CHAPTER 1

INTRODUCTION

1
 INTRODUCTION

Modernization is a continuous process and there should be concerted effort to modernize both
machinery and manufacturing process regularly. It is general experience that units which
maintained the process of modernization systematically could manage to sustain their growth
in the long run.

Modernization in fact is needed to increase production, reduce the cost of production,

rationalize labor, reduce maintenance etc. The textile units have tried to regularly modernize
their units. As a result the Indian textiles have been vastly grown day by day. This has now
successfully become one of the largest in the world.

Indian Textile industry is one of the leading textile industries in the world. Indian textile
industries are quietly famous from very early period and it is the worlds finest one. But as
for everything the competition strikes in textile industry also, then it move towards the lower
part of market. Thus textile industries adopt various promotional strategies to survive.

Promotion of retail textile is not just a process, it is a focused mission to persuade customers
that the product is better than competing products and to remind customers about why they
may want to buy. A promotional strategy is an important element of marketing strategy. A
key ingredient in marketing campaign consists of a diverse collection of incentive tools,
mostly short term, and design to stimulate quicker or greater purchase of particular products
or service by consumers or trade.

Promotional strategies adopted by textile industry in perinthalmanna municipality are so

significant in the changing world.

2
 MEANING

A promotion strategy is an activity that is designed to help the marketing of a product or

service. It is very important as it not only helps to boost sales but it also helps a business to
draw new customers while at the same time retaining older ones. It can be done through an
advertising campaign, public relation activities, a free sampling campaign, a free gift
campaign, a trading stamp campaign, through demonstrations and exhibitions, through prize
giving competitions, through temporary price cuts, and through door-to-door sales,
telemarketing, personal sales letters, and e-mails. Promotion is a reward making activity that
influences people to buy and consume the products of a marketer.

DEFINITION

The choice of a target market and formulation of the most appropriate promotion mix to
influence it.

- Business dictionary

Promotion compasses all the tools in the marketing mix whose major role is persuasive
communication.

- Philip Kotler

Promotion includes, advertising, personal selling, sales promotion and other selling tools.
- Stanston

3
 SIGNIFICANCE OF THE STUDY

In the competitive world, to sustain in market, promotional strategy plays a vital role.
Promotional strategies and marketing go hand in hand. Marketing your brand or product will
include different aspects of manufacturing, promoting and selling products to the customers.
Promotion is a key element in putting across the benefits of your product or service to the
customers. Well-designed promotional strategies ensure long-term success, bring in more
customers and ensure profitability for businesses. Promotional strategies are wider concepts
which send out your brands message loud and clear to the audience. Various media
platforms can be used to promote your company and brand. They include television, radio,
shopping outlets, billboards, magazines, and social media. Various promotional strategies can
be used to promote and market your business depending on the goals, objectives and
priorities of your company. In the growing world textile industries faces a lot of competitors,
to sustain the market promotional tools are efficient. So the marketing or promotional activity
has such a great significance in the textile industry.

This study is helpful to understand about the promotional strategies adopted by textiles in

perinthalmanna municipality and its effectiveness.

STATEMENT OF THE PROBLEM

The title of research is Promotional strategies adopted by textiles in perinthalmanna

municipality. Promotional strategies influence textiles in various ways. If textiles fail to
adopt promotional strategies, it becomes problematic and negatively influences sales. The
present study is focus on examining the promotional strategies adopted by textiles.

4
 OBJECTIVES OF THE STUDY

To identify the various promotional strategy adopted by textile owners in

perinthalmanna municipality.
To understand consumer behavior by the effect of promotion.
To evaluate the preference of textile owners towards different promotional strategies.
To analyses up to what extend textile owners is spending money for promotional
purpose.
To critically analyses the reason for selection of promotional strategies.

SCOPE OF STUDY

This Study is conducted around 60 textiles in perinthalmanna municipality. The ultimate task
was to identify the promotional strategies of textiles in perinthalmanna municipality. This
study also consists of the consumer behavior by the effect of promotion strategies.

