Honda

Study on consumer buying behavior of

Honda CB Unicorn

Submitted by

Mr. Hari.L.Krishna2nd Semester MBA

Department of Business AdministrationCollege of EngineeringThiruvananthapuram

Date: 29/05/2012

Department of Business Administration

College of EngineeringThiruvananthapuram

Under the guidance ofJ.S.Dhanya

Assistant ProfessorDepartment of Business Administration

College of EngineeringThiruvananthapuram

ACKNOWLEDGEMENT

Concentration, dedication, hard work and application are essential

but not the only factor to achieve the desired goal. Those must be

supplemented by the guidance assistance and cooperation of experts to make it

success.

I am extremely grateful to my institute for providing me the

opportunity to undertake this research project in the prestigious field.

With profound pleasure, I extend my extreme sincere sense of gratitude and

indebtedness to Dr. K. Gopalakrishanan Nair for extensive and valuable

guidance that was always available to me ungrudgingly and instantly, which

help me complete my project without difficulty.

I express my deep and sincere gratitude to Mr. Abhilash (Sales

Executive of EVM Honda) for providing me firsthand knowledge. I am

thankful to all of my friends and batch mates for their help in completing this

project work. Finally, I am thankful to my entire family members for their

great support and encouragement.

HARI.L.KRISHNA

Contents1. Title of the Proposed Research Study:.......................................................................4

2. Introduction for the Proposed Study:.........................................................................5

Two Wheeler Auto Mobile’s Introduction.................................................................5

Introduction to Honda Unicorn..................................................................................7

3. Review of Literature:.................................................................................................9

Automotive industry in India...................................................................................12

4. Statement of the Problem:........................................................................................16

5. Objectives:................................................................................................................17

6. Methodology:...........................................................................................................17

Data Analysis and Interpretation..................................................................................20

Findings........................................................................................................................23

Methods To Improve....................................................................................................25

7. Pilot Study:...............................................................................................................26

8. Limitations of the study:..........................................................................................27

9. Significance of the Study:........................................................................................27

Bibliography:................................................................................................................28

1. Title of the Proposed Research Study:

“Study on consumer buying behavior of

Honda CB Unicorn”

2. Introduction for the Proposed Study:

Two Wheeler Auto Mobile’s Introduction

Throughout the centuries man has striven to expand his capabilities through the use

of machine. His ever inventive mind has constantly devised ways to use tool to

increase his abilities to explore the world around him. To go faster, deeper, higher

and further than before was it. Coupled with his need to find new thrills, new

adventures and new modes of transportation, the invention refinement of the

motorcycle seems an inevitable outcome.

It would seem that Michelangelo conceived of the bicycle as early 14th century.

And his drawing shows a remarkable resemblance to he modern day bike. It had

wheels of similar size and even pedals and chain. Albeit made without any

apparent means of steering.

Through never built, it was a remarkably clever design, and early bicycle makers

would have done well to study his concepts, there have, in fact been 4 machines

built based on his drawing, attesting to the viability of his design.

It wasn‘t until 1869 that the first serious attempts were made to produce motor

driven bicycles. These very first were powered by steam, and driven by leather

belts or as in the case of the roper steam velocipede of 1869 by a system of levers

attached to a crank on the driven wheel.

In 1885 the Daimler, Europe this is consider by many as the first true motorcycle

or motor bicycle, as it was the first to employ an internal combustion engine and

was designed from the ground up to be motor powered. Designed by gottlibe

Daimler it was powered by an Otto cycle engine 7 producing about ½ horse

powers. Note this design again employed wooden wheels and Daimler dropped the

twist grip controls from his 1877 design in favor of leavers on the frame.

In 1894, Hildebrand and Wolfmuller, France Worlds produce first motorcycle. It

came with a 1428 cc water cooled four-stroke motor producing 2.5 bhp. And speed

of 25 mph.

In 1898 orient-Aster, USA the American made production motorcycle was this

entry built by the Metz Company, in Waltham, mass, it used an aster engine that

was a French copy of the Metz Company, in Waltham, mass.

