Customer Sat if Action of Indus Motors

“A STUDY OF CUSTOMER SATISFACTION”Conducted at

“INDUS MOTORS PVT LTD, VADAKARA, CALICUT, KERALA”

A Dissertation report submitted in partial fulfillment of theRequirements for the award of the degree in

MASTER OF BUSINESS ADMINISTRATIONTO

Bangalore University

Submitted ByRashik K.K.

Reg No – 09Q5CMA028

Under the guidance ofProf. Padmanabh.B M.Tech, PGDBM (XLRI)

Associate Professor

Hill Side Institute of Management and Academy Raghuvanahalli, Bangalore-560062

Affiliated to Bangalore University Approved by AICTE

2009-2011

CUSTOMER SATISFACTION

1.1 INTRODUCTION

MARKETING

Marketing is the process of performing market research, selling products and/or services to

customers and promoting them via advertising to further enhance sales. It generates the strategy

that underlies sales techniques, business communication, and business developments. It is an

integrated process through which companies build strong customer relationships and create value

for their customers and for themselves.

Marketing is used to identify the customer, to satisfy the customer, and to keep the customer.

With the customer as the focus of its activities, it can be concluded that marketing management

is one of the major components of business management. Marketing evolved to meet the stasis in

developing new markets caused by mature markets and overcapacities in the last 2-3 centuries.

The adoption of marketing strategies requires businesses to shift their focus from production to

the perceived needs and wants of their customers as the means of staying profitable.

The term marketing concept holds that achieving organizational goals depends on knowing the

needs and wants of target markets and delivering the desired satisfactions. It proposes that in

order to satisfy its organizational objectives, an organization should anticipate the needs and

wants of consumers and satisfy these more effectively than competitors.

MARKETING MANAGEMENT

Marketing Management is a business discipline which is focused on the practical application of

marketing techniques and the management of a firm's marketing resources and activities. Rapidly

emerging forces of globalization have compelled firms to market beyond the borders of their

home country making International marketing highly significant and an integral part of a firm's

marketing strategy. Marketing managers are often responsible for influencing the level, timing,

and composition of customer demand accepted definition of the term. In part, this is because the

role of a marketing manager can vary significantly based on a business' size, corporate culture,

and industry context. For example, in a large consumer products company, the marketing

manager may act as the overall general manager of his or her assigned product To create an

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effective, cost-efficient Marketing management strategy, firms must possess a detailed, objective

understanding of their own business and the market in which they operate. In analyzing these

issues, the discipline of marketing management often overlaps with the related discipline of

strategic planning.

Traditionally, marketing analysis was structured into three areas: Customer analysis, Company

analysis, and Competitor analysis (so-called "3Cs" analysis). More recently, it has become

fashionable in some marketing circles to divide these further into certain five "Cs": Customer

analysis, Company analysis, Collaborator analysis, Competitor analysis, and analysis of the

industry Context.

In Customer analysis is to develop a schematic diagram for market segmentation, breaking down

the market into various constituent groups of customers, which are called customer segments or

market segmentation's. Marketing managers work to develop detailed profiles of each segment,

focusing on any number of variables that may differ among the segments: demographic, psycho

graphic, geographic, behavioral, needs-benefit, and other factors may all be examined. Marketers

also attempt to track these segments' perceptions of the various products in the market using

tools such as perceptual mapping.

company analysis, marketers focus on understanding the company's cost structure and cost

position relative to competitors, as well as working to identify a firm's core competencies and

other competitively distinct company resources. Marketing managers may also work with the

accounting department to analyze the profits the firm is generating from various product lines

and customer accounts. The company may also conduct periodic brand audits to assess the

strength of its brands and sources of brand equity.

The firm's collaborators may also be profiled, which may include various suppliers, distributors

and other channel partners, joint venture partners, and others. An analysis of complementary

products may also be performed if such products exist.

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Marketing management employs various tools from economics and competitive strategy to

analyze the industry context in which the firm operates. These include Porter's five forces,

analysis of strategic groups of competitors, value chain analysis and others. Depending on the

industry, the regulatory context may also be important to examine in detail.

In Competitor analysis, marketers build detailed profiles of each competitor in the market,

focusing especially on their relative competitive strengths and weaknesses using SWOT analysis.

Marketing managers will examine each competitor's cost structure, sources of profits, resources

and competencies, competitive positioning and product differentiation, degree of vertical

integration, historical responses to industry developments, and other factors.

Marketing management often finds it necessary to invest in research to collect the data required

to perform accurate marketing analysis. As such, they often conduct market research (alternately

marketing research) to obtain this information. Marketers employ a variety of techniques to

conduct market research, but some of the more common include:

Qualitative marketing research , such as focus groups

Quantitative marketing research , such as statistical surveys

Experimental techniques such as test markets

Observational techniques such as ethnographic (on-site) observation

Marketing managers may also design and oversee various environmental scanning and

competitive intelligence processes to help identify trends and inform the company's marketing

analysis.

MEANING OF MARKETING MANAGEMENT

The application, tracking and review of a business' marketing resources and activities. The scope of a

business' marketing management depends on the size of the business and the industry in which the

business operates. Effective marketing management will use a company's resources to increase its

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customer base, improve customer opinions of the company's products and services, and increase the

company's perceived value.

STRUCTURE OF MARKETING MANAGEMENT

Traditionally, marketing analysis was structured into three areas: Customer analysis, Company

analysis, and Competitor analysis (so-called "3Cs" analysis). More recently, it has become

fashionable in some marketing circles to divide these further into certain five "Cs": Customer

analysis, Company analysis, Collaborator analysis, Competitor analysis, and analysis of the

industry Context.

In Customer analysis is to develop a schematic diagram for market segmentation, breaking down

the market into various constituent groups of customers, which are called customer segments or

market segmentation's. Marketing managers work to develop detailed profiles of each segment,

focusing on any number of variables that may differ among the segments: demographic, psycho

graphic, geographic, behavioral, needs-benefit, and other factors may all be examined. Marketers

also attempt to track these segments' perceptions of the various products in the market using

tools such as perceptual mapping.

Company analysis, marketers focus on understanding the company's cost structure and cost

position relative to competitors, as well as working to identify a firm's core competencies and

other competitively distinct company resources. Marketing managers may also work with the

accounting department to analyze the profits the firm is generating from various product lines

and customer accounts. The company may also conduct periodic brand audits to assess the

strength of its brands and sources of brand equity.

The firm's collaborators may also be profiled, which may include various suppliers, distributors

and other channel partners, joint venture partners, and others. An analysis of complementary

products may also be performed if such products exist.

Marketing management employs various tools from economics and competitive strategy to

analyze the industry context in which the firm operates. These include Porter's five forces,

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analysis of strategic groups of competitors, value chain analysis and others. Depending on the

industry, the regulatory context may also be important to examine in detail.

In Competitor analysis, marketers build detailed profiles of each competitor in the market,

focusing especially on their relative competitive strengths and weaknesses using SWOT analysis.

Marketing managers will examine each competitor's cost structure, sources of profits, resources

and competencies, competitive positioning and product differentiation, degree of vertical

integration, historical responses to industry developments, and other factors.

Marketing management often finds it necessary to invest in research to collect the data required

to perform accurate marketing analysis. As such, they often conduct market research (alternately

marketing research) to obtain this information. Marketers employ a variety of techniques to

conduct market research, but some of the more common include:

Qualitative marketing research , such as focus groups

Quantitative marketing research , such as statistical surveys

Experimental techniques such as test markets

Observational techniques such as ethnographic (on-site) observation

Marketing managers may also design and oversee various environmental scanning and

competitive intelligence processes to help identify trends and inform the company's marketing

analysis.

IMPORTANCE OF MARKETING MANAGEMENT

Marketing is a very important aspect in business since it contributes greatly to the success of the

organization. Production and distribution depend largely on marketing. Many people think that

sales and marketing are basically the same. These two concepts are different in many aspects.

Marketing covers advertising, promotions, public relations, and sales. It is the process of

introducing and promoting the product or service into the market and encourages sales from the

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buying public. Sales refer to the act of buying or the actual transaction of customers purchasing

the product or service.

BENEFITS OF MARKETING MANAGEMENT

a. Marketing efforts are accomplished in a well-planned, systematic way

b. An adequate amount of marketing research and other marketing information is

generated

c. Marketing weaknesses are quickly spotted and corrected

d. Funds and human resources available for marketing are used as efficiently and effectively

as possible

e. Marketing efforts are always under careful scrutiny; it is always felt that there is room for

improvement

f. The organization is in a better position to adapt to change among customers and

competition, and in the industry

g. Marketing is better integrated into all the organization's activities and within its various

departments

FUNCTIONS OF MARKETING MANAGEMENT

● Developing Marketing Strategies & Plans

● Capturing Marketing Insights

● Connecting With Customers

● Building Strong Brands

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● Shaping the Market Offerings

● Delivering Value

● Communicating Value

● Creating Long-Term Growth

1.2 THEORITICAL BACKGROUND

CUSTOMER SATISFACTION

Customer satisfaction, a business term, is a measure of how products and services supplied by a

company meet or surpass customer expectation. Customer satisfaction is defined as "the number

of customers, or percentage of total customers, whose reported experience with a firm, its

products, or its services (ratings) exceeds specified satisfaction goals."

It is seen as a key performance indicator within business and is part of the four of a Balanced

Scorecard. In a competitive marketplace where businesses compete for customers, customer

satisfaction is seen as a key differentiator and increasingly has become a key element of business

strategy.

Within organizations, customer satisfaction ratings can have powerful effects. They focus

employees on the importance of fulfilling customers’ expectations. Furthermore, when these

ratings dip, they warn of problems that can affect sales and profitability. These metrics quantify

an important dynamic. When a brand has loyal customers, it gains positive word-of-mouth

marketing, which is both free and highly effective.

In researching satisfaction, firms generally ask customers whether their product or service has

met or exceeded expectations. Thus, expectations are a key factor behind satisfaction. When

customers have high expectations and the reality falls short, they will be disappointed and will

likely rate their experience as less than satisfying. For this reason, a luxury resort, for example,

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might receive a lower satisfaction rating than a budget motel—even though its facilities and

service would be deemed superior in “absolute” terms.

The importance of customer satisfaction diminishes when a firm has increased bargaining power.

For example, cell phone plan providers, such as AT&T and Verizon, participate in an industry

that is an oligopoly, where only a few suppliers of a certain product or service exist. As such,

many cell phone plan contracts have a lot of fine print with provisions that they would never get

away if there were, say, a hundred cell phone plan providers, because customer satisfaction

would be way too low, and customers would easily have the option of leaving for a better

contract offer.

DEFINITION OF CUSTOMER SATISFACTION

“Customer satisfaction, a business term, is a measure of how products and services supplied by a

company meet or surpass customer expectation. It is seen as a key performance indicator within

business and is part of the four perspectives of a Balanced Scorecard.”

“Customer satisfaction is an ambiguous and abstract concept and the actual manifestation of the

state of satisfaction will vary from person to person and product/service to product/service.”

“A customer's perception of the degree to which their requirements have been fulfilled.”

PURPOSE OF CUSTOMER SATISFACTION

Customer satisfaction provides a leading indicator of consumer purchase intentions and loyalty.

Customer satisfaction data are among the most frequently collected indicators of market

perceptions. Their principal use is twofold.

1. Within organizations, the collection, analysis and dissemination of these data send a

message about the importance of tending to customers and ensuring that they have a

positive experience with the company’s goods and services.

