A

PROJECT
REPORT
ON

CUSTOMER SATISFACTION
FOR

BANALARI WORLD CARS

BY

Goldenstar Surong

SUBMITTED IN PARTIAL FULFILMENT OF

BACHELOR OF BUSINESS ADMINISTRATION

MARTIN LUTHER CHRISTIAN UNIVERSITY

SHILLONG

1
 A
PROJECT REPORT

ON

CUSTOMER SATISFACTION

IN

BANALARI WORLD CARS

DEPT: SALES

GUIDE: RAMESH,SALE MANAGER

BY
GOLDENSTAR SURONG
MANAGEMENT STUDIES DEPARTMENT

MARTIN LUTHER CHRISTIAN UNIVERSITY, SHILLONG.

2
 ACKNOWLEDGEMENT

I take this privilege to express my heartiest gratitude to those persons whose co

– operation, suggestions and feedback helped to accomplish it.

I convey my sincere thank to Sir Iban Pyngrope, for providing me all the
necessary facilities throughout this Project Work.

I am very much grateful and indebted to my external guide, Sir. Ramesh, Sales
Manager and also Ms. Pristy, Customer Care Manager and their colleagues of
Banalari World Cars, for extending me their full co-operation, guidance and supports.

Again, I am thankful to all my respondents for giving their valuable time and
sincere enough in filling up the questionnaires.

Last but not the least; I thank our Almighty God, my parents for their blessings
and relatives and friends who have always encouraged me through moral and prayer
supports to carry out the study to the best of my ability.

3
 EXECUTIVE SUMARY

Good marketing is no accident but a result of careful planning and

execution. Marketing is an organizational function and a set of processes
for creating, communicating, and delivering value to customers and for
managing customer relationships in ways that benefit the organization and
its stake holders. It deals with identifying and meeting human and social
needs profitably.

Customer satisfaction is a post – sales activity. It may be defined as

a customer’s feelings of pleasure or disappointment resulting from
comparing a product’s perceived performance in relation to his or her
expectations. If the performance falls short of expectations, the customer is
dissatisfied. If the performance matches the expectations, the customer is
satisfied. And if the performance exceeds expectations, the customer is
highly satisfied or delighted.

Good customer service is the life blood of any business. Although

new customers are important good customer service will help generate
customer loyalty and repeat business.

Customer satisfaction much depends on product and service quality.

Product and service quality, customer satisfaction and company
profitability are intimately connected. Higher levels of quality result in
higher levels of customer satisfaction, which support higher prices and
often low costs.

4
 Banalari World Cars is the second authorized dealership of Maruti
Suzuki India Limited, in Shillong auto car market. Rani Motors being the
first one has been in the market for nearly about two decades and thus has
captured many customers. Moreover, competitions are also ahead from the
dealerships of Modrina Tata Motors, Mahindra and Mahindra, and Kim
Hyundai in the market.

Nowadays, companies can hardly differentiate their physical products.

Rational customers have abundant choices. The sharp growth in India's
economy in the last four years, accompanied by its rapid integration with
the world, is expanding the range of customer expectations. As in the past,
they continue to expect their cars to be reliable, fuel efficient, with low cost
of ownership, requiring spare parts that are affordable and a service
network that is extensive and of high quality. But they are no longer
satisfied with this. Without sacrificing any of the above attributes, they also
want their cars to look stylish, sport a contemporary design and come
loaded with interesting features. More and more customers seem to be
scaling up. The growth in incomes, and the global exposure that has come
with greater integration, is fundamentally impacting the way many North-
East customers make choices.

Customers are value – maximizers. No matter how good the services are
delivered, customers are not fully satisfied. But the success of any business
lies largely in doing a better job of meeting or exceeding customer
expectations. But it is critical to understand the special nature of services
and what that mean to marketers.

5
 So, in satisfying the customers, the following questions have to be
addressed.

1. What are customer value, satisfaction and loyalty and how can
Banalari World Cars deliver them?
2. What is the life value of its customers?
3. How can Banalari World Cars attract and retain customers?
4. How can it cultivate strong customer relationships and deliver total
quality?
5. How are services marketed?
6. How can service quality be improved?
7. How customer complaints be turned into profits?
8. How much service is too much service?

6
 CONTENTS
FOR..............................................................................................................1
SUBMITTED IN PARTIAL FULFILMENT OF........................................1
MARTIN LUTHER CHRISTIAN UNIVERSITY..............................1
COMPANY PROFILE................................................................................8
ORGANISATIONAL CHART OF BANALARI WORLD CARS.............9
INTRODUCTION.....................................................................................10
UNDERSTANDING CUSTOMER SATISFACTION.............................12
PROCESSES AT THE SHOWROOM OF................................................14
BANALARI WORLD CARS....................................................................14
PRE – SALES .......................................................................................15
SALES PROCESS.................................................................................16
POST – SALES FOLLOW – UP (PSF).................................................17
CUSTOMER COMPLAINT HANDLING SYSTEM...............................18
Golden Rules of Handling Customer Complaints:................................18
Steps to be followed after receiving a customer complaint:......................20
PERFORMANCE OF THE ORGANIZATION........................................21
OBJECTIVES............................................................................................22
RESEARCH METHODOLOGY...............................................................25
Primary Data Research...........................................................................25
Research Instruments.............................................................................26
Questionnaire (Quantitative).................................................................26
Contact Methods (Qualitative)...............................................................26
Secondary Data Research.......................................................................27
DATA ANALYSIS....................................................................................27
Types of Analysis Used:........................................................................27
PROJECT ROADMAP AND LOGICAL FLOW...........................28
RESEARCH METHODOLOGY...............................................................30
ANALYSIS AND FINDINGS...................................................................32
Suggestions to Banalari World Cars in satisfying customers:...................44
ANALYSIS FROM THE FINDINGS OF OBSERVATIONS AND
INTERVIEWS:......................................................................................................44
SWOT ANALYSIS OF BANALARI WORLD CARS.............................46
LIMITATIONS..........................................................................................49
CONCLUSION..........................................................................................49
RECOMMENDATIONS...........................................................................53
APPENDIX – I ..........................................................................................56
BIBLIOGRAPHY .....................................................................................61

7
 COMPANY PROFILE

Established : 11th October 2007

Owner : Banalari Nongkwar
Corporate Objectives: Maximization of profit and Growth
Area :55,000 sqft.
Location : Mawlai
Commercial Activities: Loan , Mela, Table to Table visit with the
government staff.
Employees : 115
Contribution to the Society: Providing Ambulance, employment and
Sponsor’s for Mawlai Football Association.
Quarters to the staff.

