Project ReportOn DETERMINATION OF CUSTOMER SATISFACTION LEVEL Prepared forADZEE ADVERTISEMENT AND MARKETING Submitted to ISCS, Pune In partial fulfillment of the requirement of PGP Program Submitted byAVANI VERMA PGP 2009-11 INDIRA SCHOOL OF C AREER STUDIES
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The pie char t depict the breakup of the categor ies of the companies being surveyed. Due
care has been taken to cover the entire segment according to their due weight age in thecompany¶s revenue. It is self evident from the above char t that ma jor emphasishas been
given to the IT/ITES and manufactur ing segment with 48% & 37% respectively .the reason behind it was that the ma jor ity of the clients served by adzee belong to these categor ies and
the ma jor share of company¶s revenue comes from these clients. Consulting, pharmaceutical
manufactur ing companies were also taken in consideration dur ing the survey though their
weight age has been less with 4%,4%,&7% respectively .
As the pro ject was about the determination of the satisfaction level of the client thecompanies approached were already availing the services of Adzee pass. The ma jor
emphasis was given on those companies which are not using both the categor ies of vouchers and f ind the reason behind that. The clients using both the vouchers were also
interviewed so as to determine their satisfaction level and the assess problems faced by
them while using the vouchers. The clients surveyed were the result of the ser ious
discussion with the area sales manager and the K AMs in the pune off ice so that the
survey should be effective. The numbers of the meal voucher client surveyed were more
comparatively, as the prospect for cross selling was also a ma jor focus of this pro ject.
Clients have stopped using the vouchers, though the number is very few .thereasons are
discussed later in the analysis.
As compare to ITs Manufactur ing people still availing the adzee services. because in
manufactur ing not a single company has stopped adzee services.
AS the title of the project suggests that the satisfaction level of the client is to bedetermined, this conical chart shows the number of clients satisfied or dissatisfied with
the services of the service provider. The number of client satisfied is 25 and theunsatisfied client¶s counts to 13 in IT and the number of client satisfied is 27 and the
unsatisfied client¶s counts to 20 in Manufacturing which is the major concern. The
probable reason for dissatisfaction will be shown in the following chart. This chart is the
very first insight into the satisfied and the unsatisfied lot of the Adzee¶s clients. Though
the majority of the clients are satisfied but the unsatisfied lot cannot be ignored as it can
have a major impact on the sales of the company in the future. In the following charts the
satisfaction level of the client and the major reasons for dissatisfaction are highlighted.
If we see the ratio IT clients are more satisfied than Manufacturing clients.
This char t shows the degree of the satisfaction of the satisf ied lot. As the number of theclients highly satisf ied with the services of the Adzee are38 out of 62 it shows the
eff iciency of the organization. The satisf ied and the ok type of the clients are to be givenenough attention so as to move them into the highly satisf ied zone.
This bar char t points out the reason of the dissatisfaction of the clients along with thenumber of clients dissatisf ied due to that par ticular reason. The number of the clients
dissatisf ied with delivery is 16 i.e.50%of the total lot of the 32 unsatisf ied clients. That is
a huge number of clients as any organization; specif ically service organization cannot afford such an unsatisf ied lot. If this sample is considered to be a true picture of the facts,then Adzee is set to face a tough time in the near future. Processing is a very impor tant P
among the7Ps of the service marketing. It plays a ma jor role in the success of any serviceorganization. Clients antici pate prompt delivery from the service provider in order to
meet their regular needs. A delay in the delivery of the vouchers can disturb their
work ing mechanism. Due attention is needed on the par t of the company to improve on
its delivery alone is not the cause of dissatisfaction of the clients, problem with the
aff iliate network and the other services is a ma jor cause.
new prospects. As it is obvious that only satisfied customers can give such a certification,it is also evident from the above chart. Only 56% of the clients approached agreed to give
such testimonial, whereas 11% were not sure about it. The response from 30%was a clear no, and 3% asked for some improvements in order to give such certification.
It is also clearly indicated that client from IT sector is agreed to give such
testimonial but client from manufacturing is not showing any interest.