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2. Although sales or market share can indicate how well a firm is performing currently,

satisfaction is an indicator of how likely it is that the firm’s customers will make further

purchases in the future. Much research has focused on the relationship between customer

satisfaction and retention. Studies indicate that the ramifications of satisfaction are most

strongly realized at the extremes. On a five-point scale, individuals who rate their

satisfaction level as “5” are likely to become return customers and might even evangelize

for the firm. (A second important metric related to satisfaction is willingness to

recommend. This metric is defined as "The percentage of surveyed customers who

indicate that they would recommend a brand to friends." When a customer is satisfied

with a product, he or she might recommend it to friends, relatives and colleagues. This

can be a powerful marketing advantage.) Individuals who rate their satisfaction level as

“1,” by contrast, are unlikely to return. Further, they can hurt the firm by making negative

comments about it to prospective customers. Willingness to recommend is a key metric

relating to customer satisfaction.

CUSTOMER SATISFACTION IN SEVEN STEPS

1. Encourage Face-to-Face Dealings

This is the most daunting and downright scary part of interacting with a customer. If you're not

used to this sort of thing it can be a pretty nerve-wracking experience. Rest assured, though, it

does get easier over time. It's important to meet your customers face to face at least once or even

twice during the course of a project.

My experience has shown that a client finds it easier to relate to and work with someone they've

actually met in person, rather than a voice on the phone or someone typing into an email or

messenger program. When you do meet them, be calm, confident and above all, take time to ask

them what they need. I believe that if a potential client spends over half the meeting doing the

talking, you're well on your way to a sale.

2. Respond to Messages Promptly & Keep Your Clients Informed

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This goes without saying really. We all know how annoying it is to wait days for a response to an

email or phone call. It might not always be practical to deal with all customers' queries within the

space of a few hours, but at least email or call them back and let them know you've received their

message and you'll contact them about it as soon as possible. Even if you're not able to solve a

problem right away, let the customer know you're working on it.

A good example of this is my Web host. They've had some trouble with server hardware which

has caused a fair bit of downtime lately. At every step along the way I was emailed and told

exactly what was going on, why things were going wrong, and how long it would be before they

were working again. They also apologized repeatedly, which was nice. Now if they server had

just gone down with no explanation I think I'd have been pretty annoyed and may have moved

my business elsewhere. But because they took time to keep me informed, it didn't seem so bad,

and I at least knew they were doing something about the problems. That to me is a prime

example of customer service.

3. Be Friendly and Approachable

A fellow Site Pointer once told me that you can hear a smile through the phone. This is very true.

It's very important to be friendly, courteous and to make your clients feel like you're their friend

and you're there to help them out. There will be times when you want to beat your clients over

the head repeatedly with a blunt object - it happens to all of us. It's vital that you keep a clear

head, respond to your clients' wishes as best you can, and at all times remain polite and

courteous.

4. Have a Clearly-Defined Customer Service Policy

This may not be too important when you're just starting out, but a clearly defined customer

service policy is going to save you a lot of time and effort in the long run. If a customer has a

problem, what should they do? If the first option doesn't work, then what? Should they contact

different people for billing and technical enquiries? If they're not satisfied with any aspect of

your customer service, who should they tell?

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There's nothing more annoying for a client than being passed from person to person, or not

knowing who to turn to. Making sure they know exactly what to do at each stage of their enquiry

should be of utmost importance. So make sure your customer service policy is present on your

site -- and anywhere else it may be useful.

5. Attention to Detail (also known as 'The Little Niceties')

Have you ever received a Happy Birthday email or card from a company you were a client of?

Have you ever had a personalized sign-up confirmation email for a service that you could tell

was typed from scratch? These little niceties can be time consuming and aren't always cost

effective, but remember to do them.

Even if it's as small as sending a Happy Holidays email to all your customers, it's something. It

shows you care; it shows there are real people on the other end of that screen or telephone; and

most importantly, it makes the customer feel welcomed, wanted and valued.

6. Anticipate Your Client's Needs & Go Out Of Your Way to Help Them Out

Sometimes this is easier said than done! However, achieving this supreme level of understanding

with your clients will do wonders for your working relationship.

Take this as an example: you're working on the front-end for your client's exciting new

ecommerce endeavor. You have all the images, originals and files backed up on your desktop

computer and the site is going really well. During a meeting with your client he/she happens to

mention a hard-copy brochure their internal marketing people are developing. As if by magic, a

couple of weeks later a CD-ROM arrives on their doorstep complete with high resolution

versions of all the images you've used on the site. A note accompanies it which reads:

"Hi, you mentioned a hard-copy brochure you were working on and I wanted to provide you with

large-scale copies of the graphics I've used on the site. Hopefully you'll be able to make use of

some in your brochure."

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Your client is heartily impressed, and remarks to his colleagues and friends how very helpful and

considerate his Web designers are. Meanwhile, in your office, you lay back in your chair

drinking your 7th cup of coffee that morning, safe in the knowledge this happy customer will

send several referrals your way.

7. Honour Your Promises

It's possible this is the most important point in this article. The simple message: when you

promise something, deliver. The most common example here is project delivery dates.

Clients don't like to be disappointed. Sometimes, something may not get done, or you might miss

a deadline through no fault of your own. Projects can be late, technology can fail and sub-

contractors don't always deliver on time. In this case a quick apology and assurance it'll be ready

ASAP wouldn't go amiss.

MEASURING AND MANAGING CUSTOMER SATISFACTION

As markets shrink, companies are scrambling to boost customer satisfaction and keep their

current customers rather than devoting additional resources to chase potential new customers.

The claim that it costs five to eight times as much to get new customers than to hold on to old

ones is key to understanding the drive toward benchmarking and tracking customer satisfaction.

Measuring customer satisfaction is a relatively new concept to many companies that have been

focused exclusively on income statements and balance sheets. Companies now recognize that the

new global economy has changed things forever. Increased competition, crowded markets with

little product differentiation and years of continual sales growth followed by two decades of

flattened sales curves have indicated to today's sharp competitors that their focus must change.

Competitors that are prospering in the new global economy recognize that measuring customer

satisfaction is key. Only by doing so can they hold on to the customers they have and understand

how to better attract new customers. The competitors who will be successful recognize that

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customer satisfaction is a critical strategic weapon that can bring increased market share and

increased profits.

The problem companies face, however, is exactly how to do all of this and do it well. They need

to understand how to quantify, measure, and track customer satisfaction. Without a clear and

accurate sense of what needs to be measured and how to collect, analyze, and use the data as a

strategic weapon to drive the business, no firm can be effective in this new business climate.

Plans constructed using customer satisfaction research results can be designed to target

customers and processes that are most able to extend profits.

Too many companies rely on outdated and unreliable measures of customer satisfaction. They

watch sales volume. They listen to sales reps describing their customers' states of mind. They

track and count the frequency of complaints. And they watch aging accounts receivable reports,

recognizing that unhappy customers pay as late as possible -- if at all. While these approaches

are not completely without value, they are no substitute for a valid, well-designed customer

satisfaction survey program.

It's no surprise to find that market leaders differ from the rest of the industry in that they're

designed to hear the voice of the customer and achieve customer satisfaction. In these

companies:

Marketing and sales employees are primarily responsible for designing (with customer

input) customer satisfaction surveying programs, questionnaires, and focus groups.

Top management and marketing divisions champion the programs.

Corporate evaluations include not only their own customer satisfaction ratings but also

those of their competitors.

Satisfaction results are made available to all employees.

Customers are informed about changes brought about as the direct result of listening to

their needs.

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Internal and external quality measures are often tied together.

Customer satisfaction is incorporated into the strategic focus of the company via the

mission statement.

Stakeholder compensation is tied directly to the customer satisfaction surveying program.

A concentrated effort is made to relate the customer satisfaction measurement results to

internal process metrics.

To be successful, companies need a customer satisfaction surveying system that meets the

following criteria:

The system must be easy to understand.

It must be credible so that employee performance and compensation can be attached to

the final results.

It must generate actionable reports for management.

OBJECTIVES OF A CUSTOMER SATISFACTION SURVEY PROGRAM

In addition to a clear statement defining customer satisfaction, any successful customer survey

program must have a clear set of objectives that, once met, will lead to improved performance.

The most basic objectives that should be met by any customer surveying program include the

following:

Understanding the expectations and requirements of all your customers.

Determining how well your company and its competitors are satisfying these

expectations and requirements.

Developing service and/or product standards based on your findings.

Examining trends over time in order to take action on a timely basis.

Establishing priorities and standards to judge how well you've met these goals.

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Before an appropriate customer satisfaction surveying program can be designed, the following

basic questions must be clearly answered:

How will the information we gather be used?

How will this information allow us to take action inside the organization?

How should we use this information to keep our customers and find new ones?

Careful consideration must be given to what the organization hopes to accomplish, how the

results will be disseminated to various parts of the organization, and how the information will be

used. There is no point asking customers about a particular service or product if it won't or can't

be changed regardless of the feedback.

Conducting a customer satisfaction survey program is a burden on the organization and its

customers in terms of time and resources. There is no point in engaging in this work unless it has

been thoughtfully designed so that only relevant and important information is gathered. This

information must allow the organization to take direct action. Nothing is more frustrating than

having information that indicates a problem exists but fails to isolate the specific cause. Having

the purchasing department of a manufacturing firm rate the sales and service it received on its

last order on a survey scale of 1 (terrible) to 6 (magnificent) would yield little about how to

improve sales and service to the manufacturer.

The lesson is twofold. First, general questions are often not that helpful in customer satisfaction

measurement, at least not without many other more specific questions attached. Second, the

design of an excellent customer satisfaction surveying program is more difficult than it might

first appear. It requires more than just writing a few questions, designing a questionnaire, calling

or mailing some customers, and then tallying the results.

UNDERSTANDING DIFFERING CUSTOMER ATTITUDES

The most basic objective of customer satisfaction surveys is to generate valid and consistent

customer feedback (i.e., to receive the voice of the customer, which can then be used to initiate

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strategies that will retain customers and thus protect one of the most valuable corporate assets

loyal customers).

As it's determined what needs to be measured and how the data relate to loyalty and repurchase,

it becomes important to examine the mind-set of customers the instant they are required to make

a pre-purchase (or repurchase) decision or a recommendation decision. Surveying these decisions

leads to measures of customer loyalty. In general, the customer's pre-purchase mind-set will fall

into one of three categories -- rejection (will avoid purchasing if at all possible), acceptance

(satisfied, but will shop for a better deal), and/or preference (delighted and may even purchase at

a higher price).

This highly subjective system that customers themselves apply to their decisions is based

primarily on input from two sources:

The customers' own experiences -- each time they experience a product or service,

deciding whether that experience is great, neutral or terrible. These are known as

"moments of truth."

The experiences of other customers -- each time they hear something about a company,

whether it's great, neutral or terrible. This is known as "word-of-mouth."

There is obviously a strong connection between these two inputs. An exceptional experience

leads to strong word-of-mouth recommendations. Strong recommendations influence the

experience of the customer, and many successful companies have capitalized on that link.

How does a customer satisfaction surveying program allow you to make the connection between

the survey response and the customer's attitude or mind-set regarding loyalty? Research

conducted by both corporate and academic researchers shows a relationship between customer

survey measurements and the degree of preference or rejection that a customer might have

accumulated. When the customer is asked a customer satisfaction question, the customer's degree

of loyalty mind-set (or attitude) will be an accumulation of all past experiences and exposures

that can be indicated as a score from 1 (very dissatisfied) to 6 (very satisfied).

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Obviously, the goal of every company should be to develop customers with a preference attitude

(i.e., we all want the coveted preferred vendor status such that the customer, when given a

choice, will choose our company), but it takes continuous customer experience management,

which means customer satisfaction measurement, to get there -- and even more effort to stay

there.

METHODOLOGIES

American Customer Satisfaction Index (ACSI) is a scientific standard of customer satisfaction.

