Intern

The best way to improve customer satisfaction is to first measure it and then apply
methods to enhance it. It helps the supplier to always keep a check on allover business
processes by identifying strong and weak aspects and creating strong bond with all
their customers to enhance business.
Methods of Measuring Customer Satisfaction
Managing customers‟ satisfaction efficiently is one the biggest challenge an
organization face. The tools or methods to measure customer satisfaction needs to be
defined sophisticatedly to fulfill the desired norms. There are following methods to
measure customer satisfaction:
1. Direct Methods: Directly contacting customers and getting their valuable
feedback is very important. Following are some of the ways by which
customers could be directly tabbed:
a. Getting customer feedback through third party agencies.
b. Direct marketing, in-house call centers, complaint handling department
could be treated as first point of contact for getting customer feedback.
These feedbacks are compiled to analyze customers‟ perception.
c. Getting customer feedback through face to face conversation or
meeting.
d. Feedback through complaint or appreciation letter.
e. Direct customer feedback through surveys and questionnaires.
Organizations mostly employ external agencies to listen to their customers and
provide dedicated feedback to them. These feedbacks needs to be
sophisticated and in structured format so that conclusive results could be
fetched out. Face to face meetings and complaint or appreciation letter
engages immediate issues. The feedback received in this is not uniformed as
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different types of customers are addressed with different domains of questions.
This hiders the analysis process to be performed accurately and consistently.
Hence the best way is to implement a proper survey which consists of
uniformed questionnaire to get customer feedback from well segmented
customers. The design of the prepared questionnaire is an important aspect and
should enclose all the essential factors of business. The questions asked should
be in a way that the customer is encouraged to respond in a obvious way/.
These feedback could received by the organizations can be treated as one of
the best way to measure customer satisfaction.
Apart from the above methods there is another very popular direct method
which is surprise market visit. By this, information regarding different
segment of products and services provided to the customers could be obtained
in an efficient manner. It becomes easy for the supplier to know the weak and
strong aspects of products and services.
2. Indirect Method: The major drawback of direct methods is that it turns out to
be very costly and requires a lot of pre compiled preparations to implement.
For getting the valuable feedbacks the supplier totally depends on the
customer due to which they looses options and chances to take corrective
measure at correct time. Hence there are other following indirect methods of
getting feedback regarding customer satisfaction:
a. Customer Complaints: Customer‟s complaints are the issues and
problems reported by the customer to supplier with regards to any
specific product or related service. These complaints can be classified
under different segments according to the severity and department. If
the complaints under a particular segment go high in a specific period
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of time then the performance of the organization is degrading in that
specific area or segment. But if the complaints diminish in a specific
period of time then that means the organization is performing well and
customer satisfaction level is also higher.
b. Customer Loyalty: It is necessarily required for an organization to
interact and communicate with customers on a regular basis to increase
customer loyalty. In these interactions and communications it is
required to learn and determine all individual customer needs and
respond accordingly. A customer is said to be loyal if he revisits
supplier on regular basis for purchases. These loyal customers are the
satisfied ones and hence they are bounded with a relationship with the
supplier. Hence by obtaining the customer loyalty index, suppliers can
indirectly measure customer satisfaction.
Factors affecting Customer Satisfaction
Customer satisfaction is the overall impression of customer about the supplier and the
products and services delivered by the supplier. Following are the important factors
that could affect customer satisfaction:
 Departmentwise capability of the supplier.
 Technological and engineering or re-engineering aspects of products and
services.
 Type and quality of response provided by the supplier.
 Supplier‟s capability to commit on deadlines and how efficiently they are met.
 Customer service provided by the supplier.
 Complaint management.
 Cost, quality, performance and efficiency of the product.
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 Supplier‟s personal facets like etiquettes and friendliness.
 Supplier‟s ability to manage whole customer life cycle.
 Compatible and hassle free functions and operations.
The above factors could be widely classified under two categories i.e. suppliers
behavior and performance of product and services. The supplier‟s behavior mostly
depends on the behavior of its senior subordinates, managers and internal employees.
All the functional activities like customer response, direct product and maintenance
services, complaint management etc. are the factors that rely on how skillful and
trained the internal and human resources of the supplier are. The second category is
regarding all the products and services. This depends on the capability of supplier to
how to nurture the products and service efficiently and how skilled the employees are.
It‟s all about how the skills are implemented to demonstrate engineering, re-
engineering and technological aspects of the products and services. The quality and
efficaciousness of the products is also an important factor that enables compatible and
hassle free functions and operations. This bears to lower maintenance and higher life
of the product which is highly admired by the customers.
If the product is having some problem or compatibility issues and requires frequent
maintenance and support than the customers could get irritated and possibilities of
sudden divert is there which lead to supplier‟s financial loss. In the same way if the
product is expecting huge amount of financial and manual resources then customers
could get a feeling of dissatisfaction and worry. However, if these aspects are handled
efficiently by giving class services and dealing with complaints effectively then
dissatisfied customers could be converted into long time satisfied customers and
retaining them becomes easy.
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It is practically impossible for the supplier to provide all the above explained features.
There are always some positive as well as negative features in products and services
which could lead to delight or irritate customers. The final opinion is the sum of
overall experiences which a customer percept. But it is also true that more the positive
aspects, the more the customer is satisfied. Hence the aim of the supplier should be
always to enhance these positive feelings among all the customers to increase
customer satisfaction. The supplier must identify how to enhance these positive
aspects to maximum level by analyzing the customer‟s data and information using
CRM system. The individual liking and disliking of customers differ from customer
to customer. It is hence required to target a customer and identify individual
requirement to make them satisfied.
Having discussed the above factors that affect customer satisfaction we can say that
higher the satisfaction level, higher is the sentimental attachment of customers with
the specific brand of product and also with the supplier. This helps in making a strong
and healthy customer-supplier bonding. This bonding forces the customer to be tied
up with that particular supplier and chances of defection are very less. Hence
customer satisfaction is very important panorama that every supplier should focus on
to establish a renounced position in the global market and enhance business and
profit.
Customer Retention - A Strategic Process to Retain Existing Customers
It is difficult to exactly define customer retention as it is a variable process. A basic
definition could be „customer retention is the process when customers continue to
buy products and services within a determine time period‟. However this
