Study on Increasing Market Share by Understanding Consumer Perception Essay

SUMMER PROJECT REPORT “Study on increasing market share by understanding Consumer Perception”. ORIENTAL CUISINES PVT LTD THE FRENCH LOAF Submitted in partial fulfillment of the requirement of post graduate degree of Master of Business Administration Prepared By Rajalakshmi. K Amrita School of Business, Amrita Vishwa Vidyapeetam, Bangalore Under the guidance of Mr. Ramesh Kamath Chief Operating Officer, OCPL Dr. Pooja Sharma Professor, Marketing Amrita School of Business Acknowledgement I have great pleasure in thanking Oriental Cuisines Pvt Ltd for giving me the opportunity to do my Summer Project with them.

I would like to thank my Project Guide in the Company, Mr. Ramesh Kamath, Chief Operating Officer for his invaluable assistance and support. I also take great pleasure to thank my project guide in college, Dr. Pooja Sharma for her guidance throughout the project. I would like to thank company representative in Bangalore Mr. Shine. V. Sebastian, company staff Mr. Sukumar. This report is the result of contribution of numerous people; one among them is my best friend Mr. Sundara Ram. I would also like to thank Dr. Amalendu Jyothishi, Dr. Vatsal Singh, and Ms. Anjali Sharma for their valuable help.

We will write a custom essay sample on
Study on Increasing Market Share by Understanding Consumer Perception Essay
or any similar topic only for you
Order now

I also thank all the respondents who have given their valuable time, views and authentic information for the report. I would like to extend the gratitude to my family for constant support and encouragement. I would also like to thank the Almighty without whose grace; this endeavor of mine would not have been possible. Amrita School Of Business Bangalore 2|P a ge Internship Report Declaration I, Rajalakshmi. K, second year MBA student of Amrita School Of Business, hereby declare that the project titled “Study on increasing market share by understanding the Consumer Perception”, has been prepared by me under the guidance of Mr.

Ramesh Kamath, Chief Operating Officer at The French loaf, Oriental Cuisines Pvt Ltd & Dr. Pooja Sharma, Marketing faculty, Amrita School of Business and during May-June 2010. I also declare that this project has not been submitted, fully or partially for the award of any Degree, Diploma, Title or Recognition earlier. Date: Place: Bangalore Rajalakshmi. K Amrita School Of Business Bangalore 3|P a ge Internship Report Table of Contents List of Tables ……………………………………………………………………………………………………………………………. List of Figures …………………………………………………………………………………………………………………………… 8 Executive Summary…………………………………………………………………………………………………………………… 9 1. 1 1. 2 Introduction ………………………………………………………………………………………………………………… 11 Purpose of the project …………………………………………………………………………………………………… 12 . 3 Scope of the project …………………………………………………………………………………………………………… 12 1. 4 Limitations ……………………………………………………………………………………………………………………….. 12 1. 5 Methodology ……………………………………………………………………………………………………………………. 13 1. 5. 1 Exploratory Research ……………………………………………………………………………………………………. 3 1. 5. 2 Descriptive Research ……………………………………………………………………………………………………. 13 1. 6 Structure of the Report ………………………………………………………………………………………………………. 15 2. 0 Introduction ……………………………………………………………………………………………………………………… 17 2. 1 Industry Overview ……………………………………………………………………………………………………………… 7 2. 1. 1 Bakery Industry …………………………………………………………………………………………………………… 17 2. 1. 2 Confectionery Industry …………………………………………………………………………………………………. 18 2. 1. 3 Indian bread Industry …………………………………………………………………………………………………. 18 2. 2 Company Overview ……………………………………………………………………………………………………………. 20 2. The French loaf …………………………………………………………………………………………………………………. 23 2. 4 The French loaf in Bangalore ……………………………………………………………………………………………….. 25 3. 0 Competitors ……………………………………………………………………………………………………………………… 27 3. 1 Existing Competitors ………………………………………………………………………………………………………….. 7 3. 2 New Entrants ……………………………………………………………………………………………………………………. 29 4. 0 Expansion of customer base in Bangalore ………………………………………………………………………………. 31 4. 1 Introduction ……………………………………………………………………………………………………………………… 31 4. 2 The DM problem, MR problem and components …………………………………………………………………….. 31 4. . 1 DM Problem ……………………………………………………………………………………………………………….. 31 4. 2. 2 MR Problems ………………………………………………………………………………………………………………. 31 4. 2. 3 Components of MR Problems ………………………………………………………………………………………… 32 4. 3 Methodology ……………………………………………………………………………………………………………………. 3 Amrita School Of Business Bangalore 4|P a ge Internship Report 4. 3. 1 Data Collection ……………………………………………………………………………………………………………. 33 4. 3. 2 Techniques of analysis ………………………………………………………………………………………………….. 33 4. 4 Results …………………………………………………………………………………………………………………………….. 36 4. 4. Boutique hotels and Restaurants ……………………………………………………………………………………. 36 4. 4. 2 Pubs, Wedding caterers and event management consultants ……………………………………………… 36 4. 4. 3 Understanding the product requirements of the customers ……………………………………………….. 37 4. 4. 4 What is the Unique Selling Proposition or The differentiating factor of The French loaf? …………. 39 4. 4. 5 Impact on sales due to Institutional Selling in Bangalore …………………………………………………….. 0 4. 5 Conclusions ………………………………………………………………………………………………………………………. 40 5. 0 Business to Consumer Survey ……………………………………………………………………………………………… 42 5. 1 5. 2 Introduction ………………………………………………………………………………………………………………… 42 The DM problem, MR problem, & Components …………………………………………………………………. 2 DM problem …………………………………………………………………………………………………………. 42 5. 2. 1 5. 2. 2 MR problems ………………………………………………………………………………………………………………. 42 5. 2. 3 Components of MR problems ………………………………………………………………………………………… 43 5. 3 Methodology……………………………………………………………………………………………………………….. 3 Data Collection ……………………………………………………………………………………………………… 43 Techniques of analysis ……………………………………………………………………………………………. 44 5. 3. 1 5. 3. 2 5. 4 Results ……………………………………………………………………………………………………………………….. 44 Demographic profile of sample ………………………………………………………………………………… 4 How important are various factors related to the purchase of bakery products?………………. 46 Favourite Bakery ……………………………………………………………………………………………………. 47 About ‘The French Loaf’. …………………………………………………………………………………………. 51 5. 4. 1 5. 4. 2 5. 4. 3 5. 4. 4 5. 5 Conclusions …………………………………………………………………………………………………………………. 56 6. Business to Business Survey ………………………………………………………………………………………………… 59 6. 1 Introduction ……………………………………………………………………………………………………………………… 59 6. 2 The DM problem, MR problem, & Components ………………………………………………………………………. 59 6. 2. 1 DM problem ……………………………………………………………………………………………………………….. 9 6. 2. 2 MR Problems ………………………………………………………………………………………………………………. 59 6. 2. 3 Components of MR problems ………………………………………………………………….. ……………………. 60 6. 3 Methodology ………………………………………………………………………………………………………………….. 61 Amrita School Of Business Bangalore 5|P a ge Internship Report 6. 3. Data Collection ……………………………………………………………………………………………………………. 61 6. 3. 2 Techniques of analysis ………………………………………………………………………………………………….. 61 6. 4 Inferences ………………………………………………………………………………………………………………………… 61 7. 0 Recommendations …………………………………………………………………………………………………………….. 3 7. 1 Introduction ………………………………………………………………………………………………………………….. 63 7. 2 Recommendations for the company ………………………………………………………………………………….. 63 7. 2. 1 Increase the number of outlets …………………………………………………………………………………… 63 7. 2. 2 Should promote their brand ………………………………………………………………………………………. 63 7. 2. Increase the efficiency of delivery ……………………………………………………………………………… 63 7. 2. 4 Should increase the labor force ………………………………………………………………………………….. 64 7. 2. 5 Perceived by consumers as an expensive brand …………………………………………………………….. 64 8. 0 References ………………………………………………………………………………………………………………….. 66 Amrita School Of Business Bangalore 6|P a ge

