Flood of information. There is a deluge of

information unleashed on him from different sources. These sources inform him

about new products and services, improved versions of existing products, new uses

for existing products and so on. The information sources that persuade people to try a

product include: advertising, samples and trials, display in shops and salesmen’s

suggestions.

Each of these sources provides some information to the consumer about the products.

When the consumer sees an advertisement for a product, he is informed about the

existence about the product. Later on he may develop a positive attitude towards the

product or negative attitude or he may remain neutral. In any case a piece of

information about the product is made available to him and it has some influence on

his buying behavior.

The availability of the product in the shop by itself acts as an information source to

the consumer. The consumer may evince an interest in the product, he may inquire

about it. The product advertises itself.

2. Socio- cultural Environment/ Group Influence Affecting Consumer Behavior:-

The consumer living in a society, influenced by it and in turn influencing its course

of development. He is a member of several organizations and groups- formal and

informal. He belongs to a family, he works for a certain firm, he may be a member of

a professional forum, he may belong to a particular political group, or a cultural

body.

Group influences are of two types, since there are two types of groups exercising

influence on consumer:

(I) Influence of the intimate group, and

(II) Influence of the broad social class.

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Explanation:-

(I) Influence of the intimate group:-

Examples of intimate group are family, friends, close colleagues, and small, closely

knit organizations. These groups exercise a strong influence on the lifestyles and

buying patterns of the members.

In any intimate group, there is likely to be an informal group leader. The group

respects him and look upto him. Though he may not directly influence every member

on his day to day purchases, his judgment on men and matters, facts and fashions are

so respected by the group that his views and lifestyle influence their buying

decisions. He is normally innovator in the group, who first tries new products and

new ideas, and then he became the propagator of those products and ideas.

(II) Influence of the broad social class:-

The social Class is a larger group than the intimate group. The constitution of social

class is decided by the income, occupation, place of residence, etc., of the individual

members. The members of a social group enjoy more or less the same community

status and prestige. Each class develops its own standards of lifestyle and behavior

patterns. And the members of the class normally select a product or a brand which

cater to their group norms.

3. Religion and language:-

Every culture, religion and language group dictates its own unique patterns of social

conduct. Within each religion, there may be a several sects and sub-sects; there may

be orthodox groups and cosmopolitan groups. In dress and food habits, education or

marriage- in almost all matters of individual life, religion and culture- exercise an

influence on the individual directly or indirectly. The do’s and don’ts listed out by

religion and culture, control significantly the individual’s lifestyle and buying

behavior.

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4. Concern about states:-

People are very much concerned about their image and status in society. It is a direct

outcome of their material prosperity. Status is announced through various symbols

like dress, ornaments, possessions, and general lifestyle. The value attached to these

status symbols may change over a time. A car or a well furnished modern house may

be a status symbol in a particular society. But it may not mean to another society or

to the same society after a period of time. The desire for a self- expression and self

advancement is however the common factor in all the ideas associated with status.

For several people, status is a major motive force guiding and shaping their life.

Their concept of status decides what material possessions they should have. Even if a

product that constitute a status symbol is bound their immediate reach, their

aspiration to possess it, will influence the decision making process.

MAJOR MARKET PLAYER IN TEA INDUSTRY

Tea has an enormous market. The world consumes approximately 3.5 billion cups of

tea daily. At an average of two cups a day per consumer, that is 1.75 billion

consumers per day. It is unlikely that any other beverage, other than water, is

consumed to such an extent all over the world.

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The packaged tea market is highly consolidated in India, with Unilever and Tata Tea

accounting for almost half of retail value sales. Unilever (Brooke Bond and Lipton)

is the clear leader, holding over 30% of the market share, while Tata Tea (Tata) trails

it with almost 20%. The remainder of the market is far more fragmented and shared

between numerous small players

Both Unilever and Tata Tea saw a fall in retail sales as a direct result of the drop in

the price of tea between 2000 and 2003. These mainstream players also saw their

margin squeezed in the face of increased advertising spends and competition from

unpackaged tea.

