Lays in paksistan

Acknowledgment

All the thanks to Almighty Allah, Who bestowed us with courage & ability to achieve this opportunity.

We would like to thank Ms. Zainab Rehman (Course Instructor) for her continuous support and guidance
she has rendered for the successful completion of this project.

We have collected the data for our research through survey method and questionnaires and we are in
no confusion for saying that this activity has enhanced our knowledge about the Research work. It is the
result of the efforts of our respected teacher who provided us all the possible directions and
information for this purpose.

We hereby take this opportunity to thank all those people including our friends and colleagues who
have helped us for the successful completion of this project.

We express our gratitude’s towards our parents for their encouraging support, incandescent sprit and
endurance towards the making of this project.

In the end a special thanks to all members who are directly or indirectly associated with the project.

Declarations

We hereby declare that this “Research Project” and it is neither as a whole or as part have developed
report entirely on the basis of our personal effort, made under the guidance of our project supervisor
Ms Zainab Rehman.

No portion of this work presented in this dissertation has been submitted in support of any application
for any other course of any other degree program or qualification of this or any other university or
institute of learning.

It is further stated that whole document is as the partial fulfillment for the “Research” course in B.B.A
Degree Program. We understand and transfer the copyright for this material to the department of IMS
(City Campus) Multan.

DEDICATION

“To Allah Almighty who is the most beneficent and the merciful and who is always with us in our
loneliness and in all our difficulties”.

AND

“Our efforts on this report are solely dedicated to our loving and supportive Friends and teachers”

Executive Summary:

The project purports to decipher the satisfaction level as well as the preferences of consumers
pertaining to the trends in snacks industry and the various flavors of Lay’s, a new range of savory snacks
launched by Pepsi Co. in Pakistan. We aim to analyze the success, marketability and future growth
prospects of Lay’s. Basically we intend to find out the most popular flavor of Lay’s in the market from
our sample and consumer trends towards snacks.

Snacks are a part of Consumer Convenience/ Packaged Foods segment. Snack is described as a small
quantity of food eaten between meals or in place of a meal. Snack food generally comprises bakery
products, ready-to-eat mixes, chips, namkeen and other light processed foods Snacks as such are, a very
minor part of the food processing industry. Snacks are mostly preferred by children and youngsters to
fulfill their appetite for the time being.

Of the wide range of snacks available, potato chips constitute a sizeable segment of the Pakistani snack
food industry, according to Pakistan Info line. The potato chip market is generally an unorganized
industry. Nearly all potato chip snack products are manufactured and sold locally. There is also no
uniform standard for packaging, as there is in Europe, the United States and other more developed

regions. Many snack foods are sold loose or packaged in poly-pouches, which may only be folded, or in
some cases, stapled closed. As the Pakistani economy continues to grow, and production standards
improve, many snack food companies are making significant investments into plant equipment and
packaging machinery.

Pepsi Foods Ltd., now known as Frito-Lay Ltd., produces Pakistan's largest snack food manufacturer’s
brands, including kukure, Cheetos and Lay`s. Frito Lay's story is an example of how American recipes
were adjusted to satisfy local tastes.

To study the consumer preferences towards snacks and the favorability of Lay`s chips, a survey will be
conducted in Multan, Pakistan where respondents will be requested to fill a questionnaire.

The data will be collected and analyzed to obtain conclusions The report carries an introduction of the
company profile, detail of the methodology followed detailed data analysis and the results so obtained
with the variety of graphs along with given.

History of Lay`s Chips:

[pic]

Lay's is the brand name for a number of potato chip varieties as well as the name of the company that
founded the chip brand in 1938. Lay's chips are marketed as a division of Frito-Lay, a company owned by
PepsiCo Inc. since 1965. Other brands in the Frito-Lay group include Fritos, Doritos, Ruffles, Cheetos and
Rold Gold pretzels.

In 1932 salesman Herman W. Lay opened a snack food operation in Nashville, Tennessee and, in 1938;
he purchased the Atlanta, Georgia potato chip manufacturer “Barrett Food Company," renaming it
"H.W. Lay & Company." Lay criss-crossed the Southern United States selling the product from the trunk
of his car. In 1942, Lay introduced the first continuous potato processor, resulting in the first large-scale
production of the product.

