Marketing Management – I

Post Purchase behaviour of consumers of products of value below Rs. 5 Sunsilk Shampoo sachet

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Contents
Contents .................................................................................................................................................. 2 Objectives of the Study............................................................................................................................ 3 Introduction ............................................................................................................................................ 4 Skin and Body care in Indian FMCG Industry ...................................................................................... 4 Sunsilk Shampoo ................................................................................................................................. 4 Research Methodology ........................................................................................................................... 6 Target Areas / Locations ..................................................................................................................... 6 Some of the Key findings of the Interviews ............................................................................................ 7 Key Findings and Interpretations of Observed Data ............................................................................. 13 Areas of Improvement .......................................................................................................................... 14 Conclusion ............................................................................................................................................. 15 References ............................................................................................................................................ 16 Appendix I – Interview responses ......................................................................................................... 17

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Objectives of the Study
1. The primary objective of the study was to understand the post purchase behaviour of users of Sunsilk shampoo sachets (Product of value less than Rs. 5). 2. Another important objective of the study was to understand the features of Sunsilk that made the users continue using Sunsilk and features that can cause dissonance. 3. The study was also aimed to understand the decision process that governed the purchase of this product in terms that could be further utilised for marketing.

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Introduction
Skin and Body care in Indian FMCG Industry
Skin and body care is among the fastest growing FMCG segments in India driven by several factors such as rising disposable incomes, heightened exposure to media and increased awareness of personal grooming. The robust growth in per capita income has resulted in improved life styles and willingness to pay for the extra edge on personality. Women are the main consumers of the skin and body care products. The age group of consumers who regularly use skin and body care products has widened considerably in the recent years. Modern retailing formats and heightened media exposure has improved visibility for the products and opened up markets in the semi-urban and rural areas. Companies are positioning products at various price points to cater to a large section of the population. Several players have introduced affordable unit size packaging especially in rural areas to counter the large presence of local brands. These unit size packaging across the entire range of products is a key driver for growth and penetration in the skin and body care segments.

Sunsilk Shampoo
Till a few decades ago, till the 1060’s, shampoo was considered a lifestyle product in urban India. The Shampoo industry has grown and evolved since then. Till the earlier part of the 2000’s, the market was dominated by flagship companies such as Hindustan Unilever Ltd. and Procter and Gamble. Since then, the competition has increased to include many more multi-national companies like L’Oreal and domestic companies such as Dabur and ITC. There is high capacity of growth in the bottom end of pyramid of the industry. The industry is reported to be growing at an annual rate of 14% p.a., and the competition is increasing every day. Shampoos are divided into three predominant categories: 1. Cosmetic (Volume, shine, strength) 2. Herbal 3. And Anti-Dandruff Sunsilk is a cosmetic/popular category shampoo, primarily aimed at women, and produced by the Hindustan Unilever group, which is India’s leading company and brand in hair conditioning and the second largest in shampoo. The major competitor of Sunsilk is Clinic Plus, marketed by the same parent company, HUL.

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The main target market of Sunsilk predominantly includes women between the age group of 16-40 yrs., belonging to the lower and middle income classes. But the promotional activities of Sunsilk cover the whole market irrespective of these classes. Sunsilk targets its products on the basis of consumer buying behaviour, income level, and purchasing power of people. The quantity of the product can be changed according to the income and purchasing power of the consumers as in case of Sunsilk 9ml and 7.5 ml sachets.

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Research Methodology
We have studied consumer behaviour to learn how consumers respond to or use Shampoos. The data collected about consumer behaviour can help frame better strategies thereby refining the overall product. We have gathered Objective (frequency of buying the shampoo) as well as Subjective (consumer opinions) data in order to ascertain the psychology of the consumer. Surveys and Questionnaires We used Surveys and Questionnaires to solicit both Objective data as well as Subjective data. There are many strategies for gathering information such as online survey, review of friends and family members but we used the below mentioned two strategies to gauge consumer behaviour:  Street Survey Target Market

We asked around 25 questions to 7 people each in the adjoining areas of Chennai such as Mahabalipuram and Kalpakkam. Street survey was given preference because consumer behavior can be best captured by interacting with consumers directly as certain variations in their answers and subtle nuances can be observed. We also chose varied locations such as restaurants, supermarkets, and general stores. In addition, people interviewed were diverse as one of them was a shop assistant and two ladies were homemakers.