Internship Report List of Tables Table 1 Competitors………………………………………………………………………………………………………………… 27 Table 2 New entrants ………………………………………………………………………………………………………………. 29 Table 3 Information regarding the prospects and customers in Bangalore …………………………………………. 35 Table 4 Product requirements of the customers…………………………………………………………………………….. 8 Table 5 Competitors ………………………………………………………………………………………………………………… 56 Table 6 Factors causing satisfaction in ‘The French Loaf’ ………………………………………………………………. 56 Amrita School Of Business Bangalore 7|P a ge Internship Report List of Figures Figure 1Branches in Bangalore …………………………………………………………………………………………………. 5 Figure 2 Bangalore Map…………………………………………………………………………………………………………… 34 Figure 3 No of hotels and restaurants visited ……………………………………………………………………………….. 36 Figure 4 No of wedding caterers & pubs visited …………………………………………………………………………… 36 Figure 5 Impact of Institutional Sales in Bangalore……………………………………………………………………….. 0 Figure 6 Distribution of sample by gender …………………………………………………………………………………… 44 Figure 7 Distribution of sample by age ……………………………………………………………………………………….. 45 Figure 8 Important factor to visit a boulangerie ……………………………………………………………………………. 46 Figure 9 Mind share ………………………………………………………………………………………………………………… 7 Figure 10 Consumer satisfaction survey with respect to different brands…………………………………………… 48 Figure 11Favourite boulangerie to purchase a birthday cake …………………………………………………………… 49 Figure 12Favorite bakery to buy a bread……………………………………………………………………………………… 50 Figure 13Awareness about ‘The French Loaf’ ………………………………………………………………………………. 1 Figure 14 Customers of ‘The French Loaf’ …………………………………………………………………………………… 52 Figure 15 Consumer satisfaction survey of ‘The French loaf’ customers (valid responses – 36) ……………… 53 Figure 16 People willing to see more outlets ……………………………………………………………………………….. 54 Figure 17 Preferred location in Bangalore …………………………………………………………………………………… 55 Amrita School Of Business Bangalore 8|P a ge Internship Report Executive Summary

This study was carried out to increase the market share by expanding the B2B consumer base in Bangalore and also by understanding the B2B and B2C feedback about the brand- „The French loaf?. The study was done across different areas in Bangalore for the duration of 40 days. The framework was clearly laid by the company. The major task assigned was B2B selling for which, it was required to meet the purchase/procurement managers of hotels, restaurants, pubs in Bangalore. To gain in-depth knowledge about the industry, competitors, and also to understand the perceptions of the B2C and B2B consumers, a B2C and B2B survey was conducted. 50 leads were created in a span of 40 days. This helped in identifying the prospective customers for the brand, „The French loaf?. During the month of April, institutional sales figure was around Rs 85000/- and in the month of May it was around Rs 56000/- . B2C survey was mainly focused on understanding the consumers? perception and preferences about a bakery/ cafe in general like their favorite bakery to buy a cake or bread, importance of various factors that influences their purchases. The sample size was 55 and the target market was in the age group of 18-70.

Frequency charts and pie charts were used to understand the division in the sample for various factors. Online survey was conducted to understand the view of the B2B customers. The sample is very low and hence there is high probability of error. Qualitative analysis has been done to understand the opinion of B2B customers. Respondents quoted price as their main apprehension to buy „The French loaf? products. Product quality was rated excellent by most of the respondents. Amrita School Of Business Bangalore 9|P a ge Internship Report INTRODUCTION TO THE PROJECT Amrita School Of Business

Bangalore 10 | P a g e Internship Report 1. 1 Introduction My project aims to increase the market share of The French Loaf in Bangalore and also understand the customers? perception about a bakery. This is the main objective of my project title, but it has many sub objectives which are discussed in detail in the later sections of the project. A visit to the various places in Bangalore was very interesting and exciting. It was a great experience to visit 3 star, 4 star hotels and multi cuisine restaurants. I was also supported by my colleague Mr. Sukumar in creating leads.

The presence of many competitors in this industry made the job even more challenging. It was a prodigious task to convince the purchase managers as our products were priced high compared to our competitors. Every order that came through our promotion gave a lot of enthusiasm. The attempt to understand the customers? mind set was very appealing. Mostly, the westerners were kind enough to spend their valuable time in answering to my questionnaire. It could also be found that teenagers in malls like Forum and Garuda were interested in knowing about my project and thus they helped me in the survey.

