A PROJECT REPORT ON “SATISFACTION OF SF-SONIC BATTERIES WITH RESPECT TO MARKET RETAIL OUTLETS GARAGES AND MULTIBRAND OUTLETS IN THE AREA OF HOWRAH, HOOGLY, EAST AND WEST MIDNAPUR” Under the guidance of, PROF. S.K.NANDA Submitted by, BIPLAB KUMAR DIKSHIT REG. NO.-1206247265 1 | Page
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A
PROJECT REPORT
ON
“SATISFACTION OF SF-SONIC BATTERIES WITH RESPECT TO MARKET RETAIL OUTLETS
GARAGES AND MULTIBRAND OUTLETS IN THE AREA OF HOWRAH, HOOGLY, EAST AND WEST
MIDNAPUR”
Under the guidance of,
PROF. S.K.NANDA Submitted by,
BIPLAB KUMAR DIKSHIT
REG. NO.-1206247265
MBA 2012-14
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Certificate from the faculty guide
This is to certify that the project work entitled “Satisfaction of SF-Sonic battery with respect to market retail outlets, garages and multibrand outlets” is a piece of work done by Biplab Kumar Dikshit( MBA 2012-14), student of Regional College of Management, Bhubaneswar under mu guidance and supervision for the partial fulfilment of the course Master in Business Administration. To the best of my knowledge and belief, the thesis embodies the work of the candidate himself and has been duly completed. Simultaneously, the thesis fulfils the requirement of the rules and regulation related to summer institute and I am assured that the project is up to the standard both in respect to the contents and language for being referred to the examiner.
Date: Signature of the Faculty guide
(prof. S.K. Nanda)
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Declaration
I do hereby declare that the work embodied in this project entitled “Satisfaction of SF-
Sonic battery with respect to market retail outlets, garages and multibrand outlets” carried out by me under the supervision of Regional Sales Manager of eastern region and Mr. Jayanta Sinha( Area Manager of West Bengal) and Prof. S.K. Nanda.
An attempt has been made by me to provide all relevant and important details regarding the topic to support the theoretical edifice with concrete research evidence. This will helpful to clean the fog surrounding the various aspects of the topic. I hope this project will be beneficial for the institute.
Date: Signature of the Student
(Biplab Kumar Dikshit)
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Certificate from the company
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ACKNOWLEDGEMENT
The satiation and euphoria that accompany the successful completion of the project would be incomplete without the mention of the people who made it possible. I would like to take the opportunity to thank and express my deep sense of gratitude to my corporate mentor Mr. Suven Banerjee and my faculty mentor Mr. Sushant K. Nanda. I am greatly indebted to both of them for providing their valuable guidance at all stages of the study, their advice, constructive suggestions, positive and supportive attitude and continuous encouragement, without which it would have not been possible to complete the project. I would also like to thank Mr. Jayanta Sinha (Area Manager) who in spite of busy schedule has co-operated with me continuously and indeed, his valuable contribution and guidance have been certainly indispensable for my project work. I am thankful to Mr. Binod Gopal Mukherjee for giving me the opportunity to work with Abbott India Ltd. and learn. I owe my wholehearted thanks and appreciation to the entire staff of the company for their cooperation and assistance during the course of my project. I hope that I can build upon the experience and knowledge that I have gained and make a valuable contribution towards this industry in coming future.
Biplab Kumar Dikshit
Regional College Of Management, Autonomous Signature of the student
Bhubaneswar
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EXECUTIVE SUMMERY The objective of the project was “to find the satisfaction of RMR(Registered Market Retailer) as well as the potential market for SF-Sonic batteries” for EXIDE Industries Ltd., for that we have to understand the retailer satisfaction, pricing of the product, warranty service, response, emotions and beliefs regarding the product, so that they can contribute their valuable inputs for the company. The objective of this study was to analyze the information taken from the retailer during the survey specifically Howrah, Hoogly, East and West Midnapur of West Bengal. The project was started on 20th May after knowing all the relevant information regarding the project, under the guidance of Mr. Suven Banerjee (Group Product Manager). The first part of my project involves the study of the product and service provided by the company. For this I used Internet as a primary source of information for study, also attended two days with company’s service person discussing the topics. Since, the next part of my project was to visit any four retailers and find out the problem .Then I took a attempt to develop the questionnaire on the basis of findings. Hence, my corporate mentor guided me in finalizing the questionnaire. For this the questionnaire was prepared which gave the information and idea about the retailer problem and satisfaction about the company products, services, schemes and promotions. The sample size of the marketing research was taken to be 80. The questionnaire contains various aspects like their Name, Contact Number, Distributor’s name, Registration no.,SAP code, satisfaction level, profit margin, existing scheme etc. The final part of the project consists of 15 days of scanning the questionnaire. Most important part is analyzing the information.
