Introduction

1.1 What is the project?

These underlying foundations of demand, therefore, are the model of how customer behaves. An Individual customer has a set of preferences and values whose determinations are outside the realm of economics. They are no doubt dependent upon culture, education, and individual tastes among a plethora of other factors. The measure of these values in this model for particular products was in terms of the real opportunity cost to the customer who purchases and consumes the products. If an individual purchases a particular good, then the opportunity cost of that purchase is the forgone goods the consumer could have bought instead. We develop a model in which we map or graphically derive customer preferences. These are measured in terms of the level of satisfaction the consumer obtains from consuming various Combinations or bundles of goods. The customers objective was to choose the bundle of goods which provides the greatest level of satisfaction as they are the customer who defines it. But customers are very much constrained in their choices. These constraints are defined by the customers income and the prices the customer pays for the products.

Companies routinely test the market to find out what customers like and dislike about their products and competitors' products. This was usually done by an internal marketing department or outsourced to a market research firm. Phone interviews, paper surveys, electronic surveys, focus groups and customer samplings are common methods for gathering information.

Buying Behavior is the decision processes and acts of people involved in buying and using products.

Need to understand: o Why customers make the purchases that they make? o What factors influence consumer purchases? o The changing factors in our society.

1.2 Definition and Purpose of the Project

Preferences are the desires by each individual for the consumption of goods and services that translate into choices based on income or wealth for purchases of goods and services to be combined with the consumer's time to define consumption activities.

The basic reason behind carrying out this project was to understand what did customer know about frozen food product and how did they approach while buying McCain as a frozen food. As it was a radical approach to know what factors affects various customers while purchasing McCain as a frozen food product and to know various customer preferences while purchasing it.

Are these radical changes giving favorable results or not? Has customer satisfaction level gone up? These are some of the questions continuously arising? Behind all these was one basic motto i.e. to improve the customer preference level by providing the right material to the right place in right time

1.3 Scope of project

Functional Scope This Report would help to understand the customers behavior towards purchasing the frozen food product. It also opens various factors which can affect the purchase decision. And it provides a frame mind of people what are the expectations of customers and up to how much level these expectation meets. This Report would be helpful for buyers and Companies, So that they can understand the consumer behavior and can satisfy the consumer on better manner. The second function is to understand what is the market penetration of McCain frozen food product among various competitors so that it will increase customer awareness of McCain frozen product.

Geographical Scope: This project was conducted in the various areas of Pune like Waked, Aundh, Baner, Pune camp, Sadashiv Peth, Mundwah, Koregaon Park, F.C. road, Deccan Swargate, Salisbury Park etc.

Analytical Scope The analytical scope of the project includes the understanding of frozen food product in terms of quality, packaging, labeling, pricing etc. also analyzing the presence of various competitors of McCain in market meeting various caterers to analyze the awareness of McCain frozen food and knowing the customer preferences among various frozen product and drive regarding the purchase behavior of frozen food.

1.4 Salient Contribution of Project

The project basically deals with the customer preferences and buying behavior of frozen food product. This study are helping to find out the buying behaviour of various customers in the form of caterers while purchasing frozen food product, it also helps to find out which all factors influence consumer behaviour on McCain frozen food product. It also helps to find out the various customer preference of buying McCain as a frozen food product.

1.5 Outline of the study

The outline and framework of the study basically relate to the following points Conducted survey of various caterers at Pune city. Conducted other ways of collection of data. Gathered the data and analyzed it. After analyzing the interpretation of data was done. This information was used for recommendation and conclusions. In this manner the whole study of customer preference and buying behaviour of frozen food was conducted

Industry Overview
The food processing industry provides vital linkages and synergies between industry and agriculture.

The food processing industry in India is one of the largest in terms of production, consumption, export and growth prospects. The government has accorded it a high priority, with a number of fiscal reliefs and incentives, to encourage commercialization and value addition to agricultural produce, for minimizing pre-/post-harvest wastage, generating employment and export growth. India's food processing sector covers a wide range of products - fruit and vegetables; meat and poultry; milk and milk products, alcoholic beverages, fisheries, plantation, grain processing and other consumer product groups like confectionery, chocolates and cocoa products, Soya-based products, mineral water, high protein foods and so on. The Indian food processing industry is one of the largest in the world in terms of production, consumption, export and growth prospects. Earlier, food processing was largely confined to the food preservation, packaging and transportation, which mainly involved salting, curdling, drying, pickling, etc. However, over the years, with emerging new markets and technologies, the sector has widened its scope. It has started producing many new items like ready-to-eat food, beverages, processed and frozen fruit and vegetable products, marine and meat products, etc. It also includes establishment of post-harvest infrastructure for processing of various food items like cold storage facilities, food parks, packaging centers, value-added centers, irradiation facilities and modernized abattoir. India has a strong agricultural production base with diverse agro-climatic conditions and arable land of 184 million hectares. It is one of the major food producers in the world and has abundant availability of wide variety of crops, fruits, vegetables, flowers, livestock and seafood. India produces annually 90 million tons of milk (highest in the world); 150 million tons of fruits and vegetables (second largest); 485 million livestock (largest); 204 million tons of food grains (third largest); 6.3 million tons of fish (third largest); 489 million poultry and 45,200 million eggs. As a result, Indian food processing industry has become an attractive destination for investors the world over. The size of the semi-processed and ready to eat packaged food industry is over Rs. 4,000 crore (US$1 billion) and is growing at over 20%.
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Indian frozen foods India is a large producer of food and is offering different opportunities and business propositions in food and food processing technologies, skills and equipment. The food-based industries encompass canning, dairy and food processing, specialty processing, packaging, frozen food/ refrigeration and thermo-processing. Products which come under the frozen food industry are fruits, vegetables, fisheries, milk products, meat, poultry and other packaged and convenience foods. Although it is a huge producer of food products, India still has immense untapped potential in the frozen food export industry. The demand for Indian recipes from the Indian diaspora settled across the globe has served as an impetus to development of the frozen food industry in recent years. Vegetables like drumsticks and okra and prepared food like chapattis and parathas are nowadays available in frozen form in neat packets all over the world. The Indian frozen food market generated total revenues of $325.9 million in 2010, representing a compound annual growth rate (CAGR) of 16.6% for the period spanning 2006-2010. Frozen meat products' sales proved the most lucrative for the Indian frozen food market in 2010, generating total revenues of $124.2 million, equivalent to 38.1% of the market's overall value. The performance of the market is forecast to decelerate, with an anticipated CAGR of 13.6% for the five-year period 2010-2015, which is expected to lead the market to a value of $617.5 million by the end of 2015.

Company overview
McCain Foods Ltd. McCain Foods Ltd. is the world's largest producer of French Fries and Potato Specialties. Located in Florenceville, New Brunswick, Canada, McCain has grown to become a global leader in the frozen food industry. From Canada, across the world to Japan, from the tip of Argentina to suburbs in Australia, our tasty and convenient food products are served in restaurants and sold in retail stores; adding nutrition and flavour to family meals time after time. McCain Foods India Pvt. Ltd. McCain Foods (India) is a wholly-owned subsidiary of McCain Foods Limited in Canada. Since 1998, McCain has been engaged in agriculture R&D and in development of frozen food market in India and subcontinent countries. McCain products are used by leading fast food chains, hotels, restaurants, catering companies and are popular for in-home consumption. At McCain, it's our constant endeavor to create good food that is delightfully fresh. In order to maintain an impeccable standard of quality, we strive to use the highest quality ingredients. Our products are prepared simply with wholesome ingredients made by good people who care about delivering quality in every box, every bag and every bite. McCain focuses on providing great variety to customers and consumers. A delectable range of products is available, world favorites like McCain French Fries, McCain Smiles and local delights such as McCain Aloo Tikki, Idli Sambar Combo and real cheese appetizers like McCain Cheese & Jalapeno Nuggets and Potato Cheese Shotz. o Global sales of over $6 billion. o Products marketed in 160 countries world over. o One in every three French fries around the world is a McCain fry. o 50 manufacturing facilities around the world. o World class potato processing plant in Mehsana district of Gujarat.