definition is not applicable for most of the high end and low purchase frequency
products as each and every product is not purchased by the customer. For example in
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the stock brokerage industry, a customer may not buy a particular scrip in the given
period of time but is tended to buy the same when the conditions to buy the scrip
becomes favorable and when the customer evaluates that now this scrip could be
profitable to buy. In this case the definition of customer retention could be „customer
retention is the process when customer is intended to buy the product and services at
next favorable buy occasion‟. These products are called as long purchase cycle
products.
In some scenarios customer‟s buying intentions cannot be determined with respect to
financial aspects. For example, some magazines are available online for free and there
are no intended charges to read these magazines. A reader who is frequently reading
every edition of magazine online could be considered as retained customer as through
his intentional behavior he shows the magazine company that he likes the magazine
content and he tends to maintain a valuable relationship with the company. Hence this
magnifies one more aspect in customer retention definition that revenue is not the
deciding criteria that indicates that the customer is retained or not.
Customer retention highly depends on attrition and silent attrition rates. Attrition is
the process when customers no longer want to use product and services provided by
the supplier and breaks the relationship bond by informing the supplier that he will be
no more a customer. Most of the defecting customers don‟t even intimate the supplier
that they are defecting. This process is called silent attrition where the customer stops
purchasing the product and services and divert to other suppliers without even
informing them. During attrition, organization should prepare serious customer
retaining strategies to save the customer to defect. It is often seen that if these
corrective measures are implemented successfully to save defection then retention
level increases to a much higher level as compared to a normal retention process.
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Silent attrition causes the real damage to the organizations because they do not even
know when the customer defected. They find no time to implement the corrective
measures to try retaining that particular customer or even determine if the customer
can be retained or not.
Customer retention does not make sure that the customer is loyal. For example, a
brokerage firm has both traditional trading platform and online trading platform. A
customer has his trading account in traditional platform but after some time he feels to
switch to online trading platform. Now in this situation, the customer is not
considered to be loyal to the given services, but the customer is said to be retained by
the same organization.
Customer retention is a strategic process to keep or retain the existing
customers and not letting them to diverge or defect to other suppliers or organization
for business and this is only possible when there is a quality relationship between
customer and supplier. Usually a customer is tended towards sticking to a particular
brand or product as far as his basic needs are continued to be properly fulfilled. He
does not opt for taking a risk in going for a new product. More is the possibility to
retain customers the more is the probability of net growth of business.
Customer Retention Strategy
Following are some of the important strategies that should be implemented for
increasing customer retention:
1. Changing Retention rates: There are two basic strategies for changing
retention rates:
a. Fixed response higher spending: Retention rates can be substantially
increased by spending more on creating new business strategies or
remolding existing strategies to increase retention rates.
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b. Fixed spending higher response: The retention rates graph can also
be hiked by implementing changes in business processes without
spending anything. However, it‟s a tough task for organizations to
achieve this because it‟s difficult to increase retention without
incurring any cost. Though this approach is preferred but it‟s not
always feasible.
By taking an example of organizational customer service we can easily
compare the above two strategies. The organization could endow their
customer service executives and allow them to take quick actions with regards
to customer queries and problems. This may lead to increase retention rates
without incurring any cost. But if the organization enhances retention
spending by rather adding more customer service executives, queries and
problems could be more quickly materialized and hence increase retention rate
vastly.
2. Short term loss and long term gain: It is not desirable for organization to
retain all the customers. But high valued and profitable customers must be
retained. Loyal customers who are high valued and are in relationship with
supplier for a longer period of time, tend to produce higher profit. They
normally require low service cost and are most likely ready to take premium
services. They also act like brand ambassadors for the supplier to advocate
other prospects to become potential customers. Hence it is essential for the
organization to nurture their customers to create a strong bonding with them in
short run and then focusing on higher profits in the long run over the whole
life cycle of customers.
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3. Pricing best customers: Retention rate also depends on how the pricing of
products are managed among the best valued customers. All the customers are
always cost sensitive and concentrate basically to buy products on cheap rates.
However, cost sensitivity of a customer substantially depends on condition of
the market. For example if a product becomes extraordinarily famous and
demanding in market and every customer is tending towards capturing this
product then it becomes necessary to focus on technological aspects rather
than focusing on the cost. If they do so then the cost sensitivity of these
customers is least. Similarly if a product becomes common in market due to
emerging competitors coming up with similar but more prominent products,
then in this competition the value of the product decreases and the companies
become rarely bothered for them. In this scenario the customers have the right
to become highly cost sensitive as they know that they can negotiate with the
suppliers to a greater extent.
4. Retention and acquisition link: Retention and acquisition are interdependent
approaches. Take an example of a Gym that provides a very low introductory
offer to all the customers to attract them. Many customers are very price
sensitive and have the tendency to defect if the Gym increases future
membership price. If the Gym also provides the renewal cost to be as low as
introductory price then they have a better chance to retain these price sensitive
customers. But by doing so they are in risk of loosing high valued customers
who prefer best services and less surrounding crowd. In this case the Gym
must implement the strategy to continue taking high membership renewal cost.
This process may lead to most of the low value customers to defect but the
total profit in retaining the high value customers will be always more. This
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also helps to uplift the image and status of the Gym by providing best services
to its customers which results in acquiring and retaining more high valued
customers and generate good profit.
Determinants of Customer Retention
According to the market evidences following are the main determinants of
customer retention:
1. Delivered quality of products and services versus customer
expectation: The worthiness of a particular product or service does not
depend on its own merits. It is only worth and useful if it meets all customers‟
expectation. If the customer expectation is very high and the provided product
or service does not meet his expectation then the customer will obviously not
purchase that particular product again. Hence one of the key facets in
determining retention is the deference between the quality of the product or
service provided and the customer‟s expectation. The organization must
always try to optimize the balance between quality of product and expectation
from customers.
2. Value: Value here could be defined as the getting a quality product at optimal
cost. Possibilities are there that the organization could provide excellent