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List of Tables
Table 1:Design Patent on leak resistant Automotive Battery|| India || 2001
Table2: Product Profile
Table3: Competition Overview:
Table 4:Ready Cash -4
Table5: Ready Cash Offer
Table 6: Age of RMR business
Table 7: Type of retail outlet Table 8: Preferred Brand
Table 9: Avg. Sales per month
Table 10: Segment wise sale
Table 11: Sales Target
Table 12: Satisfaction on sales Target
Table 13: Percentage of Discount
Table 14: Preference at the time of purchasing
Table 15: Difficulty in competitive pricing
Table 16: Satisfaction from the warranty service
Table 17: Customer waiting time during Battery Checkup
Table 18: Customer expected time to get battery back from the company
Table 19: Satisfaction with the profit margin
Table 20: Ready-Cash awareness
Table 22: Awareness of Ready-cash 4
Table 23: problem regarding Ready-cash Scheme
Table 24: Satisfaction on the communication from distributor
Table 25: Preference on scrap disposal
Table 26: Preference on promotion activity
Table 27: Satisfaction on packaging
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List Of Charts
Diagram 1: Pie Chart for age of RMR Business
Diagram 2: Bar Chart for types of retail outlets
Diagram 3: Bar Chart on sales Target
Diagram 4: Bar Chart on customer waiting time
Diagram 5: Bar Chart on Customer expected time
Diagram 6: Bar Chart on awareness of Ready-cash scheme
Diagram 7: Bar Chart on awareness of Ready-Cash 4
Diagram 8: Bar Chart on preference of scrap disposal
The project is about the RMR satisfaction and finding the potential market area in few districts of West Bengal. The project was assigned to me and three other students and we individually visited our nearest four districts. We collected sample of 80 each. During this project we try to find the problems which RMR faces currently to sell the SF-Sonic products mainly automotive. We got the information about customer preference for different brands and cause for the preference for particular brands. We also have got the information about pricing constraints, warranty service provided by the company etc. Schemes provided by the company to the retailer are satisfactory or not. If they do aware about the company schemes then we made them aware during our visit to the outlet. I have been assigned Howrah, Hoogly, East and West Midnapur to visit and collect all relevant data through questionnaire. After one month of visit in the market we analyze all collected data and findings and find some recommendation which will help the company in future to enhance their sale and build the brand awareness, image and identity.
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OVERVIEW OF THE INDUSTRY
Lead acid battery technology has been in use for over 100 years, widely used assecondary storage device. The popularity of lead acid batteries is attributed to• Maturity of the technology• Low maintenance costs• Low cost of materials• Widespread recycling of lead• Relatively wide temperature range for both cycling and non-cyclingapplications.The commercial lead acid battery market is almost totally driven by automotiveand stand-by power applications, although they are also used in portablecomputers and communications devices.
The global battery market is about US $86 billion, of which roughly US $50 billion is allocated to rechargeable (secondary) batteries. The growth is estimated at 6% annually through 2014. China, India, Brazil, the Czech Republic and South Korea will record some of the strongest market gains. The market for (Electric)Car Traction batteries will be $37 billion by 2020
Automotive MarketOEM SegmentThe Indian automobile battery industry is about Rs.900 crore as on June 202009. The automotive battery market is divided into the OEM market andreplacement market. The OEM market is catered to by established companieslike Exide, Amara Raja etc. Rapid increase in demand for automobiles in therecent past has created higher demand for batteries and will continue to presentgrowth opportunities for lead acid battery industry.Replacement MarketThe replacement market is dominated by the unorganized players. The unorganizedplayers make up about 55% of the market, while the organizedplayers account for the remaining 45% of the market. The market share for theorganized players was 30% in this segment 4 years before. Exide and AmaraRaja account for major part of the organized market.
India is being recognized as a potential emerging auto market. Foreign players are adding to their investments in Indian auto industry.
• India is the largest 3-wheeler market in the world. • India is the largest 2-wheeler manufacturer in the world. (10 Crores or 100
Million Bikes per year) • India is the second largest tractor manufacturer in the world. (No. 1 is
USA/John Deere)• India is the 5th largest commercial vehicle manufacturer in the world. (Next to
Japan, USA, Germany & Korea) • The number one global motorcycle manufacturer is in India. • India is the second largest car market in Asia - recently crossed the 1.8 million
mark. (No.1 is China)
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COMPANY PROFILE
ABOUT EXIDE INDUSTRIES LTD.:-
History
The company was incorporated as Associated Battery Makers (Eastern) Ltd., on 31 January 1947 under the Companies Act, 1913 to purchase all or any of the assets of the business of manufacturers, buyers and sellers of and dealers in and repairers of electrical and chemical appliances and goods carried on by the Chloride Electric Storage Company (India) Ltd, in India, since 1916 with a view thereto to enter into and carry into effect (either with or without modification) an agreement which had already been prepared and was expressed to be made between the Chloride Electric Storage Co (India) Ltd on the one part and the company of the other part. The name of the company was changed to Chloride India Ltd on 2 August 1972. The name of the company was again changed to Chloride Industries Ltd. vide fresh Certificate of Incorporation dated 12 October 1988. The company was further changed to Exide Industries Ltd. on 25 August 1995.
The company manufactures the widest range of storage batteries in the world from 2.5 Ah to 20,400 Ah capacity, covering the broadest spectrum of applications. The company has six factories located across the country – two in Maharashtra, two in West Bengal - Shamnagar (Mother plant) & Haldia, one in Hosur, Tamil Nadu and one in Haryana. The company’s predecessor carried on their operations as import house from 1916 under the name Chloride Electrical Storage Company. Thereafter, the company started manufacturing storage batteries in the country and have grown to become one of the largest manufacturer and exporter of batteries in the sub-continent today. Exide separated from its UK-based parent, Chloride Group Plc., in 1989, after the latter divested its ownership in favour of a group of Indian shareholders.