8
 ORGANISATIONAL CHART OF BANALARI WORLD CARS.

CEO

MD

WM TVM
SM

TVSE

CCM TL AMM CCM BSM SPM

MM

CCE DSE A.STAF C MECHANICS

F

FITTE
RS CLEANERS

HELPERS/
CLEANERS

Abbreviation of the above chart…

CEO: Chief Executive Officer AM: Accessories Manager
MD: Managing Director CCE: Customer Care Executive
SM: Sale Manager DSE: Dealer Sale Executive
WM: Workshop Manager A.STAFF: Accessories Staff
TVM: True Value Manager BSM: Body Shop Manager
CCM: Customer Care Manger SPM: Spare Part Manager
TL: Team Leader TVSE: True Vale Sale executives

9
 INTRODUCTION

As many as 63,999 (Sixty Three Thousand Nine Hundred and

Ninety Nine) vehicles up – to the month of March 2008, have been pumped
into the city of Shillong. Out of these, number of cars of different categories
is only 28904 (Twenty Eight Thousand Nine Hundred and four):

Category No.
of Cars
Cars (Govt. & Pvt.) :
19951
Local Taxi :
6014
Tourist Taxi :
1675
Maxi Cab :
1264
Total No. of Cars = 28904
(Information source: District Transport Office, East Khasi Hills).

About 70 % of these cars wear Maruti Udyog Limited/Maruti

Suzuki India Limited Logo. But an interesting point to be noted here is
that there is no guarantee of total customer satisfaction. However,
dealership should always be on the look – out, to meet customer
expectations through understanding its values and cost.

Today, automobile companies face their toughest competition ever

before. They find it harder and harder to differentiate their physical
products so they are turning to service differentiation. And also, for

10
dealerships of a same company, service differentiation counts much more.
Building good customer – dealer relationship measures its performance in
the market. Dealers seek to develop a reputation for superior performance
in on – time delivery, better and faster answering of the inquiries, and
quicker resolution. Service becomes the Mantra.

Customer satisfaction is a measure of how products and services

supplied by a company meet or surpass customer expectation. It is seen as a
key performance indicator within business and is part of the four
perspectives of a Balanced Scorecard. In a competitive marketplace where
businesses compete for customers, customer satisfaction is seen as a key
differentiator and increasingly has become a key element of business
strategy.

Customer is the king of any kind of market. Bowen et al refer

customers as, “Apostles as well as Terrorists”: They sing the praises of
one’s business to friends, family and co – workers and society at large; they
also willfully take every opportunity to sabotage one’s business. Customers
are value–maximizers. No matter how good the services are delivered,
customers are not fully satisfied. But the success of any business lies
largely in doing a better job of meeting or exceeding customer expectations.

11
 UNDERSTANDING CUSTOMER SATISFACTION

Customer satisfaction is an ambiguous and abstract concept and the

actual manifestation of the state of satisfaction will vary from person to
person and product numbers of both psychological and physical variables
which correlate with satisfaction behaviors such as return and recommend
rate. Customer satisfaction may be defined as a customer’s feelings of
pleasure or disappointment resulting from comparing a product’s perceived
performance in relation to his or her expectations. If the performance falls
short of expectations, the customer is dissatisfied. If the performance
matches the expectations, the customer is satisfied. And if the performance
exceeds expectations, the customer is highly satisfied or delighted.

But satisfying customers is not as easy as it sounds. Today,

customers are more educated and informed that ever, and they have tools to
verify companies’ claims and seek out superior alternative. Customers tend
to be value maximizers, within the bounds of search costs and limited
knowledge, mobility, and income. Customers estimate which offer will
deliver the most perceived value and act on it.

There are many activities to satisfy a customer. In auto car market,

two main elements directly impact customer satisfaction after the purchase
of such a high – priced durable good: Satisfaction with dealer
performance and vehicle quality. Dealer performance encompasses all
phases of the customer – dealer relationship cycle, including vehicle
delivery and dealer service. An unpleasant experience with the dealer
during the process of buying the vehicle can lead to dissatisfaction, second
thoughts and erosion of confidence in the dealer.

12
 Delivering more than what customers expect results in a satisfied
customer. A satisfied customer is the most important asset for any
organization since it is this satisfaction which will decide the customer’s
future intention of the 3Rs (Recommendation, Revisit and Repurchase).
These are very important tools which help to increase one’s business.

Good customer service is the life blood of any business. Although

new customers are important good customer service will help generate
customer loyalty and repeat business.

There are a range of factors which organizations can shape and

influence. Each of which can impact customer satisfaction – unfortunately,
there is no single answer. Business strategy must embrace customer
satisfaction as its top priority, assessment programs of customer needs
should be continuous and long term development of resource and
technology strategy should be focused towards delighting the customer.

Ongoing analysis as part of continuous improvement programs will

facilitate business change and provide focus on what drives satisfaction and
conversely what drives dissatisfaction and thus enable it to be eliminated.

13
 PROCESSES AT THE SHOWROOM OF
BANALARI WORLD CARS

Right from the moment when the guard opens the door of the
showroom and the customer walks in, to the time when the customer drives
away with the car after the delivery process, the customer interacts with
several people in the Showroom. As we see the pictorial representation
below, there are several touch points for a customer at the dealership.

** Right now, the Customer care Manager is also taking the role of
Showroom Lobby Manager.

The persons in the showroom are performing to their best to ensure

that the customer is completely satisfied with the showroom experience.
There are three broad processes at the Showroom:

14
  Pre – sales
 Sales
 Post – sales
All these processes are inter–related to each other. A slight mistake
in one of the processes can produce bad impression.