History of McCain In 1957 Wallace and Harrison McCain supported by brothers Andrew and Robert, founded McCain Foods Limited in Florenceville, New Brunswick, Canada. Immersed in agriculture from an early age, it was their fathers search for stability as a grower that led the McCain brothers to the idea of frozen food company-building factories to process regionally grown crops would demand for the raw materials. The knowledge gained in Florenceville with first factory, and the acquired expertise in agronomy, provided the formula for expansion around the world. In the early 1900s, Andrew (A.D) McCain saw an opportunity to expand beyond farming and selling potatoes locally. In 1909 he created McCain Produce, a seed potato export company. His sons Wallace and Harrison McCain wanted their own business brother Robert suggested they consider frozen foods. This defining moment was to be truly frozen in history. Since its modest beginnings with just 30 employees and first year sales of $152,678, McCain has grown to be a household name- a multibillion dollar, multinational leader in frozen food products creating thousands of jobs and feeding families around the globe. While it was a modest beginning they couldnt have started at a better time. Harrison and Wallace McCain had identified the perfect time to start business. They were entering new industry just when the technology that made the industry possible was being developed and the 1950s saw the surge of growth in processed and more convenient food options. The Canadian population was growing rapidly. Today McCain Foods Limited has more than19,000 employees working in 50 factories on six continents around the world and has grown to be a household name a multibillion dollar, multinational leader in frozen food products creating thousands of jobs and feeding families around the globe Vision & mission 1) One aligned global organization 2) Leverage scale, technology and science for competitive advantage and differentiation 3) Bring the goodness of McCain potatoes and value added food products to all 4) Transforming Day & Ross into full service transportation company
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Quality policyThere is no higher priority for a food company than the safety of its products. At McCain we are committed to providing our customers and consumers with food they can trust to be safe, nutritious and taste great. Led by our Global Quality Council, we employ a comprehensive food safety and quality management program within each of our manufacturing facilities worldwide. This program includes strict manufacturing procedures, expert leadership and thorough employee training, ongoing processes are consistent and the collaboration delivers continuous quality improvement. Food Safety Principles McCains expectations are clearly communicated to all employees and partners from farm to fork McCains value and encourage continuous improvement in our people our products and our quality and food safety systems. McCain use external food safety audits to monitor the compliance of McCain processing plants and our food safety programs to ensure they internationally recognized standards. Products McCain foods India consists of following productsFrench Fries Masala Fries Savoury Wedges Smiles Aloo tikki Chilly garlic potato Pops Hash browns Chili Pepper & Cheese Bites Mozzarella Cheese Sticks Onion Rings Sweet Corn Nuggets Veggie Nuggets Burger Patties Herb Chilli Patty
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Competitors
Sumeru: Innovative Foods Limited (IFL) is the leading frozen food player in the country and retails its products under the brand name Sumeru. IFL retails its multi category product portfolio across the country with presence in all major modern trade counters and has built a pan India distribution network covering top cities and towns. IFL is a leading supplier to large food service players and has also established presence in key Indian ethnic export markets viz USA, Canada and UK. IFL has its manufacturing facility located in the southern Indian state of Kerala, Kochi.

Al Kabeer: The Group has invested in manufacturing units around the world in locations most appropriate to ensure the highest possible quality. For instance, by carefully controlling the primary processing of fresh shrimp on the shores of Bahrain, vegetables at our farms in Hyderabad, and of meat at our unit in Mumbai, we can ensure the quality of the raw materials used in our retail products. These raw materials are converted under even stricter conditions into the various products we offer, at dedicated units located in Dubai and Sharjah in the UAE, Market Rasen in England, and most recently at Deonar in Mumbai, India. Venkys: The VH group was established in 1971, when motivated by his wife Late Smt. Uttaradevi Rao, our founder Chairman Late Padmashree Dr. B.V.Rao, fondly referred to as The Father of the Indian Poultry Industry, established Venkateshwara Hatcheries Pvt. Ltd. in Pune (India). Today the group is popularly known the world over as Venkys. With a unique combination of expertise and experience and supported by strategic collaborations, the company diversified its activities to include SPF eggs, chicken and eggs processing, broiler and layer breeding, genetic research and Poultry diseases diagnostic, Poultry vaccines and feed supplements, vaccine production, bio-security products, Poultry feed & equipments, nutritional health products, soya bean extract and many more. Today the group is the largest fully integrated poultry group in Asia. Suppliers: Responsible purchasing is core to our business and inextricably linked to our ability to create sustainable and profitable growth. By choosing to work with suppliers that respect compliance,
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human rights, decent working conditions and strong environmental standards, we create value for our customers and minimize our business risk. Since McCain was founded, we have had supplier contracts in place that incorporate the most recent food safety and quality assurance, and we take steps to ensure compliance with these contracts. Customers: McCains customers are generally the house hold members. The company mainly targeted the mothers of India. The reason behind this is that the kid gets bored by having same food every day in the school. So McCain introduced products like smiley which is very popular among the children. Awards and Achievements: McCain Foods India receives SIAL dOR Country Award 2010 for McCain Aloo Tikki in 2010: McCain Foods India Pvt Ltd, the Indian subsidiary of McCain Foods Ltd (Canada), has received SIAL dOR Country Award 2010, for the commercial success of its Indian product - McCain Aloo Tikki, at the SIAL Show in Paris, France. McCain Aloo Tikki, being the highest scoring Indian product amongst participants in nine categories, was adjudged as the winner of Country Award - India. According to the company release, SIAL (Salon International de lAlimentation), one of the largest food tradeshow in the world created the SIAL dOr, which recognizes innovative products for success in trading in their local markets. Every two years, a jury of food journalists from 30 countries across the world choose from a range of products from 30 countries across nine categories ranging from savoury grocery, sweet grocery, fresh (non-dairy) products, fresh dairy products, frozen savoury foods, frozen sweet foods, non-alcoholic beverages, alcoholic beverages (excluding wine) and wine. K S Narayanan, Managing Director, McCain Foods India Pvt Ltd said, The Aloo Tikki marks McCain Foods foray into ethnic snack foods category in the country. Since its introduction, the product has been well accepted not only by retail consumers but also in the food service segment.

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McCain Aloo Tikki is today being exported to many countries including South East Asia, the UK, the US and Hong Kong. SWOT ANALYSIS McCain operates in the frozen food industry. It produces French fries and other food products, including pizza, appetizers, oven meals, vegetables, desserts, and juice. McCain's strong market position lends the company substantial bargaining power. However, fluctuations in raw material prices could adversely impact the company's operating margins.