Research & Development
As befits the market leader, Exide keeps India & World abreast of the developments in battery technology. It’s sophisticated R&D Centre in Kolkata employs the best scientists and technologists and equips them with the tools of fundamental and applications research.
The center spearheads technology transfer, matched production engineering and complete system design. Apart from developmental research, it acts as a funnel for absorbing technology and adopting it to suit operating conditions in respective markets. Ultimately, the effort translates into complete satisfaction of customers’ needs.
Exide recognizes the importance of technology & innovations. In order to maintain technological leadership, Exide R&D have been actively developing differentiated battery technologies for tropical countries. The Exide R&D has been recognized by
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the Department of Scientific & Industrial Research, Ministry of Science & Technology, Government of India since April 1977.
R&D work is carried out on various facets of lead-acid battery technology, which include development of new products for applications such as Automotive, Motorcycle, VRLA, Telecom, UPS, Railways, Defense, etc. primarily to make the product range internationally competitive. In addition, the R&D is engaged in projects embracing process technology aimed at - improving the product quality & consistency, production efficiency and material utilization. Furthermore, R&D program includes improvement and indigenisation of materials such as metals, alloys, plastics, etc. R&D emphasis is on studying and improving the environmental aspects associate with the manufacturing process.
Infrastructure / Laboratories
Exide R&D centre is also well equipped with a Tool-Room, CAD facilities, material testing and laboratories having the modern equipment for testing of the raw materials and components used for manufacture of batteries. These include optical emission Spectrometer, Particle Size Analyzer, Porosemeter, Image Analyzer Workstation, Profile Projector, Universal Tensile testing machine, etc.
Functional Areas
All the above specific areas are well administered by a strong group of human assets. The qualified R&D personnel are Ph.D.'s in Engineering / Applied Science, Post-Graduate / Graduate in Engineering / Science, MBA's and Diploma in Engineering with broad spectrum of experience and they work in the following functional areas:
Battery Design & Development Process Development Tool Design & Development Alloy Development Development of Plastic Components Hard Rubber / Soft Rubber Components Development Analytical Services Battery Testing & Quality Assurance Environmental Health Monitoring
Patents
The continuous research efforts have enabled Exide to patent new processes and grid structures for batteries in India.
Table 1:
PATENTS PLACE YEAR
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Process for fabricating a grid structure for Cadmium Sulphide / Cuprous Sulphide cell
India 1978
Improved Dry Charged process for Drying Formed Negative India 1978
Process for manufacturing micro-porous polymeric material. India 1979
Micro-porous polymeric material for Miners’ Cap Lamp batteries and Process for preparation thereof
India 1981
Automotive Battery Grid India 1981
Method of manufacturing lead based alloy India 1983
Method of making lead acid storage battery grid India 1986
Method of producing low antimony content tubular grid for positive electrodes of lead acid storage batteries
India 1988
Design patent on 75D31R/95D31 RMF Battery (Jointly with Shinkobe)
India 1998
Major Developmental Work
Some of the major development work done at the R&D Centre and viewed at a glance is as follows:
Automotive & Tractor batteries as per Indian Standards to suit tropical conditions Japanese range of Automotive and Motorcycle Batteries DIN range of Automotive batteries suited to vehicles of European origin Development of Submarine Batteries Development of special type of poly-ethylene separators for varying applications Valve Regulated Lead Acid (VRLA) batteries for Telecommunication & Railway
applications Motive Power Batteries for Fork-lift Trucks & Golf Carts High energy density battery for Electric Vehicles Plante batteries for Power stations
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Furthermore, long-life, maintenance-free batteries for cars have also been developed which are presently being marketed under the brand name Exide Eternity
Also a new heavy duty, MHD Range of batteries have been developed and introduced for the entire commercial range of vehicles. Batteries were also developed for CNG/LPG powered three-wheelers and golf carts
A range of batteries for Industrial application including new batteries for Telecom, Solar, Traction and small VRLA for UPS system was also developed
Major Research Projects
Development of lead based alloy for battery grids Development of a variety of maintenance free batteries for Automotive and
Motorcycle applications Development of re-combination type maintenance free batteries (VRLA) Development of ultra-low maintenance batteries / cells for Solar applications Development of special batteries for electric vehicle applications
Milestones
1916- Chloride Electric Storage Co. (CESCO) UK sets up trading operations in India as an import house.1946- First factory set up in Shamnagar, West Bengal.1947- Incorporated as Associated Battery Makers (Eastern) Limited on 31 January 1947 under the Companies Act.1947- Incorporated Chloride International Limited (previously Exide Products Limited)1969- Second factory at Chinchwad, Pune1972- The name of the Company was changed to Chloride India Limited1976- R&D Centre established at Kolkata1981- Third factory at Haldia, West Bengal1988- The name of the Company was changed to Chloride Industries Limited1994- Technical collaboration with Shin Kobe Electric Machinery Co. Ltd. of Japan, a subsidiary of the Hitachi Group.1995- Chloride Industries Limited renamed Exide Industries Limited1997- Fourth factory at Hosur, Tamil Nadu1998- Acquisition of industrial/ manufacturing units of Standard Batteries Ltd located at Taloja & Kanjurmarg (Maharashtra), Guindy (Tamil Nadu) and plant at Ahmednagar (Maharashtra) from Cosepa Fiscal Industries Limited as a going concern.1999- Acquired 51% Shareholding in Caldyne Automatics Ltd2000- Acquisition of 100% stake in Chloride Batteries S E Asia Pte Ltd., Singapore and 49% stake in Associated Battery Manufacturers (Ceylon) Limited, Sri Lanka.2003- Commissioned plant at Bawal, Haryana2003- New joint venture in UK, ESPEX, with 51% holding.2004- Associated Battery Manufacturers (Ceylon) Limited, Sri Lanka became a subsidiary consequent to acquiring further 12.50% Equity holding.