The business shortened its name to "the Lay's Company" in 1944 and became the first Snack food
manufacturer to purchase television commercials, with Bert Lahr as a celebrity spokesman. His signature
line, "so crisp you can hear the freshness," became the chips' first slogan along with "de-Lay-sious!" As
the popular commercials aired during the 1950s, Lay's went national in its marketing and was soon
supplying product throughout the United States.

In 1961, the Frito Company founded by Elmer Doolin and Lay's merged to form Frito-Lay Inc., a snack
food giant with combined sales of over $127 million annually, the largest of any manufacturer. Shortly
thereafter, Lays introduced its best-known slogan "betcha you can't eat just one." Sales of the chips
became international, with marketing assisted by a number of celebrity endorsers.

In 1965, Frito-Lay merged with the Pepsi Cola Company to form PepsiCo, Inc. and a barbecue version of
the chips appeared on grocery shelves. A new formulation of chip was introduced in 1991 that was
crisper and kept fresher longer. Shortly thereafter, the company introduced the "Wavy Lays" products to
grocer shelves. In the mid to late 1990s, Lay's modified its barbecue chips formula and rebranded it as
"K.C. Masterpiece," named after a popular sauce, and introduced a lower calorie baked version and a
variety that was completely fat-free (Lay's WOW chips containing the fat substitute olestra).

In the 2000s, kettle cooked brands appeared as did a processed version called Lay's Stax that was
intended to compete with Pringles, and the company began introducing a variety of additional flavor
variations.

Frito-Lay products presently control 55% of the United States salty foods marketplace

Flavors

Except for barbecue-flavor potato chips, which were introduced no later than 1958, up until the last 20
years, the only flavor of potato chips had been the conventional one. Despite an explosion of new
flavors, the unadorned original is still the selection of 81% of consumers.

In the United States, Lay's offers a number of flavor combinations, in addition to the classic chips.
Flavored products in the traditional fried varieties include sour cream & Onion, Barbecue, cheddar &
sour cream, Hidden Valley Ranch, salt & vinegar, salt & pepper, Flamin' Hot, dill pickle, Limon (Lime) and

a thicker "Deli style" chip. Canadian sellers have a number of varied flavors, with curry, ketchup,
poutine, pizza, Fire’s Gravy, roast chicken, Smokey bacon, salsa, wasabi, spicy Indian masala and sea salt
and pepper brands available. The marketing success of these flavors in Canada sometimes leads to a
limited time offering of a flavor to the south, with the dill pickle recently appearing in the United States
after a successful run.

Interestingly the name 'sour cream' has got Lay's into a lot of confusion in some countries. In India for
instance the name was changed to American style cream and onion after consumers reported their
discomfort with the idea of 'sour' cream

In the baked products, there are classic, barbecue and sour cream & onion varieties. The kettle cooked
version includes original, sea salt & vinegar, mesquite barbecue and jalapeño brands. Wavy Lay's have
original, hickory barbecue, ranch and Au Gratin flavors while Lay's Stax offers original, sour cream &
onion, cheddar, barbecue, ranch, pizza and salt & vinegar. The newest variety, Lay's Natural has thick cut
barbecue and sea salt brands.

The WOW! Brand was rebranded in 2004 as Lay's light after the olestra formula was altered and the U.S.
Food and Drug Administration allowed removal of warnings about various health consequences of the
fat substitute.

Outside North America, Lay's in Greece and Cyprus are made and packed by Tasty Foods and Carina
Snacks LTD, with Mediterranean flavors which include Feta cheese flavor, Tzatziki flavor, Olive and
Tomato, Oregano, Sea Salt & Black Pepper and various more. There are hundreds of sub-variations of
the Mediterranean line and the company performs.

Another flavor sold primarily in southern Asia is called "Magic Masala." This flavor is very popular in
India, Pakistan, and Bangladesh. Flavors featured in Thailand include Nori Seaweed, Basil, Squid, Spicy
Chili Squid, Seafood and Mayonnaise, and Spicy Seafood..

