Detergent Powder

Introduction Detergent is a material think to assist cleaning. The term is sometimes employ to distinguish among easy lay and some other surfactants use upd for cleaning. The term detersive by itself is sometimes used to refer specifically to clothing detersive, as opposed to hand lash or other types of cleaning agents. Bangladesh has a detersive grocery of slightly 8. 8 billion taka of which Unilever occupies a shargon of 48% making it the commercialise leader. The major competitor smirchs in the detergent food market for RIN ar Keya, Chaka and Jet, shop Excel.To fight this steep opposition the above menti superstard companies constantly run consumer forward motion in hope to sell more than the respective competitors. Although this st rovegy consummationed comfortably at first but with the passage of time, the intense consumer processional materials collapse finished with(p) little to prevent Unilever from loosing sh atomic number 18s to its competitors. In 2004, steering wheel (which is now RIN), Unilevers largest detergent put up ran ab knocked out(p) nine consumer advancements where as in 2005 it ran no consumer advances at all. Consumer advance over all is a very expensive affair.Unilever has the largest brands of detergent and so the cost of providing a consumer promotion offers is excessively large by the same proportion. in rack upition the competitor brands ar known to involve in some unfair practices. They pay a very low net profit rate to their labors so overhead costs are low, they under bank none their imported raw materials so that they ordure evade import taxes and other duties, so they save a lot of money in the process. They hindquarters then utilize this money for consumer promotion and other competitive activities that peck earn them a higher share of the market. at that placefore it is imperative that consumer promotions and other pendent elements gain to be studied, to make sure that if a consume r promotion operation is implemented it is a highly effective one. This way, precious monetary resources have the minimum chances of be wasted. To understand the competition in the detergent market better expense experiences and crossing persona sciences about the brands of detergent on promotion are also cyphered being worth studying. To look at market share issues, the brand unwaveringty element should also be explored. 1. 1 Brief everyplaceview about the Detergent MarketThe use of washing mill started rising from late nineties after Unilever Bangladesh entered the market with its Wheel brand washing powder. Local brand Jet was the lone player in the washing power segment prior to Unilevers entry. Wheel Washing Powder (WWP) was launched in August of 1997 by leveraging the equity of the Wheel laundry soap. Wheel laundry soap was considered the best soap and stood for pure tone and care. The brand was initially launched and replaced the NSD powder brands of Unilever. W WP was launched with cardinal stock memory units (SKUs), 500g and 1 KG and carry outd a playscript of 2,280 tons in 5 months.Despite a charge affix from beginning of the by-line form the brand showed a strong festering achieving the total annual slew of 12,700 tons a third SKU of 40g was added to the brand during the year. 1999 a second follow increase was taken for the larger two SKUs but the brand continued to show good maturation, closure the year with a vividness of 22,800 tons. A major re-launch was rolled out in beginning of 2000 for the brand, during the re-launch the packaging was meaning(a)ly improved, the perfume was also improved and the proposal changed from lemon to Powerons.The innovation was a response to the launch of the competition redolent Washing powder. Prior to the re-launch, the competition was aggressively blocked with continuous promotion behind the brand. After the re-launch the brand grew and countered the competition in 2000, achieving a v olume of 29,500 tons. In order to get an even faster growth in 2001 vs. 2000 the brand was aggressively promoted- which yielded in a growth of 43% end point the year with a volume of 42,200 tons. With the explosive growth of WWP in 2001, it attracted competition like Chaka and Keya, both of which entered the segment in beginning 2002.In order to revert competition and continue the growth of 2001, WWP maintained the high degree of promotions (free volume promotions) it failed to de receiver each(prenominal) considerable growth as expected, however the volume gross revenue increased to 46,500 tons. During the year WWP was re-staged with the ingredients changing from Powerons to Powerfoam. In 2003, WWP promotions were predominately cross-brand promos, with the cost born(p) by the other brand. This resulted in good growth for WWP in 2003, ending the year with 48,000 tons.During the period of 2002 onward, the brand has been losing shares to competition and in order to differentiat e the brand further a relaunch was planned in 2004 Q1. The RL involved internalization of coloured granules to the powder and increase in incorporation of perfume by 25%. However thither was no change in the homework of the powder. Post the re-launch the share decline has not stopped, despite heavy bridge over behind the brand. Unilever is now the leader in the market controlling half of the total washing powder market, the sizing of which was nearly Tk 450 crore in 2007, up from about Tk 360 a year ago. 1. 