CHAPTER I INTRODUCTION TO THE STUDY 1.1 INTRODUCTION DEFINITION OF CUSTOMER SATISFACTION: Because the concept of customer satisfaction is new to many companies it is important to be clear on exactly what is meant by the term. Customer satisfaction is he state of mind that customers have about a company When their expectations have been met or exceeded over the life time of the product or service. The achievement of customer satisfaction leads to company loyalty and product repurchase. There are some important implications of this definition. Because customer satisfaction is a subjective, non quantitative state, measurement would not be exact and will require sampling and statistical analysis. Customer satisfaction measurement must be undertaken with an understanding of the gap between customers expectations and attribute performance perceptions. “Satisfaction” itself can refer to a number of different facts of the relationship with a customer. For example, it can refer to any or all of the following. Satisfaction with the quality of a particular product or service. Satisfaction with an ongoing business relationship. 1
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CHAPTER I
INTRODUCTION TO THE STUDY
1.1 INTRODUCTION
DEFINITION OF CUSTOMER SATISFACTION:
Because the concept of customer satisfaction is new to many companies it is
important to be clear on exactly what is meant by the term. Customer satisfaction is
he state of mind that customers have about a company When their expectations have
been met or exceeded over the life time of the product or service. The achievement of
customer satisfaction leads to company loyalty and product repurchase. There are
some important implications of this definition.
Because customer satisfaction is a subjective, non quantitative state,
measurement would not be exact and will require sampling and statistical analysis.
Customer satisfaction measurement must be undertaken with an understanding of the
gap between customers expectations and attribute performance perceptions.
“Satisfaction” itself can refer to a number of different facts of the relationship with a
customer. For example, it can refer to any or all of the following.
Satisfaction with the quality of a particular product or service.
Satisfaction with an ongoing business relationship.
Satisfaction with the price-performance ratio of a product or service.
Satisfaction because of a product/service met or exceeded the
customers expectations.
Each Industry could add to this list according to the nature of the business and
specific relationship with the customer.
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CUSTOMER AND HIS NEEDS
Broadly a customer can be defined as a user or a potential user of a companies
product or its services. So defined, customer would obviously be the consumer of the
company’s product.
Identification of customer should be followed by identification of his needs.
The process of fulfilling customer needs so identified would necessitate tailoring
company’s products and services to what the customers wants, rather than making
him helplessly accept whatever the company can provide.
Designing products and services to suit the requirements of customers is one
part of the story. The other part is good delivery, because bad delivery of a perfectly
designed product or service is as disastrous as perfect delivery of a badly conceived
product or service. Bother are indicative of poor marketing. Good product or service
do not automatically or necessarily lead to customer satisfaction. In the present times
customer’s satisfaction is what matters. Or, should matter. Meaningful appraisal of
customer satisfaction is an essential activity of a company.
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1.2 OBJECTIVES OF THE STUDY
THE MAIN OBJECTIVES ARE
To analyse the customer satisfaction towards consuming Elgi Ultra Table Top
Grinders.
To find out the effectiveness of After Sales Service.
To analyse the factors that influence the customers to prefer Elgi Ultra
Grinders over other brands.
To identify the salient features of Elgi Ultra Table Top Grinders.
To suggest improvement in the quality of customer service.
1.3 NEED AND SCOPE OF THE STUDY
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This study will help the ELGI ULTRA COMPANY to know about the
customer satisfaction level and to improve the business prospects and After Sales
Service.
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1.4 LIMITATIONS OF THE STUDY
The scope of the survey is limited to Coimbatore city only, due to constraints
on accessibility and time.
Secondary data has been used in the project. The reliability of such data
cannot be very much vouchsafed for.
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1.5 RESEARCH METHODOLOGY
RESEARCH
Research is defined as scientific and systematic search for pertinent
information on a specific topic. Research is an art of scientific investigation. The
advanced learner’s dictionary of current English lays down the meaning of research
as” a careful investigation or inquiry especially through search for new facts in any
branch knowledge.
For conducting the market study, an appropriate methodology is to be adopted.
The sources available and the means that should be adopted to acquire the needed
information should be found out.
RESEARCH DESIGN
A research design is the specification of methods and procedures for acquiring
the required information. It is the overall operation pattern of the project that
stipulates what information is to be collected from which source and by adopting what
procedures. The most useful method to find out the level of consumer satisfaction is
to interview the common buyer. To be more precise in gathering the data a
questionnaire was supplemented by personal interview. Opinion gathering,
discussion and personal interview were also adopted to collect the data. The
questionnaire covered all relevant aspects for the study and taken into account factors
like literate and ill-literate customers.
SAMPLE STUDY
The student has collected a total sample size of 110 respondents from
Coimbatore city. The respondents were the users of Elgi Ultra Table Top wet
grinders. The addresses of the users of the Elgi Table Top Grinders were collected
from the dealers of Elgi Products.
