Jitesh Project

SHRI RAMSWAROOP MEMORIAL GROUP OF PROFESSIONAL COLLEGES LUCKNOW SUMMER TRAINING PROJECT REPORT ON ³SALES PROMOTION OF LIQUOR BEVERAGES & FRUIT JUICE OF MOHAN MEAKIN LTD.´ SUBMITTED IN PARTIAL FULFILLMENT OF REQUIREMENT FOR THE AWARD OF DEGREE OF MASTER OF BUSINESS ADMINISTRATION TO GAUTAM BUDDHA TECHNICAL UNIVERSITY , LUCKNOW FOR THE SESSINON 2011-12 Under Guidance of : Shilpi mam Lecturer Management department SRMGPC,Lucknow Submitted by: Jitesh Kumar Roll no:-1012270068 M.B.A. 3rd Semester 1 ACKNOWLEDGEMENT I express my gratitude to all the people who give their help and support for completing the project on ³SALES PROMOTION OF LIQUOR BEVERAGES & FRUIT JUICE OF MOHAN MEAKIN LTD.´. I take this opportunity to extend my sincere thanks to Mr. Mohit Sharma (Marketing Officer, Mohan Meakin) & All staff members of Mohan Meakin Ltd. for sharing his knowledge and guiding us when needed. From the very beginning to the end of our training period Mr. Ram Shankar yadav (Area Interpretative) had been a continuous source of inspiration and shared with us his years long experience of the market, providing to be very fruitful in the completion of this project. They showed us the very realities of the market and how the market differs from the theoretical world. I am also thanking Mrs. Shilpi Bajpai Mam Lecturer of SRMCEM, Lucknow. At last but not the least I want to thanks my parents and all my teachers & friends for their valuable co-operation and support, which made the completion of the project easy. Thanking you Jitesh kumar M.B.A. 3rd Sem. SRMCEM 2 PREFACE In every management institute it is essential to undergo a project in an organization. It¶s my privilege to do a project work in Mohan Meakin Limited, a most reputed distillery in India. The summer training projects gives the opportunity to management students to become familiar with the real life business situation and also gives opportunity to the student to review their theoretical studies in practical way. The topic of the project was ³SALES PROMOTION OF LIQUOR BEVERAGES & FRUIT JUICE OF MOHAN MEIKENS LTD.´ The liquor market in India is growing day by day and competition too. Since foreign companies have also increased their action in India. These circumstances encouraged me to do the project on this topic. The project work was the great challenge for me because now I am doing and learning every thing practically. I surveyed the customer¶s requirements and expectations from the product and views of retailers. I also examined the selling, packaging and consumption of liquor. This project will really be a successful project if it can throw some light on the areas where Mohan Meakin can improve. 3 TABLE OF CONTENTS ORGANIZATIONAL CERTIFICATE COLLEGE CERTIFICATE ACKNOWLEDGEMENT PREPHASE PART:- I 1. INTRODUCTION 2. HISTORICAL BACK GROUND 3. ORGANIZATIONAL STRUCTURE I. Organizational Chart II. Board of Director¶s III. Sales staff Structure IV. Lucknow Unit 4. PRODUCT & SERVICES OFFEREDBY ORGANIZATION 5. PRODUCT PROFILE I. Kind of Alcoholic Product II. Manufacturing Process III. Product Line IV. Introduction of Industry 6. SERVICES I. Distribution Channel II. Quality Control III. Sales Promotion PART:- II 7. EXECUTIVE SUMMARY 8. PROCESSING AND ANALYSIS OF DATA I. Objective of Research II. Research Methodology & Research Process III. Detail of Research Design & Data Collection IV. Selection of Survey technique & Joint Venture V. Brand of Various Company 9. RESPONSE OF MARKET SURVEY CONDUCTED DATA ANALYSIS & INTERPRETATION. I Sales of Product II Base of Purchase III Consumer Age Group IV Analysis of Computation of consumer V Reason for preferring & Particular Product VI Media Preference of the Consumer 4 VII Reason for Taking Alcohol Drinks VIII Frequency of Drinking IX Size Preferred by People X Market Strength 10. Limitation 11. Suggestions 12. Conclusion 13. Bibliography 14. Anexture I. Questionnaire Construction II. Questionnaire 15. List of Retailers Shop 5 PART 1 6 INTRODUCTION Use of alcohol as a drink is not new in India. The techniques for fermentation and distillation were also available in ancient time. (Vedic time) The products, which had been used at that time for worshiping was known as ³Soma Rasa´. At present alcohol has its own importance in the Ayurvedic system of medicine CAREW & Co. Ltd. Set up the 1st distillery for manufacturing of Rum at Kanpur (U.P.) in 1805 for Army. The techniques of fermentation, distillation and blending of alcohol beverages were developed in our country are greatly influenced by the practices adopted overseas practically and particularly in Europe. At present we can divide the distillery industry in two parts 1st potable (drinkable) and 2nd Industrial alcohol. The former one producing IMFL (Indian Made Foreign Liquor) and country liquor has a constant demand with a growth rate of about 8.25 annually. On the other hand due to the high price of ³Molasses´ the graph of Industrial alcohol has a downward bend because Molasses is invariably used as substance for production of alcohol. The alcohol produced is being utilized in the ratio of approximately 52% for potable and the approx. 48% for industrial use. The potable liquor industry has been showing remarkable results in the production of quality spirits for many years. The Ethyl Alcohol or Ethanol which is popularly known as alcohol which has been regularly used by the industries had come into existence at the end of the 2nd World War and sugar industry got protection in 1932 and large no. Of sugar factories were established in the country, particularly in U.P. and Maharashtra where all facilities for irrigation were available for cultivation of sugarcane. There was only one way to solve this problem and that is to develop the alcohol based industries for the purpose of utilization of Molasses and for the implementation a committee of U.P. & Bihar was consulted. 7 The committee in its report suggested the establishment of distilleries for the production of alcohol utilizing molasses as substance. Alcohol can also be mixed with mineral products (Petrol) to supplement motor fuel so the product of alcohol did not only help in solving the problems of disposal of molasses but it also bridge the gap in the demand and supply of motor spirit. As a substantial quantity of alcohol after meeting its requirement for manufacturer of Gasohol (Gasoline) alcohol was diverted for the production of alcohol based chemical in different parts of the country. The utilization of alcohol for this purpose progressed steadily and a substantially quantity of alcohol produced in the country is now being utilized for the manufactured of solvents (thinner, spirit) and intermediates. About 50% of alcohol produced in the country was being used for the production of alcohol based chemicals just few years back but in the year 1993 for production of chemicals, dyestuff, polymers, synthetic rubber and plastic etc. after the decontrol of molasses. Mohan Breweries & Distilleries Limited (MBDL) is one of the leading manufacturers of Indian Made Foreign Liquor & beer products in India. MBDL was incorporated in 1982 in technical collaboration with M/S Mohan Meakin Ltd, Ghaziabad, India who are amongst the pioneers in liquor manufacturing with over 100 years of experience. MBDL has also power generation units, generating power using non-conventional energy sources for their captive usage. 8 Historical Background The company traces its history back to the year 1855, when a brewery was set up at Kasauli by Mr. Edward Messro Dyer@co. During the same century another gentleman named H.G. Meakin, who came from well known brewing family at Burton-on-Trent founded Meakin@com. He bought the Shimla@Kasauli Breweries@Dalhousie, Ranikhet, Chakrata, and Darjeling and built other at Kirkee. Both the firms E.Dyre@com. & Meakin@com. continued their activities separately until, under the second decade of 20th century when the two firms joined hands and the new firm was formed under the name [email protected] 1935 when Burma separated from India, the company was reformed with its Indian associated under the name and style of Dyer-Meakin breweries ltd. The company changed hand in 1950 when its control and management was taken over by the late ³PADAMSHREE´ winner N. N. Mohan as its Managing Director who set up an ambitious industrial complex at Mohan Nagar, Ghaziabad. The Mohan Nagar industrial estates drives its nomenclature from the name of its founder late ³PADAMSHREE´ winner N.N. Mohan to mark the contribution of Mohan¶s the company name was changed from Dyer Meakin Breweries Ltd. to ³Mohan Meakin Breweries Co. Ltd. in 1967. On the passing away of N.N. Mohan in 1969 his eldest son V.R. Mohan took over as managing director of the company. He introduced a number of products that are brand leaders even today. During his entrepreneurship he promoted Mohan Gold water breweries at Lucknow, Mount Shivalik Breweries Ltd. at Chandigarh @ Mohan Rocky spring water Breweries at Khapoli. Col. Mohan was the mayor of Lucknow city; he was also elected as member of Rajya Sabha in1972. In the seventies, the manufacturing activities of the company were diversified into other fields under the dynamic leadership of Brig. Kapil Mohan (VSM), who become the managing director of the co. in 1973 after the tragic death of elder brother Col. V.R. Mohan. Brig. Kapil Mohan promoted projects of breweries, distilleries and Glass factory in Nepal, Kenya and Bhutan and provided technical expertise to several breweries and distilleries in India. He with his spiritual power supports the cause of workers welfare and workers participation in the management of the company. 9 In the year 1982 the worker ³Breweries´ was dropped from the name of the company to remove the impression that the company is engaged only in the beer making. Lucknow distillery is one of the manufacturing units of Mohan Meakin Ltd. It was set up by the Dyer Meakin@Com. in the historical city Lucknow on the perennial river ³ Gomti ´. The distillery is housed in the building built about four hundreds years back by the nawabs of Awadhs. It is worth mentioning that Mohan Meakin has provided technical expertise to-  Mohan Meakin Water Breweries Ltd., Lucknow  Mohan Rocky Spring Water Breweries Ltd., Maharashtra  Mount Shivalik Breweries Ltd., Punjab  Artos Breweries ltd., Andhra Pradesh  Nagaland Distilleries, Nagaland  Mohan Breweries & Distilleries, Madras  Shivalik kinema Pvt. Ltd., Patna  Golden Drinks Pvt. Ltd., Gwalior  Maharashtra Distilleries , Nagpur 10 OLD Monk, the world's third largest selling rum brand, is under pressure with sales declining for two successive years, 2002 and 2003. This comes at a time when its main challenger in the domestic market, McDowell's Celebration Rum, posted two-digit growth in the same period to emerge as the fifth largest selling rum in the world, according to the US-based global drinks digest, Impact International. The latest figures released by the widely respected Impact International shows that Old Monk has slipped from 8.2 million cases in 2001 to 7.8 million cases in 2002 and dropped further to 7.2 million cases in 2003. The volume decline from 2001 to 2002 was about 5.5 per cent, while the slip from 2002 to 2003 accelerated to 6.7 per cent. Old Monk, owned by Mohan Meakins Ltd, is the third largest selling rum after Bacardi with 19.7 million cases and Tanduay with 12.9 million cases. Diageo's Captain Morgan comes fourth in the pecking order followed by McDowell's Celebration Rum. In fact, Celebration Rum is the fastest growing among the top five rums with annual depletions vaulting from 2.7 million cases in 2001 to 4.1 million cases in 2003, according to Impact. This brand from the world's fourth largest spirits marketer, UB Spirits Division, reported 22 per cent growth to touch 3.3 million cases in 2002 and then bettered it with 24 per cent rise to reach 4.1 million in 2003. Captain Morgan is the only other brand in the top five to make any impressive gain when its volume sales went up by 9.5 per cent to cross 5.6 million cases in 2003 from 5.1 million cases in the previous year. Bacardi reported a moderate growth, while Filipino rum Tanduay remained almost stagnant. Old Monk has been the biggest Indian made foreign liquor (IMFL) brand for many years. The 88-million-cases strong IMFL market is dominated