RESEARCH METHODOLOGY
Sample Area
The sample area for the research is in perinthalmanna municipality.

Sample Size
The number of samples covered under the study is 60 textiles.

Sample method
The method used for selection of sample is convenience sampling method.

5
Type of source of data

The study on promotional strategies of textiles in perinthalmanna municipality is mainly

analytical and partially descriptive. Both primary data and secondary data have been used for
the study.

The primary data has been collected from various textile owners in perinthalmanna.
Secondary data has been collected by using internet, journals and different books.

Collection and Analysis of Data

The primary data has been collected through the issue of questionnaire, which has been
distributed among selected owners of textiles.

Satisfaction tools like percentage, pie chart, etc has been used for analyzing data. Graphs,
tables and different diagrams have been used to have a better clarity.

LIMITATION OF STUDY

The sample size has been limited to 60.

The time period and finance has been acted as a main hindrance for the study.
The study has been limited only to the owners of different textile company.
The scope is limited to the textiles in perinthalmanna municipality.

PERIOD OF THE STUDY

The period has been limited to four months from December 2016 to March 2017.

6
 CHAPTERISATION

For a lucid presentation of the research report, it is divided into four chapters.

CHAPTER 1- INTRODUCTION

This chapter deals with the introduction, meaning, definition, significance of the study,
statement of the problem, objectives of the study, scope of study, research methodology used,
limitations and period of the study.

CHAPTER 2 LITERATURE & THEORETICAL REVIEWS

This chapter gives a literature and theoretical review about the promotional strategies.

CHAPTER 3 ANALYSIS OF DATA

This chapter deals with the analysis of collected data.

CHAPTER 4 FINDINGS AND CONCLUSION

This chapter deals with the various findings and conclusions of the study.

7
 CHAPTER 2
LITERATURE & THEORETICAL
REVIEWS

8
 LITERATURE REVIEW

PROMOTION AND CONSUMPTION

Does consumption respond to promotion? Many studies have focused on the effects of
promotion on brand switching, purchase quantity, and stockpiling and have documented that
promotion makes consumers switch brands and purchase earlier or more. The consumers
consumption decision has long been ignored, and it remains unclear how promotion affects
consumption (Blattberg et al. 1995). Conventional choice models cannot be used to address
this issue because many of these models assume constant consumption rates over time
(usually defined as the total purchases over the entire sample periods divided by the number
of time periods). While this assumption can be appropriate for some product categories such
as detergent and diapers, it might not hold for many other product categories, such as
packaged tuna, candy, orange juice, or yogurt. For these categories, promotion can actually
stimulate consumption in addition to causing brand switching and stockpiling. Thus, for
product categories with a varying consumption rate, it is critical to recognize the
responsiveness of consumption to promotion in order to measure the effectiveness of
promotion on sales more precisely.

Emerging literature in behavioural and economic theory has provided supporting evidence
that consumption for some product categories responds to promotion. Using an experimental
approach, Wansink (1996) establishes that significant holding costs pressure consumers to
consume more of the product. Wansink and Deshpande (1994) show that when the product is
perceived as widely substitutable, consumers will consume more of it in place of its close
substitutes. They also show that higher perishability increases consumption rates. Adopting
scarcity theory, Folkes et al. (1993) show that consumers curb consumption of products when
supply is limited because they perceivesmaller quantities as more valuable. Chandon and
Wansink (2002) show that stockpiling increases consumption of high convenience
productsmore than that of low-convenience products. In an analytical study, Assuncao and
Meyer (1993) show that consumption is an endogenous decision variable driven by
promotion and promotion-induced stockpiling resulting from forward-looking behaviour.
9
There are some recent empirical papers addressing the promotion effect on consumer
stockpiling behaviour under price or promotion uncertainty. Erdem and Keane (1996) and
Gonul and Srinivasan (1996) establish that consumers are forward looking. Erdem et al.
(2003) explicitly model consumers expectations about future prices with an exogenous
consumption rate. In their model, consumers form future price expectations and decide when,
what, and how much to buy. Sun et al. (2003) demonstrate that ignoring forward looking
behaviour leads to an over estimation of promotion elasticity.

