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THESISTHESIS
A Perspective on the Introduction of Coffee CreamA Perspective on the Introduction of Coffee Cream
byby
Café Coffee DayCafé Coffee Day
As a partial fulfillment of the requirement of the degree ofAs a partial fulfillment of the requirement of the degree of
MM A S T E RA S T E R O FO F BB U S I N E S SU S I N E S S AA D M I N I S T R A T I O ND M I N I S T R A T I O N
SubmittedSubmitted
ToTo
THE INDIAN INSTITUTE OF PLANNING ANDTHE INDIAN INSTITUTE OF PLANNING AND
MANAGEMENT, NEW DELHIMANAGEMENT, NEW DELHI
Submitted to: External Guide:
Prof. Sumanta Sharma Maaz Ahmed Khan
Associate Dean Café Coffee Day
IIPM, New Delhi
Submitted by:
SACHIN KHERA
Batch: PGP/SS/2006-08
Alumni ID: DS68-M310
IIPM, New Delhi
IIPM, New Delhi 1
CERTIFICATE OF ORGINALITY
This is to certify that the thesis titled “A Perspective on the Introduction of
Coffee Cream by Café Coffee Day” is prepared and submitted by me to Indian
Institute of Planning & Management, New Delhi in partial fulfillment for the award
of the Master Degree in Business Administration, and this report has not been
submitted elsewhere.
Date: 11- February- 2009
Batch: PGP/SS/2006-08
Alumni ID: DS68-M310
IIPM, New Delhi
IIPM, New Delhi 2
CERTIFICATE FROM GUIDE
IIPM, New Delhi 3
TOPIC APPROVAL MAIL
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ACKNOWLEDGEMENT
Every student’s project owns debt to their predecessors to their teachers, friends
and their parents. I gratefully acknowledge my deep indebtedness to all of these.
The present work is an effort to throw some light on “A Perspective on the
Introduction of Coffee Cream by Café Coffee Day”. The work would not have
been possible to come to the present shape without the able guidance,
supervision and help to me by number of people.
With deep sense of gratitude I acknowledged the encouragement and guidance
received by Prof. Sumanta Sharma, Associate Dean - IIPM, New Delhi. I also
convey my heartfelt affection to Mr. Maaz Ahmed Khan who helped and
supported me during the course, for completion of my thesis.
I am also thankful to all of my friends and all the staff of Café Coffee Day, who
helped me a lot directly or indirectly.
SACHIN KHERA
Batch: PGP/SS/2006-08
Alumni ID: DS68-M310
IIPM, New Delhi
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THESIS SYNOPSIS
Personal Details:
Name: Sachin Khera
Batch: SS 2006-08
Section: FN 9
Specialization: Finance and Marketing
Phone No: +91-9971100621 (Temporary not working)
E Mail ID: Sachin.khera@wipro.com , sachinkhera15@gmail.com
Desired Area of Research:
MARKETING
Title of the Research:
A Perspective on the Introduction of Coffee Cream by Café Coffee Day
Research Objective:
For any company existing in the market and leader in the particular
segment it is easy to enter in to the other product segment provided. It should
know the basics about that particular segment provided it should know the basics
about that particular segment.
Café Coffee Day believes in innovation and excitement, and is passionate
about coffee. Company wants to spread the coffee habit amongst every one. To
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do this, from time to time they bring out special coffee powder merchandise. But
as we know many people do not wish to use of filter and wait even for 5 minutes
for their coffee at home. They either choose tea or boiled instant coffee, which
provides lesser taste and aroma.
For any company existing in the market and leader in the particular
segment it is easy to enter in to the other product segment provided. It should
know the basics about that particular segment provided it should know the basics
about that particular segment.
Café Coffee Day believes in innovation and excitement, and is passionate
about coffee. Company wants to spread the coffee habit amongst every one. To
do this, from time to time they bring out special coffee powder merchandise. Now
they have the perfect solution for such customers in the form of merchandise
liquid Coffee Crème. But because this is such an innovative product they want
people to taste it before they buy it so they will be doing a massive free sampling
exercise.
The Coffee Crème sample pack is mixture of 90% coffee with 10% chicory
with permitted preservatives added which is in liquid form packed in individual
bottles of net wt-60 ml; which can made 3 cup of great cup of coffee in no time at
all and which can be used to make hot as well as cold coffee.
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OBJECTIVES OF THE STUDY
• To know from people time taken for preparation of coffee crème.
• To know from where people like to buy the product.
• To know the taste of the particular product.
• Pricing of the Coffee Cream
• To find out the new marketing strategy is correct or not.
INTRODUCTION TO THE AREA OF RESEARCH
The market is a center around which marketing activity revolve. Market, in
general, may be described as a place where goods and service are offered for
sale, buyers and seller meet and the title of goods is transferred. In olden days,
buying and selling of goods done by coming together in periodical fares held at
specific places and on specific dates.
Peter Drucker, a leading management theorist, puts it this way, “there will
always, one can assume, be need for some selling. But the aim of marketing is to
make selling superfluous. The aim of marketing is to know an understand the
customer so well that the product or service fits him and sells itself. Ideally
marketing should result in a customer who is ready to buy. All that should be
needed then is to make the product or service available”.
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The instants coffees are increasing day by day accompanied by the
demand for the same. Café Coffee Day in order to cater the demand of these
segments of the market has a proposal to enter into this new segment.
This study aims at market research on the Coffee Cream Liquid of Café
Coffee Day. The outcomes of this dissertation are that the company will get the
relevant information about the market. On the basis of this information the
company will launch the new product Coffee Cream in the Coffee market.
To launching the new product, the company should know about the
customers’ perception, like pricing, quality, and interest of buying the new
product. The company will gat to know about these thing only when the customer
used the product and gives the opinion about the new product.
Scope of the Research
With the help of this research the vision of researcher is to redefine the
coffee drinking taste and make it more convenient for their customers to make
coffees at their home or office. While determining the scope of study, the
researcher was looking for a comprehensive dimension. So Café coffee has
been chosen for the study.
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RESEARCH METHODOLOGY
Methodology refers to first an approach towards inquiry and later involves
in to particular methods or techniques. It is systematic method of discovering new
facts or verifying old facts, their sequences in the relationship, casual explanation
and the natural laws, which govern them. To achieve the defined objectives it
outlines the approach for conduct of the whole research work describe the scope,
research design, research instruments, respondents’ characteristics, sample
planning and data collection methods, hypothesis formulation, data analysis tools
and techniques, and period of study.
RESEARCH DESIGN
Due to the objectives of the research the research is more qualitative and
exploratory in nature. In order to have more comprehensive definition and to
become more familiar with the problem
An extensive literature survey will be conducted to collect secondary data
for the location of different variable, probable contemporary issues and clarity of
concepts.
For identification of key issues out of possible variables related to the
various dimensions of research descriptive research design has also been opted
for.
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RESEARCH INSTRUMENT
For the collection of primary data for exploratory research unstructured
questionnaire will be used based on issues identified from literature review. For
descriptive research structured questionnaire will be used to determine the
consumer value criteria. It will be the combination of open and close-ended
questions. Close-ended questions include the semantic differential scale of 1 to
5, 1 being not important and 5 being very important. The semantic differential is a
five-point scale with end points associated with bipolar labels.
DATA COLLECTION
Primary data will be collected from the company officials and their customers by
administering questionnaires and conducting interviews.
Secondary data will be collected through The Bureau of Census and articles from
websites.
Justification for choosing a particular research proposal
Based on my qualification and interest in the Marketing Sector I have
chosen this topic as my research.
Details of the external Guide
Name : Maaz Ahmed Khan
Qualification : MBA (HR)
Designation : Executive, Café Coffee Day
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THESIS APPROVAL LETTER
Dear Sachin,
This is to inform that the thesis topic “A perspective on the introduction of
Coffee Cream by Café Coffee Day”, as proposed by you, has been approved.
This email is an official confirmation that you would be doing your thesis work
under the guidance of Mr. Maaz Ahmed Khan. Make it a comprehensive thesis;
the objective of a thesis should be value addition to the existing knowledge base.
Please ensure that the objectives as stated by you in your synopsis are met
using the appropriate research design.
You must always use the thesis title as approved and registered with us.
Your Alumni ID Number is DS68-M310
You are required to correspond with us by sending at least six response sheets
to Thesis.ss68@iipm.edu (format attached along with this mail) at regular
intervals, before 31st
May 2008 (the last date for thesis submission).
Regards,
Sumanta Sharma
Dean (Projects)
The Indian Institute of Planning and Management
New Delhi
Sumanta.sharma@iipm.edu
Phone: 0124 - 4505402 / 29
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TABLE OF CONTENT
Chapter – 1 INTRODUCTION
 COFFEE HISTORY
Chapter – 2 PROFILE OF ORGANIZATION
 Company Background
 Café Formats
 Logo of Café Coffee Day
 Business Associations
 Customer Profile
 Product Profile
Chapter – 3 EXECUTIVE SUMMARIES
Chapter – 4 DESIGN OF STUDY
 Review of Literature
Chapter – 5 RESEARCH METHODOLOGY
Chapter – 6 ANALYSIS & INTERPRETATION OF DATA
Chapter – 7 SUMMARY OF FINDINGS
Chapter – 8 RECOMMENDATIONS / SUGGESTIONS &
CONCLUSIONS
Chapter – 9 ANNEXURE
 Bibliography
 Questionnaire
 Response Sheets
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TABLE NO. TITLE
1 Table showing the availability and response from
respondents.
2 Table showing the type of beverages that consumed
by the respondents.
3 Table showing the time taken to prepare Coffee
Cream.
4 Table showing the taste of Coffee Cream.
5 Table showing the price of Coffee Cream, suggested
by respondents.
6 Table showing interest of buying the Coffee Cream.
7 Table showing the decision of consumers towards
this research activity.
8 Table showing the purchasing the Coffee Cream
Bottle.
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GRAPH
NO.
TITLE
1 Telecalling data.
2 Type of beverages consumed by respondent.
3 Time taken to prepare Coffee Cream.
4 Taste of coffee cream.
5 Price of Coffee Cream suggested by respondents.
6 Interest of buying Coffee Cream.
7 Decision of consumers towards research activity.
8 Place of purchasing the product
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INTRODUCTION
The market is a center around which marketing activity revolve.
Market, in general, may be described as a place where goods and service are
offered for sale, buyers and seller meet and the title of goods is transferred. In
olden days, buying and selling of goods done by coming together in periodical
fares held at specific places and on specific dates. Sellers put their commodities
in these periodical fares for sales and buyers also used to go there to purchase
the commodities according to their needs. People having surplus goods used to
exchange them for the goods of their needs. The invention of money as medium
of exchange revolutionaries the market system. Thus, market is referred as the
place or geographical area where buyers and sellers assemble and exchange
goods.
The term market is derived from Latin word ‘mercatus’ meaning ‘to trade’.
i.e., purchasing and selling of goods.
So, what is marketing?
Marketing occupies the first place in all business activities. According to
modern marketing concept, marketing starts with the product idea and ends with
customer satisfaction. According to William Stanton, “Marketing is a total system
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of interacting business activity designed to plan, price, promote and distribute
want satisfying products and services to present and potential customer”.
Marketing is perhaps the most complex and challenging function performs
by every business firm. Marketing thinking starts well before production
commences and ends only after rendering after sale satisfaction. It is the set of
those activities necessary and incidental to bring about exchange relationships.
Peter Ducker, a leading management theorist, puts it this way, “there will
always, one can assume, be need for some selling. But the aim of marketing is to
make selling superfluous. The aim of marketing is to know and understand the
customer so well that the product or service fits him and sells itself. Ideally
marketing should result in a customer who is ready to buy. All that should be
needed then is to make the product or service available”.
The American marketing association offers the following definition,
“marketing is a process of planning and executing the conception, pricing,
promotion and distribution of ideas, goods, and services to create exchanges that
satisfy individual and organizational goals”.
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COFFEE HISTORY
Coffee discovered
The discovery of coffee has a very interesting story attached to it. A
long time ago in Arabia there live a goatherd named Khalid. One day his goats
did not return and he went looking for them. He found them frisking around acting
unnaturally gleeful around a plant which had shiny green leaves and red berries.
Khalid was curious and so he tried a couple of the berries himself. He felt
energized almost immediately.
A wise man from a local town near by was passing that way. He
was hungry, tired and very sleepy. He saw the happy goatherd and the coffee
plant. Because he was hungry he tried the berries. He became wide-awake and
was instantly ready to keep traveling.
He took some berries back to his town and boiled them to get a
bitter beverage, rich in strength, and capable of dispersing sleep and weariness.
This brew helped the people in his monastery to stay awake during prayer. It
then spread to other town and monasteries. The wise man became very rich. No
one knows what happened to Khalid.
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Coffee Reinvented
When Arabs discovered how to boil water, they made coffee initially
by boiling the green beans do not give up the coffee oils because the chemical
change caused by roasting has not taken place. Therefore, the taste is very
different. Records indicate the actual roasting and grinding of coffee goes back to
about 500AD.
In the case of coffee, the taste needs to be acquired. Coffee is
naturally bitter and one must learn to drink it. Anyway, coffee didn’t become
popular over a large area until the Ottoman Sultan in Istanbul outlawed it in 1543
because it started to gat more recognition than he wanted. Then coffee becomes
very fashionable!
How coffee came to India?
The Arabs in the 1600’s were very protective of their coffee bean.
They allowed export of coffee bean only after the beans were processed. Legend
has it that a man called Baba Budan bound seven coffee seeds to his belly and
smuggled them out of Arabia and into India. When he reached his home, he
found a cave in the hills near Chickmangalur in south India where he planted the
coffee seedlings. Later he planted coffee in the jungles near Chickmangalur.
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Today, offspring of these original coffee trees are officially known
as “Old Chick”. All of the coffee produced by Amalgamated Bean Company
Trading Ltd (ABC) is grown in Chickmangalur belt and comprises 15% of India’s
coffee export making ABC also India’s largest export of coffee. The coffee we
export is the coffee you are drinking right now!
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PROFILE OF THE ORGANIZATION
From bean to the cuppa that you enjoy!