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2005- Investment in 50% shareholding of ING Vysya Life Insurance Company Limited2007- Caldyne Automatics Ltd becomes 100% subsidiary consequent to acquiring the balance 49% shareholding.2007- Investment with 26% shareholding.in CEIL Motive Power Pty Ltd. A Joint Venture in Australia.2007- Acquired 100% stake in Tandon Metals Ltd.2008- Acquired 51% stake in Lead Age Alloys India Ltd
Brands
EXIDE CHLORIDE INDEX DYNEX Standard Furukawa JUPITER CONREX
Subsidiaries
Associated Battery Manufacturers (Ceylon) Limited (“ABML”)Espex Batteries Limited (“ESPEX”)Chloride Batteries S E Asia Pte Limited (“CBSEA”)Leadage Alloys India Limited (Leadage)Tandon Metals Ltd. (“TML”)Caldyne Automatics Limited (“Caldyne”)Chloride International Limited (“CIL”)
Vision:
Simultaneous to providing credible value addition to customers, employees and shareholders; being recognised by society as a responsible, corporate citizen. In addition achieving operational excellence along with caring for environmental protection.
Mission:
To carefully balance the interests of all stakeholders; strive to fulfil aspiration of the employees and pursue excellence with passion, without deviating from our core values.
Core Values:
Fundamental axioms that organisation believes in and people respect and work towards our cored value.
Customer orientation Personal integration and commitment Striving for excellence Management by process and fact Responsible corporate citizenship.
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ABOUT SF-SONIC BATTERIES:All batteries give power, but it takes a SF SONIC to perform at peak power, always.
Over the years, SF Sonic batteries have become synonymous with abundant power and raw courage. Undaunted by the challenge of the Indian roads, they have redefined durability and longevity. SF SONIC batteries stay strong throughout their long lifespan. The power never wanes, come what may. As the brand’s equity grew, so did the ambitions. And a new, bold and powerful SF SONIC was born. It is vibrant, dynamic and represented what we wanted to be.
The dynamic sweep of the mnemonic represents a continuous cycle of POWER while the arrowhead captures our desire to move ahead.
The outer sweeps encapsulates the radiating, pulsating kinetic energy that lies at the core of our batteries, throbbing with power.
While the well-rounded yet bold typography captures the power that SF SONIC epitomizes, the arrowhead mnemonic adds dynamism to it, creating an illusion of a powerful force.
Technology:
Grid Alloy Technology
To better withstand the high temperatures in India, every SF SONIC battery is based on the grid alloy technology according to FB specifications. The grid construction is of central lug type with semi radial construction, a good balance between excellent high rate performance and long life.
Separators
The separators employed are PVC for the low cost versions and polyethylene with glass mat reinforcement for the medium and high end.
Containers
Made with PP copolymer, the containers have excellent impact resistance and other physical properties. The cover design is uncomplicated with easy to maintain top venting systems. In the case of maintenance free batteries, they have a coin flush filter vent system to give a clean flat maintainable surface with resistance to spark propagation inside battery to avoid the possibility of bursting during charging operations.
Raising the Bar
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SF Sonics quality and process control laboratory checks all incoming metals, components and bought out parts. Incoming and blended metals are analysed for quality with optical emission spectrograph. Moreover, the SF Sonic R&D setup, approved by the Ministry of Science Technology Government of India, is a high-tech hub of innovation.
Plant
The plant at Taloja, is equipped with state-of-art machinery and instrumentation. Many such equipment have been designed and produced with in-house capibilities, saving crores in foreign exchange. Operations are also conducted on machines developed with the know-how of latest technology from Japan. The plant takes credit for inning several laurels:
The Bajaj Gold Award for Quality ISO 9000 certification, for the first time in Asia TS 16949 certification by TUV NORD in 2004 ISO 14000 certification by TUV NORD in 2003 The Quality Gold Award from MCV
SF-Sonic Station:
SF SONIC STATION is an exclusive store that aims to pamper you with superior and special service offerings.These flagship showrooms are designed to offer complete power solutions through the Company’s wide range of products and value added services. All SONIC showrooms maintain a specified service standard and offers a delightful experience through a combination of state-of-the-art design, pleasant ambience, cutting edge service technology and customer focus. These flagship stores are pride of SF SONIC as they reinforce the Company’s commitment to superior customer care and service. Visit your nearest Sonic Station and experience the power of Sonic.
UNICEF:
Treat the Earth well,it was not given to you by your parents it wasloaned to you by your children. Both SF Sonic and UNICEF believe in this dictum and are working together to create a better environment for children - who are our future. In the current scenario, the environment for children in India demands urgent attention. An estimated 400,000 children under five die each year from serious ailments - caused by poor hygiene and unsafe drinking water. Also, unchecked lead in the air, in our food and drinking water can be a killer. Though lead is one of the most useful metals and a major element in batteries, it can harm the earth’s environment and life, if not treated scientifically after use. UNICEF is a name synonymous with child survival and development the world over. It has been doing significant work in India for the general health and well-being of children. Therefore, we at SF Sonic will contribute to
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the UNICEF Child Environment Programme, every time a used battery is returned to us. With your support and participation, the world can be a much better and healthier place. You can make it happen.