PRE – SALES
Pre – sales process is very important because if a customer has a
satisfying experience during this process, it greatly increases the chances of
the customer eventually purchasing a car from the showroom. At this stage
the customer is still indecisive as to which car to buy and from where to
buy. Activities involved in this process are:

 Enquiry (Walk – in Enquiry/Telephonic Enquiry)

 Product Demonstration
 Test Drive
It may be represented pictorially as below:

Walk – enquiry Telephonic – enquiry

Product Demonstration

Test Drive

Pre – Sales Process: Right time to make good Impact

15
 SALES PROCESS

Sales Process comprises of all of the activities from the moment, a

customer books the vehicle with the dealership and till the time he departs
from the dealership, after taking the delivery of the vehicle. It can broadly
be divided into two distinct sub processes:
 Pre – delivery Process
 Delivery Process
Each of these is further divided into several activities as shown in the
pictorial below:

Order Booking

Finance Process Pre – Delivery Process

Delivery Process

Delivery Explanation
Delivery Process

Delivery Ceremony

Vehicle Delivery

16
 POST – SALES FOLLOW – UP (PSF)

Post – Sales Follow – up (PSF) is done in order to get a first hand

feedback from the customers about the experience they had during the sales
and delivery process.

Customer’s contact number, address, time of delivery, etc. are all

recorded during the preceding processes so that Customer Care Executive
or Sales Person or even the Customer Care Manager can easily visit or
contact the customer after 72 hours of delivery. And, in the case of
dissatisfied customer, Customer Care manager directly speak to the
customer and recorded the reasons for dissatisfaction and try to build–up
good customer–dealer relationships.

17
 CUSTOMER COMPLAINT HANDLING SYSTEM

Customer complaints are an opportunity for strengthening

relationship with the customers. Further more, they represent an
opportunity to improve things so that the same problem can be avoided in
the future.

Golden Rules of Handling Customer Complaints:

 Never run away from complaints: This only serves to worsen the
customer’s attitude.

 Receiving the complaints: Complaining customers should be

received willingly and in a positive manner. Their complaints should
not be rejected nor argued.

 Effective listening: Careful listening and note–taking is essential for

proper understanding. Taking note also reassures the customer that
his/her complaints are interested.

 Understanding the complaints: Try to think from the customer’s

point of view and focus on their needs. Identify the main complaint.

 Always represent the right picture to the customer: Let the

customer know if one can not answer immediately. Do not reply in
an ambiguous way.

18
 Complaints can come from many ways as shown in pictorial below:

*Post – Sales Follow – up

**Maruti Suzuki India Limited

After receiving the complaint, analysis and counter measures are

taken up promptly by the concern person or management personnel. It is
preferable that all complaints are resolved within three days. And effective
counter measures are to be taken up so that such complaints are not
repeated on future.

19
 Steps to be followed after receiving a customer complaint:
A flow chart of the activities that are involved in customer
complaints handling and their resolution can be given a below:

CCM should give a control number to all complaints received

and record the same in the customer complaint register.

CCM should get in touch with the customer over phone and
express regret on the inconveniences faced by the customer.

Take immediate action to ensure that the compliant is resolved.

Write a letter of apology to the customer.

CCM, along with the concerned DSE, should visit the

customer,
hand over the letter and take satisfaction note from the
customer.

Send a copy of the letter and the satisfaction note to MSIL and
also file the same in the customer Complaints Register/File
(For Complaints received from MSIL).

Discuss all the complaints in the weekly meeting with all the
staff before the Sales Manager. Necessary Counter measures
should be taken up to ensure that such complaint are not
repeated in future.

20
 PERFORMANCE OF THE ORGANIZATION

As per the information collected from the District Transport

Office(DTO), East Khasi Hills, where Shillong city is in, the number of
registered vehicles up-to the month of March 2008 is – 63,999 (Sixty
Three Thousand Nine Hundred and Ninety Nine). Out of this, total
registered cars of different category are 28904. It is also given in the table
below:

Number of Registered Cars Up – to the Month of March 2008

Type of Up – to Jan. Up – to Mar.

Vehicle 2008 2008
Car (Govt.* & 19644 19951
Pvt.)
Local Taxi 5992 6014
Maxi Cab 1248 1264
Tourist Taxi 1657 1675
Grand Total 28541 28904

*Government has registered car of only 770.

Out of the above number of cars, only 314 (Three Hundred

Fourteen) cars are from Banalari World Cars (According to the Sales up–to
the month of March 2008). So, as for now, it has the least market share.
However, its performance is very great. Total number of cars pumped into
the market in the months of February and March is only 363 (28904 –
28541). Out of this figure, 117 cars came from Banalari World Cars. The
rest figure, 246 were shared between its four key competitors in the market.

21
 Hence, this shows that it is performing very well in the market. This
also reflects that, customers are more satisfied to it.

OBJECTIVES

This, research project has been undertaken to originally contribute

to the existing stock of knowledge for its excellence in the pursuit of
‘Customer Satisfaction’ with the help of study, observation and
experiment.

Following are the objectives of the project work in the

specified subject:

1. To find out the levels of customer satisfaction: No doubt,

customers are value maximizers. So, no one can be fully satisfied.
However, if the offered Services and the Showroom experiences are
up to their expectations, customers are satisfied to certain level. This
objective to find out this level of satisfaction.

2. To understand customer values and expectations: Different

customers have different values and expectations. If these values and
expectations are met, customers are satisfied. So, it is to find out the
different values and expectations of the customer to ensure that
highest level of customer satisfaction is maintained.

22
3. To cultivate strong customer relationships: Losing an existing
customer is estimated to be worth attracting five (5) new customers.
There are certain activities to be followed after delivery has been
made in order to value customers for life. Building strong customer –
dealer relationship is a sure way to success. As such, it is to find out
the bond of customer – dealer relationship.

4. To find the ways of effective service marketing: Like any other

products or goods, services are marketed. But unlike the products,
services are produced and consumed simultaneously. However, the
nature of service marketing is quite critical that it is very hard to
understand. Finding the ways of effective marketing is a sure way to
customer satisfaction.