by whisky flavour and Old Monk's leadership is mainly due to its cult status. It is widely seen as a recruit brand for consumers upgrading to hard spirits and also enjoys significant clout in the CSD channel meant for armed forces. If its decline continues unchecked, the brand is in danger of surrendering its top slot in the IMFL list to UBSPD's Bagpiper Whisky. The industry observers attribute Old Monk's lacklustre showing to lack of efforts to shore up its sagging brand equity. "There has been no strengthening of the brand of late even though the residual equity of a brand like that will be phenomenal," industry observers said. Old Monk is the only spirits 11 brand to figure in the celebrated ad guru Ian Batley's list of potential Great Indian Brands, which could tap the $550-billion world market. In recent years, Old Monk, known for its brand strength of toughness, had resorted to audacious price cuts in the State-controlled south Indian markets to drive volumes. Established in Calcutta in 1886, Shaw Wallace bears a legacy that is drenched in the spirit of India for the last 116 years. The company came into existence at a time when the country was in the thick of its struggle for freedom against colonialism. It was an era of cataclysmic change, powered by the crystallization of the social, political, cultural and economic ideologies that would define the very future of India. The Indian Nationalist movement came to the fore under the leadership of W. C. Banerjee in Bombay barely a few days after Shaw Wallace was founded. If 1886 marked the inception of the remarkable Rama Krishna Mission by Swami Vivekananda following the demise of one of the greatest Indian saints, Ramakrishna Paramhansa it also witnessed the release of Rabindranath Tagore's literary masterpiece Kari-o-Komol. Set against a backdrop of changing ideas and structures that governed India's germination into an independent entity, Shaw Wallace after a modest beginning blossomed into one of the forerunners in the alcohol and beverage industry. 12 ORGANIZATIONAL STRUCTURE MOTTO OF MOHAN MEAKIN LTD.: TRADITION, CRAFTSMANSHIP and INTEGRITY are the three pillars in which the wide edifice of MOHAN MEAKIN LTD. is standing. Company Works With a single motto- ³EXCELLENCE WITH ECONOMY´ Meaning of staff for MOHAN MEAKIN family: S = Sincerity And Loyalty To Brig. K. Mohan T = Tact A = Awareness F= Fact F= Figure TEAMT = Together E = Enthusiasm A = Absolute Loyalty M = Motivation 13 THE GENERAL ORGANISATIONAL CHARTS ARE AS FOLLOWS: - MANAGING DIRECTOR THE GENERAL MANAGER REGIONAL SALES MANAGER AREA SALES MANAGER SALES SUPERVISOR 14 BOARD OF DIRECTORS MANAGING DIRECTOR BRIG. (Dr.) KAPIL MOHAN VSM (RETD.) Ph.D. AUDITORS A.F.FERGUSONS & CO. CHARTERED ACCOUNTANTS NEW DELHI BANKERS PUNJAB NATIONAL BANK SOLICITORS J.B.DADA CHANJI & CO. NEW DELHI REGISTRAR & TRANSFER AGENT M/S BEETEL FINANCIAL& COMPUTER SERVICE (P) LTD. NEW DELHI REGISTERED OFFICE SOLAN BREWERIES PVT (SHIMLA HILLS) HIMACHAL PRADESH - 173214 DY. MANAGING DIRECTOR MR. HEMANT MOHAN EXECUTIVE DIRECTOR MR. RAKESH MOHAN FINANCIAL DIRECTOR MR. P.D. GOSWAMI F.C.A., F.C.S. DIRECTORS MR. VINAY MOHAN LTD. MR. L.K. MALHOTRA MR. J.K. JAIN SECRETARY MR. H. N. HANDA B.COM, F.C.S., F.C.A. AMCIA (LONDON) 15 STRUCTURE OF BOARD OF DIRECTORS MANAGING DIRECTOR  Executive Director  Finance Director  Director  Director  Director  Director SECRETARY  Administration Manager  Production Manager  Materials Manager  Sales Manager  Stores Manager  Packaging Manager 16 STRUCTURE OF SALES DEPARTMENT Sales department of the company works efficiently and following the flat structure where at every different stage officers/in charge are placed who are free to do their area of work. Mr. Anil Dang is the sales manager of Mohan Meakin Ltd., Lucknow distillery. His area of work is to supervise and manage the sales of the foreign liquor. Sales supervision is on the top of the hierarchy of the sales department. Sales supervision and sales personnel work are under the direct control of the sales manager. Orders given by sales manager Mr. Dang have to be followed by the department employees. HIERACHY OF SALES DEPARTMENT SALES MANAGER SALES SUPERVISOR SALES PERSONNEL 17 LUCKNOW UNIT OF MOHAN MEAKIN LTD. Lucknow Distillery is one of the manufacturing units of Mohan Meakin Ltd. It was set up by the Dyer Meakin@Co. in historical city Lucknow at the bank of perennial river ³Gomti´. The distillery is housed in building about 400 years back by the Nawabs Of Awadh. The production capacity of the unit in Lucknow is 48 Lac alcoholic Ltr. per annum @ 18000 Ltr. per day. In Lucknow Distillery there are about 900 workers employed. There are three shifts in each duty of 8 hours and that to in the daytime from 8 to 6 p.m. 18 PARENTS UNITS OF MOHAN MEAKIN LTD. The registered office is situated at Solan near Shimla in Himachal Pradesh. Their units are located at: - SOLAN KASAULI LUCKNOW MOHAN NAGAR Distillery, Brewery & Bottling Distillery Distillery, Brewery & Bottling Distillery, Brewery, Glass Factory and Fruit Product Unit. 19 TECHNICAL COLLABORATION OF MOHAN MEAKIN LTD. WITH DIFFERENT ORGANISATIONS INSIDE INDIA 1. 2. 3. 4. 5. 6. 7. Maharashtra Distillery Mohan Gold Water Breweries Ltd. Mount Shivalic Breweries Ltd. Chittor Co-op Ltd. Mohan Rocky spring water, Water Breweries Merry Drinks Golden Drinks Ltd. OUTSIDE INDIA 1. 2. 3. 4. 5. 6. Himalaya Brewery Ltd. Mohan Meakin Kenya Ltd. Rijal Tansi Industries, Nepal Army Welfare Project, Bhutan Galat Industries Ltd. Zupack Gentistries, Germany 20 PRODUCT PROFILE Alcoholic drink is a mixture of alcohol, sprit, water and minor ingredients in the industry as congeners. Consumable alcoholic water has no flavor, only careful selection of the congeners i.e., all substance that is generated during the information of alcohol in the fermentation process and also in the course of maturation least potable products. Therefore alcoholic drinks offered the worlds over the blended to provide uniform blend bouquets palatability. The alcohols drinks have to be known in their present form and nomenclature owing to the British rules and tradition. During the British time alcoholic beverage were divided into various groups, which are as under:  COUNTRY MADE  IMFL (INDIAN MADE FOREIGN LIQUOR)  FOREIGN LIQUORS 21 COUNTRY MADE This is unorganized sector and occupying about 71% of liquor market. Country spirits are distilled spirits mixes or unmixed with spices or other ingredients in very small quantities to import taste and aroma. These are known under different names in different areas of the country. PACHWAL THAORAH VOIA -------------------- WEST BENGAL -------------------- PUNJAB -------------------- ASSAM CHERAGAM -------------------- TAMIL NADU & KERALA INDIAN MADE FOREIGN LIQUOR In this category products are: - Whisky, Brandy, Rum, Gin and Vodka. The developing countries like India where petroleum resources are limited, utilization of waste products for development of industries of significant importance. Sugar industries in this country are second biggest. Thousand of tones molasses containing large quantities of sugar are available in the product. FOREIGN LIQUORS In India this name is used exclusively for liquors, which is important in the country. This may include various brands of Scotch, Whiskey, French Brandy, Gin, Rum, Vodka and Beer etc. 22 PRODUCTS PORTFOLIO OF MOHAN MEAKIN LTD. ALCOHOLIC PRODUCTS RUM:  Old Monk Supreme  Old Monk Gold Reserve  Old Monk XXX  Old Monk White Rum  Trusker XXX  Black Beauty  Stud Rum WHISKY:  Solon No.1  Knight Imperial  Diplomat Deluxe  Summer Half  Colonels Special  Golden Eagle  Kings Castle  Caller 337  Black Knight  M.M.B.  Old Master¶s  Crazt House  Black Rose  Blue Bull 23 VODKA:  Kaplan Sky Vodka GIN:  Bin Ben London  M.M.B.  Solver Malt  Black Beauty  Meakin Dry BRANDY:  Triple Crown  Golden Eagle  Doctors Reserve No. 1  D.M.  M.M.B. BEER:  Golden Eagle Lager  Golden Eagle Deluxe Lager  Golden Lager Beer  Gymkhana Premium Lager  Asia 72 Lager  Black Knight Super Strong  Solan No. 1 Special Lager  Old Monk Deluxe  Lion Lager 24  Stud Beer  Meakin 10000  Extra Strong Beer 25 NON-ALCOHOLIC PRODUCT JUICE:  Mohan Gold Coin Apple Juice MINERAL WATER:  Golden Eagle Mineral Water  Mohan¶s Mineral Water VINEGARS:  Mohan¶s Pure Malt Vinegars  Mohan¶s Synthetic Vinegars BREAK FAST FOOD:  Mohan¶s New Life Cornflakes  Mohan¶s Porridge  Mohan¶s wheat porridge MOHAN MEAKIN EXPORT PRODUCTS:  Mango Pulp  Mango Slice  Guava Juice  Pineapple Juice  Papaya Cubes 26 DIFFERENT KINDS OF ALCOHOLIC PRODUCTS WHISKEY: Whiskey is the most popular distilled liquor known all over the world. It is sprite made from starch. Best-known whiskey comes from Scotland. BRANDY: - Brandy is generally obtained from fruits, through most commonly used fruits in grapes. The best quality of Brandy Cognac, which is made in Cognac in France. RUM: - Rum is distilled from the fermented juice of sugarcane OR molasses. In such a manner distillate has the taste aroma and the characteristics generally attribute to Rum. In India Rum is fast-distilled liquor, there is a general feeling that Rum is more satisfying and has better food value then any other sprit. They is also sold a comparatively at a lower price. GIN: - It is popular distilled liquor. It is artificial sweetened or unsweetened grain specially flavored with essential flavors oil of juniper berries. 27 VODKA: - It is a strong clear alcoholic drink, made from grain, originally from Russia. BEER:Lion Beer is the main brand first sold by Dyer Breweries in the 1840s. Lion was originally an IPA (India Pale Ale - which makes it the oldest IPA brand still in existence) but the beer style was changed in the 1960's to a lager. Lion remained the number one beer in India for over a century from the 1840s until the 1960s. After this another Mohan Meakin brand, "Golden Eagle", took the number one spot until the 1980s, when Kingfisher became number one. By 2001, Lion sales had declined substantially and Lion was only available to the Indian Army through the CSD (Canteen Services Department). Mohan Meakin then entrusted the marketing of their original beer to International Breweries Pvt. Ltd. The brand has since been relaunched in the north Indian market. With a new label design and marketing campaign, Lion has established itself once more in the civilian market and is now expanding into markets across India. Lion earns a place in history as Asia's first beer brand. Lion's popularity with the British during the heyday of the Empire led to the start-up of other Lion beers around the world, in New Zealand, South Africa and elsewhere. Lion remains the number one brand in neighbouring Sri Lanka where Mohan Meakin had introduced it in the 1880s through their Ceylon brewery. Australian is another popular 5% above lager distributed by International Breweries (P) Ltd. The 8% above version is called Max. Rum:Old Monk is a vatted Indian Rum, blended and aged for 7 years (though there is also more expensive, 12 year old version). It is dark, with an alcohol content of 42.8%. It is produced by Mohan Meakin, based in Mohan Nagar, Ghaziabad, Uttar Pradesh. It is available in all parts of India. Old Monk is also the third largest selling Rum in the world. Old Monk has been the biggest Indian Made Foreign Liquor (IMFL) brand for many years. It is sold in four size variants 180 ml (quarter), 350 ml (half), 750 ml (commonly referred to as a "khamba" meaning "full bottle"), and a 1 liter bottle. 28 MANUFACTURING PROCESS The general purpose of making alcohol involves following operation: - FERMENTATION The source material like grains, cereals etc are cooked and mashed to reduce starch into glucose. To this mass a substance know as catalyst is added which are normally are enzymes. The resultant product is exposed to atmosphere & chemical reaction take place. This process is known as fermentation and result into conversion of glucose into alcohol. C12H22 O11 + H2O (FRUCTOSE) C6H12O6 (GLUCOSE) C6H12O6 (GLUCOSE) 2 C2 H5 OH + (ALCOHOL) + C6 H12O6 2CO2 Slowly the sugar contains get depleted and alcoholic concentration increase. The result was found contains a mixture of alcohol, certain by production small qualities known as congener. E.g. water, unfermented matter dead yeast cells. Fermentation is of two types ± Molasses Malt. Fermentation is sugar based either of malt or of molasses. At times apples and grapes are also taken into fermentation. Fermentation has two stages: - 1- Development of yeast 2- Production of alcohol The quality of alcohol depends upon the quality of yeast. Following things are necessary for making good yeast:  To ensure that unwanted microorganism should not come in contact with yeast sterilizing with steam at every stage does this. 29  Proper nutrition is given at every stage by giving adequate doses of sugar (molasses) phosphate, nitrogen (ammonium soleplate die ammonium phosphate).  