Introduction of India Two wheeler’s Company

Bikes or two wheelers in India cater to various needs of the consumers. With the

choice of the Indians improving from bicycles to two wheelers, the Indian two-

wheeler market has seen a significant growth over the years. Now owing a bike has

become a must for most Indians. Even if people own a car they prefer to have a

bike as it is very economical and fuel efficient.

With the growth in the economy the demand for two wheelers is increasing over

the years. It is one of the most dynamic industries today and with the increasing

competition companies are bringing in new products with sophisticated

technologies and innovative features to capture a major pie of the Indian market

and it‘s the consumer who is benefited from it..

With the availability of reduced consumer loans and high disposable income the

Indian two-wheeler industry has perceived an exceptional growth over the past few

years thereby making India the second largest market for two wheelers in the world

only after China.

The motorcycle has now become one most popular mode of transportation among

the Indian middle class families because of it is cost effective, economical and easy

to navigate through the traffic. 8

Moreover, the people have started preferring bikes instead of scooters and mopeds

and today bikes form a major part of the Indian two wheelers.

Indian companies are one of the largest two wheeler manufacturers in the world.

The number one bike manufacturer in the world, Hero Honda is in close

competition with the Indian manufacturer Bajaj India.

The motorcycle industry in India has witnessed a tremendous change in the 90‘s

with the invention of 4 stroke engine which makes the bikes more fuel efficient.

Further companies are trying to bring in more innovations to make the motorcycle

ride more comfortable, safe and user friendly and economical.

In a nut shell the followings factors can be distinguished for the growth of

motorcycle industry in India:

Easy accessibility to cheap consumer loans

The increase in the average income of the family.

The reduction in duties and taxes.

Convenience with regards to commuting as compared to the public transport

system.

Continuous innovations in technology making the bikes economic and fuel-

efficient.

The first choice among youths and teenagers.

Introduction to Honda Unicorn

The Honda Unicorn is a motorcycle developed by Honda Motorcycle & Scooter

India (HMSI) and introduced in 2005. It was the first motorcycle in India to feature

a mono-shock. The motorcycle was built and designed by the Honda R&D team

based in Osaka, Japan. It was internally called the CBF150M. The engine was taken

from CRF150F post 2005 engine. The previous version of CRF150F was the old

CBZ classic. The design of the bike was done keeping in mind Indian road

conditions. Many new features were incorporated, including a two-way air jacket,

diamond frame, and an engine producing a torque of 12.8 Nm at a relatively low

5500 RPM for better fuel economy. The first version of the bike featured spoke

wheels and kick start only.

Honda claimed the Unicorn accelerated from 0 to 60 km/h (0 to 37 mph) in 5

seconds and had a top speed of 101 km/h (63 mph). India Business Insight reported

acceleration of 0 to 60 km/h (0 to 37 mph) in 5.28–5.86 seconds, and a top speed of

114 km/h (71 mph).

Honda released the second version to compete with the Bajaj Pulsar and the TVS

Apache. Changes included alloy wheels, powder coated engine with a polished

head, electric starter, new graphics, clear lens indicator lamps, a trip meter, and a

slightly smaller rear grab rail. Few performance changes included minor changes in

Cylinder head, Overhead valve, ignition remap and a rear sprocket increase of one

tooth, which resulted in increased acceleration at the expense of reduced top speed.

The air filter was changed from a dry paper to oil coated to better suit dusty

conditions and a new airflow screw in carburetor. A limited Moto GP "Unicorn

Grand Prix" edition had the guise of a Repsol Honda RC211V. HMSI sold 720,000

Unicorns in 2007. Prices in 2007 ranged from 50,000 to 59,500 Indian rupees

depending on trim. The Unicorn overtook the Bajaj Pulsar to rank highest in its

category, the premium segment, in the 2005 Motorcycle Total Customer

Satisfaction (MTCS) survey of 7,000 customers conducted by the TNS specialist

division, TNS Automotive.