R eferral plays a ma jor in any growing business today. R elationshi p marketing is veryimpor tant for service organizations. The more the number of satisf ied clients the more
will be the chances of business from referrals. As in case of Adzee the satisfaction level was not that signif icant and as a pro ject trainee it wasn¶t possi ble to get many references.
There were only 6 cases of references in a total sample of 100.
This char t indicates the prospects of cross selling of voucher to the existing clients. Only
those clients who are using M.V currently could have opted to use G.V. As the clientsusing M.V currently could have opted to use G.V.as the clients using M.V or both the
vouchers were approached as per the guidance of the sales team in pune branch, thenumber of clients agreeing to the proposal were 12 out of 64,i.e.19% approximately. 68%
were not interested in using G.V due to var ious reasons, which are discussed in theanalysis.
CA N YOU GIVE U THE A NNUAL R EPOR T OF YOUR COMPA NY?
This pie diagram indicates the percentage of clients agreeing or disagreeing to provide the
copy of their respective annual repor ts. As it was a very conf identialdocument most of the
clients refrained from doing so. 58% of the clients denied to provide the repor t as it is
considered as a very impor tant document. 22% of them told to access it from the website as it
is available to the public. Whereas 20% of the personnel approached didn¶t have the author ityto give such a document, so they asked Adzee to contact the concerned person directly.
Clients from IT sector trying to keep data more conf idential as compare to client from
The objective of this report is to throw a light on the problems faced by the unsatisfied Adzeeclients. Due attention has been paid to bring to the notice of Adzee the shortcomings in their
service level and Awareness. This analysis is a presentation of the complete picture of Adzee
services as perceived by the clients.
A survey has been carried out to check the service level of Adzee. During the survey both the
side of the mirror came into picture. This analysis is the comprehensive report of such
findings.
Adzee has got in its bag the mix of big and small clients which makes it the market
penetration. At the same time it faces a tough competition from other Advertisement. Though
Adzee Meal voucher market is good but the service voucher market is not yet fully exploited.
No one can deny the fact that there is a need for both the vouchers in every big organization,as it simplifies the administrative task. The solution lies in how the sales team is able to make
the prospect realize their needs. They need to explain the D.M.U. that how they can use thegift vouchers as a motivational tool by allowing the employees to save a considerable amount
on tax. Meal voucher has gained much importance, but the service voucher market needs to be fully tapped as they add considerably to the profit of the organization.
Meal voucher are being used by almost all the leading organization in the city as it a tax
saving tool. Gift vouchers also work on the same basis but users are less willing to use these
vouchers. The most apparent reason is that 80% of employees in any organization are
bachelors and they are happy with the cash in hand. They don¶t mind parting with Rs. 1500
as tax. Probably the exemption limit on Gift vouchers is too less to tempt them to go for it .
At the time of probing the sales team need to analyze the needs of the client and offer them
the tailor made solution. Gift vouchers can be probably used for all the reasons as an
organization need to give gifts to its employees. Almost every organization give gifts to its
employees as festive gifting, rewards & recognitions etc. They are even using vouchers from
other store too, and then there is no reason why they should not use Adzee vouchers. On
being approached about the probable reason for not using Adzee¶s vouchers there were two
main causes discovered. The most prominent cause is that the decision makers themselves are
not aware of the concept of gift vouchers. This is probably due to the fact that the probing
was not effective or the changes in the D.M.U are not tracked. In many cases the newdecision makers are willing to use the gift vouchers as they find the concept interesting. As
such there can be many more cases and its very easy to approach the existing Meal voucher clients for gift voucher i.e. cross selling .many clients those who used the these Gift voucher
initially have stopped using the voucher because of the initial period in the recent past.
Those who stopped availing the services due to this problem should be approached and itshould be made sure that they start using it again. Another significant reason for the clients
not using adzee vouchers is the lack of awareness. They reason that Adzee cannot meet their
urgent needs per, say in case of a get-together or a party. Adzee cannot make these vouchers
available as they are not stocked at branch level, so they have to opt for other vouchers.