Academic research has shown that the national ACSI score is a strong predictor of Gross

Domestic Product (GDP) growth, and an even stronger predictor of Personal Consumption

Expenditure (PCE) growth. On the microeconomic level, research has shown that ACSI data

predicts stock market performance, both for market indices and for individually traded

companies. Increasing ACSI scores has been shown to predict loyalty, word-of-mouth

recommendations, and purchase behavior. The ACSI measures customer satisfaction annually for

more than 200 companies in 43 industries and 10 economic sectors. In addition to quarterly

reports, the ACSI methodology can be applied to private sector companies and government

agencies in order to improve loyalty and purchase intent. Two companies have been licensed to

apply the methodology of the ACSI for both the private and public sector: CFI Group, Inc.

applies the methodology of the ACSI offline, and Foresee Results applies the ACSI to websites

and other online initiatives. ASCI scores have also been calculated by independent researchers,

for example, for the mobile phones sector, higher education, and electronic mail.

The Kano model is a theory of product development and customer satisfaction developed in the

1980s by Professor Noriaki Kano that classifies customer preferences into five categories:

Attractive, One-Dimensional, Must-Be, Indifferent, Reverse. The Kano model offers some

insight into the product attributes which are perceived to be important to customers.

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SERVQUAL or RATER is a service-quality framework that has been incorporated into

customer-satisfaction surveys (e.g., the revised Norwegian Customer Satisfaction Barometer) to

indicate the gap between customer expectations and experience.

J.D. Power and Associates provides another measure of customer satisfaction, known for its top-

box approach and automotive industry rankings. J.D. Power and Associates' marketing research

consists primarily of consumer surveys and is publicly known for the value of its product awards.

Other research and consulting firms have customer satisfaction solutions as well. These include

A.T. Kearney's Customer Satisfaction Audit process, which incorporates the Stages of

Excellence framework and which helps define a company’s status against eight critically

identified dimensions.

For Business to Business (B2B) surveys there is the Info Quest box. This has been used

internationally since 1989 on more than 110,000 surveys (Nov '09) with an average response rate

of 72.74%. The box is targeted at "the most important" customers and avoids the need for a

blanket survey.

BEST PRACTICES IN CUSTOMER SATISFACTION RESEARCH

How satisfied are your customers? Are they more or less pleased with your company than they

were last year? How does your customer satisfaction level compare with that of your

competitors? What impact does it have on your company’s profits?

How do you know?

Guesswork and hunches won’t cut it. You need hard data. You need to measure and monitor

customer satisfaction—consistently and regularly. You need a customer satisfaction research

strategy and program.

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You can do it yourself, but there are a few things you need to consider. This paper gives you the

benefit of the experience and lessons learned by industry experts to help you design, distribute,

and analyze your customer satisfaction research. We want you to act on insight, not instinct.

WHY MEASURE CUSTOMER SATISFACTION?

Customer satisfaction is tied directly to profitability. If your customers are happy, they tend to be

loyal. And if they’re loyal they not only buy more, they refer other customers. Well-established

research by Bain & Company found that, for many companies, an increase of 5% in customer

retention can increase profits by 25% to 95%. The same study found that it costs six to seven

times more to gain a new customer than to keep an existing one.

"It's six to seven times more expensive to gain a new customer than it is to retain an

existing customer."

"A 5% increase in customer retention can increase profits by 25% to 95%."

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Moreover, one bad experience can outweigh a whole lot of good experiences. Because of e-mail

and instant messaging, that bad experience can quickly be broadcast to dozens, hundreds, or

thousands of other customers, magnifying its impact. So if your business is doing something that

frustrates customers, you need to know right away.

It is critical to give customers the opportunity to provide feedback about their overall satisfaction

level and specific likes and dislikes. It is equally important to consistently measure and monitor

that input. Without an effective customer satisfaction research program in place, your company

will be losing business, missing opportunities, and putting itself at a competitive disadvantage.

Customer Satisfaction Surveys: Tips and Practical Advice

The first steps in establishing a customer satisfaction program are determining when to distribute

your survey, how many customers will be invited to respond, and how to deliver the survey to

them. We’ll take a closer look at how to formulate your survey questions in the next section.

1. When to Conduct Customer Satisfaction Research

Many managers wonder how frequently they should conduct customer satisfaction surveys. The

answer depends on the size of the customer base and the purpose of the research. There are two

key types of surveys, and they serve very different purposes:

Transactional surveys solicit feedback directly from the product or service user about that

particular encounter. They are conducted immediately after each customer transaction.

For example, a survey may be administered after a call center experience.

Relationship surveys collect input from people who have an ongoing relationship with the

company and have had multiple transactions. They are regularly scheduled surveys often

quarterly. The respondents typically are responsible for deciding whether to continue the

working relationship.

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Transactional surveys are sent out at the discretion of whoever has contact with customers—but

the data should be collected immediately after the interaction while the experience is still fresh in

the customer’s mind.

Relationship surveys should be spread out over the course of a year. Here are a couple of points

to keep in mind:

If there is only one data point for each year, a single event could have a large impact on

results.

Research in the hotel industry reveals that satisfaction ratings are consistently higher in

the spring than in the fall.

For companies with a sufficiently large customer base—at least 10,000—relationship

surveys can be conducted on a continuous basis but reported on a monthly basis to

address the effects of seasonality or single events.

In many cases conducting both transactional and relationship surveys may be appropriate. For

example, a company may conduct transactional research for customer service purposes and

relationship research for routine checkups on the health of the business.

2. How Many Customers to Survey

For companies with a small customer base—for example, 2,000 or fewer—interview as many

customers as possible. If your budget allows it, offer an incentive such as company merchandise

or a small gift certificate to compensate respondents for their time.

If your company has more than 2,000 customers and it is not economically feasible to survey all

of them, you can survey a subset. In this case you’ll need to consider the following concepts

relating to sample selection and accuracy of results:

Random selection. First, it is essential that a random selection of customers be contacted

to avoid introducing bias into how the customers were selected—and to help ensure that

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the sample of customers is representative of the entire customer base. For example, if a

company surveyed only customers who contacted customer service, those individuals

may be very different from customers who have not contacted customer service.

Margin of error. Next you need to establish the level of precision you want to have in

the accuracy of the results. The margin of error (also known as a confidence interval) is

an indicator of sample accuracy for random samples. It is the plus-or-minus figure that is

commonly reported with news polls, such as “plus or minus four points.” In a customer

satisfaction example, if the reported result is 80% satisfaction with a 4-point margin of

error, that means the true answer is somewhere between 76% (80 – 4) and 84% (80 + 4)

assuming the whole population of customers had been asked. The larger the sample size,

the more accurate the results (or the smaller the confidence interval).

Confidence level. Then you need to determine how certain you want to be that the survey

results are within the margin of error. The confidence level indicates the level of certainty

that the survey results are within the confidence interval for random samples. Typically,

researchers use the 95% confidence level.

Together, the confidence level and margin of error together describe the certainty you have in the

precision of the data. For example, for a reported result of 80% satisfaction at the 95%

confidence level with a 4-point margin of error, you can say that you are 95% certain that

percentage of satisfied customers is between 76% and 84%.

The table below outlines the sample sizes needed for different customer bases at varying levels

of accuracy at the 95% confidence level.

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Another important consideration in determining the sample size is how much analysis will need

to be done on groups of customers. To analyze customers in particular industries or regions, the

sample size should be adjusted to at least 75 people in each group.

A number of online sample-size calculators are available that will provide the sample size

necessary for a particular confidence interval, or the margin of error for a particular sample size.

Just search “sample size calculator” with your search engine of choice on the Internet.

3. How to Distribute Your Survey

The best means of distributing a survey depends on whether it is a transactional or relationship

survey. A transactional survey is conducted at the point of customer contact. Depending on the

nature of the customer contact, an in-person, telephone, or online survey may be appropriate.

Relationship surveys, on the other hand, are most cost-effectively conducted online.

Online data collection offers significant advantages over other modes of interviewing customers,

and you should use it whenever possible. The advantages include:

Speed. The Internet offers instantaneous distribution of survey and real-time

accumulation and tabulation of results. This allows for immediate data analysis, even

while the survey is still in progress. Because customer satisfaction results are used to

identify problems and fix them, the faster responses arrive, the faster they can be

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addressed. In contrast, mail surveys suffer from long lag times and low response rates, as

low as 5%. Telephone surveys take longer because of declining response rates. Refusal

rates for phone interviews have reached 60% (AC Nielsen, 2004). With the ease of

answering online surveys, they can be completed faster and a broader segment of the

customer base can be reached. Depending on a number of variables—the relationship

with the survey recipients, the length of the survey, whether a reminder is sent, and

whether an incentive is offered—response rates for online surveys can be upward of 35%.

Even for online surveys in which there is no prior relationship with recipients, response

rates can be 23% to 31% (Quirk’s Marketing Research Review, 2005).

Candor. People are more honest when their answers are not filtered through someone on

the phone. This is essential for research on sensitive subject matter where studies indicate

people are more likely to answer questions on the Web than they are on the phone or in

personal interviews. (Quirk’s Marketing Research Review, 2003). The removal of

interviewer bias and the elimination of the wait time for an interviewer to record results

also yields more candid and complete responses to open-ended questions. This is

particularly important when customers volunteer additional information to explain their

satisfaction ratings. Such responses provide insight into what a company is doing well

and frequently provide warning signs about the health of the business relationship.

Cost. The Internet eliminates many of the costs associated with traditional marketing

research. Online surveys avoid postage and telephone costs as well as basic materials like

paper, staples, envelopes, and printing. Because it is self-directed, there is no interviewer

cost. Finally, it’s more convenient so the cost of offering incentives can be reduced.

Online and offline methods of data collection can also be combined. If offline methods are

necessary for part of the customer base, the data for customers who can be reached only via mail,

in person, or by telephone can be input to an online survey tool. That way all survey results can

be captured, reviewed, and analyzed together.

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2.1 STATEMENT OF THE PROBLEM

To find out the level of customer satisfaction with respect to pre –sales , point of sales and

post sales service of products . To find out if any shortcomings exists in the services and

recommend any improvements

2.2 NEED AND IMPORTANCE OF STUDY :

This study will help me to understand customer needs and problems during the survey and

obtaining customer feedback for improving product and services and suggesting measures to

the company to improve satisfaction among existing customers and retaining them for lifelong.

And this study will help to Understanding the expectations and requirements of all the

customers.

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2.3 OBJECTIVES OF THE STUDY:

To know the present customer satisfaction level of pre sales, point of sales and post sales

service of Maruthi products.

To know whether the customers are satisfied with the present pricing strategy put by the

company.

2.4 OPERATIONAL DEFINITIONS

CUSTOMER SATISFACTION:

Customer satisfaction is the customer’s perception of the actual service received as compared to

the service they expected.

COST-EFFECTIVENESS ANALYSIS:

Cost-effective analysis (CEA) is a form of the economic analysis that compares the relative

expenditure (costs) and outcomes (effects) of two or more courses of action. Cost -Effectiveness

analysis is the distinct from cost benefit analysis, which assigns a monetary value to the measure

of effect.

METIRIAL HANDLING

Material handling-act of loading and unloading and moving goods within e.g. a factory

especially using mechanical devices handling manual (Or mechanical) carrying or moving or

delivering or working with something

BRANDING

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Entire process involved in creating a unique name and image for a product (goods and service) in

the consumers mind, through advertising campaigns with consistent theme Branding aims to

establish a significant and differentiated presence in the market that attracts and retains loyal

customer.

CUSTOMER PERCEPTION:

Consumer behavior is one of the topics that marketer uses to better understanding of consumer

on how their behavior reacts when come to buying decisions .perception is how one view under

the influence of past experience,personal opinion.

