study on market of toilet soaps

A STUDY ON MARKET OF TOILET SOAPS OF ASHIQUE

EXPORTS (P) LTD, Calicut.

Project report submitted to the University of Calicut

For the partial fulfillment of the award of

DEGREE OF BACHELOR OF COMMERCE

Submitted by

RIYAS.VP

(Reg No: CGAKBCM039)

Under the guidance of

Ms. PRIYANKA.C

DEPARTMENT OF COMMERCE

M.E.S COLLEGE OF ARTS AND SCIENCES

CHATHAMANGALAM, NIT , CALICUT

2010-2013

1

M.E.S COLLEGE OF ARTS AND SCIENCES

CHATHAMANGALAM

(Affiliated to the University of Calicut)

NIT CAMPUS, CALICUT, KERALA-673 601

CERTIFICATE

This is to certify that the project report titled “A STUDY ON THE MARKET OF

TOILET SOAPS OF ASHIQUE EXPORTS Pvt. Ltd “ is a bona fide work done by

RIYAS V.P, {Reg No: CGAKBCM039}, submitted to the department in partial fulfillment

of the requirements for the award of Bachelor of commerce degree of the University of

Calicut under supervision and guidance.

The external viva held on…………………………………………………………………………….and

Commented as…………………………………………………………..

Ms. Priyanka. C

External examiner Department of Commerce

Ms. Beena A

Head of Commerce Department

2

DECLARATION

I Riyas.vp do here by declare that this project entitled “A study of market

of toilet soap in Ashique Exports Pvt. Ltd” submitted to the University of

Calicut in partial fulfillment of the requirements for the award of the degree of

Bachelor of commerce is a genuine record of work done by myself during the

period of the study at M.E.S College of arts and sciences, chathamangalam

under the guidance of Ms: Priyanka.c, faculty of Department of Commerce.

RIYAS V.P

Place: Chathamangalam

Date:

3

ACKNOWLEDGEMENT

First and foremost I would like to thank God almighty whose blessings

made me to complete the project successfully.

We would like to thank the principal Mr Rahees Muhammed for

providing all the facility for doing the project. I expressed my deepest gratitude

to Ms Priyanka.C, Department of commerce, M.E.S College of Arts and

Sciences, for his constructive guidance and valuable advice and timely

encouragement to carry out the project successfully. Our sincere thank to Ms.

Beena.A And Ms. Anjali.A, for providing proper guidance to conduct the

project work.

I acknowledge with deep gratitude for the opportunity providing to me by

the manager of Ashique exports private limited to conduct this work and

particularly express my sincere gratitude to the human resource manager of

Ashique enterprises for offering me the chance to carry out this work.

Finally I thank my teachers, respondents, friends and parents who helped

me in completing my project successfully.

Riyas v.p

Place: Chathamangalam

Date:

4

CONTENTS

SI. No. TITLE PAGE No:

CHAPTER 1 INTRODUCTION

1.1 GENERAL INTRODUCTION 2

1.2 OBJECTIVEOF THE STUDY 3

1.3 SCOPE OF THE STUDY 4

1.4 RESEARCH METHODOLOGY 5

1.5 LIMITATION OF THE STUDY 6

CHAPTER 2 REVIEW OF LITERATURE

2.1 REVIEW OF LITERATURE 8

CHAPTER 3 PROFILE

3.1 INDUSTRY PROFILE 11

3.2 COMPANY PROFILE 16

3.3 ORGANIZATIONAL STRACTURE 35

CHAPTER 4 DATA ANALYSIS AND INTERPRETATION

4.1 DATA ANALYSIS AND INTERPRETATION 36

CHAPTER 5 CONCLUSION

5.1 FINDINGS 53

5.2 SUGGESTION 54

5.3 CONCLUSION 55

5.4 APPENDIX 56

5.5 BIBLIOGRAPHY 61

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LIST OF TABLES AND CHARTS

Table no Particulars Page no

4.1 Retailers experience in business 37

4.2 Retailers dealing with Ashique export 38

4.3 Fast moving brand in the market 39

4.4 Fast moving soap of Ashique Exports 40

4.5 Reason for fast movement of soap 41

4.6 Demand of Ashique exports soap 42

4.7 Reason for demand of Ashique exports soap 43

4.8 Influence of competitor price in Ashique exports 44

4.9 Influence of advertisement on sale of Ashique exports 45

4.10 Margin of Ashique exports sop 46

4.11 Promotional statergies to be followed 47

4.12 Suggestion to improve sale of Ashique exports 48

4.13 Incentives followed by retailers 49

4.14 Complaint about Ashique export soap 50

4.15 Sale of Ashique exports soap 51

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CHAPTER-1

INTRODUCTION

7

INTRODUCTION

In modern marketing consumers are treated as kings. Every business is

now trying to attract and retain consumers by using various new marketing

strategies. Most of people, especially Indians are more conscious towards

preservation of their health. That mean they are hygienic. So soap is viewed as

something which is more essential for improving hygiene. Because of this there

is an ever growing demand for soap. Toilet soap market is estimated to 5, 40,000

tons valued at 30 billion dollars. The maximum retail price of this is 40 billion

dollars. The market is growing 5-6% per annum in terms of value. The value of

growth is driven by inflation and faster growth premium and medium categories.

Here an attempt is made to study the market of toilet soap of ASHIQUE

EXPORTS PRIVATE LIMITED. The study reveals the demand for the product and

the retailer’s opinion regarding price, quality, advertisement etc… it also reveals

the retailers opinion about the soap of Ashique Export. These soap industries are

facing cut through competition.

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OBJECTIVES OF THE STUDY

To analysis the demand of Ashique Exports toilet soap among various

brand available in the market.

To identify the factors which influence the sale of Ashique Exports soap.

To find out ways and means of improving the sale of Ashique Exports

soaps.

To know the fast moving brand of Ashique Exports soap in the market.

To find out the incentives preferred by the retailers.

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SCOPE OF THE STUDY

The study conducted in Calicut district and data collected from the

retailers in Calicut district where sample size selected is 50.

The study expected to make an analysis of market of toilet soap in

Ashique Exports private limited. The study also indicates the retailer’s perception

level towards various brand soap available in the market. It also gives the

retailers opinion about the media of advertisement quality, brand loyalty and

price of the product.

The study will help the management to take necessary steps for sales

promotional activities in future.