Russia has "Lay's MAX" chips (Chicken, Sour cream & Onion, Sour cream & Cheese, and Ham & cheese
flavors) and some international "Lay's" flavors plus Russian "Lay's" flavor - Mushrooms & Sour cream,
Crab and Red caviar.

In parts of South America (notably Argentina and Uruguay), Lay's flavored products are sold with the
"Lay's Mediterranean" label, and include such flavors as ham, tomato and basil, tomato Parmesan, and
oregano.

In Thailand there is Classic, Sour Cream & Onion, Cheese & Onion, Mexican Bar-B-Q, and And Japanese
Nori Seaweed. Flavors also come and go usually with an international theme, for example: French
Mayonnaise, Balsamic Vinegar and Salt (England), Garlic Soft Shelled Crab (Hong Kong), Soy Sauce,
Salmon Teriyaki (Japan), Lobster, Bacon & Cheese (America).

There are currently 12 regular Lay's flavors in Canada, though there are more, available only in certain
parts of the country. The flavors available nationwide are the following: Classic (yellow), BarBQ (black),
Salt & Vinegar (teal), Ketchup (dark red), Wavy Original (red), Dill Pickle (bright green), Smokey Bacon
(brown), Sea Salt & Pepper (silver), Sour Cream & Onion (green), Roast Chicken (light brown) and finally
Lightly Salted (bright blue).

Frito-Lay and Pepsi Join:

In February 1965, the Board of Directors for Frito-lay, Inc. and Pepsi-Cola announced a plan for the
merger of the two companies. On June 8, 1965, the merger of Frito-Lay and Pepsi-Cola Company was
approved by shareholders of both companies, and a new company called PepsiCo, Inc. was formed. At
the time of the merger, Frito-Lay owned 46 manufacturing plants nationwide, had more than 150
distribution centers across the United States, and was listed on the New York Stock Exchange.

Frito-Lay Today

Today, Frito-Lay has more than fifteen $100 million brands:

• LAY'S

• FRITOS

• CHEETOS

• BAKEN-ETS

• RUFFLES

• DORITOS

• FUNYUNS

• TOSTITOS

• BAKED LAY'S

• SUNCHIPS

• MUNCHIES

• OBERTO

• ROLD GOLD

• GRANDMA'S

• Cookies and Quaker Chewy Bars

Lays Flavors in Pakistan

• Plain Salted

• French Cheese

• Tomato Tango

• Masala

Lays brand IN Pakistan:

1. Kurkree

2. Lays

3. Cheetos

COMPETITOR ANALYSIS

Kolson

Business Profile:

Ever Since its inception in 1942, as on today, Kolson enjoys the distinction of being one of the Pioneer
food manufacturing and processing industries in Pakistan. The name of Kolson is synonymous with
dynamic and innovative food products.

The Philosophy of the company is based on self-commitments to offer consumers greater choice of
exclusive quality products. In doing so, the company has, in true sense, evolved its own marketing style
to establish a more effective relationship with consumers.

Being a food manufacturing company we understand our responsibility to provide consumer high quality
products and selection of best ingredients that add to the nutritional value of our products.

The whole range of Kolson products is made by using latest German, Dutch, Swiss and Italian etc latest
technology and process to back prime raw materials. The raw materials are procured from the leading
available sources in Germany, Denmark, Belgium and Nederland etc. The high quality Pakistani wheat
products, procured from select bunch of millers, are pivotal in determining the final outcome of high
quality products.

Products:

Kolson is proud to be the pioneer in Pasta production in Pakistan. More than 50 years back nobody
could think of Pasta as forming a food habit being an absolutely new food concept for populace of
Pakistan. At present company is market leader in Pasta products such as Spaghetti, Macaroni, Lasagne,
Noodles and Vermicelli.

Kolson also has a leading edge in manufacturing breakfast cereals that are innovative and extremely
popular among the consumers of all ages.

As company hierarchy enters to the third generation, it befittingly coincides with yet another stunning
product, an innovative range of high-class Biscuits. Jam Hearts, Cream Hearts, Katch and Bravo, being
sandwich, crackers and traditional bakery biscuits respectively which are already fetching consumers’
recognition & appreciation because of its unique and smacking flavor and texture.