quality product with matching price or similar quality products at
comparatively lower price. Sometimes the organizations justify a lower quality
product to be of good quality product and argue to get greater price. After the
customer identifies that real value of the product is not worth its quality it may
lead to customer detection.
3. Uniqueness and suitability of products: Most customers prefer unique and
different product. Identical products normally decrease the probability of
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selling. Uniqueness in products often increases the demand of that particular
product in the global market. More importantly, the unique products should
also be suitable so that it meets the differential expectations of range of
customers. Hence uniqueness and suitability of products helps in retaining
customers to a higher extent.
4. Loyalty: It is necessarily required for an organization to interact and
communicate with customers on a regular basis to increase customer loyalty.
In these interactions and communications it is required to learn and determine
all individual customer needs and respond accordingly. Even if the products
are identical in competing markets, loyalty provides high retention rates. For
example, shoppers and retailers are engaged with frequent shopping and credit
cards to gain customer loyalty, many high end retailers also provide
membership cards and discount benefits on those cards so that the customer
remain loyal to them. All the important marketing strategies results in
customer retention.
5. Easy availability: Some of the products in market are not easily available.
This may be because of poor marketing strategy or less retail stores. This
could have an adverse effect on retention rates. For example, a customer is not
able to buy a special brand of perfume if it not widely available in market or if
the direct supplier or retail stores are not reachable to the customer, even if the
product is of high demand. Hence, easily available products could be enhances
its selling power and hence customer retention.
6. Customer service: Customer service could be considered as the most
important aspect of customer retention. In some cases, customer service
determines if or not a customer defects from organization. Customer service is
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the reaction by the organization to the queries and activities of the customer.
Dealing with these queries intelligently is very important as small
misunderstandings could convey unalike perceptions. Success totally depends
on understanding and interpreting these queries and then working out to
provide the best solution. During this situation if the supplier wins to satisfy
the customer by properly answering to his queries, he succeeds in explicating
a professional and emotional relationship with him. Hence customer service is
one of the most influential determinants of customer retention.
7. Exit barrier: Organizations which are successful in creating an exit barrier
can obviously retain customers. For example, by providing rewards and
concessions to continuously buying customers or by designing and
customizing the products according to customer needs could create a barrier
against the customer to switch to other options.
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o International Centre for Automotive Technology (ICAT), Manesar
o National Institute for Automotive Inspection, Maintenance & Training
(NIAIMT), Silchar
o National Automotive Testing Tracks (NATRAX), Indore
o Automotive Research Association of India (ARAI), Pune
o Global Automotive Research Centre (GARC), Chennai
 SAMARTH Udyog – Industry 4.0 centres: „Demo cum experience‟ centres
are being set up in the country for promoting smart and advanced
manufacturing helping SMEs to implement Industry 4.0 (automation and data
exchange in manufacturing technology).
Road Ahead
The automobile industry is supported by various factors such as availability of skilled
labour at low cost, robust R&D centres and low cost steel production. The industry
also provides great opportunities for investment and direct and indirect employment
to skilled and unskilled labour.
Indian automotive industry (including component manufacturing) is expected to reach
Rs 16.16-18.18 trillion (US$ 251.4-282.8 billion) by 2026. Two-wheelers are
expected to grow 9 per cent in 2018.
References: Media Reports, Press Releases, Department of Industrial Policy and
Promotion (DIPP), Automotive Component Manufacturers Association of India
(ACMA), Society of Indian Automobile Manufacturers (SIAM), Union Budget 2015-
16, Union Budget 2017-18
Exchange Rate Used: INR 1 = US$ 0.0139 as of FY19
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History
Tata Group entered the commercial vehicle sector in 1954 after forming a joint
venture with Daimler-Benz of Germany. After years of dominating the commercial
vehicle market in India, Tata Motors entered the passenger vehicle market in 1991 by
launching the Tata Sierra, a sport utility vehicle based on the Tata Mobile platform.
Tata subsequently launched the Tata Estate (1992; a station wagon design based on
the earlier Tata Mobile), the Tata Sumo (1994, a 5-door SUV) and the Tata Safari
(1998).
Tata launched the Indica in 1998, the first fully indigenous Indian passenger car.
Although initially criticized by auto analysts, its excellent fuel economy, powerful
engine, and an aggressive marketing strategy made it one of the best-selling cars in
the history of the Indian automobile industries. A newer version of the car, named
Indica V2, was a major improvement over the previous version and quickly became a
mass favourite. Tata Motors also successfully exported large numbers of the car to
South Africa. The success of the Indica played a key role in the growth of Tata
Motors.
In 2004, Tata Motors acquired Daewoo's South Korea-based truck manufacturing
unit, Daewoo Commercial Vehicles Company, later renamed Tata Daewoo.
On 27 September 2004, Tata Motors rang the opening bell at the New York Stock
Exchange (NYSE) to mark the listing of Tata Motors.
In 2005, Tata Motors acquired a 21% controlling stake in the Spanish bus and coach
manufacturer Hispano Carrocera. Tata Motors continued its market area expansion
through the introduction of new products such as buses (Starbus and Globus, jointly
developed with subsidiary Hispano Carrocera) and trucks (Novus, jointly developed
with subsidiary Tata Daewoo).
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In 2006, Tata formed a joint venture with the Brazil-based Marcopolo, Tata
Marcopolo Bus, to manufacture fully built buses and coaches.
Tata Bolt
In 2008, Tata Motors acquired the English car maker Jaguar Land Rover,
manufacturer of the Jaguar and Land Rover from Ford Motor Company.
In May 2009, Tata unveiled the Tata World Truck range jointly developed with Tata
Daewoo; the range went on sale in South Korea, South Africa, the SAARC countries,
and the Middle East at the end of 2009.
Tata acquired full ownership of Hispano Carrocera in 2009.
In 2009, its Lucknow plant was awarded the "Best of All" Rajiv Gandhi National
Quality Award.
In 2010, Tata Motors acquired an 80% stake in the Italian design and engineering
company Trilix for €1.85 million. The acquisition formed part of the company's plan
to enhance its styling and design capabilities.
In 2012, Tata Motors announced it would invest around ₹6 billion in the development
of Futuristic Infantry Combat Vehicles in collaboration with DRDO.
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In 2013, Tata Motors announced it will sell in India, the first vehicle in the world to
run on compressed air (engines designed by the French company MDI) and dubbed
"Mini CAT".
In 2014, Tata Motors introduced first Truck Racing championship in India "T1 Prima
Truck Racing Championship".
On 26 January 2014, the Managing Director Karl Slym was found dead. He fell from
the 22nd floor to the fourth floor of the Shangri-La Hotel in Bangkok, where he was
to attend a meeting of Tata Motors Thailand.
On 2 November 2015, Tata Motors announced Lionel Messi as global brand
ambassador at New Delhi, to promote and endorse passenger vehicles globally.
On 27 December 2016, Tata Motors announced the Bollywood actor Akshay Kumar
as brand ambassador for its commercial vehicles range.
On 8 March 2017, Tata Motors announced that it has signed a memorandum of
understanding with Volkswagen to develop vehicles for India's domestic market.
On 3 May 2018, Tata Motors announced that it sold its aerospace and defense
business to another Tata Group Entity, Tata Advanced Systems, to unlock their full
potential.