5. To find out the effective means of attracting and retaining

customers: To be successful and a leader in the market, it has to
beat its competitors. Attracting and retaining their customers and
new prospective customers is the sure way to be successful.
However, proper channel and means have to be created.

6. To turn Customer Service Complaints into Profits: As the saying

goes, “Customers are always right”. Complaint arises out of
dissatisfaction. Customer complaints are an opportunity for

23
 strengthening relationship with the customers. Further more, they
represent an opportunity to improve things so that the same problem
can be avoided in the future. Handling customer complaints well can
positively boost one’s profits.

7. To determine, “How Much Service is Too Much Service”: Any

business organization want to give their customers great service, but
so they should know how great it should be. “Don’t go to the moon
on service if your business model on the moon doesn’t work. No
sense ‘serving yourself to death’, bending over backwards but going
broke in the process”, says Ron Kaufman

8. To suggest measures to excel in satisfying customers: In the light

of the findings, practical suggestions to find out the best way of
approaching the potential customers and means of satisfying the
customers can be given to the management. It may also help the
management realize and look objectively at the actual situation under
which it operates and the impact it makes on the customers.

This project is also expected to surface the many commonly laden

problems faced by the dealers and the customers, which are capable of
affecting its efficiency. The question as to “who is responsible and what are
the reasons for more satisfied customers” may be answered to some extent
through the findings of the study. And also, this study will open up many
more relevant areas that may be feasible for further study.

24
 RESEARCH METHODOLOGY

Research methodology may be understood as a science of studying

‘how research is done’. To solve research problems, certain research
methods and techniques have been employed. Collection of data and
information for this research work are generated through: Primary Data
Research and Secondary Data Research.

Primary Data Research

Primary data is freshly gathered specifically for this
project. Basic sources for primary data collection for the study are
through:

 Observational research: This research, situation of interests is

checked and personally or through some mechanical device
records the relevant facts, actions, or behaviors. It implies fresh
data gathering and observing the environment.

 Survey research: It is undertaken to learn about people’s

knowledge, beliefs, preferences, and satisfaction and to measure
these magnitudes in the general population. It reveals the
percentage of people liking or disliking the service or product
offered to them by the company.

25
 Research Instruments
For collecting primary data, instruments employed in this
research work are: Questionnaire; Observation; and Interview.

Questionnaire (Quantitative)
Two types of questionnaires are employed.

 Open – ended questionnaire: Here, respondents do not possess

any options and therefore, they are allowed to answer in their own
words and often reveal about how people think.

 Closed-ended questionnaire: Under this, all the possible answers

are specified and answers that are easier to interpret and tabulations
are provided.

Contact Methods (Qualitative)

Following are the methods as to how subject should be contacted.

 Personal interview: The process of collecting data and information

through personal interview is carried out in a structured ways. This
involves arranged interviews, where respondents are appointed
for the interview; and intercept interviews by stopping people at a
servicing centre or showroom of the dealer or in a busy street
corner and requesting an interview.

 Telephone interview: For quick gathering of information, telephone

interviewing is conducted.

26
 Secondary Data Research
Secondary data is collected internally and externally. Its sources
are:

DATA ANALYSIS
Analysis begins with collection of primary data. Primary data used
in the project include observational research, survey research,
questionnaire, and interviews.

Types of Analysis Used:

 Simple tabulation: Simple tabulation is the first stage of

questionnaire survey. This type of tabulation gives information
about one or more groups of independent questions. Simple
tabulation generally results in one way tables, which supply answers
to questions about one characteristic of data only.

 Charts / graphs / diagrams: In addition to the tables a variety of

charts, graphs, and diagrams are used to represent the findings in a
better way.

 Sampling frame for the study: Sales Manager, Customer Care

Manager and all the dealers and the customers are taken as the
sample frame.

 Sampling unit: Sampling units for the study includes Management

personnel, Employees and Customers.

27
 Sampling size: Questionnaires have been distributed to 30 people
consisting of the management, employees, and customers

PROJECT ROADMAP AND LOGICAL FLOW

 INDUCTION INTO THE ORGANISATION(1th to 31th june

2010)
This involves the whole process of knowing the different
departments and function of the organization.

 DEFINING THE PROBLEM AND OBJECTIVE

To understand the problem available information was assessed as

it may be that current knowledge supports one or more hypotheses, and
solutions to the problem may become obvious through the process of
defining it. Weigh the cost of gathering more information against its
potential usefulness. Before considering surveys or field experiments,
currently held information were analyzed: sales records, complaints,
receipts, and any other records that can show where customers live and
work, and how and what they buy.in this stage the problem is identified
with the help of Mr. Ramesh Das, Sales Manager. Once the problem
was identified the problem environment was analyzed and objectives
were set accordingly so that the results of the research may help in
solving the problem if not fully but partially. Preliminary research was
done by talking to consumers and to employees. The objective of
preliminary research is to determine 1) a correct definition of the
problem 2)an understanding of the environment 3)whether the initial
feedback data-which triggered problem recognition-accurately pictured
the situation.

28
 DEVELOPING THE RESEARCH PLAN(1th june 2010-15th june
2010)

A research design is the determination and statement of the

general research approach or strategy adopted for the particular project.
The alternatives for the research methodology were selected to align
with the goals and objectives of the project. The particular design was
selected to anticipate the needs and circumstances of the proposed study
and specifying in advance what to obtain and what to do. All this should
adhere to the objectives. A research design was developed so that the
research alternative chosen should benefit the organization. The
research plan also includes the schedule of task to be completed. The
research plan was proposed to the sales manger and after careful
evaluation the plan was authorized. Before the field work the
questionnaire that was designed was tested and after evaluation of the
results and its usefulness to meet the objectives further steps were taken.

 COLLECTION OF INFORMATION(5th June 2010-15th June

2010)

Collection of information is the most time consuming of all the steps as

it involves lots of field work. Field work was schedule for completion
before the 30th of june 2010. This involves a series of steps of data
collection through emails, telephone interview and personal interview.
While the whole process is still in progress.

 ANALYZING THE INFORMATION(16th June 2009-25th June

2009)

29
 Analysis begins with collection of Secondary data. Secondary
data used in the project include questionnaire and interviews.