2 Market trendsTodays consumer-oriented grocery is characterized by a countless number of intersection points and brands. Globalization causes increased competition, bailiwick borders disappear, consumers demand more and more, and the pressure on producers to efficiently and effectively live up to consumers expectations keeps increasing. For companies to survive these difficult circumstances and to secure their growth and market share figures, proper marketing techniques are of utmost importance. Besides printed and non-printed advertising techniques (such as TV and radio commercials, public congeners and sponsorships), sales promotions try to attract consumers. gross sales promotions can take many different forms and a distinction can be made mingled with value and non- outlay sales promotions. 1. 3 Background Sales promotions have been studied very extensively over the past decades. The look prevailings from Blattberg, Briesch and Fox (1995) provide a absolute posterior to a short overview of promotional topics and generalizations regarding sales promotions. Nine generalizations regarding sales promotions are made that summarize sales promotion literature so far bell promotions materially increase sales Brands with higher market share are less deal elastic Consumers reference determines are influenced by the frequency of deals The more often a promotion occurs the overthrow is the respective sales increase Cross-promotional effects a re asymmetric The pass-through rate of retailers to consumers is less than 100% Support promotions like displays and advertising that accompany a damage promotion have a great advert on sales Advertised promotion can increase store barter progresss affect sales in complementary and competitive categories (Blattberg, Briesch Fox, 1995) Statement of the Problem at that place are many companies that are operating to serve the detergent markets as a result the competition has heightened. Consumer promotions are being heavily used in the detergent markets to increase sales of each uncommitted brand. Consumer promotions, when implemented use up a lot monetary resources. Failure to implement the consumer promotion activity effectively may result in major way out of money. Purpose of the Study The purpose of this search is to explore the race betwixt consumer promotions, footing detections with product tint perceptions and brand commitment in the detergent market of Bangla desh. LimitationsThere are vast amounts of information and write-ups relating to the topics of this research that are beat in the internet and various other sources, but it were not contingent to gain access to many such information. So missing out some important aspect of the discussed topics can be a possibility. There is a major time constraint in doing the research work and preparing the report, a much larger pool of information could have been dealt with if there was more time to analyze them. A minimal examine size bequeath be used for this research if a larger sample was taken into consideration the research would have been more accurate.The survey will be conducted in Dhaka city which could be a contingent saneity for the peoples mind set to be like and survey results not being very different from each other, the results could be different if people from outside metropolitan cities were brought under consideration. Literature suss out Consumer Promotion Consumer pro motion is thought to be a tool that helps manufacturers and retailers to achieve their objectives of generating sales (Alvarez and Casielles, 2004). Consumer promotion (e. g. oupons, samples, contests, sweepstakes, and price packs) is a part of sales promotion that is targeted towards the final buyers of consumer products (Kotler and Armstrong, 2002). There can be various types of consumer sales promotion some are incentive based while others are communicatory in nature (Kotler et al. , 1999 Tellis, 1998). The incentive based promotions can be price oriented promotion or non price-oriented promotion. According to Britannica (article 21279) advertising presents a reason to buy a product but consumer promotion offers a short-run incentive to purchase.Consumer promotions often attract brand switchers (those who are not loyal to a specific brand) who are looking primarily for low price and good prise. Abraham and Lodish (1987) stated that many consumer goods categories sold 90% of th eir volume on special deals which is a result of consumer promotion. They also stated that the influence of sales promotions on the consumer will also depend on the consumers characteristics. Promotions Price PromotionNon-price Promotion Promotion Packs Sampling POS Advertising Loyalty Discount Premiums DisplaysCoupons Sweeptakes Promotion Packaging Rebates Events Others From Sales Promotion by Gedenk K. Neilson, Page- 34. Consumer benefits of sales promotions Benefits of sales promotions to consumers are numerous. Chandon, Wansink and Laurent (2000) for example distinguish six different types of consumer benefits regarding sales promotions monetary savings, quality, convenience, value expression, exploration and