[pic]

Chips and Snacks Products

[pic] [pic] [pic] [pic]

[pic][pic]

[pic] [pic][pic]

Some of the company snacks and chips are not available in the market as crinkle, twinkle and snackers.

Strategies

As the global economy is taking a different turn in its outlook and demand, Pakistan cannot afford to lag.
Kolson is prepared to accept the challenge to be always one step ahead of changes in offing. This is our
simple promise to our die-hard and prospective consumers in Pakistan and abroad.

Distribution strategy:

The company has the intensive distribution strategy for its products. Normally their products specially
chips and snacks can easily available in the market everywhere including all kind of general grocery
stores to big retail stores even in small roadside shops.

Target Market:

Kolson brands appeal to an extraordinarily diverse array of consumers. Our consumer segment starts
from as young as one year old who starts developing a taste for snacks and goes all the way up to older
age people who consume pasta and breakfast cereals as part of their healthy diet. In consumer
promotions, designed to enhance the Kolson image, we therefore, try to satisfy the growing needs of all
our target segments.

Pricing strategy:

As the company is providing its chips and snacks in all sizes and has intensive distribution strategies
therefore the prices are low and competing with their competitors on low cost leadership fundament so
that every one can buy it easily.

Promotional strategy:

The company is aggressive in its promotional strategy as they came up with heavy advertisement
campaigns and with the noticeable placement in stores and shops.

Super Crisp

Company profile:

Back in 1982 a business firm was created with the vision to cater to the culinary requirements of the
taste buds of the Pakistani nation and at the same time to uphold the qualifications, preconditions and
specifications set internationally by the ISO 9001. We commenced with the crunchy product of potato
chips of high quality under the brand name of “Super Crisp”. No doubt the name itself is self-
explanatory.

Super business profile:

The company commands the world’s most advanced and sophisticated processing unit, custom built for
Tripple Em by the leading American manufacturer of fully automatic and computerized snack food
plants. The packing system has been provided by a leading Japanese manufacturer renowned for its
extremely modern & accurate computerized weighing and packing machines. The entire processing
machinery is housed in a precision-built, centrally air conditioned premises to meet highest hygienic
standards. Highly qualified & experienced food technologists are employed to run the plant. The
company maintains a most modern research and test laboratory to ensure the highest international
standards in quality of the products. Quality of raw materials, efforts and efficiency at Tipple Em enables
us to provide the best of tastiest snack food items to you.

The company offers a range of snack food items to include Potato Chips, Nimko Mix, Peanuts, corn and
potato based extruded products. Nation wide availability of the products is made possible by a vast and
effective distribution network.

Products

Products that are indirectly in competition with Lays Smart chips:

Potato Chips

[pic] Natural Potato Chips Plain Salted (15gm Rs 10/-)

(25 gm Rs 20/-)

[pic]Mr Crips Salty (18gm Rs 20)

[pic]Mr Crips Spicy (18gm Rs 20) [pic]

[pic] Natural Potato Chips Chilli (15 gm Rs 10/-) [pic]

(25 gm Rs 20/-)

[pic] Chips Salt & Vinegar (40 gm Rs 20/-) [pic]

Extrusion Product

[pic] Catty Chins (12gm Rs 10/-) [pic] Dino (20gm Rs 20/-)

[pic] Rings (15gm Rs 10/-) [pic] Wheelo Pop (15gm Rs 10/-)

Strategies

Distribution strategy: Super crisp is using intensive distribution strategy for its chips. They are available
from small roadside shops to all grocery and big retail stores. Its has various flavors in the market which
covers all type of taste and it has a strong distribution channel.

Pricing Strategy: Super Crisp had places its prices similar to the other competitors with different size of
packing. Super Crisp has targeting all age groups with 15gm of 10 rupees and varies to 40 grams with
rupees 20.

Promotion Strategy: Super Crisp had aggressively when it was launched. They used television
commercials as well as billboards for a long period of time. But now the promotion is limited.

Problem Statement:

“What are the factors which constitute for consumer preference towards Lay`s Chips?”

Research Objectives:

• To study the trends in snacks industry as a part of food processing industry.

• To find out what percentage of population likes to eat snacks.

• To find out what percentage of population likes to eat Lay`s Chips.