Even though the brand became popular the company released another product

named CB dazzler 150cc.But it was a huge flop, because the company didn’t

analyze the consumer behavior and in such a manner that Honda had to apply some

de-marketing techniques. The booking for Honda Unicorn proliferated in a daily

basis and the Dazzler became the inventory.

The study aims to find why customers are attracted to the Honda products and the

150cc bike lovers are sticking to CB Unicorn than Dazzler. In general “Study on

consumer buying behavior of Honda CB Unicorn”.

3. Review of Literature: Consumer behaviour is the study of when, why, how, and where people do or do

not buy a product. It blends elements from psychology, sociology, social anthropology

and economics. It attempts to understand the buyer decision making process, both

individually and in groups. It studies characteristics of individual consumers such as

demographics and behavioural variables in an attempt to understand people's wants. It also

tries to assess influences on the consumer from groups such as family, friends, reference

groups, and society in general.

Customer behaviour study is based on consumer buying behaviour, with the customer

playing the three distinct roles of user, payer and buyer. Research has shown that

consumer behavior is difficult to predict, even for experts in the field. Relationship

marketing is an influential asset for customer behaviour analysis as it has a keen interest in

the re-discovery of the true meaning of marketing through the re-affirmation of the

importance of the customer or buyer. A greater importance is also placed on consumer

retention, customer relationship management, personalization, customization and one-to-

one marketing. Social functions can be categorized into social choice and welfare

functions.

Each method for vote counting is assumed as social function but if Arrow’s possibility

theorem is used for a social function, social welfare function is achieved. Some

specifications of the social functions are decisiveness, neutrality, anonymity,

monotonicity, unanimity, homogeneity and weak and strong Pareto optimality. No social

choice function meets these requirements in an ordinal scale simultaneously. The most

important characteristic of a social function is identification of the interactive effect of

alternatives and creating a logical relation with the ranks. Marketing provides services in

order to satisfy customers. With that in mind, the productive system is considered from its

beginning at the production level, to the end of the cycle, the consumer

Information search

Once the consumer has recognized a problem, they search for information on products and

services that can solve that problem. Belch and Belch (2007) explain that consumers

undertake both an internal (memory) and an external search.

Sources of information include:

Personal sources

Commercial sources

Public sources

Personal experience

The relevant internal psychological process that is associated with information search is

perception. Perception is defined as "the process by which an individual receives, selects,

organises, and interprets information to create a meaningful picture of the world".

Consumers' tendency to search for information on goods and services makes it possible

for researchers to forecast the purchasing plans of consumers using brief descriptions of

the products of interest.

The selective perception process

Stage Description

Selective exposure consumers select which promotional messages they will

expose themselves to.

Selective attention consumers select which promotional messages they will

pay attention to.

Selective comprehension consumer interprets messages in line with their

beliefs, attitudes, motives and experiences.

Selective retention consumers remember messages that are more

meaningful or important to them.

The implications of this process help develop an effective promotional strategy, and select

which sources of information are more effective for the brand.

Information evaluation

At this time the consumer compares the brands and products that are in their evoked set.

How can the marketing organization increase the likelihood that their brand is part of the

consumer's evoked set? Consumers evaluate alternatives in terms of the functional and

psychological benefits that they offer. The marketing organization needs to understand

what benefits consumers are seeking and therefore which attributes are most important in

terms of making a decision. It also needs to check other brands of the customer’s

consideration set to prepare the right plan for its own brand.

Purchase decision

Once the alternatives have been evaluated, the consumer is ready to make a purchase

decision. Sometimes purchase intention does not result in an actual purchase. The

marketing organization must facilitate the consumer to act on their purchase intention. The

organization can use a variety of techniques to achieve this. The provision of credit or

payment terms may encourage purchase, or a sales promotion such as the opportunity to

receive a premium or enter a competition may provide an incentive to buy now. The

relevant internal psychological process that is associated with purchase decision is

integration. Once the integration is achieved, the organization can influence the purchase

decisions much more easily.