Places Super Markets General Store Restaurant

Target Areas / Locations Mahabalipuram Kalpakkam

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Some of the Key findings of the Interviews
1. Demographic Profile
1.1. Age Distribution AGE 23-30 30-40 40 and above 1.2. Gender Distribution GENDER Male Female 1.3. Employment Status Educational Qualification Employed Unemployed (Housewife/Student) 4 3 Number of Respondents 3 4

Number of Respondents 3 3 1

As listed above, the 7 interviewees come from varied backgrounds. We have conducted the interview in the Bazaars of Kalpakkam and Mahabalipuram. The interviewees had family sizes of 4-6 people. It was observed that it is mostly the women who do grocery shopping. One of the interviewees at Kalpakkam was a CISF Jawaan, who gets his groceries and household supplies at concessional rate from the CISF canteen. Another male interviewed was a Grocer from Mahabalipuram, who provided us a lot of information and his insights into sale of Shampoos from his shop. The other four women interviewed were from Kalpakkam. Two of these women were Housewives. One was a student. All interviewees belonged to middle income group and showed traits of the aspirant class.

AGE DISTRIBUTION OF INTERVIEWEES
40 and above Years 30-40 Years

GENDER DISTRIBUTION

Male Female

23-30 Years

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2. Shampoo Usage Pattern
2.1. Usage Rate of Shampoo Shampoo Brand Usage Sunsilk Shampoo Other Shampoo No Shampoo Total (Sample set) Number of Respondents 7 9 1 17

2.2. Frequency of Using Shampoo per week Usage Frequency Two times Three times Four times More than Four times Number of Respondents 1 3 2 1

2.3. Number of Sachets required per use Number of Sachet per use One Two Three Number of Respondents 4 2 1

Observed Usage Pattern
60% 50% 40% 30% 20% 10% 0% Sunsilk Shampoo Other Shampoo Sunsilk Shampoo Other Shampoo No Shampoo No Shampoo

We asked the consumers about their consumption behaviour. We spoke to 17 people, out of which 7 replied that they used Sunsilk. We conducted detailed interviews about their usage patterns. The findings of the interviews have been summarised below. Most interviewees informed us that they use shampoo to wash

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their hair 3-4 times a week. A few of the women interviewees also mentioned that one sachet was not enough for one use and they required 2 or 3 sachets per use.

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3. Post Purchase Behaviour for Sunsilk Sachet
3.1. Post Purchase Experience for Sunsilk Sachet Experience Rating Good Indifferent Dissatisfied Number of Respondents 5 1 1

71%

14%

GOOD

INDIFFERENT

DISSATISFIED

Most users seemed to have a positive experience. Two users have been loyal users of Sunsilk for many years. One user shared with us that she was a regular user of Sunsilk till she noticed that it was difficult to rinse off the shampoo lather. 3.2. Preferred Variant of Sunsilk Usage Frequency Black Pink Number of Respondents 5 2

Preferred Variant of Sunsilk

Black

Pink

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14%

Most Interviewees preferred Sunsilk Black – Black shine variant. Two of the interviewees said they only bought the Pink variant. 3.3. Attributes for choosing Sunsilk Attribute Hair Volume Shine Colour Texture Price Number of Respondents (Not Unique) 2 1 1 0 1

The interviewees associated Sunsilk Shampoo with Hair Volume, Shine and Colour. There was no indication of any other attribute like Anti-Dandruff or Hair fall. One of the interviewees said that Sunsilk was priced attractively and price was his primary reason to choose Sunsilk. 3.4. Ease of opening sachet by hand Attribute Easy by hand Not easy, scissor required Number of Respondents (Not Unique) 4 3