Strengths: Leading manufacturer of french-fries and other frozen products McCain are one of largest manufacturers of frozen French fries and other potato products in the world. The company was ranked among top 50 most valuable brands in Canada 2013 by an industry source specializing in brand valuation. It was also ranked among top 100 largest selling brands in the Irish grocery industry by another industry source specializing in providing market insights in 2012. The company also has the capacity to process more than one million pounds of potato products per hour and makes one third of all the frozen French fries produced in the world. McCain also manufactures other frozen food products such as appetizers, pizzas, vegetables, desserts, beverages and ready meals. McCain has established itself as a dominant player in the frozen foods industry; this status lends the company substantial bargaining power. Worldwide presence McCain has a diversified geographic presence. The company sells its products to both retail outlets and foodservice operators in more than 160 countries across the world. Its key markets include India, China, Japan, Austria, France, Germany, South Africa, Brazil, Argentina, the UK, and the US. Its products are also available in thousands of restaurants and supermarket freezers. McCain also operates 50 production facilities across six continents. The company's global presence enhances its access to growth pockets among various markets while reducing business risk.

Focus on sustainability: The company participates in several sustainability initiatives to reduce its environment footprint as well as to ensure effective utilization of resources. McCain mainly focuses on reducing its greenhouse gas (GHG) emissions, energy consumption, and recycling systems. Since 2005, the
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company has been recording its emissions resulting from energy use throughout its manufacturing facilities. By 2009, the company reduced GHG emissions from 244 grams per kilogram of French fries to 233grams per kilogram. The company also focuses on reducing energy consumption to save money, as well as to reduce air emissions and its reliance on non-renewable forms of energy. In order to reduce energy consumption, the company's Global Energy Work Group introduced The Search for Joules program in 2008 to integrate McCain's energy initiatives into a systematic approach. This program was implemented across all facilities to reduce energy consumption. The company is also working towards reducing water intake across all of its operations, especially in water-stressed locations where it operates such as Mehsahna, India; Delmas, South Africa; and Ballarat, Australia. For this purpose, McCain's Water Work Group launched a comprehensive global water reduction program called Search for Pools. This program was rolled out in all of its facilities in late 2008 and is designed to identify gaps between a facility's genuine water use and McCain best practice. Moreover, 81% of the company's water intake is returned to the receiving stream following extensive treatment. Furthermore, in 2009, the company recycled 95% of the estimated 800,260 tons of waste generated. McCain aims to create as less waste as possible in long-term by developing initiatives that help in greater usage of its raw materials and to increase the recycling potential of any resulting waste. Therefore, focus on sustainability initiatives helps the company to reduce its operating cost as well as to increase its profitability.

Weaknesses: Product recalls McCain has recalled many products recently. In June 2011, McCain Foods Australia recalled 20,000 of pizzas from supermarket shelves across the country due to possible metal contamination. Earlier in 2010, McCain Foods (GB) Ltd recalled all batches of sweet potato with rosemary and garlic due to possible contamination with pieces of grit. In the same year, McCain Foods USA announced a voluntary recall of the McCain All American Roaster frozen potato product as it could be contaminated with salmonella. A year earlier, McCain Foods Australia/New Zealand recalled McCain Foods Healthy Choice Apricot Chicken meals. The company announced that the product batches identified with a best before date of August 24, 2010 may contain high levels of bacteria and are not safe for consumption. Product recalls affect the customer confidence and could erode the demand for McCain products.
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Opportunities: Focus on healthy food offering is in line with the growing preference for low-fat foods the company consistently focuses on offering healthy food products which are low in calories, low in salt, trans-fat free and low in saturated fat. The company maintains specific standards defining the exact amount of salt, fat and other ingredients in all its health food range. McCain aims to introduce about 50% of its products that meet these health standards. In response to consumer demand for non-fried potato products, the company introduced its first range of fresh-frozen convenience potato products in 2009. The company also focuses on reducing sodium and oil in its products. Since 2007, the company's branded potato products have been trans-fat free, with saturated fats reduced by 46%. Furthermore, in response to consumer demand to reduce sodium, the company has reduced sodium across its entire product range by 20% in Great Britain since 2001. McCain aims to reduce the salt level in its branded products by 10% per year until these products meet consumer preference thresholds. To help guide its research and innovation efforts, the company has built strong relationships with the nutrition and medical health communities and their health and wellness advisory groups. The company also partners with external organizations to promote healthier eating and physical activity in schools, such as the Alliance for a Healthier Generation in the US. McCain's healthy foods are likely to get wide acceptance as consumers are becoming increasingly health-conscious and the demand for low-calorie food is growing. Therefore, the company's focus on offering healthy foods enables it to tap the growing consumer preference for healthy foods which, in turn, will increase its sales. Growing global frozen food market The global frozen food market has been witnessing steady growth in recent times. The frozen food market consists of the retail sale of frozen fish, seafood, meat products, potato products, vegetables, fruit, pizza, ready meals, bakery products and desserts. According to Market Line, the global frozen food market grew by 3.2% in 2011 to reach a value of $117.5 billion. In 2011, frozen ready meals were the largest segment of the global frozen food market, accounting for 24.2% of the market's total value. By 2016, the global frozen food market is expected to reach a value of $137.4 billion, an increase of 16.9% since 2011. McCain offers frozen French fries and other potato products, as well as pizza, appetizers, ready meals, vegetables and juice. By

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leveraging its product offerings and brand portfolio, McCain can benefit from the growth trend in the frozen food market. Strategic acquisitions McCain has been expanding its operations significantly through strategic acquisitions. In February 2013, McCain Foods Australia/New Zealand acquired Kitchens of Sara Lee (KOSL) Australia (an Australian and New Zealand frozen food company that manufactures, sells and distributes a range of Sara Lee branded products in frozen desserts, super premium ice cream, pastries, frozen savory meals and frozen fruit categories) from Hillshire Brands. This acquisition will expand McCains range of products across desserts, meals and snack occasions. In October 2012, McCain and Pinguin Lutosa Food Group (Pinguin), a manufacturer of deep-frozen vegetables, potatoes and canned goods, signed a share purchase agreement for the sale of Pinguins Lutosa division to McCain. This acquisition will strengthen the companys core potato business in Europe. It will also expand the companys product offering and cater to a wider range of customers. In July 2012, McCain Foods Holland announced plans to acquire 100% of the shares of CelaVita, a European chilled potato producer and a subsidiary of Bieze Food Group. This acquisition will further broaden McCains product portfolio to supply to large retail customers. Earlier in 2010, TDRTG acquired Ottaway Motor Express Limited and Cross Dock Express, two privately owned trucking companies based in Woodstock, Ontario. This acquisition strengthened and expanded the companys transportation and distribution services. Acquisitions such as these will help McCain to generate incremental revenues as well as contribute for future growth. Threats: Fluctuations in raw material prices McCain is vulnerable to price fluctuations of raw materials such as flour and vegetable oils (some of the basic ingredients for the frozen foods industry). For instance, the sunflower oil price was $1,553.41 per metric ton in January 2012. This decreased to $1,441 per metric ton in February 2012 and largely remained close to that price until June 2012. It further increased to $1,505.54 per metric ton in July 2012 and then declined to $1,483.03 per metric ton in November 2012. The price of sunflower oil stood at $1,462.01 per metric ton in March 2013. If McCain is unable to pass on the increase in raw material prices to its customers, it will have an adverse impact on its operating margins. Regulatory compliance may increase costs as a manufacturer and marketer of food products, McCain is subject to the US Federal Food, Drug
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and Cosmetic Act and regulations promulgated by the US Food and Drug Administration (FDA). This comprehensive regulatory framework governs the marketing and distribution (including composition and ingredients), labeling, packaging and safety of food in the US. In addition, the FDA enforces the Public Health Service Act and regulations to prevent the introduction, transmission or spread of communicable diseases. According to Centers for Disease Control and Prevention, nearly 48 million Americans fall sick, 128,000 are hospitalized, and 3,000 die from foodborne diseases each year due to consumption of contaminated produce. The company's failure or inability to comply with the regulatory requirements could subject the company to civil remedies, including fines, injunctions, recalls or seizures, as well as potential criminal sanctions, which may impact the business of the company. Any changes in these regulations may increase the company's compliance cost structure. McCain may have to make additional investments to be in compliance with the operational changes required by the regulations, which may affect the company's cost structure.

