This Edible Oil survey attended at Nasrapur village near, pune. Maharashtra

Guide- Nilesh Gokhale.

SILC. INSTITUDE

List of Tables

Table No

Tittle Page No.

1 Showing Gender Wise Classification Of Respondents

2 Showing Classification Of Respondents On The Basis Of Age Group

3 Showing Classification Of Brands used by customer

4 Showing from where respondent purchase product.

5 Showing how respondent select the brand.

6 Showing data about Quality Factor consideration

7 Showing data about Prise Factor consideration

8 Showing data about Test Factor consideration

9 Showing data about Availability Factor consideration

10 Showing data about Brand Awareness Factor consideration

11 Showing data about Packaging Factor consideration

12 Showing data about quantity of oil purchased

13 Showing data about frequency of changing type of oil.

14 Showing data about effect of promotional activities

15 Showing data about level of satisfaction

16 Showing data about brand loyalty.

List of Graphs

Graph No.

Tittle Page No.

1 Count of gender.

2 Count of Age Range

3 Count of Brand Purchased

4 Count of Where Edible Oil is purchased

5 Count of how do you get to know edible oil brands

6 Count of quality factor considered

7 Count of Price factor considered

8 Count of Test factor considered

9 Count of Availability factor considered

10 Count of Brand Awareness factor considered

11 Count of Brand Packaging factor considered

12 Count of what is the capacity of edible oil purchased

13 Count of monthly expenditure on edible oil

14 Cunt of often replacing edible oil brand

15 Count of an effect of promotional activity

16 Count of level of satisfaction

1 ABSTRACT

Edible oils constitute an important component of food expenditure in

Indian households. India is a vast country and inhabitants of several regions

have developed specific preference for certain edible oils largely depending

upon the oils available in the region. For example, people in the South and West

prefer groundnut oil while those in the East and North use mustard

seed/rapeseed oil. Likewise several pockets in the South have a preference for

coconut and sesame oil.

The demand for edible oils in India has shown a steady growth at a

CAGR of 4.43% over the period from 2001 to 2011. The growth has been

driven by improvement in per capita consumption, which in turn is attributable

to rising income levels and living standards. However, the current per capita

consumption levels of India (at 13.3 Kg/year for 2009-10) are lower than global

averages (24 kg/year). The Indian edible oils market continues to be

underpenetrated and given the positive macro and demographic fundamentals it

has a favourable demand growth outlook over the medium-to-long term.

Through this paper the researcher tries to understand the factors influencing

purchase decisions for edible oils by the households and the consumption

patterns of the households. Authors have also tried to analyse the preference of

demographic clusters.

Keywords: Edible Oil, Consumption pattern, preference

2 INTRODUCTION

2.1 EDIBLE OIL INDUSTRY IN INDIA

The per capita income of Indian household has risen substantially in the

last decade. This was supported by robust growth in the economy resulting in

changes in food habits and people getting more habituated to ready to-eat foods.

With the change in per capita income, the edible oil industry in India has also

undergone significant changes. For example, today the preference for packed oil

over loose has increased due to affordability and increased attention to health

and hygiene. The presence of many organized outlet has augmented this across

the country that sell packed oil.

India is a vast country and inhabitants of several regions have developed

specific preference for certain oils largely depending upon the oils available in

the region. For example, people in the South and West prefer groundnut oil

while those in the East and North use mustard seed/rapeseed oil. Likewise

several pockets in the South have a preference for coconut and sesame oil.

Edible oil consumption is primarily a community-driven phenomenon in

India. Going by the traditional cuisines, mustard and rapeseed oil are used in the

northern and eastern states of the country. Coconut, peanut and sunflower oils

are widely consumed in south India while peanut and cottonseed oils are the

cooking medium of choice in Gujarat. Rapeseed oil is popular in north east

India; soybean oil is more prevalent in central India.