CUSTOMER

A customer, also called client, buyer, or purchaser is usually used to refer to a current or

potential buyer or user of the products of an individual or organization, called the supplier, seller,

or vendor. This is typically through purchasing or renting goods or service. However, in certain

contexts, the term customer also includes by extension

Anyone who uses or experiences the service of another a customer may also be a viewer of the

product or service that is being sold despite deciding to not buy them imperative in modern

business- a strategy whose objective is

CUSTOMER RETENTION

Customer Retention is the activity that a selling organization undertakes in order to reduce

customer defections. Successful customer retention starts with the first contact an organization

has with a customer and continues throughout the entire lifetime of a relationship. To retain their

revenue contribution

CUSTOMER RELATIONSHIP MANAGEMENT:

Customer relationship management is a broadly recognized widely –implemented stratery for

managing and nurturing a company‘s interaction with clients and sales prospects.-principally

sales activities. But also those for marketing, customer service, And technical support. The

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overall goals are to find attract, and win new client service once simply a label for a category of

software tools, today, it generally denotes a company- wide business strategy embracing all

client-facing department and even beyond when an implementation is effective, people,

processes, and technology work in synergy to increase profitability, and reduce operational

coasts

2.5 SCOPE OF THE STUDY:

The scope of the study will be limited to Vadakara, Calicut of the Maruthi range of automobiles.

We will be looking at service and the pricing levels of the products.

2.6 SOURCES OF DATA

Type of data

Primary data:

The data collected first hand by the researcher concerned with the research problem refers to the

Primary data.

Secondary data:

The information available at various sources made for some other purpose but facilitating the

study undertaken is called as Secondary data.

2.7 LIMITATION OF STUDY

The Research covers a sample size of only 100 which could be small as compared to the

population.

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The study was confirmed to Vadakara due to which the result cannot be applied

universally.

3.1 INDUSTRIAL BACKGROUND

AUTOMOBILE INDUSTRY

The Automotive industry in India is one of the largest in the world and one of the fastest growing

globally. India manufactures over 11 million vehicles (including 2 wheeled and 4 wheeled) and

exports about 1.5 million every year. It is the world's second largest manufacturer of

motorcycles, with annual sales exceeding 8.5 million in 2009.India's passenger car and

commercial vehicle manufacturing industry is the seventh largest in the world, with an annual

production of more than 2.6 million units in 2009. In 2009, India emerged as Asia's fourth largest

exporter of passenger cars, behind Japan, South Korea, and Thailand.

As of 2009, India is home to 40 million passenger vehicles and more than 2.6 million cars were

sold in India in 2009 (an increase of 26%), making the country the second fastest growing

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automobile market in the world. According to the Society of Indian Automobile Manufacturers,

annual car sales are projected to increase up to 5 million vehicles by 2015 and more than 9

million by 2020.By 2050, the country is expected to top the world in car volumes with

approximately 611 million vehicles on the nation's roads.

A chunk of India's car manufacturing industry is based in and around Chennai, also known as the

"Detroit of India” with the India operations of BMW, Ford, Hyundai and Nissan headquartered

in the city. Chennai accounts for 60 per cent of the country's automotive exports.Gurgaon and

Manesar near New Delhi are hubs where all of the Maruti Suzuki cars in India are manufactured.

The Chakan corridor near Pune, Maharashtra is another vehicular production hub with

companies like General Motors, Volkswagen, Skoda, Mahindra and Mahindra, Tata Motors,

Mercedes Benz, Fiat and Force Motors having assembly plants in the area. Ahmedabad with the

Tata Nano plant, Halol with General Motors in Gujarat, Aurangabad with Audi in Maharashtra

and Kolkatta with Hindustan Motors in West Bengal are some of the other automotive

manufacturing regions around the country.

HISTORY

The first car ran on India's roads in 1897. Until the 1930s, cars were imported directly, but in

very small numbers.

Embryonic automotive industry emerged in India in the 1940s. Mahindra & Mahindra was

established by two brothers as a trading company in 1945, and began assembly of Jeep CJ-3A

utility vehicles under license from Willys.The company soon branched out into the manufacture

of light commercial vehicles (LCVs) and agricultural tractors.

Following the independence, in 1947, the Government of India and the private sector launched

efforts to create an automotive component manufacturing industry to supply to the automobile

industry. However, the growth was relatively slow in the 1950s and 1960s due to nationalization

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and the license raj which hampered the Indian private sector. After 1970, the automotive industry

started to grow, but the growth was mainly driven by tractors, commercial vehicles and scooters.

Cars were still a major luxury. Japanese manufacturers entered the Indian market ultimately

leading to the establishment of Maruti Udyog. A number of foreign firms initiated joint ventures

with Indian companies.

In the 1980s, a number of Japanese manufacturers launched joint-ventures for building

motorcycles and light commercial-vehicles. It was at this time that the Indian government chose

Suzuki for its joint-venture to manufacture small cars. Following the economic liberalization in

1991 and the gradual weakening of the license raj, a number of Indian and multi-national car

companies launched operations. Since then, automotive component and automobile

manufacturing growth has accelerated to meet domestic and export demands.

Following economic liberalization in India in 1991, the Indian automotive industry has

demonstrated sustained growth as a result of increased competitiveness and relaxed restrictions.

Several Indian automobile manufacturers such as Tata Motors, Maruti Suzuki and Mahindra and

Mahindra, expanded their domestic and international operations. India's robust economic growth

led to the further expansion of its domestic automobile market which has attracted significant

India-specific investment by multinational automobile manufacturers.In February 2009, monthly

sales of passenger cars in India exceeded 100,000 units and has since grown rapidly to a record

monthly high of 182,992 units in October 2009.From 2003 to 2010, car sales in India have

progressed at a CAGR of 13.7%, and with only 10% of Indian households owning a car in 2009

(whereas this figure reaches 80% in Switzerland for example) this progression is unlikely to stop

in the coming decade. Congestion of Indian roads, more than market demand, will likely be the

limiting factor.

SIAM is the apex industry body representing all the vehicle manufacturers, home-grown and

international, in India.

SUPPLY CHAIN OF AUTOMOBILE INDUSTRY

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The supply chain of automotive industry in India is very similar to the supply chain of the

automotive industry in Europe and America. The orders of the industry arise from the bottom of

the supply chain i. e., from the consumers and go through the automakers and climbs up until the

third tier suppliers. However the products, as channeled in every traditional automotive industry,

flow from the top of the supply chain to reach the consumers. Automakers in India are the key to

the supply chain and are responsible for the products and innovation in the industry.

The description and the role of each of the contributors to the supply chain are discussed below.

Third Tier Suppliers: These companies provide basic products like rubber, glass, steel, plastic

and aluminium to the second tier suppliers.

Second Tier Suppliers: These companies design vehicle systems or bodies for First Tier

Suppliers and OEMs. They work on designs provided by the first tier suppliers or OEMs. They

also provide engineering resources for detailed designs. Some of their services may include

welding, fabrication, shearing, bending etc.

First Tier Suppliers: These companies provide major systems directly to assemblers. These

companies have global coverage, in order to follow their customers to various locations around

the world. They design and innovate in order to provide “black-box” solutions for the

requirements of their customers. Black-box solutions are solutions created by suppliers using

their own technology to meet the performance and interface requirements set by assemblers.

First tier suppliers are responsible not only for the assembly of parts into complete units like

dashboard, breaks-axel-suspension, seats, or cockpit but also for the management of second-tier

suppliers.

Automakers/Vehicle Manufacturers/Original Equipment Manufacturers (OEMs): After

researching consumers’ wants and needs, automakers begin designing models which are tailored

to consumers’ demands. The design process normally takes five years. These companies have

manufacturing units where engines are manufactured and parts supplied by first tier suppliers

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and second tier suppliers are assembled. Automakers are the key to the supply chain of the

automotive industry. Examples of these companies are Tata Motors, Maruti Suzuki, Toyota, and

Honda. Innovation, design capability and branding are the main focus of these companies.

Dealers: Once the vehicles are ready they are shipped to the regional branch and from there, to

the authorized dealers of the companies. The dealers then sell the vehicles to the end customers.

Parts and Accessory: These companies provide products like tires, windshields, and air bags etc.

to automakers and dealers or directly to customers.

Service Providers: Some of the services to the customers include servicing of vehicles, repairing

parts, or financing of vehicles. Many dealers provide these services but, customers can also

choose to go to independent service providers.

EXPORTS

Mahindra Scorpio Jeep in service with the Italy's CNSAS.

India's automobile exports have grown consistently and reached $4.5 billion in 2009, with United

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Kingdom being India's largest export market followed by Italy, Germany, Netherlands and South

Africa. India's automobile exports are expected to cross $12 billion by 2014.

According to New York Times, India's strong engineering base and expertise in the

manufacturing of low-cost, fuel-efficient cars has resulted in the expansion of manufacturing

facilities of several automobile companies like Hyundai Motors, Nissan, Toyota, Volkswagen

and Suzuki.

In 2008, Hyundai Motors alone exported 240,000 cars made in India. Nissan Motors plans to

export 250,000 vehicles manufactured in its India plant by 2011.Similarly, General Motors

announced its plans to export about 50,000 cars manufactured in India by 2011.

In September 2009, Ford Motors announced its plans to setup a plant in India with an annual

capacity of 250,000 cars for US$500 million. The cars will be manufactured both for the Indian

market and for export. The company said that the plant was a part of its plan to make India the

hub for its global production business. Fiat Motors also announced that it would source more

than US$1 billion worth auto components from India.

In July 2010, The Economic Times reported that PSA Peugeot Citroen was planning to re-enter

the Indian market and open a production plant in Andhra Pradesh with an annual capacity of

100,000 vehicles, investing EUR 700M in the operation.PSA's intention to utilize this production

facility for export purposes however remains unclear as of December 2010.

A Tata Safari on display in Poznan, Poland.

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In 2009 India (0.23m) surpassed China (0.16m) as Asia's fourth largest exporter of cars after

Japan (1.77m), Korea (1.12m) and Thailand (0.26m) by allowing foreign carmakers 100%

ownership of factories in India, which China does not allow.

In recent years, India has emerged as a leading center for the manufacture of small cars.

Hyundai, the biggest exporter from the country, now ships more than 250,000 cars annually from

India. Apart from shipments to its parent Suzuki, Maruti Suzuki also manufactures small cars for

Nissan, which sells them in Europe. Nissan will also export small cars from its new Indian

assembly line. Tata Motors exports its passenger vehicles to Asian and African markets, and is in

preparation to launch electric vehicles in Europe in 2010. The firm is also planning to launch an

electric version of its low-cost car Nano in Europe and the U.S. Mahindra & Mahindra is

preparing to introduce its pickup trucks and small SUV models in the U.S. market. Bajaj Auto is

designing a low-cost car for the Renault Nissan Automotive India, which will market the product

worldwide. Renault Nissan may also join domestic commercial vehicle manufacturer Ashok

Leyland in another small car project. While the possibilities are impressive, there are challenges

that could thwart future growth of the Indian automobile industry. Since the demand for

automobiles in recent years is directly linked to overall economic expansion and rising personal

incomes, industry growth will slow if the economy weakens.

INDIAN AUTOMOTIVE COMPANIES

Chinkara Motors: Beachster, Hammer, Roadster 1.8S, Rockster, Jeepster, Sailster

Hindustan Motors: Ambassador

ICML: Rhino Rx

Mahindra: Major, Xylo, Scorpio, Bolero, Thar, Genio

Premier Automobiles Limited: Sigma, RiO

San Motors: Storm

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Tata Motors: Nano, Indica, Indica Vista, Indigo, Indigo Manza, Indigo CS, Sumo,

Venture, Safari, Xenon, Aria

JOINT VENTURE AUTOMOTIVE COMPANIES IN INDIA

Maruti Suzuki: 800, Alto, WagonR, Estilo, A-star, Ritz, Swift, Swift DZire, SX4, Omni,

Versa, Eeco, Gypsy, Grand Vitara

FOREIGN AUTOMOTIVE COMPANIES IN INDIA

Vehicles manufactured or assembled in India

Manufactured only in Chennai, India, the i10 is one of Hyundai's best selling globally exported

cars.