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Customers Buying Behavior The concept of consumer behavior has also defined by various researchers as per the needs of the environment. Human psyche is a very complex process because it involves not only the economic factors but also the emotional and social factors (Clark and Goldsmith, 2006). Thus, it is really very difficult to provide an adequate definition of consumer behavior. It has been observed by the various researchers that the success or failure of the product or service is directly related to the human psyche and their preference (Kauffman, 1996). Hence, an understanding of the human psychology helps marketers to come up with the innovative product mixes (Peter and Donnelly, 2002). Consumers are the base of the business process of the business organisations. All the consumers are not similar with each other according to their buying behaviour. (Zhang and Neelankavil, 1997) According to the figure 8, there are many determinants that affect the buying behaviour of consumers. According to Sheth and Parvatiyar (1995), evaluation of various factors related to the consumer behaviour allows the business firms to strengthen the relationship between business and consumers. Zhang, Y., and Neelankavil, J.P. (1997), the Influence of Culture on Advertising Effectiveness in China and the USA: A Cross-Cultural Study. European Journal of Marketing Vol. 31 No. 1 pp134-149. Consumer Buying Behavior: Services Loyalty and Brand Equity Consumer buying behaviour is also linked with the service quality and brand loyalty. It explains different aspect that affects buying behaviour of consumer. These determinants are customer loyalty, service loyalty and brand equity. All these are interrelated with each other. All these features can be achieved through CRM process. In the present environment, successful companies give attention to retention of their existing customers rather than attracting new customers (Sarlak and Fard, 2009).

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2. The CRM Process as a Tool to Retain Customers According to Landrigan (2005) implementation of CRM process as an important marketing tool that can result to market expansion and attract consumers to buy the product of the company. CRM is the implementation process for relationship marketing. Main aim of the CRM process is to retain customers for long term along with the attraction of new customers (Biyalogorsky et al, 2001). This process of CRM provides an excellence opportunity to the retailers to expand their customers database. 3. Link between Customer Relationship Management and Customer buying Behavior Customer relationship process is a process of developing long-term relationship with customers by knowing more about customers need and about their behavior pattern (Reynolds, 2002). It has a direct relationship with the buying behavior of consumers. Bose (2002) Explained in its research, about the link between CRM and customer buying behavior that a company that collects lots of data regarding the buying patterns of customers can make an effective CRM strategy easily in comparison of those companies that have less data about consumers buying pattern. He also stated in its research that financial companies and telecommunication companies can make effective CRM strategies as they have lots of data regarding their customers buying patterns. In the same manner, retail companies should also collect sufficient data and information about customers to retain them for long term. The customer buying behavior is a process through which customers make decision regarding with selection, purchase and use of goods and services (Dibb and Simkin, 2001). So, by analyzing this process of customer buying behavior CRM manager can plan, organize and control the customers of their product. Thus, both CRM and customer buying behavior are linked with each other and also affect the operation of each other (McMahon, 2008).

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CONSUMER BEHAVIOUR TOWARDS READY-TO-EAT FOOD PRODUCTS Thesis submitted to the University of Agricultural Sciences, Dharwad By RENUKA HIREKENCHANAGOUDAR In this chapter, research work done in the past regarding awareness, purchase behaviour, brand preference, factors influencing brand preference and alternative purchase plans has been reviewed and presented under the following sub-headings. Awareness of consumers towards branded products Purchase behaviour of consumers Brand preference Factors influencing brand preference Alternative purchase plans

AWARENESS OF CONSUMERS TOWARDS BRANDED PRODUCTS Aaker (2000) opined that, brand awareness was remarkably durable and sustainable asset. It provides a sense of familiarity especially in low- involvement products such as soaps, a sense of presence or commitment and substance and it was very important to recall at the time of purchasing process. Apart from the conventional mass media, there were other effective means to create awareness viz., event promotions, publicity, sampling and other attention getting approaches. Brown et al. (2000) reported that the need for effective nutritional education for young consumers has become increasingly apparent, given their general food habits and behaviour, particularly during adolescence and analyzed that the interaction between young consumers food preferences and their nutritional awareness behavour, within three environments (home, school and social interaction appears to be somewhat overshadowed by the young consumers, while developing an independence trait, particularly, during the adolescent years. The authors suggested that food preferences are often of a fast food type and consequently the food habits of many young consumers may fuel the consumption of poorly nutritionally balanced meals. While young consumers were aware of healthy eating, their food preference behaviour did not always appear to reflect such knowledge, particularly within the school and social environments.
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Beverland (2001) studied the level of brand awareness within the New Zealand market for ZESPRI kiwi fruit. The effectiveness of this branding strategy employed by kiwi fruit, New Zealand was studied. The implications of the findings for agribusiness in general using the data collected from surveys of kiwi fruit consumers (n=106) outside three major super market chains in Auckland, New Zealand, suggested that the level of brand awareness for ZESPRI is low among consumers. It is indicated that brand awareness could be increased through a relationship- making programme involving targeted marketing and supply chain management. PURCHASE BEHAVIOUR OF CONSUMERS Balaji (1985) studied fish consumption behaviour of 526 consumers in Vishakapatnam city. The study revealed that 77.00 per cent of respondents consumed fish for dinner and 22.00 per cent for lunch. About 30.00 per cent of the respondents did not consume fish on festival days, as those days were considered auspicious, while the rest had no notations and consumed fish, irrespective of festivals. Jorin (1987) examined changes in spending power and buying habits of Swiss consumers since the beginning of the 20th century and in the more recent past. Current trends include greater emphasis on health and safety of foodstuffs and less attention to price, increased demand for low calorie light products and increased demand for organically grown foods. For young people, more concern with enjoyment and less for health, with more meals eaten from home and generally an increased demand for convenience foods. The prospects for high quality branded products were seen to be good. Puri and Sanghera (1989) conducted a study to know the consumption pattern of processed products in Chandigarh. Jam was found to be most popular, irrespective of income. Orange squash consumption was maximum in high and middle income families. Pineapple juice consumption increased with a rise in the income. BRAND PREFERENCE: Gluckman (1986) studied the factors influencing consumption and preference for wine. The explicit factors identified were, the familiarity with brand name, the price of wine, quality or the mouth feel of the liquid, taste with regard to its sweetness or dryness and the suitability for all tastes. Some of the implicit factors identified through extensive questioning were colour and
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appearance. Most of the consumers seemed to prefer white wine to red. Consumers preferred French or German made wines to Spanish or Yugoslavian wines. Kumar et al. (1987) observed the factors influencing the buying decision making of 200 respondents for various food products. Country of origin and brand of the products was crosstabulated against age, gender and income. Results revealed that the considered factors were independent of age, education and income. The brand image seemed to be more important than the origin of the product, since the consumers were attracted by the brands. Shanmugsundaram (1990) studied about soft drink preference in Vellore town of North Arcot district in Tamil Nadu. The study revealed that, the most preferred soft drink among respondents as Gold spot (26.00%), followed by Limca (24.80%). It was found that the taste was the main factor for preference of particular brand and among the media; television played a vital role in influencing consumer to go for a particular brand. Because of convenience in carrying, tetra pack was most preferred one. Ali (1992) studied the brand loyalty and switching pattern of processed fruit and vegetable products in Bangalore city by using Markov Chain analysis. The result of study revealed that Kissan brand of jam and Maggi brand of ketchup had a maximum brand loyalty among consumers and less amount of brand switching occurred for these brands. Sabeson (1992), in his study stated that high quality, price and taste of the product were the major criteria based on which the customers selected a brand of processed fruits and vegetable products. Hans et al. (1996) revealed that, the brand switching of consumer was based on variety seeking behaviour, motivations, curiosity and price motive.