SALES PROMOTION AND CONSUMER RESPONSE

Consumer promotions are now more pervasive than ever. Witness 215 billion manufacturer
coupons distributed in 1986, up 500% in the last decade (Manufacturers Coupon Control
Center 1988), and manufacturer expenditures on trade incentives to feature or display brands
totaling more than $20 billion in the same year, up 800% in the last decade (Alsop 1986;
Kessler 1986). So far, not much work has been done to identify the purchasing strategies that
consumers adopt in response to particular promotions, or to study how pervasive these
strategies are in a population of interest. Blattberg, Peacock and Sen (1976) define a
purchase strategy as a general buying pattern which "incorporates several dimensions of
buying behaviour such as brand loyalty, private brand proneness and deal proneness." A
greater understanding of the different types of consumer responses to promotions can help
managers to develop effective promotional programs as well as provide new insights for
consumer behaviour theorists who seek to understand the influence of different types of
environmental cues on consumer behaviour.

Blattberg, Eppen, and Liebermann (1981),Gupta (1988), Neslin, Henderson, and Quelch
(1985), Shoemaker (1979), Ward and Davis (1978), and Wilson,Newman, and Hastak
(1979) find evidence that promotions are associated with purchase acceleration in terms of an
increase in quantity purchased and, to a lesser extent, decreased inter purchase timing.
Researchers studying the brand choice decision-for example, Guadagni and Little (1983)
and Gupta (1988)-have found promotions to be associated with brand switching.
Montgomery (1971), Schneider and Currim (1990), and Webster (1965) found that
promotion-prone households were associated with lower levels of brand loyalty.

10
Blattberg, Peacock, and Sen (1976, 1978) describe 16 purchasing strategy segments based
on three purchase dimensions: brand loyalty (single brand, single brand shifting, many
brands), type of brand preferred (national, both national and private label), and price
sensitivity (purchase at regular price, purchase at deal price). There are other variables that
may be used to describe purchase strategies, examples are whether the household purchases a
major or minor (share) national brand, store brand, or generic, or whether it is store-loyal or
not.

McAlister (1983) and Neslin and Shoemaker (1983) use certain segments derived from
those of Blattberg, Peacock, and Sen but add a purchase acceleration variable to study the
profitability of product promotions.

Throughout the world, consumer sales promotions are an integral part of the marketing mix
for many consumer products. Marketing managers use price-oriented promotions such as
coupons, rebates, and price discounts to increase sales and market share, entice trial, and
encourage brand switching. Non-price promotions such as sweepstakes, frequent user clubs,
and premiums add excitement and value to brands and may encourage brand loyalty (e.g.,
Aaker 1991; Shea, 1996). In addition, consumers like promotions. They provide utilitarian
benefits such as monetary savings, added value, increased quality, and convenience, as well
as hedonic benefits such as entertainment, exploration, and self expression (Chandon,
Laurent, and Wansink, 1997).

A large body of literature has examined consumer response to sales promotions, most notably
coupons (e.g.. Sawyer and Dickson, 1984; Bawa and Shoemaker, 1987 and 1989; Gupta,
1988; Blattberg and Neslin, 1990; Kirshnan and Rao, 1995; Leone andSrinivasan, 1996).
Despite this, important gaps remain to be studied. It is generally agreed that sales promotions
are difficult to standardize because of legal, economic, and cultural differences (e.g., Foxman,
Tansuhaj, and Wong, 1988; Kashani and Quelch, 1990; Huff and Alden, 1998). Multinational
firms should therefore understand how consumer response to sales promotions differs
between countries or states or province

11
 THEORETICAL REVIEW

PROMOTIONAL STRATEGIES

A marketers job is to build a marketing program to achieve a companys objective. For this,
he has to design and administer various under Four P s of marketing, namely, product, price,
place and promotion. Marketing communication is an important P (also called as promotion)
of marketing.