The French loaf is a very respectable brand in Chennai, Mumbai, and Pune. Amrita School Of Business Bangalore 11 | P a g e Internship Report 1. 2 Purpose of the project The bakery and confectionery industry has several major players like Chef Bakers, Sweet Chariot, Daily Bread, and Just Bake and so on. Oriental Cuisines Pvt Ltd intended to establish its brand, „The French Loaf? so that it would be able to sustain in this highly competitive market. The company also felt the need to reach out to its target market in order to create awareness.

Therefore, the company desires to find out the customers? perception regarding, „The French Loaf? , and analyze competitors and thus study the feedback for expansion of the customer base in B2B and B2C market. By doing this Oriental Cuisines Pvt Ltd hopes to remain the market leader in Bakery and confectionery industry. 1. 3 Scope of the project The very purpose which the company has laid down has given me enough guidelines to design the scope of the project. Expansion of the customer base in Bangalore Consumer perception about a bakery, their expectations from the brand: „The French loaf?

Feedback and suggestions of the B2B customers; Hotels and Multi cuisine restaurants. 1. 4 Limitations Limitations of the study The B2C survey sometimes experienced reduced seriousness. The major task assigned by the company was sales. Hence B2B and B2C surveys were carried out in very limited time. Therefore, random sampling technique was used. However, if time would have permitted a better sampling technique could have been used. The sample for the B2C survey does not include people who do not consume such bakery products. B2B customers were reluctant to respond due to paucity of time at their end.

No of respondents in the 21-25 age group- Overrepresented. Amrita School Of Business Bangalore 12 | P a g e Internship Report 1. 5 Methodology In two phases: Exploratory research Descriptive research 1. 5. 1 Exploratory Research Exploratory research was carried out in order to get the detailed idea about the bakery and confectionery industry and Bangalore as a state. This was also necessary for finding out the data related to other brands in bakery industry. Some of the main objectives of exploratory research are mentioned below: Study of literature published in the Bakery and confectionery industry.

Identifying competitors and their market related information. Identifying the B2B customers in Bangalore. 1. 5. 2 Descriptive Research Descriptive research was carried out in Bangalore city using a structured questionnaire for B2C and B2B customers. Business to Consumer Survey: A survey was conducted to know a consumer? s expectations in a boulangerie. An attempt was made to understand whether „The French Loaf? is able to meet the demand of their consumers. A questionnaire was prepared. The target group was chosen by probabilistic sampling. Random Sampling was used to get the questionnaire filled.

They were given a time of 5-10 minutes to fill the questionnaire. Malls like Forum and Garuda were visited. Amrita School Of Business Bangalore 13 | P a g e Internship Report Business to Business survey: A survey of B2B consumers were carried out with the intention of knowing their perception about the brand and thus obtaining their feedback and suggestions. The sample size is very low and hence there is a high probability of error. Through the feedback given by them, Oriental Cuisines Pvt Ltd can understand the needs, demands of their target segment. Amrita School Of Business

Bangalore 14 | P a g e Internship Report 1. 6 Structure of the Report Following is the report structure: 1. Introduction to the project 2. Brief Introduction of the company a. Industry Overview b. Company Overview c. The French Loaf in Bangalore 3. Competitors a. Existing competitors b. New Entrants 4. Expansion of the customer base in Bangalore a. Introduction b. DM Problem, MR problem & components c. Methodology d. Results e. Conclusion 5. Consumer Survey a. Introduction b. DM Problem, MR problem & components c. Methodology d. Results e. Conclusion 6. Business to Business Survey a.

Introduction b. Common opinion about The French Loaf c. Observations 7. Recommendations 8. References 9. Appendix Amrita School Of Business Bangalore 15 | P a g e Internship Report INTRODUCTION OF THE COMPANY Amrita School Of Business Bangalore 16 | P a g e Internship Report 2. 0 Introduction 2. 1 Industry Overview 2. 1. 1 Bakery Industry Bakery industry in India is the largest of the food industries with an annual turnover of 3000 crores. Bread and biscuits form the major baked foods accounting for over 80% of the total bakery products produced in the country.

Bakery products once considered as sick man? s diet have now become essential food items of the vast majority of population. Though bakery industry in India has been in existence since long, real fillip came only in the later part of 20 th century. The contributing factors were urbanization, resulting in increased demand for ready to eat products at reasonable costs etc. With the quick food culture catching up demand for bakery products has increased tremendously. The Bakery Industry are for that matter all the businesses catering to bakery are witnessing a sought of revolution tremendously.

In an age where malls, hypermarkets and supermarkets have become the customers preferred destination, the concept of chain bakeries have come into its own. The bakery industries have become more organized in the recent past. It is following the path of restaurants- as the industry has become more organized, chain restaurants have taken over the market and standalone restaurants have found it tough to survive on its own. The estimate made by the Ministry of Food Processing Industries (1998): the total market of bakery product, bread and biscuit is estimated at 1. mn ton and 1. 1mn ton respectively. The cake market is estimated at 0. 4mn ton. The organized segment of the biscuit market is estimated to be 0. 44mn tons whereas the unorganized sector accounts for the balance 0. 66mn tons. Bread market is estimated to be growing at around 7% pa in volume terms, whereas the biscuit market in the recent years has witnessed a little higher growth at around 8-10% pa. Within the biscuit category, cream and specialty biscuits are growing at faster pace at 20% pa, while the popular segment is growing. Amrita School Of Business

Bangalore 17 | P a g e Internship Report Growth promotional activities: During 1977- 78, Government reserved the confectionery bread and biscuit manufacturing for small scale and restricted entry of large producers. During the last 2 decades, small and unorganized players shared the growth in the industry. Currently, there are an estimated 2 million bakeries across the country engaged in production of bread, biscuits and other products The Indian confectionery market is segmented into sugar-boiled confectionery, chocolates, mints and chewing gums.