UNICEF and SF Sonic are stakeholders in creating a safe and healthy environment for children. The common agenda involves:
Focus on primary preventive measures for infant mortality and morbidity Universal sanitation coverage Integration and convergence with nutrition, health and education Demonstration of models on solid and liquid waste management Focus on water quality affected habitations – safe drinking water option Establishment of management systems to ensure water safety, sustainability,
cost effectiveness and social equity of rural piped water systems Focus on developing community based sustainable models on hygiene
promotion Monitoring and surveillance of sanitation and water quality Demonstrate inclusive approaches for school water supply and sanitation
in some districts
Our other partners
For this noble venture UNICEF and SF Sonic will be supported byseveral partners - Sarva Siksha Abhiyan, Government Resources, Panchayats & RuraDevelopment Department (P&RD) and Public Health Engineering Department (PHED)
Special Hybrid Alloy system that is best suited to withstand high temperatures prevalent in India
Dual plate separation for double protection against shocks and vibrations
Float/Float Guide to indicate electrolyte level position, which also acts as effective fume arrestors, enhancing safety
SF-Sonic Torque(motorcycle application)
1) FSQ0-SQTZ3
2) FSQ0-SQTZ4
3) FSQ0-SQTZ5
4) FSQ0-SQTZ7
FOC-0-24 MONTHSPRORATA-25-36 MONTHS
3-7 AH 1,045 TO 1,992
The revolutionary Gas Recombination system eliminates water loss making the battery completely maintenance free
The Spill Proof design guards against the possibility of leakage, even if mounted in a tilted or inclined position
The advanced Lead-Calcium technology leads to low self discharge
Unique Flame Arrestor ensures greater safety
SF-Sonic Super Rodeo(motorcycle
1) FSU0-SPR2.5L-C
2) FSU0-
FOC-0-24 MONTHSPRORATA-25-36
2.5-9 AH 836 TO 1,516
The unique Ca-Ca Alloy ensures a maintenance-free
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application)
SPR5L-B3) FSU0-
SPR9-B4) FSU0-
SPR7B-B
MONTHS life in Indian road conditions
No topping-up within warranty period under normal running conditions
The design makes it completely unspillable and is virtually sealed
Absence of a breather tube eliminates the need for a drain pipe.
SF-Sonic Instagen(general application)
FIG0-IG110D31RFIG0-IG115E41L
FOC-0-36 MONTHS
90-105 AH
6,353 TO 8,778
Superior maintenance free characteristics through advanced Ca-Ca technology requiring topping up only once in 9 months under standard operating conditions
Excellent starting ability with higher cranking power to weight ratio
Battery size rationalized to suit different Genset ratings
Special lid design makes the battery spill resistant
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Chapter 2
OBJECTIVE AND SCOPE OF THE STUDY
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OBJECTIVE AND SCOPE OF THE STUDY
Primary Objectives:
To identify the key factors of RMR satisfaction.
To identify the gap between DD and RMR and how the gap will
be bridged.
Finding out areas and factors where company is lacking to
improve business and how those weaknesses can be overcome.
Finding out the new potential market area.
Scope of the Study:
The scope of the study is to find out the problems of RMR regarding
the selling of SF-Sonic products to the customer mainly automotive
batteries.
The scope is to find out the problem regarding non-selling of some
products which have good market potential.
To promote the retailer as well brand this will be helpful for the
company to make brand awareness.
To help the marketer to do the further research in the same field.
Managerial Usefulness of the Study
This study helps to understand marketing research basic terminologies & different strategies for different market situation
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Research Process: A questionnaire was prepared to gauge the awareness of new molecule in
customer.
Survey has been done out of the company covering a wide cross-section of the industry.
The question was presented in one to one interview with each of the respondents.
Responses of the concerned persons had been thoroughly analyzed.
Conclusions had been arrived at using the response of the concerned persons and not on questionnaire alone.
The RMRs are the busiest person. So they have hardly time to give the attention towards the questionnaire that we have made. So we have to make questionnaire such a way that we can collect as much as data possible from a RMR within limited time.
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Chapter 3
REVIEW OF LITERATURE
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REVIEW OF LITERATURE
What is Automotive Battery?
According to Robert Bosch GmbH, Stuttgart on 1996 in Horst Bauer Bosch Automotive Handbook 4th Edition
An automotive battery is a type of rechargeable battery that supplies electric energy to an automobile. Usually this refers to an SLI battery (starting, lighting, ignition) to power the starter motor, the lights, and the ignition system of a vehicle's engine.
Automotive SLI batteries are usually lead-acid type, and are made of six galvanic cells in series to provide a 12 volt system. Each cell provides 2.1 volts for a total of 12.6 volt at full charge. Heavy vehicles such as highway trucks or tractors, often equipped with diesel engines, may have two batteries in series for a 24 volt system, or may have parallel strings of batteries.( Robert Bosch GmbH, Stuttgart 1996, pages 803-807)
Who is Retailer?