RESEARCH METHODOLOGY

Research methodology may be understood as a science of studying

‘how research is done’. To solve research problems, certain research
methods and techniques have been employed. Collection of data and
information for this research work are generated through: Primary Data
Research and Secondary Data Research.

I. Primary Data Research

Primary data is freshly gathered specifically for this project. Basic
sources for primary data collection for the study are through:

 Observational research: In this research, situation of interests are

checked and personally or through some mechanical device records
the relevant facts, actions, or behaviors. It implies fresh data
gathering and observing the environment.

 Survey research: It is undertaken to learn about people’s

knowledge, beliefs, preferences, and satisfaction and to measure
these magnitudes in the general population. It reveals the percentage
of people liking or disliking the service or product offered to them
by the company.

Research Instruments
For collecting primary data, instruments employed in this research
work are: Questionnaire; Observation and Interviews.

30
 Questionnaire: (Quantitative)
Two types of questionnaires are employed.
 Open-ended questionnaire: Here, respondents do not possess any
options and therefore, they are allowed to answer in their own words
and often reveal about how people think.

 Closed – ended questionnaire: Under this, all the possible answers

are specified and answers that are easier to interpret and tabulate are
provided.

Contact Methods (Qualitative)

Following are the methods as to how subject were contacted.

 Personal interview: The process of collecting data and information

through personal interview is carried out in a structured ways. This
involves arranged interviews, where respondents are appointed for
the interview; and intercept interviews by stopping people at a
servicing centre or showroom of the dealer or in a busy street corner
and requesting an interview.

 Telephone interview: For quick gathering of information, telephone

interviewing is conducted.

II. Secondary Data Research

Secondary data is collected internally and externally. Its
sources are:
 Books
 Company journals, brochures, invoices, etc.

31
 Internet sources: www. Google.com
www. Bnet.com
www. Wikipedia.com
www. Answers.com
www. Marutisuzuki.com
 Newspapers, magazines.

ANALYSIS AND FINDINGS

ANALYSIS ON THE FINDINGS FROM CUSTOMERS

How did you know Banalari World Cars?

Table 1.1

Through Percentage
Print Ad 10%
Radio 0%
TV 0%
Banners 7%
Others 83%

PercentageOf Respondents
10% 0%
0%
7% Print Ad
Radio
Tv
Banners
83%
Others

32
 The above table and pie – chart clearly reveal the effectiveness of its
promotional instruments. Most of the customers of 10% knew it through
Print Ad. Hardly, 7% of the customers know it through Banners. 0% of the
customers do not know through TV nor Radio. And 83% of the customers
knew it through others. (I.e. friends, Personal relationship and so on). It
clearly shows that customers are quite satisfied to it that they recommend
their friends or the people of Shillonglites are helping it by conveying the
message to their friends.

Why did you buy from Banalari World Cars:

Table 1.2
Through Percenta
ge
Quality Service 13%
Proximity 23%
Parking Area 0%
Personal 64%
Relationship

Table 1.2

33
 Total Respondents – 30

The above table and pie chart, clearly indicates the uneffectives of its
promotional instrument. Where most of the customer they know the
company is through Personal Relationship i.e 64%. And 23% of the
customers feel that it was proximity and 13% its quality service.
Therefore,it clearly indicate that the company could improve its
promotional instruments like media, banners, newspaper and T.v and rather
than personal relationship.
How satisfied are you with the company after the purchase you have
made?:
Through Percentage
Not satisfied 5%
Least Satisfied 4%
Satisfied 81%
Very Satisfied 10%

Table 1.3

34
 Total Respondents – 30
As seen above in the diagram, 81% of the customers are satisfied to their
buying experience. 10% of the customers said that their buying experience
were very satisfied. Only 5% of the customers said that there was no chance
of any satisfaction at all. These customers, together with some of the
customers falling in the category of satisfactory, can create havoc.

What was your first impression when you first entered the
Banalari World Cars Showroom?

Table 1.4
Reason Perc
entage
Very comfortable 85%
Comfortable 10%
Not Comfortable 5%

35
 The figure shows that 85% of the customers really felt comfortable
when they come for the first time. It is because of the concern, the dealer(s)
had on them. 10% of the customer felt that their first showroom experience
was comfortable. It was just satisfactory. But the worse is that, 6% of the
customers were not satisfied at all when they had the first showroom
experience. It is because, they were not received properly. This thing
happens when more customers rushed into the showroom where it has
fewer employees to take care of them.
If you have a problem relating to your vehicle, how do they respond
back to you?
Reason Perc
entage
Immediately 10%
Within a few hour 27%
After a day 53%
Others 10%
Table1.5

36
 As it is indicate in the above table , it shows that 53% of the
customers gets their feedback after a day. Whereas, 27% with in a few hour
and 10% respectively for both immediately and others. In this graph, it
shows that the company is quite good in handling with the customers.
Do you think the Services provided by Banalari World Cars could be
improved?

37
 In here most of the customers were agreed with the question given to
them, that the company can improve its services. As it seen in the above
table it indicates that both of the bar i.e. the first bar and the last bar have
the same percentage (i.e. 40% each). Here the respondents /customer said
that the company can improves its services by providing more faster service
and more efficient and also for better information’s/services to the
customer, the company can implement 2 or more servicing centre so that it
can help the customer in reducing time and money. And the rest, 10%, the
customer said that the employees could be more friendly and have some
hospital. And last but not the least, 10%, the employees said that they
should build a good rapport with the clients
Are you satisfied with the services provided by Banalari World
Cars?