Company Background
At Café Coffee Day, we take pride in our 130 year old coffee growing
heritage that began in the verdant soil of Chickmagalur where over 10,000 acres
of our coffee plantations lie. From the estates to the trendy cafes that CCD is
synonymous with, our dedicated team strives collectively towards providing all
our customers with a world class coffee experience at affordable prices. It has
indeed been an eventful journey led by Mr. V.G Siddhartha, Chairman CCD
when he initiated his business interests in coffee by incorporating ABCTCL in the
year 1994. From Exports to commodity trading and building a brand, Coffee Day
entered with ‘Fresh n Ground’ and subsequently went up the value chain thereby
revolutionizing the metropolis with Cafes under the brand Café Coffee Day Café
Coffee Day is a division of India's largest coffee conglomerate, Amalgamated
Bean Coffee Trading Company Ltd. (ABCTCL), popularly known as Coffee Day,
a Rs. 300 crore ISO 9002 certified company. Coffee Day sources coffee from
5000 acres of coffee estates, the 2nd largest in Asia, that is owned by a sister
concern and from 11,000 small growers. It is one of India’s leading coffee
exporters with clients across USA, Europe & Japan.
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With its roots in the golden soil of Chickmaglur, the home of some of the
best Indian Coffees and with the vision of a true entrepreneur nurturing it, Coffee
Day has its business spanning the entire value chain of coffee consumption in
India. Its different divisions include: Coffee Day Fresh n Ground (which owns 354
Coffee bean and powder retail outlets), Coffee Day Xpress (which owns 341
Coffee Day Kiosk), Coffee Day Take away (which owns 7000 Vending
Machines), Coffee Day Exports and Coffee Day Perfect (FMCG Packaged
Coffee) division.
Café Coffee Day (CCD) pioneered the café concept in India in 1996 by
opening its first café at Brigade Road in Bangalore. Till about the late 1990’s
coffee drinking in India was restricted to the intellectual, the South Indian
traditionalist and the five star coffee shop visitor. As the pure (as opposed to
instant coffee) coffee café culture in neighboring international markets grew, the
need for a relaxed and fun “hangout” for the emerging urban youth in the country
was clearly seen.
Recognizing the potential that lay ahead on the horizon, Café Coffee Day
embarked on a dynamic journey to become a large organized retail café chain
with a distinct brand identity of its own. From a handful of cafés in six cites in the
first 5 years, CCD has become India’s largest and premier retail chain of cafes
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with 590 cafes in 96 cities around the country and is projected to 900 cafes till
year 2009.
“Enthused by the success of offering a world-class coffee experience,
CCD has opened a Café in Vienna, Austria and is planning to open other Cafes
in the Middle East, Eastern Europe, Eurasia, Egypt and South East Asia in the
coming months.”
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Cafe Formats
Café Coffee Day has been experimenting with café formats for quite
sometime. Backed by the motivation of providing customers with exciting choices
as well as constantly redefining ‘the café experience’, CCD has ventured into the
following formats:
Music Cafés provide customers with the choice of playing their favorite
music tracks on the Digital Audio Jukeboxes installed at the café! There are
around 85 cafes with such jukeboxes. 32 cafes also provide customers with the
visual treat of watching their favorite music videos by means of Video Jukeboxes.
Book Cafés offer the perfect solution to people who think that the coffee
experience is incomplete without browsing through the bestsellers or reading a
classic. CCD’s book corners accentuate the age-old combination of ‘coffee and
books’. This exciting concept has been successfully tested at 15 cafes in 12
cities across India and the numbers are set to grow exponentially. CCD has tied
up with English Book Depot; one of India’s leading book distributors for
placement and rotation of reading materials appealing to Café Coffee Day’s
discerning customers.
Highway cafés on the Bangalore – Mysore highway and NH-8, presents
the traveler en route not only with good coffee and scrumptious snacks amidst
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great ambience but also with clean restrooms to get rid of that weariness from
the road!
Lounge cafés at Hauz Khas, Delhi and Southern Avenue, Kolkata
(Southern Avenue) and Hyderabad (Jubilee Hills) combines the style and luxury
of a lounge with the lively ambience and comfort of a café. With exquisite
interiors, exotic menu and thematic music CCD Lounge offers a whole new
experience to the connoisseur while assisting the latter through its team of
hostesses who are poise and style incarnate and are looked upon as fashion
icons.
Garden cafés at M.G Rd, Bangalore and GKII, New Delhi combine the joy
of rejuvenating amidst verdant landscapes and pots of coffee.
Cyber cafés at Brigade Rd, Bangalore, Airport, Bangalore and Airport,
Delhi combine the urge to surf, not to mention get connected through the internet
while enjoying perfectly brewed cups of coffees, both domestic as well as
International blends!
These are of course just milestones. Do watch out for sports café, singles
café, fashion café…………………….
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Logo of Café Coffee Day
For a brand to stand out and be successful there has to be a personal
commitment from staff at all levels. The target customers must identify with it. It
should be vibrant and have a “life” of its own. Liveliness, growth, fun and passion
depict our brand, our customers, our staff and our future – this is embodied in our
design and color.
Our LOGO colors embody
Red Square= Leadership, passion
White Swirl = Purity of purpose, invigorating properties of coffee
Green Stroke = 125 years of coffee growing heritage of this vertically integrated
Group
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BUSINESS ASSOCIATION
Associations
CCD has emerged as an interactive alternative media for brands to
communicate with the ‘young at heart’.
Other media, such as electronic, print and outdoor, offer brand
communication through visual and audio modes to a large section of the
populace, both relevant and irrelevant. Café Coffee Day offers a much more
interactive, targeted communication, sometimes adding even a taste dimension
to a brand idea!
Various in-café collaterals used to impart visibility to a brand inside a café
or to add the element of interactivity to a campaign are Posters, Tent Cards,
Danglers, Leaflets, Brochures, Coasters, Drop boxes, Contest Forms, Stirrers,
and Standees etc.
Over the years, CCD has successfully promoted a number of
brands/products/events through various innovative tactics and promo ideas.
Cashing in on its mass captive audience, we at CCD have entered into tie-ups
and promotions which are well knit with our brand promise and which can be
creatively used to woo the Indian Youth.
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PROMO ARCHIVE
The Levi's Campaign
The 6” Below the Naval Jeans campaign, the Sykes Reversible (Ulta Pulta)
campaign, the Levi’s 501 campaign, the TLTT (The Levi’s Torture Test), the
‘Hello Gorgeous’ campaign et all are some of the successful in café activations
designed and executed for Levi’s. Every season CCD becomes an important
media for Levi’s to launch its new range of apparels. Along with providing
tremendous on ground visibility in terms of wall visuals, tent cards, danglers,
posters etc., a contest (wherein customers could win Levi’s GVs) is designed to
inject customer interactivity and to add excitement to the entire campaign. The
cohesiveness of the entire campaign is accentuated by creating a new drink and
christening it as the Levi’s drink for the promo period!
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The LIRIL Campaign
Liril launched its new range of soap – Liril Orange nationally through CCD
by means of an innovative campaign designed for the same which included the
creation of 3 new drinks called Liril Coolers (the colors of the drinks matching the
new color range of Liril) along with heavy in-café branding by means of
collaterals e.g. Tent cards, Menu cards, Danglers, Posters, TV stickers, Badges
& Soap dispensers (in the rest rooms).
The TVS Scooty Valentine Campaign
The Valentine month in 2004 witnessed an innovative campaign for TVS
Scooty. CCD promoted TVS Scooty by means of a creative promotion which
besides adding visibility and customer interactivity also conveyed the brand
attitude to the end customer and helped them relate to the same. Through the
‘TVS Scooty Valentine Singles Campaign’, customers were asked to enter the
contest of why they would rather be single and make TVS Scooty their Valentine
that year. The slogans/answers served as a feedback forum for the brand
managers to analyze the brand connectivity of Scooty with its TG, not to mention
the collection of database of the potential buyers. To add to the festivities of the
Valentine month, CCD created 2 special combos called the TVS Valentine
Combos– Hot & Cold (2 ice blended Cold coffees/2 Café Mochas with a
Chocolate Fantasy). The contest was of course made attractive by the no. of
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freebies like Sony Discmans & MP3 players etc. which customers stood to win.
Not to mention the Mega prize of a 4 stroke TVS Scooty for 2 lucky winners!
The Sugar Free campaign
In order to promote Sugar Free, CCD launched a “Low calorie menu” in
association with the former for the calorie conscious. The new menu consisted of
a wide range of Low calorie Hot coffees, International coffees, Tea, Tropical
Iceberg & a range of veg. and non-veg. food as well as deserts like Lemon
Soufflé to name a few. This menu was communicated to the customer by means
of Sugar Free branded menu boards, menu cards etc. Also, a few bottles of
Sugar Free were displayed at the counter to serve as a pointer to the on-going
activity.
The Channel V- Get Gorgeous Hunt
ICCD was the exclusive on ground partner for the national hunt
for the most gorgeous female models by Channel V, wherein
candidates could drop their entry forms with portfolio at any
CCD outlet. The event was heavily promoted by CCD through in café branding and on
air by Channel V. CCD also launched a new range of ‘Get Gorgeous drinks’ as part of the
promotion. Innovative collaterals like branded stirrers etc. were used to add that extra
element of surprise. So much so was the success of the campaign that Channel V has
chosen CCD to be the on ground partner for ‘Get Gorgeous- Part II’.
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The Himalaya Honey Campaign
The Himalaya Drug Company had recently entered into a tie up with Café Coffee
Day to promote their honey. This honey was made available through over 100
Café Coffee Day outlets across 7 cities, in a 3-month promotion where Coffee
Day customers experienced the taste of pure of honey in innovative ways. Honey
Cappuccino, Honey milk shake, rich chocolate cake and ice cream topped with
honey and nuts! Four unique dishes were conceptualized by Café Coffee Day,
each enriched with the goodness of pure Himalaya Honey. These were an
instant hit with the customers. In addition to honey-based items, bottles of
Himalaya Forest Honey were also available in all Coffee Day outlets.
Movie Tie-Ups
CCD has become an important national on ground partner
for Production Houses to promote movies better among the
masses by means of colorful collaterals like – posters, tent
cards, danglers et al. Interactivity is ensured by conducting exciting contests
around the movie wherein customers with the correct answers stand to win
movie cassettes, CDs, movie tickets as prizes and also through a Lucky draw get
a chance to win a ‘Coffee date with their favorite movie stars’. Hence, the ‘touch
& feel’ experience to the movie.
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The ‘Mujhse Shaadi Karogi’ Promotion
The contest, starting July 10, 2004 ran across 168 cafes in 42 cities for a
month, where any customer billing a ‘Shagun’ amount of Rs 301 was guaranteed
to win at least one prize ranging from audiocassettes to movie tickets and a
chance to enter a lucky draw, which would win them a coffee date with Priyanka
Chopra. To heighten the excitement, CCD even created an ambience of ‘Shaadi
Season’ with cafe staff wearing heart shaped badges with ‘Mujhse Shaadi Karogi
Contest @ CCD’ pinned on their shirts. Creatively designed posters and tent
cards in the wedding card format were used as tools to encourage customers to
be a part of this contest.
Other Successful promotions have been conducted for movies like Ladder
49, The Village, Khakee, Mughal-e-Azam, Shabd etc.
Sports Tie-UP
Recently café coffee day has tied up with Chennai Superkings as there official
food sponsor in IPL T20 Matches.
BE A SANTA, and we give you lots of return gifts!!!!
CAFÉ COFFEE DAY for the festive season of Christmas and New Year brings a
chance to win prizes at the "BE A SANTA CONTEST".
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CUSTOMER PROFILE
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The café is a meeting place for 15-29 year olds, both male
and female who are served the best coffee by friendly and
informed staff, in an uplifting and invigorating ambience.
Research shows that teen-agers form 25% of our
customers while 38% of the customers are between 20 and 24years and another
23% belong to the age group of 25-29 years. Students and young professional
comprise around 72% of our customers.
18% of the customers visit the cafes daily while another 44% visit weekly.
Each café, depending upon its size attracts between 500 and 800 customers
daily, mainly between 4pm and 7 pm. Customers describe Café Coffee Day as
the place they frequent most after “home and workplace/college”. It is a place
where they meet friends and colleagues, in groups of 3 or more; a place where
they rejuvenate and are free to be themselves rather than a place to be “seen at”
vis a vis other cafes.
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PRODUCT PROFILE
PRODUCT PROFILE
HOT Coffee International Coffee Coffee on rocks
Ice Blended Coffee Cream Blended coffee Fruit Frappe
Hot Chocolate Tea Powder Coffee
Cool Drinks Creamosas Ice Creams
Cool Refreshers Sundaes Quick Bites
Merchandise Coffee Ad Ons
MERCHANDISE
Every one likes to cherish good times with a hope that they last forever. We
make this a reality, in the form of merchandise, specially chosen and created for
you to carry a piece of the good times spent at Café Coffee Day! So visit your
nearest CCD to pick these trendy items of merchandise
today!!
Café Coffee Day Merchandise now got more
Affordable!
MERCHANDISE
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Funky Caps Rs 60 onwards
Cool T-Shirts Rs 299 onwards
Bags Rs 225 onwards
Mugs Rs 80 onwards
Coffee Filters Rs 120 onwards
Mints Rs 40 onwards
Coffee Powders
Arabicaah Rs 65
Perfect Rs 55
Charge Rs 45
Dark Forest 200gms Rs 125
Dark Forest 500gms Rs 260
Malabar Monsoon 200gms Rs 125
Tea &Cream
Assam Organic Tea Rs 110
Coffee Crèam Rs 80
New Introductions
• Chatpata Wafers
• Masala Crunch Wafers
• Almond Biscotti
• CCD’s guide to Active Holidays (A travel guide focusing on adventure
sports)-Rs.150
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Café Beat reaches more than a million smart, receptive and upwardly mobile
youth of India every month. It is one of the most widely read YOUTH magazines
in the country and is a part of one of the largest Indian retail youth brands - Café
Coffee Day.
CAFÉ BEAT FACTFILE
12 pages, all color, monthly tabloid. Available at all cafes across the
country (205 cafes in 49 locations as of Today!).
Available FREE of cost to customers for in-café reading. Many customers
also carry it away for their referrals. 38% of the customers at CCD read Cafe
Beat (survey conducted in Aug.'04 in the 4 metros). CCD gets around 3 million
walk-ins in all its cafes per month.
Essentially a youth magazine covering topics like movies, music, travel,
lifestyle, e-dating, books, career etc. which interest the youth.