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RESEARCH METHODOLOGY

Primary Data:

Primary data were collected from the retailers in Calicut district by using

Questionnaire.

Secondary Data:

Secondary data collected from the company records, internet, magazines

and news paper etc...

Sample size:

In the survey, a total number of 50 samples have been collected from the

Calicut district. Area sampling has been used as the sample design and for the

study.

Tools for analysis:

The data collected arranged in to suitable tables. Collected data were

analyzed with the help of statistical and mathematical tools like percentage,

diagram, chart and pie chart.

Period of study:

The period of study was from 9/02/2013 to 11/03/2013

Area of study:

The study was mainly conducted in Calicut district.

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LIMITATIONS OF THE STUDY

We considered only Calicut district for the study due to limited period of

time.

Due to this the sample size taken is 50.

Finding of the study are based on assumption that the respondent.

Most of the respondents were busy and the data supplied by them may

not be exact and accurate.

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CHAPTER-2

REVIEW OF LITERATURE

13

REVIEW OF LITERATURE

The demand and market movement of Ashique export soaps as analyzed.

Toilet soap is an important day to day requirement of any consumer. Over the

years, the transformation in the soap market has been immense. Many studies,

therefore, have been carried out on “market of toilet soap”. The soap industries

are facing cutthroat competition. This chapter includes the review of the

previous studies conducted on market of toilet soap.

1. Muthuvelayutham (2012) in his study titled “The Study of Consumer Brand

Loyalty on soap with Special Reference to Madurai” analyzes the relationship

between demographic variables on the brand loyalty of the consumers and tries

to identify the consumer’s switching factors in soap. This study is essentially a

correlation study. A randomly selected sample of 600 from Tamil Nadu State,

South India, particularly Madurai, Tuticorin, Kanyakumari districts were selected

to analyze. To indicate the amount of correlation between the variables, Chi-

square test was used in this study. Results show that among the variables age,

education level and gender have the most significant impact on consumer’s

brand loyalty.

2. Gihan Wijesundera (2010) in this article “Factors influencing the demand of

beauty soap among female consumers in the greater Colombo region” Purpose

of this study is to explore how the marketing mix & demographical factors

influence the brand preference & purchasing behavior of beauty soap among the

female consumers in the greater Colombo region. The results indicated that

there were statistical relationships between price, product, education,

occupation and band preference and there was no statistical relationship

between place, promotion, age, income level, marital status, skin type, social

factors, and substitute product with the brand preference.

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3. Dr. S Mahalingam, P.Nanda kumar (2012) in this studies “ A study on

consumer behavior towards fast moving consumer goods in Coimbatore city” the

researcher has assessed the socio-economic profile, shopping pattern consumer

and found out the factors influencing the consumer to purchase the fast movable

consumer products. The study on the consumer behavior towards the product of

FMCG has received a pivotal position in the market for soap, paste although

there are many competitors in the market.

4. Kureshi Sonal and Vyas preeta (Research Associates at IIM, Ahmedbad) in

this research titled “Study of sale promotion activities in toilet soap category, an

insight into consumer and retailers perception” in this paper an attempt has

been made to examine the nature of sales promotional activities in toilet soap

category in India, study retailers perceptions with respect to these activities and

also get insight into consumer perception of these activities.

5. Sultana Tania (2011) in this study “Retailers and Customer satisfaction of

LUX soap” the main purpose of the document is to have a full proof knowledge

regarding the performance of Lux in the market against its customer. This will be

help Lux assess its weaknesses and strengths and the opportunities and threat

that they have in their brand and ways to overcome.

Thus an analysis of these findings of studies reveals the fact that so many

studies have been conducted on marketing of toilet soap.

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CHAPTER-3

INDUSTRY PROFILE AND

COMPANY PROFILE

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INDUSTRIAL PROFILE

The soap and detergents manufacturing industry includes about 700

companies with combined annual revenue of $ billion. Major companies in the

consumer sector include divisions of Procter & Gamble (P&G): Unilever and Dial.

Major companies in the commercial sector include divisions of Ecolab and US

Chemical. The industry is highly concentrated: the 50 companies hold almost 90

percent the market.

Population growth, particularly households with children, drives demand

in the consumer sector, while economic growth drives demand in the commercial

sector. The profitability of individual companies depends on efficient sales and

marketing. Large companies have scale advantages in purchasing,

manufacturing, distribution and marketing. Small companies can complete

effectively by offering specialized products, providing superior customer service,

or serving a local market. The industry is capital intensive.

The industry is about evenly split between the consumer and commercial

segments. Both segments are highly competitive, with large companies spending

millions to maintain market share.

Major products include laundry detergents, soap, and dishwashing

detergent. Laundry detergent, accounts for 40 percent of industry revenue soap

for 20 percent, and dishwashing detergent for 15 percent. Laundry detergent

comes in power or liquid form, and may contain bleach additives or color

brighteners. Dishwashing detergent comes in powder, liquid, or gel form. Soap

comes in bars or liquids, and may have moisturizing antibacterial or deodorant

benefits.

Raw materials include surfactants, solvents, phosphates, silicates, alkalis,

salts, and perfumes. Suppliers include major chemical manufacturers like shell

Chemical and Dow. P

Toilet soap market is estimated to 5, 40,000 tons valued at 30 billion

dollars. The maximum retail price of this is 40 billion dollars. The market is

growing 5-6% per annum in terms of value. The value of growth is driven by

inflation and faster growth premium and medium categories.

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Till a few years ago there were differential excise on toilet soap with lower

TFM (Total Fatty Matter). Popular soap brands interested in this opportunity of

lower excise duty on toilet soaps with lower TFM. This leads to the emergence of

popular soaps with lower TFM. Excise abnormalities were removed in 1993. After

that, the lower end of market remained stagnant, whereas the middle and upper

segments are gained around 10% and 15% growth respectively.

However in the last two years, the lower and middle priced segments have

witnessed a faster growth with the launch of several new variants. Most brands

stagnated last year and offered heavy promotions to push volume of growth. The

super premium segments (priced at Rs.30-35) witnessed a lower growth.

For the last few years India has been witnessed a tremendous growth in

soap market. New and established companies introduced numerous numbers of

new brands of toilet soaps every year. The companies are marketing their

products with some product differentiation in the existing products. That is some

charges in product features like size, color, smell, shape etc. To meet the

variations of multitudinous customers and to capture a substantial market share.