Of the total Indian tea market, branded packaged teas account for 33-35% by volume. Hindustan Lever (HLL) leads with around 43-45% market share of the packaged tea market, while Tata Tea is the No. 2 with around 17-18% market share. Apart from these two players and Duncans, the market is extremely fragmented with many smaller /regional players. There is other market player who gave tough competition to the leading player. Though other players are not very popular they have their limited market for their product. Some brand has regional market for their product and gain profit out of it. The main market leaders are TATA TEA LTD and HLL subsidies Unilever which has dominate the tea market

COMPANY PROFILE

Assam Tea Company:-

The Assam Tea Company is the first tea

company in India established 150 years

27

ago. A part of the UK based Duncan MacNeill Group; ASSA owns 28 tea estates in

the North Eastern part of the country. Besides bulk tea, the company sells packed tea

under brands like Regular, Jumbo, Premium and tea bags under the umbrella Assam

Gold. The company also has a large export market in Europe and is looking at

expanding its presence in other countries.

TATA TEA LTD:-

Tata tea ltd set up in 1964 as a

joint venture with UK-based

James Finlay and Company to

develop valued-added tea, the

Tata Tea Group of Companies,

which includes Tata Tea and

the UK-based Tetley Group,

today represent the world's

second largest global branded

tea operation with product and

brand presence in 40 countries.

Among India's first multinational companies, the operations of Tata Tea and its

subsidiaries focus on branded product offerings in tea but with a significant presence

in plantation activity in India and Sri Lanka.

The consolidated worldwide branded tea business of the Tata Tea Group contributes

to around 86 per cent of its consolidated turnover with the remaining 14 per cent

coming from bulk tea, coffee, and investment income. The company has its

headquarters in Kolkata, and 51 tea estates in the states of Assam, West Bengal,

Tamil Nadu and Kerala and one coffee estate in Tamil Nadu.

Products and brands:-

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The company has five major brands in the Indian market — Tata Tea, Tetley, Kanan

Devan, Chakra Gold and Gemini — catering to all major consumer segments for tea.

The Tata Tea brand leads market share in terms of value and volume in India and has

been accorded "Super Brand" recognition in the country. Tata Tea's distribution

network in the country with 38 C&F agents and 2,350 stockiest caters to over 1.7

million retail outlet in India.

The company has a 100 per cent export-oriented unit (KOSHER & HACCP certified)

manufacturing instant tea in Munnar, Kerala, which is the largest such facility

outside the United States. The unit's product is made from a unique process,

developed in-house, of extraction from tea leaves, giving it a distinctive liquoring

and taste profile. Instant tea is used for light density 100 per cent teas, iced tea mixes

and in the preparation of ready-to-drink (RTD) beverages.

With an area of 26,500 hectares under tea cultivation, Tata Tea produces around 60

million kg of black tea annually.

Exports:-

Tata Tea’s export volumes have risen through these years but realizations are at

lower side. There has been growth in exports of Sri Lankan high value teas in

traditional Indian market. This provides us an opportunity to recapture market share

through quality up gradation particularly from South India. South Indian teas are

very similar to Sri Lankan teas.

Marketing Initiatives:-

Tata Tea’s top brand commands market share of 7.4%, whereas HLL’s top

brand market share is 6.9%.

Agni brand from Tata Tea stable launched two years ago has garnered a

market share of 3.5%.

Tetley Group Ltd:-29

It is Subsidiary of Tata Tea Limited.

A global player in tea: the world's Number 2 tea bag company, with a presence

in over 35 countries worldwide.

Market leader in United Kingdom and Canada, a vibrant player in other major

tea markets such as USA, Australia, Poland and France.

Pioneer in the tea industry, with an enviable record of developing some of the

most innovative concepts in the world of tea: soft packaging, perforated tea

bags, round tea bags and the Drawstring tea bags.

Unmatched global tea buying and blending skills: among the most respected

name in the industry for its expertise in buying and blending, with nearly 100

years of experience between senior tea tasters.

Unmatched global tea buying and blending skills: among the most respected

name in the industry for its expertise in buying and blending, with nearly 100

years of experience between senior tea tasters.

HLL (Hindustan Lever Ltd) – Unilever:-

Hindustan Lever Limited, 51.6% subsidiary of

Unilever Plc, is the largest FMCG company in the

country, with a turnover of Rs118bn. The

company’s business sprawls from personal and

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household care products to foods, beverages and specialty chemicals. The company

has a dominating market share in most categories that it operates in such as toilet

soaps, detergents, skincare, hair care, color cosmetics, etc. It is also the leading

player in foo d products such as packaged tea, coffee, ice cream and other culinary

products.