Displayed on magazine stands / counter at the cafes. The new issue is
kept on the tables during the first week for greater visibility.
Readership profile: Students and young professionals, mostly. SEC A and B.
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“The Kiss that Counts”
Do you remember your first kiss? The ‘hello’ that changed your life? It is
the first experience, the earliest memories that shape our lives……and make us
who we are. Muse over the experiences ranging from loneliness and betrayal to
rapture and satisfaction and learn more with this issue of Café Beat.
Inside Cafe Beat
Every month Café Beat brews a story for the ‘young’ and the ‘young at
heart’, a tale that they can relate to, a phase that they have experienced or are
doing so and a decoction, which makes them feel FOREVER YOUNG!
Check out the FQ (‘Funk Quotient’) of college bands in ‘Phat Noise’ and
witness ‘The Ticket’ review the movies coming to the theatres near you.
Be informed about the list of exciting events just around the corner. You
simply can’t miss these
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Know more about the latest Cafe Coffee Day launched in your
neighborhood and find the expert, Harish Bijoor throw light on how the café of
tomorrow will look and feel!
Is Sandra Bullock still congenial? Is direction Antara Mali’s cup of coffee?? Get
your dose of gossip while navigating through the grapevine.
Mr. Bean talks to the troubled hearted
Add more Gadgets and Gizmos to your wish list with the G&G!
Know who all have bean modeling this month?
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EXECUTIVE SUMMARY
The title of the study is topic “A perspective on the introduction of Coffee
Cream by Café Coffee Day” on the basis of –
Objectives
• To know from people time taken for preparation of coffee crème.
• To know the taste of the particular product.
• Pricing of the Coffee Cream
The present topic aims at studying the market and research on the Coffee
Day’s new product ‘Coffee Cream Liquid’ is on the basis of above-mentioned
criteria.
The instants coffees are increasing day by day accompanied by the
demand for the same. Café Coffee Day in order to cater the demand of these
segments of the market has a proposal to enter into this new segment.
This study aims at market research on the Coffee Cream Liquid of Café
Coffee Day. The outcomes of this dissertation are that the company will get the
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relevant information about the market. On the basis of this information the
company will launch the new product Coffee Cream in the Coffee market.
To launching the new product, the company should know about the
customers’ perception, like pricing, quality, and interest of buying the new
product. The company will get to know about these things only when the
customer used the product and gives the opinion about the new product.
In order to know the same, the company using he same marketing
strategy called sampling strategy.
Coffee Day would be sampling 80,000 bottles of Coffee Crème across the
country in few cafes. They have attached the no. of cafes and the cities where
they are doing a sampling activity. The Coffee Crème would be sent through
stores truck and would keep them posted the minute they dispatch to particular
city.
Marketing in charges places shortlist the café they would like to do this
activity in their respective city and places inform their store to dispatch
accordingly to cafes well in advance.
They need to call all the café managers for a weekly managers meeting
before doing this sampling activity in their cafés and make their taste the product
which would also give them and idea of the product and would help them
address customer queries in the cafes while doing the sampling. They need to
discuss with food and beverages in charge in their region on hoe to make hot or
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cold coffee with Coffee Crème during the café manager meeting and fix a date
accordingly with them well in advance.
A bottle of Coffee Crème would be given to a customer who bills more
than Rs.100/- at the café or a regular customer.
Coffee Day need to collect the personal data of the customer to take the
free sample that is their name, e-mail id and telephone no., by maintaining small
note pad or by taking the details in a small sheet a paper and carefully storing it
in a box. The main idea to collect the personal data is to take the feedback
regarding the product by doing Tele Calling, and based on the feedback they
would be launching the same as a the part of merchandise.
Data is collected in form of –
• Primary data
• Secondary data
Primary data is collected from telephonic conversation with customers,
who get the sampling of Coffee Crème.
Secondary data is collected from website, journals, magazines and
previous project. The data collected from both the sources is useful to
understand the company background market situation if the companies,
customer perception and competitors strength and weaknesses. The data is very
useful to analyze the present market and give the relevant information to the
company.
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Conclusion from the study
The existing player in the market is Coffee Day, Nescafe, BRU, Green
label, Tata Coorg.
The marketing and promotion strategies of all the companies are same but
this time the Coffee Day use different type of strategies to research on new
product in the coffee market.
Having brand image Coffee Day is looking for the best pricing, promotion
and distribution strategy.
Company comes up with acceptable coffee taste.
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DESIGN OF THE STUDY
BACKGROUND OF THE STUDY:
Theoretical background of the study is based on the “research on new
product in the coffee market” at Coffee Day, which mainly for the study of
consumer perception about the new product.
There is one relatively easy way of finding out about customer and that is
to ask them about themselves. But for that we need to know what questions to
ask for the process like one of those games. Where we have to discover the
mystery object by asking the least number of questions. To know laterally about
the customer reaction on the product. We would require such vast volume of
information that we may never be able to make practical use of it.
In the most traditional forms of marketing research is therefore narrowed
down to these facts which of direct use, by using models which map the
purchase process. This approach focuses on the aspect of the customer’s life,
which is practical interest to the marketer. There is a range of alternative models
of these AIUAPR, which almost direct a links up to the step in marketing.
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AIUAPR
Awareness
Interest
Understanding
Attitude
Purchase
Repeat
Awareness: Before anything else can happen the potential market must be
aware of the service that exists. Thus the first step must be to gain the attention
of the target audience. If the audience doesn’t hear the message thy not act on it,
no matter how powerful the message is.
Interest: It is not just enough to grab the attention, but also the message must
interest them and persuade them product or service is relevant to their needs.
The content of the message must therefore be clearly meaningful and relevant to
the target audience’s needs.
Understanding: Once the interest is established, the prospective customer must
be able to appreciate how well the product or service offered meets his needs.
Attitude: That a message must go even further, to persuade the reader to adopt
a sufficiently positive attitude towards the product which he is going to purchase.
There is no adequate way of describing how this may be achieved; it simply
depends on the magic of the copywriter’s art and the strength of the product it
self.
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STATEMENT OF THE PROBLEM
For any company existing in the market and leader in the particular
segment it is easy to enter in to the other product segment provided. It should
know the basics about that particular segment provided it should know the basics
about that particular segment.
Café Coffee Day believes in innovation and excitement, and is passionate
about coffee. Company wants to spread the coffee habit amongst every one. To
do this, from time to time they bring out special coffee powder merchandise. But
as we know many people do not wish to use of filter and wait even for 5 minutes
for their coffee at home. They either choose tea or boiled instant coffee, which
provides lesser taste and aroma.
Now they have the perfect solution for such customers in the form of
merchandise liquid Coffee Crème. But because this is such an innovative product
they want people to taste it before they buy it so they will be doing a massive free
sampling exercise.
The Coffee Crème sample pack is mixture of 90% coffee with 10% chicory
with permitted preservatives added which is in liquid form packed in individual
bottles of net wt-60 ml; which can made 3 cup of great cup of coffee in no time at
all and which can be used to make hot as well as cold coffee.
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A bottle of Coffee Crème would be given to a customer who bills more
than Rs.100/- at the café or a regular customer.
Coffee Day need to collect the personal data of the customer to take the
free sample that is their name, e-mail id and telephone no., by maintaining small
note pad or by taking the details in a small sheet a paper and carefully storing it
in a box. The main idea to collect the personal data is to take the feedback
regarding the product by doing tele-calling, and based on the feedback they
would be launching the same as a the part of merchandise.
The main reason to launch Coffee Crème is to redefine the coffee drinking
taste and make it more convenient for their customer to make coffee at their
home or office. The recipes are provided on the label, the customer need not be
a traditional coffee drinker, its for people who are constantly on the move and
have no time and not much knowledge to make a good cup of coffee, yet love the
taste of coffee. The main advantage of coffee crème is its speed of preparation
(no time is required for coffee decoction to form) and its simplicity of use
compare to other forms of making coffee.
Purchase: While the reader is considering the advertisement is the
comfort of his arm chair, the final decision on other may take place some time
later when the prospective buyer tries to find the shops which stock the product.
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Repeat purchase: Only if the customer is satisfied with the product he will
turn in again to repeat the purchase.
Need and importance of the study
The need for the study is as follows,
To study the awareness and perception of customer towards the new
product.
To know the quality of particular product compare to other product.
To know the price of the product based on certain attributes.
To know from people, how much time Coffee Crème will take to prepare.
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Objective of the study
To know from people time taken for preparation of coffee crème.
To know from where people like to buy the product.
To know the taste of the particular product.
Pricing of the Coffee Cream
To find out the new marketing strategy is correct or not.
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REVIEW OF LITERATURE
Purpose:
Economy is clearly the greatest advantages of secondary data.
Instead of printing data-collection forms, hiring field works, transporting them
throughout the field area and editing and tabulating the results, researchers,
alone or with some clerical assistance, may obtain information from a published
record complied by somebody else. Also, secondary data can be more quickly
obtained. While a field project often takes 60-90 days or more, secondary data
cab often be collected within a few days or even hours.
Another advantage of some secondary data sources is that they provide
information that could not be obtained by the typical organization. The Bureau of
Census, for example, can require retailers to divulge sales, expenses and profit
information that normally would be inaccessible to the ordinary course of events,
are less subject to the biases that might occur if the researcher were to gather
the information for specific purpose.
Such numbers may daunt even sophisticated scholar, yet the importance
of mastering the major sources of secondary data is clear. Competent
researchers must become thoroughly acquired with the major sources, especially
those pertinent to the researchers’ organizations, while also exercising the
imagination required locating valuable data in out of the way places.
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Methodology:
Secondary data are either internal or external to the company
considering their uses. Internal data are typified by summaries of sales
representatives’ reports invoices, shipment records and operating statements. A
research manager must necessarily become familiar with all material of this type
that is available within the company. Company records must be constantly
explored so as not to overlook information needed for current marketing research
projects.
The collection of internal data is largely a matter of knowing the
company’s operating procedures and establishing systematic methods for
recording the desired information. Collection of external data is more difficult
because the data have much grater variety and the sources are more numerous.
External data can be divided into four classes: -
1. Census and registration data.
2. Individual project report publicly circulated in encyclopedias, books,
monographs, bulletins and periodicals.
3. Data collected for sale on a commercial basis.
4. Miscellaneous data.
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Conclusion:
On many occasions, researchers must choose from among two or more
sources of data, the choice should be guided by the determination of which data
score highest on the following considerations.
Pertinence: To be usable, the data must be use the same units of
measurements specified in the project must be applicable to the period of time in
question and must be derived form of universe of interest. Classes of data must
be constructed in the same way as in the project.
Who collected and published the data and why? In evaluating secondary
data, the researcher must examine the organization that makes that collected the
data and the purposes for which they were published. An organization that
makes the collection and publication of data its chief functions is apt to furnish
accurate data. Obviously, the success of such affirm depends on the long run
satisfaction of its clients that the information supplied is accurate.
This ability of an organization to procure the wanted information is a
pivotal consideration. This often reduces itself to a matter of authority and
prestige. The U.S. Bureau of Internal Revenue, for instance, can obtain accurate
information about income more easily than any private firm simply because it has
legal authority to do so.
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When feasible, the capabilities and motivation of the individuals
responsible for the data collection should also be appraised. Reputation,
experience and degree of independence on the particular project are all germane
considerations in assessing the reliability of an “expert”. An individual working for
an independent research agency would be more likely to turn out an accurate
report than the same individual working for an organizations committed to one
side of a question.
Discovering the purpose for which data republished is mandatory for an
adequate evaluation of secondary data. Data published to promote the interests
of a particular group whether political, commercial or social are suspect. At the
same time, not all data created to sources with an exe to grind should be
dismissed out of hand nevertheless; information so procured should always be
handled with care.
Data collection methods: If a source fails to give a detailed description
of its methods of data collection, researchers should be hesitant about using the
information provided. All too often shyness about revealing the procedures used
to collect data suggests the employment of inadequate methods. Most primary
sources, however, described, their methods, even if only briefly. When the
methodology is described, researchers should subject it to a painstaking
examination. Even if the procedures appear sound, caution must be exercised
because weakness tends to be camouflaged. Searching questions must be
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answered positively before the data can be used. If a sample was used, was it
selected objectively? Was it large enough, particularly for the sub-samples? Was
it chosen from the universe or interest? Was the questionnaire adequate for
getting the desired information? What kind of supervision was exercised over the
people who actually collected the data? Were any checks made on the accuracy
of the field workers’ results?
General Evidences of careful work: An indispensable point of evaluation
is the general evidences that the data have been collected and processed
carefully. Is the information presented in a well-organized manner? Are the tales
constructed properly and are they consistent within and among themselves” are
the conclusion supported by the data?
Conflicting Data: If several sources of data relating to a researcher’s
problem are available, the data can be submitted to quality control analysis of the
sort applied in production. After dividing the data into “good” and “poor” on the
basis of criteria like those mentioned above, correlations on points of interest can
be run between the two groups, and statistical tests can be made. In projects that
rely heavily on secondary data, this technique is particularly valuable.
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Benefits Derived From The Review Of Literature:
1. It facilitates to know,
Types of secondary data.
Advantages and disadvantage of secondary data.
Uses of secondary data.
Evaluation of secondary data.
2. It helps to know the following,
Topic on which the similar research has been done previously.
Purpose of the earlier similar research.
Methodology adopted in earlier research.
Conclusion derived form the earlier research.
3. If facilitated to know how this research is different from the earlier once.
4. Helped the researcher to know the area in which more concentration is
needed.
5. Helped in making this research more specific and precise there by
enabling to analyze the problem systematically.
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RESEARCH METHODOLOGY
Type of Research:
Here the types of research, which are used for data collection, are
Descriptive Research. In this descriptive research the researcher colleted the
database of customers, who got the sampling bottle. Researcher also made the
questionnaire and telephonic interview of customer.
Sampling Technique:
The sampling technique used for this report is stratified random sampling.
Why stratified random sampling?
 Obtaining information about parts of universe.
 Greater precision through stratification.
How this technique works?
 The universe to be sampled is divided into the groups that are mutually
exclusive and include all items in the universe.
 A simple random sampling is then chosen independently from each group
or stratum.
Stratified random sampling differs from simple random sampling. In that
with the latter sample items, the sample is designed. So, that a separate random
sampling is chosen from each stratum. In simple random sampling the
distribution of the sample among strata is left entirely to chance.