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Tata LPTA 713 TC (4x4)
Tata LPT 709 E
Tata SD 1015 TC (4x4)
Tata Sumo 4x4
Tata Xenon
Tata 207
Tata Motors proposed an overhaul of armoured fighting vehicles and infantry main
combat vehicles in 2015. The inter-ministerial committee was chaired by Secretary in
the Department of Industrial Policy and Promotion (DIPP) approved most of the
proposals from the defense Manufacturing sector in India.
Electric vehicles
Tata Motors has unveiled electric versions of the Tata Indica passenger car powered
by TM4 electric motors and inverters, as well as the Tata Ace commercial vehicle,
both of which run on lithium batteries.
Tata Motors' UK subsidiary, Tata Motors European Technical Centre, has bought a
50.3% holding in electric vehicle technology firm Miljøbil Grenland/Innovasjon of
Norway for US$1.93 million, and plans to launch the electric Indica hatchback in
Europe next year.[ In September 2010, Tata Motors presented four CNG–Electric
Hybrid low-floored Starbuses to the Delhi Transport Corporation, to be used during
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Short-term strategies In 2008, Tata Motors purchased two world car brands- Jaguar
and Land Rover from Ford Motors for US$2.3 billion and started to make JLR to be
the main business of Tata Motors(Richard, L, 2009). As JLR is one of the most
famous brands in the world, the investment made by Tata Motors gained both
advanced products and high reputation all over the world. In 2008, there was one car
called “Nano” to be produced by Tata Motors, which only costs US$2000. This
product turned to be the main products to large and low-price car market both in India
and other developing countries.
Obviously, Tata Motors‟ targeting market is mainly low-price markets in developing
countries because in these markets, customers do not have plenty of money and they
only afford low price products. Many companies ignore these markets because they
may think it is difficult to gain a lot profit from these markets, so Tata Motors decided
to target these markets and provided low price cars that customers can afford.
Weaknesses: The weaknesses of Tata Motors are mainly too many competitors form
domestic and foreign: Domestic competitors: Because of the barriers to entry Indian
automobiles markets by government policy, there are mainly three major competitors:
The first one is “Maruti Suzuki”, which is controlled by Japanese company Suzuki
and is the largest passenger car segment in India.The second one is “Mahindra and
Mahindra”, which is targeting Multi-Utility Vehicle Sector (MUVs) market. MUVs
are the cars that are larger than passenger cars and also can be used in transportation,
and Mahindra is the market leader in MUVs market who stands for about 50% market
42
shares. The third competitor is “Hindustan Motors”, which is targeting passenger cars,
trucks and other commercial vehicles.
Even though Hindustan Motors is the smallest among above four companies, because
of its ownership of famous family, the Birla Group, Hindustan has potential to follow
up. (Richard, L, 2009) Name of CompetitorsTargeting Market
Maruti Suzukipassenger car MahindraMulti-Utility Vehicle Sector (MUVs)
Hindustan Motorspassenger cars, trucks and other commercial vehicles
Foreign competitors Even though Tata Group has been the leader in auto industry in
India already, it has many foreign competitors such as Ford Motor Co., Toyota,
General Motors Corporation, etc. For expanding its business to other countries,
especially some developing countries such as China and Korean, Tata Group has to
compete with these multinational auto companies through analyzing their strategies.
As below shown the main foreign competitors.(Richard, L, 2009) Opportunities
Since Tata Motors uses three-pronged strategy, which includes better communication
of ideas, learning from other companies and supporting collaborative, Tata Motors
firstly focuses on efficiency of exchanging of ideas, and this strategy provides ideas
changing rapidly and smoothly, that means, innovative ideas can be discussed among
all employees and brainstorm can be easily applied so that innovative ideas will be
applied soon also.
43
Tata Motors secondly focuses on learning from other companies, benchmarking is
used by managers that Tata Motors will get advanced technologies and experiences
from other leading companies such as Ford and Toyota. Thirdly, Tata Motors supports
collaborative research that some academic institutions will give suggestions to Tata
Motors so Tata Motors can get professional improvements from this strategy. Tata
Motors is focusing on innovation. Innovation is the most fundamental and essential
factor in growth of company.
Without innovation, companies cannot acquire competitive advantages compared with
other innovative companies because innovation significantly satisfy customers‟
changing demands. Tata Motors has been applying two short-term strategies includes
acquiring JLR brand and producing cheapest cars called “Nano”. Actually, these two
strategies are based on long-term strategies mentioned above. Acquiring JLR brand
improves reputation of Tata Motors and also Tata Motors acquire acknowledge of
JLR and producing cheapest cars “Nano” is innovative activity to Tata Motors‟
targeting market.
Threats: As weaknesses showed above, Tata Motors are facing to many competitors
includes domestic and foreign competitors. Among these competitors, the domestic
competitors that contains Maruti Suzuki, Mahindra and Hindustan Motors are all
followers compared to Tata Motors. However, in some specific area such as in
passenger market, Maruti Suzuki is the leader and in Multi-Utility Vehicle Sector
market Mahindra has more than 50% market shares. Therefore, they are threats to
Tata Motors in India market and they set barriers to entry to Tata Motors because of
their economic of scale in their targeting market.
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Otherwise, among foreign competitors, Toyota is the leader in Asian market, and Ford
and General Motors have big market shares in Euro market. If Tata Motors wants to
expand its business abroad, it is difficult to challenge them. Tata acquired JLR brand
and has made great success on it especially in China market. However, the activities
of purchasing other companies‟ brands will make Tata Motors facing to risks because
the payment costs a lot. Meanwhile, the other strategy of producing innovative cars
“Nano” did not bring expected profit to Tata Motors which cost plenty of capital and
human resources.
Conclusion and Implications All in all, Tata Motors has been in a good structured
group, Tata Group, and has many strategies for improving itself. Tata Motors has
been the biggest automobile company in India because of the passion from the
Chairman Jamsetji Tata. What he wanted to see Tata Motors is going to be the top one
in India and abroad. Even though Tata Motors has a lot of competitors in both
domestic and abroad, Tata Motors insists on innovation strategy and purchasing other
world brand for learning and improving reputation.
However, as the loss of producing Nano cars, what Tata Motors needs to do is
focusing on segmenting market, selecting targeting marketing and exactly positioning
market position. For doing these, Tata Motors need to deeply understand what
customers‟ real needs and demands and following this direction, Tata Motors‟
innovation strategies can attract new customers and remain existed customers to get
profits.
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Segmentation, targeting, positioning in the Marketing strategy of
Tata Motors –
Tata Motors does not follow a single marketing approach or formula but it believes
that all members of the community should be served. Brand targets crowd from the
rural part to the metros with its offerings varying from NANO to Jaguar Land
Roversegment.
It targets anyone above 4 Lakh p.a. salary, millennial employed as professionals,
managers and all those looking to switch from 2-wheeler to 4-wheeler. The age
bracket for brand‟s offering varies from 21-65 years with all Middle class. Upper
middle class, High class and Affluent class in its target category.
Tata Motors offers products such as Tata ACE a mini truck mainly used for
agriculture transport purpose, Tata NANO for the middle class, Tata Indica
and Indigo for commercial purposes and Jaguar in the high-class segment thus
creating the image that there‟s something for everyone in its huge line of offerings.
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Differentiated targeting strategy is used by Tata Motors to target the customers and
satisfy their needs and wants.
Mission – “We innovate with passion,