The current per capita consumption levels of India (at 13.3 Kg/year for

2009-10) are lower than global averages (24 kg/year). The Indian edible oils

market continues to be underpenetrated and given the positive macro and

demographic fundamentals it has a favourable demand growth outlook over the

medium-to-long term. Globally, the demand and supply of oil is

disproportionately distributed, for example Middle East contributes 32 percent

of the world supply but demand is only 7.8 percent, while Asia-Pacific has 30

percent of world demand but only 9.7 percent supply. Currently, in India, the

refined oil segment has a growth rate of around 20 percent per annum; and for

the branded packed oil segment, the consumption growth is 6 percent. The

current per capita consumption of edible oil is low compared to the world

average. Hence, in the future, there is tremendous opportunity to tap the

potential and expand the market of edible oil.

In the above context, an attempt has been made to understand the buyer’s

behaviour and preferences for edible oils in Nasrapur Village in Bhor Taluka,

Pune District, and Maharashtra State

3 OBJECTIVE OF STUDY

3.1 THE STUDY HAS FOLLOWING OBJECTIVES

● To understand the factors influencing purchase decision for edible oils.

● To understand the buying and consumption patterns of the product.

● To understand the preference of demographic clusters.

● To understand the frequency of changing edible oil type.

● To understand the effect of promotional activities on purchasing habits.

● To find the extent of brand loyalty among consumers.

3.2 SCOPE ● Study covers the awareness of the consumer towards brands.

● Study covers the market share of various brands.

● Study covers the consumer attitude towards price.

● Study covers the various marketing channels.

● Study is restricted to Nasrapur Village only.

3.3 LIMITATIONS

● The data and opinion collected are assumed to be objective.

● The survey is restricted to 86 respondents.

● Lack of consumer awareness about different brands of edible oil.

● Time constraint.

● The sample size is supposed to representative of the views of the

consumers.

● The study has been restricted to Nasrapur Village only.

3.4 GEOGRAPHICAL SCOPE

Nasrapur village is in Bhor Tehsil in Pune. It is on NH4 i.e. Satara

highway around 45 km from Pune. It is situated on the bank of Shiv Ganga

River. Its population is around 6000 out of which 3870 are registered in voters

list. Every Sunday weekly market arranged in the village. Narsapur have around

25 Grocery Store out of which 4 are wholesaler. There are 3 banks in the village

viz. Bank of Maharashtra, Pune District Central Co-operative Bank, Vai Urban

Co-op Bank. There are 4 self-help group in the village.

Nasrapur village falls within Baramati Lok Sabha Constituency and Bhor

Velhe Mulshi Vidhan Sabha Constituency

4 RESEARCH METHODOLOGY

4.1 COLLECTION OF DATA

To complete this study primary as well as secondary source of

information is used. To study the market trends and brand preferences of edible

oils, primary data is collected by using a detailed questionnaire which was

administered to a small sample of 86 families selected on the basis of

convenience sampling method. The study has been carried out in Nasrapur

Village (Bhor Tehsil Pune District). The secondary data is collected from

published thesis, books from library well reputed journals, magazines and

related Websites. The data so collected is scrutinized, tabulated, analyzed and

finally used for the study purpose. For the collection, calculation and analysis of

data statistical tools and techniques are used like Google Forum, Microsoft

Word. Microsoft Excel.

4.2 CONSUMER SURVEY

In order to collect the primary data the consumer‟s survey was

undertaken. The sample consumers were selected on stratified random sampling

method. A structured question was used to collect information from the sample

consumer contacted. Even personal interviews were held with the respondents

to gather unbiased information. Observation method also made used to

understand the real feelings of the respondents so that study become more

realistic in nature.

5 DATA ANALYSIS

5.1 INTRODUCTIONConsumer survey is necessary in any form of marketing research because

consumer is the “king‟ in the market and his behaviour changes day by day.

Selection of products by the consumer reflects the faith in the products. The

buyer’s behaviour changes according to their age, income, sex and other factors.

Buyer’s purchasing always depends on the quality and price. The study of

consumer satisfaction is necessary to know the opinion of different consumers

to implement the most effective marketing policy of the firm.

To conduct the consumer survey, questionnaire method was used.

