Project Report

Of
Economics
Study on Demand of Ice-Cream
(Brand: Havmor)

At

Som Lalit Institute of Management Studies

Year: 2010
Semester 1
PGP: 2010-2012
Submitted to: Submitted by:
Mr. Shreekant Iyengar Sunita Fatwani (09)
Srushti Mehta (21)
Jay Patel (33)
Krunal Shah (45)
Anis Vohra (57)
 Table of Contents

Sr. Page
Titles
No. No.
1. Objective
2. Brand taken
2.1 Why this Brand
2.2 Introduction to Brand
2.3 Other Substitute brands available
3. Survey Done by other Brand
4. Research Methodology
4.1 Types of Data and Data collection Methods
4.2 Questionnaire and Different effects to study
5. Problems during Survey
6. Findings from Survey
6.1 Findings
6.2 Observation Table

7. Limitations
8. Conclusion
9. References
 1. Objective

To Study: The law of demand in the context of ice-cream parlors and prepare demand
schedule.

To study the consumer behavior towards the variety of ice creams of “Havmor” with
respect to the various determinants of demand like

• To study how the change in price of Ice-cream effects the demand of Ice-cream

• To study how does the income of individual effects the demand of Ice-cream

• To study how does the consumption of substitution goods effects the demand of
Ice-cream

• To study the demand of Ice-cream in Different Seasons

• To study the demand of Ice-cream according to taste and preference of

consumers and by expectations of consumer.
 2. Brand Information

Brand Taken: Havmor

2.1 Why this brand?

• Havmor has strong market share and brand awareness in Gujarat

• Havmor ice cream meets with all legal norms specified under the law. ISO
9001:2000 & HACCP certification signifies that there has been a well
documented systems followed at every stages of processes during
manufacturing of ice cream.

• Havmor under goes quality check that is "All ingredients which go into making
of Ice Creams undergo pre-quality checks & only after conformance they are
allowed to be used.

• Havmor provides 100% pure ice-cream while other brands like amul and
vadilal provides frozen dessert

• Havmor has more than 100 varieties in ice cream.

• Every 3 months havmor launches 3 new products and if demand for the same
increases than its kept or else its stopped and other items are launched

• Havmor was the first to introduce the tear open products in India

• The total sales of unit is around 18.5 to 20 crores and knowing that havmor
operates just in Gujarat it is a great achievement

• Keeping Ahmedabad as the base havmor has a total of 50 parlours and

restaurants spread throughout Western India

• Havmor has dealership of 12000+ covering over 35% of the market share.
These numbers indicate nothing more than proving that Havmor has
become Gujarat’s favorite ice cream brand today.
2.2 Introduction to Havmor
Background and History of Havmor Ice-cream
Havmor ice-cream began its branded life in 1944 in Karachi in undivided India. But
1947 it was a popular local brand there. But in 1947, in the make of the partition, its
founder Satish Chona had to join the exodus to India, with virtually no movable
Assets. Searching for a new turf, he tired out Dehra Dun and Indore and finally settled
down in Ahnmedabad. In India he had to again begin his work from the start. He
started
selling ice-cream at the Ahmedabad Railway Station.

The founder began the brand named Havmor, their slogan was “Achai,
Sachai, Safai” Today, Havmor ice-cream is a delicious facet of Western India’s daily
life, and part of its market move. It reaches hundreds of thousands of consumer
through 8 main outlets and 3800 plus dealers. Pradeep Chona, Son of Satish Chona,
today heads the Havmor conglomerate. He has continued his father is quality
obsersion and stveak of innovationl.

Pradeep Chona set off a series of changes in Havmor – in technology, in quality and
hygiene standards in management in HRD and in the overall corporate environment.
This re-engineering was completed by capacity expansions and a flourry of
promotional activities, to maintain the company’s market presence in act in
competitive firms.
General Information
The firm of organization is Havmor Pvt. Ltd. Company. In this company
there is 26 crores turnover. Pts sales are only in Gujarat. Out of all sales, 6% Sales are
in only advertisement. The product is competition based. In sales promotion,
Dhanteras Scheme is held every year.

In company there is no canteen facility and during the work all workers are in their
Uniform, Hand gloves and Masks : In company there are 150 employees in production
unit.

Products
CANDIES, CUPS, NOVELTIES PACKS, TOPO CONES, SUNDAES, ROLL CUTS,
SUGAR LESS ETC.,

2.3 Other Substitute brands

• Vadilal
• Amul
• Quality Walls
• Mother Dairy
• Baskin 31 Robbins
3. Survey done by other Brand
 4. Research Methodology

Research is a diligent and systematic inquiry or investigation into a subject in order to

discover or revise facts, theories, applications, etc. Methodology is the system of
methods followed by particular discipline.

Thus, research methodology is the way how we conduct our research.

4.1 Types of Data and Data collection Methods

a) Primary Data

In primary data collection, you collect the data yourself using methods such as
interviews and questionnaires. The key point here is that the data you collect is
unique to you and your research and, until you publish, no one else has access to it.