There are 5 stages of a consumer buying process they are: The problem recognition stage,

meaning the identification of something a consumer needs. The search for information,

which means you search your knowledge bases or external knowledge sources for

information on the product. The possibility of alternative options, meaning whether there

is another better or cheaper product available. The choice to purchase the product and then

finally the actual purchase of the product. This shows the complete process that a

consumer will most likely, whether recognisably or not, go through when they go to buy a

product.

Postpurchase evaluation

The EKB model was further developed by Rice (1993) which suggested there should be a

feedback loop, Foxall (2005) further suggests the importance of the post purchase

evaluation and that the post purchase evaluation is key due to its influences on future

purchase patterns.

Other influences

Consumer behaviour is influenced by internal conditions such as demographics,

psychographics (lifestyle), personality, motivation, knowledge, attitudes, beliefs, and

feelings. Psychological factors include an individual’s motivation, perception, attitude and

belief, while personal factors include income level, personality, age, occupation and

lifestyle.

Behaviour can also be affected by external influences, such as culture, sub-culture,

locality, royalty, ethnicity, family, social class, past experience reference groups, lifestyle,

market mix factors.

Automotive industry in India

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

growing globally. India manufactures over 18 million vehicles (including 2 wheeled and 4

wheeled) and exports more than 2.3 million every year1. It is the world's second largest

manufacturer of motorcycles; there are eight key players in the Indian markets that

produced 13.8 million units in 2010-12.

At present the dominant products of the automobile industry are Two Wheelers with a

market share of over 75% and passenger cars with a market share of about 16%.

Commercial vehicles and three wheelers share about 9% of the market between them. The

industry has attained a turnover of more than USD 35 billion and provides direct and

indirect employment to over 13 million people.

The Indian two-wheeler industry has come a long way since its humble beginning in 1948

when Bajaj Auto started importing and selling Vespa Scooters in India. Since then, the

customer preferences have changed in favour of motorcycles and gearless scooters that

score higher on technology, fuel economy and aesthetic appeal, at the expense of metal-

bodied geared scooters and mopeds. These changes in customer preferences have had an

impact on the fortunes of the players. The erstwhile leaders have either perished or have

significantly lost market share, whereas new leaders have emerged.

With an expanding market and entry of new players over the last few years, the

Indian two wheeler industry is now approaching a stage of maturity. Previously, there

were only a handful of two-wheeler models available in the country. Currently, India is

the second largest producer of two-wheelers in the world. It stands next only to China and

Japan in terms of the number of two wheelers produced and the sales of two-wheelers

respectively. There are many two-wheeler manufacturers in India. The major players in

the 2-wheeler industry are HeroHonda, Bajaj Auto Ltd (Bajaj Auto), TVS Motor

Company Ltd (TVS) and Honda

Motorcycle & Scooter India, Private Limited (HMSI) accounting for over 93% of the sale

in the domestic two wheeler market. It is noteworthy that motorbikes segment’s share is

just below 80% of the total 2W market in India which is dominated by Hero Honda with a

market share of 59%. Scooter segment’s market share is about 18% which is led by Honda

Motorcycle & Scooter India, Private Limited (HMSI) with a market share of

43%.Threefourth of the total exports in the two wheeler automobile industry are made in

the motorcycle segment. Exports are made mainly to South East Asian and SAARC

nations.

The level of technology change in the Motor vehicle Industry has been high but, the rate

of change in technology has been medium. Investment in the technology by the producers

has been high. However, further investment in new technologies will help the players to

be more competitive. Currently, India’s increasing per capita disposable income which is

expected to rise by 106% by 2015 and growth in exports is playing a major role in the rise

and competitiveness of the industry.

Consumers are very important for the survival of the Motor Vehicle manufacturing

industry. In 2008-09, customer sentiment dropped, which burned on the augmentation in

demand of cars. The key to success in the industry is to improve labour productivity,

labour flexibility, and capital efficiency. Having quality manpower, infrastructure

improvements, and raw material availability also play a major role. Access to latest and

most efficient technology and techniques will bring competitive advantage to the major

players. Utilising manufacturing plants to optimum level and understanding implications

from the government policies are the essentials in the Automotive Industry of India.