In India there are so many companies producing detergents and toiletries. The

companies which are familiar and having good market share are Hindustan Lever

Ltd., Godrej soaps Ltd., Nirma, and Wipro etc. The Indian soap market spends

around 500 cores per annum for advertisement. Among them Hindustan Lever

Limited spends around 275 cores per annum.

&G has a separate business unit that manufacturers key chemicals as part of a

global supply network. Packing is about 20 percent of products costs, and

includes bags, boxes, bottles, tubes, labels.

R&D involves creating, testing, improving product formulation, and

evaluating environmental compatibility. Technological advances have reduced

the amount of product needed, thereby reducing the amount of packaging. Micro

encapsulation technology allows manufacturers to deliver unstable ingredients,

like vitamin C, through soap to skin. Manufacturers also test new enzymes and

bleaches that improve the efficiency of products.

HISTORY OF SOAP

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Soap was probably discovered by Stone Age. Women who saw that the combined

residues of ash and fat found in a fire after roasting a beast made a useful

cleaning compound. In 600 BC the soap made by the Phoenicians from tallow

and beech ashes was probably used as perfumed hair ointment, rather than for

washing. The use of soap in personal hygiene is first recorded in the second

century AD when the physician Galen (113-200 AD) mentions its use for washing

the body.

Soap making in Europe was established by the end of the first millennium with

important centers at Marseilles and Savona, where olive oil was used instead of

tallow. Soap making was carried out in this center by soap making guilds, which

guarded their recipes closely. Soaps imposed heavy taxation at the initial time

in England. At the time soap was a luxury item there. This only stopped the tax

was abolished in 1852 as the Victorians became increasingly possessed with

cleanliness (Hunt 1999). Soaps still attracts tax in market across the world-and

considerable effect is shown on the market when tax is reduced, has happened

in 1995, well sales soap.

IMPACT OF HYGIENE AND SANITATION

Diarrhea kills over million children a year. It is caused by bacteria and

protozoa. Diarrhea is preventable, by simple act washing hands with soap after

having toilet. Observations of hand washing in different developing country

setting suggest that soap use after the toilet or after cleaning up a child is rare.

(Average less than 15%of occasions) it is also low in developed countries. There

is scientific evidence that this simple action could potentially save a million lives

a year. (Curtis & Cairn cross, in preparation).

Personal hygiene behavior cannot be legislated and merely providing

water and sanitation faculties with or without hygiene education has not created

sufficient motivation or compulsion for change in hygiene practices. Although

the need for hand washing at critical times has long been recognized efforts to

promote this behavior have been irregular uncoordinated and mostly ineffective.

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The search for new and effective ways of addressing these needs would -

wide and particularly in developing countries where diarrhea is not prevalent

has brought together a union of international and national organizations. These

bodies include the Water Sanitation Program (WSP), in alliance with the World

Bank (WB) the London School of Hygiene & Tropical Medicine (LSHTM) the

Environmental Health Group (EHP), the Government of Ghana, Basic Support for

Institutionalizing Child Survival (BACICS).

The Government of Kerala also taking initiative in this matter with UNICEF

and private sector agencies. The Public and Private sector, together with non-

governmental organizations (NGOs) will form a global Public-Private partnership

(PPP) to combine commercial and social objective which is to save millions of

lives around the world (Especially those of children), from diarrhea diseases.

The rural poor, at the bottom of the income and living standards pyramid,

are in the most at risk of death from diarrhea. Making soaps readily available

affordable and essential to the principal targets of this initiative involvers risks,

like other business venture, but this burden should be shared between the public

and the private sector.

Every government has a social responsibility of taking care of people living

in the country. For that government should conduct social awareness programs

by taking participation with private sector, and make people understand the

requirement of cleanliness, along with that government should reduce the

burden of taxes on soap, so that people with low income also can busy these

products and save the lives of their children.

Traditionally soap has manufactured from alkali (lye) and animal facts (tallow),

although vegetable products such as oil can be substituted for tallow. American

colonists had both major ingredients of soap in abundance and so soap

marketing began in American during the aerialist colonial days. Tallow came as

by product of slaughtering animals for meat, or from whaling. Farmers produced

alkali as a by-product of clearing their land until the nineteenth century wood

ashes served as the major source of lye. The soap manufacturing process was

simple and most farmers could thus make their own soap at home.

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The major uses for soap were in the household, for washing clothes and

for toilet soap, and in textile manufacturing particularly for cleaning, and

scouring woolen stuffs. Because colonial America was rural, soap making remind

widely disappeared and no large producers emerged. By the eve of the

American Revolution, however the colonies had developed a mirror export

market in 1770 they sent more than 86000 pounds of worth $2,165 to the West

Indies. The Revolutions interrupted this trade, and it never recovered.

The growth of cities and the textile industry in early nineteenth century

increased soap usage and stimulated rise of soap marketing firms. By 1840,

Cincinnati, the largest meat packing center in the United States, has become the

leading soap making city as well. The city based at least seventeen soap

factories, including Procter and Gamble (established in 1897), which was

destined to become the nation’s dominant firm. A major change in soap making

occurred in the 1840s when manufactures begin to replace lye made from wood

ashes with soda ash, lye made through a chemical process. Almost all soap

makers also produced tallow candles, which was their major business. The firm

made soaps in enormous slabs, and these were sold to grocers, who sliced the

product like cheese for individual consumers. There were no brands, no

advertising was direct at consumers, and most soap factories remained small

before the civil war. The period between the ends of the civil war and 1900

brought major changes to the soap industry.

COMPANY PROFILE

Ashique Enterprises is come under the Thai Group. It is involved in the

marketing of cements, Soap, floor tiles, detergent powder etc. They are the

wholesale distributor of cement brands like Coromandal, Shankar etc. of India

21

cements limited. They are the consignment agent of Roofit mix of North Kerala.

They also involves in distribution of various soaps manufactured by Ashique

Exports (P) Ltd.

Ashique Enterprises is situated at Calicut. It had a branch office at Sulthan

Bather near Kanjirandy traders of which come under the ownership of Thai

Group. Ashique enterprises also distribute the food products which is produced

the plantation of Thai Group Vythiry, Kalpetta.

Ashique Enterprises controls and manage almost all the functions of

Ashique Exports (P) Ltd. That means in marketing function and finance function

etc. Ashique enterprises manage the marketing of products to whole Kerala.