A promotion strategy is an activity that is designed to help boost the marketing of a product
or service. It is very important as it not only helps to boost sales but it also helps a business to
draw new customers while at the same time retaining older ones. It can be done through an
advertising campaign, public relation activities, a free sampling campaign, a free gift
campaign, a trading stamp campaign, through demonstrations and exhibitions, through prize
giving competitions, through temporary price cuts, and through door-to-door sales,
telemarketing, personal sales letters, and e-mails. Promotion is a reward making activity that
influences people to buy and consume the products of a marketer. The methods and means of
the small scale industrial units are traditional, simple, involve less cost.

Promotion may be defined as the co-ordination of all seller initiated efforts to set up
channels of information and persuasion to facilitate the scale of a good or service.
Promotion is most often intended to be a supporting component in a marketing mix.

Promotion decision must be integrated and co-ordinate with the rest of the marketing mix,
particularly product/brand decisions, so that it may effectively support an entire marketing
mix strategy. The promotion mix consists of four basic elements. They are:-

1. Advertising,
2. Direct Marketing,
3. Personal Selling,
4. Sales Promotion, and
5. Publicity

12
Advertising:
It is any paid form of non-personal presentation and promotion of ideas, goods or services by

an identified sponsor.

Direct Marketing:
It refers to the use of mail, telephone and other non-personal contact tools to communicate

with or solicit a response from specific customers and prospects.

Personal Selling:
Face to face interaction with one or more prospective purchasers for the purpose of making a

sale refers to personal selling.

Public Relations and Publicity:

It refers to the variety of programs designed to promote and or protect a companys image or

its individual products.

Sales Promotions:
The short-term incentive to encourage trial or purchase of a product or service refers to sales

promotion. Whereas advertising offers a reason to buy; sales promotion offers an incentive to

buy.

Sales Promotion

Sales promotion refers to the short-term incentives to encourage sales of a product or service.

It consists of a diverse collection of incentive tools, mostly short-term, designed to stimulate

quicker and greater purchase of products or services by consumers.

13
Purpose of Sales Promotion
Sales promotion tools vary in their specific objectives. They may be used to attract new

customers, to reward loyal customers and to increase the repurchase rates of occasional users.

Sales promotion usually targets brand switchers because non-users and users of other brands

do not always notice a promotion. Sales promotions are thus also seen as a tool for breaking

down loyalty to other products.

Sales promotions also let manufacturers adjust to short term changes in supply and demand

and differences in customer segments. They also let manufacturers to experiment by varying

prices. Sales promotions also lead to greater consumer awareness of prices.

To use sales promotion, a company must set objectives, select the right tools, develop the best

program and implement it and evaluate the results.

Objectives of Sales Promotion

The specific objectives set for sales promotions will vary with the type of the target market.

For consumer promotions, objectives include encouraging purchasing of larger sized units,

building trial among non-users and attracting switchers away from the competitors brands.

For trade promotions, objectives may include; including retailers to carry new items and

higher level of inventory, encouraging off-seasonal buying, of-setting competitive

promotions, building brand loyalty of retailers and gaining entry into new retail outlets.

14
The sales force promotions help in encouraging support of a new product or model,

encouraging more prospecting and stimulating off-seasonal sales. But most importantly, sales

promotion should be focused on consumer relationship building.

Sales Promotion Tools

Many tools can be used to accomplish sales promotion objectives. Descriptions of the main

promotional tools are as follows;

Consumer Promotion Tools

The main consumer promotion tools are as follows;

Samples:

They are offers of a trial amount of a product. It consists of inviting prospective

purchasers to try the product without cost or at a lower cost in the hope that they will buy

the product. Samples may be free or discounted.

Coupons:

Coupons are certificates that give buyers a saving when they purchase a specified

product. Coupons can be mailed, placed in advertisements or included with other

products.

15
 Rebates:

Rebate is also known as cash refund offers. Rebates are offers to refund part of a

purchase price of a product to its customers who send a proof of purchase to the

manufactures. These are like coupons except that the price reduction occurs after the

purchase and not at the point of sale.

Price Packs:

Cents-off deals or price packs offer consumers savings by way of reducing prices that are
marked by the producer directly on the package.