38
 Washing
As it shown in the above graphs, it indicates 67% of the respondents
feel good with the washing of cars in BWC.13% of respondent says that it
was excellent. 3% said very good. But there was some respondent who
were not satisfy with the washing facilities of BWC i.e 14% & 3% of the
respondents who were dissatisfied. BWC needs to give full facilities to the
customer and not only that the market should maintain the standard but not
look at some personality i.e one treatment for all.
Spare part
In spare part graph it indicate that most ot the respondent are
satisfied with the availability of the spare part. Where 10% indicate as
excellent, 50% indicate as very good and 40% indicate as good and the rest
as none.
Price
According to the graph shown above,3% said as excellent, 10% said
as very good, 14% said only good. But 53% & 20% of the customer were
dissatisfied with the price of BWC. According to the interview, they said
the price is too high compare to other dealers
Repair work

39
 With the availability of skill mechanic. Most of the respondent
responds it positively. In the above graph it indicates 3% of the respondents
says its excellent, 77% of the customer says it was good and satisfied with
the repair work of the company. Even though 3% of the customer said it
was fair but this can be rectified or solve by putting more skill and effective
mechanism (mechanic).
Accessories
In accessories graph it indicate that 17% as excellent ,23% as very
good,33% as good and 27% of the respondents said as fair. But most of the
respondent complaint that the price of accessories is very high compare to
other dealers. In order to tap this loop hole the company can solve this
problem by giving the exact price of the products.
Time Taken in Servicing.
According to the above graph, it shows that 10% of the respondent
said as very good and 53% as good. Whereas,33% &4% of the customer
were dissatisfied. Because they have to wait for a longer period of time. In
order to reduce or serve, more better to the customer, the BWC can expand
it workers and machine accordingly.
Therefore on the contrarary the BWC could have put more input in
all the different department so that it can grap the market economy of the
state.
From which dealer do you want to buy your next car?

Table – 1.5
Rating Perc
entage
Banalari World Cars 67%
Rani Motors 9%
Modrina Tata Motors 6%
Mahindra n Mahindra 5%
Others 13%

40
 Total Respondents – 30

As in the chart, 67% of the customers would like to buy their next
cars in the same Showroom. This reflects that they are quite satisfied during
their first experience. However, 9% of the customers are going to Rani
Motors mean that they were not satisfied with the services of Banalari. Rest
of the customers would like to buy from, Modrina Tata Motors, Kim
Hyundai, Mahindra and Mahindra and others, it would probably mean that
they would like to try out some other products.
How likely are you to buy from the company again?

Table – 1.6
Response Percentage
(%)
Likely 83%
Not likely 1%
Unlikely 2%
Most Likely 14%
Total respondent – 30

41
 As seen in the above table that most of the customer are likely to buy
from the Banalari World Cars again. This is a good news or a positive
feedback for Banlari World Cars. As it shown in the above chart, it
indicates that 83% are likely to buy again from the company. 14% most
likely and respectively 1% and 2% are unlikely abd not likely to buy from
the company again

Did the overall Services provided by Banalari World Cars meet

your expectation?

Table – 1.7
Response Percentage
(%)
Meet 85%
Did not meet 10%
Exceed 5%

Total Respondents – 30

42
 The pie chart clearly shows that most of the customers are satisfied
with the quality of services it is providing to the customers. 85% of the
respondents rate its services as excellent. This means they are quite satisfied
and nothing to be worried about, 5% rates as good and as satisfactory. This
means, the services fall a bit short of their expectations. And 10% said that
it did not meet their expectation and needs to improve its services. Most of
these customers are dissatisfied customers. But those who want it to excel
in satisfying customers are also in this group.

43
 Suggestions to Banalari World Cars in satisfying customers:
From the responses on the questionnaires distributed and with some
amount of personal interactions to the customers, it was found that most of
the customers are satisfied with them. Most of these customers suggest to,
“Keep – up the good work”.

However, there are also certain customers, who now being a part of the
family would like to suggest some measure to further improve their service
quality. The problems, being the prices of the accessories, servicing and
promotional Activities have been addressed:

 Set reasonable prices of accessories according to exact value for

money.

 Make prompt servicing. It also includes on time delivery to some

extend.

 Do more and better promotional activities.

Keep two or three’s test drive car at least of every model in stock so
that test driving facility is avail to each and every customer.

ANALYSIS FROM THE FINDINGS OF OBSERVATIONS AND

INTERVIEWS:

44
 In carrying out this project, a group of management personnel,
comprising of three persons and two groups, comprising of five customers
in each group were interviewed. Besides, personal observation is made in
the Showroom and in the Servicing Centre. Findings from interviews and
observations are presented in the following manner:

 It is found that its major customers are the general public.

 It is found that the organization is very much in need of Human

Resource. HRM is concerned with hiring, motivating and
maintaining people in an Organization more effectively and
efficiently and in a more oraganise way. Therefore it requires a
person to look after that.

 It has been found that the organization needs more promotional

activities. Because in the entire city there is hardly any
advertisement e.g. Banners, Megazine, T.V etc about the company.
Advertisement plays a major role in the market.

 It is found that giving employment opportunity to unemployed

youths is one of its great contributions to the society.

 It has been found that should there be any manufacturing defects, the
company will exchange the product but certain conditions apply.

 It is found that there is lack of promptness in servicing cars.

 It has been found that customers are quite satisfied when Test
Driving is offered.

45
 It has been found that its Mega Fest program is one its contributions
to the society and customers are quite satisfied to it.

 It is found that till today, it has not yet developed its own website.

SWOT ANALYSIS OF BANALARI WORLD CARS

STRENGTHS:

 It has the best infrastructure and the Show – room which caters to
provide the best services and benefits in the industry to its
employees and customers.

 Show – room, Servicing Centre, True – value Centre, Oil Depot,

Canteen, etc. are all in one place. It has an unmatched site location.

 It enjoys the trust of the general public.

 It has rapport relationship with its customers.

 Test driving facility offered to customers during the pre – sales

process is one of its advantages over its competitors.

 It enjoys high amount of goodwill in the market for its Services.

 It has a stock – yard capacity of 70 and above vehicles which

enables it to make on the spot delivery.

46
 WEAKNESSES:

Lack of man power: It has no Human Resource Manager. It is also in

need of many more other employees.

Poor Management: It has been observed that its management is not up

to the mark as in the present business scenario.

Lack of Promotion: The organization is very much in need of

promotional activities which are quite important in today’s business
world.

No website: Till today, it has not created separate website of its own.

Uncompromised customers: Complaints on the prices of its

accessories are still persistent. Many customers have not been able to
convince.

OPPORTUNITIES:

It has the opportunity to open up two more sales outlets one each in
William Nagar and Jowai, both in the Shillong city and three more
Work – shops in the city.