Thai Group is the association of different business establishment promoted

by Mr. P.C.Thahir. The business were started by the group in 1980. Here the

transport service for cement went on to become a major business line.

The authorized share capital of the company is Rs. 5, 00,000. Here the

permanent directors are Mr. PC Thahir, SakeenaThahir an AshiqueThahir. In

Kerala the corporate are much low as comparing to other adjacent states.

Ashique Exports Private Limited is constructed in a non-industrial area only for

providing job opportunities to backward people.

THAI GROUP

Mr. PC Thahir is the founder of Thai Group in 1984 with interests in cement

Marketing. Very rapidly, their portfolio broadened with FMCG. The marketing

experience gained over these years stood us in good stead. As a logical

extension of their initial success, they also grew into the manufacturing of

consumer non-durables. Consequently, the first half of the 90’s saw the launch of

their laundry soap unit at Sultan Bathery in Wayanad, Kerala Now renowned as a

tourist destination. Over an eventful two decades, the Thai Group has become

leading conglomerate in Kerala. They are now poised for extending the THAI

22

value chain to more products and services as well as encompasses the whole of

south India.

They are the manufacture of soaps, detergents, shampoos, talcum

powders and garments to building materials, mining processing logistics and

plantations. Today’s recent technological progress and economic advancement

will improve the quality of products and services.

Core purpose

To provide value products and services that satisfies their customers now,

and in the future.

Core Values

Work with a long-term view and treat the organization as their own.

Take personal accountability for meeting business commitments

Strengthen the trust amongst suppliers, customers and themselves.

Constantly apply the most beneficial ideas and methods

The company has been progressing steady from 1984. Many lessons came

along with the progress. The firm resolves to add value to services and the

growth needs effort and creativity. The business ventures have been

adventurous.

Thai group had a modest beginning with interest in cement marketing. The

group owes more success and progress to its employees, customers, associates

and the society of large. The portfolio is very rapidly broadened with the fast

moving consumer goods. The group also grew into the manufacturing consumer

now durable. On the first half on 1990’s the laundry soap unit was started at

SulthanBathery in Wayanad. But now Thai Group offering various brands

products like Body care, Fabric care, cleaning solutions, Building products &

various kinds of agricultural products such as Tea, Coffee, Pepper and

Cardamom. In building material they are handling various items like Tiles, Sheet,

Cement, Cem powder etc. They are also deals with telecom apparatus.

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SISTER CONCERNS UNDER THAI GROUP

Ashique Enterprises

This firm of Thai group is involved in the trading of soaps, detergents, tiles,

cement, cem powder, tea etc. Ashique Enterprises have a branch office Aysha

Arcade at SulthanBathery and head office at Calicut.

Aghin Chemicals And Cosmetics

This firm is located adjacent to Gladys soap factory. They are the manufacturers

of detergent powder such as Starlight, Sun Plus, Sun Plus premium, Sub line etc.

They manufacture various scoring powder such as Lulu and Sohna. They are the

manufacturer of cleaning liquid namely Ridzol. They are the distributor of Rid

roach cockroach repellent.

Aysha Associates

Along with Ashique export Pvt. Ltd, Aysha associates also involves in the

distribution of products of Ashique export Pvt. Ltd. They distribute Gladys Beauty

soap, Lexus Beauty soap, Sun Plus detergent powder, Iva lime soap etc

Aysha Plantations, Wayanad

Around 650 Acre plantations consisting of coffee, Tea and pepper are under

the preview of Aysha Plantation Vythiri, Wayanad.

Aghin Agro food Industries Private Limited

The company producing various agro foods likes Tea, Coffee, Pepper and

Cardmom. Quality system of procurement and preservation enables us to

offer you premium quality food products. Le Tea and Thalamala Tea are

the premium brands. Both the brands are premium in quality and

delicious in use.

Aghin Roadways, Coimbatore

It consists of a fleet of 300 trucks and several pick up van for transportation of

cement, gypsum, sand, soap tiles etc. This efficient transportation system has its

head quarter in Coimbatore. Aghin roadways is equipped with a fully fledged

work shop, a vehicle body building unit, fuel filling station and a manufacturing

units of chamber bricks.

Tran world Mining Industries Private Limited

This firm is situated in Thirunelveli. TMI (P) Ltd. They are involved in

pulverizing lime stones manufacturing Cam powder and in the

manufacturing of precipitated calcium carbonate.

24

Ayahs Overseas

They manage various businesses in foreign countries like Sharja,Indonesia,

Malaysia, Bahrain etc. Ayesha overseas is the overseas business centers of Thai

Group.

Auriga Technologies

This is the Multimedia College situated at Telessery. The one year multimedia

course teaching here is having great current demand. They are also engaged in

web designing, software development etc.

A.A Associates

The firm is engaged in distribution of soap and detergents in Karnataka,

Andhra Pradesh, Goa, and Maharashtra. They are established at Mysore.

Ashique Exports (Pvt) Ltd.

Ashique exports is a private limited company formed and registered under

companies Act 1956.It started it’s functioning during the year 1993.Mr.PC Thahir

is the MD and Mrs. Sakkeena Thahir is the Director. This company engaged in

manufacturing Toilet Soaps & Washing Soaps and Distribution of imported and

indigenous Building materials. The factory is situated at 1/432 poothicaud Road

poomala. P.O Sultan Bathery it also engaged in software development and

exporting to various countries in the Middle East. It is an example of the right

vision of the management towards future.

25

Mr. PC Thahir is the founder of Thai Group in 1984 with interests in

cements marketing. Very rapidly, our portfolio broadened with FMCG. The

marketing experience gained over these years stood us in good stead. As a

logical extension of our initial success, we also grew into the manufacturing of

consumer non-durables. Consequently, the first half of the 90’s saw the launch of

our laundry soap unit at Sultan Bathery in Wayanad, Kerala Now renowned as a

tourist destination. Over an eventful two decades, the Thai Group has become

leading conglomerate in Kerala. We are now poised for extending the THAI value

chain to more products and services as well as encompasses the whole of south

India.

MISSION OF THE COMPANY

To constantly innovate and produce quality products and be ready to go

extra mile for the sake of their customers.

To contribute their mite for the overall wellbeing of the society.

To have perseverance and responsibility in their striving for excellence.