HLL enters in Japan with tea bags. It’s fast moving consumer goods major, has

added Japan as its new market for tea exports and some orders have already been

dispatched. HLL has also added to its customer base the US, Australia, China, Hong

Kong, the Philippines, Singapore, Vietnam and Thailand markets. HLL established a

dedicated global sourcing base comprising factories at Pune, Kochi, Etah and

Kolkata. The brands exported are Lipton, Lipton Yellow Label, Lipton Brisk, Brooke

Bond, Brooke Bond Red Label, and Taj Mahal. All of them are in the tea bag format,

apart from the West Asia business where the format is packet tea. In addition, HLL

also exports instant Tea and Lipton 3-in-1 pre-mix (tea, milk and sugar) to some of

these countries.

Brook Bond Tea:-

Brooke Bond cheers senses. Brooke Bond's

heritage dates back to 1869. With its 130-year

experience in understanding tea and Indian

consumers, Brooke Bond has been synonymous

with tea in India.

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At Rs.1000 crores, Brooke Bond will emerge as the largest brand of Unilever in

India, It will touch the homes and hearth of over 500 million consumers -- one of

every two Indians -- with the largest footprint in the country.

Brooke Bond's logo shows green tea gardens transforming to the red liquor of tea,

and a multi-colored sun that stands for specific moments of tea consumption.

Brooke Bond Red Label Tea was launched in the year 1903, which makes it one of

the oldest brands of tea in the country. It also has the distinction of being the largest

brand of tea in India and has a truly national presence. For years, Red Label has

stood for good quality tea and it can be easily called as one of India's favorite tea

brands.

The brand was re-launched in the year 2000 with a new product formulation, wherein

long Assam orthodox tea leaves were added to the base CTC (crush tear and curl) tea

to deliver enhanced taste.

The brand is backed by the Brooke Bond Tea Excellence Centre. Selecting the best

teas from the best gardens, Brooke Bond’s specialists work hard to scientifically

process green leaf to cheer consumers. In the unique Tea Excellence Centre of

Brooke Bond, tea is expertly graded, blended and tasted to get the perfect blend.

Goodricke Group Ltd:-

Goodricke Group Ltd

(GGL) is a part of the

UK-based Lawrie Group.

GGL has a joint venture tea company in Nepal named Himalaya Goodricke and a

subsidiary, Tiru Tea. The Goodricke Group is the leading producer of Darjeeling Tea

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and the third largest tea producer in the country. The company manages 36 tea

gardens spread all over India. Incorporating the highest technological standards in its

production of tea, the compa ny is a symbol of excellence giving a perfect blend of

quality and care in every cup of tea. Today, with worldwide acclaim, Goodricke

group manufactures and markets a wide range of tea. Primarily a seller in the auction

market, Goodricke now has an equal proportion of sales in the bulk and packet tea

segments, besides a significant presence in the export market.

Tea major Goodricke Group Ltd, which is part of the UK-based Camellia Plc, has

begun re-launching all its packet tea brands. It also plans a new, exclusive brand for

south India. To start with, the company recently re-launched Goodricke Perfect

packet teas across India. This is a blend of 40 per cent Darjeeling and 60 per cent

Assam CTC (crush tear and curl) teas. Goodricke 3-in-1 would follow next and, later,

the Zabardast brand. While Goodricke 3-in-1 is the main brand, Zabardast targets the

mass segment. The company also had a soft launch for Goodricke Premium late last

year in Gujarat. This brand would soon be launched all over India. Goodricke, which

is mostly a bulk tea player, has been in the packet tea business for over 17 years now.

However, most of its packet tea sales are in the country's northern half. It enjoys

good market share in Madhya Pradesh, Punjab, Haryana, West Bengal, Rajasthan,

Jharkhand and Uttar Pradesh. Goodricke's presence in south India, which is

predominantly a branded packet tea sector, is almost negligible.

Goodricke owns 10 gardens in Assam, 12 in Dooars and eight in Darjeeling. Its

annual production is 30 million kg. The company's instant tea plant, located in North

Bengal, caters to clients like Coca-Cola Ltd and Hindustan Lever Ltd. According to

Grover, Goodricke's packet tea business was growing 25-30 per cent per annum. In

2004, it sold six million kg and expects to touch eight million kg in 2005. In the tea

bag segment, the company sells Assam CTC (crush tear and curl) under the

Goodricke Fine Estate brand, mostly to institutions such as the Indian Railways.