Premiums:

These are the goods offered either free or at a low cost as an

incentive to buy a product. Premiums may be in-pack or on-pack (outside

the pack).

Prizes:

They are offers of chance to win something such as cash, trips or goods by luck or

through extra efforts. Contests of talent and sweepstakes or draws the most popular prize

offering promotions.

Tie-in Promotions:

Tie-in promotions involve two or more brands or companies that team up on coupons,

refunds or contests to increase their pulling powers.

16

Cross Promotions:

Cross promotions involve using one brand to advertise non-competing brand.

Advertising Specialties:

These are useful articles imprinted with an advertisers name, given as gifts to consumers.

Patronage Rewards:

They are cash or other awards for the regular use of companys products or services.

They are values (in cash otherwise) that are proportional to ones patronage of a certain

vendor or a group of vendors. They aim at building brand loyalty.

Trade Promotion Tools

More money is spent by companies on trade promotion (58%) than on consumer promotions

(42%). The major trade promotion tools are as follows

Discounts:

It is also known as price-off or off-invoice or off-list. Discounts price cut off the list price

on a particular quantity purchased during a stated time.

Allowances:


They are the amount offered in return for an agreement by the retailer to feature the

manufacturers products in some way display, advertising or otherwise.

17
 Free Goods:

Free goods are the extra merchandise offered to middlemen who buy a specific amount of

a product.

ADVANTAGES AND DISADVANTAGES OF PROMOTION

ADVANTAGES:

1. It stimulates in the consumers an attitude towards the product.

2. It creates a better incentive in the consumers to make a purchase. It is a Demand

creator.

3. It gives direct inducement to the consumer to take immediate action.

4. It is flexible. It can be used at any stage of a new product introduction.

5. Sales promotion leads to low unit-cost, due to large-scale production and large

scale selling.

6. It is an effective supporter of sales. It helps the salesman and makes his effort

more productive.

7. The promotional tools are the most effective to be used in increasing the sales

volume.

18
DISADVANTAGES:

1. Sales promotions are only supplementary devices to supplement selling efforts

of other promotion tools.

2. Sales promotion activities are having temporary and short life. The benefits

are also short-lived for three or four months. Then the demand will fall down.

3. They are non-recurring in their use.

4. Brand image is affected by too many sales promotion activities. Consumers

are of the opinion that due to the lack of popularity and overstocking of

products of a company, these sales promotional activities are conducted.

5. There is a feeling in the minds of the customers that sales promotional activity

tools are used to sell inadequate or second grade products.

6. Discounts or rebates are allowed by boosting the prices of the goods, with a

view to sell at a gain, which is not real.

7. Immediate increase in demand is stimulated by this. Hence it is a short-lived

tool.
8. It is expensive and leads to a rise in the price of products.

19
 CHAPTER 3
ANALYSIS OF DATA

20
 CLASSIFICATION OF TEXTILES ON THE BASIS OF MONTHLY INCOME.

TABLE 3.1

MONTHLY INCOME. NO. OF RESPONDENTS PERCENTAGE

Below 25000 4 7%

25000 35000 9 15%

35000 45000 26 43%

45000 & above 21 35%

Total 60 100

CHART 3.1

30
26
25
21
20

15
NO. OF RESPONDENTS

10 9

5 4

0
Below 25000 25000 35000 35000 45000 45000 & above

Source: Primary Data

Table 3.1 shows the monthly income of textiles. 7% have a monthly income of below 25000,
15% have monthly income of 35000 - 45000, 43% have monthly income of 25000 35000
and 35% have a monthly income of above 45000.

21
 CLASSIFICATIONS OF TEXTILES ON THE BASIS OFOWNERSHIP STRUCTURE

TABLE 3.2

RESPONDENTSHIP
NO. OF RESPONDENTS PERCENTAGE
STRUCTURE
Sole proprietorship 15 25%

Partnership 39 65%

Joint stock 6 10%

Total 60 100%

CHART 3.2

39
40
35
30
25
NO. OF RESPONDENTS
20 15
15
10 6

5
0
Sole proprietorship Partnership Joint stock

Source: primary data

Table 3.2 shows the ownership structure. 25% of textiles are Partnership firms; 65% of
textiles are Sole proprietorships and 10% of textiles are Joint stock companies.