To value their human capital with the healthy environment where people

can excise creativity.

To provide opportunity for growing and to generate optimum returns.

To be judiciously adventurous and excise integrity.

VISION OF THE COMPANY

Since the inception 1980and during the subsequent years.Thai group has

been progressing steadily, along with the progress came many lessons, growth

needs effort creativity and a firm resolved to add value to the customers buying

decision. Ours has been a policy of adventure and lowering over all those is the

sense of a bright future with an unwavering optimism. THAI group also believe

that their success and progress have to be interpolated to their associates,

employees, customers and society at large.

Activities

Thai Group engaged in various activities such as Manufacturing of Soaps,

Detergents, cleaning solutions and Fabrics, Mining and pulverizing of limestone,

26

marketing, Logistics, international trade, Information technology. Various entities

are there under Thai Group to carry out these activities.

Group members

Ashique exports (pvt) ltd

Ashique chemicals and cosmetics

Aghin agro foods industries (pvt) ltd

Thai apparels

Transworld mining industries (pvt) ltd

Ashique enterprises

Aghin roadways

Aysha plantations

Thai impex (pvt) ltd

Auriga multimedia

Products

27

PERSONAL CARE

FABRIC CARE

CLEANING SOLUTION

BUILDING PRODUCTS

FOOD PRODUCTS

Fabric care

Dr.Wash and Gold 916 are our premium Washing Soap brands and

Surplus is our leading Detergent Powder in Kerala. It tempers easily with hard

and soft water. Dr.wash manufactures by using 100% vegetable oil. Premium

and high cost contents uses to the role of alkalis. In Gold 916 also we uses

vegetable oil as a major content. These products stand in front of the segments

due to its cost effectiveness.

Washing soap

Recent Years Thai Washing Soaps have constantly evolved to cater to

the growing aspirations of Kerala housewives. Our Washing Soaps provide

superior whiteness through tough dirt removal. Optical Brightness and Photo

Active System are the unique features of this brand.

Personal care

Thai Group offers various value products to sustain our personal

appearance ever fresh, while “Lexus Skin Care” moisturizing our skin. The

Carbolic soap “Prime Body” protects our skin from germs to sustain health for

long. Olive oil is best for human body “Olive” contains Olive oil. ”Iva” presents a

lime fresh bath to the consumer.

Soaps

Soap fragment of Thai Group involves personal care products and Laundry

soaps. All of these are popular in Kerala. One of our brand “Lexus Skin Care” now

listed among the popular brands of Kerala. Oliva, Gladys and Iva are our other

specially featured popular brands. Our Laundry soaps Dr. Wash and Gold 916 are

still remain as trendsetters in their segment.

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Soap is a combination of animal fat or plant oil and caustic soda. When dissolved

in water, it breaks dirt away from surfaces. Through the ages soap has been

used to cleanse, to cure skin sores, to dye hair, and as a salve or skin ointment.

But today we generally use soap as a cleanser or perfume.

PRODUCT PROFILE

1. Building Products

Tiles:-

NAKO is their tile brand. It is importing from China. It is

available in 2X2 size. It has high strength mirror finish, extra brightening, extra

gloss and everlasting colour. It body size is bigger, better, perfect and

homogeneous. Flatter joints and high durability is reflecting the life style.

There is centralized warehouse in Kochi. Tile is importing as shipment from

China in container. There are district wise sales executives and sales offices

across south India.

Overall controller of NAKO Tile is Marketing Manager. Sales executives

collect orders from dealer. Supply of tiles is done by their own transportation.

Responsibility of payment involved sales executives. And they are also

rectifying complaint from dealers.

Mainly there are two types of NAKO Tiles

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a) Vitrified Tiles

b) Ceramic Tiles

Cement:-

They are C & F cum sales promoter ICL (India Cement Ltd) to deal

Shankar Cement.

Cem powder:-

Ultra Cem and Mega Cem are their premium brands for the company is

located us Tiruelveli.

Sheet:-

Shakthi is their brand name of sheet.

2. Personal Care Products

Toilet Soap:-

Oliva

Oliva is a new brand soap introduced recently. The soap is made up of oliva oil

and it is the first of its kind. The company argues that its regular use makes.

The skins shine and feel ever youth. Other that its lasting perfume, natured

color and user friendly shape makes its more attractive.

Product details of Oliva

Sl.No Items Net Weight MRP

1 Oliva 100 gm 20.00

Gladys

30

Gladys was formulated to meet the demand of the beauty conscious customers.

This flagship brand is positioned as “Beauty Soap”. The ingredients are specially

formulated to evoke fragrance of international appeal.

Products details of Gladys


1 Gladys 100gm 15.00

Lexus

The findings of company’s research wing highlighted a discernible shift

towards fairness on repeated use. It was found that Lexus works well on the

skin. It is developed from natured coconuts and palm oil to make the skin

beautified.

Products details of Lexus


1 Lexus 105 gm 20.00

Iva

Iva is an international beauty soap brand, well accepted for its lingering

and tangy lime freshness with an exotic lime fragrance will energize the user for

the whole day.

Product details of Iva


1 Iva 100gm 12.00

Prime Body

31

Prime body exhibits an excellent brand spectrum micro Socratic activity

against Gram-positive and Gram-negative bacteria. It is also effective against

molds and yeasts.

Product details of Prime Body


1 Prime Body 100gm 15.00

3. Fabric Care Product

Washing soaps:-

Dr.Wash

Dr. Wash is the most popular brand of Ashique. Regarding the sales and

services. It stands first out of the whole brand.

Product details of Dr.Wash


1 Dr.Wash 185 16.00

Gold 916

It is available in four different weights

Products Details of Gold 916


1 Gold 916 850 gm 48.00

2 Gold 916 425 gm 24.50

32

Washing 10

Even if introduced very recently it could make a vibration in the markets

Product details of Washing 10


1 Washing 10 175gm 10.00

Silver 6

It is also a new brand aiming middle class people

Product details of Silver 6


1 Silver 6 850 gm 37.00

Detergents:-

Sun Plus

Sun Plus was developed considering factors like washing ha bits

quality of water required, native and degree of soling, pleasing order, color etc.

Premium contains more active ingredients and very pleasing fragrances.

Product details of Sun Plus


1 Sun Plus 750 gm 34.00

2 Sun Plus 375 gm 18

4. Cleaning solutions

Sohna (Pink)

33

Lulu (White)

5. Food Products

They engaged in the cultivation of Tea, Coffee, Pepper and Cardamom.