The most detrimental factor in the success of any big organization is the average age of the
employees, specifically in this service organization, in Adzee the average age of the
employees, in approximately 35 which make it even more dynamic in tackling the
competition. The sales team at Pune is a mix of youth and experience which gives it upper edge over competitor. The clients in this industry can be nasty at times and can put forward
several unpractical demands. These people are needed to be tackled with a calm head andutmost ease which is quite possible for the young talent.
The young workforce keeps the environment vibrant and exuberating. This is quite necessary
as it eases the work pressure and everyone enjoys their work. A thorough professionalism isalso expected from such a lot as they are used to this culture. Targets are never the boundary
for youth. Exceeding the target and excel in their work, is what should be their attitude. A
regular dose of motivation and sense of belongingness to company keeps them going.
Adzee is lacking on the grounds of the quality services which is expected of an MNC of its
stature. Due to this reason it has lost many big clients e.g. PSI Data systems. It has also being
experiencing a sudden decline in sales figure constantly due to stoppage in the use of the
voucher by some customers. The reason attributed to this are many; delay in order processing
and delivery of vouchers; non-acceptance of vouchers with their affiliates, due to delay in
payment by Adzee ,etc.
Several customer complaints of the non-professional attitude shown by Adzee. There has
been no contract. They complaints that the only thing adzee is concerned are getting thecheque. Service marketing is all about the 3ps which makes it different from the ordinary i.e.
physical evidence, processing, person. Adzee has been lacking in all these areas. Marketing isnot just about selling the service and sit back and relax, it is to ensure that the consumer is
satisfied and continue using it Adzee is not a monopoly and the clients always have afreedom to opt for competitor¶s service, Working for Adzee was really a learning experience
as I got to understand the diverse customers with different wants. Some of which are really
needed to be emphasized on whereas others are due to the fact that customers are just like
children and they needed to be told with love that their wants are not practical. On this
platform I have segregated the problem into controllable and uncontrollable heads.
PROBLEM AREAS:
CONTROLLABLE:1. Problem with the delivery and order processing.
2. Spread of affiliate network
3. Printing of vouchers.
4. ( redit problem
5. Direct delivery of vouchers to different branches of a/cs.
) 0 ( 1 0
2
3 1 4 4
5
B 4 6
( hange problem
LI ITATION LIMITATION OF THE STUDY
A managerial decision or executive action is concerned with human beings in one way or the
other. Marketing research is also related to human beings who are not beyond changes.
Hence the validity of the data collected, conclusion, observation and suggestion are bound
to undergo changes. This is one of the most prominent limitations of this research.
Some of the major limitations faced by me during this pro ject are as f ollows:
Its high time now and measures are needed to be taken. The main
cause of the delay is the load of work at a particular time at the
Head Office. The clients are not at all pleased with the fact that
needs to issue the cheque in advance f or the order to be processed.
The reason f or this is the signatory are usually out of town at the
end of the month and apart f rom that they want the cheque to be
issued at the time delivery of vouchers itself .As our competitor is
providing this facility to some distinguish clients, we also need to
take some concrete steps on this f ront.
It is suggested that we can print 70% vouchers in advance and print the remaining order
once we receive the cheque . this will make it possible to deliver the order within 3 working
days. The reason behind this point is that the attrition rate in any industry is not to the
extent of 30%. On the other hand ITES/IT industry is expected to grow by 54%.we can do this
even by analyzing the past trends. So there is no reason why we cannot do this and gain the
confidence of our loyal clients. Taking the cheque in advance is acceptable but that should
also be backed by the delivery within the stipulated time. Moreover the clients should be
regularly updated on the status of the order specifically if it is delayed, so that sudden
conf usion doest arises.
Delivery sometimes plays a major role in the same prospect is being approached by both the
companies. As action speaks louder than words, our services should be whatever talking is
required. Operation is the backbone of any service organization. It should be strong enough
so that such problems can be eradicated.
Adzee has got a very strong brand image of its own and enough care should be taken that it is
not affected by a small issue as delivery.Spread of affiliate network: This is actually a problem which has arisen because of a the probable communication gap between the clients and our sales team. It can be again
hazardous to the image of the company and the competitor can take the advantage. It is just asimple CRM exercise in which our executives should regularly contact the clients and expand
our affiliate network as per need of our clients.A huge affiliate network obviously gives a boost to our profitability with the increase in the
customer base. It can also be a differential advantage when it comes to the selection of company by a client.