Sugar-boiled confectionery, consisting of hard boiled candy, toffees and other sugar-based candies, is the largest of the segments and valued at around Rs 2,000 crores. 2. 1. 2 Confectionery Industry The confectionery industry has a current capacity of 85, 000 ton, the market is growing at the rate of 10-15% per annum. The estimated annual production of bakery products in India is in excess of 3 million tones, of which bread accounts for nearly 50% and biscuits 37% in volume terms in the organized sector. Types Chocolates, hard-boiled sweets, chewing gum and other products are a major growth area.

The bakery industry includes basic baked products like breads, biscuits, cakes, pastries, rusks, buns, rolls etc. 2. 1. 3 Indian bread Industry The Bread industry is low-tech and low margin industry. In 1977, the Government of India had reserved bread industry for small scale industries. The, then existing two large units viz. , Britannia Industries Limited and Modern Food Industries Limited were however allowed to continue on the basis of their respective installed capacity. 35% of the total production comes from the small scale sector with about 1500-1800 units in operation.

The organized sector accounts for 20% of the total production. The balance production comes from the unorganized traditional bakery units operating under cottage/tiny sector numbering approximately 65000 units in the country. Amrita School Of Business Bangalore 18 | P a g e Internship Report Bakery items being consumed by wide cross section of the society, the marketing of Bakery and Confectionery products is based on strong retail distribution networks, which serves the customers. As bakery and confectionery industry is a low margin business, cost control is crucial in sustaining profitability in the long run.

The total market size of the bread industry is approximately 15 billion standard loafs (SL) or 1. 5 million tones. The current growth is around 5-6% per anum and is expected to remain in the same level in the medium term. Along with an increase in demand for the bakery products the awareness about health is also on the raise. Bakeries are making sure that they come out with healthier products. “The awareness of the virtues of products like wholegrain, health breads, cholesterol free products and such other health products is growing in our country. Health awareness results in the demand for products like specialty breads.

Amrita School Of Business Bangalore 19 | P a g e Internship Report 2. 2 Company Overview At Oriental Cuisines Private Limited (OCPL), they understand that delicious cuisine knows no borders, no boundaries. They delight in offering the finest of Tex-Mex, Spanish, Chinese, Thai, French and other national cuisines to stimulate India? s palate. They are also proud to transport the variegated flavors of India to Bahrain, Bangladesh, Botswana, Canada, France, Kuwait, Lebanon, Malaysia, Oman, Singapore, UAE, UK and the USA. OCPL was originally incorporated in May 1994 in the name of Chaitanya Gourmet Splendour Private Limited.

It was renamed Oriental Cuisines Private Limited in March 1997. The name might indicate an Asian orientation, but their global cuisine brings to customers the finest flavors of the world. Some Milestones They are the pioneers of the immensely popular Food Courts in India. They set global standards of hygiene, menu planning, service, systems and procedures to match customer expectations on a day to day basis. They show the way of community development with efforts such as The Chennai Culinary Institute, started in association with Chennai Corporation and Rotary Club of Madras East.

Company? s Strength: Serving more than 30 million people each year in over 100 odd outlets, across a dozen countries in four continents Company? s Goal: Providing outstanding service to ensure total customer delight Company? s Services: Offering the finest Tex-Mex, Spanish, Chinese, Thai, French, North Indian and Kerala cuisine. Amrita School Of Business Bangalore 20 | P a g e Internship Report Mission Statement To provide outstanding quality, service, cleanliness and value through a vibrant work force, in order to ensure total customer delight. To act upon our country? social sensitivities and responsibilities and provide comprehensive and continuing support to underprivileged people. To incorporate these commitments as an integral part of their drive towards excellence in everything they do. Core Values In their quest to ensure total customer delight, we are supported by a comprehensive set of principles and core values. These values, which are entrenched in OCPL culture, are: A constant pursuit of excellence Unwavering integrity Harmonious team work Commitment to social action This ideology works in tandem with the companies? ission practices, aligning them continuously at every step we take. Amrita School Of Business Bangalore 21 | P a g e Internship Report OCPL brands: Amrita School Of Business Bangalore 22 | P a g e Internship Report 2. 3 The French loaf (They personify the art of baking) At „The French loaf? , the flavour is international. „The French loaf? is a bakery where consumers can relax, rendezvous, and refuel themselves. Product Basket of the French loaf 1. Breads i. ii. iii. iv. v. Day breaker Garlic Bread Whole wheat Bread Multigrain Bread Walnut Rye Bread and many others 2. Vegetarian and Non Vegetarian Bakes i. i. iii. iv. v. vi. vii. viii. Veg Puff Veg Roll Veg Croissant Almond Wheel Chicken Puff Chicken Roll Chicken Croissant Chicken Danish and many others Amrita School Of Business Bangalore 23 | P a g e Internship Report 3. Confectionery i. ii. iii. iv. v. vi. Fudge Brownie Black Forest Nougat Chocolate eclair Chocolate Mousse Coconut cookies and many others 4. Birthday Cakes i. ii. iii. iv. Chocolate Fantasy Orange Classic Choco Banana Mango Mousse Cake and many others Every product is freshly baked at the premise of the consumers. The mantra of this bakery is high end international food.

The unique selling proposition is that consumers are allowed to choose their own fillings for sandwiches. There is a separate counter for non vegetarian products like chicken croissants, chicken puffs, Chicken Flemish. For people who want to try something sweet there is plenty of choice: Almond wheel, Chelsea rolls, Chocolate mousse, Blueberry custard Danish and so on. Amrita School Of Business Bangalore 24 | P a g e Internship Report 2. 4 The French loaf in Bangalore Clarke Road Church Street Ulsoor Road Koramangala Figure 1Branches in Bangalore The French loaf boulangerie can be found in Bangalore? hot spots. Clarke road outlet has the commissary. The French loaf outlet in Clarke road is visited by a lot of westerners as the ambience is very casual. Residents in this location find it very comfortable to buy bread from this outlet. Teens would like to refresh their mood by having a cup of cappuccino in Church street outlet. The Koramangala and Ulsoor road outlets are hotspots where customers could revitalize over cakes and bakes or simply sip on a coffee at the sidewalk cafe and is worth every rupee. Amrita School Of Business Bangalore 25 | P a g e Internship Report Competitors Amrita School Of Business