Their plantation is located in Wayanad.

PHYSICAL DISTRIBUTION

Handling, movement, and storage of goods from the point of origin

(location or station where a carrier receives a shipment from a shipper for

transportation to the destination)to the point of consumption or user

(consumption of goods and services is the amount of them used in a particular

time period), via various channels of distribution.

Physical distribution is the process of planning, implementing, and

controlling the efficient, effective flow and storage of goods, services and related

information from point of origin to point of consumption for the purpose of

conforming to customer’s requirements. Physical distribution cost can represent

20% or more of the selling price of a product.

Physical distribution (logistics) deals with the efficient movement of a

company’s product through the channel of distribution. A firm can manufacture a

great product, but if it takes 10 months for the product to get from the

manufacturer to the retailer (or consumer), the firm will find itself in trouble.

34

Making the physical distribution process work more efficiently is important to

marketing. Physical distribution makes up about 10% to 15% of the total cost of

a product.

Various types of marketing channels and physical distribution are used for the

movement of goods are

Manufacturer consumer

Manufacturer Retailer consumer

Manufacturer Wholesaler Retailer consumer

Manufacturer Agent Wholesaler Retailer consumer

The term physical distribution is more appropriate to outgoing (outbound

logistics) or forward movement of products, services and information from a

firm’s manufacturing facility to consumer, and involvement defined network of

transportation links, warehousing and storage, and finally delivery at the

destination in a cost effective manner within the desired time. Physical

distribution consists of the tasks like Warehousing, material handling, Inventory

Management, Order processing and Transportation.

There will be two types of Physical distribution, they are

a) Direct distribution

b) Indirect distribution

With direct distribution, no intermediaries are used. Some examples are

manufacturer sells to consumer by using (i) its own retail outlet (ii) door -

to -door salespeople etc.

Indirect distribution means that intermediaries will be used. One common

channel distribution is:

Manufacturer Wholesaler Retailer consumer. In this case

wholesaler and retailer are the intermediaries.

Physical distribution is concerned with ensuring the product is in the right

time. Order processing, Inventory Management, warehousing and transportation

are the main distribution functions.

35

ORDER PROCESSING

The physical distribution process begins when a supplier receives an

order from a consumer. The customer is only concerned with the efficiency of the

supplier’s distribution. The receipt of order and transmission of sales order

information is an important function of physical distribution.

INVENTORY MANAGEMENT

Inventory management involves building and maintaining enough product

assortments to meet the customer demand. The stock levels have a direct effect

on service and customer satisfaction. Stock represents opportunity costs that

occur because of constant competition for the company’s limited resources. If

the company’s marketing strategy requires that high stock levels be maintained,

this should be justified by a profit contribution that will exceed the extra stock

carrying costs. Sometimes a company may be obliged to support high stock

levels because the lead – times prevalent in a given market are particularly

short. In such a case, the company must seek to reduce costs in other areas of

the physical distribution management ‘mix’.

WAREHOUSING

Warehousing is an important physical distribution function and refers to the

design and operation of facilities for storing and moving goods. Some basic

physical distribution functions of warehouses are given below:

Receiving goods and assuming responsibility.

Recording quality of each item and marking with codes, tags or physical

property etc.

Sorting goods to store in an appropriate area.

Dispatching goods for storage

Holding products in properly protected condition until needed.

Recalling and picking products ordered by customers from storage.

Collecting for a single shipment, checking for completeness or explaining

omissions.

TRANSPORTATION

36

There are five main transportation modes for moving goods are railways,

roadways, waterways, airways and pipelines. The chosen transportation

mode should adequately protect goods from damage in transit.

PHYSICAL DISTRIBUTION OF ASHIQUE ENTERPRISES

In Ashique Enterprises direct distribution mode is used for the distribution

purpose, because there is no intermediaries are used. The company is

distributing their products through their salesman their own vehicles. According

to the order placed by the branch office, the goods will dispatch from the factory

to each branch. Then the salesmen will distribute the product to the dealers. The

dealer may be a wholesaler or retailer.

ABOUT MARKETING DEPARTMENT

Marketing is a fundamental organizational function, for the survival,

sustenance and growth of an organization. It has philosophical and strategic

overflows for the individual organization, to some extend that this function aims

at achieving some of the basic organizational objectives. Marketing focuses on

the needs and wants of the consumer identities and activates those serves and

satisfies them. Design of products and other related activities are done to match

with the customer’s needs, and to generate profitable operations. Marketing has

been evolving into a profession based on a body of scientific knowledge,

exposure to education and training, a code of ethics and measure of soul

responsibility. More and more professionals are taking over the marketing

function I many organizations. Marketing management is a functional area of

business management. It place a vital role in developing strategies, plans and

programs for each market segment in order to satisfy the consumer wants if may

be defines as the application of management tool and techniques in the efficient

utilization of available marketing resources. In simple words, marketing

management is the management activities. It involves planning implementation

and control of marketing programs including in the process of marketing.

37

In Ashique enterprises, the Marketing Department is functioning in corporate

office situated at Kozhikode. The Marketing Department of Ashique enterprise is

headed by General Manager – Administration /development. One marketing

manager is appointed under the leadership of General Manager and two zonal

marketing managers are appointed under the marketing manager, because the

entire Kerala is divided into zones as North zone and South zone. North zone is

from Kasargod to Thrissur and south zone is from Cochin to Trivandrum. Under

the each zonal manager, one sales officer is appointed for each district. Under

each sales officer, around 10 sales men are handling the distribution of product

by using company van. Company is distributing their products to wholesalers and

retailers directly with their sales men. Currently the company has 100 own vans

for the distribution purpose.

Sales executives have loose relation with consumer. They knowabout the

trend. If any change is needed the sales officer will inform that to their

respective zonal marketing manager. And they will inform the thing to marketing

manager and he will take the decision. Ashique Export Pvt.Ltd is marketing their

product in Kerala, Karnataka and Tamil Nadu through their own channel only. As

far as possible the company avoids an intermediary which helps to reduce selling

price.