Sapat Group:-

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The Sapat Group of companies founded in 1897, consists of diversified businesses

in tea, pharmaceuticals, real estate to Information Technology. The group has a

strong presence in India, as well as in North America. The various Indian

manufacturing units are located in and around Nashik, with its marketing office and

IT facilities located at Mumbai. With innovation strategies over the last decade the

company has grown five times touching a turnover of almost Rs100cr., making it the

largest packet tea company in the Rs500cr tea market of Maharashtra. Currently,

Sapat has over 250 distributors in Maharashtra and plans to expand to other tea

drinking states.

The tea division which is the largest of the FMCG operations was based at Nasik and

a very strong regional brand with a very good franchisee. They started with the

expansion on tea and that is being an area that they already had capabilities in. Sapat

Tea is one of the top 10 companies in India today. Their Tea turnover is little more

than Rs100cr. Last year, according to some reports they were the fastest growing

packet tea company in India. They have presence in Maharashtra, large parts of MP,

Chattisgarh and now we are setting up distribution in top cities. They don’t have their

own plantations. They buy the teas from Assam.

Parivar is the largest brand. Within Maharashtra in the leaf category the market share

should be somewhere between 20-25%. And in the Dust tea category they have Sapat

Chaha / Sapat Chai a popular dust. Dust tea is a very regional play, because the

market and test varies from district to district. So in the districts in which it is very

popular; it’s almost 80% market share kind of a product. Maharashtra is the largest

Dust Tea market in the country. They will have other brands as well but starting off

with the focus on Parivar because there is still lot of potential in that brand. They do

have Sapat Chai under Sapat brand but it is limited to the dust category. They plan to

use Sapat more as an umbrella brand going forward. Parivar will be about 60% of the

total turnover of Rs100cr.

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Export is a very small but a growing part of their turnover. A few years ago they

were able to start off with Masala Chai and they have been able to rope in the second

largest distributor in the US to carry out product. Tea Prices at the commodity level

will be stable and are expected to by and large remain low. They have some flavored

teas, mostly in the export markets. They are looking at that for the Indian market as

well now. There is demand for it especially at the higher end.

MARKETING STRATEGY

he way marketers think their customers are feeling about the product is not always

the sameas customers really think about the product. The best way to override this

problem and get aclear picture what customers are actually thinking about the

product is to get feedback fromthem. Sometime its get difficult because most of the

cases customers tend to think negativepoints first when they are asked to comment

on a product. But the efficient marketers alwayswelcome the negative feedback, because

they consider this as a scope to improve the product.Customer feedback is one of the most crucial

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factors to improve a product. A recent surveycarried out by the Forum of Private Business shows

that around 44% of business owners wantto improve customer satisfaction and yet more still want

to be able to do more business withtheir current customers

There are various ways to get customer feedback. Most of the companies use

survey to getcustomer feedback. For our project purpose, we have conducted a small

research to find outwhat customers are thinking about the existing Green Tea brands

in India market. Wealso tried to identify their level of satisfaction based on their

opinion. We have used thefollowing questionnaire to get customer feedback

DATA ANALYSIS AND INTERPRETATION

Market research is normally done by conducting market survey. Survey is done on

two bases; i.e. from customer point of view and retailer point of view.

From Customer Point of View:-

AGE GROUP:-

36

As per the above pie chart it is said that 33% of people from age group 36-45 are

know the most different type of tea available in the market. So any tea company

needs to concentrate their marketing strategy to get their customer to know about

their tea. They need to develop a good marketing skill so that they can concentrate

on other segment also.

OCCUPATION:-

37

As per the above diagram it is seen that most of the house wife know the various

brands of teas even though they are not working. Companies who are want to enter

into the tea market they should concentrate on the factor that how can they convert

the other segment of occupation to used or to know about the tea.

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HOW MANY PEOPLE USED BRANDED TEA / UNBRANDED TEA:-

According to survey, it is found that most of the people used branded tea i.e.76%.

Those who are not used branded tea they prefer to use loosed tea which gave them a

good taste, quality as per their views taken. There fore companies who want to enter

into tea market or who are already there they should keep in mind that they should

touch feelings of other people i.e.24% who are prefer to use unbranded tea and

convert them in to use branded tea.