Bangalore 26 | P a g e Internship Report 3. 0 Competitors 3. 1 Existing Competitors Table 1 Competitors Sl no 1 Major Competitors Sweet Chariot Based on the product category Bakery and Confectionery products like breads, burger bun, cakes and so on 2 Daily Bread Bakery and Confectionery products like breads, burger bun, cakes and so on 3 Cafe coffee day Coffee (espresso bar), Confectionery products (cakes) 4 Barista Coffee (espresso bar), Confectionery products (cakes) 5 Multiplexes Bakery products like sandwiches, Veg puff, Chicken Puff, Croissants and so on 6 Local bakery stores Mainly Bread and Birthday cakes Nilgiris Bread and Confectionery products Amrita School Of Business Bangalore 27 | P a g e Internship Report Facts about the few of the existing competitors Sweet Chariot Sweet chariot is a Bangalore based organization engaged in manufacturing and selling a range of bakery and confectionary products. It was in the year 1981 that sweet chariot opened its first cake shop in Brigade road, which still exists and is popular. Two decades later Sweet Chariot has metamorphasized into one of the leading bakery and confectionary company.

It also has branches in Chennai, Hyderabad, Ooty and Pune. From 1981, the growth was mainly in the field of breads, chocolates, cookies, Pastries, savouries etc. In 2001 Sweet chariot cafe was inaugurated and added to Bangalore? s eatery list where price, quality and ambience were in the interest of the consumer. Within a span of five years the company has spread out to various parts of Bangalore and today it boasts of 11 cafes and numerous outlets in Bangalore. Today, Sweet chariot is a brand by itself catering to all leading corporates.

It is a house hold name famous for its mouth-watering cakes specially its fresh cream cakes and fancy design cakes and its reasonable prices. Sweet chariot currently has enquires from potential business partners in India and abroad, wanting to share its mission of delighting customers through high quality and service standards. Amrita School Of Business Bangalore 28 | P a g e Internship Report Daily Bread Daily Bread was founded in May 2003 as the country? s first purveyor of world class breads, confectionary and specialty food products for wholesale and retail clients.

It started its commercial production in October 2003 in Bangalore and currently supplies bakery products to a wide spectrum of institutional clients. Daily Bread has a chef training and recipe transfer agreement with the leading wholesale European Bakery and food emporium in Hong Kong, which will provide it a competitive advantage. It intends to open 10 wholesale bakery production units and 200 retail bakery, etc outlets in top 10 metros in India over next 3 years.

Britannia Industries Ltd (BIL) has acquired a strategic stake in Daily Bread, a Bangalore based boutique manufacturer and retailer of high end bakery products, which includes a variety of European breads, pastries and savories with its intent to diversify its product portfolio into the fast growing, high end, branded freshly baked gourmet foods, and marked its entry into the premium „out of home? and „in home? consumption. 3. 2 New Entrants Table 2 New entrants Sl no 1 2 New Entrants Cafe Pascucci – M. G. Road, Bangalore Mount Blue Food Inc.

Amrita School Of Business Bangalore 29 | P a g e Internship Report Expansion of Customer base in Bangalore Amrita School Of Business Bangalore 30 | P a g e Internship Report 4. 0 Expansion of customer base in Bangalore 4. 1 Introduction The project assigned to me was completely target oriented. The core objective of the project was to increase the Institutional sales of The French loaf in Bangalore. I was supported by one of my colleague Mr. Sukumar. We travelled entire Bangalore generating more than 200 leads. We were guided by our higher ups as and when required.

Target segment: Business to Business: Multi Cuisine Restaurants Hotels (Excluding 4 star and 5 star hotels, as they had their own in house bakery) Offices Wedding Caterers Event management Consultants 4. 2 The DM problem, MR problem and components 4. 2. 1 DM Problem How to increase the Institutional sales of The French loaf in Bangalore? 4. 2. 2 MR Problems 4. 2. 2. i. To identify the target segment of The French Loaf in the Business to Business market in Bangalore. 4. 2. 2. ii. To determine the needs, requirements of Business to Business Consumers in the target segment. 4. 2. 2. iii.

To determine how B2B consumers can be influenced to buy The French loaf. Amrita School Of Business Bangalore 31 | P a g e Internship Report 4. 2. 3 Components of MR Problems C1: How many Business hotels/Pubs are there in Bangalore? How many multi cuisine restaurants are there in Bangalore? How many wedding caterers/event management consultants can be contacted? C2: What are the product requirements of the Business to Business consumers? How do they want us to reengineer the bakery products? (Product specifications) What would their consumption be per day/per week? Maximum amount ready to pay for Sandwich bread?

C2: What is our Unique Selling Proposition? How to match the needs of consumers? Amrita School Of Business Bangalore 32 | P a g e Internship Report 4. 3 Methodology 4. 3. 1 Data Collection Data was collected by using a Food guide given by my industry guide. I also made use of the internet to find the addresses of business/boutique hotels in Bangalore. Oriental Cuisines Pvt Ltd website gave me the necessary secondary data about the company. I was also given the privilege to visit the commissary and thus I could understand the manufacturing process of various products.

I used the services of Just Dial to find out the phone numbers of famous wedding caterers/event management consultants in Bangalore. We successfully created around 200 leads in a period of 40 days. 4. 3. 2 Techniques of analysis Google maps were used to find the addresses of prospective customers. Bangalore city was viewed from a bird? s-eye perspective. Amrita School Of Business Bangalore 33 | P a g e Internship Report Figure 2 Bangalore Map Amrita School Of Business Bangalore 34 | P a g e Internship Report Table 3 Information regarding the prospects and customers in Bangalore Location Prospects to be converted