mobility solutions to enhance the quality
of life”
Vision –
“As a high-performance organization, we

are by, FY2019
 Among the top 3 in the global CV and

domestic PV
 Achieving Sustainable financial
performance
 Delivering exciting innovations”
Tagline – “Connecting Aspirations”.
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BCG Matrix in the Marketing strategy of Tata Motors –
Indica being the most preferred commercial vehicle features in the star segment along
with Safari Dicor, Manza, Winger and Magic.
With Safari, Sumo and Indigo CS being their cash cow, Nano& Zest still continues to
be in question mark segment.
Distribution strategy in the Marketing strategy of Tata Motors –
With 576 car dealers across 424 cities in India, TATA Motors holds a robust dealers
network in the country through it sells more than 56,000 in the month of July 2018.
Brand registered a staggering growth of 64% in its domestic sales for the first quarter
(April-June 2018), FY19 at 164,579 units compared to 100,141 units over the
previous year due to its strong network of dealers.
Brand equity in the Marketing strategy of Tata Motors –
TATA aims to fulfil the emerging needs of the automobile industry by coming up
with a new range of products. These products are manufactured with the purpose of
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providing comfort, reliability, safety, capacity and value to the end customers. In
order to stay ahead of the competition, the company is going for huge investments in
the area of product development. TATA Nano carries an image of the cheapest car in
the world, TATA Ace is being introduced in the commercial vehicle market for
snatching the market share of its rivals. Another sporty vehicle Nexon with both
diesel and petrol engine is also attracting customers already.
Competitive analysis in the Marketing strategy of Tata Motors –
With the Indian automotive market being overcrowded with a lot of national and
international players following a red ocean strategy. Companies like Hyundai,
Fiat, Maruti Suzuki, Toyota & Honda are giving a stiff competition to the brand with
everyone eating each other‟s market share.
Market analysis in the Marketing strategy of Tata Motors –
With a market share of 44% in commercial vehicles segment in a 2017-2018 brand is
a market leader in the sector.
With an initiative Turnaround, 2.0 company is targeting to regain its market share in
Passenger vehicle segment. Part of this has already put in place which has already
started showing signs of improvement for the company‟s PV firm.
With the focus on serviceability tapping and penetrating the growing markets will
further help the company with its Turnaround 2.0 initiative in this highly competitive
sector.
Customer analysis in the Marketing strategy of Tata Motors –
Customers of TATA Motors are the low, middle groups who are looking to switch to
4-wheeler from 2-wheeler who are looking to purchase a car for a family purpose at
affordable prices. Customers of the brand also include youth and high-class business
51
professional who is looking for innovative, trending vehicles with world-class safety
features.
Promotional strategy in the Marketing strategy of Tata Motors –
TATA Motors carries out its promotional strategy in 2 ways:
Above the line (ATL)
 It includes: print ads (newspaper advertisements by local dealers, magazines)
 TV, Radio
Below the line (BTL) Promotions:
 It includes: exchange fair
 Rural fair
 Loan fair,
 Society activities
 Corporate display activities
52
Marketing Mix of TATA MOTORS
Tata motors is a leading automobile brand. It is most widely known for its
commercial vehicles such as buses and trucks. However, TATA motors has also
started an excellent expansion in passenger cars and it is rapidly gaining market share.
The Marketing mixof Tata Motors talks about the 4P of the brand which has helped
the brand rise in the automobile empire.
1. Product in the marketing mix of Tata Motors Tata has a very wide range
of productsit has passenger cars, utility vehicles, Trucks, Commercial passenger
Carriers And Defence Vehicles
Passenger cars UtilityVehicles Trucks
Indica vista Safari Dicor Tata Novas
Indigo XL Sumo Grande TL 4×4
Nano Sumo
Fiat cars Xenon XT
2. Price in the marketing mix of Tata Motors The prices of Tata motors are
generally affordable acceptable by the general public at large. Tata always have
something for the lower class people with Nano being their trump card. Giving
discount every month and special promotion for certain type of vehicle also one of the
strong strategy use by Tata Motors. Discount can be made from Company‟s profit or
from dealer‟s profit at certain range.
53
3. Place in the marketing mix of Tata Motors – Tata Motors has an extensive dealer
network covering Indian and International markets. Wherever you are, there is a Tata
Motors Sales and Service dealership close to you. The channel of distribution,
physical location, and dealership method of distribution and sales is generally
adopted. The distribution of vehicle must be in a very systematic way, from the plant
to dealership and to end user. This is not only in India itself but also to the world-wide
dealership.
4. Promotion in the marketing mix of Tata Motors – Tata motors promote their
products via Advetising and after sales services
5. People in the marketing mix of Tata Motors – Tata Motors owe our success to
the highly motivated and talented staff. Our recruitment division picks the crème-de-
la-crème from premier universities, management and engineering institutes in India.
they put them through rigorous training programmes to hone their entrepreneurial
skills and impart comprehensive product knowledge.
6. Processes in the marketing mix of Tata Motors – Tata motors follow Balanced
Scorecard Collaborative, Inc for achieving excellence in overall
Company performance.
7. Physical Evidence in the marketing mix of Tata Motors – The management of
the company has managed to keep their hopes alive even in this recession and hopes
54
that the worse is behind Tata Motors recently launched the most awaited car of the
year, Tata Nano and the company has already received 203,000 booking that are fully
paid and 70 percent of the applicants are ready to wait till the end of 2010 for the car
to be manufactured.
55
SWOT analysis of Tata Motors
Tata Motors is one of the stronger players in the Indian market as well as globally
with the acquisition of Jaguar. Here is the SWOT analysis of Tata motors.
Strengths in the SWOT analysis of Tata motors
1. The internationalization strategy so far has been to keep local managers in new
acquisitions, and to only transplant a couple of senior managers from India into the
new market. The benefit is that Tata has been able to exchange expertise. For example
after the Daewoo acquisition the Indian company leaned work discipline and how to
get the final product „right first time.‟
2. The company has a strategy in place for the next stage of its expansion. Not only is it
focusing upon new products and acquisitions, but it also has a programme of intensive
management development in place in order to establish its leaders for tomorrow.
3. The company has had a successful alliance with Italian mass producer Fiat since
2006. This has enhanced the product portfolio for Tata and Fiat in terms of production
and knowledge exchange. For example, the Fiat Palio Style was launched by Tata in