entertainment. The first and most obvious benefit a consumer expertness encounter from a sales promotion is the monetary saving they provide.Second, consumers consider normally unaffordable products now to be in their choice set and therefrom encounter the quality benefi t. The convenience benefit, thirdly, is achieved by reduced search and close elbow greases since sales promotions promotional status is advertised. Fourth, sales promotions can enhance consumers self-perception of being smart or good shoppers and provide an opportunity to reaffirm their own(prenominal) values (Chandon, Wansink & Laurent, 2000) which is translated into the value expression benefit.The exploration benefit is achieved by the ever-changing obtain environment that provides stimulation for consumers information need. Last but not least, the sixth benefit consumers might encounter from sales promotions is the entertainment benefit. Sales promotions are often simply fun to see or to get in in (Chandon et al. ). Interesting to see is that consumers experience (either conscious or unconscious) more benefits from sales promotions than are often thought of. Price scholarships According to Schiffman and Kanuk (2004) price perception is about how customers see a products pr ice, as high, low or fair.They also stated that perception of price iniquity affect consumers perceptions of value and eventual(prenominal)ly their willingness to buy a product. According to Moore et al. (2003) years of research concerned with price show both authoritative and blackball perceptions serve as marketplace cues. Several studies have also portray the role of price perceptions as an attribute to success (Jiang and Rosenbloom, 2004). When the price perceptions are high this is a sign of positive quality, prestige and status (Moore et al. , 2003). The plan of reference price is related to price perceptions.Schiffman and Kanuk (2004) stated that reference price is the price the consumers use as a basis for comparison in judging another price. It is through reference price that the price perception of a brand of product is formed. When the consumer plans to buy a product, he or she will judge prices comparatively with the reference prices in order to determine whether the price is acceptable or not (Alvarez and Casielles, 2004). They also stated that, a result of consumers comparison surrounded by the prices and the reference price, potential losses and gains emerge.The consumer perceives a gain when the reference price is higher than the observed price. If the observed price is higher than the reference price, the consumer experiences a loss. Product Quality Perceptions Product quality perceptions represent consumer judgment about the superiority of a product, which the user-based approaches think is demand in describing quality (Forker et al. , 1996). Bundles of attributes together represent a certain take aim of quality, which therefore provide utility to the customer (Snoj et al. 2004). The benefits are measured through a perceived level of quality (level of working superiority), a plunk of attributes in comparison with the consumers expectations. Schiffman and Kanuk (2004) stated consumers often judge the quality of a product on the basi s of a variety of informational cues that they cuss with the product. They also stated that the cues can either be intrinsic or extrinsic. Intrinsic cues are related to the physical characteristics of the product itself, like size, colour, flavour, sense of smell and so onThe extrinsic cues on the other hand are related to elements that are put together with the actual product like packaging, pricing, advertising etc. The perceived quality of products and services is central to the theory that strong brands add value to consumers purchase evaluations (Low and Lamb, 2000). Brand Loyalty Brand commitment is the ultimate desired outcome of consumer learning (Schiffman and Kanuk, 2004). According to Rawly and Dawes (1999) brand loyalty is the likelihood of positive attitudes and behaviors of consumers towards a particular brand, this could amount to repeat purchase and positive word of mouth.They also stated that a loyal customer base is an asset for a company and it reduces the nee d for seeking new customers. It is also a known fact that retaining current customers requires less money and effort than getting new ones. The strongest measure of brand value is the loyalty a company produces among customers (Aaker, 1996). Rowley and Dawes (1999) stated that to understand brand loyalty better the adjacent components of attitude model should be considered 1. Cognitive component associated with a rational decision making based on informational determinants. 2.Affective component associated with emotions and feelings about the product or service. 3. Co native components associated with a behavioral disposition. Research Questions The following questions have to be addressed for the study 1. Is there any significant affinity between consumer promotion and product quality perception in the detergent market of Bangladesh? 2. Is there any significant kin between price perception and product quality perception in the detergent market of Bangladesh? 