Maruti Swift. Maruti Suzuki, a subsidiary of Japan's Suzuki Motor, is the largest automobile

manufacturer in India.

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BMW India: 1 Series, 3 Series, 5 Series, X1.

Fiat India (in collaboration with Tata Motors): Grande Punto, Linea, Palio Stile.

Ford India: Ford Figo, Ikon, Fiesta, Endeavour.

General Motors India

Chevrolet (CSPIL): Spark, Beat, Aveo U-VA, Aveo, Optra, Cruze, Tavera.

Honda Siel: Jazz, City, Civic, Accord.

Hyundai Motor India: Santro, i10, i20, Accent, Verna Transform, Sonata Transform.

Mahindra Renault: Logan

Mercedes-Benz India: C-Class, E-Class.

Mitsubishi (in collaboration with Hindustan Motors): Lancer, Lancer Cedia, Pajero

Nissan Motor India: Micra.

Toyota Kirloskar: Etios, Corolla, Innova, Camry.

Volkswagen India: Polo, Vento, Jetta, Passat.

Audi India: A4, A6.

Škoda Auto India: Fabia, Octavia, Laura, Superb, Yeti.

VEHICLES IMPORTED TO INDIA

Audi: A8, S4, S6, S8, TT, R8, Q5, Q7.

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Bentley: Arnage, Azure, Brooklands, Continental GT, Continental Flying Spur,

Mulsanne.

BMW: 5 Series GT, 6 Series, 7 Series, X3, X5, X6, X6 M, M3, M5, M6 and Z4.

Bugatti: Veyron

Chevrolet: Captiva.

Fiat: 500, Bravo.

General Motors: Hummer H2, Hummer H3.

Honda: Civic Hybrid, CR-V.

Hyundai: Santa Fe.

Jaguar: XF, XJ, XK.

Lamborghini: Gallardo, Murciélago.

Land Rover: Range Rover, Range Rover Sport, Discovery 4, Freelander 2.

Maybach: 57 and 62.

Mercedes-Benz: CL-Class, GL-Class, M-Class, R-Class, CLS-Class, S-Class, SL-Class,

SLK-Class, Viano, G-Class, SLS.

Mitsubishi: Montero, Outlander, Evo X.

Nissan: Teana, X-Trail, 370Z, GT-R.

Porsche: 911, Boxster, Panamera, Cayman, Cayenne, Carrera GT.

Rolls Royce: Ghost, Phantom, Phantom Coupé, Phantom Drophead Coupé.

Škoda: Yeti, Superb.

Suzuki: Grand Vitara, Kizashi.

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Toyota: Land Cruiser, Land Cruiser Prado, Fortuner, Prius.

Volkswagen: Beetle, Tiguan, Touareg, Phaeton.

Volvo: S60, S80, XC60, XC90.

COMMERCIAL VEHICLE MANUFACTURERS IN INDIA

Indian brands

Force

Hindustan Motors

Premier

Tata

AMW

Eicher Motors

Joint Venture Brands

VE Commercial Vehicles Limited- VE Commercial Vehicles limited - A JV between

Volvo Groups & Eicher Motors Limited.

Ashok Leyland- originally a JV between Ashok Motors and Leyland Motors, now 51%

owned by Hinduja Group

Mahindra Navistar- a 51:49 JV between Mahindra Group and Navistar International

Swaraj Mazda - originally a JV between Punjab Tractors and Mazda, now 53.5% owned

by Sumitomo Group

Kamaz Vectra- A JV between Russia's KaMAZ and the Vectra Group

Foreign brands

Volvo

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Tatra

MAN - as a JV with Force Motors, makes MAN Trucks in India

Mercedes-Benz sells luxury buses in India

Daimler AG - manufactures BharatBenz, a brand of trucks based on the Fuso and the

Mercedes Benz truck platforms, which Daimler AG owns

Scania

Iveco

Hino

Isuzu

Piaggio

Caterpillar Inc.

ELECTRIC CAR MANUFACTURERS IN INDIA

Ajanta Group

Mahindra

Hero Electric

REVA

Tara International

Tata

The Indian automobile industry is the tenth largest in the world with an annual production of

approximately 2 million units. Indian auto industry, promises to become the major automotive

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industry in the upcoming years and the industry experts are hopeful that it will touch 10 million

units mark.

Indian automobile industry is involved in design, development, manufacture, marketing, and sale

of motor vehicles. There are a number of global automotive giants that are upbeat about the

expansion plans and collaboration with domestic companies to produce automobiles in India.

The major car manufacturers in India are Maruti Udyog, Hyundai Motors India Ltd., General

Motors India Pvt. Ltd., Honda Siel Cars India Ltd., Toyota Kirloskar Motor Ltd., Hindustan

Motors etc.

The two-wheeler manufacturers in India are Honda Motorcycle & Scooter India (Pvt.) Ltd.,

TVS, Hero Honda, Yamaha, Bajaj, etc. The heavy motors including buses, trucks, auto

rickshaws and multi-utility vehicles are manufactured by Tata-Telco, Eicher Motors, Bajaj,

Mahindra and Mahindra, etc.

Quick Facts:

First Indian to own a car in India was Jamshedji Tata.

First woman to drive a car in India was Mrs. Suzanne RD Tata.

The passenger car and motorcycle segment in the Indian auto industry is growing by 8-9

percent.

Commercial vehicle will grow by 5.2 per cent.

The first automobile in India was rolled in 1897 in Bombay.

India is a potential emerging auto market.

Motorcycles contribute 80% of the two-wheeler industry.

Unlike the USA, the Indian passenger vehicle market is dominated by cars (79%).

India is the largest two-wheeler manufacturer in the world.

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India's motorcycle segment will grow by 8-9 percent in the coming years. 11. India is the

fifth largest commercial vehicle manufacturer in the world. 12. India has the number one

global motorcycle manufacturer. 13. In Asia, India is the fourth largest car market.

Used car Market

The new chapter in the automobile industry is that of used cars. The massive demand of used

cars indicates that cars are becoming increasingly popular. Those who can't afford the luxury

cars and their high prices are opting for used cars. In today's time, customers are conscious and

diligently investing on car dealership. Car buyers are investing heavily a lot of time for both to

sell a car and buy car. There's also a number of car websites that have offering detailed

information on new car prices, used cars, car reviews, Chevrolet cars, jaguar cars and luxury

cars.

Market Share

At present major Indian, European, Korean, Japanese automobile companies are holding

significant market shares. In commercial vehicle, Tata Motors dominates over 60% of the Indian

commercial vehicle market. Tata Motors is the largest medium and heavy commercial vehicle

manufacturer.

Among the two-wheeler segment, including scooters and mopeds- motorcycles have- major

share in the market. Hero Honda contributes 50% motorcycles to the market in which Honda

holds 46% share in scooter and TVS makes 82% of the mopeds in the country. In the three

wheeler industry in India, Piaggio holds 40% of the market share. Bajaj is the leader by making

68% of the three-wheelers.

Car manufacturers in India dominate the passenger vehicle market by 79%. Maruti Suzuki is the

largest car producer in India and has 52% share in passenger cars and is a complete monopoly in

multipurpose vehicles. In utility vehicles Mahindra holds 42% share. Hyundai and Tata Motors

is the second and third car producer in India.

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3.2 ABOUT THE ORGANIZATION

Welcome to our Sales & Services locations of Indus Motor Co. Pvt. Ltd. We will assist you from

the time of choosing your vehicle model, colour, finding the best finance option that suits you.

We will constantly keep you update about your vehicle status until the delivery of the Vehicle is

done. In case your vehicle needs any service, we are at your service, with options of collecting

your vehicle from your doorstep and once the work is over we will deliver it back to you. We

have features like Maruti on Road Service in case your vehicle gets breakdown on the way. Our

Maruti skilled technicians will come to the location where your vehicle is and rectify your

problem or if it’s a major work that has to be attended at the workshop your vehicle will be

towed to the nearest Service Station.

Our Vision

Transform Indus into World Class Dealership.

Our Mission

We will pursue the development of our financial and human resources through diversified

business activities, in an ethical and socially responsible manner and in pace with the

advancements of the day.

We will uphold a professional code of conduct in the pursuit of our goals and are committed to

taking up social responsibilities as a corporate citizen by dedicating a significant share of our

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CUSTOMER SATISFACTION

productive surpluses for espousing social causes that would benefit our employees, their families

and the society at large.

FOUNDER

Mr. Abdul Wahab P V, Chairman PEEVEES & Bridge way Group of Companies.

Mr. P V Abdul Wahab is a person who rose from a humble background and now is a dynamic

entrepreneur heading the PEEVEES and Bridge way Group of companies. Today, Mr. Wahab’s

business portfolio includes a conglomerate spread across India and the Middle East.

Besides his business interests, Mr. Wahab is associated with various cultural and social

organizations. He is a member of Rajiv Gandhi International Sports Foundation, Malabar

Development Board, Malabar Chamber of Commerce and Chairman, Malabar Airport

Development Action Committee (MADAC).

Besides various distinguished awards, Mr. Wahab was also honoured in House of Commons,

London in November 2003.

Mr. Abdul Wahab is also a Member of Parliament (MP), (Rajyasabha)

Values & Beliefs

The enduring belief that our corporate destiny is inextricably entwined with those of our

employees and customers carries us towards a profitable and ethical business model.

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Quality Policy

Customer satisfaction through quality services achieved by through constant adherence and

continual improvement in quality services and systems following P.D.C.A (Plan, Do, Check Act)

technique in all our functions and actions complying with the requirements.

ACHIEVEMENTS & AWARDS 

Awards received by INDUS MOTORSin the Maruti Suzuki Dealer Conferance-2010

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All India best performance

All India Highest sales

Platinum Dealer in balance Scorecard

Best in Customer satisfaction in Service - TVM

Best in Customer Satisfaction in sales - Chn

Highest sales in Maruti Genuine Accessories

Highest Rural sale in India

Best performance in institutional Sales

Zonal Highest sale

Dealer in 1000 Club

CUSTOMER SATISFACTION

3.3 NATURE OF BUSINESS

Indus motors play an important intermediary role in the promotion of brand equity and sale of a

particular brand of cars. In the process, they build up the reputation and contribute towards the

growth of the company's market share. In India, the role of car dealers was limited to a mere

selling of cars that has undergone a substantial change in the recent times with dealers emerging

as an important point of connect between the company and the customers for the cars. Car

dealers of today’s are expected to act as a catalyst to promote the sales of a car. At the first

instance, car dealers are to have a good collection of cars. Car dealership depends on availability

of the brand new cars and the location of the showroom.

Depending upon the brand and type of cars, dealer location ensures that the potential customers

get the best of strategic advantages. The ambiance and the customer services are equally

important. The customer should feel welcome at the car dealers place and the more a car dealer is

able to generate that sort of feelings among his potential customers, the likelihood of car sales is

to increase.

Customer Requirements

Sales associate at the new car dealer's place should be able to understand the exact requirements

of the customer and accordingly explain the traits of the car that matches his needs. In addition,

s/he should understand the customer preferences and likings and the auto dealer should ensure

that all such feedback is reported back to the concerned company that will help them to make the

changes in the car, if and where necessary.

Among the Indian car dealers, Maruti continues to be the numero uno. With a large dealer

network spanning all parts of the country, including some of the remotest and high terrain areas,

Maruti has maintained a clear lead with its car dealer network. Tata Motors too has bridged the

gap considerably in recent months with greater aggression being shown in setting up dealer

networks, especially in the towns and cities. Hyundai and Ford however, continue to maintain a

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CUSTOMER SATISFACTION

car dealer network that remains limited broadly to the major towns and cities in the country.