2007, and the companies have an agreement to build a pick-up targeted at Central and
South America.
56
Weaknesses in the SWOT analysis of TATA Motors
1. The company‟s passenger car products are based upon 3rd and 4th generation
platforms, which put Tata Motors Limited at a disadvantage with competing car
manufacturers.
2. Despite buying the Jaguar and Land Rover brands; Tata has not got a foothold in the
luxury car segment in its domestic, Indian market. Is the brand associated with
commercial vehicles and low-cost passenger cars to the extent that it has isolated
itself from lucrative segments in a more aspiring India?
3. One weakness which is often not recognized is that in English the word „tat‟ means
rubbish. Would the brand sensitive British consumer ever buy into such a brand?
Maybe not, but they would buy into Fiat, Jaguar and Land Rover
57
Opportunities in the SWOT analysis of TATA Motors
1. In the summer of 2008 Tata Motor‟s announced that it had successfully purchased the
Land Rover and Jaguar brands from Ford Motors for UK £2.3 million. Two of the
World‟s luxury car brand have been added to its portfolio of brands, and will
undoubtedly off the company the chance to market vehicles in the luxury segments.
2. Tata Motors Limited acquired Daewoo Motor‟s Commercial vehicle business in 2004
for around USD $16 million.
3. Nano is the cheapest car in the World – retailing at little more than a motorbike.
Whilst the World is getting ready for greener alternatives to gas-guzzlers, is Nano the
answer in terms of concept or brand? Incidentally, the new Land Rover and Jaguar
models will cost up to 85 times more than a standard Nano!
4. The new global track platform is about to be launched from its Korean (previously
Daewoo) plant. Again, at a time when the World is looking for environmentally
friendly transport alternatives, is now the right time to move into this segment? The
answer to this question (and the one above) is that new and emerging industrial
nations such as India, South Korea and China will have a thirst for low-cost passenger
and commercial vehicles. These are the opportunities. However the company has put
in place a very proactive Corporate Social Responsibility (CSR) committee to address
potential strategies that will make is operationsmore sustainable.
5. The range of Super Milo fuel efficient buses are powered by super-efficient, eco-
friendly engines. The bus has optional organic clutch with booster assist and better air
intakes that will reduce fuel consumption by up to 10%.
58
Threats in the SWOT analysis of TATA Motors
1. Other competing car manufacturers have been in the passenger car business for 40, 50
or more years. Therefore Tata Motors Limited has to catch up in terms of quality and
lean production.
2. Sustainability and environmentalism could mean extra costs for this low-cost
producer. This could impact its underpinning competitive advantage. Obviously, as
Tata globalises and buys into other brands this problem could be alleviated.
3. Since the company has focused upon the commercial and small vehicle segments, it
has left itself open to competition from overseas companies for the emerging Indian
luxury segments. For example ICICI bank and DaimlerChrysler have invested in a
new Pune-based plant which will build 5000 new Mercedes-Benz per annum. Other
players developing luxury cars targeted at the Indian market include
Ford, Honda and Toyota. In fact the entire Indian market has become a target for
other global competitors including Maruti Udyog, General Motors, Ford and others.
4. Rising prices in the global economy could pose a threat to Tata Motors Limited on a
couple of fronts. The price of steel and aluminum is increasing putting pressure on the
costs of production.
59
Tata Motors has a strong global network of subsidiaries and associate companies,
including Jaguar Land Rover in the UK and Tata Daewoo in South Korea. Our
international footprint was established with our first export in 1961. Today, we have
over 134 direct and indirect subsidiaries in India and abroad.
 Key Subsidiaries
Websites
 Concorde Motors (India) Limited
www.concordemotors.com
Concorde Motors India Ltd. (CMIL) is a fully-owned subsidiary of Tata Motors. A
pioneer in professionalising the automobile retail business in the country, CMIL is a
one-stop shop for the complete range of Tata Motors‟ passenger vehicles, sales,
service and spare parts.
 Jaguar Land Rover Automotive Plc
www.jaguarlandrover.com
Jaguar Land Rover brings together two prestigious British car brands. Tata Motors
acquired the brands from Ford in 2008, merging them into a single company in 2013.
One of the world‟s leading premium car brands, Jaguar Land Rover presents the
future of sustainable mobility.
 Tata Motors European Technical Centre PLC (TMETC)
www.tmetc.com
Based in Coventry, UK, Tata Motors European Technical Centre PLC (TMETC) is a
wholly-owned subsidiary of Tata Motors. As a centre of excellence for automotive
60
design and engineering, TMETC is an active partner in a number of collaborative
projects in low carbon technology, and electric and hybrid vehicle technology for
future passenger and light commercial vehicles.
 Tata Motors Insurance Broking and Advisory Services Limited (TMIBASL)
www.tatamotorsinsurancebrokers.com
A wholly-owned subsidiary of Tata Motors, TMIBASL provides end-to-end insurance
solutions in the retail sector with a focus on the automobile sector. TMIBASL offers
services to various OEMs in the passenger vehicle, commercial and construction
equipment markets, including to us.
 TMF Holdings Limited
www.tmf.co.in
TMF Holdings Limited (TMFHL) - a wholly owned subsidiary of the Company, is the
vehicle financing arm under the brand "TMF Holdings Limited".
 TML Distribution Company Limited (TDCL)
TML Distribution Company Limited, or TDCL, our wholly-owned subsidiary, was
incorporated on March 28, 2008. TDCL provides distribution and logistics support for
distribution of our products throughout India.
 TRILIX Srl
Trilix Srl, founded in 2006, is a mid-sized commercial art and graphic design
company, located in Nichelino, Italy.
 Tata Technologies Limited
61
www.tatatechnologies.com/us/
A global leader in engineering services outsourcing and product development IT
services to the global manufacturing industries, Tata Technologies is a company of
innovators, specialists in the design engineering space, who apply cutting-edge
technologies to provide competitive advantage to customers in the manufacturing
sector. The company is headquartered in Singapore.
 Tata Marcopolo Motors Limited (TMML)
Tata Marcopolo Motors Limited (TMML) is a 51:49 joint venture company of Tata
Motors Ltd. (TML) India and Marcopolo S.A. Brazil for manufacturing of buses in
India.
 TML Holdings Pte. Limited
TML Holdings Pte. Limited is a 100% subsidiary of Tata Motors with effect from
2008.
 Tata Daewoo Commercial Vehicle Company Limited
www.tata-daewoo.com
Since its inception in 2004, Tata Daewoo Commercial Vehicle has established a solid
foothold in the industry as one of the nation‟s most reputed truck makers. Today, it
exports its products to more than 60 countries. Tata Daewoo has worked with Tata
Motors, its parent company to develop a medium and long-term plan to grow into a
global market leader.
62
Our Management Team comprises eminent industry experts
who bring a wealth of knowledge that help in strategic decision
making towards improving operations and performance.