Printing of vouchers: This problem can be easily taken care of by our printing division inMumbai, by just rechecking the vouchers after the end of the final printing. If in case any
such incident happens then these vouchers should be immediately exchanged as it doesn¶t
gives a good picture of the company to the users as well as the affiliates at which they are presented. Apart from this several clients complaints of getting fewer vouchers in some
booklets, which is again a fault on our part and enough care, should be taken as to deliver the
right number of vouchers.
Credit Problem: It an agreeable fact that Adzee cannot give the vouchers without getting the
cheque as the delay in payment can disturb the whole mechanism. Though Adzee is giving
credit facility to some clients, but there are some clients who are not pleased with the fact that
they have to give cheque so much in advance to Adzee. They want the vouchers to be
delivered at the time of issue of cheque and according to the user base, say 500; this freedom
should be given to some clients. The recent e.g. Of the similar case in Feisty who wants 1week credit and backs it with the reason that they have a strong user base.
It may not be possible for Adzee to give a week¶s credit but it can definitely work on the dealof allowing such clients to issue the cheque on delivery. Ignoring such demands may even
result in the loss of business in the near future. Therefore enough care should be taken in
dealing with such clients.
Direct delivery of vouchers to the different branches of our clients: As we are a service provider, we have to meet all the possible as far as Adzee is concerned. This will not only
simplify the task of the clients but will also give Adzee an advantage over Accor.
This can be done by charging some extra service charge from the clients so that Adzee may
also not lose. It is possible as some clients who have demanded such facility are ready to pay
the logistics incurred in the process.
Suggestions & Recommendations: Earlier in the report suggestions for some of the
burgeoning problems have already been mentioned. Moreover some important strategies are
discussed below which can be beneficial to the organization in the long term.
As it is quite evident from the past sales figures that Prato¶s principle is applicable to Adzee
business also. As 80% of the business comes from 20% of the major clients, we cannot ignore
the remaining 80% as we cannot sacrifice our market share. These 80% of our clients allow
us to capture wider range of market. The very important fact that is needed to be mentioned
here is that though its right that 20 users company doesn¶t adds considerably to the profit but
it surely gives a chance to get hold of the business that this organization can offer to Adzee in
the near future. This is plainly due to the fact that every organization starts with a merge work
force but grows with the time.
This is being particularly said in context of the IT/ITES companies which are growing with
54% of annual growth. Though it¶s right that we cannot spend much of our time and effortson other hand they can¶t be altogether ignored.
Next is the organizational growth, which is definitely a booster to the business Organizational
growth, can also be achieved different terms. To be more precise an average increase in the booklet value per user can also be a useful tactic in achieving the organizational growth. The
clients can agree to this if the point of growing inflation rate is put strongly before them.
Specifically the organization with an annual an annual income of Rs. 2 lacs is getting meal
vouchers worth Rs. 850 per month, the decision maker can be asked to review his decision.
An increase of Rs. 100 per booklet in a 200 user company can give Adzee an increased
business of Rs. 20000. There are many clients where this strategy can be a fruitful one.
Pune/Hinjewadi is a hub of IT/ITES companies and every month a few are added to the list.
A complete track of such companies should be kept by the branch. These companies should
be kept by the branch. These companies can be a target for both the forms of the vouchers as
they will set up their whole system and can be trapped when they are new. To be more
precise they can be approached and made aware of the potential tax saving tools; food and
gift vouchers. It is comparatively easier to make them incorporate. MV and GV as a part of salary structure at the initial stage rather than later one. Moreover these companies have a
huge potential as they grow at a rapid pace.The organization has not yet taken enough measures to promote awareness at the user¶s level.
As it was evident from the survey that the users are not fully aware of the probable benefits of vouchers. This can be done at the time of signing a contract by making a presentation in front
of the whole staff instead of restricting it to only the D.M.U., who further are not able toeducate the employees on the whole aspect. Enough and more gift schemes should be carried
out to increase the awareness level and hence the usage.