3. Is there any s ignificant relationship between consumer promotion and brand loyalty in the detergent market of Bangladesh? . Is there any significant relationship between price perception and brand loyalty in the detergent market of Bangladesh? 5. Is there any significant relationship between product quality perception and brand loyalty in the detergent market of Bangladesh? Hypothesis The hypothesis that can be derived from the research questions are 1. There is significant relationship between consumer promotion and product quality perception in the detergent market of Bangladesh. 2. There is significant relationship between price perception and product quality perception in the detergent market of Bangladesh. . There is significant relationship between consumer promotion and brand loyalty in the detergent market of Bangladesh. 4. There is significant relationship between price perception and brand loyalty in the detergent market of Bangladesh. 5. There is significant relationship between produc t quality perception and brand loyalty in the detergent market of Bangladesh. Development of Conceptual poser * Consumer Promotion * Price perception Product Quality Perception Figure 1 Conceptual Framework of research versatiles * Consumer Promotion * Price Perception Product Quality Perception Brand Loyalty Figure 2 Conceptual Framework of research variables Methodology Research design The illustrations of the conceptual framework Figure 1 and 2 above give a visual idea of the relationship and structure that exists among the study variables. The main purpose of the research is to assess the subsisting coefficient of correlation among the variables. This research is about exploring and understanding the relationship that exists between consumer promotion, price perception with product quality perceptions and brand loyalty in the detergent market.Here in the figure 1the independent variables are assigned to be consumer promotions and price perceptions. The dependant variable on the other hand is product quality perception. In the second figure 2 the independent variables are consumer promotions, price perceptions and product quality perceptions, in this case the dependant variable is brand loyalty. So the researcher is attempting to find out, if any changes in the independent variable have a changing effect on the dependant ones as well, thereby proving that a relationship exists.The researcher also tried to find out the degree to which a change in the dependant variables has an impact on the independent ones, in other words the degree of relation is also explored here. Therefore the correlation study was chosen for this research. Sampling method The required selective information for this research was collected from the regular customers of detergents. There was no particular sample frame available for this research so convenience sampling was used, as it is also the cheapest and the easiest methods of sampling.The sample frame for this research consiste d of shoppers (mainly syndicate wives) at different shopping centers and stores etc, and also the parents of school children were included. In the shopping centers the researcher surveyed the people who seemed to be the most appropriate respondent for this considerate of survey. The parents of kindergarten students, who spend time waiting for their kids outside the schools, were also surveyed, because they usually have a lot of time to spare and can give expensive inputs. Due to time constraints the survey was conducted in Dhaka city only. Over all there were about a 240 people who participated in the survey.Survey promoter A structured questionnaire was used to collect information. The questionnaire consists of different parts to foregather information on the different variables under considerations. With questionnaires, no responses of the respondents can be missed out. It gives more time to the respondents to think and then give the answers. And it is a quicker and cheaper way to conduct the survey. Questionnaires can be conducted in any environment, with minimum influence of the outside environment. Questionnaires also have the advantage of keeping the personal details of the respondents confidential.MULTIPLE CHOICE QUESTIONS In which respondents have to choose one answer from many options. These questions gives a wide choice to the respondents so that they can give the most accurate and reliable answer. LIKERT SCALE Where the respondents are provided with a scale that has a number or brief description associated with each category. This scale is useful as respondents readily understand how to use the scale, making it suitable for almost all kind of surveys. Data Collection The data collection was done through both master(a) and secondary sources.The primary data was collected through questionnaire surveys and the secondary data was collected from the available archives of Unilever Bangladesh Ltd, for addressing the research questions. Data Analysis This is a study of relationship of various variables. So after the data collection a correlation analysis was performed using the acquired data, to ascertain if relationship between the variables exist or not. For doing the data analysis SPSS 12 was used, because it is a very systematic computing machine program that can deal with a large amount of data and can give out accurate results.