• To find out which flavor of Lay`s is most preferred.

• To analyze the reason for the popularity of Lay`s as the most preferred snack.

• To know the satisfaction level of people who eat Lay`s.

• To find out how much people spend on Lay`s snacks weekly.

• To find out conclusions to our results.

Research Design:

Research design is the basic framework which provides guidelines for the rest of research
process. It specifies the methods for data collection and data analysis. The need of the research itself
determines the methodology and the design of the research. The following are the components of the
research design in our case of study:

• Correlation Hypothesis Testing (because we find the important variables or factors that
contribute their part in varying consumer preferences towards the defined brand).

• Applied Research methodology.

• Unit of analysis is “Sample”.

Research methodology:

Research method is a process which is used to clear the problem faced by manager in
order to take managerial decision. This process is used to solve research question. There are few steps
of research methodology namely:

1. Problem identification

2. Literature review

3. Hypothesis development and relevant measures

4. Sample design

5. Data collection process

6. Data analysis

7. Conclusion

Problem identification:

Problem is a hindrance which manager is facing in order to get good and timely solution. We started our
research in order to get solution of problem about consumption pattern towards snacks mainly Lays. So
our research studies revolve around the topic: “Consumer preferences towards Lays Chips.” This study
will be beneficial for Lays Company, marketer and consumers as well.

Literature Review:

Snacks are a part of Consumer Convenience/ Packaged Foods segment. Snack is described as a small
quantity of food eaten between meals or in place of a meal. Snack food generally comprises bakery
products, ready-to-eat mixes, chips, namkeen and other light processed foods Snacks as such are, a very
minor part of the food processing industry. Snacks are mostly preferred by children and youngsters to
fulfill their appetite for the time being.

In this report we intended to find out consumers trends towards Lays and its most favorite flavor among
consumers.

For this purpose, we focused on competitors strategies to analyze what Lays should do in order to
compete and achieve greatest market share.

Hypothesis Development:

A. Null Hypothesis:

“Consumers don`t prefer Lay`s Chips”

B. Alternate Hypothesis:

“Consumers prefer Lay`s Chips”

Sample Design:

A sample of 50 individuals is selected randomly over a population.

Data Collection Process:

There are two major techniques for data collection

• Primary data

• Secondary Data

Primary Data:

Primary data would be the main source of information in our research. In research it plays a vital role to
get to the stated objectives. Selecting an appropriate research tool to collect the accurate and precise
primary data is a preliminary precaution in data measurement.

For this purpose, we rely on the well formulated questionnaire. As the accuracy and relevance of data
gathered depends heavily on the questionnaire, so we put extra efforts in formulating this tool. Making
it sure that it spells out many functions relating to the respondent.

Secondary Data:

For every research, secondary data collection is very important. Without it, one thrashes out one’s
research project. It solves the problem up to some extent even before research. In our research,
secondary data is collected through internet and through consultation with our teachers.

ANALYSIS OF DATA

In order to extract the meaningful information from the data collected an analysis of data is done using
pie charts, bar graphs, chi-squares etc.

Hypothesis Development

Hypothesis # 1

Q#1

Do people prefer chips over other snacks?

Developing Hypothesis

Ho: People don`t prefer chips over snacks.

HA: People prefer chips over snacks.

Level of Significance

0.05

Type of Test

Chi -square

|Options |Fo |Fe |Fo-Fe |(Fo-Fe)2 |(Fo-Fe)2/Fe |

|Yes |41 |25 |16 |256 |10.24 |

|No |9 |25 |-16 |256 |10.24 |

|Total |50 |50 |0 |512 |20.48 |

Degree of Freedom

DF = k-1

2-1= 1

Critical Value

3.84

Conclusion

Calculated value is greater than the critical value so we reject Ho and accept HA

Hypothesis # 2

Q#4

Which flavour of Lay`s chips people like the most?


Ho: There is no relationship between Preference and flavor

HA: There is relationship between Preference and flavor


0.05

Type of Test

Chi –square


|Plain Salted |17 |12.5 |4.5 |20.25 |1.62 |

|Masala |15 |12.5 |2.5 |6.25 |0.5 |

|Tangy Tomato |10 |12.5 |-2.5 |6.25 |0.5 |

|French Cheese |8 |12.5 |-4.5 |20.25 |1.62 |

|Total |50 |50 |0 |53 |4.24 |

Degree of Freedom

DF = k-1

4-1= 3

Critical Value

7.82

Conclusion

Calculated value is greater than the critical value so we reject HA and accept Ho.

