A STUDY

ON
BRAND LOYALITY OF CUSTOMERS TOWARDS TAJ MAHAL TEA
PROJECT REPORT SUBMITTED IN PARTIAL FULFILMENT
FOR THE A WARD OF DEGREE OF

BACHELOR OF BUSINESS MANAGEMENT

BY
UNDER THE GUIDANCE OF

FACULITY MEMBER
DEPARTMENT OF COMMERCE AND MANAGEMENT STUDIES

KURNOOL.
(AFFILIATED TO S.K. UNIVERSITY, ANANTAPUR)

2009-2010

CERTIFICATE
This is to certify that this is the bonafide Project work entitled

..

Is

carried

...

out

by

Registered

Miss
No

.. Year . In partial fulfillment of the

requirement for the award of Business Management of Sri Krishnadevaraya
University, Anantapur.

Principal.

Examiner
Project Guide.

PROJECT GUIDE CERTIFICATE

a final year B.B.M. Student of
Degree College, Kurnool in partial fulfillment for the award of BACHELOR
OF BUSINESS MANAGEMENT has done her project entitled A STUDY ON
BRAND LOYALITY TOWARDS TAJMAHAL under my guidance.

All details collected and furnished by her are true and original to my
Knowledge.
Place:
Date:

Lecturer in Management

ACKNOWLEDGEMENT

I express my heartful and sincere gratitude to Principal, , Kurnool for the

excellent inspiration provided.
I express my spontaneous gratitude to my project guide Mr.
Lecturer in Management Studies for her valuable opinions.

And also I thank all the commerce Department Lecturers for their
continuous encouragement and suggestions.
I express my sincere thanks to my friends, parents for there motivational
and contructive criticism.

CONTENTS

CHAPTER-1
INTRODUCTION
COMPAYN PROFILE
PRODUCT PROFILE
CHAPTER-2
BRAND LOYALTY
CHAPTER-3
OBJECTIVES
RESEARCH METHODOLOGY
LIMITATIONS
CHAPTER-4
DATA ANALYSIS & INTERPETATION
CHAPTER-5
FINDINGS OF THE STUDY
CHAPTER-6
SUGGESTIONS
CHAPTER-7
ANNEXURE
QUESTIONNAIRE
BIBILIOGRAPHY

INTRODUTION
Tea, discovered by Shen Nung In 2737 B.C., brought fortune to
England as well as loss of her colonies in the New World.

Little did Chinese Emperor Shen Nung realize that in 2737 B.C., when dried
leaves blew into his cup of hot water, the beverage he discovered would cause
sensations around the world. During this time, water was always boiled for
hygienic reasons. The pleasant aroma and refreshing taste enchanted him and
soon every one in the realm was drinking tea.
Tea continued to travel throughout the orient and it was during the time of the
European explorers tea made its cultural broad jump .The East India Tea
company brought tea into Holl and but its prohibitive cost of $100 per pound
kept tea as a rich mans beverage until so much was imported that tea prices
fell and was sold in small food shops. In the 1880s, America came to the fore
font as the biggest importer of tea due to faster clipper ships and the ability to
pay its debts in gold.

A tea plantation owner introduced iced tea to the St. Louis Worlds Fair in
1904 .It was an extremely warm day and his hot tea booth was being passed up
by the crowds in favour of cold drinks .As desperate measure, since he was out
time and money for even coming to the Fair, he added ice to the vats of liquid
hot tea and in the process made it one of the highlights of the 1904 Worlds Fair.
The tea is grown on tea estates and 70% of the tea we drink is grown in Sri
Lanka, India, Indonesia, Kenya, Argentina and China. Today there are three
basic types of tea: black oolong and from these three types spring over 3,000
cultivated varieties.

COMPANY PROFILE
In the summer of 1888, visitors to the Kolkata harbour noticed creates full
of Sunlight soap bars, embossed with the words Made in England by Lever
Brothers. With it,

began an era of marketing branded and Packaged Mass

Consumption Goods (PMCG).Leading in, 1933, to the formation of Lever

Brothers India Limited, and finally Unilever Limited in 1956.

The brands which today are household names, in our portfolio, HUL are
the leader in Home and Personal Care Products, Foods and Beverages.

The Hindustan Unilever Limited stepped into the Beverages Industry with
brand name BROOKE BOND. In Beverages, Hindustan Unilever Limited is the
worlds largest packet Tea marketer. The big Tea marketer. The big tea brands
Tajmahal, Red label, 3Roses, Taaza and Yellow label.