Honda

Honda Motor Company, Ltd. is a Japanese public multinational corporation primarily

known as a manufacturer of automobiles and motorcycles.

Honda has been the world's largest motorcycle manufacturer since 1959, as well as the

world's largest manufacturer of internal combustion engines measured by volume,

producing more than 14 million internal combustion engines each year. Honda surpassed

Nissan in 2001 to become the second-largest Japanese automobile manufacturer. As of

August 2008, Honda surpassed Chrysler as the fourth largest automobile manufacturer in

the United States.Honda was the seventh largest automobile manufacturer in the world

behind Toyota, General Motors, Volkswagen AG, Hyundai Motor Group, Ford, and

Nissan in 2010.

Honda was the first Japanese automobile manufacturer to release a dedicated luxury

brand, Acura, in 1986. Aside from their core automobile and motorcycle businesses,

Honda also manufactures garden equipment, marine engines, personal watercraft and

power generators, amongst others. Since 1986, Honda has been involved with artificial

intelligence/robotics research and released their ASIMO robot in 2000. They have also

ventured into aerospace with the establishment of GE Honda Aero Engines in 2004 and

the Honda HA-420 HondaJet, scheduled to be released in 2012. Honda spends about 5%

of its revenues into R&D.

Motorcycles (11.6% of FY2010 Revenues)

Honda's motorcycle business includes motorcycles, all-terrain vehicles (ATVs) and

personal watercraft (PWC). Honda produces a range of motorcycles, consisting of sports

(including trial and moto-cross racing), business and commuter models with engines

ranging from 50 cubic centimeters to 1800 cubic centimeters in cylinder displacement.

Honda's motorcycles are produced at two sites in Japan, Hamamatsu and Kumamoto, as

well as through subsidiaries in the United States, Mexico Italy, Spain, Brazil, Thailand,

Vietnam, the Philippines and India.

These improvements were driven exclusively by growth in emerging markets, which

account for about 90% of motorcycle sales, even as revenues and profits stagnating or

decreasing in Europe, Japan, and North America. This was especially true in Asia, where

motorcycles are frequently a primary means of transportation. Honda's interaction with

asian markets such as China and Indosnesia is unique, as Honda has a local company

produce and sell its motorcycle designs, in exchange for a payment for each motorcycle

sold.

The Motorcycle Business is crucial to the company's future growth in emerging markets

where many cannot afford cars. As the wealth of these countries increases, so does the

people's appetite for cars and other luxury items. The company's motorcycle sales help

Honda establish its name brand in developing countries, paving the way for additional car

sales in the medium to long run as these economies accumulate wealth.

Honda CB Unicorn

CB Unicorn is powered with Honda 4-stroke, 150cc engine and incorporates many

cutting-edge technologies developed by Honda’s global R&D team. It sets new

benchmark in the upper majority motorcycle segment in India with its swift acceleration,

superior mileage, international styling, riding comfort and convenience.

CB Unicorn is engineered and styled for the taste of the younger generation. With the 4-

stroke, 150cc engine delivering a whooping 13.3 bhp, CB Unicorn is the fastest

motorcycle in India racing from 0 to 60 kms* per hour in a mere 5 seconds. It has a

distinctive sporty and macho design with a racy front face, masculine fuel tank with knee

grip and a sleek rear cowl.

CB Unicorn offers perfect balance of pickup and mileage, delivering 60 kmpl through its

famed 4-stroke Honda engine, cutting edge technologies like Multi-Mapping CDI,

Tumble Flow Combustion Chamber, Roller Rocker arm, and a Classy Aerodynamic

Body.