Maintaining proper temperature control (32 degrees) so that yeast does not die. EXTRA NEUTRAL ALCOHOL (ENA): - The sprite is obtained in a continuous. It is generally known as silent sprite or ENA. This is normally used for blending with Malt/grape. Run sprite make what are commonly known as blended product. ENA is also used for manufacturing type of whiskers/ brandies/ manufacturing of toiletry product like after- save lotion, cologne and hairdressing. MATURATION/AGING: Malt/Grape/Rum sprite are manufacturing in the batch distillation process. The sprite formed is harsh and not palatable. Maturation is approves of keeping the sprite in special tank made of oak wood, While the actual process of maturation of whiskey is the quite obscure. These are various chemical changes, which take place. The net result is an improvement of the sprite in terms of bouquet and palatability. Then this is the final used as it. Incase of the pure product of blended with sprite from continuous process known as ENA to produce commercial product known as blended product. The wooded cases are tilled on fortnightly or monthly basis to provide to the sprite for better maturation. 30 BLENDING: - In Blending sprit of different ages and quality are mixed to give the desired taste and aroma, at time caramel is added for the coloring and is added. Blending is an art, which determines the quality of product the positive aspects are fine blending. BOTTLING: Bottling has the following stages ±  1st the bottle are cleaned properly with water to remove foreign element.  The volume-by-volume process does filling.  Filled bottles are screened properly to direct presence of any foreign element, breakage of bottles from top. 31 PRODUCT LINE Mohan Meakin Ltd. has many brands in each category. The main reason is that alcoholic products are produced in different strengths of alcohol. So it becomes necessary to have separate brand names for each strength. The reason behind it is that, so many brand names of alcohol are the location of different breweries and distilleries at the different places of the brands. Besides foreign liquor the company also produce the company liquor (Desi Daru). Country liquor is also produces the following different weights and size: - SIZE Foreign liquor quarts (avg.) Quarts Pints Nips Country Liquor Poly Pack Poly Pack QUANTITY 1,000 750 375 300 200 100 Besides alcoholic products the company produces some non-alcoholic products also. 32 OVERVIEW OF INDUSTRY 1. Beer Industry Among the alcoholic drinks, Beer is quite common and popular in almost every Country of the World. People of different countries take beer in varying much like a soft drink in European countries it is just a substitute of water. The alcoholic contents and main source stuff also keep varying according to the tests of the major part of population of the particular country although it is a fashion to ask for beer of every origin in every country. Formulations of beer manufacturing are done with the view of availability of the raw materials in that particular part of the World where the brewery is proposed to be established. In most of the parts of the world, barley is universal source of beer extraction. But, beers are manufactured from Chamomile flowers and powdered gingers etc. as well. The manufacturing processes and quality control measure can make the beer nutrition, energy packed and refreshing. Among all the alcoholic drinks beer has become so common. Beer in the Western countries is the important constituent of daily food. The most important characteristic of drink is to keep body warm and certain refresh ness throughout the body. Beer is the dilute alcoholic product. Barley is extensively employed for manufacture of malt used in brewing and distilling of beer. If we categorize beer, we find four categories as fallows. 1. Pale Beer Lagers, wheat Beer, Pale ales (Bitter Beer). 2. Dark Beer Dark Lagers, Porter, Stout, Mils ales (Brown ale) 3. Strong Beer Black Beer, Kafir Beer, Lactic Beer. 4. Special Beer etc. All above categories are in General. A particular manufacturer, uses, colour and flavour of his choice. In handy bottles, it is sold in the market. The beer shall be of the following two types Beer, strong Beer. Beer is drunk primarily as a source of liquid and for it¶s pleasant & refreshing taste, non-the less, its nutritional properties are of great importance. The calories content of beer is significant but not special high. The calories are provided by the unfermented, residues and alcohol. Alcohols also replace Carbohydrates, fats, proteins, so that there may be a gain in body weight. Beer also contributes to mineral requirement of the body and supplies useful quantities of Vitamin B complex. A special use of beer is for the control of sodium intake in the treatment of disease e.g. congestive hearty failure, high blood pressure and certain kidney and liver ailments. Beer 33 is a popular beverage all over the world. Though an alcoholic beverage beer is not considered a hot drink like rum or whiskey as it contains alcohol ranging from only 8 to 9 percent. It is considered good for health in the sense that being very less in alcoholic content, it is found effective in improving appetite. The market for beer in India was about 65 mn cases of 12 bottles each and is slated to touch 10 mn cases in 200506, a growth of 23% in a year. There is very good demand for beer industry. There is very bright good scope for new investment. Any entrepreneur can enter in this field. 2. Beer Industry (Export Unit) Beer is a popular beverage all over the world and contains alcohol ranging from 8 to 9 %. It is found effective in improving appetite and is considered good for health. Formulations of beer manufacturing are done with the availability of raw materials in that particular part where the brewery is established. Beer units are concentrated in the state of Maharashtra, Karnataka, U.P. and Goa with no units in Assam, Tripura, Tami Nadu, Gujarat, Orissa, Rajasthan and Bihar. Keeping in view the tremendous export potential, it would be worthwhile to explore the possibilities of setting up an export-oriented unit. This can be a challenging investment for an entrepreneur. 3. Indian Made Foreign Liquor Indian made foreign liquor basically prepared from ethyl alcohol of different concentration with added flavour and coloured bottled hygienically. In India there are about 260 units engaged in the production of alcoholic brandy, whisky, beer & other beverages. The installed capacity of all those units is estimated of the order of 1400 to 1450 million liters per annum. India has been exporting alcohol in substantial quantities. The estimated growth rate of demand is 20% per annum with increase in population and other industrial growth and consumption. There is good scope for new comers. 34 1. Wine from Kinnow Fruits Kinnow has acquired commercial importance and popularity owing to its success under varied agro climatic conditions, response to inputs and high economic returns. Its unique features like gad tree vigor, high fruits yield, excellent fruits quality, higher juice and wider adaptability. The peel of kinnow fruit contains very high amount of falconoid like naringin and neohesperdine, which makes them highly bitter. Kinnow fruit juice is alcoholated with 21 vol % ethanol to fix complex compounds of limonoids such as primary limonin, flavonoids and naringin and to remove a bitter taste in short time. Kinnow is most suitable fruit for making the wine. In India now demand of wine is increasing day by day. So there is good scope for new entrepreneur to enter in this field. 5. Grape Wine The Indian wine industry is in its nascent stage. The per capita consumption of wine in India is only 10 ml per annum as against 100 litres per year in Argentina and 65 liters in the European countries. However, the Indian wine industry has been continuously growing over the last ten years. Awareness about the benefits of wine drinking is also on the rise and wine is gradually becoming a part of urban Indian life style. Rising incomes of Indian population and exposure to new culture is adding to the higher consumption. Wine volume sales grew by 17% in 2005, keeping up with the pace of growth seen in 2004 to clock reach 4.6 million liters. Value sales of wine were worth just under Rs4.5 billion, which represented an increase of almost 20% in current terms on the previous year. Despite the rapid growth, wine sales continued to represent a minor proportion of total alcoholic beverages consumption in India, and barely measurable per capita consumption. As per the types of wine consumed, red wine has the largest market share (45% of total wine consumed) followed by white wine (40%), sparkling wine (13%) and rose wine (2%). Further, the consumption of wine is unevenly spread across the country as 4 major cities i.e. Mumbai (40%), Delhi (31%), Goa (8%) & Bangalore (6%) contribute about 85% of total wine consumption. 35 The Indian wine market is mostly dominated by three major players Companies. Grapes are the key raw material in the production of wines. For wine manufacturing, uninterrupted supply of grapes is must to ensure smooth production. Hence most of the wineries have their own vineyards or make arrangements with farmers/growers for supply of grapes as a backward integration. Recognizing the scope of potential, the Government of India has put more emphasis on the development of the wine industry. The Maharashtra Government has announced a series of incentives like nil excise duty and 4% sales tax same as that of agricultural produce for all the wineries in the state, simplified licensing procedure for new wineries, winery has been given status of Food Processing Industry, grant of subsidy, single window clearance system etc. after it classified wine as agro based product. The state has also established two wine parks, Godavari Wine Park in Nashik and Krishna Wine Park in Sangli district. 