Board of directors
Mr. N Chandrasekaran
Non-Executive Director and Chairman
Mr. Nasser Munjee

Non-Executive, Independent Director
63

Mr. Vinesh K Jairath

Dr. Ralf Speth

Non-Executive Director
Ms. Falguni S Nayar

64

Mr. O P Bhatt
Ms. Hanne Sorensen

Ms. Vedika Bhandarkar

Mr. Guenter Butschek

CEO and Managing Director
65
Statutory Committees of the Board
Audit Committee
 Mr. Nasser Munjee, Chairman
 Mr. Vinesh Kumar Jairath
 Ms. Falguni Nayar
 Mr. O P Bhatt
Nomination & Remuneration Committee
 Mr. O P Bhatt, Chairman
Non-Executive Independent Director
 Mr. N Chandrasekaran
Non-Executive Director & Chairman
 Mr. Nasser Munjee
66
Corporate Social Responsibility Committee
 Mr. O P Bhatt, Chairman
 Mr. Guenter Butschek
Chief Executive Officer & Managing Director
Risk Management Committee
 Ms. Hanne Sorensen, Chairperson
 Mr Guenter Butschek
 Mr P B Balaji
Group Chief Financial Officer
Stakeholders Relationship Committee
 Ms Hanne Sorensen
67
Non-statutory Committees of the Board
Safety, Health & Sustainability Committee
 Mr. Vinesh Kumar Jairath
68
CHAPTER 5
DATA ANALYSIS
&
INTERPRETATION
75
DATA ANALYSIS
1. What made you to buy this vehicle?
S. No. Features No. of Respondents %
1. Model 23 23
2. Price 13 13
3. Quality 21 21
4. Brand Name 29 29
5. Other Benefits 14 14
100 100
35
29
No. of Respondents
30
Model
25 23
21 Price
20
14 Quality
15 13
Brand Name
10
Other Benefits
5
0
Model Price Quality Brand Other
Name Benefits
Reason for buying TATA Vehicle
Interpretation :
29% of the customer‟s opted Tata vehicle basing on the brand name, 23% basing on
the model, 21% basing on the quality, 14% basing on other benefits and 13% basing
on the price. The brand name of the TATA and quality of product should be taken
care of while providing service.
76
2. Are you satisfied about the explanation about the benefit / features /
warranty of the vehicle and the financial schemes and the delivery
procedure at the time of purchase?
1. Delighted 4 4
2. Very satisfied 27 27
3. Satisfied 45 45
4. Somewhat dissatisfied 12 12
5. Very dissatisfied - 0
6. No response 12 12
100 100
Delighted
50 45 Very satisfied
45
No. of Respondents
Satisfied
40
35 Somewhat dissatisfied
30 27 Very dissatisfied
25 No response
20
15 12 12
10
4
5 0
0
Delighted Very satisfied Satisfied Somewhat Very No response
dissatisfied dissatisfied
Satisfaction Level
Interpretation: 76% of the customers are satisfied about the explanation about
the benefits, features, etc., at the time of purchase, out of which 27% are very
satisfied, also 12% are somewhat dissatisfied, so the company had to made more
effort to satisfy the dissatisfied customers.
77
3. How is the reception at the time of enquiry by the sales personnel?

1. Delighted 12 12
3. Satisfied 42 42
6. No response 12 12
100 100
45 Delighted
42
40 Very satisfied
No. of Respondents
Satisfied
35
30
Very dissatisfied
25
No response
20
15 12 12
10
4
5
0
0
Delighted Very satisfied Satisfied Somewhat Very No response
Satisfaction Level
Interpretation:
42% of the customers are satisfied by the reception of the sales personnel at the time
of enquiry, 30% are very satisfied, 12% are delighted so the sale personnel are
performing their task quite efficiently. Also there are 4% customers that are somewhat
dissatisfied and 12% had not responded to the above question.
78
4. Are you satisfied with the time taken to open the job card (work order).

1. Delighted 23 23
3. Satisfied 25 25
100 100
Interpretation:
50
44
45
40
No. of Respondents
35 Delighted
30 Very satisfied
25
25 23
Satisfied
20
Somewhat dissatisfied
15
Very dissatisfied
10 8
5
0
0
Delighted Very satisfied Satisfied Somewhat Very dissatisfied
dissatisfied
Satisfaction Level
44% of the customers are very satisfied by the time taken to open the job card,
25% are satisfied, 23% are delighted and 8% are somewhat dissatisfied.
79
5. Are you satisfied with the reception of the service advisor?
1. Delighted 11 11
3. Satisfied 30 30
100 100
60
50
50
No. of Respondents
40 Delighted
30 Very satisfied
30
Satisfied
20
Very dissatisfied
11
9
10
0
0
dissatisfied
Satisfaction Level
Interpretation:
As we see that 61% of the customers are more than just satisfied by the reception of
the service advisors, thus the service advisors are performing their duties with
perfection; there are only 9% customers that are somewhat dissatisfied from service
advisors.
80
6. Are you satisfied with the facilities of the service station like customer
waiting room etc.,

1. Delighted 13 13
3. Satisfied 51 51
5. Very dissatisfied 2 2
100 100
60
51
50
No. of Respondents
40 Delighted
30 Very satisfied
30
Satisfied
20
Very dissatisfied
11
10 8
0
0
dissatisfied
Satisfaction Level
Interpretation:
51% of the customers are satisfied by the facilities of the service station, 30% are very
satisfied, and the valuable suggestions can be taken from the unsatisfied customers to
improve the facilities.
81
7. Are the services being attended correctly to the relevant complaint?