HOW MANY PEOPLE HEARD THE VARIOUS TEA BRAND:-

39

As per the above graph, it is seen that most of the people heard the brands like

society tea, Brook bond Red Lable Tea, Tata tea, Taj Tea, Girnar Tea, Tata Gold

Tea, Sapat Parivar Chai. But in actual sense they use something else. Some

companies like Tata, HLL (Unilever) brand Brook Bond Red Lable are concentrating

on their major product and ignoring the other product in the same field i.e. tea. There

fore every company should adopt such promotion strategy that they can get the

people who at least know their products of tea.

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WHICH BRAND HAS MOST ATTRACTIVE ADVERTISEMENT:-

As per the above chart, it is seen that most people like Brook Bond Red Lable

i.e.24% after that Society Tea and Taj Tea i.e. 17% and 15% respectively. Other

companies should concentrate on their advertisement because most of the people get

the information about the tea through the television advertisement and they

influenced to buy that tea. Companies also should used some catching and attractive

slogan or punch line because of which people can like their advertisement and think

to buy at least once.

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WHICH TEA IS MOST REGULARLY USE:-

According to survey, it is found that Society Tea is used by more people i.e. 32%.

After that loose tea is more used i.e.22% and then Brook Bond Red Lable

i.e.20%.There fore other companies should published or telecast their teas

advertisement and influenced people to buy tea. While using the advertisement they

should adopt AIDA model i.e. (Attention, Interest, Desire, and Action). Because

most attractive advertisement is not enough to captured the market. For example

Brook Bond Red Lable Tea has good advertisement and people like their

advertisement also but less people prefer to use this tea. So all company should

concentrate on the AIDA model and can earn more market.

HOW PEOPLE BECOME TO KNOW ABOUT THEIR TEA:-

42

From the above diagram, it is seen that most people come to about their tea through

television i.e. 57% people know from it and then word of mouth publicity i.e.42%

Other media such as radio, print does not have that much popularity. There fore

company can introduced their product through these media. As it required cheap cost.

Company also put their hoardings in the retail store as a print media. Because retailer

can play a role to promote the tea which create a good awareness about the tea and

can increased the publicity of the tea.

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BASES ON WHICH PEOPLE BUY TEA:-

As per the survey conducted it is found that most of the people buy the tea on the

quality bases irrespective of prices. 82% people want their tea should be

qualitative instead of quantitative. People want quality in the tea it should contain

good taste and flavored. There fore while processing companies should

concentrate on the quality of tea. There are also some people looks into the prices,

quantity but it because of they can not afford to pay high prices. Some people also

think other factors such as attractive, safe and durable packaging.

HOW MUCH TEA PEOPLE BUY IN A MONTH:-

44

Quantity of tea to buy from shop is mainly depending on the number of family

member drink the tea. Normally people having family member not more than 6 they

buy tea of 500 grams. How much to buy is totally depends on the number of family

member drink tea. But if a company wants to launch a new product or renew the

existing product then they should make available in a small sachet. It is also useful to

those who consider price as a main factor while purchasing tea. People are also buy

tea more than 1 Kg.

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PEOPLE SATISFY WITH THE PRICES:-

According to survey taken it is found that 91% people satisfy with the prices of the

tea. They don’t find prices are too high. But those think prices are not satisfying it

because of their income level and they think that quantity is not as per the price.

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PEOPLE WHO THINK QUALITY AS WELL AS QUANTITY GOOD WITH

RESPECT TO PRICE:-

As per the survey conducted, it is seen that most of the people say that whatever

they pay, they get in return in terms of quality and quantity. Around 97% people

are satisfied and get a positive reply for paying on their own favorite tea. They

said that while buying they did not take price into consideration because tastes,

flavor, good feeling after drinking tea are important. But 3% people say, they

need not received the quality and quantity as per the prices they paid, there fore

these people are mostly use loose tea.

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VARIOUS OTHERS SECOND PREFERENCES GIVEN BY THE PEOPLE:-

It is found while doing survey, when people are given a chance to change their tea

they are not willing to change their preference because they are too used to their

favorite tea that they are not want to switch on to other tea. These are basically

including 25% of people. There are also some people who are ready to change

their own tea and used other tea. In this around 21% people are ready to change

their own tea to Society Tea. After that they give preference to Brook Bond Red

Lable Tea which has 14% of customer.

From Retailer Point of View:-

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HOW MANY RETAILER KEEP BRANDED TEA, UNBRANDED TEA OR

BOTH:-

Some retailer keeps both kind of tea in their store which is branded and un-branded

tea in their shops. Un-branded tea includes basically loose tea and this is preferred by

most of customers for that retailer has to keep it. In un-branded tea there are number

of tea which is very famous as this tea carrying some special feature and for that

customer like to buy it and again retailer have to keep it. Some retailer likes to keep

branded tea only.