4. Statement of the Problem:

Honda did several changes to their flagship product Unicorn. They modified

the bike and it became a challenge to the other 150cc bikes in India. But after the

victory of this bike Honda also launched another 150cc bike in that category, which

is Honda CB Dazzler. But the main problem arose here. Customers rejected that

bike and they stuck to the Unicorn. Dazzler became a flop. So Honda re-thought to

pull dazzler from the market and produce more Unicorn. But the unexpected

disaster which caused by the Tsunami affected the production of the Unicorn which

made a delay in delivering the product to customers. At this time some of the other

companies made their profit high. Namely Mahindra, Hero, Yamaha and Bajaj, they

sold lots of bike in this time. But when unicorn re-launched as Honda CB Unicorn,

again the customers slanted to this bike. So study is intended to seek consumer

behavior on Unicorn and the effects of this on other bike companies and the

other products of Honda itself.

5. Objectives:

To find why consumers are stick to Honda Unicorn than other bikes in

that category.

How the consumer taste towards Honda affects other bike companies.

How the consumer preference towards Unicorn affects other Honda

products.

How the pricing and marketing enrich the selling of Unicorn.

How the competition which created by Honda, affected the bike market.

6. Methodology:

Nature of Data: Primary Data & Secondary Data

Target Audience: Consumers of Unicorn and other bikes belong to same category

in Trivandrum.

Area of Study: Dealers of Honda namely Marikar Honda, EVM Honda

Data Collection & Proposed Tools: Structured Questionnaire, Interviews and

Discussions, Perceptual Mapping.

Research Design: Descriptive Research

Research design

A research design is the detailed blue print used to guide a research study towards

its objectives. It helps to collect, measure and analysis of data.

The present study seeks to find out the consumers attitude towards buying of bike.

The study also aims at findings out the drawbacks of the marketing set up of Honda

Dazzler. So this makes the study a descriptive one.

Type of Research

The study undertaken is of ―Descriptive Research‖ in nature.

Nature of Research

The study is ―quantitative‖ in nature.

It is structured, standardized, question based interview.

Types of Question

The types of question asked during the study are ―Straight forward and limited

probing‖.

Total number of questions: 12

Total number of close ended questions: 10

Total number of open ended questions: 2

Sources of Data

Secondary Source

In this study the secondary data is collected from the following sources.

1. Company‘s website

2. Reports of Company

3. Discussion with marketing and sales staff

4. Books on Marketing and Research methodology

Primary Source

The Primary source of collecting data for research is:

Questionnaire filled by the customers of EVM Honda and Marikar Honda.

Primary Data of Collection

Research Technique

In this study the ―survey method‖ is used as a research technique. This method

helps to obtain right information from respondents.

Contact Method

In this study ―Personal Exit interview‖ it is taken as a tool for the contact method.

In which the personal interview is conducted with customers of Westside.

Sampling plan

Sampling is a process of obtaining. The information about the entire population by

examine a part of it .The effectiveness of the research depends on the sample size

selected for the survey purpose.

(A) Population:-

The survey was conducted in Trivandrum city.

(B)Sampling Unit:-

It means ―Who is to be surveyed‖. Here target population is decided and it is who

are interested to purchase and existing customers of the Bike‖ and sampling frame

is developed so that everyone in the target population has known chance of being

sampled. So the survey is conducted particularly in Trivandrum city.

(C)Sample size:-

For the purpose of proper survey, there is need of perfect research instruments to

find out sample size for more accurate result about buying behavior of bike. The

sample size is 100 respondents.

(D) Sample Element

The sample element of research is customer of EVM Honda.

(E) Sample Extent

The sample extent is limited to Thiruvananthapuram city.

(F) Sample Duration

The sample duration between April 2012 and May 2012

(G) Sampling Procedure

The sampling procedure followed is convenience.

Research Instrument

In this study the research instrument is ―Questionnaire‖. It consists of set of

question presented to respondents.

The questionnaire is structured & combinations of various close and open ended

questions.

Close ended question already have the possible answers and the open ended

question allow the respondents to answer in their own word.