Three out of the seven interviewees said that scissors are required to open the Sachet. However none of them recalled this as a distinguishing attribute of a competitor’s sachet. 3.5. Consumer’s introduction to Sunsilk Shampoo Out of the seven respondents, most of them came to know about Sunsilk from friends and relatives through word of mouth, rather than direct advertisements. 3.6. Advertisement Recall The advertisement recall seemed to be low. None of the customers could recall any of the celebrities advertising for Sunsilk. The interviewees were not aware of the Alia Bhatt and Two States campaign launched by Sunsilk recently. 3.7. Disappointments and Adverse effects A couple of users reported adverse effects or difficulty of use. One customer complained of dry scalp caused by Sunsilk. Another user claimed that it took a long time to rinse off the shampoo. The extra effort and time required to rinse off the soap has caused her to switch to an alternate brand and has led to dissonance.
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3.8. Retailer’s insight One of the interviewees was a Grocer at Mahabalipuram. He shared information pertaining to Shampoo sales for his shop. He revealed to us that in Mahabalipuram and Kalpakkam area Sunsilk enjoys around 10 - 15% of the market as compared to Pantene, Dove and Clinic Plus which enjoy greater share of the pie. The leaders being Dove and Pantene which make up around 60% of the sales.

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Key Findings and Interpretations of Observed Data
There is a perceived sense of differentiation among the different variants of Sunsilk Shampoo. While most respondents preferred the Jasmine Black for the black shine, there were some who specifically use the Pink variant and identified it with Thick and long. Sunsilk has ensured that the different attributes that a consumer looks for in a shampoo are met with, by different variants of Shampoos. There are seven variants available in the Sunsilk Shampoo range. However in the Sachet primarily three of them are available, Black – Black Shine, Pink – Thick and Long and Yellow – Soft and Smooth. We can also observe that there is a perceived value for money in buying sachets. None of the interviewees felt that the sachet is overpriced. In fact one of the interviewees even mentions the cheap price as the main reason for buying Sunsilk sachet. The sachets are priced at Re. 1 and Rs. 3. As informed by the Grocer in the stores, the inventory turnover for both Re. 1 sachets and Rs. 3 sachets were equally high. Sunsilk has kept the prices competitive and it is among the cheapest in the segment. None of the respondents mentioned that they faced any problems in availability. Sunsilk shampoo sachets, especially the Black variant are always available in the Kirana stores. The Sunsilk sachets are also available in the petty shops even in the interiors of villages. Sunsilk scores well when it comes to availability. There is very less probability of losing a customer on account of unavailability of product.

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Areas of Improvement
Gender Bias We have observed in our interviews that it is mostly the women who buy and use Sunsilk. Some of the men interviewed mentioned that they did not use shampoo at all to wash their hair. The men mostly wash their hair occasionally and erratically and in all probability use body wash soap. The general perception of the consumers is that shampoos are to be used by women only. There are various products these days who specifically target the men. For example the Beer Shampoo, by Park Avenue. The Advertising campaign specifically targets men and aims to create an image, that the product caters to the masculinity and associates the machismo of “Beer” in shampoo. There are also ways in which Brands market the shampoo taking a utilitarian approach so that it reaches all consumers. For example, Clinic Plus had sachet sizes in from small to big (Re 0.50, Re 1, and Re. 2) and the Ad campaign tried to establish Clinic Plus sachets as “Different Sizes for different lengths of hair” thereby targeting all members of the family. Ad Recall None of the interviewees could recall the advertisement campaign for Sunsilk shampoo. We feel that the Ad campaigns of Sunsilk have not been able to garner an Ad or celebrity recall. The grocer at Mahabalipuram also shared his perception that Sunsilk needs to work more on its publicity in rural areas. However, all respondents knew what “Sunsilk” stood for and there is little potential to reinforce the branding while coaxing the user to adapt Sunsilk. Detrimental Effects and Usability Issues While most of the interviewees reported to not have had any adverse effects of using Sunsilk. Some interviewees told us that they experienced some adverse effects and usability factors of using Sunsilk, namely, dryness of scalp and difficulty of rinsing off the shampoo lather. With respect to usability, three out of seven people informed us that they required scissors to open the sachet. Although we feel that this might not be a deciding factor for the customer, however the easy opening of the sachet might add to the consumer delight.