HUL seek to meet everyday needs of people every where to anticipate the
aspirations of our consumers and customers and to respond creatively and
competitively with branded products and services which raise the quality of
life.
Over the past 70 years. HUL has introduced about 110 brands. HUL focus
on 30 Power Brands most of which have become market leaders and household
names in the country.
HUL is the countrys largest marketer of Soaps, Detergents and
House hold Care Products.
HUL expertises in Personal Products makes HUL the leader in
Shampoos,

Skin Care Products, Colour Cosmetics, Deodorants, and

Fragrances.
In Foods and Beverages, HUL remain undisputed market leaders in Tea,
Processed Coffee, Branded Wheat Flour, Tomato Products, Ice cream, Jams,
and Squashes.
In New Ventures, the new entrants are in Healthcare, Confectionaries and
Network Marketing.

Some of the HUL Brands are:

BEVERAGES
CARE
BROOKE BOND
Taj mahal
Red label
3Roses
Taaza
Lipton Yellow Label
Lipton Green Label
Lipton Ice Tea
BRU COFFEE
FABIC WASH
Personal Wash
Surf
Rin
Wheel
Colour Cosmetics
Lakme

ANNAPURNA ATTA

Kwality Ice Creams

KISSAN

SKIN
Fair & Lovely
Ponds
ORAL CARE
Pepsodent
Close -Up
Hair Care
Sunsilk
Clinic

Lifebuoy
Liril
Lux
Breeze
House Hold Care
Vim

MARKETING
HLL is present in Home & Personal Care and Foods & Beverages
categories. HLL and Group companies have a bout 40,000 employees,
including 1425 managers.
For marketing, HLL divides the country into four regions, with
regional branches in Delhi, Kolkata, Chennai, and Mumbai. Headed by a
Regional Manager, they comprise Regional Sales Manages and Area Sales
Managers, assisted by dedicated field forces, comprising Sales Officers
and Territory Sales In charges.
In marketing, each category has a Marketing Manager who heads a
team of Brand Managers dedicated to each or a group of brands. The
Brand Managers, wherever appropriate, focus exclusively on brand
strategy or implementation.

MANUFACTURING
Each Division has a nation wide manufacturing base, with each factory
peopled by teams of Production, Engineering, Quality Assurance,
Commercial and Personal Managers.
India was the top producer of tea for nearly a century, but was displaced by
China as the top tea producer in the 21 st century. Indian tea companies have
acquired a number of iconic foreign tea enterprises including British brands
Tetley and Typhoo. India is also the worlds largest tea-drinking nation.
However, the per capita consumption of tea in India remains a modest 750
grams per person every year due to the large population base and high poverty
level.

Brand Update: Taj Mahal Tea

Taj Mahal tea has changed its Brand Ambassador. Recent TVC s show
Saif Ali Khan endorsing the brand. Taj Mahal has been using the Tabla
Maestro Ustad Zakir Hussain as its brand ambassador from 1990s. Since
Ustad Zakir was endorsing only this brand, the recall was high. Ustad and
Taj Mahal was touted as the classic example of a successful celebrity
endorsement. The collaboration with the brand and the ambassador went
that far that Ustad once challenged in a TVC created lot of controversy.
The new brand ambassador is Saif. HLL may have reasons for changing
the brand ambassador. The brand manager may have been bored using the
same face?.Saif may be an attempt to make the brand more contemporary.
Ustad and his fans are older. Hence there is a chance that the new

generation may miss out on the charm of Ustad. So the attempt may be to
make the brand relevant to the new generation. In Theory we site
examples where the users of the brand getting older and the brand not able
to connect the new generation.

TAJ MAHAL TEA: WAH TAJ

Brand: Brooke Bond Taj Mahal
Company: HLL
Agency: O & M
Brand Count: 101
Taj Mahal tea is the market leader in the 15,000,000 kg Indian
Premium leaf tea market. This 40 year old brand is constantly evolving to
the changing times. The brand which is estimated to be worth Rs.200
crore, so far had a consistent promotional strategy which placed itself in
the top league. But with the competition catching up in the form of Tata
Tetley and the fear of young consumers moving away from the brand is
causing a concern to the brand owners. The brand has already undergone
4 makeovers.
This July saw the relaunch of Taj with a new baseline and world class
packaging. The new makeover comes after a change in the
communication strategy in 2002-2003. Taj mahal tea was positioned by
HLL as the best tea. In 2003 the much popular baseline was changed to
Sabse Khas Taj Ehasas from the a famous and simple Wah Taj.
2006 saw the brand going back to the same famous positioning Wah Wah
Taj
With an additional Wah.
Since 1869, Brooke Bonds specialists have selected tender leaves from
the best

Gardens to scientifically and ceremonially bring natures gift to you.

Brooke Bond
Tea is expertly tasted, graded and perfectly blended in the unique Brooke
Bond Tea
Excellence Centre to cheer your senses in all moments of life.
Brooke Bond teas are rich, natural source of antioxidants called
flavonoids that protect cells and tissues in your body.
Our master blenders and tasters painstakingly select the finest teas to
create a robust full-bodied brew with a lingering aroma that makes you
say..Wah Taj

INTRODUCTION
CONSUMER
With increasing number of products in the market and with the number of
options available for the consumers the success of a product is not always
guaranteed. With
Almost all companies going for marketing strategies and with great
variety of products a available the consumer faced different options which
led to stiff competition a among the product markers. In order to gain
more hold in the market

Various surveys are done and are being done by the experts and policy
makers, the
Of the consumers and develop products as per the aspiration of them. As a
step to gain
The interest of the consumers, product makers try to develop intimate
relationship with
The consumers, open outlets or stores with customers friendly staff, give
incentives to the consumers in time of festivals etc., to gain grip over the
consumer and ultimately
Over the market.
In the present highly competitive economic system the success,
survival and growth of firms warrants accurate knowledge a bout
consumers, their behavior
How, why, where, when they buy? Understand consumer behavior is a
crucial
Task of the Market Manager, below we will try to know the length of
consumer behavior.

Cause Related marketing and its impact on Corporate Brand Image and
Sales
Indian Scenario
Cause related marketing and its impact on organizational selling and
brand loyalty.
1. The HLL announced a contribution of a diarrhea project on sale of
its
LIFEBUOY brand soap. It helped to improve market share of
lifebuoy
2. In India whisper a brand in the sanitary nappies market where the
materialistic difference is minimal announced a contribution of Re.
1 on every pack of its sales for blind relief society. It helped to
improve market share for Whisper.
3. NOVARTIS INDIA LTD., a pharmaceutical company in cause
related marketing scheme donated 2% or value of sales of
OVALTLINE PLUS towards CRYS (a NGOS) Gujarat
rehabilitation operations. Total amount raised was approximate Rs.
40,000.
4. The HLL announced a Rs. 5/- contribution to SOS childrens
village, a social service organization working for educating every
little heart by inserting coupons in its Brooke Bond Taj Mahal Tea
powder packs. The customer has to tell the coupon number to the
company through a toll free telephone number.
5. A segment market consists a group of customers who share similar
set of wants.
Loyalty Status Consumers have varying degrees of loyalty to
specific brands,
stores, and companies. Oliver defines loyalty as
A deeply held commitment to
Re-buy or re-patronize a preferred produce or service in the future
despite situations influences and marketing efforts having the potential
to cause switching

Behavior.
Buyers can be divided into four groups according to brand loyalty
status.
1. Hard-core loyals: Consumers who buy one grand all the time.
2. Split loyals: Consumers who are loyal to two or three brands.
3. Shifting loyals: Consumers who shift from one brand to another.
4. Switchers: Consumers who show no loyalty to any brand.
Each market consists of different numbers of the four types of buyers.
A brand-loyal market is one with the high percentage of hard-core brandloyal buyers.
The tooth-paste market and the beer market are fairly high brand-loyal
markets. Companies selling in a brand-loyal market have a hard time
gaining more market share, and companies that enter such a market have a
hard time getting in.
A company can learn a great deal by analyzing the degrees of brandloyalty (1) By studying its hard-core loyals; the company can identify its
products strengths. (2) By studying its split loyals, the company can
pinpoint which brands are most competitive with its own. (3) By looking
at customers who are shifting away from its brand, the company can in
learn about its marketing weakness and attempt to correct them. What
appear to be brand-loyal purchase patterns may reflect habit, indifference,
a low price,

A high switching cost, or the no availability of other brands. Thus a

company must carefully interpret what is behind the observed purchase
patterns.

OBJECTIVES

1. To know the Brand Loyalty towards different beverages brands.

2. To know the consumer satisfaction towards Brooke Bond Tea
Products.
3. To know the different brands which are preferred by the consumers.
4. To determine the reasons for the purchase of Taj Mahal product.
5. To know the various factors that influenced the consumer to go for
Brooke Bond products.
6. To know the consumer opinion regarding the quality, promotional
activities and brand images of Brooke Bond products.
7. To know the consumer opinion regarding the price of Brooke Bond
brands when compared to other brands.
8. To know the consumer feeling regarding the availability of the
product.

RESEARCH METHODOLOGY
To collect the information, marketing research is taken into
consideration. Marketing research has been defined as the systematic
gathering, recording, analyzing of data about the problems relating to
marketing of goods and services from producer to the consumer.
AMERICAN MARKETING ASSOCATION
DATA SOURCES
There are two sources of collecting data:
(1)
(2)

Primary data
Secondary data
In the survey being conducted both primary and secondary
sources of data have been used in the collection of relevant
information.
PRIMARY DATA
Primary data is the data collected specifically by or for the data us
users. Primary data is the data gathered for a specific purpose or for a
specific research report.
A questionnaire is used as a tool for the systematic collection of
relevant information. A well structured questionnaire consisting of 15
simple questions has been prepared and directed to the respondents.
The questionnaire prepared consists of closed-ended questions which
includes dichotomous, multiple choice and rating scale type of questions.
The close-ended questions are very easy to answer from the
questionnaires responded by the respondents. The relevant data regarding
the market share, customer awareness and preference is gathered.

SECONDARY DATA
Secondary data is the data that is collected for another purpose and
already exist some where. Data pertaining to company is collected from
the companys website and catalogues. The company profile gives a
detailed report of the history and the various products being manufactured
by it.
The first section of the questionnaire is prepared mainly for collecting the
personal information about the respondent. The second section of the
questionnaire consists of multiple choice questions. It is prepared to
collect the information amount the brand name of Brooke Bond used by
the consumer, source of awareness, opinion on the price, quality, brand
image, availability, influencing factors, satisfaction of the respondents
towards Brooke Bond products and finally their feelings, attitudes
towards the product.
1) Sampling Unit

- Business people, Professionals

Housewives and Students are surveyed.

2) Sampling Size

- 100

3) Sampling procedure Stratified random sampling method is used.

LIMITATONS
1. The method used in this project is survey method results obtained
may not be fully accurate and believable.
2. The research has been centered to only 50 customers and then
calculated to 100 customers rather than doing survey on millions of
customers.
3. The whole project is confined to Kurnool city only.
4. Time was not sufficient and the project was restricted.
5. Some customers were not ready to part with their information.

HABITATION TO BEVERAGEZ
YES/NO
YES
NO

% OF RESPONDENTS
90%
10%

Description:
From the table it is found that, 90% of the respondents are habituated to
beverages and 10% not habituated to beverages.

SOURCE:

Questionnaire

BEVERAGES PREFERRED BY THE

CONSUMERS

BEVERAGE
Coffee
Tea
Milk
Others

% OF RESPONDENTS
10%
80%
10%
0%

DESCRIPTION:
From the table, it is found that 10% of the respondents prefer Coffee, 90%
prefer Tea, and 10% prefer Milk.

SOURCE: QUESTIONNAIRE

THE BRAND WHICH IS PREFFERED BY THE

CONSUMER

TEA BRAND
Brookebond
Tata
Society
Others

% OF RESPODENTS
72%
11%
17%
0%

DESCRIPTION:
From the survey it is found that 72% of the respondents prefer Brooke bond,
11% prefer Tata and 17% prefer Society.

Source: Questionnaire

TEA BRAND WHICH IS PREFERRED BY THE

CONSUMER

PRODUCT
Red Label
Taj Mahal
3 Roses
Lipton
Others

% OF RESPONDENTS
48%
32%
8%
8%
8%

Description:
From the above table, it is known that, 48% of the respondents prefer Red
Label, 32% of the respondents prefer Taj Mahal, 8% prefer 3 Roses, 4% prefer
Lipton and 8% prefer other products of Brooke Bond.

SOURCE: Questionnaire

SOURCE OF AWARENESS
SOURCE

% OF RESPONDENTS

Ads
Newspapers
Friends
Retailers
Others

64%
4%
4%
16%
12%

DESCRIPTION:
From the survey, it is found that, 64% of the respondents are aware
through Ads, 4% are aware through Newspapers, 4% are aware through
Friends, 16% are aware through Retailers and 12% are aware through Other
Sources

SOURCE: Questionnaire

FACTORS WHICH INFLUENCED THE CONSUMERS TO GO

FOR
BROOKE BOND PRODUCTS

Factors
Price
Quality

% of Respondents
8%
92%

Others

0%

Description:
From the above table, it is found that, 8% of the respondents are
influenced by Price, 92% are influenced by Quality.