6. Wine Industry Of these, roughly 25 Distilleries Manufacture IMFL, 32 units distilled country liquor, and the balance industrial alcohol. About 40 units produce bear. Utter Pradesh, Karnataka, Tamil Nadu, and Maharashtra account for around 70 per cent of the total production of alcohol. Among the various IMFL products, whisky occupies the prominent position with a market share of above 50 percent. Dark rum, brandy, and white spirit account for about 25 per cent, 15 per cent, and 4 to 6 per cent shares, respectively. Raw materials account for nearly 40 per cent of the total costs of alcoholic beverages. The major raw materials are molasses, barley, maize, potatoes, grapes, yeast, and hops. Barley is a critical raw material for the production of bear and accounts for about 75 per cent of the cost of all raw materials. The trends in exports of wine, spirit, and liquor as well as in exports of beer were highly erratic. Similar trend was observed in the import of these products. The supply of beer has always been short of demand. As against the demand of about 800 million liters, the production is only 453 million liters. Similar has been the case for wines and liquors. The fall in the supply of these products is largely met by the supply from the unorganized sector. A very small portion of the demand is furnished by the imports. The growth in production over the years has hovered at about 5 to 6 per cent, whereas the demand is growing at 10 to 12 per cent per annum. The ten key manufacturers are the producers of wines, liquors, and spirits in the 36 organized sector having a combined share of about 67 per cent are McDowell & Company, Balaji Distilleries, Shaw Wallace & Co., Jagatjit Industries, Mohan Breweries & distilleries, Shiva Distilleries, Maharashatra Distilleries, Pearl Distilleries, Herbert sons and Mohan Meakin. The ten major beer manufacturers in the organised sector having the combined market share of about 75 per cent are United Breweries, Mohan Breweries and Distilleries, Skol Breweries, Balaji Hotels and Enterprieses, Mohan Meakin, Mysore Breweries, Charminar Breweries, Aurangabad Breweries, Hindustan Breweries, And Bottling and Mount Shivalik Breweries. Wine is one of the largely suitable alcoholic beverages, which is generally manufactured by fermentation of grape juice. Matured ripe grapes are the basic raw material. It is not available in India throughout the year. There is scarcity of basic raw material. Yeast is used as fermentation agent. Fermentation period may vary from more then 24 hours. There is weak effluent produce, which can be properly treated to make as like domestic used water. Wine technology and designer for designing of plant and machineries are available indigenously. Most of the machineries are available in India, only yeast separators are required to import. Packing machine is also requiring to import. Packing should be done by automatically. There has good market demand of wine. Marketing strategy is good for the well-known brand items. There should be good-looking label with very good designed glass bottles required for packing and sealing of the bottle. Bottles are packed in the corrugated box and store at room temperature before marketing. There are few in organized sectors that are presently market leaders. There are few well-organized companies engaged in the production of wine. Now, wine of European countries is also available in Indian market to compete with the Indian brand. About 20%-30% demands of wine full filled by import. The basic restrained of wine manufacturer is non-availability of quality raw material throughout of the year. The alcoholic beverages industry can be classified into four categories, namely, country liquor, Indian Made Foreign Liquor (IMFL), bears and wines. Of the total production of alcoholic beverages in the country, bear accounts for about 35 percent. Country liquor, IMFL, and rectified spirit claim the remaining share. Around 200 distilleries are in the production of different types of alcoholic products in the country. Adequate availability of raw materials, improvements in processing and manufacturing technologies, decontrol of liquor distribution, tax concessions, and above all 37 wide publicity of IMFL and beer brands through the media would not only help the industry in enhancing its production but also in competing the world with its products of international standards. 38 Investment Opportunity in Beer Industry Among the alcoholic drinks, Beer is quite common and popular in almost every Country of the World. People of different countries take beer in varying much like a soft drink in European countries it is just a substitute of water. The alcoholic contents and main source stuff also keep varying according to the tests of the major part of population of the particular country although it is a fashion to ask for beer of every origin in every country. Formulations of beer manufacturing are done with the view of availability of the raw materials in that particular part of the World where the brewery is proposed to be established. In most of the parts of the world, barley is universal source of beer extraction. But, beers are manufactured from Chamomile flowers and powdered gingers etc. as well. The manufacturing processes and quality control measure can make the beer nutrition¶s, energy packed and refreshing. Among all the alcoholic drinks beer has become so common. Beer in the Western countries is the important constituent of daily food. Among the alcoholic drinks, Beer is quite common and popular in almost every Country of the World. People of different countries take beer in varying much like a soft drink in European countries it is just a substitute of water. The alcoholic contents and main source stuff also keep varying according to the tests of the major part of population of the particular country although it is a fashion to ask for beer of every origin in every country. Formulations of beer manufacturing are done with the view of availability of the raw materials in that particular part of the World where the brewery is proposed to be established. In most of the parts of the world, barley is universal source of beer extraction. But, beers are manufactured from Chamomile flowers and powdered gingers etc. as well. The manufacturing processes and quality control measure can make the beer nutrition¶s, energy packed and refreshing. Among all the alcoholic drinks beer has become so common. Beer in the Western countries is the important constituent of daily food. The most important characteristic of drink is to keep body warm and certain refresh ness throughout the body. Beer is the dilute 39 alcoholic product. Barley is extensively employed for manufacture of malt used in brewing and distilling of beer. If we categorize beer, we find four categories as follows. Pale Beer ± Lagers, wheat Beer, Pale ales (Bitter Beer). Dark Beer ± Dark Lagers, Porter, Stout, Mils ales (Brown ale) Strong Beer ± Black Beer, Kafir Beer, Lactic Beer. Special Beer etc. The Indian beer industry seems to be in upswing mode, as 2006 seems to be the best year as far as the growth is considered. Last year there was a growth of 20% while in the last five years the industry registered a growth of 7 to 8% year on year basis. The total beer industry was around 108 million cases in 2005, which crossed 130 million cases in 2006. Industry analysts say tax and levies on beer are anticipated to fall over the next 2 to 3 years, driving down retail prices by 25 to 50%. It is estimated that beer will sell for Rs. 15 to Rs. 20 per 330 ml can and Rs. 20 to Rs 30 per 650 ml bottle in the coming year with the reduction tax and levies. In fact, northern Indian states, which have traditionally shown a preference for hard liquor over beer, witnessed a jump of more than 100% in beer consumption in 2006 as compared to last year. The per capita consumption of beer in India is very low as compared to other countries in Europe and America. At present the per capita consumption is 0.7 liters per annum, but industry experts predict that this may rise to around 20 liters in the next 10 years. Considering the expected increase in consumption and the current growth trends, the future of Indian beer market looks bright and seems set for continuous double-digit growth in the coming years. 40 WINE FROM GRAPES Wine is an alcoholic beverage made from the fermentation of grape juice. The natural chemical balance of grapes is such that they can ferment without the addition of sugars, acids, enzymes or other nutrients. Although other fruits such as apples and berries can also be fermented, the resultants ³wines´ are normally named after the fruit from which they are Produced (for example, apple wine or elderberry wine) and are generically known as fruit or country wine. Others, such as barley wine and rice wine (e.g. sake), are made from starch-based materials and resemble beer more than wine, while ginger wine is fortified with brandy. In these cases, the use of the term "wine" is a reference to the higher alcohol content, rather than production process. The commercial use of the English word "wine" (and its equivalent in other languages) is protected by law in many jurisdictions. Wine is produced by fermenting crushed grapes using various types of yeast, which consume the sugars found in the grapes, and converts them into alcohol. Various varieties of grapes and strains of yeasts are used depending on the types of wine produced. Wine is one of the largely suitable alcoholic beverages, which is generally manufactured by fermentation of grape juice. Matured ripe grapes are the basic raw materials. Wine is used as drinking purpose for special type alcoholic beverages in parties or any special social function. It can be used as tonic for the weak health people. There are few well-organized companies engaged in the production of wine. There is also entry of European countries wine in Indian market to compete with the Indian brand. It has good market demands. There are about 20% ± 30% demands of wine full filled by importing. Around 200 distilleries are in the production of different types of alcoholic products in the country. Among the various IMFL products whisky occupies the prominent position with a market share of above 50%. There is a good scope for new entrants. 41 GROWING OF FRUITS AND MANUFACTURING OF NATURAL JUICES India has a strong base in agriculture and provides large varieties of fruits and vegetables for food processing. However, inadequate cold storage facilities, lack of drying and packing technology plethora of laws, fragmented supply chain and less exports are some of the bottlenecks experienced while exploiting the full potential of fruits and vegetables processing industry. With an aim to give impetus to this sector, the Indian govt. has taken several steps, which includes virtual de-licensing of the sector; duty and tax relief measures, setting up of clusters etc. Availability of quality fruits and advanced technology for fruit processing has helped a great deal to boost the production of quality, hygienic fruit products like fruit juice, concentrates, jam, jellies and fruit slices. There is a good domestic and overseas market for natural fruit juices. So any entrepreneur can enter into this project. 42 MEDICAL ALCOHOL FROM DATE JUICE CONCENTRATE Date is one of the best fruits, which contains fructose as sugar ingredients, which is totally fermentable sugar and can be completely converted to ethyl alcohol by fermentation process. There are few expensive fabricating companies who can design the distillery plants and fabricate the plants. There is very good demand of medical alcohol. There is much more demand of it in India also. It is required about 30000000 liters alcohol needed for Homoeopathic medicine only and again it is required for Allopathic medicine. Few new entrepreneurs can venture into this project. IMFL, INDIAN MADE FOREIGN LIQUOR (WHISKEY, RUM, GIN, VODKA AND BRANDY) Brandies are produced in batch or continuous distillation systems. The pot still or its variation is universally used in France, where as in the United States both systems are employed. The batch system produces, a more flavourful product, the continuous system a lighter, more delicate flavour. There are two types of brandy one is white and other is brown. White brandy is used for the use by human beings and the brown for other purpose. It is also used as a preservative for anatomical specimens and as a dehydrated agent in microscopic technique. Whiskey is an alcoholic distillate. It has a very little application and consequently almost none is produced. Today, the entire liquor market is estimated to be more than Rs.5, 000 crore. This has been growing over the years at an average rate of 12-15% per annum. Whiskey accounted for the largest share in the total IMFL market (about 53%). There is a good scope for new entrants 43 Excise Department Delhi Liquor License Rules, 1976 These rules may be called the Delhi Liquor License Rules, 1976. These rules shall come into force at once. Form Details of Licenses I -- Indian Made Foreign Liquor L-1 Wholesale licensee of Indian Made Foreign Liquor L-1A Wholesale vend of foreign liquor to holders of other licenses only. L-2 L-3 L-4 L-5 Retail vend of Indian Made Foreign Liquor/Beer. Service of liquor in a hotel (to the residents in their rooms). It is granted to independent restaurants for service of liquor. Service of liquor in a bar/restaurant attached to a hotel. L-5A Retail vend of foreign liquor in a bar/dining car in a luxury train. L-6 Retail vend of Indian Made Foreign Liquor in duty free shop. L-6A Retail vend of foreign liquor in duty free shops off the premises. L-7 L-8 Retail vend of Indian Made Foreign Liquor in a military canteen. Retail vend of medicated wines only for consumption "off" the premises. i. II - Country Liquor L-9 L-10 Wholesale licensee of country liquor. Retail vend of country liquor and 50 degree under proof rum for consumption "off" the premises. ii. III - Denatured & Special Denatured Spirit L-11 L-12 L-13 L-14 Wholesale and/ or retails vend of denatured spirit to public only. Wholesale vend of denatured spirit to trade only. Bonded warehouse license for import and storage in bond of denatured spirit for wholesale to trade only. Bonded warehouse license for import and storage of in bond of special denatured spirit. 