According to Harper, Douglas in Online Etymology Dictionary about “retail” on 16-03-2008
Retailers are part of an integrated system called the supply chain. A retailer purchases goods or products in large quantities from manufacturers directly or through a wholesale, and then sells smaller quantities to the consumer for a profit. Retailing can be done in either fixed locations like stores or markets, door-to-door or by delivery. Retailing includes subordinated services, such as delivery. The term "retailer" is also applied where a service provider services the needs of a large number of individuals, such as for the public.
According to Jule B. Gassenheimer, Roger J. Calantone, Joseph I. Scully, in 1995 in the Journal of International business and marketing
. Suppliers use a variety of strategies to gain a preferred position within their dealers' supply network. Dealers allocate purchases among several suppliers in order to maximize benefits from their suppliers' competitive manoeuvres and to avoid being dominated. Uses an extension of transaction cost analysis and contract law to provide empirical insight into supplier-dealer relationships within dealers' supply networks. Also suggests simple but powerful mechanisms for suppliers to enhance relationship strength
According to Jule B. Gassenheimer, Rosemary Ramsey in 1994 in the Journal of Retailing
This study extends previous buyer-seller relationship research by examining the level of mutual dependence and power-dependence imbalances across buyer
(reseller) supply sources. Using critical support services and the intensity of coercive influence attempts, results suggest that the level of mutual dependence and power-dependence imbalances make a difference in reseller satisfaction, but that the impact hinges upon whether the supplier is the primary, secondary, or tertiary supplier in terms of annual purchases by the reseller. The Executive Summary offers direction for managers.
Retailer Sales promotion:According to Michel Laroche, Frank Pons, Nadia Zgolli, Marie-Cécile rvellon, Chankon Kim on July 2003 in the Journal of Business Research
The occurrence and the choice of appropriate retail sales promotion techniques are important decisions for retailers. It is crucial for them to apprehend the mechanisms involved at the consumer level regarding these sales promotions. Therefore, in the context of consumers' use of retail sales promotions, a multidimensional model, which follows a cognitive–affective–behaviour pattern, is proposed. This model is based on two different promotional tools — coupons and two-for-one promotions — supposed to trigger different promotional responses. Moreover, the potential influences on this pattern of consumers' traits are included. Variables such as busyness, variety seeking, perceived financial wellness, market maven, brand loyalty and store loyalty that were previously introduced in research on coupon promotions are posited to have specific influences on the three components of the pattern. Through contrasting two types of promotional tools, we highlight commonalities in the process of promotion use, but nonetheless significant and interesting differences, both in the whole process and in the influence of individual-difference variables. Results and implications for retailers as well as for researchers are discussed.
According to Prativa A.Dhabolkar,Dayle I Thorpe,Joseph o Rentz in the Journal of Academy of Marketing on 1995 Current measure and service quality do not adequately capture customers’ perceptions of service quality of retail store( i.e. store that offer mixed goods and services). A hierarchical structure is proposed to capture dimensions important to retail customer based on the retail and service quality literature as well as three separate qualitative studies. Confirmatory factor analysis based on the partial disaggregation technique and cross validation using a second sample supports the validity of the scale as a measure of retail service quality scale for practitioner, as well as future research are discussed (Prativa A.Dhabolkar,Dayle I Thorpe,Joseph o Rentz)
Battery Recycling
According to A. M. Bernardes, D. C. R. Espinosa, J. A. S. Tenorio in 2003
. Battery recycling is a recycling activity that aims to reduce the number of batteries being disposed as municipal solid waste. Batteries contain a number of heavy metals and toxic chemicals; their dumping has raised concern over risks of soil contamination and water pollution(A. M. Bernardes, D. C. R. Espinosa, J. A. S. Tenorio, 2003)
Competition of SF-Sonic batteries are mainly from organised as well as unorganised market. In organised market there are two market leaders Exide Battery Industry and Amaraja Group of Industries. Automotive battery market of 4 wheeler,6/10 wheeler, 2wheeler are about Rs.2000 crore strong Of this, unorganised sector makes up about 45%, followed by 53% by the organised sector and remaining 3% being imported batteries.There are mainly 2 Brands under the Exide Batteries in the automotive market .these are EXIDE, SF-Sonic. There are also 2 main brands under Amaraja Battery industry Power Zone, Amaron. Other than these companies there are some more brands in the market having good potential like Amco, TATA Green Batteries. Amco ,TATA doesn,t have any premium image in the market they want to penetrate the market with there low range products.(Indian Auto components Industry –ICRA Report year 2012-13)
Table3:
Company name
Brand Name
OEM market share
Replacement Market share
Industrial Market Share
Turnover Y-o-Y 2011-12(Rs in Millon)
EXIDE Industries
ltd.
EXIDE 30% 20% 13% Rs.51,743
SF-Sonic 20% 10% 7%
Amara Raja Batteries
Ltd.
Amaron 16% 9% 6% Rs.23,733
Power Zone 10% 6% 4%
HBL Power System Ltd.
10% 4% 10% Rs.11,060
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SF-Sonic logistics and Supply Chain:
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EXIDE Logistic Centre(Eastern region)
HUB(Kolkata)
Spoke(7)
Distributor
DRO
HUB(Siliguri)
Spoke(6)
HUB(Gauhati)
Spoke(2)
HUB(Silchor)
Spoke(2)
Chapter 4
RESEARCH DESIGN AND DATA COLLECTION
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RESEARCH DESIGN AND DATA COLLECTION
Research Design:
Descriptive Research Design Descriptive research studies are those studies which are concerned with described the characteristics of particular individual. In descriptive as well as in diagnostic studies, the researcher must be able to define clearly, what he wants to measure and must find adequate methods for measuring it along with a clear cut definition of population he want to study. Since the aim is to obtain complete and accurate information in the said studies, the procedure to be used must be carefully planned. The research design must make enough provision for protection against bias and must maximize reliability, with due concern for the economical completion of the research study.