Prospects already converted Om Pizzas and eats India Pvt Ltd Airport Road White Field Koramangala Indiranagar Church Street Fortune Group Little Italy Kyra Amoeba The Shelton Grand Hard Rock Sadashivanagar Railway Station Mint Masala The Bell City Centaur J. P. Nagar Emlion Premier Inn Bay leaf Ruby Tuesday Tandoor (M. G. Road) Marathahalli Unwind Restaurant Infusion Amrita School Of Business Bangalore 35 | P a g e Internship Report 4. 4 Results 4. 4. 1 Boutique hotels and Restaurants 65 55 • Hotels • Restaurants Figure 3 No of hotels and restaurants visited 4. 4. 2 Pubs, Wedding caterers and event management consultants 7 5 • Pubs • Wedding caterers • Event Management Consultants Figure 4 No of wedding caterers & pubs visited Amrita School Of Business Bangalore 36 | P a g e Internship Report 4. 4. 3 Understanding the product requirements of the customers Customer Information Om Pizzas and eats India Pvt Ltd Product requirements/Specifications Bread, Pita, (7 inch) Appearance Perfect circles to slight ovals, no cracks tears or folds Color Pale top with golden brown toast points/ golden brown belt marks on the bottom Flavor Fresh pita flavor, with no off taste Diameter 7. 0 – 7. 34 inches Weight 3. 2 – 3. oz Bread, Sliced White Texture Cake like texture w/o an open or course grain Color Internal- typical open grain and color of white bread. External- crust: golden brown Dimension 4 ? x 4 ? in ± 1/4 inch Thickness 1/2 inch Weight 20 slices per loaf (24oz per loaf) Amrita School Of Business Bangalore 37 | P a g e Internship Report Bun, Big Mouth Texture Cake like texture with an open or coarse grain Slice Even slice with a target heal slice of 1 inch Height 2. 5 inches Diameter 4. 5 inches round Weight 3. 75 – 3. 95 oz Taste Sweet/ egg like flavor Seed coverage Evenly distributed with coverage of 55 seeds per sq inch

Tandoor (M. G. Road) Birthday Cakes according to the requirements of the customers Bay Leaf Birthday Cakes according to the requirements of the customers Table 4 Product requirements of the customers Amrita School Of Business Bangalore 38 | P a g e Internship Report 4. 4. 4 What is the Unique Selling Proposition or The differentiating factor of The French loaf? Customization: The Chefs at The French loaf are a team of experienced people who can bake products according to the consumer? s specifications. Consumer is the king of the market. Therefore satisfying the consumer is the company? s primary motive.

The brand caters to the need of the customer by preparing birthday cakes according to the requirement of the customer. Taste: The French loaf is an elegant and lively cafe spiced up with a delicious bakery that offers a sumptuous variety of breads from all parts of Europe and large portions of mouth watering pastries. This hotspot is one joint where customers could revitalize over cakes and bakes or simply sip on a coffee at the sidewalk cafe and is worth every rupee. Quality: The French loaf does not compromise on the quality of its products. Every product is manufactured with ingredients that are of superior quality.

Ambience: The Ambience in each of our outlet attracts youngsters, working men and women to spend few minutes there. Meanwhile they could have a refreshing cappuccino along with a chocolate mousse. Amrita School Of Business Bangalore 39 | P a g e Internship Report 4. 4. 5 Impact on sales due to Institutional Selling in Bangalore Revenue (in Lakhs) 14. 00 13. 00 12. 00 11. 00 10. 00 9. 00 8. 00 Summer Internship Period Revenue (in Lakhs) Feb Mar Apr May Figure 5 Impact of Institutional Sales in Bangalore Institutional Sales increased by Rs 85000/-. 4. 5 Conclusions As many as 150 leads were successfully generated.

Institutional Sales for the month of April in Bangalore was Rs 85000/- and for the month of May was 56000/-. Business to Business customers are willing to buy products of „The French loaf? provided it is flexible with regard to pricing of the products and also maintains consistency in the quality of the products. Amrita School Of Business Bangalore 40 | P a g e Internship Report Business to Consumer Survey Amrita School Of Business Bangalore 41 | P a g e Internship Report 5. 0 Business to Consumer Survey 5. 1 Introduction Life in Bangalore is too busy. People would want to refresh their moods during weekends.

Especially teenagers would like to hangout with their friends in a place where the ambience is casual. Cafe shops like The French loaf, Cafe coffee day, Barista are mostly being visited by teenagers, young couples and also by business people who wish to meet in an informal location. The main purpose of consumer survey is to determine the consumer perception and preferences about bakeries and cafes in Bangalore. For Oriental Cuisines Pvt Ltd it is of utmost importance to know what the consumers are demanding, what are their buying patterns,mind share and so on. 5. 2

The DM problem, MR problem, & Components 5. 2. 1 DM problem How to increase the market share of The French Loaf in Bangalore? 5. 2. 2 MR problems 5. 2. 2. i To determine the consumer perception and preference about bakeries and cafes. 5. 2. 2. ii To determine the favorite brand of consumers with respect to consumption of certain bakery products. 5. 2. 2. iii To determine the perception and feedback regarding The French loaf. 5. 2. 2. iv To identify and analyze the competitors in the market. Amrita School Of Business Bangalore 42 | P a g e Internship Report 5. 2. 3 Components of MR problems C1:

Importance of various factors influencing the purchase of bakery products . RQ1: Importance of value for money? RQ2: Importance of Hygiene? RQ3: Importance of Speedy Service? RQ4: Importance of Good Ambience? RQ5: Importance of Good Quality? C2: Where they purchase bakery products from? RQ1: Favourite bakery in Bangalore? RQ2:Favourite bakery to buy birthday cakes? RQ3: Where do they buy bread from? C3: Branding RQ1: Do consumers give importance to brand when buying bread & other bakery products? RQ2: Awareness of The French loaf? RQ3: Brand loyalty 5. 3 Methodology 5. 3. 1 Data Collection

Data was collected using the structured questionnaire for survey. Method of sampling was judgmental as well as convinience sampling. Target population included men & women between the age group of 18-70 yrs. Total sample size was 55. Amrita School Of Business Bangalore 43 | P a g e Internship Report 5. 3. 2 Techniques of analysis Frequency charts and pie charts were used to understand the division in the sample for various factors. 5. 4 Results 5. 4. 1 Demographic profile of sample 5. 4. 1. i Distribution of sample by gender 45% 55% Men Women Figure 6 Distribution of sample by gender