44 IV - Rectified Spirit L-15 L-16 L-17 Retail vend of rectified spirit to public only. Wholesale vend of rectified spirit to trade only. Bonded warehouse license for import in bond and storage of rectified spirit for wholesale to trade only. iii. V ± Special L-18 L-19 Extension of hours during which sale is permitted. Retail vend of foreign liquor at a club (bonafide or proprietary). 45 SOME FACTS ABOUT LIQUOR y Liquor is a liquid intoxicant, deriving its intoxicating potency from the ethyl alcohol in it. Liquor can be divided into three broad categories, namely Indian Made Foreign Liquor (IMFL), Beer and Country Liquor. Hard liquors broadly have an alcohol content of and above 20% and denote Whisky, Rum, Brandy; the white spirits like Gin and Vodka and also include Country Liquor. Soft liquors have a range of 4-20% of alcohol and include Beer, Cidar, Wines and Liqueurs. y Liquor making starts with the process of fermentation, followed by distillation, latter in case of hard liquors. brewing or Raw material for fermentation usually differs from liquor to liquor and is corn or malt in case of Whisky, molasses in case of Rum and Country liquor, grapes in case of Brandies and Wines, any starchy substance for Gin and Vodka and barley for Beer. The raw material can differ also depending upon the availability or abundance in that area. Eventually it is the flavour that marks the liquor for its variety as well as quality. y In Indian markets most prominent segment of liquor consumed by the middle classes, is the Indian Made Foreign Liquor, which covers most liquor, barring beer and country liquor, and is available in glass or sometimes plastic bottles. Beer is also available in glasses filled through dedicated taps dispensing what is known as draught beer. Most Indian beer is Lager that is it can be stored for some time. And all of them use an herb, known as hops, for flavouring. Liquors from which sugar content has been chemically reduced are termed as "dry". Country Liquor is generally in the range of 25% of alcohol and also available in glass bottles only. Wines in India are available in red or white variety, with pink almost non-existing. Champagne, generally a ceremonial drink, also known as sparking wine, is generally off-white and is fizzy because of its carbonation at the time of bottling. Liqueurs are concentrated syrups, available in myriad flavours, and are usually taken without dilution after major meals. Do's & Don't As a part of its policy to provide safe and quality liquor to the consumers in Delhi, the Excise Department has formulated the following do's & don't 46 which they follow very strictly in regulating and controlling the sale of liquor in the NCT of Delhi. 47 License cannot be granted to: - y Any person who has been declared insolvent by any court in India, who is insane or who is below 25 years of age. Any person who has been convicted by a criminal court for any non-bailable offence. Any person who is not assessed to income tax. No licensee shall employ any person suffering from an infectious or contagious disease. y y y y No person shall print or publish in any news paper / book / leaflet for display or distribute any advertisement or other matter soliciting the use of or offering any liquor. y L-4 licence for service of IMFL/Beer may only be granted to an independent restaurant approved by the Department of Tourism of Govt. of India. y y The business premises of a licensee shall be kept closed on all dry days. The hours for the sale of liquor shall be such as may be specified in an order by the Excise Commissioner. y y The licensee shall sell liquor at the price fixed by the Excise Commissioner. The licensee shall prominently display in front of his shop a signboard showing the retail price of each brand of liquor to be charged by him. y No person shall have in his possession any quantity of any intoxicant, knowing the same to have been unlawfully imported, transported, manufactured, cultivated or collected, or knowing the prescribed duty not to have been paid thereon. y No licensed vendor shall sell or deliver any liquor or intoxicating drug to any person apparently under the age of twenty five years whether for consumption by such person or by another person and whether for consumption on or off the premises of such vendor. y No person who is licensed to sell any liquor or intoxicating drug for consumption on his premises shall, during the hours in which such premises are kept open for business employ or permit to be employed, either with or without remuneration, any man under the age of 25 Years or any woman in any part of such premises in which such liquor or intoxicating drug is consumed by the public. Consumption and service of liquor at public places is completely banned. y 48 y Consumption of liquor is injurious to health. SERVICES CHANNEL OF DISTRIBUTION Mohan Meakin Ltd. is a very large organization and has a wide range of products. The source of Mohan Meakin¶s is closely related to its storage channels of distribution. Company is selling its product in every part of the company. Therefore it has a company wide distribution channel network. The company adopted his non-integrated indirect type of distribution channel; therefore each of the channels is a separated business identify seeking to maximize its own profit. Alcoholic products excisable items and controlled by the government channel member who constantly monitor the situation and implement the government rules and regulation regarding distribution of the production of the company. It is very necessary and compulsory for every channel member to take the licenses from the government to perform their function. DISTRIBUTION SYSTEM Here the company keeps only the units to sell. A distributor or wholesaler firstly pay the excise duty in the area office obtaining the necessary permit unit and then place order according to his requirement to the company. These wholesalers are in fix number as license holders. These are called FL-2, which pays Rs. 45 per alcohol liters. This amount is departed by FL-2 to the excise office to get lease order. FL-2 demanded for 1000 bottles for 650 ml each. FL-2 sells it retailers and bars. The stock of FL-2 is under control of excise office when FL-2 is supplied to the Retailers and Bars. Excise charge is taken as ³WENFEE´ to the release to its retailers. These retailers are called as FL-2. Wholesaler supplies in bars for which excise department also issues license. 49 DISTRIBUTION SYSTEM PRODUCER WHOLESELLER RETAILERS BARS & RESTAURENT Retailers measure their weekly requirement & purchase the product from the distributor after getting the consent of the local excise office. The retailers thus display the products in his retail outlets and subsequently purchased by the consumer. 50 MARKETING SET UP The marketing department has been set up all the major companies to facilitate distribution and sales of their product. Marketing department is usually headed by general manager (Marketing) who is responsible for the product in whole of the Indian market. He has to operate whole marketing system of the company with changing pattern in society, consumer demand and competitive company. Under GM several areas sales manager worked who are responsible for the sales of product in their reason. They supervise field operation in their region and constantly keep GM informed about market position. LIQUOR MARKETING Goods product has value in them, it is only when they are available to customer who want them and willing to buy them that assume any value. Marketing of liquor is all-together a different ball game. Liquor marketers are faced with several restrictions: 1. NO OUT DOOR PUBLICITY: - Advertisement is limited to putting up banners & poster in retail shops only. 2. LIMITED OUTLETS: - Retail and whole sales are controlled or owned by the Govt. there are strictly limited area-wise. 3. PRICE RESTRICTIONS: - The Govt. controls price. This restriction the option of lowering prices in a big to increase sales. Again price restrictions any lead to a fall in quality as the manufacturing cast of retaining quality may exceed the selling price. 4. NO DIRECT MARKETING: - No door to door selling can be taken up in liquors like other consumer products. 51 5. In the light of the above constraints, liquors can be promoted through the following strategies only6. Advertising brand names through other related products like soda, lime, juice etc. 7. Banners and posters displayed at outlets could be made more eye catching. 8. Sales promotion could be made more effective by giving more catching incentives. 9. Frequent visits of sales personals to retail outlets could also help increase sales. Companies if any can be rectified faster and early assessment of the products marketing position can be made, this could be help in the remedying the state of affairs before it is too late. 52 COMPETITORS Liquor market is one of the complex markets today. The market is optimally saturated by the large no. Of companies pouring in the markets, leading to customers likes and dislikes and inter-creating competition among the brand of a particular range. The buyer in liquor market has considerable responsibilities. He has to try to reconcile and vast range of companies and customer needs. Integrity and strength of character are essential attributes in addition to the buyer¶s skills, experience and knowledge of the brands he buys, however extract data is not available. The liquor made in India is known as IMFL, besides its country liquor market is also operating in which raw mine is solid for the poor and backwards communities. Government control these markets up to some extend and the retailers share of the responsibilities. There is no evident competition and particular companies in country liquor market. The Govt. fixes the rate and it sold at fixed price only. The market has very high sale of beer, which has its maximum sale in summer. There are a no. of breweries making beer including most famous company Mohan Gold Water Ltd. and Haryana Breweries. The alcohol content varies with different beer. CATAGORIES Lager Beer Extra strong Super Strong ALCOHOLIC CONTENT 3-5% 5-8% 8-10% Most stiff competition among the major companies is recorded in IMFL brand. There are about six major companies, which are supplying their products in all India market. The competition and activities are mainly concerned amongst these companies and their products. 53 THE MAJOR COMPETITIORS COMPANIES ARE: - 1. 2. 3. 4. 5. UNITED BREWERIES HERBESSTON LTD. KHODAYS DISTILLERIES SHAW WALLACE JAGJIT INDUSTRIES 54 PROBLEMS IN LIQUOR MARKETING (IN INDIA CONTEXT) We very well acquainted with the fact that west is much different from the east. The belief, the aptitude, the perception, the way of life which they cultivate for from that of us this happen incase of liquor consumption also. Liquor drinking is not considered as social correct and called socially unethical. In present day liquor is manufactured in every part of the country. But advertisement cannot be directly done for the product so all together is a different game. So due to this reason most of the liquor advertisement is done indirectly for brand name rather then the product. Time is changing fast, changing the life style; the way of thinking with the invasion of the cable the marketing of liquor product has got the fillip. Now companies are adopting the idea of open advertising of their product in various cable channels like ZEE TV, SONY and STAR PLUS. As a result the wants and need of people are changing with such factor as fashion, attitudes, patterns etc. with the influx of many private channels west has now become more accessible to us and in this atmosphere a sudden transaction from an age-old value to the new set of norms has been observed. Liquor today is social values to the new set of norms has been observed. Liquor today is a social value drinking is acceptable now a day to day even amongst the teenagers the college going student. However research indicates the lower income group is price sensitive and they do not care about the brand name, while the high-income groups for premium brand and price really does not matter. 