Sample Design:
Sample Design is a definite plan for obtaining a sample from a given population. It refers to the technique to the procedure adopted in selecting items for the sampling designs are as below:
SAMPLE SIZE The sample size has been 164 RMRs. Conclusions had been arrived at using the response of the questionnaire.
SAMPLING METHOD In this marketing research project, I am using Random sampling method.
SAMPLE TYPE Area Sampling, and the area of sampling is Howrah,Hoogly,East &West Midnapur.
Data Collection Method:
Primary Data: - Primary data means data that are collected by different techniques like questionnaire, Depth interview, Survey, Schedules etc. In this project, primary data has been collected by the means of questionnaire.
Secondary Data: - Secondary data means data that are already available i.e.: they refer to the data which have already been collected and analyzed by someone else. Usually published data are available in: Various publications of the central, state/local governments or foreign governments, technical and trade journals etc. The secondary data involved in this project has been gathered from the
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internet, company sales person. For example,
price list, warranty list, Ready cash list, etc
Limitation of the study:
The sample area and sample size has been limited due to time constraint.
RMRs (respondents) are reluctant for their feedbacks & opinions, and authenticity of their statements can’t be verified too.
All the observation and recommendation will be made on the feedback obtained from survey.
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Chapter 5
DATA ANALYSIS AND INTERPRETATION
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DATA ANALYSIS AND INTERPRETATION
Q1. Age of the RMR in SF-Sonic Business:
Table 6:
Age of RMR business
frequency
percentage
less than 1 13 7.93%1 to 5 years 101 61.59%5 to 10 years 32 19.51%greater than 10 years 18 10.98% total 164
Diagram 1:
8%
62%
20%
11%
percentageless than 1 1 to 5 years5 to 10 years greater than 10 years
Most of the RMRs have started their business from 1 to 5 years i.e. 65% of them.
11% are there who have more than 10 years of business. 19% of them are doing their business from 5 to 10 years. 8% are new in the market. So we can say RMR growth in last one year is 8%.
howrah 60.00% 40.00%east & west Midnapur 34.29% 65.71%hoogly 37.04% 62.96%
Diagram 2:
howrah east & west Midnapur
hoogly0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00% 60.00%
34.29%37.04%
40.00%
65.71%62.96%
multibrandexclusive
No. of multi brand store in Howrah is more than exclusive store i.e 60%. But there is more no. of exclusive store present in east & West Midnapur and Hoogly
i.e. 65.71% and 62.96% respectively. More no of people want to stick to a single brand in the above districts.
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Q3: If the Store is multi brand then the most preferable brand:
Table 8:
Howrah
preferred brand
frequency rank
percentage rank
sf sonic 8 2 75%exide 10 1 100%amaron 6 3 50%tata 4 4 25%power zone 0 5 0%
Hoogly:
preferred brand
frequency rank
percentage rank
sf sonic 4 2 50%exide 10 1 100%amaron 4 2 50%tata 2 4 0%power zone 2 4 0%
East & west Midnapur:
preferred brand
frequency rank
percentage rank
sf sonic 6 2 75%exide 10 1 100%amaron 2 3 50%tata 0 4 0%power zone 0 4 0%
Exide is mostly preferred irrespective of any area i.e 100% in percentile. SF-Sonic is mostly preferred by the Howrah, East & west Midnapure i.e 75%. some them preferred tata in Howrah i.e. 25%.
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Q4: Average Sales Figure per month:
(1)-less than 5 (2) - 5 to 10 (3) - 10 to 15 (4)- 15 to 20 (5)- 20 to 25
Table 9:
avg. sales figure per month mean max min
standard deviation mode
howrah 2.375 5 1 1.102154 2hoogly 2.407407 5 1 1.073146 2east and west Midnapur 2.485714 5 1 1.086716 2
most of the retailer sell 5 to 10 no of batteries per month because here in Howrah, Hoogly, East and West Midnapur as per the mode calculation it frequency of 5to 10 is more.
Standard deviation is more than 1 ,here variance is more . so there are also some retailer who use to sell 10 to 15 and 15 to 20, 20 to 25.
In Hoogly , East and West Midnapur mean is more than 2 near about 2.5 so here we can say more batteries are sold on the above districts.
6/10 wheelers are mostly sold in howrah market i.e. 100% in percentile SUVs are mostly sold in Hoogly Market. Bike Market is more in east and west Midnapure. Muv market potential is not there in four districs 0 percentile.
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Q6: Sales Target:
Table 11:
sales target yes no totalhowrah 20 20 40hoogly 36 18 54east & west Midnapur 50 20 70percentage sales target yes nohowrah 50.00% 50.00%hoogly 66.67% 33.33%east & west Midnapur 71.43% 28.57%
Diagram 3:
howrah hoogly east & west Midnapur0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
50.00%
66.67%71.43%
50.00%
33.33%28.57%
yesno
In Hoogly,east & west Midnapur distributor is more concern about the sales target i.e. 66.67% and 71.43% respectively.