For the price fixation of all the products the marketing manager plays a

vital role. The rates are fixed in accordance with competitor’s price and cost of

production. The company changes different price in different states due to

change in sales tax rate. Through direct selling they market their products in

other states. But in some places like Coimbatore in Tamil Nadu, Mysore and

Mangalapuram in Karnataka, they sell their products through salesman. From the

regions daily sales report is sending to the head office. Daily sales monitoring is

done by the sales officer. It will help to know the position of the sales of the

company every day. It will also help take correct decision incorrect time. Ashique

Enterprise is distributing the AEPL products in Kerala. It has two zones in Kerala,

North and South. They control 23 branches in Kerala region. Each branch office

has a vehicle they collect goods from the branch office and distribute to the

38

retailers. Targets are fixed for each salesman it would be some quality or area

which must be covered by them. Each branch office must keep 18days stock in

their store. Order is taken on weekly basis. Proper checking must be important.

The sales people are using palmtop, to getting computerized bill for the dealers.

Marketing research is done by the company for many purposes such as

advertising effectiveness, brand awareness, customer’s wants and desires etc.

The information also gets from dealers and retailers about the needs of

customers etc. Advertisement s are mainly done through Television, posters,

print add and danglers. Sales promotion activities are also done by the company.

It is in the way of scheme (gift, gold etc), Display schemes records are

maintained by Marketing Department.

Marketing Department maintains the following

1. Stock register

2. Stock Transfer register

3. Sales account

4. Cash account

5. Branch account

Advertising

The media of advertising is News paper, Television, internet etc

39

ORGANIZATIONAL STRUCTURE OF ASHIQUE EXPORTS

40

CHAPTER-4

DATA ANALYSIS AND

INTERPRETATION

42

Retailer’s experience in business

TABLE- 4.1

Years No of respondents percentage

Below 10 years 21 42%

10-20 years 16 32%

21-30 years 10 20%

Above 30 years 3 6%

Total 50 100%

Source: Survey data

CHART-4.1

below 10 years 10-20 years 21-30 years above 30 years0

5

10

15

20

25

30

35

40

45

Interpretation:

A major portion of a retailers dealing with the soap of ashique exports have experience below 10 years in business. It is hopeful that almost all new retailers are selling Ashique exports products.

43

Retailers dealing with Ashique exports

TABLE-4.2

Opinion No of respondents Percentage

Yes 50 100%

No - -

Total 50 100%

Source: Survey data

CHART-4.2

Yes No0%

20%

40%

60%

80%

100%

120%

Interpretation:

From the above table, 100% of respondents have deal with Ashique Exports products.

44

Fast moving brand in the market

TABLE-4.3

Brand No of respondents percentage

Vivel 12 24%

Medimix 3 6%

Oliva 11 22%

Lux 14 28%

Santhoor 6 12%

Cinthol 4 8%

Total 50 100%

Source: Survey data

CHART-4.3

vivel medimix oliva lux santhoor cinthol0%

5%

10%

15%

20%

25%

30%

Interpretation:

From the above graph and table it can be observed that Ashique Exports soaps occupies the third position among the fast moving brands.

45

Fastest moving soaps of Ashique Exports

TABLE-4.4

Soap No of respondents Percentage

Lexus 14 28%

Gladys 8 16%

Oliva 21 42%

Jaz 4 8%

Primebody 3 6%

Total 50 100%

Source: Survey data

CHART-4.4

Lexus28%

Gladys16%

Oliva42%

Jaz8%

Primebody6%

Interpretation:

From the above it can be inferred that 42% of the respondents are of the opinion that the Oliva is most fast moving soap in Ashique Exports soap.

46

Reason for fastest movement of soaps

TABLE-4.5

Factors No of respondents Percentage

Low price 7 14%

Brand image 20 40%

Attractive promotional activity

3 6%

High quality 18 36%

Good packaging 2 4%

Total 50 100%

Source: Survey data

CHART-4.5

Low price Brand image Attractive promotional

activtity

High quality Good packaging0%

5%

10%

15%

20%

25%

30%

35%

40%

Interpretation:

From the table the respondents can be inferred that the brand image and quality are the major reason for the fastest movement of Ashique Exports soap.

47

Demand of Ashique Exports soaps

TABLE-4.6

opinion No of respondents percentageHigh 7 14%

Medium 33 66%

Low 10 20%

Total 50 100%

Source: Survey data

CHART-4.6

High9%

Medium70%

Low21%

Interpretation:

From the table the response of respondents can be inferred that the demand

Of Ashique Export’s soap is medium.

48

Reason for demand of Ashique Exports soaps

CHART-4.7


Price 8 16%

Packaging 2 4%

Quality 22 44%

Foam 11 22%

Odor 7 14%

Total 50 100%

Source: Survey data

CHART-4.7

Price Packaging Quality Foam Odor0

5

10

15

20

25

30

35

40

45

Interpretation:

The above table the response of respondents can be inferred that 44% of respondents say quality is important factor for demand of Ashique Exports soaps.

49

Influence of competitor’s price in Ashique Exports soaps

TABLE-4.8


Yes 27 54%

No 23 46%

Total 50 100%

Source: Survey data

CHART-4.8

Yes54%

No46%

Interpretation:

From the table the response of respondents can be inferred that 54% of respondents say competitor’s price can influence in Ashique Exports soaps.

50

Influence of advertisement on sale of Ashique Exports soaps

TABLE-4.9

Opinion No of respondents percentage

Highly agree 15 30%

Agree 18 36%

Disagree 17 34%

Total 50 100%

Source: Survey data

CHART-4.9

Highly agreeAgree

Disagree

27%

28%

29%

30%

31%

32%

33%

34%

35%

36%

Interpretation:

A major portion of the respondents are agreeing the advertisement have an influence on the sale of Ashique Exports soaps.

51

Margin of Ashique Exports soap

TABLE-4.10


High 6 12%

Medium 28 56%

Low 16 32%

Total

50 100%

Source: Survey data

CHART-4.10

HighMedium

Low

0%

10%

20%

30%

40%

50%

60%

Interpretation:

From the table major portion of retailers observed that the margin of Ashique Exports soap is medium.

52

Promotional strategies to be followed

TABLE-4.11


Gift 13 26%

Discount 24 48%

Offer 9 18%

Coupons 4 8%

Total 50 100%

Source: Survey data

CHART-4.11

Interpretation: A major part of retailers suggest providing of discount as a promotional strategy to be followed by the company to improve the sale of Ashique Exports soap.