Questionnaire is the most common research instrument. A questionnaire is a set

of questions with or without space for recording answer. The question can

secure relevant facts or opinions from informed and interested respondents

included in the sample survey.

In the following subsequent section, the data obtained from the

respondent are analysed statistically. A convenient sampling technique was

made use for this survey and the number of respondents chosen was 86.

As per questionnaire the question wise analysis is done below.

5.2 QUESTION WISE ANALYSIS

5.2.1 What is your gender?

Table-1: Showing Gender Wise Classification of Respondents

Gender No. of Respondents Percentage

Male 31 36%

Female 55 64%

Total 86 100%

Out of 86 respondents of the survey 36% i.e. 31 are male and 64% i.e. 55 are female.

5.2.2 What is your age?

Table – 2: Showing Classification of Respondents on The Basis Of Age Group.

Age No. of Respondents Percentage

20-30 16 18.6%

31-40 28 32.6%

41-50 31 36%

51-60 8 9.3%

Above 60 3 3.4%

Total 86 100%

The above table indicates that majority of the respondents (36%) belongs to the age group of 41 to 50 years, 32.6% belong to age group of 31 to 40 years.

5.2.3 Which kind of edible oil you usually buy?

Table – 3: Showing Classification of Kind of edible oil bought.

Kind of Oil No. of Respondents Percentage

Soybean Oil 37 43.%

Peanut Oil 15 17.4

Sunflower Oil 29 32.6%

Safflower Oil 6 7%

Total 87 100%

Above table shows the different kind of edible oil used in the village.

Soybean and Sunflower oil is consumed by most of the villagers. Soybean oil is

consumed by 43% and Sunflower Oil is consumed by 32.6%.

5.2.4 Which brand of edible oil do you often use at home?

Table – 4: Showing Classification of Brands used by customer

Brand User Percentage

Kirti Gold 21 24.4%

Gemini 50 58.1%

Khushbu 4 4.7%

D.K 8 9.3%

Loose Oil 3 3.5%

Total 86 100%

Above table reveals about the classification of brands used by customer.

Out of total respondent 58.1% use Gemini Brand, 24.4% use Kirti Gold Brand

and so on.

5.2.5 Where do you usually buy edible oil?

Table – 5 : Showing from where respondent purchase product.

Purchased from No of People Percentage

Grocery Store 59 68.6%

Market 18 20.9%

Supermarket 9 10.5%

Total 86 100%

Table – 5 : Showing how respondent select the brand.

Source No of People Percentage

Salesman 38 44.2%

Doctor 3 3.5%

Advertisement 27 27%

Friend & Family 18 20.9%

Total 86 100%

Table – 6 : Showing data about Quality Factor consideration

Score No of People Percentage

1 30 34.9%

2 20 23.3%

3 12 14%

4 5 5.8%

5 7 8.1%

6 12 14%

Total 86 100%

Table – 7 : Showing data about Prise Factor consideration

Score No of People Percentage

1 14 16.3%

2 21 24.4%

3 25 29.1%

4 9 10.5%

5 13 15.5%

6 4 4.7%

Total 86 100%

Table – 8 : Showing data about Test Factor consideration

Score No of People Percentage

1 10 11.6%

2 18 20.9%

3 25 29.1%

4 23 26.7%

5 6 7%

6 4 4.7%

Total 86 100%

Table – 9 : Showing data about Availability Factor consideration

Score No of People Percentage

1 8 9.3%

2 15 17.4%

3 15 17.4

4 27 31.4%

5 15 17.4%

6 6 7%

Total 86 100%

Table – 10 : Showing data about Brand Awareness Factor consideration

Score No of People Percentage

1 14 16.3%

2 11 12.8%

3 4 4.7%

4 18 20.9%

5 28 32.6%

6 11 12.8%

Total 86 100%

Table – 11 : Showing data about Packaging Factor consideration

Score No of People Percentage

1 10 11.6%

2 1 1.2%

3 5 5.8%

4 4 4.7%

5 17 19.8%

6 49 57%

Total 86 100%

Table – 12 : Showing data about quantity of oil purchased

Quantity No of People Percentage

1 liter 5 5.8%

2.5 liter 11 12.8%

5 liter 35 40.7%

15 liter 35 40.7%

Total 86 100%

Table – 13 : Showing data about frequency of changing type of oil.