Hypothesis # 3

Q#6

Do big names attached to the product affect your choice?


Ho: Big names attached to the product don`t affect consumer`s choice.

HA: Big names attached to the product affect consumer`s choice.


0.05

Type of Test

Chi –square


|Yes |40 |25 |15 |225 |9 |

|No |10 |25 |-15 |225 |9 |

|Total |50 |50 |0 |450 |18 |

Degree of Freedom

DF = k-1

2-1= 1

Critical Value

3.84

Conclusion

Calculated value is greater than the critical value so we reject Ho and accept HA.

Hypothesis # 4

Q # 12

Do people think it acquires a good name in the market?


Ho: People don`t think it acquires a good name in the market.

HA: People think it acquires a good name in the market.


0.05

Type of Test

Chi -square


|Yes |47 |16.67 |30.33 |919.9 |55.18 |

|No |1 |16.67 |-15.67 |245.5 |14.73 |

|Can`t say |2 |16.67 |-14.67 |215.21 |12.91 |

|Total |50 |50 |0 |512 |82.82 |

Degree of Freedom

DF = k-1

3-1= 2

Critical Value

5.99

Conclusion

Calculated value is greater than the critical value so we reject Ho and accept HA

Hypothesis # 5

Q # 13

Would people suggest others to buy Lay`s chips?


Ho: People would not suggest others to buy lay`s chips.

HA: People would suggest others to buy lay`s chips.


0.05

Type of Test

Chi -square


|Yes |47 |16.67 |30.33 |919.9 |55.18 |

|No |2 |16.67 |-14.67 |215.21 |12.91 |

|Can`t say |1 |16.67 |-15.67 |245.5 |14.73 |

|Total |50 |50 |0 |512 |82.82 |

Degree of Freedom

DF = k-1 3-1= 2

Critical Value

5.99

Conclusion


Hypothesis # 6

Q # 14

Are people satisfied with the number of flavours it has provided?


Ho: People are not satisfied with the no. of flavors it has provided.

HA: People are satisfied with the no. of flavors it has provided.


0.05

Type of Test

Chi –square

| |Fo |Fe |Fo-Fe |(Fo-Fe)2 |(Fo-Fe)2/Fe |

|Yes |39 |25 |14 |196 |7.84 |

|No |11 |25 |-14 |196 |7.84 |

|Total |50 |50 |0 |392 |15.68 |

Degree of Freedom

DF = k-1

2-1= 1

Critical Value

3.84

Conclusion


Hypothesis # 7

Q # 15

Should Lay`s come up with more flavours?


Ho: Lay`s should not come up with more flavors.

HA: Lay`s should not come up with more flavors.


0.05

Type of Test

Chi –square


|Yes |32 |25 |7 |49 |1.96 |

|No |18 |25 |-7 |49 |1.96 |

|Total |50 |50 |0 |98 |3.92 |

Degree of Freedom

DF = k-1

2-1= 1

Critical Value

3.84

Conclusion


Hypothesis # 8

Q # 17

Does Lay`s come in a junk food category?


Ho: Lay`s come in junk food category.

HA: Lay`s doesn’t comes in junk food category.


0.05

Type of Test

Chi –square


|Yes |9 |25 |-16 |256 |10.24 |

|No |41 |25 |16 |256 |10.24 |

|Total |50 |50 |0 |512 |20.28 |

Degree of Freedom

DF = k-1

2-1= 1

Critical Value

3.84

Conclusion


Hypothesis # 9

Q # 18

Do people think Lay`s chips are healthy to consume?


Ho: Lay`s chips are not healthy to consume.

HA: Lay`s chips are not healthy to consume.


0.05

Type of Test

Chi –square


|Yes |44 |25 |19 |361 |14.44 |

|No |06 |25 |-19 |361 |14.44 |

|Total |50 |50 |0 |722 |28.88 |

Degree of Freedom

DF = k-1

2-1= 1

Critical Value

3.84

Conclusion


Hypothesis # 10

Q # 21

Are Lay`s chips easily available in your area?