Chevy car dealers also have a good network.

You may also now find various car dealer websites that give ample information, preferably with

illustrations, on each model of cars they intend to sell. This is good development considering the

technological advancements.

3.4 PRODUCTS AND SERVICES OFFERED

A Star

Powered by the latest state-of -the art , light weight , 998cc K10B petrol engine, A-star is the

best in class fuel efficient car with a mileage of 19.59 kilometers per litre, as tested by ARAI,

Pune.

Eeco

For those who seek happiness on four wheels for both home and work, Maruti presents the

Maruti Suzuki Eeco – a car that not only meets your family’s dreams, but also helps you achieve

your work aspirations! The Maruti Suzuki Eeco packs many a happy surprise in styling, comfort,

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CUSTOMER SATISFACTION

driving, and usage. Every aspect of the Maruti Suzuki Eeco has been designed keeping your life

and style in mind. From the things you would expect from it as a family car, to how you would

like to use it in your work.

Grand Vitara

Grand Vitara XL-7 is designed to fit your life. It's the right size to carry just about everything

you're likely to need in your daily driving errands. And it's versatile enough to handle that big

shopping trip or a long weekend getaway. First of all, it has a standard adjustable second row of

seats.

Gypsy

Within each of us lies the spirit of freedom and adventure. A spirit that seeks to unshackle

oneself from the grind and monotony of everyday living. To go off the beaten track of daily life

to explore and discover the unknown. To just get away from it all, to enjoy the spirit of freedom,

and exhilaration that our heart desires. This is the spirit of the Gypsy. With an incredible power

of 80 bhp @ 6000 rpm. And a whopping torque of 103 Nm @ 4500 rpm.

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CUSTOMER SATISFACTION

 Maruti

The all time favorites on Indian roads, Maruti 800, now come with new features. The signature

fuel efficiency and hassle free maintenance gives the best value in the economic range of cars.

There are more than 23 lakh customers to opinion about the Maruti 800 because it has been their

No. 1 preference over the years. Providing unmatched fuel efficiency, unbeatable pricing and

hassle free maintenance, the low cost of owning a Maruti 800 brings a lasting smile on the face

of the proud Indian. Moreover, the small, slim and sleek dimensions make driving easy

anywhere around the city, town or narrow lanes crowning the driver the king ‘pin’ of the busy

chaotic roads..

Maruti Alto

Maruti Alto is one of the bestselling car in India. It has included different new features in it like

clear lens headlamps, sparkling tail lamps, dynamic front grill and bumper, stylish fabric, rotary

control for AC etc. Other features that are really important for the comfort and safety of the

passenger are electronic power steering, excellent services back up, convenient cup holders, high

rigid monocoque frame made of high tensile steel, front and rear seat belts, booster assisted

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CUSTOMER SATISFACTION

brakes etc. Its better mileage and low engine friction make this car most fuel efficient car in A2

segment (petrol).

New Estilo

New Estilo is, from the looks of it, the car boasts of an all new front styling, which includes a

revised grill, new headlamps and a macho bumper that has sculpted integrated fog lamps. New

wheel covers compliment the entire exterior makeover to give this car a style that is in sync with

today's market demands. There is no question about it that Maruti Suzuki has taken the pains in

making the new Estilo part of the family and in doing so, they have stripped it of its plain-jane

looks and have given it a bolder stance.

Omni

Omni Cargo LPG is a value addition to the Omni. This model with company fitted LPG kit has

lower running cost compared to diesel and is a safe way to carry cargo. The other Omni variants

include the Omni 5 seater and Omni 8 seater.India’s original multipurpose vehicle, the Maruti

Omni needs no introduction. Meeting diverse needs across different user segments it can double

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up as both people friendly as well as a goods carrier vehicle. Available in 6 types, the Omni

comes in 5 seater, 8 seater, cargo, ambulance, CNG and LPG variants. As the most faithful

business partner it incorporates the time tested & trusted advantage of space and economy

providing the perfect transportation solution

Ritz

Suzuki pulls a Ritzy move out of its small car bag of tricks to offer a very competent alternative

to all the large hatchbacks on the market today. Adil Jal Darukhanawala has the gen on this lil'

performer after an exclusive first drive. Let's get one thing clear straight away about Suzuki's

new supermini. It ain't going to be making waves as a Wagon R replacement which many of you

thought was on the cards but then that is the good thing, both for Maruti Suzuki and also for the

consumer who wants a more family-oriented large hatchback. Great for Maruti Suzuki because it

allows the product planners to move the Wagon R into a newer perch and position in the market

(think taxi or utility) and at the same time the firm's premium hatchback portfolio gets enhanced.

Swift

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Swift is style expression of modern times. Spacious with tall boy design, it is a instant hit. A

fabulous vehicle on road that looks fresh with a unique concept design, the Maruti Swift is a

crowd puller in its small but sensible sense. Setting the Indian roads on fire, the car has delivered

its promise of another satisfying customer car. Here's the feel... it's a 1.3ltr. All aluminium engine

that responds to the slightest stimuli from your toes. The wide-bodied construction helps ensure

you keep your balance while your tyres twist & turn along the curvy Indian roads. Built with an

engine that is fine tuned to perform at low and medium range speeds, the creators of the car have

managed to successfully incorporate a range of advanced technologies balancing feasibility,

efficiency and performance for the traffic sensitive owner..

Sx4

The macho machine rules the roads and commands respect wherever it goes. The new Maruthi

SX4 with muscular looks and dynamic exterior finish is a man’s dream come true. The tallest,

widest and broadest in its class, the SX4 stands head and shoulder above competition. With all

elegance of a saloon, it has a contemporary 1.6-litre M-series petrol engine that delivers smooth

and generous power from underneath its hood. A competitive contestant in its class, it tempts

every customer seeking style, comfort and spacious interiors to dive onto its seats and enjoy the

luxury bound cruise in its plush interiors. Simply relaxing and energizing, a ride in the all new

SX4 takes away the worries that dampen the days spirit.

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Versa

Versa - a car specially designed keeping you and your family's comfort in mind. Twin Acs. Eight

Vents ideal for eight people. Every member of your family can travel in cool atmosphere, with

one AC vent and individual control to themselves. The twin AC's ensure that there is uniform

cooling, even at the back. Large sliding doors for easy entry and Exit. With high seats and sliding

doors, getting in and out of the versa is extremely easy. Versa is the only cars which gives you

the Flexiseating option, whereby you can easly rearrange the back seats if you want more space

for your family. And by simply flip-folding the 3rd row seat, you can have extra space for

luggage.

The Versa is one of the safest cars on the road. It has safety features to guard your loved ones

from road disasters. Side impact absorbing beams in all 4 doors protect the passengers from side

crashes. Front impact beams between the front pillars and the collapsible steering column shield

you from head on collisions. A steel pipe frame in the rear seat safeguards your family from rear

impacts. ELR seat belts allow free movement, but hold you securely during sudden stoppages.

Height adjustable head restraints, brake boosters and a collapsible steering column further ensure

your safety. Enjoy your space. In effortless style. In the Versa, whatever you need while on the

move is within easy reach. A unique overhead box with a sunglass holder. Side pockets on doors

for your favorite magazines. Driver side one-touch power window console with power window

lock. A compact coin slot. Everything in its place and a place for everything.

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Wagon r

Maruti Wagon R has been liked by the users, thanks to its ample space and powerful

performance. The car is appreciated for its smooth pick-up, hassle-free start, and uniform power

distribution. The swept-back headlamps and sporty tail lamps are appealing. Three-person rear

seating ensures a smooth ride for five people.

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3.5 ORGANIZATIONAL STRUCTURE

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CHAIRMAN

BOARD OF DIRECTORS

EXECUTIVE DIRECTOR

DIRECTOR

HUMAN RESOURCE FINANCE MARKETING

HR EXECUTIVE

      SKILLED

     UNSKILLED

ACCOUNTANT

OFFICE ASSISTANT

CHANNEL OF DISTRIBUTION

SALES PROMOTION

ADVERTISING MARKETING RESEARCH

SERVICE DEDEPARTMENT

SERVICE EXECUTIVE

SERVICE SUPERVISOR

TECHNICIANS

CUSTOMER SATISFACTION

3.6 COMPETITORS

A M Motors

Sarathy Auto Cars

Har Cars

Avg Motors

ABT Pvt. Ltd.

Sai Service Station Ltd.

Popular Vehicles and Services Ltd.

3.7 TURNOVER

Indus motor is the first Maruti Dealership in Kerala, started in 1983-84 at Calicut, the city of

Kerala. The Kochi branch has been functioning since October 1985 and the Third dealership was

started at Trivandrum 1996. It is having Dealership outside kerala was inaugurated on March

2003 at Chennai. The vadakara branch turnover is over Rs.45 crores and Employee strength

above 100.

3.8 GLOBAL PRESENCE

In India, the role of car dealers was limited to a mere selling of cars that has undergone a

substantial change in the recent times with dealers emerging as an important point of connect

between the company and the customers for the cars. Car dealers of todays are expected to act as

a catalyst to promote the sales of a car. At the first instance, car dealers are to have a good

collection of cars. Car dealership depends on availability of the brand new cars and the location

of the showroom.

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3.9 SWOT ANALYSIS

STRENGTH:

Indus motors.no1 dealer of the Maruti udyog limited in India.

Indus motors have 82 branches and 4 dealership in Kerala and 4 branches in Chennai.

Indus motors giving attractive offer to customer. Ex. Stereo , Insurance, etc

Indus motors have strong brand value in sales and service all over Kerala

Good promotion strategy adopted by Indus motors to sell the product.

WEAKNESS:

Services are delayed compared to other motors because of large sales some of the time.

In services, there is shortage of technologies.when compared to other companies like the

Toyota

Some times the availability of all spare parts cannot be guaranteed so the services get

delayed.

OPPORTUNITIES:

Economic growth of the country is promising and opportunity for future big market in

both domestic and abroad.

THREATS:

Lot of competitors have entered into the field.

Profit margin is very less.

Good marketing executives are not available.

Getting spare parts in time is difficult

DATA ANALYSIS AND INTERPRETATION:

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4.1 TABLE SHOWING THE PERCENTAGE OF CUSTOMERS AWARE

OF INDUS MOTORS:

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Yes 80 80

2 No 20 20

TOTAL 100 100

CHART: 1

From the above table and chart it is clear that 80% of the customers are aware of the company and the rest 20% are not aware of the Indus motors.

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CUSTOMER SATISFACTION

4.2 TABLE SHOWING THE PERCENTAGE OF CUSTOMERS

SATISFIED WITH THE DISCOUNT OFFER OFFERED BY INDUS

MOTORS:

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Yes 75 75

2 No 25 25

TOTAL 100 100

CHART-2

From the above table and chart it is clear that 75% of the customers are satisfied with the discount offer offered by the company and the rest 25% are not satisfied.

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CUSTOMER SATISFACTION

 4.3 TABLE SHOWING THE PERCENTAGE OF CUSTOMER’S

SATISFACTION LEVEL OF THE PROMOTIONAL ACTIVITIES

UNDERTAKEN BY THE INDUS MOTORS:

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SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Highly Satisfied 20 20

2 Satisfied 30 30

3 Average 18 18

4 Dissatisfied 12 12

5 Highly dissatisfied 10 10

6 No Answer 10 10

TOTAL 100 100

CUSTOMER SATISFACTION

CHART 4.3

From the above table and chart it is clear that 20% of the customers are highly satisfied and 30% of them are satisfied with the promotional activities of the company, and 18% of them rate it as average as well as dissatisfied promotional activities.