53

Gift Discount Offer coupons0%

10%

20%

30%

40%

50%

60%

Suggestion to improve the sale of Ashique Exports soap

TABLE-4.12


Price reduction 12 24%

Change in packaging 1 2%

Increase quality 8 16%

Change in shape& size 2 4%

Includes herbal ingredients 11 22%

Change in odor 16 32%

Total 50 100%

Source: Survey data

CHART-4.12

Price reduction24%

Change in packaging2%

Increase quality16%

Change in shape&size4%

includes herbal ingredients

22%

chang in odor32%

Interpretation:

From the table one of the main suggestions of the retailers to improve sales of Ashique Exports soap is to change odor and reduce price.

54

Incentives followed by retailers

TABLE-4.13


Commission 26 52%

Offers 4 8%

Gift 3 6%

Credit facility 7 14%

Trade discount 10 20%

Total 50 100%

Source: Survey data

CHART-4.13

Commission offers gift credit facility trade discound0%

10%

20%

30%

40%

50%

60%

Interpretation:

A major portion of the retailers prefer commission as an incentive to them from the company.

55

Complaints about Ashique Exports soaps

TABLE-4.14


Yes 10 20%

No 40 80%

Total 50 100%

Source: Survey data

CHART-4.14

Yes20%

No80%

Interpretation:

From the table it can be inferred that 80% of respondents say that there is no complaints about Ashique Exports soap.

56

Sale of Ashique Exports

TABLE-4.15


Highly satisfied 4 8%

Satisfied 27 54%

Moderate 19 38%

Dissatisfied - -

Total 50 100%

Source: Survey data

CHART-4.15

highly satisfied8%

satisfied54%

moderate38%

Interpretation:

From the above table it can be concluded that a major portion of the retailers dealing with Ashique Exports soaps are satisfied with its sales.

57

CHAPTER-5

FINDINGS, SUGGESTION AND

CONCLUSION

58

FINDINGS

It is found that almost all retailers are dealing with Ashique Exports soaps.

The brand image and quality are the major reason for the fastest movement of Ashique Exports soap.

It is found that the demand of Ashique export soap is medium compared to other soap.

The competitors prices have influence the Ashique Exports soap.

It is found that according to retailer’s opinion the oliva is fast moving soap in Ashique Exports soap.

It is founded that the Ashique Export soap enjoys third position among the fast moving soap of different brand.

Quality is the important reason for the success of Ashique Exports soap.

Most of retailers satisfied with sale of Ashique Export products.

59

SUGGESTION

Soap industry of India is facing cutthroat competition. So the company can concentrate on sales promotional activities like, giving free gift sample.

Company should give some additional benefits to retailers like, providing credit facilities, special offer and giving them more quality goods.

Company should try to make some innovation like, different shapes, colour, odor etc…

The company must try to adopt different strategies to increase sale of soap in the market.

The price of some Ashique Export soaps is high. So the company should try to analysis the possibilities of decreasing their price.

Some of the respondents are not satisfied with incentives provided by Ashique Exports. So proper care must give to them.

60

CONCLUSION

This project was basically a study on the market trend of toilet soap of

Ashique Exports private limited. The soap industries are facing cutthroat

competition. Since the retailers are the last linkage with the customer and

manufacture. Their support is very important for company, to know the attitude

of customer towards each manufacture or company. Most of retailers are dealing

with Ashique Exports soaps. The brand image and quality are the major reason

for the fastest movement of Ashique Exports soap.

This analysis reveals the retailer’s requirement for getting better incentive

scheme and retailers promotional tools from the company even though they

promote more of oliva soap. The finding and suggestion of the study will help the

management to take further step to improve the retailer’s satisfaction and

performance.

61

APPENDIX

62

QUESTIONNAIRE

1. Name of shop and address:

2. Number of year in business:

a) Below 10 year b) 10-20 years

c) 20-30 years d) Above

3. Do you deal with the product of Ashique export?

a) Yes b) No

4. Which type of product you deal?

a) Gladys b) Oliva c) Primebody

c) Lexus d) Jaz e) If other specify…

5. Which brand of the soap moves faster in the market?

a) Vivel b) Medimix e) Oliva

c) Lux d) Santhoor f) Cinthol

6. Which variety of soap Ashique exports moves faster in your shop?

a) Gladys b) Luxus e) Primebody

c) Oliva d) Jaz

7. State the reason for the fastest movement of the soap in market?

a) Low price b) Brand image c) Good packaging

d) High quality e) attractive promotional activity

8. The demand for the soap of Ashique exports compared with the competitors?

a) High b) Medium c) Low

63

9. Reason for the highest demand of soap in Ashique exports?

a) Price b) Packaging c) Quality

e) Foam f) Odor

10. What kind of promotional strategies Ashique exports has to follow?

a) Discount b) Gift c) Offer

d) Coupons e) If other specify…

11. Price of competitors soaps have an influence on the sale of Ashique exports

soap?

a) Yes b) No

12. Do you agree that advertisement have great influence on the sale of Ashique

exports?

a) Highly agree b) Agree c) Disagree

13. Your opinion about the margin of Ashique exports?

a) High b) Medium c) Low

14. What type of incentive do you prefer?

a) Trade discount b) Credit facility c) Gift

d) Offer e) Commission f) If other specify…

15. What changes have to be made to increase the sale of Ashique exports?

a) Price reduction b) Change in packaging c) Increase quality

d) Change in shape and s e) including herbal ingredients

f) Change in odor

16. Do you get any complaints from customers about Ashique exports products?

a) Yes b) No

17. What is your opinion about the sale of Ashique exports soaps?

64

a) Highly satisfied b) Satisfied

c) Moderate d) Dissatisfied

18. Any suggestions………

65

BIBLIOGRAPHY

66

BIBLIOGRAPHY

BOOK REFERED

Marketing Management; Philip cotter, Tenth Edition

Kothari C.R, Research Methodology, 1998, Wishwaprakashan, New

Delhi

WEB SOURCES

www.google.com

www.thaigroup.com

www.exportersindia.com

www.wikipedia.com

www.studymode.com

67

http://www.studymode.com/

http://www.wikipedia.com/

http://www.exportersindia.com/

http://www.thaigroup.com/

http://www.google.com/

study on market of toilet soaps

Business

demand of ashique exports

sale of ashique exports

ashique export soap

margin of ashique exports

toilet soap market

study of market

soap industries

project work