Ho: Lay`s chips are not easily available.

HA: Lay`s chips are easily available.


0.05

Type of Test

Chi –square


|Yes |44 |25 |19 |361 |14.44 |

|No |06 |25 |-19 |361 |14.44 |

|Total |50 |50 |0 |722 |28.88 |

Degree of Freedom

DF = k-1

2-1= 1

Critical Value

3.84

Conclusion


Hypothesis # 11

Q # 22

Would people like to entertain their guests with Lay`s Chips?


Ho: People would not like to entertain their guests with Lay`s chips.

HA: People would like to entertain their guests with Lay`s chips..


0.05

Type of Test

Chi –square


|Yes |46 |25 |21 |441 |17.64 |

|No |04 |25 |-21 |441 |17.64 |

|Total |50 |50 |0 |822 |35.28 |

Degree of Freedom

DF = k-1

2-1= 1

Critical Value

3.84

Conclusion


Data Collection

• Close ended and open ended Questionnaires from general public.

Data Analysis

We have collected scientific data from general people, by questionnaires. After that we have analyzed
the data by using statistical tools i.e. averages, percentages and proper graphical presentation of data
has been applied. We have chosen the new technique to present the data analyzed through charts and
graphs. This will make the whole analysis easy to understand and attractive.

Q#2

When do people prefer snacks time in a day?

|Options |Frequency |Percentage |Cumulative percentage
|

|Morning |2 |4% |4% |

|Afternoon |15 |30% |34% |

|Evening |32 |64% |98% |

|Night |1 |2% |100% |

The GRAPHICAL REPRESENTATION of this Question is as follows:

[pic]

The graphical presentation shows that majority of people prefer snacks in evening.

Q#3

Which chips do people prefer most?

The following is the frequency distribution of the people`s preference to the varieties of Lay`s chips.

|

|Cheetos |6 |12% |12% |

|Kurkure |14 |28% |40% |

|Lay`s flavored |25 |50% |90% |

|Bingo |3 |6% |96% |

|Any other |2 |4% |100% |

[pic]

The graphical presentation shows that majority of people prefer lay`s flavored chips and the second
most preferable choice is kurkure chips.

Q#5

On which places it got maximum consumer?

|

|Colleges |17 |34% |34% |

|Railway stations |1 |2% |36% |

|Bus stops |1 |2% |38% |

|Public places |31 |62% |100% |


[pic]

The chart shows that Lay`s got maximum consumers at public places and in colleges.

Q#7

What compels consumers to consume it?

|

|Brand Name |7 |14% |14% |

|Quality |21 |42% |56% |

|Varieties |16 |32% |88% |

|Price |6 |12% |100% |

|Any other |0 |0% |100% |


[pic]

The graphical presentation shows that most of the people consume the defined product due to its
quality and varieties which it offers.

Q#8

How would people rate it as a product?

|

|Excellent |12 |24% |24% |

|Good |36 |72% |96% |

|Average |2 |4% |100% |

|Poor |0 |0% |100% |


[pic]

The graphical presentation shows that most of the people rated the product good.

Q#9

What size of product people prefer the most?

|

|Rs. 05 |8 |16% |16% |

|Rs. 10 |34 |68% |84% |

|Rs. 20 |8 |16% |100% |


[pic]

The results of the above analysis show that majority of people prefer Lay`s chips pack of Rs. 10.

Q # 10

How often people consume the product?

|

|Very often |35 |70% |70% |

|Often |9 |18% |88% |

|Sometimes |6 |12% |100% |

|Rarely |0 |0% |100% |

|Never |0 |0% |100% |


[pic]

The results of the analysis show that 70% of people consume the product very often.

Q # 11

Which members of the family prefer Lay`s chips?

|

|Children |18 |36% |36% |

|Parents |0 |0% |36% |

|Grandparents |0 |0% |36% |

|All |32 |64% |100% |


[pic]

The results of the analysis show that 64% of the total sample prefers Lay`s chips and out of 100%, 36%
children like it.

Q # 16

What are the people`s sources regarding the purchase of Lay`s chips?

|

|Advertising |25 |50% |50% |

|Live Demonstration |1 |2% |52% |

|Retail Outlets |6 |12% |64% |

|Home shopping |18 |36% |100% |

[pic]The results of the analysis reveal that half of the sample from the population`s information
regarding the purchase of the product is advertising.

Q # 19

What is the most important thing people look for in a snack?

|

|Taste |12 |24% |24% |

|Flavor |11 |22% |46% |

|Health |22 |44% |90% |

|Brand Name |5 |10% |100% |


[pic]

The results of the analysis reveal that majority of people choose snacks because of healthy ingredients in
it.

Q # 20

Other than the product, what influences people when buying a snack?

|

|Word of Mouth |7 |14% |14% |

|Advertisements |16 |32% |46% |

|Offers/discounts |12 |24% |70% |

|Sales/service |15 |30% |100% |


[pic]

Threats to Validity:

• Respondents may not give us the exact information in the questionnaire due to the lack of interest.

• Due to controversial topic respondent may have provided the biased information.

Conclusion:

This is the report about Lay’s its products and its competitors. Although Lay’s is a leading company in
snacks, but there is always a room for improvement. So Lays should improve its quality so that it can
succeed to grasp more consumers’ attention.

In this report we intend to identify the consumer trends towards Lays and its competitor’s strategies to
improve its market share.

In addition Lays Company Should introduces some new flavors in Pakistan which are not currently
available here but are available in other countries like in India.

We hope you will find this report best for analysis of Lays performance.

References:

During the research process, besides our practical research, we also have consulted some books
about our practical research for the preparation of this report in an effective manner. A list of all
references, which has been consulted and the data has been derived from, are given as under:

➢ Class Notes by Miss Zainab Rehman, during our class lectures

➢ Field surveys through which data has been collected from different types of questionnaires and
different areas of Multan

➢ http://www.lays.com

➢ http://en.wikipedia.org/wiki/Lay's

Appendices:

Q1.Do you prefer chips over other snacks?

a. Yes

b. No

Q2. When do you prefer snacks time in a day?

a. Morning b. Afternoon

c. Evening d. Night

Q3. Which Chips do you prefer?

a. Cheetos b. Kurkure

c. Lays flavored chips d. Bingo

e. Any other

Q4. Which flavor do you like most?

a. Plain salted b. Masala

c. Tangy tomato d. French Cheese

Q5.On which places it got maximum consumer?

a. In colleges. b. Railway station

c. Bus stop d. Public places

Q6.Do big names attached to the product affect your choice?

a. Yes

b. No

Q7. What compels you to consume it?

a. Brand name b. Quality

c. Varieties d. Price

e. Any other

Q8. How would you rate as a product?

a. Excellent b. Good

c. Average d. Poor

Q9. What size you prefer most?

a. Rs. 05 b. Rs. 10

c. Rs. 20

Q10. How often you consume it?

a. Very often b. Often

c. Sometimes d. Rarely

e. Never

Q11. Who in your family prefer lays?

a. Children b. Parents

c. Grandparents d. All

Q12. Do you think it acquire a good name in the market?

a. Yes

b. No

c. Can‘t say

Q13. Would you suggest other person to buy lays chips?

a. Yes

b. No

c. can’t say

Q14. Are you satisfied with the number of flavors it has provided?

a. Yes

b. No

Q15. Do you think lays should come up with more flavors?

a. Yes

b. No

Q16. What is your source of information regarding the purchase of it?

a. Advertising

b. Live demonstration

c. Retail outlets

d. Home shopping

Q17. Does Lays come in a junk food category?

a. Yes

b. No

Q18. Do you think it is healthy to consume?

a. Yes

b. No

Q19. What is the most important thing you look for in a snack?

a. Taste b. Flavor

c. Health d. Brand Name

Q20. Other than the product, which of the following most influence you when buying a snack?

a. Word of Mouth b. Advertising

c. Offers/discounts d. Sales/service

Q21. Are Lay`s Chips easily available in your area?

a. Yes

b. No

Q22. Would you like to entertain your guests with Lay`s Chips?

a. Yes b. No

Lays in paksistan

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