There are many methods of collecting primary data and the main methods include:

• Questionnaires

• Interviews

• Focus group interviews

• Observation

• Case-studies

• Diaries

• Critical incidents

• Portfolios.

b) Secondary Data

All methods of data collection can supply quantitative data (numbers, statistics or
financial) or qualitative data (usually words or text). Quantitative data may often be
presented in tabular or graphical form. Secondary data is data that has already been
 collected by someone else for a different purpose to yours. For example, this could
mean using:

• Data collected by a hotel on its customers through its guest history system

• Data supplied by a marketing organization

• Annual company reports

• Government statistics.

4.2 Questionnaire and Different effects to study

Here we have focused on primary data and the questions we asked are as follows:

a) INCOME EFFCET

Q- What occupation are you in?

Business Service Other ___________

Q- Which type of house do you live in?

Self-owned Rent

Q- Do you have a car?

Yes No

If Yes which one? _________

b) PRICE EFFECT

Q- If prices of Havmor Ice-cream increase than will you eat the same amount of
ice-cream?

Yes No

Q- If you get some offers on purchase of ice-cream would that affect the
amount of ice-cream you consume?

Yes No
c) EXPECTATION EFFECT

Q- How much does the price matters for selection of ice-cream?

Extremely Important Very Important Somewhat Important
Not very Important Not at all Important
Q- How much does the Availability matters for selection of ice-cream?
Extremely Important Very Important Somewhat Important
Not very Important Not at all Important
Q- How much does the Flavor matters for selection of ice-cream?
Extremely Important Very Important Somewhat Important
Not very Important Not at all Important
Q- How much does the Quality matters for selection of ice-cream?
Extremely Important Very Important Somewhat Important
Not very Important Not at all Important
Q- How much does the Quantity matters for selection of ice-cream?
Extremely Important Very Important Somewhat Important
Not very Important Not at all Important

d) TASTE EFFECT
Q- How much does the Taste matters for selection of ice-cream?

Extremely Important Very Important Somewhat Important

Not very Important Not at all Important

e) SUBSTITUTION EFFECT

Q-What do you prefer to have over Ice-cream?

Cold-drinks Golas Others ______________

Q- Which other brands of Ice-cream do you like the more ?

 Vadilal Amul Quality walls Mother Dairy

Other _______

f) COMPLIMENT EFFECT

Q- What do you have along with Ice-cream?

Soda Wafer biscuit Cake other ___________

g) SEASONAL EFFECT

Q- In which seasons do you consume the ice-cream frequently?

Summers Winters Monsoon Springs All Seasons

h) PREFERENCE EFFECT

Q-You prefer Havmor ice-cream because of

Quality Flavor Quantity Taste Availability Price

Other ___________

i) Details from Suppliers

Month Sale(in INR)*

July 13,94,854

August 12,93,854

September 14,66,588

*This is from one retailer in Anand District

 5. Problems during Survey
• Many people were facing difficulty in understanding the questions. For
example “Question 7” describes what people like to have instead of ice-cream,
but it was misunderstood by the people as what they like to eat after having ice-
cream.
• It was very hard to convince people to fill the questionnaire as according to
them it was very lengthy or contains many questions to answer. To bring their
interest to fill questionnaire was really a tough job.
• Many people were expecting for something in return of filling the questionnaire
like some of them demanded a cup of ice-cream of havmor in return of filling
it.
• While survey, some people refused to fill up the questionnaire as they felt lack
of reliability. They have asked many questions like who are you? Where are
you from? What is your intention behind doing this survey? They also asked
for our identity card.
 6. Findings from the Survey
• We have done the survey of 100 people.
• Age group which we have surveys majorly consist of 16-30 of age group.
• It’s a nearby equal ratio of male and female.

6.1 Findings
Income Effect:

91% people have their own home

Observation
61% people have car
So majorly of people are having good income from our survey.
Price Effect:

Observation: Majority of people prefer “havmor ice-creams” because of quality, taste

and flavor.

Taste Effect:
 90% of people feel that “taste” is extremely or very important for
Observation:
havmor ice-creams.
So majorly of people are highly dependent on taste.

Expectation Effect:
Observation : • 32% of people expect that havmor should maintain the same
price.
• 72% of people expect that havmor should maintain or come up
with more and more flavors.
• 63% of people expect that havmor should maintain the same
quantity level.
• 73% of people expect that havmor should maintain the same
quality level.
• 64% of people expect the availability of havmor ice-cream at
every place.
So people majorly have higher expectation of flavor and quality with Havmor.
Substitute Effect:

Observation : • 64% of people will shift to other brand.

• 64% of people will shift to other product.
• 36% of people won’t shift to other brand.
• 36% of people won’t shift to other product.
So majorly people will prefer other brand or product.

Complimentary Effect:
Observation: • 69% of people will prefer something along with ice-cream.
• 31% of people won’t prefer something along with ice-cream.
So majorly of people will prefer something along with Havmor ice-cream.