4.4 TABLE SHOWING THE PERCENTAGE LEVEL OF SATISFACTION

IN THE PRE-SALES BY THE CUSTOMERS:

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Highly Satisfied 17 17

2 Satisfied 23 23

3 Average 30 30

4 Dissatisfied 10 10

5 Highly dissatisfied 10 10

6 No Answer 10 10

TOTAL 100 100

CHART 4.4

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CUSTOMER SATISFACTION

From the above table and chart it is clear that 17% of the customers are highly satisfied and 23% of them are satisfied in the pres - saleseffort of the company, and 30% of them rate it as average as well as dissatisfied in the pre –sales effort

4.5 TABLE SHOWING THE PERCENTAGE OF LEVEL OF

SATISFACTION AT THE POINT OF SALES BY THE CUSTOMERS:

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SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Highly Satisfied 19 19

2 Satisfied 30 30

3 Average 20 20

4 Dissatisfied 17 17

5 Highly dissatisfied 10 10

6 No Answer 04 04

TOTAL 100 100

CUSTOMER SATISFACTION

CHART 4.5

From the above table and chart it is clear that 19% of the customers are highly satisfied and 30% of them are satisfied at the point of sales of the company, and 20% of them rate it as average as well as 17 % dissatisfied at the point of sales.

4.6 TABLE SHOWING THE PERCENTAGE OF CUSTOMERS

SATISFIED WITH THE POST SALES SERVICES:

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Yes 65 65

2 No 35 35

TOTAL 100 100

CHART 4.6

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CUSTOMER SATISFACTION

From the above table and chart it is clear that 65% of the customers are satisfied with the

post sales services offered by the company and the rest 35% are not satisfied.

4.7 TABLE SHOWING THE SATISFACTION LEVEL OF CUSTOMERS

WITH THE CONSULTATION PROVIDED BY SERVICE PERSONS.

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Yes 56 56

2 No 44 44

TOTAL 100 100

CHART 4.7

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CUSTOMER SATISFACTION

From the above table and chart it is clear that 56% of the customers are satisfied with the

consultation provided by service persons and the rest 44% are not satisfied.

4.8 TABLE SHOWING FACTOR WHICH MAKE THE CUSTOMER TO CHOOSE INDUS MOTORS PVT LTD: 

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Location 30 30

2 Price 10 10

3 Service 40 40

4 Fast delivery 20 20

TOTAL 100 100

CHART 4.8

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CUSTOMER SATISFACTION

From the above table and chart it is clear that 30% of the customers choose Indus motors

because of location and 10% of them choose because of price, and 40% of services and

20% on fast delivery.

4.9 TABLE SHOWING THE PERCENTAGE OF REPONDENTS

SATISFIED WITH THE LANGUAGE USED TO CONDUCT TECHNICAL

DISCUSSION

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SLNOPARTICULARS RESPONDENTS

PERCENTAGE

1 Highly Satisfied 10 10

2 Satisfied 30 30

3 Average 20 20

4 Dissatisfied 15 15

5 Highly dissatisfied 15 15

6 No Answer 10 10

TOTAL 100 100

CUSTOMER SATISFACTION

CHART 4.9

From the above table and chart it is clear that 10% of the customers are highly satisfied and 30%

of them are satisfied at the point of sales of the company, and 20% of them rate it as average as

well as dissatisfied at the point of sales.

4.10 TABLE SHOWING THE PERCENTAGE OF CUSTOMERS LIKE TO HAVE SOME MERCHANDISE ACCESSORIES TO TAKE ALWAYS AT INDUS MOTORS

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Yes 60 60

2 No 40 40

TOTAL 100 100

CHART 4.10

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CUSTOMER SATISFACTION

From the above table and chart it is clear that 60% of the customers like to have some

merchandise accessories to take always at Indus Motors and the rest 40% are not

interested.

4.11 TABLE SHOWING THE KIND OF MERCHANDISE THE

CUSTOMERS FEELS NECESSARY.

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Food product 0 0

2 Beverage 0 0

3 Accessories 60 60

4 Of cars 40 40

TOTAL 100 100

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CUSTOMER SATISFACTION

CHART 4.11

From the above table and chart 60% of the customer feels that accessories

merchandise must be necessary and 40% of car merchandise must be there.

4.12 TABLE SHOWING THE OPINION OF THE CUSTOMER TOWARDS THE STAFF OF THE INDUS MOTORS:

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Yes 70 70

2 No 30 30

TOTAL 100 100

CHART.4.12

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CUSTOMER SATISFACTION

From the above table and chart it is clear that 70% of the customers like the

courteousness of the staff of the Indus Motors and the rest 30% are not satisfied.

4.13 TABLE SHOWING THE SATISFACTION LEVEL OF USING

CUSTOMER LOUNGE:

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CUSTOMER SATISFACTION

CHART 4.13

From the above table and chart it is clear that 10% of the customers are highly satisfied and 30% of them are satisfied using customer lounge of the company, and 20% of them rate it as average as well as 15 % dissatisfied using customer lounge.

4.14 TABLE SHOWING THE PERCENTAGE OF SATISFACTION LEVEL OF CUSTOMER TOWARDS THE NEWSPAPER, JOURNALS AND MAGAZINES PROVIDED AT THE CUSTOMER LOUNGE.

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SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Highly Satisfied 10 10

2 Satisfied 30 30

3 Average 20 20

4 Dissatisfied 15 15

5 Highly dissatisfied 15 15

6 No Answer 10 10

TOTAL 100 100

CUSTOMER SATISFACTION

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Yes 78 78

2 No 22 22

TOTAL 100 100

CHART 4.14

From the above table and chart it is clear that 78% of the customers likes magazines,

newspapers, journals provided at the customer lounge and the rest 22% are not satisfied.

4.15 TABLE SHOWING THE CUSTOMER’S RECOMMENDATION TO THEIR FRIENDS AND FAMILIES:

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CUSTOMER SATISFACTION

SLNO PARTICULARS RESPONDENTS PERCENTAGE

1 Yes 65 65

2 No 35 35

TOTAL 100 100

CHART 4.15

From the above table and chart it is clear that 65% of the customers would recommend

about the company to their friends and families and the rest 35% not recommend.

5.1FINDINGS

The Customers are aware of Indus motors and its products and services.

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CUSTOMER SATISFACTION

The Customers are satisfied with the discount offer offered by the company.

Few respondent are satisfied with pre-sales effort

Some respondent are satisfied with point of sales effort.

Some customers are satisfied with post sales effort of the company.

Customers are not that much satisfied service people.

Since Indus motors locate in the heart of the city and the service rendered by Indus is excellent, so the respondent choosing the Indus motors.

Indus motors are giving the ancillary services such as merchandise accessories to the customers.

Most of the customers are satisfied with the courteousness shown by the Indus motors staff.

In my survey customers gave feedback that they are happy with promotional activities offered by the Indus motors.

Most of the customers are satisfied with the reading material provided at the customer lounge.

Some of the respondents are happy to introduce Indus motors to their friends and relatives.

Most of the respondents are satisfied with languages used by the Indus motors staff to have technical discussion.

The majority of respondents getting 16-17 mileage for their vehicles.

5. 2RECOMMENDATIONS

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CUSTOMER SATISFACTION

During the service, transparency between customer and service provider must be

there .It can help to improve the satisfaction of the customer to a higher level

For the premium customer a pick and drop or rental car facilities can be introduced.

Effective customer relations need to be maintained by constant interaction with

customers.

It will better if the car fitted burglar alarm and automatic sensor in the viper.

The company should work more on public relation.

The company should do a research on pricing and labour schedules in comparison

competitors.

Company should recruit sufficient manpower to attend the customer and their work

timing or holidays needs to be planned properly to avoid such problems.

There is a need for improvement in the management, productivity, capacity,

utilization and customer satisfaction and to meet global competition.

Fast and affordable services must be given to the customers so as to retain new

customers.

In order to beat the competitors Indus motors should introduce more and more

promotional activities.

Indus motors should improve delay in services.

5.3CONCLUSION

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At the end of the research I would like to conclude that there is a customer

satisfaction towards Indus motors pvt ltd.The data collected were analyzed based on the

determined objectives. This research helped me to come out with findings and suggestions. And

it helped me to know the present customer satisfaction level, pricing strategy and quality in

Indus.

From the study it is concluded that majority of the customers are satisfied with

INDUS Motor Company and their services .They have faith in their leadership. The various

service provided by the leadership to different class of the customers are highly satisfactory.

The company has taken important measure and ensuring that billing

transparency, genuine spare parts, delivery in time, and customer friendly atmosphere with wide

range of accessories or tools this will enable the company to change the mindset of Indian car

owners to expect brand car station.

Indus dealership network one among best in Kerala. Through the majority of the

are satisfied their leadership.

5.4 LEARNING EXPERIENCE

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CUSTOMER SATISFACTION

My Dissertation at Indus motors pvt ltd was an eventful one and I was able to learn,

understand and have hands on experience on many concepts in customer satisfaction aspects

learned in the classroom.

1. I got an opportunity to expenses a work environment and its various component and to

apply the classroom, experience to them.

2. I got the knowledge about the automobile industry.

3. Training was helpful in understanding the problems.

4. I was encouraged to analyze a problem and find a possible solution and this attained

some level of problem identifying and problem solving skills.

5. Training helped a lot in raising my level of self-confidence that gave me the strength to

face any corporate situation, be it an interview or presentation or group discussion.

6. My communication and interaction skills, presentation skills and time management skill

improved.

7. I understand the basics of how a work and what can motivate a team to proper well

8. I realized that team working in the secret for successful achievement of the objective, and

this helped me to be an efficient team worker.

9. I experienced how a performance appraisal is done in a corporate scenario.

10. I also gained some knowledge about the process of distribution channels. the company

training was very fruitful and it transformed me into a corporate individual, with some

sound knowledge about the industry(which can be further developed) and improved skills

set. It took me a step closer to being a successful professional now I have a better

potential in the industry and this will definitely help in my career development.

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SYNOPSIS

PROJECT TITLE:-

“A STUDY OF CUSTOMER SATISFACTION TOWARDS INDUS MOTOR Pvt ltd, Vadakara ,CALICUT

INTRODUCTION

The Concept of marketing is very important in achieving the organization

goals consists in determining the needs & wants of target market & delivery the

desired satisfaction more effectively & efficiently than the consumers.

Marketing encompasses all activities of exchange conducted by producers &

middlemen in commerce for the purpose of satisfying consumer demand. In other

words marketing comprises all the activities, which are involved in the

determination & satisfaction of customers needs at a profit.

Market means anybody of persons who are in intimate business relations and

carry on extensive transaction in any commodity. Market includes both place and

region in which buyers and sellers are in free competition with one another.

Marketing management is the process of planning, organizing, directing,

co-coordinating, communicating, motivating and controlling marketing efforts to

bring about fruitful exchange-profit to the marketer and satisfaction to the

consumer.

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CUSTOMER SATISFACTION

Competitors that are prospering in the new global economy recognize that

measuring customer satisfaction is key .only by doing so can they hold on to the

customers they have and understand how to better attract new customers. The

competitors who will be successful recognize that customer satisfaction is a

critical.

The provision of goods or services which fulfill the customer’s expectations

in terms of quality and service, in relation to price paid. Retailers know that

satisfied customers strategic weapon that can bring increased market share and

increased profits. Customer satisfaction is essential to the survival of a business.

The best way to determine customer’s level of satisfaction is to ask them .The

degree to which there is match between the customer’s expectations of the

product and the actual performance of the product.