22
 CLASSIFICATIONS OF TEXTILES ON THE BASIS OFBUSINESS OPERATION

TABLE 3.3

BUSINESS OPERATION NO. OF RESPONDENTS PERCENTAGE

Small scale 13 22%

Medium scale 33 55%

Large scale 14 23%

Total 60 100%

CHART 3.3

33
35

30

25

20
14 NO. OF RESPONDENTS
13
15

10

0
Small scale Medium scale Large scale

Source: Primary data

Table 3.3 shows the size of textiles. Majority (22%) of textiles is Medium scale; 55% belongs
to Small scale; 23% belongs to Large scale.

23
 SECTION OF THE CUSTOMERS AIMED BY TEXTILES

TABLE 3.4

NO. OF RESPONDENTS PERCENTAGE

Gents 56 93%
Ladies 43 72%
Kids 38 63%

CHART 3.4

60 56

50 43
38
40

30 NO. OF RESPONDENTS

20

10

0
Gents Ladies Kids

Source: Primary Data

Table 3.4 shows the section of customers aimed by textiles. 93% of textiles include Gents;
72% of textile includes Ladies and 63% of textiles include Kids.

24
 SHOWSSALES PROMOTION MEDIA ADOPTED BY TEXTILES

TABLE 3.5

SALES PROMOTION NO. OF RESPONDENTS PERCENTAGE

MEDIA

Print Media 54 90%

Visual Media 38 63%

Others 11 18%

CHART 3.5

60
54

50

40 38

30
NO. OF RESPONDENTS

20
11
10

0
Print Media Visual Media Others

Source: Primary data

Table 5.6 shows the Sales promotion Medias adopted by textiles. Majority of textiles (90%)
are using Print media; 63% using visual Medias for sales promotion;18 % using other Medias
for sales promotion; using print Medias for sales promotion;

25
 SHOWSPROMOTIONAL ACTIVITES ADOPTED BY TEXTILES

TABLE 3.6

PROMOTIONAL NO. OF RESPONDENTS PERCENTAGE

ACTIVITES

Discount 58 97%

Extra Offer 24 40%

1+1 Offer 16 27%

Coupons 11 18%

Others 7 12%

CHART 3.6

58
60

50

40

30 24
20 16
10 11
0 7

Discount Extra
Offer 1+1 Offer
Coupons
Others

NO. OF RESPONDENTS

Source: Primary Data

Table 3.6 shows the Promotional activities adopted by textiles.97% using Discounts; 40%
using Extra offer; 27% using 1+1 offer; 18% using coupons and 12% using others;

26
 EFFECTIVNESS PROMOTIONAL TOOLS

TABLE 3.7

PROMOTIONAL TOOLS NO. OF RESPONDENTS PERCENTAGE

Advertising 45 75%

Personal Selling 1 1%

Direct Marketing 3 5%

Sale promotion 11 19%

60 100%

CHART 3.7

45
45
40
35
30
25
20 NO. OF RESPONDENTS

15 11
10
3
5 1
0
Advertising Personal Direct Sale
Selling Marketing promotion

Source: Primary Data

Table No: 3.7 show effectiveness of promotional activities.75% of textiles say that
Advertisement is more effective, while 19% of textiles say that Sales Promotion is more
effective; But 1% of textiles say that Personal selling is more effective and 5% of textiles say
that Direct marketing is more effective.