Seasonal Variation:

Observation: • 58% of people prefer to consume ice-cream in all season.

So most of all people from our survey would like to consume ice-cream in all season

Preferences:

Observation: Majority of people prefer “havmor ice-creams” because of quality,

taste and flavor.

6.2 Observation Table

 Eco Question-ire Analysis
Effect Q Analysis
No
.
Opti % Op % Op % Op % Opti % Op %
on 1 tio tio tio on 5 tio
n2 n3 n4 n6
Expect Extre Ver So Not Not -
ation mely y me ver At
Imp. imp Wh y All
at imp Imp
imp
13 Price 10 10 22 22 28 28 25 25 15 15 -
14 Availa 22 22 42 42 25 25 7 7 4 4 -
bility
15 Flavou 32 32 40 40 15 15 8 8 5 5 -
r
16 Qualit 28 28 45 45 12 12 10 10 5 5 -
y
18 Quanti 28 28 35 35 22 22 11 11 4 4 -
ty
Obser • 32% of people expect that havmor should maintain the same price.
vation
: • 72% of people expect that havmor should maintain or come up with more
and more flavors.
• 63% of people expect that havmor should maintain the same quantity level.
• 73% of people expect that havmor should maintain the same quality level.
• 64% of people expect the availability of havmor ice-cream at every place.

Prefer Qual Qua Pric Tas Avail Fla

ences ity ntit e te abilit vou
y y r
20 Prefer 53 53 13 13 7 7 44 44 10 1 28 28
ance 0
Obser Majority of people prefer “havmor ice-creams” because of quality, taste and
vation: flavor.

Taste Extre Ver So Not Not -

 mely y me ver At
Imp. imp Wh y All
at imp Imp
imp
17 Taste 50 50 40 40 5 5 2 2 3 3 -
Obser 90% of people feel that “taste” is extremely or very important for havmor
vation: ice-creams.

Price YES NO
Effect 9 Increa 66 66 30 30 - - - -
se in
Price
19 Offers 70 70 34 34 - - - -
Availa
ble
Obser ·If there will be increase in price, 34% of people won’t prefer to have the
vation: same amount of ice-cream as before.
· If there is some offers available, 70% of people will prefer to have more
ice-cream.

Substit 7 Cold Gol Not Oth - -

ution - a hin er
Effect Drin g
k
Produc 34 34 22 22 36 36 8 8 - -
t
10 Vadi Am Qua Mo Othe Not
lal ul lity ther r hin
Wal Dai g
ls ry
Brand 19 19 20 20 10 10 8 8 7 7 36 36
Obser • 64% of people will shift to other brand.
vation • 64% of people will shift to other product.
: • 36% of people won’t shift to other brand.
• 36% of people won’t shift to other product.

Incom 1 Occup Busi Ser Stu Oth - -

e ation ness vice dent er
Effect 18 18 30 30 15 15 37 37 - -
 2 House Self- Ren - - - -
owne t
d
91 91 9 9 - - - -
3 Car Yes No - - - -
61 61 39 39 - - - -
Obser 91% people have their own home
vation 61% people have car

Season 4 Season Sum Wi Mo Spr All -

al s mers nter nso ing Seas
Variat s on on
ion 32 32 7 7 0 0 3 3 58 58 -
Obser • 58% of people prefer to consume ice-cream in all season.
vation

Compl 14 Compl Soda Wa Cak Oth Noth -

imenta iments ffer e er ing
ry bisc
Effect uit
11 11 27 27 28 28 3 3 31 31
Obser • 69% of people will prefer something along with ice-cream.
vation: • 31% of people won’t prefer something along with ice-cream.
 7. Limitations
• Due to limitation of time only few people (100) were selected for the study. So
the sample of consumers was not enough to generalize the findings of the
study.
• The main source of data for the study was primary data with the help of
questionnaires.
• People were hesitant to disclose the true facts.
• The data was collected from places like Ahmedabad and Gandhinagar only.
• Also the data majorly surveyed was of age-group 16-30.
• The chance of biased response can’t be eliminated though all necessary steps
were taken to avoid the same.
• Also, due to the certain lack of co-operation from audience data would not be
100% adequate for study.
 8. Conclusion
A survey of the people has been conducted to know the demand of ice-cream within
different brands. It is observed that overall people like to buy Havmor ice-cream more
due to the Taste, Quality and Flavor of the havmor Ice-creams. Some people often like
to have ice-creams of other brands like Vadilal and Amul. Also some people like to
have cold-drink instead of ice-cream. Some people often like to have many varieties of
thing like wafer biscuit along with ice-cream. It is thus concluded from the facts
collected that mostly people Prefer to buy Havmore ice-cream because of different
flavor and so Havmore comes up with many new flavors and as of now is providing
100 flavors. Also as prefer to have it due to its taste and quality Havmor is
maintaining the same.
9. References