Satisfaction arises when an expectation is being fulfilled. Customer

satisfaction refers to the extent to which customers are happy with the products and

services provided by a business. It is important to gain high levels of customer

satisfaction in a business as satisfied customers are most likely to be loyal and

make repeat orders and continue using the services provided by a business. There

are many factors that can lead to high customer satisfaction, namely : Providing

personal attention to the needs of individual customers offers of products and

services which are customer focused High Levels of “value for money” attribute

Excellent after sales services. The popular and widely used instruments of

measurement of customer satisfaction are questionnaires.

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CUSTOMER SATISFACTION

“Treat your customers like your friends and they’ll always come back”

STATEMENT OF THE PROBLEM

To find out the level of customer satisfaction with respect pre –sales, point of sales

and post sales service of products. To find out if any shortcomings exists in the

services and recommend any improvements

NEED AND IMPORTANCE OF STUDY :

This study will help me to understand customer needs and problems during the

survey and obtaining customer feedback for improving product and services and

suggesting measures to the company to improve satisfaction among existing

customers and retaining them for lifelong. And this study will help to

Understanding the expectations and requirements of all the customers.

OBJECTIVES OF THE STUDY :

To know the present customer satisfaction level of pre sales , point of sales

and post sales service of Maruthi products.

To know whether the customers are satisfied with the present pricing

strategy put by the company.

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SCOPE OF THE STUDY:

The scope of the study will be limited to Vadagara ,Calicut of the Maruthi range of

automobiles. We will be looking at service and the pricing levels of the products.

METHODOLOGY:

Research

It must be systematic and follow a series of steps and a rigid standard

protocol. These rules are broadly similar but may vary slightly between

the different fields of science.

Research methodology

Research is a diligent and systematic enquiry or investigation into a

subject in order to discover or revise facts, theories , applications etc. methodology

is a system of methods followed by particular discipline, thus , research

methodology

.is the way of how we conduct our research.

Research design:

A systematic plan used to guide how archaeologists interpret the past. A

research design will contain one or more questions about the past,

observations and analysis, interpretations , and a form of communications

that conveys the archaeological interpretations to a variety of audiences.

Also known as a market research briefly, this is a basic plan which guides

the data collection and analysis phases of the research product. An

overall plan of action to be followed during an experiment to be sure that

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the objectives are met. Often the specific procedures to solve problems

are included in the research design.

Research design-the controlling plan for a marketing research study in

which the methods and procedures for collecting and analyzing the

information to be collected is specified

Type of data:

Primary data

Secondary data

Primary data

The primary data is collected for the purpose of studying the topic for the

project and identifying the issues involved. The primary data collected during the

study includes the data collected by the way of administering questionnaires

followed by interaction.

Collected to address the specific issue or problem under study. These data can be

gathered internally or externally through surveys, observations, experiments and

stimulation.

Information collected directly from a responded population as opposed to

secondary or published data.

STRUCTURED QUESTAINAIRE

A form containing a set of questions; to people to gain statistical information. A

list of questions-socio-economic or political data on individuals and households. Its

good technique, because (printing, collecting, analysis) is low relative.

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PERSONAL INTERVIEW

Under personal interview method of collecting data, there is a face-to-face contact

with the persons from whom the information thus obtained is first-hand or original

in character.

SECONDARY DATA

It includes data collected from existing records within the organization. It includes

the data collected from journal & magazines like insurance chronicle & Asia

insurance post and website of the firm. Data already gathered for one use that is

then utilized for another purpose. For example, a person researches income

distribution using data collected by the department of commerce.

In research, secondary data is collected and possibly processed by people other

than the researcher in question. Common sources of secondary data for social

science include census, large surveys, and organizational records. In historical

research secondary sources are summaries, collections, and interpretations of

primary sources.

Type of the study

Quantitative Study:

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Quantitative Study is used widely in social sciences such as psychology, sociology,

anthropology, and political science. Research in mathematical sciences such as

physics is also 'quantitative' by definition, though this use of the term differs in

context. In the social sciences, the term relates to empirical methods, originating in

both philosophical positivism and the history of statistics, which contrast

qualitative research methods.

Qualitative Study:

Qualitative research is a method of inquiry employed in many different academic

disciplines, traditionally in the social sciences, but also in market research and

further contexts. Qualitative researchers aim to gather an in-depth understanding of

human behavior and the reasons that govern such behavior. The qualitative method

investigates the why and how of decision making, not just what, where, when.

Hence, smaller but focused samples are more often needed, rather than large

samples.

Secondary data like other magazines, newspapers etc is used to make a detailed

study

The project has Descriptive Research

Descriptive Research: this research is focused on providing an accurate

description on price strategies and accessing the level of customer satisfaction.

SOURCES OF DATA

Type of data

Primary data:

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The data collected first hand by the researcher concerned with the research

problem refers to the Primary data.

Secondary data:

The information available at various sources made for some other purpose but

facilitating the study undertaken is called as Secondary data.

Limitation of study

The Research covers a sample size of only 50, which could be small as

compared to the population.

The study was confirmed to Vadakara due to which the result cannot be

applied universally.

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CHAPTER SCHEME

Chapter.1 Introduction

This chapter mainly deals with the Introduction to Customer expectation, various

avenues of promotional Activities, how it work and it’s importance to organization.

Chapter.2 Company/Organizational Profile

The current trends in the industry and brief company profile will be outlined. The

products and services the company offers will also been briefed.

Chapter.3 Research Design

A Research design serves as a bridge between what has been done in the conduct

of the study to realize the specified objectives. It is an outline of the projects

working.

Chapter.4 Impact of Promotional Activities on customer expectation with

respect to Del Monte. In this chapter using data collected, the information will be

tabulated and an analysis will be drawn, based on questionnaire and interview

method.

Chapter.5 Summary of Findings, Suggestions and Conclusion

In this chapter, we will actually include all that we have analyzed and what has

been found. Finally conclude checking whether the objectives of the study have

been achieved or not

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Questionnaire

I RASHIK KK, second year MBA student of Hillside Institute of Management And Academy,

Bangalore conducting a project report of A study of customer satisfaction towards Indus

motor pvt ltd, vadakara ,Calicut, as a part of my MBA curriculum, any information provided

by you will be treated as” confidential” and will not be disclosure for any other purpose.

Please indicate your level of agreement with the following statements. (Use a scale 1 to 5).

1=Highly Satisfied

2=Satisfied

3=Average

4=Dissatisfied

5=Highly Dissatisfied

NA= No Answer

Questions

1. Name:

2. Gender : Male Female

3. Age 18-25 25-30 above

4. Are you aware of Indus motors pvt ltd?

A] Yes [ ] B] No [ ]

5. Are you satisfied with the discount offer made by Indus motors Pvt Ltd?

A] Yes [ ] B] No [ ]

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6. According to you what is the satisfaction level of the promotional activities undertake by

Indus Motors?

1 2 3 4 5 NA

[ ] [ ] [ ] [ ] [ ] [ ]

7. What is the level of satisfaction in the sales?

1 2 3 4 5 NA

[ ] [ ] [ ] [ ] [ ] [ ]

8. What is the level of satisfaction at point of sales?

1 2 3 4 5 NA

[ ] [ ] [ ] [ ] [ ] [ ]

9. What is the level of satisfaction at post sales service?

A] Yes [ ] B] No [ ]

10. Are you satisfied with the consultation provided by service persons?

A] Yes [ ] B] No [ ]

11. What factor made you choose Indus Motors Pvt Ltd?

A] Location B] price

C] Service D] fast delivery

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12. How important is it for you to conduct technical discussion in you mother tongue?

A] Extremely important B] Very important

C] Not very important D] Not at all important

13. Would you like to have some merchandise accessories to take always at Indus Motors?

A] Yes [ ] B] NO [ ]

14. What kind of merchandise you think is necessary

A] Food product B] Beverage

C] Accessories D] Of cars

15. Is the staffs in Indus courteous enough?

A] Yes [ ] B] No [ ]

16. Rate the satisfaction level of using customer lounge?

1 2 3 4 5 NA

[ ] [ ] [ ] [ ] [ ] [ ]

17. Are the magazines, news paper, journals sufficient at the customer Lounge?

A] Yes [ ] B] No [ ]

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18. Would you recommend our company to any of your friends /or relatives?

A] Yes [ ] B] No [ ]

19.. Do you have any suggestions give to Indus motor?

……………………………………………………………………………….

. ………………………………………………………………………………

………………………………………………………………………………..

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Filled Questionnaire

I RASHIK KK, second year MBA student of Hillside Institute of Management And Academy,

Bangalore conducting a project report of A study of customer satisfaction towards Indus

motor pvt ltd, vadakara ,Calicut, as a part of my MBA curriculum, any information provided

by you will be treated as” confidential” and will not be disclosure for any other purpose.

Please indicate your level of agreement with the following statements. (Use a scale 1 to 5).

1=Highly Satisfied

2=Satisfied

3=Average

4=Dissatisfied

5=Highly Dissatisfied

NA= No Answer

Questions

1. Name:                                 :          Mohammad

2. Gender : Male Female

3. Age 18-25 25-30 above

4. Are you aware of Indus motors pvt ltd?

A] Yes [ ] B] No [ ]

6. Are you satisfied with the discount offer made by Indus motors Pvt Ltd?

A] Yes [ ] B] No [ ]

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6. According to you what is the satisfaction level of the promotional activities undertake by

Indus Motors?

1 2 3 4 5 NA

[ ] [ ] [ ] [ ] [ ] [ ]

8. What is the level of satisfaction in the sales?

1 2 3 4 5 NA

[ ] [ ] [ ] [ ] [ ] [ ]

8. What is the level of satisfaction at point of sales?

1 2 3 4 5 NA

[ ] [ ] [ ] [ ] [ ] [ ]

9. What is the level of satisfaction at post sales service?

A] Yes [ ] B] No [ ]

10. Are you satisfied with the consultation provided by service persons?

A] Yes [ ] B] No [ ]

11. What factor made you choose Indus Motors Pvt Ltd?

A] Location B] price

C] Service D] fast delivery

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12. How important is it for you to conduct technical discussion in your mother tongue?

A] Extremely important B] Very important

C] Not very important D] Not at all important

13. Would you like to have some merchandise accessories to take always at Indus Motors?

A] Yes [ ] B] NO [ ]

14. What kind of merchandise you think is necessary

A] Food product B] Beverage

C] Accessories D] Of cars

15. Is the staffs in Indus courteous enough?

A] Yes [ ] B] No [ ]

16. Rate the satisfaction level of using customer lounge?

1 2 3 4 5 NA

[ ] [ ] [ ] [ ] [ ] [ ]

17. Are the magazines, news paper, journals sufficient at the customer Lounge?

A] Yes [ ] B] No [ ]

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18. Would you recommend our company to any of your friends /or relatives?

A] Yes [ ] B] No [ ]

19.. Do you have any suggestions give to Indus motor?

……………………………………………………………………………….

. ………………………………………………………………………………

………………………………………………………………………………..

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BIBLIOGRAPHY

Research methodology – By AKPC Swain

Kalyani publication

Marketing research (4th edition ) –Naresh k Malhotra

Prentice Hall of India publication

Marketing Management (12th edition) – Philip kotler and Kevin lane keller

Pearson education Publication

Marketing Research (6th edition ) - -Donald S.Taul and Del I Hawkins

Prentice Hall of India publication

MAGAZINES

Fast track (Automobile) – February and March 2011.

WEBLIOGRAPHY

www.indusmotor.com

www.automobileindia.com

www.indiabusiness.nic.in

www.csmassociation.org

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GLOSSARY

Merchandise – Goods or Products

Lounge – relax places

Genuine spare parts – Real or true spare parts

Segment – Division

Retention - maintenance

Placate – Calm down

Annoying – Irritating

Roomy – Spacious

Deceptive – Misleading

Shoddy – careless

Transparency – Clearness, precision

Authorized work station – Certified work place

Classy – Stylish, Fashionable

Vivid – Bright, glowing

Brand awareness – See Brand familiarity

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