Amrita School Of Business Bangalore 44 | P a g e Internship Report 5. 4. 1. ii. Distribution of sample by age 21-25 2% 4% 14% 4% 2% 34% 26-30 31-35 36-40 13% 41-45 11% 16% 46-50 51-55 56-60 61-65 Figure 7 Distribution of sample by age Amrita School Of Business Bangalore 45 | P a g e Internship Report 5. 4. 2 How important are various factors related to the purchase of bakery products? 5. 4. 2. i The most important factor: 30% 9% Value for money 7% 17% good ambience hygiene freshness 22% 2% 11% speedy service good quality Others(Food) No compromise 2% Figure 8 Important factor to visit a boulangerie

Among 46 valid responses, 30% of the respondents were not willing to compromise on any of the parameters as they considered every factor to be equally important. 22% of the respondents indicated „good quality? as the most important factor. Only 2% of the respondents considered „speedy service? to be an important factor. Amrita School Of Business Bangalore 46 | P a g e Internship Report 5. 4. 3 Favourite Bakery 5. 4. 3. i Mind Share 4% 6% 8% 4% 12% 21% The French Loaf Sweet Chariot Cafe coffee day Barista Nilgiris 43% 2% just bake Daily Bread others Figure 9 Mind share

Sweet Chariot occupies the highest mind share. Respondents were able to recall Sweet chariot without any aid. Amrita School Of Business Bangalore 47 | P a g e Internship Report 5. 4. 3. ii Customer Satisfaction 30 25 20 15 11 10 5 0 The French loaf Highly satisfied Sweet Chariot Satisfied Neutral Disappointed Daily Bread 4 9 5 4 5 13 20 21 24 15 13 Figure 10 Consumer satisfaction survey with respect to different brands (Valid responses 48) Among 48 respondents, 50% of them are satisfied with Daily Bread, 43% of them are satisfied with Sweet Chariot and around 27% of them are satisfied with The French loaf.

Similarly, around 27% of them are highly satisfied with Sweet Chariot and 23% of them are highly satisfied with The French loaf. 41% of the respondents are neutral towards the brand –The French Loaf. 8% respondents are disappointed customers of The French loaf and around 10% of them are disappointed customers of Sweet chariot and Daily bread. Amrita School Of Business Bangalore 48 | P a g e Internship Report 5. 4. 3. iii Favourite bakery to buy a birthday cake. 25 22 20 15 10 5 0 5 3 2 2 10 7 4 Series1 Figure 11Favourite boulangerie to purchase a birthday cake

Sweet Chariot was found to be the most preferred brand to purchase a birthday cake, thus a good competitor to The French loaf. 18% of the respondents did not want to choose a particular brand as they were ready to buy either from The French loaf or Sweet Chariot or Cafe coffee day and so on. 2 respondents preferred to prepare the cake at home. Amrita School Of Business Bangalore 49 | P a g e Internship Report 5. 4. 3. iv Favourite bakery to buy bread 14 12 10 8 6 4 2 0 The French Loaf Nilgiris Daily bread Sweet chariot Local stores As per convinience 2 11 10 10 12 9 Series1

Figure 12 Favorite bakery to buy a bread 20% of the respondents indicated The French Loaf as the most preferred brand to buy bread. Among 55 respondents, around 22% of them were not scrupulous about brands. Sweet Chariot was the least preferred brand to buy bread. Amrita School Of Business Bangalore 50 | P a g e Internship Report 5. 4. 4 About ‘The French Loaf’. 5. 4. 4. i Have they heard about „The French Loaf?? 33% yes 67% no Figure 13 Awareness about ‘The French Loaf’ 67% of the respondents had heard about „The French loaf?. 33% were not at all aware about such a brand.

Though 67% of the respondents have heard about the brand, we cannot conclude that the brand is highly visible because the sample is not too huge to determine it. Amrita School Of Business Bangalore 51 | P a g e Internship Report 5. 4. 4. ii Are they customers of The French loaf? 35% Yes 65% No Figure 14 Customers of ‘The French Loaf’ 65% of the respondents are customers of The French Loaf 35% of the respondents have never purchased from The French Loaf 2% of the respondents have heard about the brand, but have not purchased products from The French loaf.

Amrita School Of Business Bangalore 52 | P a g e Internship Report 5. 4. 4. iv The degree of satisfaction of „The French Loaf? customers in terms of: Delivery Speed Value for money Product quality Customization Price 20 20 15 10 5 0 Delivery speed value for money product quality Customization Price 7 5 4 8 7 19 18 16 14 14 10 8 13 6 2 3 1 0 5 Highly satisfied Satisfied Neutral Dissapointed Figure 15 Consumer satisfaction survey of ‘The French loaf’ customers (valid responses – 36) 55% of them are satisfied with the delivery speed and 11% of them are disappointed with the same.

Similarly, 53% of the respondents have indicated that they are satisfied with „The French Loaf? as they get value for money. Among 36 respondents, 18 (50%) of them are highly satisfied with the product quality and only 1 respondent is disappointed with the same. Around 44% of the respondents are neither extremely satisfied nor disappointed with regard to customization of The French loaf. Around 36% of the respondents are disappointed with the pricing. Amrita School Of Business Bangalore 53 | P a g e Internship Report 5. 4. 4. v Do they wish to see more of The French loaf outlets in Bangalore? 5% Yes 65% Not particular Figure 16 People willing to see more outlets Around 65% of the respondents wished to see more of „The French Loaf? outlets in Bangalore. Amrita School Of Business Bangalore 54 | P a g e Internship Report 5. 4. 4. vi If „Yes? Where in Bangalore? 12 10 8 6 4 2 0 2 1 5 3 3 2 2 2 2 1 1 2 10 Figure 17 Preferred location in Bangalore Among 36 respondents, who said they wished to see more outlets 27% of them are working/studying in Sarjapur road and hence they indicated Sarjapur road/outer ring road as their preferred location.