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RETAILERS KEEP THE FOLLOWING BRANDS IN THEIR STORE MOST:-

According to the survey, it is seen that number of retailer keeps society tea in their

retail shops. It is around 80% of retailer keep society tea. After that Tata tea is also

available quickly in the retail shops and this is around 65%. In third position we have

Brook Bond Red Label, loose tea and Girnar tea etc these tea are mostly every

retailer has in major quantity and also as per the customer requirements. A retailer

normally keeps the product in store which has demand in the market by the

customers.

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WHAT BASES RETAILER SELECTS THEIR PARTICULAR TEA FOR THEIR

STORE:-

While keeping any tea in the shop a retailer must take one thing into consideration

that is customer demand for the particular tea and quality of that tea. It is the view of

most of retailer that they like to keep those teas which normally demanded by most

of customers as it is the customers who are going to buy that tea and this is beneficial

for both customer as well as retailer. The companies also take one thing into

consideration that quality of product is an important selling factor in any tea instead

of prices of tea.

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BASES ON WHICH CUSTOMER BUY TEA:-

In survey it is also found that when customer feel to buy a particular tea that time he

first think about the quality and test of that tea and after that customer decides to buy

or not. And then customer concern about quantity, price, and brand image and

company reputation. The company with a good reputation in the market should

concentrate on the quality of tea and hence they can earn various market shares in the

market.

52

HOW MANY RETAILER SEEN ADVERTISEMENTS ON TELEVISION:-

A retailer mostly sees advertisements on the television when they are free from their

own work because most of their time is spend in their shops. 75% retailer who

watches television likes advertisement and 25% retailer said that they are not

watching television

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RETAILER LIKE THE MOST ATTRACTIVE ADVERTISEMENT IS:-

As per the above graph 75% retailer who watch television like most attractive

advertisement of Society Tea i.e.59% . After that, retailers like Brook Bond Red

Lable advertisement very much i.e. 27%.

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TEA WHICH HAS MORE DEMAND:-

According to the survey it is seen from the retailer that society tea has more demand

by the customer. Society has a demand of 57%. Customer likes the society tea very

much even after a price of this tea is very high this feedback normally gets from the

retailer. After society retailer have demand for the Tata tea in the customer market

which is around 31%.

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WHETHER RETAILER GETS FEEDBACK FROM CUSTOMER OR NOT AND

WHAT KIND OF FEEDBACK THEY GET:-

From the above chart it is seen that around 85% retailer get feedback from

customers. These feedbacks is basically about the taste of the tea, quality, and brand

image and also get extra information like some extra benefit received from the tea

relating to health. And very less i.e.15% people are not used to give feedback. But

most of the customers prefer to give feedback to their respective retailers.

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CONCLUSION

As per the survey taken, it is found that most of the consumer like the

advertisement of tea but they in actual sense use some other brand. It is also found

that people are not interested in switching on the other brand. They give more

preference to the brand which is use from beginning. Consumer heard about the

brand but not use the same brand.

In a survey it also found that consumer seen the advertisement and some time they

like the advertisement also but not ready to buy the tea. There fore company

which is into the tea industry, they should concentrate on the advertisement which

turned the consumer mind set and induced them to buy the tea. They should come

up with the small sachet because of which consumer can buy their brand at least

once.

Companies should come with the new ideas which give the information about the

how tea is useful to our health and should concentrate on the quality of the tea.

Companies should published their advertisement through other media also i.e.

print media, radio as it required less cost and nowadays people are turning to this

media also.

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BIBLIOGRAPHY

www.google.com

www.indiainfoline.com

www.altavista.com

www.hll.com

www.tatatea.com

Marketing Management by Rama Swami.

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QUESTIONNAIRE

Q.1 Do you have knowledge about these product ?

(a) Yes (b) No.

Q.2 Are you satisfied with these product

(a) Yes (b) No.

Q.3 From where do you have got knowledge about this product

(a) Print Media (b) Electronic Media (c) Media

Q.4 Which product you like most

(a) vivel (b) Dove (c) Clinic Plus (d) Dabur

Q.5 Do you like the quality of this product

Q.6 What is the reason becuase of which you prefer this product

(a) Quality (b) Price (c) Product

Q. 7 Any Suggestions:

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