27
 CUSTOMER REACTION TO PRODUCT PROMOTION

TAABLE 3.8

CUSTOMER REACTION NO. OF RESPONDENTS PERCENTAGE

Positive 47 78%
Neutral 7 12%
Negative 6 10%
Total 60 100%

CHART 3.8

CUSTOMER REACTION

Negative
10%

Neutral
12%

Positive
78%

Source: primary data

Table No: 3.8 shows customer reaction towards promotional activities of textiles. Majority of
textiles (78%) say that customers reacted positively; only 12% of textiles say that customers
reaction is neutral and 10% of textiles say that customers reacted negatively

28
 USEFULNES OF PROMOTION THROUGH SOCIAL NETWORKING WEBSITE

TABLE 3.9

USEFULNES OF NO. OF RESPONDENTS PERCENTAGE

PROMOTION THROUGH
SOCIAL NETWORKING
WEBSITE
Yes 22 37%
No 38 63%
Total 60 100%

CHART 3.9

USEFULNES OF PROMOTION THROUGH SOCIAL NETWORKING

WEBSITE

Yes
37%

No
63%

Source: Primary data

Table No: 3.9 shows usage of social networking websites. 37% respondents say that Social
Networks are useful. While 63% respondents say that Social Networks are not useful.

29
 EFFECTIVENESS OF SPONSORING AN EVENT

TABLE 3.10

EFFECTIVENESS OF NO. OF RESPONDENTS PERCENTAGE

SPONSORING AN EVENT
Yes 37 62%
No 23 38%
Total 60 100%

CHART 3.10

EFFECTIVENESS OF SPONSORING AN EVENT

No
38%

Yes
62%

Source: Primary data

Table No: 3.10 show effectiveness of sponsoring an event. 38% respondents say that
sponsoring is useful. While 62% respondents say that sponsoring are not useful.

30
 REASON FOR USING MORE SALE PROMOTION

TABLE 3.11

REASON FOR USING NO. OF RESPONDENTS PERCENTAGE

SALE PROMOTION
Increased competition 43 72%
Lower number of customers 31 51%
Reduced market share 7 12%
Publicity 56 93%
Others 13 22%

CHART 3.11

60 56

50
43
40
31
30

20
13
10 7

0
Increased Lower number Reduced Publicity Others
competition of customers market share

NO. OF RESPONDENTS

Source: Primary data.

Table No: 3.11 show the reasons for using sales promotion. Publicity is one of the main
reason of sales promotion for majority of textiles (93%); 72% respondents say that Increased
competition is also a reason for using more sales promotion; 51% respondents say that Lower
number of customers is one of reason for using more sales promotion;. 12% respondents say
that Reduced market share are the reason for using more sales promotion. 22% respondents
say that other reason are the reason for using more sales promotion

31
 AMOUND SPEND FOR PROMOTIOAL ACTIVITY IN AN YEAR

TABLE 3.12

AMOUNT SPEND NO. OF RESPONDENTS PERCENTAGE

Below 50000 43 72%
50000 100000 8 13%
100000 500000 3 5%
Above 500000 6 10%
Total 60 100%

CHART 3.12

43
45
40
35
30
25
20
15
10 8
5 6
3
0
Below 50000
50000
100000 100000
500000 Above
500000
NO. OF RESPONDENTS

Source: Primary data

Table no: 3.12 shows the amount spend textiles for sale promotion during a year. 72% of
textiles spend an amount below 50000; 13% textiles spends an amount of Rs. 50000 -
100000; 5% of textiles spends an amount of Rs. 100000 500000; 10% of textile spends an
amount above Rs.500000.

32
VARIATION IN PROFITABILITY AFTER ADOPTING PROMOTIONAL STRATEGIES

TABLE 3.13

RESPONSE NO. OF RESPONDENTS PERCENTAGE

Yes 56 93%
No 4 7%
Total 60 100%

CHART 3.13

VARIATION IN PROFITABILITY AFTER ADOPTING

PROMOTIONAL STRATEGIES

No
7%

Yes
93%

Source: Primary data

Table No: 3.13 show the variation in Profitability of textiles after adopting Promotional
Strategy. A lion portion (93%) of textiles says that there is variation in profitability after
adopting promotional strategy. since 7% say that there is no variation in profitability.

33
 CHAPTER 4
FINDINGS AND CONCLUTION

34
 FINDINGS

Nearly half of textiles (43%) in Perinthalmanna have a monthly income Rs 35000 -

45000.

Out of the sample (60) textiles, 39 textiles (65%) are Partnership firms.