In Howrah Sales target is given less under respective Distributor i.e. 50%.
Enforcement is less in Howrah from distributor
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Q7: Satisfaction for the sales target if it is given:
expected time to get back 5 days 7 daysmore than 7 days
howrah 15% 85% 0% hoogly 19% 78% 4% east & west midnapur 14% 86% 0%
Diagram 5:
5 days 7 days more than 7 days
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
15%
85%
0%
19%
78%
4%
14%
86%
0%
howrahhooglyeast & west midnapur
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Customer wants their claim battery back within at least one week. some of them want it back within 5 days mainly in Hoogly. 4% in Hoogly can wait for 10 -12 days.
Q14: Satisfaction with the profit margin provided by Distributor:
As per the mode calculation in Howrah, Hoogly , East and West Midnapur most of them stay neutral because ost of them don’t know the ready cash scheme.
Now in East and West Midnapur standard deviation is more and mean is mean is less than Howrah and Hoogly , so here some of the retailer know about the Ready cash acheme.
Q18: Satisfaction by the Communication from distributor:
In the above districts most of them preferred hording , poster,banner,etc. Company does not provide those things properly.
those retailer who have garages they want company t-shirt for the service staff. Some Of them wants Free battery check up camps but they want cooperation from
the company.
wall painting is needed some of the retail outlet. They demand for it from the company
Q21: Satisfaction for the packaging:
Table 26:
satisfaction with packeging mean max min
standard deviation mode
howrah 3.65 4 2 0.769615 4
hoogly 3.407407 4 2 0.921822 4
east and west Midnapur 3.771429 4 2 0.64091 4
As per the mode calculation most of them are satisfied with the packaging
In Hoogly mean is less than 3.5 and standard deviation is near about 1. So
few of retailers in Hoogly are not satisfied with the packaging..
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Chapter 6
RECOMMENDATION AND CONCLUSION
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FINDINGS According to the survey, EXIDE has the premium image in the market. That is
why EXIDE is most preferable brand in the market. But SF-Sonic doesn’t have that image, awareness.
According to the survey, most of the customer asking for the warranty and few of them asking about the price.
Most of customers are not satisfied with the warranty service by the company.
Most of the retailers are not aware about the company Ready-Cash scheme.
Visit of the company personal in the retail outlet is irregular.
Communication from the distributor is as per the expectation of the retailer.
Company is lacking in promotional activity like free battery check-up camp, hoarding, poster, banner etc.
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RECOMMENDATIONS The particular Brand SF-Sonic needs a USP (Unique selling proposition)
strategy.
Company warranty service should be improved as well as price of the product should be low as compare to premium brand like EXIDE to penetrate the market.
All the RMR should aware about the Ready-Cash scheme.
Visit to the retail outlet should be regular by the company personal.
Company should put emphasis on the promotional campaign and should provide hoarding, poster, banner, glow sign board to every retail outlets.
During Market survey, I have found some potential areas where company fail to penetrate. These areas are,
Bandel(Hoogly)
Digha(East Midnapur)
Radhamani(East Midnapur).
Jangalmohal(West Midnapur)
Ranihati(Howrah)
Rasuliachak bazaar(West Midnapur)
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CONCLUSIONIn 1998 EXIDE Industries Ltd. did the acquisition of Standard Furukua a Japanese Company. After that it was named as SF-Sonic. Now the brand Awareness in the market of SF-Sonic is not as good as EXIDE but still it is struggling to achieve good market share. Here company want to position SF-Sonic brand separate from EXIDE. Automotive Battery market in India is very competitive. There are many players in the market. So the strategy for the SF-Sonic should be different. They need a USP( unique Selling Proposition). In the market RMRs are struggling to sell to product due to lack of brand awareness and High-price near to the EXIDE brand. It has neither the cost advantage nor the premium image in the market only due to lack of promotional activity. If RMRs are the main player who can make awareness in the market, then company have to improve the RMR satisfaction strategy. In this research we have found the lacunae RMR satisfaction and try to bridge the gap between company and RMRs.
27. Do you have any problem regarding ready cash scheme?
O 1. Strongly agree O 2. Agree O 3. Neutral O 4. DisagreeO 5. Strongly disagree
28. If yes, then what are they?
………………………………………………………………………………………………………….
………………………………………………………………………………………………………….
29. How frequent sales personnel of the company visitsin a month?: -
Once Twice Thrice More than thrice
30. If not visited regularly then what is the last date of interaction:-………………………………..
31. Does the DD communicate with you enough as per your expectation?:-
O 1. Highly Satisfied O 2. Satisfied O 3. Neutral O 4. Dissatisfied O 5. Highly dissatisfied
32. If no, then what are issuesyou’re facing:-
i)……………………………………….ii)………………………………………
iii)……………………………………...iv)………………………………………
33. What is your preference for scrap disposal? (Rank 1-3):-
PREFERENCE RANK1. DD2. Local Market3. Others:-
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34. To raise the sales of SF-Sonic products what are the promotional activities you required?:-
PREFERENCE RANK1. Free battery checkup camp.2. Roadshow3. Umbrella campaign4. Hoarding/Poster/Banner/Glow shine board5. Company t-shirt to the service staff
35. Are you satisfied with the packaging?
O 1. Highly Satisfied O 2. Satisfied O 3. NeutralO 4. Dissatisfied O 5. Highly dissatisfied