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Sample Size:
As Café Coffee Day have wide range of customers, the selection of
samples was difficult. But, with the best of my knowledge the researcher chose
750 customers of heterogeneous nature of Café Coffee Day. And the researcher
got the responses from 510 customers out of total 750 customers. From these
510 customers, 108 customers did not use the product and that’s why they are
not able to give answer of any questions. Rest of 402 customers has given the
answers of questionnaires.
So that the researcher has taken the final sample size is 402.
Instrumentation Technique:
The instrumentation techniques used for this research are:
 Questionnaire.
 Personnel Interview
Most of the questions are closed ended and open ended, asked only
under the circumstances when needed.
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Questionnaire
UnstructuredStructured
Open Ended Close Ended
Actual Collection of Data:
There are basically four methods for data collection.
Survey Method
Experimental Method
Observation Method
Questionnaire: 1. Structured
2. Unstructured
The data was collected by the researcher through telephonic conversation
with customers.
Scope of the study
The research that the researcher has conducted will help Café
Coffee Day in many ways to increase their sales and to understand their
consumer satisfaction level. With the help of this research the vision of Café
Coffee Day is to redefine the coffee drinking taste and make it more convenient
for their customers to make coffees at their home or office.
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Limitation of the study
As each and every research, my research also has some of its own
limitation. Some of them are illustrated below.
As the customer belt of Café Coffee Day is huge, the researcher could not
meet all of them to collect information. So, the researcher had to take the sample
out of the existing customers and conduct the study.
The method choose to collect information are questionnaire. As
questionnaires take the time of the customers, many customers were not ready
to give the require information.
Due to the scarcity of time the study was limited to Bangalore city only.
The customer group or the sample group includes only that customer who
got the free sampling bottle.
Personal bias i.e. subjectivity in analyzing the data collected.
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RESPONDENT PROFILE
“Respondent is the person present in the sample size who gives response
to the questions asked through telephonic conversation”.
For my research the respondents group included all type of people like
musicians, software engineers, corporate, businessmen, families, self-employed
people etc.
Many of the respondents would like the coffee day’s beverages. They
would like to sit in café coffee day listening to the music and enjoying their
beverages. Majority of customers like the taste of coffee crème liquid and they
are very excited to buy this product.
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ANYLYSIS AND INTERPRETATION OF DATA
Table – 1 Table showing the availability and response from respondents
Availability of respondents No of respondents Percentage
Customers not accessed 32 32.00%
Customers accessed but not replied 14 14.00%
Customers accessed and replied 54 54.00%
Total 100 100%
Source: Primary data
Table showing the availability and response from respondents
Analysis: The tables clearly indicate that how many respondents able to
access. That is 32 % respondents who could not be accessed.14.0 %
respondents who were accessed but not able to give response. Only 54.0 %
respondents, who were gave response.
Inference: The total sample collect by the researcher was 100. Out of this
data maximum respondent give the response so calmly. Very less respondents
have not able to giving response because of they did not use the product and
some of respondent were not able to be accessed.
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Graph – 1 Graph showing the availability and response from respondents.
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Telecalling Data
32%
14%
54%
Customers not excessed
Customer excessed but not replied
Customers excessed
Table – 2 Table showing the type of beverages that consumed by the
respondents.
Beverages Response Percentage
Hot Coffee 78 78%
Cold Coffee 22 22%
Total 100 100%
Source: Primary data
Table showing the type of beverages that consume by the respondents
Analysis: From the above table we can find that maximum no of
respondents i.e. 78 % respondents consumed hot coffee and the rest of 22 %
consume cold coffee.
Inference: From the graph we can assume that maximum respondents
want to use Coffee Cream as a hot coffee.
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Graph – 2 Graph showing the type of beverages that consume by the
respondents
78%
0%
22%
Hot Coffee Cold Coffee
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Table – 3 Table showing the time taken to prepare the Coffee Cream
Time taken to prepare Rate Response Percentage
Less than 4 min 8 out of 10 8 0.08
4 to 10 min 5 out of 7 90 0.9
More than 10 min 1 out of 5 2 0.02
Total 100 1
Source: Primary data
Table showing the time taken to prepare the Coffee Cream.
Analysis: 8.0 % respondents said that Coffee Cream takes less than 4
minutes to prepare.
90 % respondents said that Coffee Cream takes 4-10 minutes to prepare.
2 % respondents said that Coffee Cream takes more than 10 minutes to prepare.
Inference: Graph shows that Coffee Cream takes 4-10 minutes for
preparation.
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Graph – 3 Graph showing the time taken to prepare the Coffee Cream.
Ease of use
8%
90%
2%
Less than 4 min 4 to 10 min More than 10 min
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Table – 4 Table showing the taste of coffee cream
Taste Rate Response Percentage
Very Good 7 – 10 72 0.72
Good 5 – 7 25 0.25
O.K. 3 – 5 2 0.02
Bad 1 – 3 1 0.01
Total - 100 1
Source: Primary data
Table showing the taste of coffee cream
Analysis: From the above table we can indicate that 72 % respondents
very much like the taste of Coffee Cream. 25 % respondents said that Coffee
Crème is good as compare to instant coffee. 2 % respondents said that Coffee
Cream was ok only and 1 % respondents did not like the taste of Coffee Cream.
Inference: Majority of respondent very much like the taste of Coffee
Cream, few of them did not like the taste of it.
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Graph – 4 Graph showing the taste of coffee cream
Taste of Coffee Cream
72%
25%
1%2%
Very Good Good O.K. Bad
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Table – 5 Table showing the price of coffee cream, suggested by
respondents
Price of coffee cream Response Percentage
Less than 10 Rs. 6 0.0597
Rs. 10 – 20 41 0.4055
Rs. 20 – 40 51 0.5139
More than Rs. 40 2 0.0199
Total 100 1
Source: Primary data
Table showing the price of coffee cream, suggested by respondents
Analysis: From the above table we can easily find that 6 % respondents
suggest the price of Coffee Cream should be less than 10 Rs.
41 % respondents suggest it price should be in between 10 - 20 Rs.
51 % were suggested the price should be in between 20- 40 Rs
Very less respondents i.e. 2 % suggest its price should be more than 40 Rs.
Inference: From the graph we can assume that the price of Coffee Crème
should be in between 30-40 Rs.
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Graph – 5 Graph showing the price of coffee cream, suggested by
respondents
6%
41%51%
2%
Less than 10 Rs. Rs. 10 – 15
Rs. 20 – 40 More than Rs. 40
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Table – 6 Table showing interest of buying the coffee cream
Interest of Buying Responses Percentage
Yes 98 0.9776
No 2 0.0224
Total 100 1
Source: Primary data
Table showing interest of buying the coffee cream
Analysis: Maximum respondents i.e., 97.76 % have very much interested
to buying the Coffee Cream and remaining only 2.24 % respondents have not
interested to buy such kind of product.
Inference: We can easily find out few of the respondents would not like to
buy the Coffee Cream, Maximum respondents are very much interested to buy
such kind of product.
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Graph – 6 Graph showing interest of buying the coffee cream
98%
2%
Yes No
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Table – 7 Table showing the decision of customers towards this research
activity
Decision Responses Percentage
Yes 54 54%
No 46 46%
Total 100 100%
Source: Primary data
Table showing the decision of customers towards this research activity
Analysis: 54 % respondents agree with Coffee Day’s research activity.
46 % were not agreed with the company’s decision.
Inference: From the graph we can assume that more than half of the
respondents agreed with Coffee Day’s research activity.
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Graph – 7 Graph showing the decision of customers towards this research
activity
42
44
46
48
50
52
54
Yes No
Yes
No
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Table – 8 Table showing the place of purchasing the Coffee Cream Bottle
Place of Purchasing Responses Percentage
Café Coffee Day 61 61%
General Market 39 39%
Total 100 100%
Source: Primary data
Table showing the place of purchasing the Coffee Cream Bottle
Analysis: Form the above table we can find out that majority of
respondents i.e. 61 % want to buy the product from Café Coffee Day. 39 % said
that, if the product will available in general market, it would be better for them.
Inference: We can easily find that more than half of customers want to
buy the Coffee Cream from Café Coffee Day.
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Graph – 8 Graph showing the place of purchasing the Coffee Cream Bottle
Place of purchasing the product
61%
39%
Café Coffee Day General Market
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SUMMERY OF FINDINGS
Most of the consumer consumes Coffee Crème as hot coffee.
The maximum market says that it will take 3-4 minute to prepare.
Most of the customer likes the taste of Coffee Crème.
Most of the market is very much interested to buy Coffee Crème.
Most of the market says that the price of the 60 ml bottle of Coffee Crème
should be in between Rs. 40 to 50 /-
Majority of customer prefer to buy Coffee Cream from Café Coffee Day.
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RECOMMENDATION AND SUGGESTION
Recommendations and suggestions are the outcome of interpretation of
collected data. In other words, procedure of converting raw data collected in to
useful information is called as recommendation or suggestion. Usually this step
serves the company to understand the problem existing and to design the
solution.
Recommendation and suggestion are very important for a research or a
study. So with the help of my study, the researcher can give the following
recommendation and suggestion;
Company should go for attractive advertisement to bring the attention of
customers, towards the product.
Company should provide the Coffee Cream in small packets such that it is
easy to carry for all type of people.
Company should concentrate on making the bottle attractive as much as
possible.
If company can satisfy the flavor urge of the customers than company can
grab the huge amount of consumers.
Company should mention the integrants contains for making the Coffee
Cream, liquid.
Company should concentrate more on the product availability such that it
is available in every nook and corner.
The price of the Coffee Cream should be around Rs.40/- for the 60 ml,
which can be affordable by all type of customers.
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CONCLUSION
The recommendation provided is strictly based on the information gathered by
market survey through the tele marketing.
From the above detail we can easily conclude that, Coffee Day has to take
necessary step towards the Coffee Cream, which should take less time to
prepare.
We can also conclude that, the innovative product called Coffee Cream will prove
to be an effective taste definitely attracts all type of customer.
Price of the Coffee Cream should be fixed around 40/- Rs.
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ANNEXURE
BIBLIOGRAPHY
Reference Books:
Philip Kotler Marketing Management.
Paul Pefer & Marketing Management
James H. Donnelly
Malhotra N. K. Marketing Research-An Applied Orientation
Reference from website:
Cafe Coffee Day
Wikipedia
Cafecoffeeday blog
Delhi capital
Reference from previous project
• Marketing Research on consumer satisfaction towards Café Coffee Day.
• Developing launching strategy for Coca-Cola’s for coffee and tea.
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QUESTIONNAIRE
Respected sir/madam,
I am Sachin Khera, an MBA student of Indian Institute of
Planning and Management. As a part of a curriculum, I am conducting a study
on, “RESEARCH ON A NEW PRODUCT IN THE COFFEE MARKET” at Café
Coffee Day.
I will be grateful if you answer the following questions:
Name:
Telephone number:
Email id:
1. Which beverage did you make while using the “COFFEE CREAM”?
Hot coffee
Cold coffee
2. A part from the taste do you feel that, “COFFEE CREAM” is easy to make,
compared to instant coffee? (rate it on the scale of 1-10)
TIME RATE
Less than 4 minutes more than 8
4-10 minutes 5-7
More than 10 minutes Less than 5
IIPM, New Delhi 90
3. How do you feel after consuming the, “COFFEE CREAM”?
(Rate it on the scale of 1-10)
RATE
Very Good 7-10
Good 5-7
OK 3-5
Bad Less than 3
4. Would you like to buy, “COFFEE CREAM” if it will launch in market?
Yes
No
5. What should be the price range of 60 ml, “COFFEE CREAM”?
Less than 10 Rs.
10-15 Rs.
15-20 Rs.
20-25 Rs.
More than 25 Rs.
6. Would you like to buy, “COFFEE CREAM” only from Café Coffee Day?
Yes
No
IIPM, New Delhi 91
7. Do you agree the decision made by Café Coffee Day that the new product
“COFFEE CREAM” has given to only those customers who spend more
than 100/- Rs. In Café Coffee Day and regular customer?
Yes
No
8. If you have any suggestion, than please specify,
________________________________________________________________
________________________________________________________________
Thank you.
IIPM, New Delhi 92
RESPONSE SHEET
Response sheet number: 1
Thesis Topic: “A perspective on the introduction of Coffee Cream by Café Coffee
Day”
Date: 27-may-2008
Details:
Name: Sachin Khera
Batch: PGP SS 2006/2008
Alumni Id: DS68-M310
Phone No: +91-9971100621
Email Id: sachinkhera15@gmail.com
sachin.khera@wipro.com
Date when the guide was consulted: 25- May-2008
Progress of the work:
Collection of company data through Secondary Research using internet like
company website and other related websites. Mainly collection of data like
company history, business profile, branches in Delhi, and defining a problem
statement.
IIPM, New Delhi 93
Response sheet number: 2
Thesis Topic: “A perspective on the introduction of Coffee Cream by Café Coffee
Day”
Date: 7-June-2008
Details:
Name: Sachin Khera
Batch: PGP SS 2006/2008
Alumni Id: DS68-M310
Phone No: +91-9971100621
Email Id: sachinkhera15@gmail.com
sachin.khera@wipro.com
Date when the guide was consulted: 6-June-2008
Progress of the work:
Worked upon Executive summary and Statement of problem.
Comments from external guide:
We discussed about how to make a Survey form (questionnaire) to find out the
awareness of the consumer of café coffee day coffee cream product and area of
survey was yet to define.
IIPM, New Delhi 94
Response sheet number: 3
Thesis Topic: “A perspective on the introduction of Coffee Cream by Café Coffee
Day”
Date: 10-June-2008
Details:
Name: Sachin Khera
Batch: PGP SS 2006/2008
Alumni Id: DS68-M310
Phone No: +91-9971100621
Email Id: sachinkhera15@gmail.com
sachin.khera@wipro.com
Date when the guide was consulted: 9-June-2008
Progress of the work:
Wrote Product Profile, Background study of the topic and Prepared Sample size.
Comments from external guide:
We discussed about what sample size to take which can help in making
questionnaires and carry out research.