Data Analysis and Interpretation

RATING OF HONDA UNICORN FEATURES

6 5 4 3 2 1 Attributes

Excellent

Very Good

Good Average

Poor Very Poor

Total Total score

Price 30 20 18 16 10 06 100 426 Less maintenance

18 11 17 30 13 11 100 358

Style 21 18 19 10 11 21 100 355 Durability

10 17 16 24 21 12 100 335

Mileage

24 19 14 17 09 17 100 381

Easy Driving

20 12 21 23 10 14 100 367

Brand Reputation

17 19 14 21 17 12 100 362

Color 28 19 18 13 10 12 100 406 Pick up 19 22 15 20 14 10 100 382 Total 187 157 152 174 115 115 900 3370

Attributes

Pric

e

Less m

ainten

ance

Style

Durabilit

y

Mileag

e

Easy

Driving

Brand Rep

utation

Color

Pick up

0

5

10

15

20

25

30

35

Series16Series35Series54Series7Series83Series102

Attributes Weight age Price 426 Less maintenance

358

Style 355 Durability 335 Mileage 381 Easy Driving 367 Brand Reputation

362

Color 406 Pick up 382

Total 3370

Price

Less m

ainten

ance

Style

Durabilit

y

Mileag

e

Easy

Driving

Brand Rep

utation

Color

Pick up

0

50

100

150

200

250

300

350

400

450

Weight age Series2Series3Series4Series5Series6

Honda Dazzler analysis

Attributes 40

Price 50

Less maintenance 55

Style 35

Durability 40

Mileage 40

Easy driving 65

Brand reputation 70

Color 60

Price

Less m

ainten

ance

Style

Durabilit

y

Mileag

e

Easy

driving

Brand re

putation

Color 0

10

20

30

40

50

60

70

80

Honda Dazzler

Interpretation:From the analysis it is clear that the customers are not satisfied by the tyle of the dazzler and they only value the brand and engine specification. They also marked that the durability of the bike is also average.

Findings:

Customers are looking forward for a bike which will give mileage as well

as moderate power. The customers attracted to Honda because of their

brand value which was created by Honda Unicorn. The First Honda two

wheeler in India was Unicorn and it became a massive hit of the year.

Honda changed some features of the bike and released their second

edition which also was sold at a higher rate.

Honda then unveiled their sporty look unicorn in the year 2007

with monoshock and alloy wheels. They targeted the Youth .Then there

was a competition in the market between pulsar and Unicorn.

Bajaj Pulsar was more stylish than the Unicorn and Youth attracted

to Pulsar than Unicorn. But gradually customer’s preference turned

towards Unicorn because of its durability and refinement.

Honda got a huge profit from Unicorn as well as from Honda

active which was launched as a scooter. The massive victory of Unicorn

forced Honda to launch another bike named Honda Dazzler of 150 cc.

But Dazzler was a huge flop the main reasons behind that were

1. The bike looks like Honda’s another 125 model bike,Honda CB

twister

2. The unicorn was classic in look and dazzler look like a sporty

bike which is commonly used for off road driving.

3. The price of the bike is more than unicorn but it offers same

features like Unicorn.

4. The height of the bike is less than unicorn.

5. The failure of marketing strategy.

During the tsunami disaster, Honda faced a huge problem in

production of bikes. Then they decided to sell dazzler which was became

inventory at that time. So they deliberately made a delay in the delivery

of Unicorn and tried to sell Dazzler.

But customers are stuck to Unicorn and they totally rejected the

dazzler.

Methods To Improve:The marketing strategy of Dazzler and the trust which created by Unicorn

were the key things which affected the selling of Honda Dazzler.

The ways to improve the sale are:

1. Redesign the dazzler from the old one, because it looks like Honda

twister.

2. Make marketing strategy based on performance.

3. Keep an eye on mileage because the petrol price hikes in India.

4. Try to design a bike which is better than Unicorn in every aspect.

5. Focus on Indian middle class.

7. Pilot Study:

The initial questionnaire would be administered to an appropriate small portion

of the universe and an exploratory study would be conducted. The Technique used

would be survey and direct interview of the consumers of Honda Unicorn and

other 150cc bikes. Thus after obtaining an initial insight into the subject, an in-

depth study would be conducted through Structured Questionnaire which will

provide a much more reliable and accurate findings after the Analysis and

Interpretation. Periodic interviews and discussions will be arranged with the target

audience and techniques like Laddering, Hidden Issue Analysis and Unobtrusive

measures would be deployed to gather accurate data and further process the data.