FACTORS INFLUENCING BRAND PREFERENCE Singh and Singh (1981) found that consumers had single or multi-brand loyalty based on the nature of product, like necessities or luxuries. Brand choice and store loyalty were found to affect the brand loyalty of the consumer. The factors that influence and strengthen loyalty to brand were quality of product, habit of use and ready and regular availability.

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Sabeson (1992) in his study stated that, high quality, price and taste of the products were the major criteria based on which the consumers selected a brand of processed fruits and vegetable products. Ashalatha (1998) studied the factors influencing the performance of BAMUL milk for a sample of 100 respondents. The study revealed that the factors such as door delivery, clean packing, quality, hygienic preparation, time saving and reliability, good value for money, freshness and desired flavour were important in the order in influencing the decision of buyers for BAMUL milk. The study undertaken by Sheeja (1998) in Coimbatore district considered the quality aspects like aroma, taste, freshness and purity as the major factors deciding the preference for a particular brand of processed spices. Raj Reddy and Pruthviraju (1999) studied about buying motives of rural consumers about seeds and different sources of information about brands with regard to seeds. It was found that factors influencing brand loyalty of farmers were dealers suggestions, quality product and co -farmers. The problems faced by farmers were supply of seed or poor quality seed, higher price, dulteration and irregular supply of seeds. Gaur and Waheed (2002) conducted a study on buying behaviour for branded fine rice in Chennai and Coimbatore city. The study indicated that retailers were ranked as the prime source of information and the family members as the next important source of information about the branded fine rice. Rice mandy formed the major source of purchase for Chennai (73.00%) and Coimbatore (70.00%) households. Quality and image of the brand were ranked as first and second factors influencing brand preference in both Chennai and Coimbatore cities. Sanjaya et al. (2002) reported that, the decision for purchasing branded fine rice was mostly made by the wives of the family. The retailers were ranked as the prime sources of information about branded fine rice. The monthly purchase was the most preferred frequency of purchase, which might be due to the fact that most of the respondents were of monthly salaried class and they would have planned their purchase accordingly along with other provision items. The quality and the image of the brand were ranked as the major factors for brand preference in the purchase of branded fine rice.
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ALTERNATIVE PURCHASE PLANS: Rajarashmi and Sudarsana (2004) revealed that, almost all sample respondents preferred branded products and if their favorite brand is not available in the retail shop, they will go for another store and purchase their favorite brand. If it is not available in the market, the respondents were ready to postpone their purchase decision. Anandan et al. (2007) studied that, majority of the respondents (54.00%) will buy another brand if preferred brand is not available, 18.00 per cent of the respondents will go to the nearby town for buying the preferred brand. Fifteen per cent of the respondents will postpone their purchase decision. It was revealed from the study that customers cannot postpone the decision of buying the detergents, as it was one of the essential commodities. About FMCG: Fast-moving consumer goods (FMCG) or consumer packaged goods (CPG) are products that are sold quickly and at relatively low cost. Examples include non-durable goods such as soft drinks, toiletries, and grocery items. Though the absolute profit made on FMCG products is relatively small, they are generally sold in large quantities, and so the cumulative profit on such products can be substantial. Fast-moving consumer electronics are a type of FMCG and are typically low priced generic or easily substitutable consumer electronics, including lower end mobile phones, MP3 players, game players, and digital cameras, which have a short usage life, typically a year or less, and as such are disposable. Cheap FMCG electronics are often retained even after immediate failure, as the purchaser rationalizes the decision to not return the goods on the basis that the goods were cheap to begin with, and that the cost of return relative to the low cost of purchase is high. Thus lowquality electronic FMCG goods can be highly profitable for the vendors. Scope: The term FMCGs refers to those retail goods that are generally replaced or fully used up over a short period of days, weeks, or months, and within one year. This contrasts with durable goods or major appliances such as kitchen appliances, which are generally replaced over a period of several years. FMCG have a short shelf life, either as a result of high consumer demand or because the product deteriorates rapidly. Some FMCGssuch as meat, fruits and vegetables, dairy products, and
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baked goodsare highly perishable. Other goods such as alcohol, toiletries, pre-packaged foods, soft drinks, and cleaning products have high turnover rates. An excellent example is a newspaperevery day's newspaper carries different content, making one useless just one day later, necessitating a new purchase every day. The following are the main characteristics of FMCGs: From the consumers' perspective: Frequent purchase Low involvement (little or no effort to choose the item products with strong brand loyalty are exceptions to this rule) Low price From the marketers' angle: High volumes Low contribution margins Extensive distribution networks High stock turnover

FMCG Category: FMCG Product Categories There are mainly 4 product categories in FMCG: Home and Personal Care (Home Care and Personal Care) Foods and Beverages Cigarettes Alcohol

These categories can be divided in sub categories. 1a. Household Care: It can be divided into the following categories Fabric wash - Laundry soaps and Synthetic detergents Household cleaners - Dish/utensil cleaners, floor cleaners, Toilet cleaners, Air fresheners, Insecticides and Mosquito repellants, Metal polish and Furniture polish

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1b. Personal Care: It can be divided into the following categories Oral Care - Toothpaste Skin Care - Creams, Lotions, Gellies Hair Care - Hair Oil, Shampoos Personal Wash - Soaps Cosmetic & Toiletries Talcums Deodorants Perfumes Paper Products - (tissues, diapers, sanitary) Shoe care

2a. Foods Confectionary Staples/ Cereals Bakery products - Biscuits, bread, cakes Snack food Chocolates Ice cream Processed fruits Vegetables Meat Dairy products Branded flour, rice, sugar

2b. Beverages Tea Coffee Juices Bottled water Health beverages Soft drinks

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FMCG Terminology: Primary Sales: These are sales from the company to the distributor Secondary Sales: These are sales from the distributor to the retailer. Usually, targets are always based on secondary sales Off takes: These are sales from the retailer to the customer. While off takes are not tracked by the company, trends of off takes are tracked by Nielsen, which is a market research agency. Nielsen provides cumulative data of off takes to brand managers in terms of market share. The accuracy of this is debatable as Nielsen takes only a subset of the number of traditional trade stores (which is then extrapolated) and does not track some modern trade chains however due to lack of options, companies use this share data to figure out if their brand is doing well or not. For high value goods such as make up and durables, companies track their own counter wise off takes. Trade Schemes: These are schemes that are given out in the market to boost sales from time to time. Trade Schemes are designed for the trade i.e. Retailers/Whole-Salers and the distributor is supposed to comply with them and extend it to the trade and the companys sales force are expected to utilize it in the right spirit and ensure market hygiene. These can be in terms of discounts on the bill (hence translating to higher margins) or in terms of goods that may be enticing for the retailer/distributor. An example of this would be a free air conditioner on purchase of a particular value of goods, or a free holiday package on achieving the target that is given. Trade schemes are of two types: Quantity Purchase Schemes (QPS): These typically look like this: 144 pieces 8% discount 72 pieces 6% discount 48 pieces 4% discount 24 pieces 2% discount Basically these are discounts offered on purchasing a particular quantity of products

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Value Purchase Schemes (VPS): These would look like this: Purchase of 10,000 8% discount Purchase of 8,000 6% discount Purchase of 6,000 4% discount Purchase of 4,000 2% discount These are discounts offered on purchasing products of a predefined value. Trade schemes are further divided into two types depending on who they are offered to: Primary Schemes: These are those that are deducted while the invoicing is done to the distributor from the companys end. This may be done to give the distributor an additional margin. Secondary Schemes: These are those which the distributor is supposed to first extend to the market and then claims it back from the company. Beat: This is the route that a salesman follows on a particular day. For example, his beat on Monday will be Area X, and his beat on Tuesday will be area Y. This is usually optimized to ensure optimum coverage of all the stores in a sales territory such that the salesman visits each store once in a fixed interval. To elaborate, a companys norm might be that a store has to be visited once a week. In that case, the beat is decided such that the entire sales territory is covered in a week. Food Preservation: Since his being on earth million years ago, man practiced food preservation to fulfill his needs during the times of scarcity and droughts .The process of grain storage in mentioned in the Holy Quran in Surat Yusuf ((Joseph) said: For seven years shall ye diligently sow as is your wont: and the harvests that ye reap, ye shall leave them in the ear,- except a little, of which ye shall eat.(47) Then will come after that (period) seven dreadful (years), which will devour what ye shall have laid by in advance for them,- (all) except a little which ye shall have (specially) (48). Drying and burying were among the most important methods of food preservation. Sciences related to food preservation were developed with the continuous need for long-time storage of food. Food preservation is defined as the process of addressing and dealing with food in a way that maintains its taste and preserves its nutritive value as long as possible via stopping or slowing spoilage with the aim of preventing foodborne Illnesses. The process of food
26

preservation include inhibiting the growth of bacteria, fungi and other microorganisms besides slowing down the process of oxidation of fats, which causes food Rancidity. The most common food preservation methods include drying , freezing , vacuum-packing, canning , Preserving in syrup, sugar crystallization, salting, irradiation, the addition of preservatives and inert gases . Freezing: Freezing is the most common method of preservation. Besides minimizing the spoilage of the food, the crystals resulting from freezing of the water content of the food prohibits the growth of more than 99% of the spoilage bacteria and retards most of the enzymatic reactions that take place in food. The shelf life of the frozen food can be more than 12 month if frozen and stored in -18 C (0 Fahrenheit). Thawing: Upon removal of frozen food items from the freezer bacteria start multiplying within the dangerous zone (40 140 F (therefore the defrosting process should be looked at as a race between the consumer and the bacteria with the aim of completing the defrosting process in way that maintains the taste and nutritive value of the food before the bacteria exceeds the permitted concentrations. Bacteria win this race if food is kept more than 2 hours within the dangerous zone. Thawing Methods: The most common thawing methods of frozen food include: Refrigerator Method Cold Water Method. Method Microwave. Cook it frozen method. Metal pan method Room temperature method Warm water method

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Objectives
o o o To know the buying behavior of customer while purchasing frozen food product. To know what factor influences the consumer behavior on McCain frozen food product To know customer preference of buying McCain as frozen food product

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RESEARCH METHODOLOGY
Research is the systematic investigation to establish facts or collect information on a pre-decided subject. Research is a process of collecting, analyzing and interpreting information to answer questions. Research comprises defining and redefining problems, formulating hypothesis or suggested solutions; collecting, organizing and evaluating data; making deduction and reaching conclusions; and at last carefully testing the conclusions to determine whether they fit the formulating hypothesis Clifford Wood.

RESEARCH PROCESS It consists of a series of action necessary to carry out research and the desired sequence of these stepso Defining the problem and research objectives o Develop the research plan o Collect the information o Analyze the information o Present the findings o Make the decision

RESEARCH DESIGN A research design is the arrangement of conditions for collection and analysis of data in a manner that aims to combine relevance to the research purpose with economy in procedure. Descriptive research is used in the preparation of the project. Some point and facts were not found earlier hence exploratory research is used. A descriptive research technique is also used as researcher again worked upon those facts that were earlier found by some other.

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METHODS OF RESEARCH Exploratory Study: Exploratory study is done by conducting: Secondary data analysis which included studying the website of the company and also going through the various articles published in different sources books, internet. Also going through their sales promotion activity and study the drawbacks. Descriptive Study: After carrying out initial exploratory studies, in order to bring clarity on the subject under study. Descriptive study carries out to know the caterers preferences and buying behaviour of McCain frozen food products. Explanatory Study: This is casual research. This kind of research explains the causes of social and economical phenomena/events. Describing or exploring the nature of the phenomena and explaining the causes for the same are the explanatory aspect of this kind of research. The method of Research used in this project is the DESCRIPTIVE method of Research.

Collection of Data
1. PRIMARY DATA:a) Mass Interview:- A mass interview was conducted with the various caterers in Pune region and his aim was to collect a viewpoint of the crowd about the frozen food products. b) Then we had our questionnaire made based on which we prepared our analysis we asked around 1 and a half dozen of questions approximately to gather some useful data in accordance with our project 2. SECONDARY DATA:- I had an interpretation and collection from the previously done research papers and the literatures written about the company of our concern, we also had some data. The major sources of secondary data are mentioned below.

site

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SAMPLE DESIGN
A sample design is the theoretical bases and the practical means by which we infer the characteristics of some population by generalizing from the characteristic of relatively few of the units comprising the population. Research Instrument : questionnaire Sampling Universe :All caterers as customers in Pune Sample Area: Different areas of Pune region. Sampling Method: Non probability sampling (Convenience sampling) is used because of Restriction of time. Sample Size: 110 Sample Unit: various caterers
Sample Frame: Different caterers of Pune region (like Wakad, Aundh, Baner, Swargate,

Vimannagar, Sadashiv Peth, Kalyaninagar, etc.)

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Q1. Do you buy frozen food products? Table no. 6.1: Purchase behaviour of frozen food products Serial No. Particular No. of Respondents % Yes 104 95 01 No 6 5 02 Total 110 100 Fig.6.1: Purchase behaviour of frozen food products 6, 5%

YES
NO

104, 95%

INTERPRETATION According to above figure most of the respondents (95%) purchase frozen food product and only few respondents (5%) do not purchase.

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Q2. Which frozen food product brand do you prefer? Table no. 6.2: Preference of brand Particular No. of Respondents McCain 43 Sumeru 19 Al Kabeer 7 Go Veg 15 Any Other 20 Total 104

Serial No. 01 02 03 04 05

% 41 18 7 15 19 100

50 45 40 35 30 25 20 15 10 5 0 McCain Sumeru Al Kabeer Go Veg Any Other 7% 18% 15% 19% 41%

Fig 6.2: Preference of brand Interpretation According to above figure it was observed that out of 104 respondents 41% respondents prefer McCain brand as a frozen food product 18% prefer sumeru, 7% prefer alkabeer, 15% prefer go veg and 19% prefer any other brand of frozen food product.

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Q3. Which McCain product do you buy? Table no 6.3: Buying behaviour Serial No. 01 02 03 04 Particular French Fries Rosti Round Savory Wedges Idli Total No. of Respondents 56 17 10 21 104 % 54 16 10 20 100

60 50 40 30

54%

20% 20 10 0 french fries ROSTI ROUND SAVORY WEDGES IDLI 16% 10%

Fig 6.3: Buying behaviour Interpretation According to above figure it was observed that out of 104 respondents 54% of respondents buy French fries 16% of respondents buy rosti round 10% of respondents buy savory wedges and 20% of respondents buy idli as a McCain frozen food product.

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Q4. Which categories of frozen food product do you buy?

Serial No. 01 02 03

Table no. 6.4: Buying preference Particular No. of Respondents Vegetarian 65 Non Veg 16 Both 23 Total 104

% 63 15 22 100

22% VEGETERIAN NON-VEG 15% BOTH 63%

Fig 6.4: Buying preference Interpretation According to above figure It was observed that out of 104 respondents 63% of customer purchase vegeterian frozen food product 15% purchase non-veg category and 22% purchase both veg and non-veg categories.

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Q5. How do you prefer your frozen food product after cooking? Table no.6.5: Preference of consumer Particular No. of Respondents Hot 75 Moderate 29 Total 104

Serial No. 01 02

% 72 28 100

Fig 6.5: Preference of consumer

28% Hot Moderate

72%

Interpretation According to above figure it was observed that out of 104 respondents 72% respondents hot food and 28% respondents prefer moderate food after cooking frozen food. prefer

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Q6. How do you find the taste of McCain frozen food product? Table no. 6.6: Taste of consumer Particular No. of Respondents Good 19 Best 26 Better 35 Satisfactory 24 Total 104

Serial No. 01 02 03 04

% 18 25 34 23 100

40 34% 35 30 25 20 15 10 5 0 GOOD BEST BETTER SATISFACTORY 18% 25%

23%

Weighted Average = (1*19+2*24+3*26+4*35) / 104= 2.61

Interpretation According to above figure It was observed that out of 104 respondents , 19% of respondents observe that taste was good, 26% of respondents taste was of best quality, 35% of respondents observe taste was of better quality and 24% of respondents was of satisfactory quality.

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Q7. From where do you purchase your frozen food product? Table no. 6.7: Purchasing of product Particular No. of Respondents Retailer 22 Wholesaler 18 Distributor 47 Other 17 Total 104

Serial No. 01 02 03 04

% 21 17 45 17 100

17%

21% Retailer whole saler Distributor 17% Other

45%

Fig 6.7: Purchasing of product Interpretation According to above figure it was observed that out of 104 respondents 21% of respondents purchase frozen food from retailers, 17% from wholesalers, 45% from distributors and 17% from others.

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Q8. Which brand gives you more margins? Table no. 6.8: Brand preference Particular No. of Respondents McCain 42 Godrej 28 Sumeru 12 Al Kabeer 11 Himalayan 11 Total 104

Serial No. 01 02 03 04 05

% 38 27 12 12 11 100

45 40 35 30 25 20 15 10 5 0

40%

27%

11%

11%

11%

McCain

Godrej yummiez

Sumeru

Al Kabeer

Himalayan Veg

Fig.no 6.8: Brand preference Interpretation According to above figure It was observed that out of 104 sample size 40% respondents observe McCain gives the highest margin among all the companies of frozen food, 27% observe Godrej yummiez give, 11% observe Sumeru and alkabeer gives and 11% says Himalayan veg gives.

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Q9. What is the availability of product? Table no.6.9: Availability of product Particular No. of Respondents Regular 41 Irregular 38 Not Available 25 Total 104

Serial No. 01 02 03

% 39 37 24 100

24% 39% Regular Irregular Not available at all

37%

Fig 6.9: Availability of product Interpretation According to above figure It was observed that out of 104 sample size 39% respondents says the availability of product is on regular basis,37% respondents says sometimes it is irregular and 24% respondents says not available at all.

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Q10. How do you come to know about the product? Table no.6.10: Awareness of product Particular No. of Respondents Television 59 Newspaper 17 Magazine 6 Family & Friends 3 Display 9 Any Other 10 Total 104

Serial No. 01 02 03 04 05 06

% 57 16 06 03 09 09 100

70 60 50 40 30 20 10 0 TV Newspaper Magazine Family & friends Display at retail outlets Any other 16% 6% 3% 9% 9% 57%

Fig 6.10: Awareness of product Interpretation According to above figure It was observed that out of 110 sample size 55% respondents says the awareness of McCain frozen product is due to television advertisement, 17% respondents says due to newspaper, 6% says due to magazine, 3%says due to family and friends 10%says due to various displays at retail outlets and 9% says it is from another sources.

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Q11. How do you find the advertisement of the company for promotion of product? Table no .6.11: Behaviour towards the advertisement Serial No. Particular No. of Respondents Good 18 01 Better 40 02 Best 39 03 Satisfactory 7 04 Total 104

% 17 38 38 7 100

45 40 35 30 25 20 15 10 5 0 Good 17%

38%

38%

7%

Better

Best

Satisfactory

Weighted Average = (1*7+2*18+3*39+4*40) /104 = 3.077

Interpretation According to above figure It was observed that out of 104 respondents, 17%of respondents observe that advertisement was good for promotion of product, 38% of respondents observe that advertisement was better for promotion of product, 38% of respondents observe that advertisement was best for promotion and 7% of respondents observe that advertisement was satisfactory for promotion.
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Q12. Are you influenced by advertisement? Table no.6.12: Awareness of product Particular No. of Respondents Yes 70 No 34 Total 104

Serial No. 01 02

% 67 33 100

Fig.12.Awareness of product

33% Yes No

67%

Interpretation According to above figure it was observed that out of 104 sample size 67% respondents says they are influenced by the advertisement and 33% respondents they are not convinced by advertisement.

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Q13. What is the general quantity that you take in a frozen food product? Table no.6.13: Purchase quantity Particular No. of Respondents 2.5 kg 18 1 kg 10 1.5 kg 62 Any Other 14 Total 104

Serial No. 01 02 03 04

% 17 10 60 13 100

13%

17%

2.5 kg 1 kg 10% 1.5 kg any other

60%

Fig.6.13: Purchase quantity Interpretation According to above figure it was observed that out of 104 respondents 17% of take 2.5 kg case pack, 10% take 1 kg case pack, 60% take 1.5 kg case pack and 13 % take any other packet.

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Q14. What improvement do you want? Table no. 6.14: Changes for product Particular No. of Respondents Less Price 17 Packing 19 Taste 51 None 17 Total 104

Serial No. 01 02 03 04

% 17 18 49 16 100

Fig 6.14:Changes for product

16%

17% Less Price Packaging 18% Change in taste None

49%

Interpretation According to above figure It was observed that out of 104 sample size 49% respondents observe that there should be some change in taste of McCain frozen food,18% respondents observe that the packaging should be change, 17% respondents observe that there should be reduction in price, and 16% respondents observe that there should be no change.

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Q15. Are you satisfied with McCain food product? Table no. 6.15: Customer satisfaction Particular No. of Respondents Yes 74 No 30 Total 104

Serial No. 01 02

% 71 29 100

Fig.6.15: Customer satisfaction

29% Yes No 71%

Interpretation According to above figure it was observed that out of 104 sample size 71% respondents observe that they are satisfied with McCain frozen food product, 29% respondents observe that they are not satisfied.