IIPM, New Delhi 95

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Cafe coffee day thesis sachin ds68_m310

  • 1. THESISTHESIS A Perspective on the Introduction of Coffee CreamA Perspective on the Introduction of Coffee Cream byby Café Coffee DayCafé Coffee Day As a partial fulfillment of the requirement of the degree ofAs a partial fulfillment of the requirement of the degree of MM A S T E RA S T E R O FO F BB U S I N E S SU S I N E S S AA D M I N I S T R A T I O ND M I N I S T R A T I O N SubmittedSubmitted ToTo THE INDIAN INSTITUTE OF PLANNING ANDTHE INDIAN INSTITUTE OF PLANNING AND MANAGEMENT, NEW DELHIMANAGEMENT, NEW DELHI Submitted to: External Guide: Prof. Sumanta Sharma Maaz Ahmed Khan Associate Dean Café Coffee Day IIPM, New Delhi Submitted by: SACHIN KHERA Batch: PGP/SS/2006-08 Alumni ID: DS68-M310 IIPM, New Delhi IIPM, New Delhi 1
  • 2. CERTIFICATE OF ORGINALITY This is to certify that the thesis titled “A Perspective on the Introduction of Coffee Cream by Café Coffee Day” is prepared and submitted by me to Indian Institute of Planning & Management, New Delhi in partial fulfillment for the award of the Master Degree in Business Administration, and this report has not been submitted elsewhere. Date: 11- February- 2009 Batch: PGP/SS/2006-08 Alumni ID: DS68-M310 IIPM, New Delhi IIPM, New Delhi 2
  • 5. ACKNOWLEDGEMENT Every student’s project owns debt to their predecessors to their teachers, friends and their parents. I gratefully acknowledge my deep indebtedness to all of these. The present work is an effort to throw some light on “A Perspective on the Introduction of Coffee Cream by Café Coffee Day”. The work would not have been possible to come to the present shape without the able guidance, supervision and help to me by number of people. With deep sense of gratitude I acknowledged the encouragement and guidance received by Prof. Sumanta Sharma, Associate Dean - IIPM, New Delhi. I also convey my heartfelt affection to Mr. Maaz Ahmed Khan who helped and supported me during the course, for completion of my thesis. I am also thankful to all of my friends and all the staff of Café Coffee Day, who helped me a lot directly or indirectly. SACHIN KHERA Batch: PGP/SS/2006-08 Alumni ID: DS68-M310 IIPM, New Delhi IIPM, New Delhi 5
  • 6. THESIS SYNOPSIS Personal Details: Name: Sachin Khera Batch: SS 2006-08 Section: FN 9 Specialization: Finance and Marketing Phone No: +91-9971100621 (Temporary not working) E Mail ID: Sachin.khera@wipro.com , sachinkhera15@gmail.com Desired Area of Research: MARKETING Title of the Research: A Perspective on the Introduction of Coffee Cream by Café Coffee Day Research Objective: For any company existing in the market and leader in the particular segment it is easy to enter in to the other product segment provided. It should know the basics about that particular segment provided it should know the basics about that particular segment. Café Coffee Day believes in innovation and excitement, and is passionate about coffee. Company wants to spread the coffee habit amongst every one. To IIPM, New Delhi 6
  • 7. do this, from time to time they bring out special coffee powder merchandise. But as we know many people do not wish to use of filter and wait even for 5 minutes for their coffee at home. They either choose tea or boiled instant coffee, which provides lesser taste and aroma. For any company existing in the market and leader in the particular segment it is easy to enter in to the other product segment provided. It should know the basics about that particular segment provided it should know the basics about that particular segment. Café Coffee Day believes in innovation and excitement, and is passionate about coffee. Company wants to spread the coffee habit amongst every one. To do this, from time to time they bring out special coffee powder merchandise. Now they have the perfect solution for such customers in the form of merchandise liquid Coffee Crème. But because this is such an innovative product they want people to taste it before they buy it so they will be doing a massive free sampling exercise. The Coffee Crème sample pack is mixture of 90% coffee with 10% chicory with permitted preservatives added which is in liquid form packed in individual bottles of net wt-60 ml; which can made 3 cup of great cup of coffee in no time at all and which can be used to make hot as well as cold coffee. IIPM, New Delhi 7
  • 8. OBJECTIVES OF THE STUDY • To know from people time taken for preparation of coffee crème. • To know from where people like to buy the product. • To know the taste of the particular product. • Pricing of the Coffee Cream • To find out the new marketing strategy is correct or not. INTRODUCTION TO THE AREA OF RESEARCH The market is a center around which marketing activity revolve. Market, in general, may be described as a place where goods and service are offered for sale, buyers and seller meet and the title of goods is transferred. In olden days, buying and selling of goods done by coming together in periodical fares held at specific places and on specific dates. Peter Drucker, a leading management theorist, puts it this way, “there will always, one can assume, be need for some selling. But the aim of marketing is to make selling superfluous. The aim of marketing is to know an understand the customer so well that the product or service fits him and sells itself. Ideally marketing should result in a customer who is ready to buy. All that should be needed then is to make the product or service available”. IIPM, New Delhi 8
  • 9. The instants coffees are increasing day by day accompanied by the demand for the same. Café Coffee Day in order to cater the demand of these segments of the market has a proposal to enter into this new segment. This study aims at market research on the Coffee Cream Liquid of Café Coffee Day. The outcomes of this dissertation are that the company will get the relevant information about the market. On the basis of this information the company will launch the new product Coffee Cream in the Coffee market. To launching the new product, the company should know about the customers’ perception, like pricing, quality, and interest of buying the new product. The company will gat to know about these thing only when the customer used the product and gives the opinion about the new product. Scope of the Research With the help of this research the vision of researcher is to redefine the coffee drinking taste and make it more convenient for their customers to make coffees at their home or office. While determining the scope of study, the researcher was looking for a comprehensive dimension. So Café coffee has been chosen for the study. IIPM, New Delhi 9
  • 10. RESEARCH METHODOLOGY Methodology refers to first an approach towards inquiry and later involves in to particular methods or techniques. It is systematic method of discovering new facts or verifying old facts, their sequences in the relationship, casual explanation and the natural laws, which govern them. To achieve the defined objectives it outlines the approach for conduct of the whole research work describe the scope, research design, research instruments, respondents’ characteristics, sample planning and data collection methods, hypothesis formulation, data analysis tools and techniques, and period of study. RESEARCH DESIGN Due to the objectives of the research the research is more qualitative and exploratory in nature. In order to have more comprehensive definition and to become more familiar with the problem An extensive literature survey will be conducted to collect secondary data for the location of different variable, probable contemporary issues and clarity of concepts. For identification of key issues out of possible variables related to the various dimensions of research descriptive research design has also been opted for. IIPM, New Delhi 10
  • 11. RESEARCH INSTRUMENT For the collection of primary data for exploratory research unstructured questionnaire will be used based on issues identified from literature review. For descriptive research structured questionnaire will be used to determine the consumer value criteria. It will be the combination of open and close-ended questions. Close-ended questions include the semantic differential scale of 1 to 5, 1 being not important and 5 being very important. The semantic differential is a five-point scale with end points associated with bipolar labels. DATA COLLECTION Primary data will be collected from the company officials and their customers by administering questionnaires and conducting interviews. Secondary data will be collected through The Bureau of Census and articles from websites. Justification for choosing a particular research proposal Based on my qualification and interest in the Marketing Sector I have chosen this topic as my research. Details of the external Guide Name : Maaz Ahmed Khan Qualification : MBA (HR) Designation : Executive, Café Coffee Day IIPM, New Delhi 11
  • 12. THESIS APPROVAL LETTER Dear Sachin, This is to inform that the thesis topic “A perspective on the introduction of Coffee Cream by Café Coffee Day”, as proposed by you, has been approved. This email is an official confirmation that you would be doing your thesis work under the guidance of Mr. Maaz Ahmed Khan. Make it a comprehensive thesis; the objective of a thesis should be value addition to the existing knowledge base. Please ensure that the objectives as stated by you in your synopsis are met using the appropriate research design. You must always use the thesis title as approved and registered with us. Your Alumni ID Number is DS68-M310 You are required to correspond with us by sending at least six response sheets to Thesis.ss68@iipm.edu (format attached along with this mail) at regular intervals, before 31st May 2008 (the last date for thesis submission). Regards, Sumanta Sharma Dean (Projects) The Indian Institute of Planning and Management New Delhi Sumanta.sharma@iipm.edu Phone: 0124 - 4505402 / 29 IIPM, New Delhi 12
  • 13. TABLE OF CONTENT Chapter – 1 INTRODUCTION  COFFEE HISTORY Chapter – 2 PROFILE OF ORGANIZATION  Company Background  Café Formats  Logo of Café Coffee Day  Business Associations  Customer Profile  Product Profile Chapter – 3 EXECUTIVE SUMMARIES Chapter – 4 DESIGN OF STUDY  Review of Literature Chapter – 5 RESEARCH METHODOLOGY Chapter – 6 ANALYSIS & INTERPRETATION OF DATA Chapter – 7 SUMMARY OF FINDINGS Chapter – 8 RECOMMENDATIONS / SUGGESTIONS & CONCLUSIONS Chapter – 9 ANNEXURE  Bibliography  Questionnaire  Response Sheets IIPM, New Delhi 13
  • 14. IIPM, New Delhi 14 TABLE NO. TITLE 1 Table showing the availability and response from respondents. 2 Table showing the type of beverages that consumed by the respondents. 3 Table showing the time taken to prepare Coffee Cream. 4 Table showing the taste of Coffee Cream. 5 Table showing the price of Coffee Cream, suggested by respondents. 6 Table showing interest of buying the Coffee Cream. 7 Table showing the decision of consumers towards this research activity. 8 Table showing the purchasing the Coffee Cream Bottle.
  • 15. IIPM, New Delhi 15 GRAPH NO. TITLE 1 Telecalling data. 2 Type of beverages consumed by respondent. 3 Time taken to prepare Coffee Cream. 4 Taste of coffee cream. 5 Price of Coffee Cream suggested by respondents. 6 Interest of buying Coffee Cream. 7 Decision of consumers towards research activity. 8 Place of purchasing the product
  • 17. INTRODUCTION The market is a center around which marketing activity revolve. Market, in general, may be described as a place where goods and service are offered for sale, buyers and seller meet and the title of goods is transferred. In olden days, buying and selling of goods done by coming together in periodical fares held at specific places and on specific dates. Sellers put their commodities in these periodical fares for sales and buyers also used to go there to purchase the commodities according to their needs. People having surplus goods used to exchange them for the goods of their needs. The invention of money as medium of exchange revolutionaries the market system. Thus, market is referred as the place or geographical area where buyers and sellers assemble and exchange goods. The term market is derived from Latin word ‘mercatus’ meaning ‘to trade’. i.e., purchasing and selling of goods. So, what is marketing? Marketing occupies the first place in all business activities. According to modern marketing concept, marketing starts with the product idea and ends with customer satisfaction. According to William Stanton, “Marketing is a total system IIPM, New Delhi 17
  • 18. of interacting business activity designed to plan, price, promote and distribute want satisfying products and services to present and potential customer”. Marketing is perhaps the most complex and challenging function performs by every business firm. Marketing thinking starts well before production commences and ends only after rendering after sale satisfaction. It is the set of those activities necessary and incidental to bring about exchange relationships. Peter Ducker, a leading management theorist, puts it this way, “there will always, one can assume, be need for some selling. But the aim of marketing is to make selling superfluous. The aim of marketing is to know and understand the customer so well that the product or service fits him and sells itself. Ideally marketing should result in a customer who is ready to buy. All that should be needed then is to make the product or service available”. The American marketing association offers the following definition, “marketing is a process of planning and executing the conception, pricing, promotion and distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational goals”. IIPM, New Delhi 18
  • 19. COFFEE HISTORY Coffee discovered The discovery of coffee has a very interesting story attached to it. A long time ago in Arabia there live a goatherd named Khalid. One day his goats did not return and he went looking for them. He found them frisking around acting unnaturally gleeful around a plant which had shiny green leaves and red berries. Khalid was curious and so he tried a couple of the berries himself. He felt energized almost immediately. A wise man from a local town near by was passing that way. He was hungry, tired and very sleepy. He saw the happy goatherd and the coffee plant. Because he was hungry he tried the berries. He became wide-awake and was instantly ready to keep traveling. He took some berries back to his town and boiled them to get a bitter beverage, rich in strength, and capable of dispersing sleep and weariness. This brew helped the people in his monastery to stay awake during prayer. It then spread to other town and monasteries. The wise man became very rich. No one knows what happened to Khalid. IIPM, New Delhi 19
  • 20. Coffee Reinvented When Arabs discovered how to boil water, they made coffee initially by boiling the green beans do not give up the coffee oils because the chemical change caused by roasting has not taken place. Therefore, the taste is very different. Records indicate the actual roasting and grinding of coffee goes back to about 500AD. In the case of coffee, the taste needs to be acquired. Coffee is naturally bitter and one must learn to drink it. Anyway, coffee didn’t become popular over a large area until the Ottoman Sultan in Istanbul outlawed it in 1543 because it started to gat more recognition than he wanted. Then coffee becomes very fashionable! How coffee came to India? The Arabs in the 1600’s were very protective of their coffee bean. They allowed export of coffee bean only after the beans were processed. Legend has it that a man called Baba Budan bound seven coffee seeds to his belly and smuggled them out of Arabia and into India. When he reached his home, he found a cave in the hills near Chickmangalur in south India where he planted the coffee seedlings. Later he planted coffee in the jungles near Chickmangalur. IIPM, New Delhi 20
  • 21. Today, offspring of these original coffee trees are officially known as “Old Chick”. All of the coffee produced by Amalgamated Bean Company Trading Ltd (ABC) is grown in Chickmangalur belt and comprises 15% of India’s coffee export making ABC also India’s largest export of coffee. The coffee we export is the coffee you are drinking right now! IIPM, New Delhi 21
  • 23. PROFILE OF THE ORGANIZATION From bean to the cuppa that you enjoy! Company Background At Café Coffee Day, we take pride in our 130 year old coffee growing heritage that began in the verdant soil of Chickmagalur where over 10,000 acres of our coffee plantations lie. From the estates to the trendy cafes that CCD is synonymous with, our dedicated team strives collectively towards providing all our customers with a world class coffee experience at affordable prices. It has indeed been an eventful journey led by Mr. V.G Siddhartha, Chairman CCD when he initiated his business interests in coffee by incorporating ABCTCL in the year 1994. From Exports to commodity trading and building a brand, Coffee Day entered with ‘Fresh n Ground’ and subsequently went up the value chain thereby revolutionizing the metropolis with Cafes under the brand Café Coffee Day Café Coffee Day is a division of India's largest coffee conglomerate, Amalgamated Bean Coffee Trading Company Ltd. (ABCTCL), popularly known as Coffee Day, a Rs. 300 crore ISO 9002 certified company. Coffee Day sources coffee from 5000 acres of coffee estates, the 2nd largest in Asia, that is owned by a sister concern and from 11,000 small growers. It is one of India’s leading coffee exporters with clients across USA, Europe & Japan. IIPM, New Delhi 23
  • 24. With its roots in the golden soil of Chickmaglur, the home of some of the best Indian Coffees and with the vision of a true entrepreneur nurturing it, Coffee Day has its business spanning the entire value chain of coffee consumption in India. Its different divisions include: Coffee Day Fresh n Ground (which owns 354 Coffee bean and powder retail outlets), Coffee Day Xpress (which owns 341 Coffee Day Kiosk), Coffee Day Take away (which owns 7000 Vending Machines), Coffee Day Exports and Coffee Day Perfect (FMCG Packaged Coffee) division. Café Coffee Day (CCD) pioneered the café concept in India in 1996 by opening its first café at Brigade Road in Bangalore. Till about the late 1990’s coffee drinking in India was restricted to the intellectual, the South Indian traditionalist and the five star coffee shop visitor. As the pure (as opposed to instant coffee) coffee café culture in neighboring international markets grew, the need for a relaxed and fun “hangout” for the emerging urban youth in the country was clearly seen. Recognizing the potential that lay ahead on the horizon, Café Coffee Day embarked on a dynamic journey to become a large organized retail café chain with a distinct brand identity of its own. From a handful of cafés in six cites in the first 5 years, CCD has become India’s largest and premier retail chain of cafes IIPM, New Delhi 24
  • 25. with 590 cafes in 96 cities around the country and is projected to 900 cafes till year 2009. “Enthused by the success of offering a world-class coffee experience, CCD has opened a Café in Vienna, Austria and is planning to open other Cafes in the Middle East, Eastern Europe, Eurasia, Egypt and South East Asia in the coming months.” IIPM, New Delhi 25
  • 26. Cafe Formats Café Coffee Day has been experimenting with café formats for quite sometime. Backed by the motivation of providing customers with exciting choices as well as constantly redefining ‘the café experience’, CCD has ventured into the following formats: Music Cafés provide customers with the choice of playing their favorite music tracks on the Digital Audio Jukeboxes installed at the café! There are around 85 cafes with such jukeboxes. 32 cafes also provide customers with the visual treat of watching their favorite music videos by means of Video Jukeboxes. Book Cafés offer the perfect solution to people who think that the coffee experience is incomplete without browsing through the bestsellers or reading a classic. CCD’s book corners accentuate the age-old combination of ‘coffee and books’. This exciting concept has been successfully tested at 15 cafes in 12 cities across India and the numbers are set to grow exponentially. CCD has tied up with English Book Depot; one of India’s leading book distributors for placement and rotation of reading materials appealing to Café Coffee Day’s discerning customers. Highway cafés on the Bangalore – Mysore highway and NH-8, presents the traveler en route not only with good coffee and scrumptious snacks amidst IIPM, New Delhi 26
  • 27. great ambience but also with clean restrooms to get rid of that weariness from the road! Lounge cafés at Hauz Khas, Delhi and Southern Avenue, Kolkata (Southern Avenue) and Hyderabad (Jubilee Hills) combines the style and luxury of a lounge with the lively ambience and comfort of a café. With exquisite interiors, exotic menu and thematic music CCD Lounge offers a whole new experience to the connoisseur while assisting the latter through its team of hostesses who are poise and style incarnate and are looked upon as fashion icons. Garden cafés at M.G Rd, Bangalore and GKII, New Delhi combine the joy of rejuvenating amidst verdant landscapes and pots of coffee. Cyber cafés at Brigade Rd, Bangalore, Airport, Bangalore and Airport, Delhi combine the urge to surf, not to mention get connected through the internet while enjoying perfectly brewed cups of coffees, both domestic as well as International blends! These are of course just milestones. Do watch out for sports café, singles café, fashion café……………………. IIPM, New Delhi 27
  • 28. Logo of Café Coffee Day For a brand to stand out and be successful there has to be a personal commitment from staff at all levels. The target customers must identify with it. It should be vibrant and have a “life” of its own. Liveliness, growth, fun and passion depict our brand, our customers, our staff and our future – this is embodied in our design and color. Our LOGO colors embody Red Square= Leadership, passion White Swirl = Purity of purpose, invigorating properties of coffee Green Stroke = 125 years of coffee growing heritage of this vertically integrated Group IIPM, New Delhi 28
  • 29. BUSINESS ASSOCIATION Associations CCD has emerged as an interactive alternative media for brands to communicate with the ‘young at heart’. Other media, such as electronic, print and outdoor, offer brand communication through visual and audio modes to a large section of the populace, both relevant and irrelevant. Café Coffee Day offers a much more interactive, targeted communication, sometimes adding even a taste dimension to a brand idea! Various in-café collaterals used to impart visibility to a brand inside a café or to add the element of interactivity to a campaign are Posters, Tent Cards, Danglers, Leaflets, Brochures, Coasters, Drop boxes, Contest Forms, Stirrers, and Standees etc. Over the years, CCD has successfully promoted a number of brands/products/events through various innovative tactics and promo ideas. Cashing in on its mass captive audience, we at CCD have entered into tie-ups and promotions which are well knit with our brand promise and which can be creatively used to woo the Indian Youth. IIPM, New Delhi 29
  • 30. PROMO ARCHIVE The Levi's Campaign The 6” Below the Naval Jeans campaign, the Sykes Reversible (Ulta Pulta) campaign, the Levi’s 501 campaign, the TLTT (The Levi’s Torture Test), the ‘Hello Gorgeous’ campaign et all are some of the successful in café activations designed and executed for Levi’s. Every season CCD becomes an important media for Levi’s to launch its new range of apparels. Along with providing tremendous on ground visibility in terms of wall visuals, tent cards, danglers, posters etc., a contest (wherein customers could win Levi’s GVs) is designed to inject customer interactivity and to add excitement to the entire campaign. The cohesiveness of the entire campaign is accentuated by creating a new drink and christening it as the Levi’s drink for the promo period! IIPM, New Delhi 30
  • 31. The LIRIL Campaign Liril launched its new range of soap – Liril Orange nationally through CCD by means of an innovative campaign designed for the same which included the creation of 3 new drinks called Liril Coolers (the colors of the drinks matching the new color range of Liril) along with heavy in-café branding by means of collaterals e.g. Tent cards, Menu cards, Danglers, Posters, TV stickers, Badges & Soap dispensers (in the rest rooms). The TVS Scooty Valentine Campaign The Valentine month in 2004 witnessed an innovative campaign for TVS Scooty. CCD promoted TVS Scooty by means of a creative promotion which besides adding visibility and customer interactivity also conveyed the brand attitude to the end customer and helped them relate to the same. Through the ‘TVS Scooty Valentine Singles Campaign’, customers were asked to enter the contest of why they would rather be single and make TVS Scooty their Valentine that year. The slogans/answers served as a feedback forum for the brand managers to analyze the brand connectivity of Scooty with its TG, not to mention the collection of database of the potential buyers. To add to the festivities of the Valentine month, CCD created 2 special combos called the TVS Valentine Combos– Hot & Cold (2 ice blended Cold coffees/2 Café Mochas with a Chocolate Fantasy). The contest was of course made attractive by the no. of IIPM, New Delhi 31
  • 32. freebies like Sony Discmans & MP3 players etc. which customers stood to win. Not to mention the Mega prize of a 4 stroke TVS Scooty for 2 lucky winners! The Sugar Free campaign In order to promote Sugar Free, CCD launched a “Low calorie menu” in association with the former for the calorie conscious. The new menu consisted of a wide range of Low calorie Hot coffees, International coffees, Tea, Tropical Iceberg & a range of veg. and non-veg. food as well as deserts like Lemon Soufflé to name a few. This menu was communicated to the customer by means of Sugar Free branded menu boards, menu cards etc. Also, a few bottles of Sugar Free were displayed at the counter to serve as a pointer to the on-going activity. The Channel V- Get Gorgeous Hunt ICCD was the exclusive on ground partner for the national hunt for the most gorgeous female models by Channel V, wherein candidates could drop their entry forms with portfolio at any CCD outlet. The event was heavily promoted by CCD through in café branding and on air by Channel V. CCD also launched a new range of ‘Get Gorgeous drinks’ as part of the promotion. Innovative collaterals like branded stirrers etc. were used to add that extra element of surprise. So much so was the success of the campaign that Channel V has chosen CCD to be the on ground partner for ‘Get Gorgeous- Part II’. IIPM, New Delhi 32
  • 33. The Himalaya Honey Campaign The Himalaya Drug Company had recently entered into a tie up with Café Coffee Day to promote their honey. This honey was made available through over 100 Café Coffee Day outlets across 7 cities, in a 3-month promotion where Coffee Day customers experienced the taste of pure of honey in innovative ways. Honey Cappuccino, Honey milk shake, rich chocolate cake and ice cream topped with honey and nuts! Four unique dishes were conceptualized by Café Coffee Day, each enriched with the goodness of pure Himalaya Honey. These were an instant hit with the customers. In addition to honey-based items, bottles of Himalaya Forest Honey were also available in all Coffee Day outlets. Movie Tie-Ups CCD has become an important national on ground partner for Production Houses to promote movies better among the masses by means of colorful collaterals like – posters, tent cards, danglers et al. Interactivity is ensured by conducting exciting contests around the movie wherein customers with the correct answers stand to win movie cassettes, CDs, movie tickets as prizes and also through a Lucky draw get a chance to win a ‘Coffee date with their favorite movie stars’. Hence, the ‘touch & feel’ experience to the movie. IIPM, New Delhi 33
  • 34. The ‘Mujhse Shaadi Karogi’ Promotion The contest, starting July 10, 2004 ran across 168 cafes in 42 cities for a month, where any customer billing a ‘Shagun’ amount of Rs 301 was guaranteed to win at least one prize ranging from audiocassettes to movie tickets and a chance to enter a lucky draw, which would win them a coffee date with Priyanka Chopra. To heighten the excitement, CCD even created an ambience of ‘Shaadi Season’ with cafe staff wearing heart shaped badges with ‘Mujhse Shaadi Karogi Contest @ CCD’ pinned on their shirts. Creatively designed posters and tent cards in the wedding card format were used as tools to encourage customers to be a part of this contest. Other Successful promotions have been conducted for movies like Ladder 49, The Village, Khakee, Mughal-e-Azam, Shabd etc. Sports Tie-UP Recently café coffee day has tied up with Chennai Superkings as there official food sponsor in IPL T20 Matches. BE A SANTA, and we give you lots of return gifts!!!! CAFÉ COFFEE DAY for the festive season of Christmas and New Year brings a chance to win prizes at the "BE A SANTA CONTEST". IIPM, New Delhi 34
  • 36. The café is a meeting place for 15-29 year olds, both male and female who are served the best coffee by friendly and informed staff, in an uplifting and invigorating ambience. Research shows that teen-agers form 25% of our customers while 38% of the customers are between 20 and 24years and another 23% belong to the age group of 25-29 years. Students and young professional comprise around 72% of our customers. 18% of the customers visit the cafes daily while another 44% visit weekly. Each café, depending upon its size attracts between 500 and 800 customers daily, mainly between 4pm and 7 pm. Customers describe Café Coffee Day as the place they frequent most after “home and workplace/college”. It is a place where they meet friends and colleagues, in groups of 3 or more; a place where they rejuvenate and are free to be themselves rather than a place to be “seen at” vis a vis other cafes. IIPM, New Delhi 36
  • 37. PRODUCT PROFILE PRODUCT PROFILE HOT Coffee International Coffee Coffee on rocks Ice Blended Coffee Cream Blended coffee Fruit Frappe Hot Chocolate Tea Powder Coffee Cool Drinks Creamosas Ice Creams Cool Refreshers Sundaes Quick Bites Merchandise Coffee Ad Ons MERCHANDISE Every one likes to cherish good times with a hope that they last forever. We make this a reality, in the form of merchandise, specially chosen and created for you to carry a piece of the good times spent at Café Coffee Day! So visit your nearest CCD to pick these trendy items of merchandise today!! Café Coffee Day Merchandise now got more Affordable! MERCHANDISE IIPM, New Delhi 37
  • 38. Funky Caps Rs 60 onwards Cool T-Shirts Rs 299 onwards Bags Rs 225 onwards Mugs Rs 80 onwards Coffee Filters Rs 120 onwards Mints Rs 40 onwards Coffee Powders Arabicaah Rs 65 Perfect Rs 55 Charge Rs 45 Dark Forest 200gms Rs 125 Dark Forest 500gms Rs 260 Malabar Monsoon 200gms Rs 125 Tea &Cream Assam Organic Tea Rs 110 Coffee Crèam Rs 80 New Introductions • Chatpata Wafers • Masala Crunch Wafers • Almond Biscotti • CCD’s guide to Active Holidays (A travel guide focusing on adventure sports)-Rs.150 IIPM, New Delhi 38
  • 39. Café Beat reaches more than a million smart, receptive and upwardly mobile youth of India every month. It is one of the most widely read YOUTH magazines in the country and is a part of one of the largest Indian retail youth brands - Café Coffee Day. CAFÉ BEAT FACTFILE 12 pages, all color, monthly tabloid. Available at all cafes across the country (205 cafes in 49 locations as of Today!). Available FREE of cost to customers for in-café reading. Many customers also carry it away for their referrals. 38% of the customers at CCD read Cafe Beat (survey conducted in Aug.'04 in the 4 metros). CCD gets around 3 million walk-ins in all its cafes per month. Essentially a youth magazine covering topics like movies, music, travel, lifestyle, e-dating, books, career etc. which interest the youth. Displayed on magazine stands / counter at the cafes. The new issue is kept on the tables during the first week for greater visibility. Readership profile: Students and young professionals, mostly. SEC A and B. IIPM, New Delhi 39
  • 40. “The Kiss that Counts” Do you remember your first kiss? The ‘hello’ that changed your life? It is the first experience, the earliest memories that shape our lives……and make us who we are. Muse over the experiences ranging from loneliness and betrayal to rapture and satisfaction and learn more with this issue of Café Beat. Inside Cafe Beat Every month Café Beat brews a story for the ‘young’ and the ‘young at heart’, a tale that they can relate to, a phase that they have experienced or are doing so and a decoction, which makes them feel FOREVER YOUNG! Check out the FQ (‘Funk Quotient’) of college bands in ‘Phat Noise’ and witness ‘The Ticket’ review the movies coming to the theatres near you. Be informed about the list of exciting events just around the corner. You simply can’t miss these IIPM, New Delhi 40
  • 41. Know more about the latest Cafe Coffee Day launched in your neighborhood and find the expert, Harish Bijoor throw light on how the café of tomorrow will look and feel! Is Sandra Bullock still congenial? Is direction Antara Mali’s cup of coffee?? Get your dose of gossip while navigating through the grapevine. Mr. Bean talks to the troubled hearted Add more Gadgets and Gizmos to your wish list with the G&G! Know who all have bean modeling this month? IIPM, New Delhi 41