8. Limitations of the study: The lack of written books and the scarcity of written article. There

is a chance that the consumers of other bikes in the 150cc category

will boast and it will make slight changes in their opinion.

Though Judgment sampling is the sampling technique proposed to

be used for the purpose of research the sample may not include

respondents from different consumers from different areas in the

exact proportion. Covering only a small area pertaining to the

customers but the market of Honda in the country is so large.

Research work was carried out in Trivandrum city of Kerala only

the finding may not be applicable to the other parts of the country

because of social and cultural differences.

Sample was collected using connivance-sampling techniques. As

such result may not give an exact representation of the population.

Shortage of time is also reason for incomprehensiveness.

The views of the people are biased therefore it may not be

reflecting true picture.

9. Significance of the Study:

Giving an oversight about the 150cc bike Industry.

The history of Honda bikes in India should be revealed.

The marketing techniques of the company can be familiarized.

The defects occurred in marketing of Honda, can figured out.

Bibliography:

1. Top gear Magazine edition Oct 2010, April 2011.

2. Fast track Magazine edition December 2011.

1. www.automobileindia.com

2. www.bestlife.org

3. www.bikeadvice.in

4. www.honda2wheelersindia.com

5. www.topgear.com

Questionnaire

CUSTOMER PERSONAL INFORMATION:-

A. Name: - ___________________________________________ B. Address:-___________________________________________ ___________________________________________ ___________________________________________ C. Contact No.:-__________________________________________ D. Gender: Male / Female

E. Age (in year):-

18 to 20 ( ) 21 to 25 ( ) 26 to 30 ( ) 31 to 35 ( ) 36 to 40 ( ) 41 & above ( )

F. Occupation:-

Agriculture ( ) Businessman ( ) Students ( ) Professional ( ) Others ( ) G. monthly income:-

5000 ( ) 5000-10,000 ( ) 10,000-15,000 ( ) 15,000-20,000 ( ) 20,000 Above ( )

A STUDY ON CUSTOMER BEHAVIOUR AND SATISFACTION LEVEL FOR HERO HONDA MOTORCYCLE. 1 Do you have own Honda Unicorn?

(A) Yes ( ). (B) No ( ) If No then,

2 Which company bike do you have at present?

Company ____________________

3 Which medium do you refer to purchasing Honda Unicorn?

(A) News paper ( )(B) TV advertisement ( ) (C) Friends ( ) (D) others ( )

4 Do you think advertisements create more awareness of showroom and Honda Unicorn?

(A) Yes (B) NO (C) Can‘t Say

5 Who is decision maker for purchasing Honda Unicorn in your family?

(A) Father ( ) (B) Mother ( ) (C) Self ( ) (D) other ( )

6 How do you purchase Honda Unicorn?

(A) By cash ( ) (B) By Loan ( )

7 Give points to the given bellow features in Honda Unicorn? Attributes 6 5 4 3 2 1 Price Less maintenance Style Durability Mileage Easy driving Brand reputation Color

8.Give rating the following attribute of show room

Attributes Excellent Very Good

Good Average Poor

Availability Knowledge of Sales person After sales response Services infrastructure

9. Give the rank of given bellow features which consider at the time of purchasing bikes on priority base.

Attributes 1st 2nd 3rd 4th 5th Mileage

Available Price After service Pick up

10.What is opinion about Honda Dazzler?

(A)Excellent

(B)Good

(C)Satisfactory

(D)Poor

(E)Very Poor

11. Give points to the given bellow features in Honda Dazzler?

Attributes 6 5 4 3 2 1 Price Less maintenance Style Durability Mileage Easy driving Brand reputation Color

12.Do you think Honda Dazzler is a flop?

(A)Strongly disagree

(B)Disagree

(C)Agree

(D)Strongly agree

(E)No opinion

13.Give your suggestion if any: