Consumer Behavior

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A Research Paper on
Effects of SALES Promotion on Consumer Buying behavior: A Perspective on FMCG Products

Subject: RMM

Submitted To
Faculty Name:Dr. Govind Dave
Institute: Indukaka Ipcowala Institute Of
Management (I2IM)

Prepared By
Roll No.:12MBA067, 12MBA006,
12MBA074, 12MBA111, 12MBA116

Effects of Sales Promotion on Consumer Buying Behavior: A Perspective on FMCG Products Introduction
Today’s customer is habituated with the sales promotion activities. So without such activities it has become difficult for companies to achieve their target. The term sales promotion refers to many kind of selling incentives and techniques intended to product immediate and short term sales effect typical sales promotion include samples in pack premiums values pack refund and rebates sale promotion can be apply to across to broad range i.e from chewing gum to household and car The other defining characteristics of sale promotion are its short term or immediate. For the present paper the researchers considers the household consumer for their primary survey as the products that they have taken into consider come under the FMCG. Major players of FMCG industry were: Top 20 FMCG Companies in India

1. Hindustan Unilever Ltd.
2. ITC (Indian Tobacco Company)
3. Nestlé India
4. GCMMF (AMUL)
5. Dabur India Ltd
6. Asian Paints (India)
7. Cadbury India
8. Britannia Industries Ltd.
9. Procter & Gamble Hygiene and Health Care
10. Marico Industries Ltd.
11. Colgate-Palmolive (India) Ltd.
12. Gillette India Ltd.
13. Godfrey Phillips
14. Henkel Spic
15. Johnson & Johnson
16. Modi Revlon
17. Wipro
18. Nirma Ltd
19. Amul India
20. Godrej Consumer Products Ltd
Literature Review
The Indian FMCG industry is crowded with numerous national regional and local players. To win the consumer heart and retain the market share the competition amongst the various players. The major companies ruling the Indian market in the category of FMCG items is HUL Amul, Nirma and many more Every day the Indian consumer who watch television and listen to the radio are thrown in front of a huge clutters of TV ads and commercials by these firm with the same intention and common purpose of convincing the customer that products is the best since India is a country where profiles of the also vary significantly with age demography income level etc in order to cater to need And demand of the different customer India many sales promotion schemes are highly successful as the market is the price sensitive as well as highly competitive even difference in few paisa can provoke the customer to switch to different brand the concept of brand loyalty an brand attachment takes a back seat in this situation. When the consumer feel that there are getting something extra, but at the same cost, they do not mind switching from one brand to other. However even today there exist a class of customer who still consider quality and brand as the deciding factor but their number is comparatively less majority of consumer in India, till date consider price to be the most important and deciding factors in the purchase of FMCG goods Kumar And Das (2009) in their article “Impact Of Sales Promotion On Buyer Behavior-An Empirical study Of Indian Retail Customers “opined that today’s customer can greatly influence the manufacturer of the marketer regarding the size, quality, control of the product, price, post sales service, etc…. in the present study the author attempted to find out the impact of sales promotion on consumer buying behavior. Research Gap

The study highlights consumer behavior and purchase decisions made during various sale promotion schemes after viewing advertisement and analyzes the effect of various marketing tactics used by different companies. It also investigates area like consistency of sale promotion schemes and availability of schemes along with the products to...
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