55 CONSUMER APATHY TOWARDS ALCOHOL Whenever we talk about India (regarding alcohol) we find that in our country consumption of liquor is not too much frequent. Most of the people feel hesitation in disclosing their drinking habits. They always want to conceal their likes and dislikes regarding to liquor. But still it¶s true that in India liquor has been in use for the very beginning of the civilization. Once upon a time India was known as the land obscurity, land of snake charmers. In the country, poverty and wealth meet in the middle. How can such a contradiction survive together? The answer is a strong social fabric bound by tradition (www.indiatoday.com). Still a profoundly religious country Hindu faith seems it a virtue to come to terms with one¶s own being (www.stategov.in). Spiritual growth surpasses wealth and power as the former brings the latter too. The spiritual world is one where we all come together. Scotch has an interesting and perhaps surprising history. The Irish monk bought the fine art of distillation to Scotland. The Irish learned it from Spanish. The Spanish learned it from the Arabs and the Arabs learned it from India. (www.indiatimes.com) Now whether alcohol is welcome or not that¶s another issue. Most parents raised their kids with the same morals and values that were taught to them by their parents. Indians traditionally put more emphasis parade on education, while thinking alcohol leads to a deterrent of ones goals, in life since it sometimes connected to alcoholism but also to other problems. Normally the women headed home while the men hit the bars. One day few women did not go home they armed themselves with chilly powder and broomsticks and then waited on the village road. When a jeep speed down the mud track carrying the village¶s weekly alcohol supplies they attacked on that and within minutes they had thrown chilly powder into the driver¶s eyes, set fire to the hundreds of the bottles and thrashed the men inside the 56 vehicle with their lives rather allow more alcohol into their village. Soon anti alcohol protest spread throughout the region. 57 FUTURE OUTLOOK OF LIQUOR INDUSTRY According to Euro monitor an independent agency based in U.K., while the retail liquor market is expected to grow by 70% over the next five years, the hawker market (the liquor sold in hotels and restaurants) is expected to grow by 52% over the same period. Beer, Wine and White Spirit segments are expected to grow at a faster rate than others. While the dominance of whiskey is expected to improve with the entry of foreign brands, the market of Brandy is expected to remain sluggish. The government restrictions on inter state movement and duties are not expected to get diluted. With the potential scenario unsettled the Damocles Sword will never cease to hang over the industry. There may however be same relaxation in the import duties because of the WTO-GATT commitments. With the entry of the multinational mainly in the premium segment domestic players have also formed alliances to bring in well-known foreign players who would otherwise find the cost of duplicating the marketing network and production facilities very high. The brand selling maximum is Mc Dowell No.1 and a reason for this its lower price in comparison to other brands. The sale of this range lower than that of other ranges because of its higher prices. 58 SEMI PRESTIGIOUS BRAND Aristocrat Whiskey Diplomat No. 1 Bagpiper Director Special Democrat Colonel Special Jagajit Industries Ltd. U.B. Group Herberston¶s and Co. Shaw Wallace and Co. Khoday¶s Distilleries Mohan Meakin Ltd. CHEAP RANGE BRAND Due to different in excise duty & sales tax in different states the price of liquor varies in great deal. Liquor considered to be of cheap range in a segment may to up to the middle range in other segment. However the Cheapest IMFL is also sold in the segments & so this range sometimes divided as: Upper Cheap Range Middle Cheap Range Lower Cheap Range Bennie, Range Imperial & MMB Shatranj Baba Mistress, Victor & Duke The sale within this range varies from market to market. 59 MIDDLE RANGE BRANDS The sale of this range is quite high in some parts of the country; this range is cheaper than semi prestigious and forward by lower middle class mainly. The brands available are: - Bonnie Scot Whiskey Old Inn Whiskey Hayward¶s Fine whiskey Red Knight Whiskey Jagajit Industries Shaw Wallace Khoday¶s Distilleries 60 QUALITY CONTROL After making the people aware about the MM range of whiskies the next step is to make the quality of the whiskies up to the requirement by the consumer. I have considered it has poor taste in all the range of the whiskey. Important for company to remain the touch with consumer constantly for feedback related to their products. Sales force personal to keep the company Everest of the activities of its competitor¶s so that the counter strategies can be formulated a launched at right time and place. This method will help the company to increase their brand awareness, as there is better interaction between the customer and company personal. After production and bottling of alcohol there are several decisions taken relating to the products: - (1) BRANDING: Brand means name term, sign, symbol, design or a mix they have used to identify the product of one company and to distinguish it from the competitive products. Mohan Meakin believes in multi brand for its products. It means that the company develops more than one brand in same product category. There several reasons to adopt the brand for its products its means that the company develops more than one brand in the same product category. These are several reasons to adopt multi brand strategies. The first and main reason to adopt this strategies is that the company produces the alcohol of different strengths so different brand names are required for each strength of alcohol. The organization has several manufacturing units in different parts of the country and the different units produce the same products. So different brands are required to preserve the separate identify of the unit. This is the second reason to adopt the multi brand. 61 (2) BOTTLING: - Alcohol is liquid in nature. Hence bottles are required to contain it. These bottles are of glass and have beautiful shapes. The bottle holding the alcohol is the product immediate container and the primary package. For bottling the company has fully automatic, semi automatic and manual. The company bottles are the Old Monk Rum, the market leader and on semi automatic the company¶s bottle is the Diplomat Deluxe. 62 (3) LABELING: - It is very important to level the products. Mohan Meakin also labeled its products very efficiently. Company develops and designs its label: it is a piece of paper attached to the primary package bottle. It contains a lot of information about the product regarding the strength of alcohol in the product, promotion appeal, policy brand, company name, price, symbol, quantity is written in the label of the bottle. Similar level in the large of the company also attached to the secondary package. (4) PACKAGING: - A package is a wrapper or container in which a product is enclosed sealed. The package of the Mohan Meakin¶s alcoholic drink includes the two level of packaging that is primary and secondary package. The material or package that protects the primary package is the secondary package and discarded when the product is to be used. Cardboard box containing the bottle of the company¶s alcohol is the secondary package. This provides the additional protection to primary package and bottles. The packages are also according to weight and size of the products. (5) PRICING: - Price of the product is the value of product attributes expressed in monetary terms when consume pay or expected to in exchange. Pricing of the alcoholic products largely depends on the Govt. policies. Alcoholic products are fully excisable items. The top management sets price of company¶s alcoholic product¶s several factors are taken into account by the company¶s top management while setting the price. But product cost is the main constitutes. Company uses the ³mark-up pricing method´ company chooses this method because it wants enough returns on the investments and efforts. 63 (6) MARKETING: It is to bring out the products into the market through several distribution channels and to introduce product to the consumer through advertising, publicity and sales promotion. Company has 35 depots all over India and many dealers and retailers are linked to it. For sales promotion company has funds for advertisement, market research and publicity. So for process the quality control, regular feedback should be taken the consumer and improvement should be made accordingly. SALES PROMOTION Sales promotion is a key ingredient in marketing campaigns. It consists of a diverse collection of incentive tools, mostly short term, designed to stimulate quicker and or greater purchase of particular products or services by consumer or the trade. Where advertising offers a reason to buy, sales promotion offers and incentive to buy. Sales promotion includes tools for consumer promotion (samples, coupons, cash refund offers, price offers, premiums, prizes patronage rewards free trials, warranties, tie in promotions, point of purchases, displays and demonstration) Most companies and organization, including manufacturers, distributors, retailers trade associations and non-profit organizations, use sales promotion tools. As examples of the last churches often sponsor bingo games, theater parties, testimonial dinners and raffles. 64 PURPOSE OF SALES PROMOTION:Sales promotion tools vary in their specific objectives, a free sample stimulates consumer trial. While a free management advisory aims at cementing a long terms relationship with a retailer.  Sales promotion yields a faster and a more measurable response in sales than advertising does.  Sales promotion does not tend to yield new, long term buyers in mature markets because they attract mainly deal- prone consumers who switch among brands as deals becomes available.  Loyal brand buyers tend not to change their buying patterns as a result of competitive promotion.  Advertising appears to be capable of depending brand loyalty. SELECTING THE SALES PROMOTION TOOLS The promotion planner should take into account the type of market, sales promotion objectives, competitive conditions and each tool¶s cost effectiveness. Some of the tools are as follows:y y T.V. Print Media 65 INFORMATION REQUIRED: Information required for getting the accurate conclusive data for this research are What is the main source of information?  Number of the major companies operating in the market.  What are the major brands of whisky of these companies in medium range are available in the market.  What are the promotional techniques applied by these companies in medium range are available in market.  What are the consumers brand and in which income group they fall and their educational and professional background. 66 PART II 67 EXECUTIVE SUMMARY Consumption of liquor is not good for health, although there are many liquor companies in India, which are producing liquors frequently. We can divide the distillery industry in two parts 1st potable (drinkable) and 2nd Industrial alcohol. The former one producing IMFL (Indian Made Foreign Liquor) and country liquor has a constant demand with a growth rate of about 8.25 annually. Mohan Meakin Ltd. is a company, which is producing different, ranges of liquors not only alcoholic drinks they are also producing juices, mineral water, vinegar etc. Mohan Meakin is famous for some of its product like ± OLD MONK XXX RUM, DIPLOMAT DELUXE WHISKEY and GURU BEER. Most of their products are not familiar to the users due to lack of advertisement, lesser supply of products. Liquor market is one of the complex markets today. The market is optimally saturated by large no. Of companies pouring their brands in market, leading to customer¶s likes and dislikes and in turn creating competition among the brands of particular range. Liquor sales are also largely driven by brand popularity. To build brand popularity companies have to get retailers to recommend the brand to end-users. The brand plays a critical role in building the fortunes of a company. Given that consumption patterns are more or less static, companies have very few chances to hook a customer. But once hooked its product volumes are likely to be steady. IMFL (Indian Made Foreign Liquor) sale in Maharashtra, West Bengal, J&K, Goa, Orissa, Assam, Meghalaya, Tripura and Arunachal Pradesh is through open market it is by auction in A.P., U.P., Rajasthan, Bihar, Punjab and Chandigarh and Govt. controlled in Tamilnadu, Karnataka, Delhi and Kerala, Gujarat, Manipur, Mizoram and Nagaland are enforcing prohibition. States following the open market mode giving good average to the IMFL marketing company to choose the distribution & to determine pricing. In case of distribution by Govt. and through auction powerful distributors exerts influence on the margins of the manufacturer. 