  • 43. EXECUTIVE SUMMARY The title of the study is topic “A perspective on the introduction of Coffee Cream by Café Coffee Day” on the basis of – Objectives • To know from people time taken for preparation of coffee crème. • To know the taste of the particular product. • Pricing of the Coffee Cream The present topic aims at studying the market and research on the Coffee Day’s new product ‘Coffee Cream Liquid’ is on the basis of above-mentioned criteria. The instants coffees are increasing day by day accompanied by the demand for the same. Café Coffee Day in order to cater the demand of these segments of the market has a proposal to enter into this new segment. This study aims at market research on the Coffee Cream Liquid of Café Coffee Day. The outcomes of this dissertation are that the company will get the IIPM, New Delhi 43
  • 44. relevant information about the market. On the basis of this information the company will launch the new product Coffee Cream in the Coffee market. To launching the new product, the company should know about the customers’ perception, like pricing, quality, and interest of buying the new product. The company will get to know about these things only when the customer used the product and gives the opinion about the new product. In order to know the same, the company using he same marketing strategy called sampling strategy. Coffee Day would be sampling 80,000 bottles of Coffee Crème across the country in few cafes. They have attached the no. of cafes and the cities where they are doing a sampling activity. The Coffee Crème would be sent through stores truck and would keep them posted the minute they dispatch to particular city. Marketing in charges places shortlist the café they would like to do this activity in their respective city and places inform their store to dispatch accordingly to cafes well in advance. They need to call all the café managers for a weekly managers meeting before doing this sampling activity in their cafés and make their taste the product which would also give them and idea of the product and would help them address customer queries in the cafes while doing the sampling. They need to discuss with food and beverages in charge in their region on hoe to make hot or IIPM, New Delhi 44
  • 45. cold coffee with Coffee Crème during the café manager meeting and fix a date accordingly with them well in advance. A bottle of Coffee Crème would be given to a customer who bills more than Rs.100/- at the café or a regular customer. Coffee Day need to collect the personal data of the customer to take the free sample that is their name, e-mail id and telephone no., by maintaining small note pad or by taking the details in a small sheet a paper and carefully storing it in a box. The main idea to collect the personal data is to take the feedback regarding the product by doing Tele Calling, and based on the feedback they would be launching the same as a the part of merchandise. Data is collected in form of – • Primary data • Secondary data Primary data is collected from telephonic conversation with customers, who get the sampling of Coffee Crème. Secondary data is collected from website, journals, magazines and previous project. The data collected from both the sources is useful to understand the company background market situation if the companies, customer perception and competitors strength and weaknesses. The data is very useful to analyze the present market and give the relevant information to the company. IIPM, New Delhi 45
  • 46. Conclusion from the study The existing player in the market is Coffee Day, Nescafe, BRU, Green label, Tata Coorg. The marketing and promotion strategies of all the companies are same but this time the Coffee Day use different type of strategies to research on new product in the coffee market. Having brand image Coffee Day is looking for the best pricing, promotion and distribution strategy. Company comes up with acceptable coffee taste. IIPM, New Delhi 46
  • 48. DESIGN OF THE STUDY BACKGROUND OF THE STUDY: Theoretical background of the study is based on the “research on new product in the coffee market” at Coffee Day, which mainly for the study of consumer perception about the new product. There is one relatively easy way of finding out about customer and that is to ask them about themselves. But for that we need to know what questions to ask for the process like one of those games. Where we have to discover the mystery object by asking the least number of questions. To know laterally about the customer reaction on the product. We would require such vast volume of information that we may never be able to make practical use of it. In the most traditional forms of marketing research is therefore narrowed down to these facts which of direct use, by using models which map the purchase process. This approach focuses on the aspect of the customer’s life, which is practical interest to the marketer. There is a range of alternative models of these AIUAPR, which almost direct a links up to the step in marketing. IIPM, New Delhi 48
  • 49. AIUAPR Awareness Interest Understanding Attitude Purchase Repeat Awareness: Before anything else can happen the potential market must be aware of the service that exists. Thus the first step must be to gain the attention of the target audience. If the audience doesn’t hear the message thy not act on it, no matter how powerful the message is. Interest: It is not just enough to grab the attention, but also the message must interest them and persuade them product or service is relevant to their needs. The content of the message must therefore be clearly meaningful and relevant to the target audience’s needs. Understanding: Once the interest is established, the prospective customer must be able to appreciate how well the product or service offered meets his needs. Attitude: That a message must go even further, to persuade the reader to adopt a sufficiently positive attitude towards the product which he is going to purchase. There is no adequate way of describing how this may be achieved; it simply depends on the magic of the copywriter’s art and the strength of the product it self. IIPM, New Delhi 49
  • 50. STATEMENT OF THE PROBLEM For any company existing in the market and leader in the particular segment it is easy to enter in to the other product segment provided. It should know the basics about that particular segment provided it should know the basics about that particular segment. Café Coffee Day believes in innovation and excitement, and is passionate about coffee. Company wants to spread the coffee habit amongst every one. To do this, from time to time they bring out special coffee powder merchandise. But as we know many people do not wish to use of filter and wait even for 5 minutes for their coffee at home. They either choose tea or boiled instant coffee, which provides lesser taste and aroma. Now they have the perfect solution for such customers in the form of merchandise liquid Coffee Crème. But because this is such an innovative product they want people to taste it before they buy it so they will be doing a massive free sampling exercise. The Coffee Crème sample pack is mixture of 90% coffee with 10% chicory with permitted preservatives added which is in liquid form packed in individual bottles of net wt-60 ml; which can made 3 cup of great cup of coffee in no time at all and which can be used to make hot as well as cold coffee. IIPM, New Delhi 50
  • 51. A bottle of Coffee Crème would be given to a customer who bills more than Rs.100/- at the café or a regular customer. Coffee Day need to collect the personal data of the customer to take the free sample that is their name, e-mail id and telephone no., by maintaining small note pad or by taking the details in a small sheet a paper and carefully storing it in a box. The main idea to collect the personal data is to take the feedback regarding the product by doing tele-calling, and based on the feedback they would be launching the same as a the part of merchandise. The main reason to launch Coffee Crème is to redefine the coffee drinking taste and make it more convenient for their customer to make coffee at their home or office. The recipes are provided on the label, the customer need not be a traditional coffee drinker, its for people who are constantly on the move and have no time and not much knowledge to make a good cup of coffee, yet love the taste of coffee. The main advantage of coffee crème is its speed of preparation (no time is required for coffee decoction to form) and its simplicity of use compare to other forms of making coffee. Purchase: While the reader is considering the advertisement is the comfort of his arm chair, the final decision on other may take place some time later when the prospective buyer tries to find the shops which stock the product. IIPM, New Delhi 51
  • 52. Repeat purchase: Only if the customer is satisfied with the product he will turn in again to repeat the purchase. Need and importance of the study The need for the study is as follows, To study the awareness and perception of customer towards the new product. To know the quality of particular product compare to other product. To know the price of the product based on certain attributes. To know from people, how much time Coffee Crème will take to prepare. IIPM, New Delhi 52
  • 53. Objective of the study To know from people time taken for preparation of coffee crème. To know from where people like to buy the product. To know the taste of the particular product. Pricing of the Coffee Cream To find out the new marketing strategy is correct or not. IIPM, New Delhi 53
  • 54. REVIEW OF LITERATURE Purpose: Economy is clearly the greatest advantages of secondary data. Instead of printing data-collection forms, hiring field works, transporting them throughout the field area and editing and tabulating the results, researchers, alone or with some clerical assistance, may obtain information from a published record complied by somebody else. Also, secondary data can be more quickly obtained. While a field project often takes 60-90 days or more, secondary data cab often be collected within a few days or even hours. Another advantage of some secondary data sources is that they provide information that could not be obtained by the typical organization. The Bureau of Census, for example, can require retailers to divulge sales, expenses and profit information that normally would be inaccessible to the ordinary course of events, are less subject to the biases that might occur if the researcher were to gather the information for specific purpose. Such numbers may daunt even sophisticated scholar, yet the importance of mastering the major sources of secondary data is clear. Competent researchers must become thoroughly acquired with the major sources, especially those pertinent to the researchers’ organizations, while also exercising the imagination required locating valuable data in out of the way places. IIPM, New Delhi 54
  • 55. Methodology: Secondary data are either internal or external to the company considering their uses. Internal data are typified by summaries of sales representatives’ reports invoices, shipment records and operating statements. A research manager must necessarily become familiar with all material of this type that is available within the company. Company records must be constantly explored so as not to overlook information needed for current marketing research projects. The collection of internal data is largely a matter of knowing the company’s operating procedures and establishing systematic methods for recording the desired information. Collection of external data is more difficult because the data have much grater variety and the sources are more numerous. External data can be divided into four classes: - 1. Census and registration data. 2. Individual project report publicly circulated in encyclopedias, books, monographs, bulletins and periodicals. 3. Data collected for sale on a commercial basis. 4. Miscellaneous data. IIPM, New Delhi 55
  • 56. Conclusion: On many occasions, researchers must choose from among two or more sources of data, the choice should be guided by the determination of which data score highest on the following considerations. Pertinence: To be usable, the data must be use the same units of measurements specified in the project must be applicable to the period of time in question and must be derived form of universe of interest. Classes of data must be constructed in the same way as in the project. Who collected and published the data and why? In evaluating secondary data, the researcher must examine the organization that makes that collected the data and the purposes for which they were published. An organization that makes the collection and publication of data its chief functions is apt to furnish accurate data. Obviously, the success of such affirm depends on the long run satisfaction of its clients that the information supplied is accurate. This ability of an organization to procure the wanted information is a pivotal consideration. This often reduces itself to a matter of authority and prestige. The U.S. Bureau of Internal Revenue, for instance, can obtain accurate information about income more easily than any private firm simply because it has legal authority to do so. IIPM, New Delhi 56
  • 57. When feasible, the capabilities and motivation of the individuals responsible for the data collection should also be appraised. Reputation, experience and degree of independence on the particular project are all germane considerations in assessing the reliability of an “expert”. An individual working for an independent research agency would be more likely to turn out an accurate report than the same individual working for an organizations committed to one side of a question. Discovering the purpose for which data republished is mandatory for an adequate evaluation of secondary data. Data published to promote the interests of a particular group whether political, commercial or social are suspect. At the same time, not all data created to sources with an exe to grind should be dismissed out of hand nevertheless; information so procured should always be handled with care. Data collection methods: If a source fails to give a detailed description of its methods of data collection, researchers should be hesitant about using the information provided. All too often shyness about revealing the procedures used to collect data suggests the employment of inadequate methods. Most primary sources, however, described, their methods, even if only briefly. When the methodology is described, researchers should subject it to a painstaking examination. Even if the procedures appear sound, caution must be exercised because weakness tends to be camouflaged. Searching questions must be IIPM, New Delhi 57
  • 58. answered positively before the data can be used. If a sample was used, was it selected objectively? Was it large enough, particularly for the sub-samples? Was it chosen from the universe or interest? Was the questionnaire adequate for getting the desired information? What kind of supervision was exercised over the people who actually collected the data? Were any checks made on the accuracy of the field workers’ results? General Evidences of careful work: An indispensable point of evaluation is the general evidences that the data have been collected and processed carefully. Is the information presented in a well-organized manner? Are the tales constructed properly and are they consistent within and among themselves” are the conclusion supported by the data? Conflicting Data: If several sources of data relating to a researcher’s problem are available, the data can be submitted to quality control analysis of the sort applied in production. After dividing the data into “good” and “poor” on the basis of criteria like those mentioned above, correlations on points of interest can be run between the two groups, and statistical tests can be made. In projects that rely heavily on secondary data, this technique is particularly valuable. IIPM, New Delhi 58
  • 59. Benefits Derived From The Review Of Literature: 1. It facilitates to know, Types of secondary data. Advantages and disadvantage of secondary data. Uses of secondary data. Evaluation of secondary data. 2. It helps to know the following, Topic on which the similar research has been done previously. Purpose of the earlier similar research. Methodology adopted in earlier research. Conclusion derived form the earlier research. 3. If facilitated to know how this research is different from the earlier once. 4. Helped the researcher to know the area in which more concentration is needed. 5. Helped in making this research more specific and precise there by enabling to analyze the problem systematically. IIPM, New Delhi 59