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Conclusion
The project assigned to us was to analyse the Post purchase behaviours of consumers buying Sunsilk shampoo sachets. After interviewing many users, we came to the conclusion that Sunsilk, though one of the leading brands in India, has a relatively lesser usage in the Chennai area.  Customers have behaved in rational way during the purchase process. The users have analysed the information available in their surroundings (Television, print media, information from peers, etc.) to make their purchase. Inference : Word of mouth seems to be the form of information trusted by most.  Some users have tried to re-evaluate their decisions by trying other shampoo brands from time to time with varied results. A couple of users have been ardent and loyal users of Sunsilk for many years. One user, though happy with the results of the product, has discontinued the usage of Sunsilk due to unsatisfactory usability features, leading to dissonance. A couple of consumers were frequent users with low brand\product loyalty. They frequently tried other brands. Inference : The customer’s confidence in the product’s attributes needs to be reinforced from time to time to avoid dissonance. This can be done through repeated advertising. Thus we can infer that Sunsilk usually enjoys good customer reviews and loyalty. It gets special recognition for its functional attributes, the convenient pack it comes in, the ease it is available with and its price which is on par with similar products available in the market.

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References
1. 2. 3. 4. An overview of the Indian shampoo market - Priya Chetty (December 30, 2013) Sunsilk & Its Branding Strategies - Mahabub Alam Wikipedia (http://en.wikipedia.org/wiki/Sunsilk) Consumer Switching Behaviour: A Study Of Shampoo Brands – Anju Thapa

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Appendix I – Interview responses
Questions \ Respondents' Name Location Are you currently using Sunsilk? Ganga ~ over 35 yrs Kalpakkam - Restaurant Yes Sarvan Mamanapuram- 38 yrs Mahabalipuram - Shop assistant Yes 10 years Normally buy sachets only The best part of Sunsilk is its cheaper price. 3 times

For how long have you been using it? 10 years When do you buy sachets? How would you describe the Consumption experience At the end of the month if bottle gets over It is good. Makes hair shiny

How often do u use sunsilk shampoo 4 times in a week? Who all in your family uses Sunsilk? Why / when do you prefer a sachet to a bottle? Is sachet enough for one use? Have you been using Sunsilk continuously for all these years? How would you describe your experience till now?

Everyone (4 people - mother, Complete family uses brother etc) At the end of the month if bottle gets over No. 2 sachets required Yes Bottle is bulky and not that useful as money is blocked Yes No, I have used Shikakai also

I like it. i have been using it for Not good nor bad 10 yrs Black Shine Dry scalp after using shampoo Yes sometimes

What is your preferred varient of the Black Shine shampoo? Have you experienced any adverse effects or experiences? Do you find the quality to be consistent or does it vary sometimes? Is this shampoo available across all stores? Yes No

Yes Yes. Clinic plus, pantene, H&S Scissor is required Very big role, Sunsilk not going enough publicity and clinic plus has better publicity

Would you buy any other shampoo if No sunsilk is not available? How easy do you find it to open sachet by hand? Do you feel that the advertisements have a role to play? Did sunsilk ever exceed your expectations? Where is Sunsilk lacking? How did you know about Sunsilk? Scissor is required I can't recollect any advertisement of Sunsilk

I like it. I have been using it for Yes sometimes 10 yrs I like it. i have been using it for On publicity front 10 yrs Friend

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Questions \ Respondents' Name Location Are you currently using Sunsilk? For how long have you been using it? When do you buy sachets? How would you describe the Consumption experience