Majority of textiles (55%) are Medium scale in Perinthalmanna municipality.

A major portion of textiles (93%) sales Gents wears, 72% of textiles sales ladies wear

and 63% sales Kids wear in their shop.

More than half of the respondents (90%) are using Print Media for sale promotion.

Discount (97% of textiles) and Extra offer (40% of textiles) are the commonly used

Promotional Activities by textiles in Perinthalmanna municipality.

Majority of respondents (75%) beliefs that Advertisement is the most effective

Promotional tool.

Majority of textiles (78%) says that Customers reacting positively towards their Sales

Promotion activities.

More than half of respondents (63%) say that Social Networking websites are not

effective.

Majority of textiles (62%) says that sponsoring is effective for sales promotion.

Publicity is one of the major reasons for using sales promotion for almost all (93%)

textiles in Perinthalmanna.

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 Most of textiles in Perinthalmanna are spending an amount below 50000 for

promotion.

In almost all textiles in Perinthalmanna there is variation in profitability after adopting

sales promotion.

CONCLUSION

This project on Promotional strategies of textiles - a study with special reference to

perinthalmanna municipality gives an assessment of the modern promotional practices in the
retail sectors and its growth per year and its impact on the customers towards company

In the present scenario, Promotion seems to be an important part of Business. It is a

common mistake to believe that promotion by business is all about advertising. It isn't. There
are a variety of approaches that a business can take to get their message across to customers,
although advertising is certainly an important one.

This study reveals that almost all textiles are using Promotional strategies effectively
according to the situation and they find changes in the sales as well as Profitability. One of
the major reasons for using Promotional measures is increased competition and this
competition seems to be in the field of Promotion too.

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BIBLIOGRAPHY
AND
APPENDIX

37
Websites
1. www.scribd.com
2. www.slideshare.net
3. http://issue.com
4. www.assignmentpoint.com
5. www.tutor2u.net
6. www.questionpro.com
7. http://slideplayer.com

Books

1. Advertising and Promotion: An IMC perspective By Kuti Shah and Alan Dsousa,
2009, Volume 6.
2. Marketing Management- By Philip Kotler and Kevin Keller, 2009.

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APPENDIX

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 QUESTIONNAIRE
Sir / Madam,

I am a Sixth semester B.Com Student of N.S.S College, Manjeri. I am conducting a study on

PROMOTIONAL STRATEGIES OF TEXTILES - A STUDY WITH SPECIAL
REFERENCE TO PERINTHALMANNA MUNICIPALITY as part of my B.Com
dissertation. I would be obliged if you kindly fill up the questionnaire which is required for
collecting the data for my B.Com dissertation. I assure you that I will keep the information
confidential and use only for my academic purposes.
Yours Faithfully

1. Company Name: .

2. Year of Establishment :

3. Monthly Income

Below 25000 25000 35000 35000 45000 45000 &above

4. Ownership structure of your company.

Sole proprietorship Partnership Cooperative

5. Type of your business operation.

Small scale Medium scale Large scale

6. Section of the customers your company is aimed at.

Gents Ladies Kids

7. Which sales promotion media do you adopt?

Print Media (Newspaper, Magazine, etc.)

Visual Media (Television, Internet, etc.)

Radio Commercials

8. Promotional activities employed by your company to attract customers.

Discount Extra offer 1+1 offer Coupons Others

9. Which Promotional tools are more effective in your company?

Advertising Personal Selling Direct Marketing

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 Sales Promotion Others

10. How has the customer reacted to your product promotion conducted so far?

Positive Neutral Negative

11. Do you think promotion through social networking website will be helpful?

Yes No

If yes, please specify .

12. Did you ever sponsor an event?

Yes No

If yes, Is it effective .

13. What is the reason for using more sale promotion in your company?

Increased competition

Lower number of customers

Reduced market share

Publicity

Others

14. How much amount spends for promotional activities during a year?

Below 50000 50000 100000 100000 - 500000 Above 500000

15. Is there any variation in your profitability after adopting promotional strategies in your

Yes No

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