  • 61. RESEARCH METHODOLOGY Type of Research: Here the types of research, which are used for data collection, are Descriptive Research. In this descriptive research the researcher colleted the database of customers, who got the sampling bottle. Researcher also made the questionnaire and telephonic interview of customer. Sampling Technique: The sampling technique used for this report is stratified random sampling. Why stratified random sampling?  Obtaining information about parts of universe.  Greater precision through stratification. How this technique works?  The universe to be sampled is divided into the groups that are mutually exclusive and include all items in the universe.  A simple random sampling is then chosen independently from each group or stratum. Stratified random sampling differs from simple random sampling. In that with the latter sample items, the sample is designed. So, that a separate random sampling is chosen from each stratum. In simple random sampling the distribution of the sample among strata is left entirely to chance. IIPM, New Delhi 61
  • 62. Sample Size: As Café Coffee Day have wide range of customers, the selection of samples was difficult. But, with the best of my knowledge the researcher chose 750 customers of heterogeneous nature of Café Coffee Day. And the researcher got the responses from 510 customers out of total 750 customers. From these 510 customers, 108 customers did not use the product and that’s why they are not able to give answer of any questions. Rest of 402 customers has given the answers of questionnaires. So that the researcher has taken the final sample size is 402. Instrumentation Technique: The instrumentation techniques used for this research are:  Questionnaire.  Personnel Interview Most of the questions are closed ended and open ended, asked only under the circumstances when needed. IIPM, New Delhi 62 Questionnaire UnstructuredStructured Open Ended Close Ended
  • 63. Actual Collection of Data: There are basically four methods for data collection. Survey Method Experimental Method Observation Method Questionnaire: 1. Structured 2. Unstructured The data was collected by the researcher through telephonic conversation with customers. Scope of the study The research that the researcher has conducted will help Café Coffee Day in many ways to increase their sales and to understand their consumer satisfaction level. With the help of this research the vision of Café Coffee Day is to redefine the coffee drinking taste and make it more convenient for their customers to make coffees at their home or office. IIPM, New Delhi 63
  • 64. Limitation of the study As each and every research, my research also has some of its own limitation. Some of them are illustrated below. As the customer belt of Café Coffee Day is huge, the researcher could not meet all of them to collect information. So, the researcher had to take the sample out of the existing customers and conduct the study. The method choose to collect information are questionnaire. As questionnaires take the time of the customers, many customers were not ready to give the require information. Due to the scarcity of time the study was limited to Bangalore city only. The customer group or the sample group includes only that customer who got the free sampling bottle. Personal bias i.e. subjectivity in analyzing the data collected. IIPM, New Delhi 64
  • 65. RESPONDENT PROFILE “Respondent is the person present in the sample size who gives response to the questions asked through telephonic conversation”. For my research the respondents group included all type of people like musicians, software engineers, corporate, businessmen, families, self-employed people etc. Many of the respondents would like the coffee day’s beverages. They would like to sit in café coffee day listening to the music and enjoying their beverages. Majority of customers like the taste of coffee crème liquid and they are very excited to buy this product. IIPM, New Delhi 65
  • 67. ANYLYSIS AND INTERPRETATION OF DATA Table – 1 Table showing the availability and response from respondents Availability of respondents No of respondents Percentage Customers not accessed 32 32.00% Customers accessed but not replied 14 14.00% Customers accessed and replied 54 54.00% Total 100 100% Source: Primary data Table showing the availability and response from respondents Analysis: The tables clearly indicate that how many respondents able to access. That is 32 % respondents who could not be accessed.14.0 % respondents who were accessed but not able to give response. Only 54.0 % respondents, who were gave response. Inference: The total sample collect by the researcher was 100. Out of this data maximum respondent give the response so calmly. Very less respondents have not able to giving response because of they did not use the product and some of respondent were not able to be accessed. IIPM, New Delhi 67
  • 68. Graph – 1 Graph showing the availability and response from respondents. IIPM, New Delhi 68 Telecalling Data 32% 14% 54% Customers not excessed Customer excessed but not replied Customers excessed
  • 69. Table – 2 Table showing the type of beverages that consumed by the respondents. Beverages Response Percentage Hot Coffee 78 78% Cold Coffee 22 22% Total 100 100% Source: Primary data Table showing the type of beverages that consume by the respondents Analysis: From the above table we can find that maximum no of respondents i.e. 78 % respondents consumed hot coffee and the rest of 22 % consume cold coffee. Inference: From the graph we can assume that maximum respondents want to use Coffee Cream as a hot coffee. IIPM, New Delhi 69
  • 70. Graph – 2 Graph showing the type of beverages that consume by the respondents 78% 0% 22% Hot Coffee Cold Coffee IIPM, New Delhi 70
  • 71. Table – 3 Table showing the time taken to prepare the Coffee Cream Time taken to prepare Rate Response Percentage Less than 4 min 8 out of 10 8 0.08 4 to 10 min 5 out of 7 90 0.9 More than 10 min 1 out of 5 2 0.02 Total 100 1 Source: Primary data Table showing the time taken to prepare the Coffee Cream. Analysis: 8.0 % respondents said that Coffee Cream takes less than 4 minutes to prepare. 90 % respondents said that Coffee Cream takes 4-10 minutes to prepare. 2 % respondents said that Coffee Cream takes more than 10 minutes to prepare. Inference: Graph shows that Coffee Cream takes 4-10 minutes for preparation. IIPM, New Delhi 71
  • 72. Graph – 3 Graph showing the time taken to prepare the Coffee Cream. Ease of use 8% 90% 2% Less than 4 min 4 to 10 min More than 10 min IIPM, New Delhi 72
  • 73. Table – 4 Table showing the taste of coffee cream Taste Rate Response Percentage Very Good 7 – 10 72 0.72 Good 5 – 7 25 0.25 O.K. 3 – 5 2 0.02 Bad 1 – 3 1 0.01 Total - 100 1 Source: Primary data Table showing the taste of coffee cream Analysis: From the above table we can indicate that 72 % respondents very much like the taste of Coffee Cream. 25 % respondents said that Coffee Crème is good as compare to instant coffee. 2 % respondents said that Coffee Cream was ok only and 1 % respondents did not like the taste of Coffee Cream. Inference: Majority of respondent very much like the taste of Coffee Cream, few of them did not like the taste of it. IIPM, New Delhi 73
  • 74. Graph – 4 Graph showing the taste of coffee cream Taste of Coffee Cream 72% 25% 1%2% Very Good Good O.K. Bad IIPM, New Delhi 74
  • 75. Table – 5 Table showing the price of coffee cream, suggested by respondents Price of coffee cream Response Percentage Less than 10 Rs. 6 0.0597 Rs. 10 – 20 41 0.4055 Rs. 20 – 40 51 0.5139 More than Rs. 40 2 0.0199 Total 100 1 Source: Primary data Table showing the price of coffee cream, suggested by respondents Analysis: From the above table we can easily find that 6 % respondents suggest the price of Coffee Cream should be less than 10 Rs. 41 % respondents suggest it price should be in between 10 - 20 Rs. 51 % were suggested the price should be in between 20- 40 Rs Very less respondents i.e. 2 % suggest its price should be more than 40 Rs. Inference: From the graph we can assume that the price of Coffee Crème should be in between 30-40 Rs. IIPM, New Delhi 75
  • 76. Graph – 5 Graph showing the price of coffee cream, suggested by respondents 6% 41%51% 2% Less than 10 Rs. Rs. 10 – 15 Rs. 20 – 40 More than Rs. 40 IIPM, New Delhi 76
  • 77. Table – 6 Table showing interest of buying the coffee cream Interest of Buying Responses Percentage Yes 98 0.9776 No 2 0.0224 Total 100 1 Source: Primary data Table showing interest of buying the coffee cream Analysis: Maximum respondents i.e., 97.76 % have very much interested to buying the Coffee Cream and remaining only 2.24 % respondents have not interested to buy such kind of product. Inference: We can easily find out few of the respondents would not like to buy the Coffee Cream, Maximum respondents are very much interested to buy such kind of product. IIPM, New Delhi 77
  • 78. Graph – 6 Graph showing interest of buying the coffee cream 98% 2% Yes No IIPM, New Delhi 78
  • 79. Table – 7 Table showing the decision of customers towards this research activity Decision Responses Percentage Yes 54 54% No 46 46% Total 100 100% Source: Primary data Table showing the decision of customers towards this research activity Analysis: 54 % respondents agree with Coffee Day’s research activity. 46 % were not agreed with the company’s decision. Inference: From the graph we can assume that more than half of the respondents agreed with Coffee Day’s research activity. IIPM, New Delhi 79
  • 80. Graph – 7 Graph showing the decision of customers towards this research activity 42 44 46 48 50 52 54 Yes No Yes No IIPM, New Delhi 80
  • 81. Table – 8 Table showing the place of purchasing the Coffee Cream Bottle Place of Purchasing Responses Percentage Café Coffee Day 61 61% General Market 39 39% Total 100 100% Source: Primary data Table showing the place of purchasing the Coffee Cream Bottle Analysis: Form the above table we can find out that majority of respondents i.e. 61 % want to buy the product from Café Coffee Day. 39 % said that, if the product will available in general market, it would be better for them. Inference: We can easily find that more than half of customers want to buy the Coffee Cream from Café Coffee Day. IIPM, New Delhi 81
  • 82. Graph – 8 Graph showing the place of purchasing the Coffee Cream Bottle Place of purchasing the product 61% 39% Café Coffee Day General Market IIPM, New Delhi 82
  • 84. SUMMERY OF FINDINGS Most of the consumer consumes Coffee Crème as hot coffee. The maximum market says that it will take 3-4 minute to prepare. Most of the customer likes the taste of Coffee Crème. Most of the market is very much interested to buy Coffee Crème. Most of the market says that the price of the 60 ml bottle of Coffee Crème should be in between Rs. 40 to 50 /- Majority of customer prefer to buy Coffee Cream from Café Coffee Day. IIPM, New Delhi 84
  • 86. RECOMMENDATION AND SUGGESTION Recommendations and suggestions are the outcome of interpretation of collected data. In other words, procedure of converting raw data collected in to useful information is called as recommendation or suggestion. Usually this step serves the company to understand the problem existing and to design the solution. Recommendation and suggestion are very important for a research or a study. So with the help of my study, the researcher can give the following recommendation and suggestion; Company should go for attractive advertisement to bring the attention of customers, towards the product. Company should provide the Coffee Cream in small packets such that it is easy to carry for all type of people. Company should concentrate on making the bottle attractive as much as possible. If company can satisfy the flavor urge of the customers than company can grab the huge amount of consumers. Company should mention the integrants contains for making the Coffee Cream, liquid. Company should concentrate more on the product availability such that it is available in every nook and corner. The price of the Coffee Cream should be around Rs.40/- for the 60 ml, which can be affordable by all type of customers. IIPM, New Delhi 86
  • 87. CONCLUSION The recommendation provided is strictly based on the information gathered by market survey through the tele marketing. From the above detail we can easily conclude that, Coffee Day has to take necessary step towards the Coffee Cream, which should take less time to prepare. We can also conclude that, the innovative product called Coffee Cream will prove to be an effective taste definitely attracts all type of customer. Price of the Coffee Cream should be fixed around 40/- Rs. IIPM, New Delhi 87
  • 89. ANNEXURE BIBLIOGRAPHY Reference Books: Philip Kotler Marketing Management. Paul Pefer & Marketing Management James H. Donnelly Malhotra N. K. Marketing Research-An Applied Orientation Reference from website: Cafe Coffee Day Wikipedia Cafecoffeeday blog Delhi capital Reference from previous project • Marketing Research on consumer satisfaction towards Café Coffee Day. • Developing launching strategy for Coca-Cola’s for coffee and tea. IIPM, New Delhi 89
  • 90. QUESTIONNAIRE Respected sir/madam, I am Sachin Khera, an MBA student of Indian Institute of Planning and Management. As a part of a curriculum, I am conducting a study on, “RESEARCH ON A NEW PRODUCT IN THE COFFEE MARKET” at Café Coffee Day. I will be grateful if you answer the following questions: Name: Telephone number: Email id: 1. Which beverage did you make while using the “COFFEE CREAM”? Hot coffee Cold coffee 2. A part from the taste do you feel that, “COFFEE CREAM” is easy to make, compared to instant coffee? (rate it on the scale of 1-10) TIME RATE Less than 4 minutes more than 8 4-10 minutes 5-7 More than 10 minutes Less than 5 IIPM, New Delhi 90
  • 91. 3. How do you feel after consuming the, “COFFEE CREAM”? (Rate it on the scale of 1-10) RATE Very Good 7-10 Good 5-7 OK 3-5 Bad Less than 3 4. Would you like to buy, “COFFEE CREAM” if it will launch in market? Yes No 5. What should be the price range of 60 ml, “COFFEE CREAM”? Less than 10 Rs. 10-15 Rs. 15-20 Rs. 20-25 Rs. More than 25 Rs. 6. Would you like to buy, “COFFEE CREAM” only from Café Coffee Day? Yes No IIPM, New Delhi 91
  • 92. 7. Do you agree the decision made by Café Coffee Day that the new product “COFFEE CREAM” has given to only those customers who spend more than 100/- Rs. In Café Coffee Day and regular customer? Yes No 8. If you have any suggestion, than please specify, ________________________________________________________________ ________________________________________________________________ Thank you. IIPM, New Delhi 92
  • 93. RESPONSE SHEET Response sheet number: 1 Thesis Topic: “A perspective on the introduction of Coffee Cream by Café Coffee Day” Date: 27-may-2008 Details: Name: Sachin Khera Batch: PGP SS 2006/2008 Alumni Id: DS68-M310 Phone No: +91-9971100621 Email Id: sachinkhera15@gmail.com sachin.khera@wipro.com Date when the guide was consulted: 25- May-2008 Progress of the work: Collection of company data through Secondary Research using internet like company website and other related websites. Mainly collection of data like company history, business profile, branches in Delhi, and defining a problem statement. IIPM, New Delhi 93
  • 94. Response sheet number: 2 Thesis Topic: “A perspective on the introduction of Coffee Cream by Café Coffee Day” Date: 7-June-2008 Details: Name: Sachin Khera Batch: PGP SS 2006/2008 Alumni Id: DS68-M310 Phone No: +91-9971100621 Email Id: sachinkhera15@gmail.com sachin.khera@wipro.com Date when the guide was consulted: 6-June-2008 Progress of the work: Worked upon Executive summary and Statement of problem. Comments from external guide: We discussed about how to make a Survey form (questionnaire) to find out the awareness of the consumer of café coffee day coffee cream product and area of survey was yet to define. IIPM, New Delhi 94
  • 95. Response sheet number: 3 Thesis Topic: “A perspective on the introduction of Coffee Cream by Café Coffee Day” Date: 10-June-2008 Details: Name: Sachin Khera Batch: PGP SS 2006/2008 Alumni Id: DS68-M310 Phone No: +91-9971100621 Email Id: sachinkhera15@gmail.com sachin.khera@wipro.com Date when the guide was consulted: 9-June-2008 Progress of the work: Wrote Product Profile, Background study of the topic and Prepared Sample size. Comments from external guide: We discussed about what sample size to take which can help in making questionnaires and carry out research. IIPM, New Delhi 95