Period No of People Percentage

Half Year 20 23.3%

One years 19 22.1%

2 to 3 Years 7 8.1%

Never 40 46.5%

Total 86 100%

Table – 13 : Showing data about effect of promotional activities

Effect of Advertisement No of People Percentage

Never 32 37.2%

Sometime 52 60.5%

Always 2 2.3%

Total 86 100%

Table – 14 : Showing data about level of satisfaction

Level of Satisfaction No of People Percentage

Very Good 20 23.3%

Good 49 57%

Average 17 19.8%

Total 86 100%

Table – 15 : Showing data about brand loyalty.

No of People Percentage

No effect 5 5.8%

No longer use this brand 68 79.1%

Would not use this brand 10 11.6%

temporary

Give feedback to company 3 3.5%

Total 86 100%

6 FINDINGS

● Majority of the respondents are females● Most of the respondents belong to the age group of 40 to 50 years.● Most of the respondent uses Gemini band.● Most of the respondent purchase edible oil from Grocery Store.● The majority of respondents are come to know about Edible Oil Brands

watches through the Shopkeeper of Grocery Store.● Quality, Test and Availability are the major factor considered by the

respondent while purchasing Edible Oil.● Most of the respondent purchase 5 liter and 15 liter pack of Edible Oil.● An average expenditure per respondent per month for Edible Oil is ₹ 211● An average consumption of Edible Oil per respondent per month is 1.75

liter.● Most of the respondent does not change their brand of Edible Oil.● Most of the respondent does not get affected by promotional activity.● Most of the respondent are satisfied with the brand of Edible Oil they use.● Most of the respondent will change their brand if quality problem arrives.

7 CONCLUSION

Cluster analysis proves that Health factor plays a predominant role in selecting the brands among selected respondents. As most of the respondents change their oil for better health, very strong brand loyalty is not displayed for oil consumption. Most of the respondent were unaware about the brand of Edible Oil

The primary source of information for consumer regarding oil is TV Ads and Newspaper. Hence, it is recommended that the cooking oil marketers could take maximum efforts in designing the advertisements in such a way that the advertisements provide reliable and maximum information about the nutrition

and health aspects, price of the oil. The companies could increase the frequency of advertisements also in order to make the brands positioned in the minds of the prospects and this will, definitely, help the prospects to consider those brands while the evaluation of alternatives.

Further, it is noted that advertisement does not create a need for cooking oil in the minds of prospects but at the same time, prospects consider advertising as an important source of information. Hence, it is recommended that advertisements could be used only for the purpose of creating brand awareness among the prospects.

Generally, the prospects give higher importance to safety aspects, and the brand image of the cooking oil rather than the other sales promotional schemes offered by the companies while they purchase the cooking oil. Hence, it is recommended that the cooking oil marketers could concentrate on improving the safety aspects, quality and brand image of the cooking oil instead of concentrating heavily on the sales promotional activities.

8 IMAGES

9 REFERENCES & BIBLIOGRAPHY

● http://economictimes.indiatimes.com/industry/cons-products/food/indians-get-taste-for-branded-edible- oil-as-prices-drop-incomes-rise/articleshow/45215078.cms

● http://www.managementstudyguide.com/what-is-consumer-behaviour.htm ● http://www.consumerpsychologist.com/ ● http://www.slideshare.net/VivekSinghkanpur/consumer-behavior-in-rural-market ● http://www.authorstream.com/Presentation/savidas-662879-rural-consumer-behaviour/ ● http://www.irdindia.in/journal_ijrdmr/pdf/vol3_iss3/1.pdf ● http://article.sciencepublishinggroup.com/pdf/10.11648.j.sjbm.20150301.13.pdf ● http://www.allsubjectjournal.com/archives/2015/vol2issue1/PartG/41.1.pdf

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