Source: Questionnaire

SATISFACTION ABOUT THE PACKAGE AND PRICE

OF THE PRODUCT

Satisfaction
Yes
No

Package
88%
12%

Price
72%
28%

Description:
From the above table, it is found that, 88% of the respondents are
satisfied with the package of the Brooke bond products and 12% are not
satisfied with the package of the Brooke bond products they prefer.

SOURCE: Questionnaire

OPINION ABOUT QUALITY AND AVAILABILITY OF

PRODUCT

Opinion
Excellent
Better
Best
Poor

Quality
20%
36%
44%
0%

Availability
30%
50%
20%
0%

DESCRIPTION:
From the survey, it is found that, 20% of the respondents opinion about
Quality is excellent, 36% opinion is better, 44% opinion is best.

Source: Questionnaire

TIME OF CONSUMPTION OF THE PRODUCT

Time
Occasions
Generally

% of Respondents
16%
84%

DESCRIPTION:
From the survey, it is found that 16% of the respondents will consume at
the time of occasions, 84% will consume generally.

Source: Questionnaire

REASONS FOR PREFERENCE OF THE PRODUCT

Reasons
Refreshment
Casual Habit

% of Respondent
56%
44%

DESCRITION:
From the above table, it is know that, 56% of the respondents prefer this
product this
For this product for Refreshment and 44% prefer for Casual Habit.

Source: Questionnaire

CONCLUSIONS

1. It is found from the survey conducted that most of the people prefer Tea
compare to the other beverages like Milk, Coffee etc.,
2. From the survey it is found that most of the people go for Brooke bond
Tea Products.
3. It is found from the survey most of the people go for Brooke bond Tea
Products because of its Quality followed by Brand, Price etc.
4. It is found that most of the consumers opinion regarding the price is
Reasonable.
5. It is found from the survey that most of the consumers opinion regarding
quality is the best.
6. Most of the consumers purchase Brooke bond Tea products generally and
others purchase during some occasions.
7. Most of the consumers take Brooke bond Tea product for refreshment
and others consume it as Causal Habit.
8. The satisfaction level of different products in Brooke bond is good
followed by excellent and fair.
9. It is found that the availability of the products in market is better.
10.The packaging model of Brooke bond products is good.
11.The survey shows that most of the people has came to know about this
product through ads followed by Newspapers, Friends, retailers etc.,

SUGGESTIONS
1. The position in the market is to some extent only, so it can achieve
Market Leader position by providing more quality.
2. By reduction in the prices of Brooke bond products it can attract more
consumers.
3. Most of the people are not aware of some Brooke bond products like
Lipton Ice Tea, Lipton Yellow Label, so the ad campaign for these
products should be effective.
4. Promotional activities should be developed i.e. some offers like Lucky
Coupons, providing 20% or 30% extra quantity at the same price so that
it attracts more consumers.
5. The quality for Brooke bond Tea Products is best and it should reach to

excellent.

QUESTIONNAIRE
1.
Are you habituated to beverages?
a) Yes
b)No
2. Which beverage do you prefer?
a) Coffee b) Tea c) Milk d) Others
3. Which tea brand do you use?
a) Brook bond b) Tata c) Society d) Others
4. If brook bond, which product do you prefer?
a) Redlable b) Tajmahal c) 3roses d) Others
5. How do you come to know about this product?
a) Ads b) Newspaper c) Friends d) Retailers
6. What makes you to prefer this product?
a) Price b) quality c) others
7. Are you satisfied with the package of the product?
a) Yes b) no
8. Your opinion about the quality?
a) Good b) Better c) Best d) Poor

9. What opinion about the quality?

a) 100 gms b) 250gms c) 599gms d) 1kg
10. What is the frequency of your purchase?
a) Weekly b) Fortnightly c) Monthly
11. From where do you purchase this product mostly?
a) Supermarkets b) Retailers
12. In which time do you consume it?
a) Occasions b) Generally
13. Reasons for your preference to this product:
a) Refreshment b) Casual Habit
14. Are you satisfied with the price range?
a) Yes b) No
15. What do you feel about the availability of the
product?
a) Good b) Better c) Best d) Poor

BIBLIOGRAPHY

WEB SITE
BRAND LOYALITY

WWW.HUL.COM
PHILIP KOTLER