Madhura ~ 25yrs Kalpakkam - Supermarket No Short time ago - Used 1 year back For trying new shampoo It was good. Gave volume to hair, but hard to use\rinse off. So had to change to different brand 3 times Only me Trying new shampoo, or sometimes when bottle is not there yes stopped using it 1 yr ago It gave volume to hair, but it was hard to rinse off the shampoo and took longer time. Pink It takes too long to rinse off

Shaymsundar ~ 35 Years (In Service) Kalpakkam – Supermarket No Since my marriage, my wife is using it When bottle gets out of stock Good

How often do u use sunsilk shampoo in a week? Who all in your family uses Sunsilk? Why / when do you prefer a sachet to a bottle? Is sachet enough for one use? Did you use sunsilk continuously for all these years? How would you describe your experience till now? What is your preferred varient of the shampoo? Have you experienced any adverse effects or experiences? Do you find the quality to be consistent or does it vary sometimes? Is this shampoo available across all stores? Would you buy any other shampoo if sunsilk is not available? How easy do you find it to open sachet by hand? Do you feel that the advertisements have a role to play? Did sunsilk ever exceed your expectations? Where is Sunsilk lacking?

My wife uses it daily All female members When bottle is out of stock in the canteen No. three sachets are required Yes Excellent

Pink No No

Yes

I buy only from paramilitary canteen, where it is available No

Easy Yes

Easy No.Even if good product is costly, it is worth buying

How did you come to know about Sunsilk?

It takes time to rinse off, so can't use it when time available is short in the morning before going to class on weekdays. Friend

Nowhere

Wife

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Questions \ Respondents' Name Location Are you currently using Sunsilk? For how long have you been using it? When do you buy sachets? How would you describe the Consumption experience How often do u use sunsilk shampoo in a week? Who all in your family uses Sunsilk? Why / when do you prefer a sachet to a bottle? Is sachet enough for one use? Did you use sunsilk continuously for all these years? How would you describe your experience till now? What is your preferred varient of the shampoo? Have you experienced any adverse effects or experiences? Do you find the quality to be consistent or does it vary sometimes? Is this shampoo available across all stores? Would you buy any other shampoo if sunsilk is not available? How easy do you find it to open sachet by hand? Do you feel that the advertisements have a role to play? Did sunsilk ever exceed your expectations? Where is Sunsilk lacking? How did you come to know about Sunsilk?

Gayathri ~ 28 Years (In service) Kalpakkam -Supermarket Yes More than 2 years When bottle gets over Makes my hair thick and black. 4 Times a week All family members When travelling or if bottle gets over. No. I require two sachets Not particularly.

Neena ~ 29 Years Kalpakkam - Dealer Office Yes 3 years When bottle gets over It is good 3 times No one except me

Yes

Black No No problem with the quality

Black

Yes, quality is consistent

Yes Yes Clinic Plus, Head and Shouders Scissors is required I can't remember any advertisement Yes Nothing in particular. Advertisement

Yes Yes

Easy

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Questions \ Respondents' Name Location Are you currently using Sunsilk? For how long have you been using it? When do you buy sachets? How would you describe the Consumption experience How often do u use sunsilk shampoo in a week? Who all in your family uses Sunsilk? Why / when do you prefer a sachet to a bottle? Is sachet enough for one use? Did you use sunsilk continuously for all these years? How would you describe your experience till now? What is your preferred varient of the shampoo? Have you experienced any adverse effects or experiences? Do you find the quality to be consistent or does it vary sometimes? Is this shampoo available across all stores? Would you buy any other shampoo if sunsilk is not available? How easy do you find it to open sachet by hand? Do you feel that the advertisements have a role to play? Did sunsilk ever exceed your expectations? Where is Sunsilk lacking? How did you come to know about Sunsilk?

Dhana Shekhran ~ 53 Years Kalpakkam - Dental Clinic Yes More than 5 years Rarely use sachets Its Okay. 1 or 2 times

Yes

Good

Quality is consistent

Yes

Yes easy Yes, definitely

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