68 The most vital problem of the Mohan Meakin range of whiskey is that a large market segment is unaware with their products and some people even don¶t know that particular brand exist in the market, e.g. in case of colonel whisky more than 47% of the market is unaware of it. So the first and foremost step is to increase the market share to make the people aware of Mohan Meakin range of Whiskers. This awareness should be of such type that if one goes for a whiskey he would prefer to take the MM Brand of whiskey and a wide range of choices must be available. 69 OBJECTIVE OF RESEARCH  The objective of research is to identify the marketing plan and to check that which brand mostly like by the consumer in different segmented criteria.  To find out the factors about liking the particular brand in current scenario as available market.  Main objective of this research is what are different techniques of sales promotion applied on different brands by the companies and Mohan Meakin and how much these techniques are objective finally compare the result of the companies with Mohan Meakin. 70 RESEARCH METHDOLOGY To meet the specific objective of the problem primary data is collected. Methods for collecting the primary data are: - 1. SURVEY: - The process of soliciting information from people by personal interviewer mailing the format of data collection may be structured or unstructured of direct or indirect. 2. OBSERVATION: - This process of nothing and recording the information about people and their behavior without asking specific questions. 71 RESEARCH PROCESS For conducting this research effectively the research has to be conducted systematically in an already planned direction with the help of a number of steps in a sequence. The type of research being conducted is applied research. Since it is an attempt to apply the basic principles of marketing an existing knowledge about Mohan Meakin for the purpose of solving the problem at hand. STEPS TO BE CARRIED IN CRONOLOGICAL ORDER ARE Problem Identification Research Design Field Work & data collection Data analysis and interpretation Report Presentation 72 1- PROBLEM IDENTIFICATION: The decision whether to conduct research was already taken by the sales department of Mohan Meakin the problem was also formulated by them. 2- RESEARCH DESIGN: It is the basic framework that provides guidelines for the rest of the research problem. It is the map or the blueprint according to which research is to be conducted. The research design specifies the method of data collection and analysis, for this the following have to be defined.  How data will be collected?  Which instrument of data collection would be used?  What sampling plan would be used?  Define the sampling unit?  Asses the relevant existing data?  Decide the sample size?  Decide the sampling procedure?  Decide the sampling method?  Decide the analytical aspect? 3- FIELD WORK & DATA COLLECTION: After the research design has been made the actual data collection operation is carried out this step is also called fieldwork. In this problem relating to not at homes, refusal to cooperate, bias of interviews, bias of respondents has to be adjusted. 73 4- DATA ANALYSIS AND INTERPRETATION: -  Coding the collected data.  Tabulate the data.  Analysis the data using statistical tools.  Interpret the data drawing inferences.  Draw summary and conclusion. 74 DETAIL OF RESEARCH DESIGN It is the framework or plan used to collect and analyze the data to solve the problem we have at hand. There are three basic types of research design, which we can choose for a research. 2. EXPLORATORY RESEACH DESIGN: - It is used to discover new ideas and insights; we shall be using this research design. 3. DESCRIPTIVE RESEARCH DESIGN: - This type of research designed is concerned with determining frequency with which something occurs of how two variables vary together. Since some of the trends we shall analyze may show associations. We will use this type of research design. 4. EXPERIMENTAL RESEARCH DESIGN: - It is the process of manipulating one variable in a controlled environment while holding all other variables constant in order to establish a casual relationship. Since our environment cannot be controlled, we will not use this type of research design. 75 DATA COLLECTION PRIMARY DATA COLLECTION: The basic means of obtaining primary data will be communication with the agent. Communication involves the questioning of agents to secure the desired information using the data collection instrument called ³QUESTIONNAIRE´ The question will be asked in writing. SECONDARY DATA COLLECTION: This type of data will be collected from the retailers, books, journals, and newspaper and from the Internet. STRUCTURED UNDISGUISED QUESTIONNAIRE: This type questions are presented with exactly the same order to all the respondents. The reason for the standardization is to ensure that all respondents are replying the same question. The responses to these questions are also standardization. This is accomplished by emptying fixed alternative Questions in which the responses of the subject are limited to the stated alternatives. The greatest advantageous of this are that is simple to administer & easy to tabulate & analyze. The frame of references in which the respondent is to reply is often obvious from the alternatives. The question also become clearer as it provides the clemencies in which to frame the reply which helps assure the reliability of the question. Over all this type of questionnaire is most productive as replies are well-known limited in numbers and clear-cut. Thus they are appropriate for securing factual information and eliciting of opinions about issues on which people hold clear opinion. 76 SURVEYS  PERSONAL INTERVIEW: - In this the investigator questions the respondent in a face-to-face meeting. They can be conducted by going to the person¶s office or home etc. The usual approach for the interviews is to identify himself to the potential respondent and attempt to secure the respondent cooperation in may be return down by the interviews. Despite high costs, the personal can provide critical help of information such as on knowledge intensions, demographic, characteristics, attitudes, opinions and lifestyle.  TELEPHONE INTERVIEW: - This is basically done on telephone. Again set pattern of questions are followed and this can be done more quickly.  MAILING QUESTIONNAIRE: - That¶s on Internet. 77 SELECTION OF SURVEY TECHNIQUES: - The survey technique is to be selected keeping in mind the following thing which will help in successfully conducting the research and helps a lot in preparing the research report. These factors also suggest the reliability and identity of the report.  COST  SPEED  ACCURACY  AMOUNT OF DATA GATHERED  RESPONSE RATE  FLEXIBILITY  CONTROL 78 JOINT VENTURES Mohan Meakin Ltd. has established joint ventures with various companies in order to promote its products in the country and abroad. Some of the joint ventures till date are with ± a) Mc Donald & Muir Ltd. Edwin Burgh, Scotland (U.K.). A separate joint venture company has been corporate under the name Mc Donald Mohan Distillery Ltd. with Head office at New Delhi. b) Miss Blizzard and Rogers international (world¶s largest liquor manufacturer) under the brand name of Marie Blizzard for the purpose of bottling and marketing of various liquors. c) Larsen S.A. (One of the world¶s top five Cognac and Brandy manufacturers) located in France for the purpose of the bottling distribution and marketing of Larsen Cognac. In pursuant to the economic liberalization policy, Mohan Meakin has explored other strategic tie-ups with international alcoholic beverage manufacturers for the purpose of not only introducing international brands in the Indian market but also to export products through their distribution network internally. Mohan Breweries & Distilleries Ltd. (MBDL) is one of the leading manufacturers of Indian Made Foreign Liquor & Beer products in India. MBDL was incorporated in 1982 in technical collaboration with M/S Mohan Meakin Limited, Ghaziabad, India who are amongst the pioneers in liquor manufacturing with over 100 years of experience. MBDL has also power generation units, generation power using non-conventional energy sources for their captive usage. 79 MAJOR BRANDS OF VARIOUS COMPANIES Black Knight Diplomat deluxe Solan No.1 Old Monk Mohan Meakin¶s Ltd. High command Old Tavern Directors Special Haywards Mugal Monarch Show Wallace Co. Ltd., Calcutta Ritz Gold Great Glen Distilleries and breweries Ltd. Darling Ten Polar Beach Plaza Kadia Castle Solon Industries Ltd. Bagpiper Herberstan Co. Ltd., Mumbai Diplomat Mc Dowell Co. Ltd., Madras Democrat Khodey¶s Distilleries, Banglore Aristocrat Jagjit Industries, Punjab Golden Crest Saraya Distilleries, Saraya Gorakhpur 80 GIFTS OR INCENTIVES GIVEN BY THE COMPANIES S.NO. 1. MANUFACTURING COMPANY Mohan Meakin Ltd. GIFTS TO CONSUMERS Nil GIFTS TO RETAILERS Nil 2. Jagajit Industries Key ring, paper soap Torch, Bag, Glass set Table Clock, Bag 3. Mc Dowell¶s Co. Ltd. Opener 4. Shaw Wallace Key Ring & Pen Beer Set, Glass set, Playing card Glass, Hanky, Calendar 5. Herberston Co. Ltd. Nil 81 RESPONSE OF MARKET SURVEY CONDUCTED DATA ANALYSIS AND INTERPRETATION SALES OF DIFFERENT KIND OF ALCOHOLIC PRODUCT Beer Whiskey Rum Scotch 54% 24% 14% 8% Percentage 8% 14% Scotch Rum Beer Whiskey Beer 54% Whiskey Rum Scotch 24% Interpretation:- In the survey it came out that most people preferred Beer. 82 BASES OF PURCHASE Method Brand Name Advertisement Shop Salesman point of view People 46 25 11 08 Percentage 51% 28% 12% 09% BASES 60% 50% 40% 30% 20% 10% 0% Brand Name Advertisement Shop Salesman Interpretation:- Most of the consumer influenced by the Brand Name of the product. 83 CONSUMER AGE GROUP AGE PERCENTAGE 15-20 19% 20-35 47% 35-45 21% 45-60 13% CONSUMER GROUP Perc. of People 50% 40% 30% 20% 10% 0% 15-20 20-35 35-45 45-60 Age(in year) Interpretation:- Most of the liquor drinker¶s are in age group of 20-35 and a new age category of 15-20 is emerging. Company should launch some new category of brand with lesser alcohol content to cash the opportunity. 84 ANALYSIS OF OCCUPATION OF CONSUMERS OCCUPATION Employed Businessman Unemployed Retired NO. OF PEOPLE 44 20 15 7 PERCENTAGE 52% 23% 17% 8% Percentage 8% 17% Unemployed Businessman Retired Employed 52% Employed Businessman Unemployed 23% Retired Interpretation:- Most of the liquor drinkers are the employed person i.e., service class person uses alcohol mostly. 85 ANALYSIS OF INCOME OF CONSUMERS INCOME 0-5000 5000-10000 10000-15000 More than 15000 NO. OF PEOPLE 12 25 36 17 PERCENTAGE 13% 28% 40% 19% CONSUMER INCOME GROUP 50% 40% 30% 20% 10% 0% 0-5000 5000-10000 10000-15000 more than 15000 In. Rs. Interpretation:- Most of the consumers of alcoholic liquor belong to the 1000015000. 86 REASON FOR PREFERRING A PARTICULAR BRAND Quality Taste Availability Price 45% 30% 15% 10% PREFERENCE REASON 50% 40% 30% 20% 10% 0% QUQLITY TASTE AVAILABILITY REASON PRICE Interpretation:- One of the factors which customers basically considers while selecting a brand is the quality and availability and price plays lesser role in deciding a brands. 87 MEDIA PREFERENCE OF THE CONSUMERS MEDIA RADIO/AUDIO MAGAZINE NEWSPAPERS OTHERS NO. OF PEOPLE 20 9 6 34 PERCENT AGE 22% 11% 10% 57% Percentage 22% Radio/Audio Others Magazine Newspapers Radio/Audio Magazine 11% Newspapers Others 57% 10% Interpretation:- T.V. Media is mostly effect the Consumer buying Behavior. 