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Q16. Which Brand do you think is the Competitor of the McCain food products? Table no.6.16: Competitors of product Particular No. of Respondents Alkabeer 27 Godrej 16 Sumeru 49 Himalayan Veg 12 Total 104

Serial No. 01 02 03 04

% 26 15 47 12 100

60 50 40 30 20 10 0 Al Kabeer Godrej Sumeru Himalaya 26% 15% 12% 47%

Fig.6.16: Competitors of Product Interpretation According to above figure It was observed that out of 104 sample size 47% respondents observe Sumeru is the biggest competitor of McCain, 26% respondents observe it was Alkabeer, 15% respondents observe it was Godrej and 12% respondents observe it was Himalayan veg.

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FINDINGS
A survey of 110 customers as caterers was conducted to find customer preference and buying behaviour of frozen food product.

For caterers
Nearly 95% of customer buys frozen food products. Nearly 41% of customer prefer McCain as a frozen food product followed by 18% who prefer other brand of frozen food product. It was observed that customer purchased nearly 54% of French fries of all McCain frozen products as compared to other product such as idli at 20%. It was observed that nearly 63% of customer prefer vegetarian category of frozen food product followed by 22% who prefer both the category vegetarian and non-vegetarian. It was observed that 72% of customer prefer hot frozen food and followed by 28% who prefer frozen food at moderate temperature. It was observed that on a scale of 4 from lower to higher with the help of weighted average the value comes 2.61, so the taste of McCain frozen food is of best quality. It was observed that 45% of caterers as customer purchased frozen food from

distributors followed by 21% who purchased from retailers. It was observed that 40% of customer prefers McCain, due to good price margin than any other frozen food brand. 39% of customer observed that regularity of product is on regular basis. It was observed that 57% of customer is aware of frozen food product due to advertisement on television. It was observed that on a standard scale of four from lower to higher with the help of weighted average the value comes 3.07, so the advertisement of company is best for the production of product.

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It was observed that 67% of customer were influenced by advertisement of the company. It was observed that 60% of customer prefer taking 1.5 kg packets among all other package of McCain frozen food product. It was observed that 49 % of customer wants improvement in some products of McCain frozen foods. It was observed that 71% of customers were satisfied with McCain food product. Among all the good brands of frozen food product 47% of customer observe that Sumeru is the biggest competitor of McCain food product

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Conclusion
The buying behaviour of customers while purchasing frozen product shows that 72% of customers purchased 1.5 kg case pack, and 45% of customers purchase the frozen food from distributors it tells about where and when they purchased frozen food product.

As 57% of customer observed that advertisement helps in the promotion of product through television and 49% of customer wants some change in taste ,so all these factors affect consumer behaviour on frozen food product.

The customer preference of buying frozen food product shows that 63% of customers purchased vegetarian category and 41% of customer prefer McCain brand and 72% of customer prefer extremely hot food after cooking.

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Limitation of the Project

Due to the way the caterers operate in India much of information was only collected on approximations. Many caterers didnt volunteer for the survey. Interest of the respondents was generally low during the interaction about the survey. The survey was restricted to only Pune region caterers.

The survey was too lengthy and so took a lot of time of the caterers and some of them left answering in the middle. The survey was conducted in 45days due to time restriction.

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RECOMMENDATION
McCain has all their products in vegetarian segment there are few customer who prefer Nonvegetarian segment, so the company should enter non-vegetarian segment in nuggets and jalapeno product. Company should take proper follow up of caterers so that regularity of product should be maintained. Company should focus on taste of some products because customer is mainly influenced by taste. For example Mozzarella cheese shot is the product which is not suitable for Indian plate so needs to change its taste. Majority of the caterers as customers purchased food from distributors so there should be more awareness at retailers level.

Observation During informal discussion As young generations are potential customer due to disposal income so company should focus on them. McCain has to maintain the top position for that they have to increase their performance in Pune through various brand awareness strategies. McCain should supply the product regularly in time to various caterers so that loyalty and trust of caterers should be maintained. .

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APPENDIX-I
BIBLIOGRAPHY

Kotler, Philip, and Keller Kevin Lane. Marketing Management. Pearson Education, Inc., 2006

Pride, William M., and Ferrell O. C. Marketing: Concepts and Strategies. 12th ed. Houghton Mifflin Co., USA, 2005

Ramaswamy, V. S., and Namakumari S. Marketing Management: implementation and Control. 3rd ed. Macmillan India Ltd., 2002

Planning,

Kotler, Philip, and Armstrong Gary. Principles of Marketing. 11th ed. Pearson Prentice Hall, 2006. Tata McGraw hill ,Marketing Research 3rd edition by Dr. Rajendra Nargundkar.

Websites: WWW. McCain India. Com For company profile. www.inc.co.in - Used for Industry overview and theoretical background.

53

JOURNALS BY : Clark and Goldsmith (2006) Kauffman (1996) Peter and Donnelly (2002) Zhang and Neelankavil (1997) Sheth and Parvatiyar (1995) Jobber and Fahy (2010

CONSUMER BEHAVIOUR TOWARDS READY-TO-EAT FOOD PRODUCTS Thesis submitted to the University of Agricultural Sciences, Dharwad By RENUKA HIREKENCHANAGOUDAR

54

APPENDIX-II QUESTIONNAIRE

Demographic Details NAME(Optional)-________________________________________________

AGE-

15-20

21-30

31-45

46 & above

INCOME Less than 20,000 20001 - 35000 35001 - 50000 50001 100000 100000 & above GENDER

OCCUPATION- ________________________________________________

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Questionnaire
1. Do you buy any frozen food product? a. ( ) Yes b. ( ) No

2. Which frozen food product brand do you prefer? a. ( ) McCain d. ( ) Go veg b. ( ) Sumeru e. ( ) Any other c. ( ) Al kabeer

3. Which McCain product do you buy? a. ( ) French fries b. ( ) Rosti round c. ( ) Savory wedges. D. ( ) Idli

4. Which categories of frozen food product do you buy? ( ) a. vegetarian ( ) Non- vegetarian ( ) c. both

5. How do you prefer your frozen food product after cooking? a. ( ) Hot b. ( ) Moderate

6. How do you find the taste? a .( ) Good c .( ) Better b. ( ) Best d. ( ) Satisfactory

7. From where do you purchase your frozen food product? a. ( ) Retailer b. ( ) Wholesaler

c. ( ) Distributor d. ( ) Others
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8. Which brand gives you more margins? A. McCain B. Godrej yummiez C. Sumeru D. Al Kabeer E. Himalayan Veg

9. What is the availability of product? a. ( ) Regular c. ( ) Not available at all b. ( ) Irregular

10. How do you come to know about the product? A. ( ) Television c. ( ) Magazine e. ( ) Display at retail outlet b. ( ) News Paper d. ( ) Family and Friends f. ( ) Any other

11. How do you find the advertisement of the company for promotion of product? a. ( ) Good c. ( ) Best b. ( ) Better d. ( ) Satisfactory

12. Are you influenced by advertisement? a. ( ) Yes b. ( ) No

13. What is the general quantity that you take in a frozen food product? a. ( ) 2.5 kg b. ( ) 1 kg c. ( ) 1.5kg d. ( ) any other
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14. What improvement do you want? a. ( ) Reduction in price c. ( ) Change in Taste b. ( ) Attractive Packing d. ( ) None

15. Are you satisfied with McCain food product? a. ( ) Yes b. ( ) No

16. Which Brand do you think is the Competitor of the McCain food products? A. Godrej yummiez B. Sumeru C. Al Kabeer D. Himalayan Veg

58