CONSUMER BEHAVIOR ON AMWAY PRODUCTS IN INDIA

WHO IS A CONSUMER?
A Consumer is a person or group of

people that are the final users of products and or services generated within a social system. A consumer may be a person or group, such as a household. The concept of a consumer may vary significantly by context.

What is a consumer behavior?

Consumer Behaviour is a branch which

deals with the various stages a consumer goes through before purchasing products or services for his end use.

Why do you think an individual buys a product ? Why do you think an individual does not buy a product ? When do you think consumers purchase products ?

What is an Amway?
The word Amway is an abbreviation for American Way and it was coined in 1959 by the company founder Jay Van Andel and Richard Devos. For easy remembrance the name of the company was made short it into Amway and it has been registered as a corporate name and also as their trademark. Amway is a direct selling company that uses Network Marketing to sell a variety of products. Mostly, the products are based on Health, Beauty and Home care products.

Introduction :

Amway India, a wholly owned subsidiary of Amway Corporation, was established in August 1995 after approval by India's Foreign Investment Promotion Board (FIPB). Amway India commenced commercial operations on May 5, 1998 and is now the largest Direct Selling FMCG Company. The Company is headquartered at the National Capital Region of India - New Delhi. Amway has invested in excess of US $ 35 million (Rs. 151 cr) in India of this; US $ 6 million (Rs. 26 cr) is in the form of direct foreign investment. Amway India has 400 full time employees and has generated indirect employment for 1,650 persons at all the contract manufacturer locations.

Contd..
Amway India provides free and unlimited training to all its distributors to help them grow their business. Amway India conducted over 34,000 training sessions during in the past 12-months with an attendance of over 1.5 million Amway Business Owners and prospects. Amway India is a member of the Indian Direct Selling Association (IDSA). The IDSA is an industry regulatory body, with several reputed international and Indian Direct Selling companies as members. A Mumbai-based consumer rights activist, Asha Kidnani, is IDSAs Ombudsman & Code Administrator. Amway India is also a member of the Confederation of Indian Industries (CII) and Federation of Indian Chambers of Commerce (FICCI).

objectives
New products are often successful if they provide better

solutions to the consumers problems and needs.

To optimize consumer convenience and value through

enhanced product differentiation.

To study the Consumers Behavior towards the Amway

products

SCOPE
The scope of the project is limited only to the Amway

Products (such as Soap and Shampoo).

It would continue with the consumers behavior regarding

these products.

Research Methodology
Research problems : To study the Consumer

Behavior on Amway Products.

Data Source : Primary data and Secondary data Research Approach :Survey approach

Research instrument : Questionnaire

ANALYSIS AND INTERPRETATION

1. Gender:
a. b.

Female

Male

Gender
female male

25%

75%

2. Occupation

Student b. Employee c. Business d. None of them

a.

Option
60 50

40

30 percentage 20

10

0 student employee business none of them

3. Which brand comes to mind, when you think of health along with beauty care products?

Amway b. Lakme c. Yardley

a.

OPTIONS
amway lakme yardley

13% 12%

75%

4. Have you heard of Amway products?

a. b.

Yes No

Option
70 60 50 40 yes 30 20 10 0 yes no no

5. Did you use Amway Products?

Yes b. No
a.
80 70 60 50 40 30 20 10 0 yes

Options

percentage

no

6. What things you want your soap to be included with..?

Good Cleanser b. Good Moisturizer c. Good Deodorizer d. All the above

a.

Opinion
60 50 40 30 20 10 0 percentage

7. What do you use after washing your hair with Shampoo?

Conditioner b. Oil c. None of them

a.

OPTIONS
conditioner oil none of them

16% 10%

74%

8. Have you used Persona Soap?

Yes b. No
a.

Option
80 70 60 50 40 30 20 10 0 yes no

percentage

9. Did you find any difference after using the Soap?

There is a change b. No change c. Not observed

a.
change

Opinion
no change not observed

15%

18% 67%

10. Have you used Satinique Shampoo?

Yes b. No
a.
80 70 60 50 40 30 20 10 0 yes

Options

percentage

no

11. How is the quality of the Persona Soap and Satinique shampoo?

Good b. Medium c. Satisfactory

a.
Opinion for soap
good medium stisfactory

Opinion for shampoo

good medium stisfactory

16% 30% 54% 16% 19% 65%

12. What is the level of satisfaction towards the purchase of Amway Products?

Good b. Average c. Satisfactory

a.

Opinion
good medium stisfactory

29%

10%

61%

13. What is the reason for choosing the Amway Products?

Quality b. Price c. Others

a.

percentage
quality price others

25% 6% 69%

14. Would you like to suggest others, to buy the Amway Products?

Yes b. No
a.
Opinion
80 70 60 50 40 30 20 10 0 yes no percentage

15.What are the important factors that influenced you to buy the Amway Products?

Personal choice b. Friends c. Advertisement d. Internet

a.

respondents
40

35
30

25
20 15 10 5 0 personal ch. friends advt. internet respondents

Conclusion/suggestions

The project was aimed to understand the Consumer Behavior on Amway products in India. Launch of new advertisement campaign with the brand ambassador. By making the price of the products to be reasonable , it can attract many customers and also can retain its present consumers also.

LIMITATIONS
This project deals with only the Soap and Shampoo of the Amway company. I.e., Persona (Soap) Satinique (Shampoo)

It is limited to only these products of Amway and specially in INDIA

BIBILIOGRAPHY
www.amway.com www.amwayindia.com