88 ATTITUDE OF CONSUMERS IN THE ABSENCE OF HIS FAVORITE BRAND PREFER A DRY DAY GOTO ANOTHER SHOP SWITCH OVER TO ANOTHER BRAND 15% 31% 54% 60% 50% 40% 30% 20% 10% 0% PREFER A DRY DAY GOTO ANOTHER SHOP SWITCH OVER TO ANOTHER BRAND Interpretation:- Reason for asking this question is to check the consumer¶s loyalty and to classify them into Hard Core, Soft core and Switchers and also to check how much segment of the market can stick to a brand even incase of its non availability. 89 REASON FOR TAKING ALCOHOLIC DRINKS  FOR ENJOYEMENT  TO GIVE COMPANY TO FRIENDS  FORGET PAST  NO SPECIFIC REASON 55% 19% 22% 04% 13% 13% ENJOY 17% COMP.TO FRIENDS FORGET PAST NO SPEC. REASON 57% Interpretation:- 55% of the customers drink alcoholic liquid just for enjoyment and there is no specific reason for taking drink4%, taking it to give company to their friends 19%, Drink it to forget bad past or to enjoy the happy moments 22%. 90 FREQUENCY OF DRINKING PERCENTAGE OF THE RESPONSE DURATION Daily After 2-3 days Once in a week Once or twice in a month Occasionally PERCENTAGE OF THE RESPONSE 5% 12% 16% 26% 41% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% DAILY AFTER 2-3 DAYS Once in a week once or twice in occasionally a month Interpretation:- Most of the people take drink occasionally and daily drinkers are rare in number. 91 SIZE PREFERRED BY PEOPLE 750 ML (FULL) 375 ML (HALF) 180 ML (QUARTER) 20% 30% 50% 20% 750ML(FUL L) 350ML (HALF) 180ML (QUARTER) 50% 30% Interpretation:- In the study, most people preferred to take 180 ml bottle. They were of the opinion that the little quantity suits them and given satisfaction. It is only when large no. Of friends come together, they purchase 750 ml bottle. 92 FINDINGS The most vital range of Mohan Meakin of whisky, Beer, Rum, Vodka & other fruit juces and drinking products are there a large market segment is unaware with their products and some people even don't know that a particular brand exist in the market. The main think is that to make aware the customer to there brands and there products. In case of Colonel's Special Whisky more then 47% of the market is unaware of it, so the first and foremost step to increase the market share is to make the people aware of Mohan Meakin range of whiskies. The measures that can be done to make the people aware of brand name are. y To promote the brand name through various media sources like satellite, television, magazine and novels etc Liquor is not a necessary good, so its advertisement should be such type that the effect present in the mind for some times. As the advertisement of the liquor I` banned On National Channel, so the other products like mineral water and the juices of the same brand must be advertise on the television This can be simultaneously make the people aware that Mohan Meakin is also preparing nonalcoholic drink, as presently less then 10% of the people's ears aware of it. y Sponsoring some important event like national championship of any sports to naked the promotion of the company. This type of promotion also creates a good image of the company as once clone by Director's Special of Shaw Wallace on sponsoring the cricket match between India and England The most important way of promotion is the display of The posters and dangles of the brand of the Mohan Meakin at the retail shop. The display must be eye catching as it is the final way to attracting a consumer towards its products. These all promotional scheme will definitely help the company to increase the profit of the company and also the market shares of the company. y y 93 MARKET STRENGTH OF MOHAN MEAKIN LTD. TOWARDS DIFFERENT CHARACTERISTICS CHARACTERISTICS Distribution Market Share Advertising Competition Growth Rate Pricing Product Quality V.HIGH  MARKET STRENGTH HIGH LOW  V.LOW      94 LIMITATIONS OF THE RESEARCH There was various constraints facing the research project which have limited the degree of detail of the problem: -  Since the survey was conducted only in Lucknow a narrow view of the role of Mohan Meakin in U.P. could be obtained.  It was important that the number of questions in the questionnaire do not exceed due to financial constraints and due to the fact that if the questionnaire was too long the number of responses would have refused to give a large amount of time.  Due to lack of secondary data very specific hypothesis could not be formed.  Due to individual differences it could be possible that a respondent did not understand the question and thus gave a wrong response.  Lucknow is a big city so care has been taken to cover all the areas of the city but rural areas could not be covered.  Some people also questioned about why the survey has been conducted and were suspicious about given the information.  Some people had no idea about the brand while they are having liquor.  The consumer does not reveal some time the correct information so basis comes.  The study is Limited because every people are not the consumer of liquor. 95 SUGGESTIONS Although the company is running well and marketing efforts for the sales promotion but in spite of all that there are following suggestions, which I would like to put for betterment of Mohan Meakin Ltd., Lucknow.  Since the company brands of whiskey are not very popular so it will be beneficial for the company to adopt some sales promotion schemes to increase the sale and to generate the brand awareness in the consumer¶s minds.  Company should give some gifts and incentives to retailers because salesman of retailer play very important role in the sale of alcoholic product and ask the retailers to display company¶s brands on their display. These gifts & incentive can be in the form of sweater, table clock, wall clock, dinner set, tea set, t-shirts etc.  Company should also give gifts to the consumers with brands; these gifts can be in the form of key chains, openers, pens etc.  Company can also give lucky coupons with brands. Since most of the consumer belong to the age group 20-35 and belong to well educated people so the company should advertise its brands mostly in newspapers, T.V., magazines etc. During my research I found out of the competition of Mohan Meakin has a strong promotional scheme. So beating the competition company must follow strong promotional schemes for salesman as well as consumers also. Since consumer pay their attention on taste and quality and packaging of the bottle while making a purchase therefore company should pay more attention on attractive packaging and quality of whiskey.  First and foremost important thing is that there must be regular feedback from the retailers and consumers about the product.  Company should provide special discounts, gifts like attractive glasses to the bar in order to promote and make the brand popular. 96 CONCLUSION Through my study on Market Analysis of IMFL (Indian Made Foreign Liquor) of Mohan Meakin Ltd., I have come upon the following conclusion: Mohan Meakin manufacturer of different brands of whisky as Black Night, Diplomat and even other alcoholic as well as non alcoholic products such as: - Rum, Gin, Scotch, Vodka, Juices, Vinegar and mineral water. The company has 23% of market share of the Indian alcoholic market. Main selling product of the company is Old Monk Rum, which is always in short supply in the market. Company has a very nice and cooperative staff in its organization. On the basis of research company should make investment on sales & promotion for his product in the market to increase the sales of product and to capture the big share of the market. 97 BIBLIOGRAPHY BOOKS:  Marketing Management, Analysis, Planning, Implementation and control By: - Philip Kotler  Marketing Research, Principles, Application and Cases o By: - Dr. D.D.Sharma  Research Methodology  Principles Of Marketing  Statistics for business and economics o By:- R.P. Hooda By: - Devendra Thakur By: - Philip Kotler JOURNALS:  The Economic Times  Business Today  Times of India (Lucknow Edition) WEBSITES: -  www.hinduonline.net (For Achieves etc.)  www.thedistillery.com (For alcoholic references)  www.upgov.nic.in (For Law References)  www.google.com (For searching information)  www.kingfisherworld.com (For alcoholic references) 98 ANEXTURE QUESTIONNAIRE In survey method of data collection, questionnaire is a popular means of data collection instrument. A questionnaire is a structured, standardized format of data collection to record urban response to questions. It is utilized when population is very large. Generally questionnaire is used to record consumer awareness attitudes, opinions, prior and present behavior and to make extensive interviews of salesman & consumers. ADVANTAGES:  Versatility  Speed and Cheaper cost  Easy in Communication  Better Control PROBLEM IDENTIFICATION: On making the initial survey on sales promotional strategy applied by the companies it was found that medium range brands are popular among consumers. But it was found that none of the Mohan Meakin brand of whisky is popular and highly reliable though it leads in rum, as its rum Old Monk is extensively popular and always in short supply. So I found out that selling and marketing of medium range of whisky of the companies is the main problem and decided to survey only this range of whisky in the market. 99 RETAILER¶S QUESTIONNAIRE Name of Shop/Retailer:-..«««««««««««««««««««««.. Address:-««««««««««««««««««««««««««««.. Contact Number:-««««««««««««««««««««««««« 1. What brand you sell most? a) Whiskey b) Rum c) Vodka d) Gin e) Brandy f) Other 2. Which age group you deal most? a) 15-20 b) 20-35 c) 35-45 d) 45-60 ( ( ( ( ( ( ) ) ) ) ) ) ( ( ( ( ) ) ) ) 3. Do you sell MML product if not so why? _______________________________ 4. What would attract you to sell MML product? a) Free gifts ( ) b) Incentives ( ) c) Low prices ( ) d) Better quality ( ) 5. Product is demanded most in__ a) Winter b) Summer c) Rainy day d) Festivals ( ( ( ( ) ) ) ) 6. What is the market position of MML? a) Good ( ) b) Average ( ) c) Poor ( ) 7. Which brand of MML you are selling most? ________________________________________________ 8. Which liquor company representative visits you frequently? Specify. _________________________________________________ 100 9. Which company gives you gifts & incentives? Specify. ________________________________________________ 10. Have you attend any liquor company¶s meetings? a) Yes ( ) b) No ( ) 11. What did you find them?  Informative.............................  Entertaining.............................  Educational.............................  Interesting.............................  Can¶t say.............................. Date: - ««««««« Location: - «««««. Signature 101 List of Retailers Shops Shop Name Purani Chungi Owner Name Suresh Pratap Singh Address Purani Chungi, Kanpur Road Purani Chungi, Kanpur Road Krishna Nagar Alam Bagh Near: Bus Adda Chandan Nagar Gate, Alam bagh Purani Chungi Rupesh kumar Krishna Nagar Alam Bagh - Chandan Nagar Vendhya Chanl Aish Jaiswal Near Vendhya Chal Mandir, Sita Pur Road Lucknow Viktoria Ganj, Nakhash Near: Galla Mandi, Sitapur Road. Near; Puraniya Croshing, Viktoria Ganj Galla Mandi Om Prakesh Raju Jaiswal Puraniya Croshing Kapoor Thala Tadhi Puliya S. P. Singh Kapoor Thala, Aliganj Tadhi Puliya Chauraha Kurshi Road. Opp. Petrol Pump, Sitapur Road. Madiyava 102 RESUME Name: Jitesh kumar Contact number: 7376869023 e-mail address: [email protected] Career Objective: To continue to strive for excellence at job and to have result oriented approach for me and for the growth of the company. Professional Qualification: Master of Business Administration from Shri Ramswaroop Memorial college of enggeneering and management, lucknow affalited to G.B.T.U. Lucknow (U.P.) Area of Specialization: Marketing and Finance Academic Qualification:  BACHOLAR OF ART from C.S.J.M.University, Kanpur.(2010)  HSC from U P Board, Allhabad.(2005)  SSC from U P Board.Allhabad.(2003) Trainings or Project: Name of the organization: MOHAN MEAKIN LTD. Title of Project: SALES PROMOTION OF LIQUOR BEVERAGES & FRUIT JUICE OF MOHAN MEAKIN LTD. Duration: 45 days Extra curricular activities: participate in college level programs Personal Details: Date of birth: 10/03/1987 Mother s name: Smt. Binda devi Father s name: Shri Gayadeen Hobbies: listening music Permanent address : vill-& post kishundaspur disit- Raebareli (U.P.) Date: Place: (jitesh kumar) 103