With many satisfied customers, through the 3Rs, i.e. Recommendation,

Repurchase and Revisit, it has the right opportunity to maximize its
sales.

47
 Being new in the market, every car lover would like to visit and
experience its services. Besides, expecting higher quality of services
than those of others, those who would like to buy new Maruti cars are
coming to it.

It has been found that 83% of the existing customers would like to buy
their next car from it.

It is giving excellent financial assistance to the customer. General

public, whose purchasing power is less, would surely come to it.

So, there are ample opportunities for it to become a market leader by

maximizing its sales through satisfying customers and thereby maximizing
its profits.

THREATS:

Rani Motors, the first dealership of Maruti Suzuki India limited has
been in the market for about two decades and thus has captured many
customers. Being experienced in the market, it has become its major
threat.

Heated competitions are also coming from Kim Hyundai, Modrina Tata
Motors, Chevrolet and Mahindra and Mahindra Showrooms.

Hectic traffic condition in Shillong city is becoming a real threat.

Prospective customers discontinue buying cars. Some are switching
over to two wheelers.

It has also been found that it is about to loose 1-2% of the existing
customers. When asked whether the existing customers would continue

48
to buy from it, that much percentage of the customers responded
negatively.

LIMITATIONS
Every work has its own limitation. Limitations are extents to which the
process should not exceed. Limitations of this project are as follows..
• The project was constrained by time limit of one month.
• Getting appointment from the concern person was very
difficult.
• People mind set about the survey was an obstacle in
acquiring complete information & positive interaction.
• Respondents were very busy in their schedule. So it was
very time consuming for them to answer all the questions
properly.

CONCLUSION

49
 Every great business is built on friendship. In business, we get what
we want by giving others what they want. “Being on par in terms of price
and quality only gets you into the game. Service wins the game”, said Tony
Alessandra.

Banalari World Cars has been opened up taking in consideration of

the potentials of Shillong auto car market. Its primary goal and objective is
to provide services beyond customers’ expectations and to increase the
number of satisfied customers thereby maximizing its profits.

But satisfying customers is not as easy as it sounds. Today,

customers are more educated and informed than ever, and they have the
tool to verify companies’ claims and seek out superior alternative.
Customers tend to be value maximizers, within the bounds of search costs
and limited knowledge, mobility, and income. Customers estimate which
offer will deliver the most perceived value and act on it.

During the course of the study, it is found that so far, Banalari World
Cars has been able to deliver customers’ perceived values, defined as the
difference between total customer value and total customer cost to some
extend, though there are some irregularities here and there. But it is also
losing some of the profitable customers. It has been estimated that the cost
of attracting a new customer is fives times the cost of keeping a current
customer happy.

There is complete dealership involvement in here. Right from the

time a customer stepped – in to the time he/she drives away the car, he/she

50
interacts with many people for the entire processes at the showroom. It has
a structured system where customers can have unmatched experience
during the processes at the Showroom:

 Pre – Sales Process

 Sales Process
 Post – Sales Process

All these processes are inter–related to each other.

It is found that, during the Pre – sales Process, Test Driving facility
offered to the customer is one of its great advantages over its competitors in
the market. Having the best kind of infrastructure so far in the market and
enjoying the trust of the public and with many more strengths in hand, it
has many advantages to beat its competitors but through satisfying
customers.

It also has the opportunity to open up two more sales outlets and
three workshops in the city which mean it will better serve the customers
and society at large.

But it is not without problems. It is found that 36% of the current

customers are defecting, which means there is dissatisfaction for one or
more other reasons. The basic reason, being on the prices of its accessories.
But it cannot overlook its competitor in the market. It is estimated that 68%
of customer defection takes place because customers feel poorly treated.

Customer satisfaction is all about delivering customers’ perceived

value. But it has to be understood, “How much services have to be

51
provided”. “Don’t go to the moon on service if your business model on the
moon doesn’t work. No sense ‘serving yourself to death’, bending over
backwards but going broke in the process”, says Ron Kaufman.

Everybody is expecting higher quality of services from it. But it has

to be clearly communicated what has been promised and what not has been
promised.

During the course of the study, it has been found that its
management system needs to be restructured again. If it can cope up its
management at the earliest, with many strong points and opportunities it
has, it will surely become a Market Leader, sooner or later but through
satisfying each and every customer.

52
 RECOMMENDATIONS

There are many opportunities and advantages Banalari World Cars

has, to become the market leader. To be successful, it has to satisfy each
and every customer. So, to further improve its service quality and excel in
satisfying customers, following points are offered as recommendations:

1. Lack of Man Power: Till today, the organization has no Human

Resource Manager, which is very much unusual for this kind of
business organization. So, it is strongly recommended to bring in a
competent Human Resource Manager. It has been observed, so
recommend that it needs to employ more persons in the Showroom for
different jobs, like sales – person, receptionist, etc.

2. Prices of accessories: It has been found that most customer

complaints are on the prices of its accessories. So, if it possible the
company can improve its prices by given the exact price of the product
to the customers.

3. On Time Delivery: 8% of the customer still complaint about late

deliveries. 10% of the employees also agree with this. So, to avoid this
complaint, commitment on delivery date should be made properly.
And in case of delay, instant apology can be take up.

4. Prompt/Speed Servicing: It has been found that it is one of the

factors for customer dissatisfaction. In today’s business world, Time is
Money. No customer wants to wait or waste any time. So, it is hereby
recommended to be more prompt in servicing.

53
5. Cars in Stock Yard: It has been found that almost every car in the
stock yard is Maruti – 800 and Maruti Alto. Having a large stock yard
capacity of 70 and above, it will be much better to keep at least two or
three cars of every model. This will enable customers to take Test
Drive to every customer. The stock yard is also quite open. It needs to
be roofed but of course with translucent CIG sheets. This will attract
more customers, and give better impression but it also keeps the cars
clean.

6. Feed back Box: In general, many people do not dare to give feed back
before the concern person. So, to find out its customers’ level of
satisfaction and also to know the performance of its employees,
hanging a Feed – back Box in a proper site is one of surest means.
Besides, employees can also express their feelings and opinions to
further improve its service quality.