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PILOT STUDY
The questionnaire framed was pre-tested by a pilot study covering about 10%
of the total respondents. After that certain modifications and inclusions were made in
the questionnaire so as to make the study more effective. The modified questionnaire
was then issued to all the respondents. More questions were asked then and there
during personal interview.
METHOD OF DATA COLLECTION
The student has collected primary data with the help of direct questionnaires.
both open ended and closed ended questions are included in the questionnaire.
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CHAPTER - II
REVIEW OF LITERATURE
International Journal Service And Services And Standards Issue: V013 No
112007 P.No 39-63[1999]
“Micro and macro analysis of service in India to capture the potential market.
In India more than 55 million cars are generating Rs.100000 million per year. Hence
this paper focused on understanding whether the Indian car service industry has
considered servicing as a line of business. To carry analysis of questionnaire survey
was conducted reliable service is most important four wheeler services in India to
capture the market”.
Customer loyalty, a literature review & analysis
Working Group -Marketing Strategies & Consumer Policy
Paper prepared by: Jacques Rossat (CH), Jan Larsen (NO), Drahomir Ruta
(CZ),Manfred Wawrzynosek (PL)
It emerges from market research studies that price is the main driven criteria
of customer’s needs and wants but it would be hasardous to only take into account
this aspect. It clearly arises from a number of studies that customers are very sensible
to the quality of services (reliability, simplicity, guarantees, etc). Therefore, it is
worthwhile for marketers to explore the range of services that can be developed in
view to meet customer’s needs.
Customer satisfaction review ( 1996 ) .
BY Fornell Claes. Johnson Micheal .D, Anderson Eugene
The Hindu , February 10,2010 by Hema swaminathan
High level of satisfaction will produce increased customer loyalty
Anticipation customer need can drive innovation.
Companies fail to realise that if employees are freed from the pressure of bringing
out big ideas, they can actually come up with small but effective innovations which
may give rise to new product or serivce that can change the business for better.
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Customer Satisfaction Fables By Dawn Iacobucci, Kent Grayson and Amy
Ostrom July 15, 1994
Do customers judge service on the core offering (e.g., the plane flight) or on
the supplemental “frills” (e.g., the movie and meal during the flight)? The authors
point out that the concept of customer satisfaction is nothing more than good
marketing, something companies should have been striving for all along.
Avoiding the Customer Satisfaction Rut
By Fredrik Dahlsten
July 15, 2003
Companies must move beyond merely fixing what has “gone wrong” to
developing what will “go right” by refocusing on the actual customer experience.
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CHAPTER III
INTRODUCTION ABOUT THE COMPANY
This project work titled “Customer satisfaction towards Elgi Ultra Table Top
Grinder” has been carried out to assess the level of satisfaction towards consuming
the Elgi Ultra Table Top Grinder. Now a days, wet grinder is an essential domestic
appliance needed in every home. Many companies having introduced many types of
grinders, (conventional, Tilting and Table Top Grinders). Elgi Ultra Ltd., is a pioneer
in introducing Table Top Grinders in our country.
In 1992 the company commenced manufacture of Table Top Grinders and
introduced, two models i.e. Ultra+ and Ultra Pride. Elgi Table Top Grinders are
exported to various countries in the world. Presently there are many competitors in
the market. Elgi Ultra Table Top Grinder is a multipurpose product.. Even though
many brands have come into the market, Elgi Ultra stands No.1 among the
competitors. In the 1990’s, many companies realized the importance of being
customer oriented. Most of the companies designed their products without customer
inputs, only to find they rejected in the market and most of the companies forget the
importance of after sales service, only to loose them to competitors later.
Competition is not between companies but rather the whole net work of customers,
employees, suppliers, retailers etc. Prize goes to the company that has built better net
work. Perhaps the most distinctive professional marketers is the ability to create,
maintain and enhance brands. A brand is essentially a sellers promise to consistently
deliver specific set of features, benefits and services to the buyers. The best brands in
the market are those which convey a guarantee of quality.
The combined annual business of the Company is in excess of Rs.4 billion and
employees close to 2400 people. Elgi Ultra Industries Ltd., an ISO 9001-2000
Company started its operations in the year 1983. It currently manufactures products
for different Industries, which includes consumer durables, textile accessories, Drip
Irrigation System, Plastic extruded components, horns, wipers, Industrial fabrics and
rubber molded components. The annual business is about Rs.410 million and
employees close to 200 people.
Quality policy of the company is to achieve customer satisfaction by fulfilling
the commitments and providing reliable products and services.