The respondents who have indicated Jayanagar, Vijayanagar, BTM layout, R. T Nagar, Cunningham road, Malleswaram etc reside in these areas and therefore wish to see a French loaf outlet coming up in their respective areas. Amrita School Of Business Bangalore 55 | P a g e Internship Report 5. 5 Conclusions Value for money, good ambience, product quality, pricing, good quality are all equally important according to 30% of the respondents. People are not willing to compromise on any of the stated parameters in order to make a purchase decision in a bakery store. 2% of the respondents consider quality to be the most important parameter. 43% of the respondents indicated Sweet Chariot as the first bakery that comes into their mind. Competitors for „The French Loaf? Table 5 Competitors Product category Bread Confectionery Competitors Daily Bread, Nilgiris Sweet Chariot 33% of the respondents were not aware of the brand – „The French Loaf? and thus aren? t customers of „The French loaf?. 2% of the respondents have heard about the brand but still aren? t customers of the brand. Brand Visibility cannot be determined because of the limitation in the sampling technique.

Table 6 Factors causing satisfaction in ‘The French Loaf’ Satisfaction Level Highly Satisfied Satisfied Neutral Disappointed Factor/Parameter Product Quality Delivery Speed Customization Pricing Amrita School Of Business Bangalore 56 | P a g e Internship Report Around 65% of the total sample wishes to see more of The French loaf outlets in Bangalore. People wish to see „The French loaf? outlets near their residence or workplace. Convenience plays an important role for people to visit The French loaf outlets. Amrita School Of Business Bangalore 57 | P a g e Internship Report

Business to Business Survey Amrita School Of Business Bangalore 58 | P a g e Internship Report 6. 0 Business to Business Survey 6. 1 Introduction B2B survey respondents include the purchase managers of hotels/ multi cuisine restaurants. Purchase managers of all the hotels and restaurants had complete knowledge about the buying process. Online survey was conducted as my core task was to promote the company? s products. The main purpose for conducting the survey is to understand the perception of the B2B consumers in addition to obtaining feedback about the brand-„The French Loaf?. . 2 The DM problem, MR problem, & Components 6. 2. 1 DM problem How to increase the market share in the B2B segment? 6. 2. 2 MR Problems 6. 2. 2. i To understand their feedback about their current suppliers. 6. 2. 2. ii To determine the perception of B2B consumers? about „The French Loaf?. 6. 2. 2. iii To understand the needs, requirements of the B2B consumers. Amrita School Of Business Bangalore 59 | P a g e Internship Report 6. 2. 3 Components of MR problems C1: Feedback about the competitors RQ1: Satisfaction level of the supplier in terms of : 1. Delivery Speed 2.

Value for money 3. Product Quality 4. Customization 5. Packaging 6. Price RQ2: Rate the following bakeries: (1- highly satisfied,2-satisfied,3-neutral,4dissatisfied,5highly dissatisfied) Bakeries 1. The French loaf 2. Sweet Chariot 3. Chef Bakers 4. Daily bread C2: Perceptions about the brand- ‘The French Loaf’ RQ1: Have they purchased bakery products from „The French loaf?? RQ2: If „yes? , how likely are they to purchase the product again? 1. Definitely 4. Might or might not 5. Probably not 6. Never Used 2. Probably 3. Definitely not Amrita School Of Business Bangalore 60 | P a g e

Internship Report 6. 3 Methodology 6. 3. 1 Data Collection Data was collected using a structured questionnaire. B2B customers were reluctant to respond due to paucity of time at their end and hence the sample is very low. 6. 3. 2 Techniques of analysis Qualitative analysis is done as the sample size is low; and it better describes the requirements and needs of the B2B customers. 6. 4 Inferences Maximum Sales for the B2B customers comes from the individual; customers Major Competitors in the B2B segment for ‘The French Loaf’ are Chef Bakers, Koshys, and Nilgiris.

B2B customers give importance to the product quality. Product quality and price were found to be correlated factors. Hence if ‘The French loaf’ is able to offer a good quality product at a reasonable price, they will be able to attract more customers in the B2B segment The strategic advantage of ‘The French Loaf’ customers is found to be its product quality. Hence, if the company is able to leverage that advantage by being flexible in pricing and also by providing speedy delivery, it will be able to expand its B2B customer base. Amrita School Of Business Bangalore 61 | P a g e

Internship Report Recommendations Amrita School Of Business Bangalore 62 | P a g e Internship Report 7. 0 Recommendations 7. 1 Introduction Based on the descriptive research conducted on B2B and B2C in the Bangalore region, I have some recommendations for the company. Also through whole project duration, I did an observational study on the buying habits of the consumers, which can help the company develop its brand in the national market. 7. 2 Recommendations for the company 7. 2. 1 Increase the number of outlets There is huge potential market for bakeries in Bangalore.

There are only 4 outlets in Bangalore city whereas the demand for such bakeries and cafes are high. To make a stronger hold in Bangalore, Company should concentrate on increasing the number of outlets. 7. 2. 2 Should promote their brand Oriental Cuisines Pvt Ltd can think of promoting their brand in supermarkets/ retail outlets by giving suitable incentives and thus acquiring shelf space. Consumers prefer to purchase such bakery products, especially bread in a supermarket close to their residence. 7. 2. 3 Increase the efficiency of delivery Delivery speed has been the cause for dissatisfaction among the restaurant managers.

Birthday cakes should be delivered on time with an appropriate message on it as the end consumers waiting at the restaurants expect quick delivery of the same. Amrita School Of Business Bangalore 63 | P a g e Internship Report 7. 2. 4 Should increase the labor force The labor force is expected to manage both delivery as well as hosting of clients at „The French Loaf? outlets. The existing labor force is not sufficient in the long run. 7. 2. 5 Perceived by consumers as an expensive brand A promotional campaign must be carried out so that the target market is aware of their current low prices.

This would change customer perception an turn „The French loaf? to an affordable brand. Amrita School Of Business Bangalore 64 | P a g e Internship Report References Amrita School Of Business Bangalore 65 | P a g e Internship Report 8. 0 References Kotler, Philip and Keller, K. L. (2007), “Marketing management- 12th Edition”. New Delhi: Dorling Kindersley (India) Pvt. Ltd. Churchill, Israel, Lacobucci (2005), “ Marketing Research” New Delhi: Cengage Learning India Pvt Ltd. Electronic reference: Official website of Oriental Cuisines Pvt Ltd http://www. orientalgroup. in/ Electronic reference:

×

Hi there, would you like to get such a paper? How about receiving a customized one? Check it out