7. Customers for Life: To keep customers for life is to keep in touch

always and becoming its service advisor. So, each and every customer
is contacted through telephone or better visit customer by the concern
sales person once or twice every month for the first three months. And
then, once or twice every after six months. Making a surprise gift by
finding out its special day like Birth – day of his/her child, any kind of
anniversary, etc will increase the customers’ loyalty and stay for life.

8. Promotional Activities: In the course of the study when interact with

friends, office, businessmen, etc. many of them did not know that this
dealership has been open up in Mawlai, Shillong. So, if possible I
would to advice the company to take up more promotional activities in

54
 all available Medias for quick promotion of its products and services
and capture customers before others do..

9. Review of Customer Care Activities: Customer care activities

should be reviewed at least once in a week by Chief Executive
Manager or General Sales Manager, focusing on customer care related
activities. This will surely enhance its care for the customers which
mean more satisfactions.

10. Website: It is strongly recommended to create separate website of its

own as soon as possible.

11. Showroom Ambience: To maintain perfect Showroom ambience,

Showroom Lobby Manager can be appointed if possible. But
providing necessary in formation regarding the company’s
performance in the market through its Journals, magazines, etc, and
maintaining an updated bulletin board is a must.

12. Secret Agent: Spying is not at all bad. To know the performance of its
competitors, secret agent may be appointed.

13. Customer Satisfaction Research: A research on customer

satisfaction should be taken up at regular intervals by a competent
researcher.

14. Since the customer has unlimited wants, I would to advice the
company to keep certain or various type of car of different company
under one roof so that the customer can choose different type of car
according to their wants, if possible with the rule and regulation of the
state and others dealer.

55
 APPENDIX – I

Dear, Sir/Madam as part of our curriculum I Goldenstar Surong student

of Management Studies from Martin Luther Christian University have to
undertake an internship program for the period of one month. With regard to this,

56
I am based at Banalari World Cars and chosen a topic entitled” Customer
Satisfaction of Banalari World Car Shillong”.
The information provided by you will help me complete the project
successfully and will be kept confidential. Contact Number: 9862051588
Name_______________________________________________________
_____

Age

Address____________________________________________

Gender Contact

Number____________________________________

Occupation__________________________________________________
______

QUESTIONS

Please tick on the appropriate boxes.

1. How did you come to know about Banalari World Car?

Print Ad [ ] Radio [ ] TV [ ] Banners [ ] Others [ ]

2. What/ Who prompted you to visit Banalari World Car?

Print Ad [ ] Radio [ ] TV [ ] Banners [ ] Others [ ]

3. Why did you buy your car from Banalari World Car?

Quality Service [ ] Proximity [ ] Parking Area [ ] Personal

Relationship [ ]

4. What was your impression when you first entered the Banalari World Car
Showroom?

Very comfortable [ ] Comfortable [ ] not Comfortable [ ]

5. How satisfied are you with the company after the purchase you have
made?

Not Satisfied [ ] Least Satisfied [ ] Satisfied [ ] Very Satisfied [ ]

57
6. Are you Satisfied with the services provided by Banalari World Car?

Yes [ ] No [ ]
7. On a scale of 1 to 5, 1 being Excellent 2 Very Good 3 Good 4 Fair 5 Poor.

Please put a tick (√) mark on the following services.

1 2 3
4 5
Wash
ing of cars
Repai
r Works
Spare
parts
Availability
Accessories
Price
Time taken
in servicing
Skills of
mechanic
Ambience
Friendly
Reception
Hospitality

8. Apart from the above Services is/are there any other services provided by
Banalari World Car?

Yes [ ] No [ ]
If yes please
specify______________________________________________________
____________________________________________________________
________________________

9. If you have a problem relating to your vehicle, how do they respond back
to you?

Immediately [ ] Within a few hour [ ] After a day [ ] Others [ ]

58
10. Do you think the Services provided by Banalari World Car could be
improved?

Yes [ ] No [ ]

If yes, which of the following areas would you suggest?

[ ] Faster Service/ More efficient

[ ] Employees could be more friendly and hospital
[ ] Employees should communicate better with clients
[ ] Providing more outlets for better information
[ ] Others please
specify______________________________________________________
____________________________________________________________
________________________

11. Please rate the overall performance of the company.

The efficiency of call handling [ ] Poor [ ] Good [ ] Fair [ ] Very

Good[ ] Excellent
Communication and Follow up [ ] Poor [ ] Good [ ] Fair [ ] Very
Good[ ] Excellent
Resolution of the issue [ ] Poor [ ] Good [ ] Fair [ ] Very
Good[ ] Excellent
Response Time [ ] Poor [ ] Good [ ] Fair [ ] Very
Good[ ] Excellent
The helped you needed was offered [ ] Poor [ ] Good [ ] Fair [ ]
Very Good[ ] Excellent.
12. From which dealer do you want to buy your next car?

[ ] Banalari World Car

[ ] Rani Motors
[ ] Modrina Tata Motors
[ ] Mahindra and Mahindra
[ ] Others

13. How likely are you to buy from the company again?

Likely [ ] Not Likely [ ] Unlikely [ ] Most Likely [ ]

14. Did the overall Services provided by Banalari meet your expectation?

59
 Meet [ ] Did not meet [ ] Exceed [ ]

15. What would you suggest Banalari World Car in satisfying customer?

______________________________________________________
____________________________________________________________
____________________________________________________________
__________________________________________

60
 BIBLIOGRAPHY

“Marketing Management”
Philip Kotler and Kevin Lane Keller.
Twelfth Edition: Prentice Hall of India, 2006.

“Consumer Behavior Building Marketing Strategy”

Del I. Hawkins, Roger J Best and Kenneth A. Coney
Contributing Author – Eric C Koch.
Ninth Edition: Tata McGraw – Hill Publishing Company
Limited, 2003.

“Research Methodology”
Kothari C.R.
Second (Reprint) Edition: New Age India Private Limited, 2005.

“Sales Operation Standards”

Maruti – Suzuki
Issue No. 1, June 2010

61