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ELGI ULTRA INDUSTRIES LIMITED
Formerly ELGI POLYTEX LIMITED belongs to a reputed ELGI Group of
Companies based at Coimbatore, which had its genesis in the early 1900s. The
beginnings of the group were primarily in the transportation sector and progressively
by virtue of the experience in the automotive business, a further diversification was
made into manufacture of garage and service station equipments With this foundation
the group has now networked into a wide range of products relating to only
automotive products but also other industries .One such venture primarily to cater to
the textile industry is ELGI ULTRA INDUSTRIES LIMITED.
OBJECTIVES OF THE COMPANY
To achieve customer satisfaction by fulfilling its commitments.
To provide reliable products and services.
This will be achieved through
Customer centric focus in all activities.
Continual improvements in system and work methods.
Compliance with statutory requirements.
Ensuring fair and ethical practice.
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3.2 PRODUCTS OF ELGI ULTRA INDUSTRIES LIMITED
INDUSTRIAL PRODUCT DIVISION
ELGI ULTRA INDUSTRIES LTD was incorporated in the year 1981 to
manufacture RAPPTEX type of Loom parts (rubber products reinforced with
fabric) in collaboration with Verseidag Beltech AG, Switzerland.
Through its own internal efforts, ELGI ULTRA INDUSTRIES LTD., developed
Spindle tapes. This was a pioneering effort in the Indian Market and by virtue of
total dedication to service final and sales later, a leadership position was obtained.
This effect is continuing even today.
The Company using their expertise gained in moulding of rubber good reinforced
with fabric, has gone in for supply of Moulded rubber products, etc., all purely
meant for exports to European countries.
The Company during 1989-90 has started Plastic Division to manufacture Nylon
Tubes, PU tubes, LDPE tube, HDPE Pipes, LDPE Semi Embossed film, etc., for
various applications including Pneumatic valves, automobiles and tyre industry.
CONSUMER PRODUCTS (ULTRA) DIVISION
During the year 1994-95, ELGI ULTRA INDUSTRIES LTD., has taken
over the wet grinder business and the grinder is unique in many respects namely,
tabletop model, weighing 17 kgs. With a unique patented conical grinding stones for
grinding batter which keep the batter fresh for more than 2 to 3 days. This is being
marketed in two models namely, 2 ltrs (GRIND +) and 1.25 ltrs. (PRIDE +) with
optional attachments such as Atta Kneader and Coconut Scraper, which receives
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support, not only domestic but also exports. We have also specifically designed
grinders with 110V capacity to meet the needs of the US market.
The Company which was started primarily to cater Textile Industry now caters
the needs of not only the Textile Industry but also include Industrial customers like
paper, tyre engineering and host of other industries besides marketing of Wet
Grinders.
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BRIEF WRITEUP ABOUT THE PRODUCTS MANUFACTURED
SYNTHETIC SPINDLE TAPES
The spindle tapes are made of rubber and fabric. The fabric after being coated
by rubber, is cut into required sizes. The coated fabric so cut into different lengths an
widths are called as spindle tapes. The width of the spindle tapes varies from 10mm to
25mm and the thickness of the fabric is 0.53mm and the rubber thickness is 0.05mm.
It is mainly used in Textile machinery frames to rotate the spindles.
LOOM COMPONENTS:
Loom Components are used as parts of weaving looms. It is made with fabric
coated with rubber solution made with synthetic rubber, solvents and chemicals. The
coated fabric is cut into various sizes and subsequent operations of rolling, winding
and forming follow to attain the particular shape of the end product. The preformed
products are then finally moulded into specific shapes.
HIGH PRESSURE PLASTIC HOSES & TUBES:
Different types of plastic granules are heated in an oven and then fed into an
extruder and are drawn into pipes of various sizes. These pipes on coming out from
the extruder is being subjected to printing the brand name of our Company by a
printing machine and then wound into specific lengths depending upon the customers
requirement. These pipes are used for pneumatic applications, in automobiles and as
main line and subline for conveying water in drip irrigation systems.
DRIP IRRIGATION SYSTEM
This system consists of various equipments linked together and usually
includes:
i. A control station (mesh filters, fertiliser injectors, metering valves, non-
return valves, pressure regulators, pressure gauges, air vents, etc.)
ii. An underground network (distribution lines and branch lines which carry
the water from the control station to the irrigation zone) and :
iii. A surface network (dripper lines incorporation the drippers).
The underground and surface network consists of main line and subline pipes.
The pipes used for mainline and sub mainline are PVC pipes and that of the lateral
pipes (surface network) is LDPE pipes.
We manufacture LDPE pipes and some equipments in our factory but buy
from outside PVC pipes and fittings and some other components. As it is not possible
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to manufacture all the items that go into the Drip Irrigation System as they are of
different types and it may not be viable to manufacture all the items. Value wise
LDPE and PVC pipes constitute approximately 30% and 40% of the total value of the
system.
The entire system is sent from our factory as separate equipments through our