1. Yes 85 85
2. No 15 15
100 100
90 8500%
80
70
60
50 Yes
40 No
30
20 1500%
10
0
Yes No
Interpretation:
85% of the customer‟s say that the service is being attended correctly to
relevant complaint. Whereas 15% feel that the service is not attended correctly to
relevant complaint.
82
8. Are you satisfied with the solutions to all the problems reported by you?

1. Delighted 6 6
3. Satisfied 34 34
100 100
45
40
40
34
No. of Respondents
35
Delighted
30
Very satisfied
25
Satisfied
20
16 Somewhat
15 dissatisfied
Very dissatisfied
10
6
4
5
0
Delighted Very satisfied Satisfied Somewhat Very
Satisfaction Level
Interpretation:
40% of the customers are very satisfied with the solutions to all the problems
reported by them, 34% are satisfied, 16% are somewhat dissatisfied, 6% are delighted
and 4% are very dissatisfied. Thus 20% of the customers are not totally satisfied with
the solution for their problem thus the service advisor has to provide most satisfactory
solution.
83
9. Are you satisfied with the delivery made i.e., is the delivery made in time
as per the conditions desired by you from service station.

1. Delighted 10 10
3. Satisfied 34 34
100 100
40
35 34
33
No. of Respondents
30
Delighted
25
Very satisfied
20 19
Satisfied
10
10 Very dissatisfied
5 4
0
Satisfaction Level
Interpretation:
34% of the customers are satisfied with the delivery made from the service
station, 33% are very satisfied, 19% are somewhat dissatisfied, 10% are delighted and
9% are very dissatisfied.
84
10. Are you satisfied with the explanation of job done and bill at the time of
delivery.

1. Delighted 10 10
3. Satisfied 37 37
100 100
45
41
40 37
No. of Respondents
35
30 Delighted
25 Very satisfied
Satisfied
20
15 12
10 Very dissatisfied
10
5
0
0
Satisfaction Level
Interpretation:
41% of the customers are very satisfied with the explanation of job done and
bill at the time of delivery, 37% are satisfied, 12% are somewhat dissatisfied and 10%
are delighted.
85
11. Are your receiving our service reminders regularly ?

1. Yes 56 56
2. No 44 44
100 100
60 5600%
50
4400%
40
Yes
30
No
20
10
0
Yes No
Interpretation:
56% of the customers are receiving the service remainders regularly. Whereas
44% of the customers are not receiving the service remainders regularly.
86
12. Have you been informed about the next service schedule?

1. Yes 60 60
2. No 40 40
100 100
70
6000%
60
50
4000%
40
Yes
30 No
20
10
0
Yes No
Interpretation :
60% of the customers have been informed about the next service schedule.
Whereas 40% of the customers are not informed about the next service schedule.
87
CHAPTER 6
FINDINGS
88
FINDINGS
 29% of the customer opted Tata vehicle basing on the brand name, 23%
basing on the model, 21% basing on the quality, 14% basing on other benefits
and 13% basing on the price.
 45% of the customers are satisfied about the explanation about the benefits,
features, etc., at the time of purchase, 27% are very satisfied, 12% very
satisfied, 12% are somewhat dissatisfied, 4% are delighted and 12% had not
responded to the above question.
 42% of the customers are satisfied by the reception of the sales personnel at
the time of enquiry, 30% are very satisfied, 12% are delighted, 4% are
somewhat dissatisfied and 12% had not responded to the above question.
 50% of the customers are very satisfied by the reception of the service advisor,
 44% of the customers are very satisfied by the time taken to open job card,
 46% of the customers are satisfied by the attitude of the service personnel,
28% are very satisfied, 40% are somewhat dissatisfied, 11% are delighted and
1% very dissatisfied.
 51% of the customers are satisfied by the facilities of the service station, 30%
are very satisfied, 11% are somewhat dissatisfied and 8% are delighted.
 73% of the customers say that they are being informed if any extra job is
required to their vehicle. Whereas 27% of the customers are not informed
about the extra job required for their vehicle.
89
 85% of the customer‟s say that the service is being attended correctly to
relevant complaint. Whereas 15% feel that the service is not attended correctly
to relevant complaint.
 40% of the customers are very satisfied with the solutions to all the problems
reported by them, 34% are satisfied, 16% are somewhat dissatisfied, 6% are
delighted and 4% are very dissatisfied.
 53% of the customers are very satisfied with the quality of washing, 27% are
satisfied, 12% are delighted, 7% are somewhat dissatisfied and 1% is very
dissatisfied.
 34% of the customers are satisfied with the delivery made from the service
station, 33% are very satisfied. 19% are somewhat dissatisfied, 10% are
delighted and 9% are very dissatisfied 41% of the customers are very satisfied
with the explanation of job done and bill at the time of delivery, 37% are
satisfied, 12% are somewhat dissatisfied and 10% are delighted.
 46% of the customers are satisfied with the general appearance of the
workshop, 40% are very satisfied, 8% are delighted, 4% are somewhat
dissatisfied and 2% are very dissatisfied.
 42% of the customers are satisfied by the labour and spare parts charge, 42%
are somewhat dissatisfied, 7% are very satisfied, 6% are very dissatisfied and
3% are delighted.
 56% of the customers are receiving the service remainders regularly, where as
44% of the customers are not receiving the service remainders regularly.
90
CHAPTER 9
LIMITATIONS
95
LIMITATIONS OF THE STUDY
It is well known fact that constraint and limitations are bound to be present in any
study do this also has some limitation as:-
 We considered Lucknow region only because of limited time duration.
 Due to this, the sample size is only 100, which is not very large.
 All the respondents could not fill their questionnaire on their own due to
language problem, time constraints and lack of positive behavior.
 Respondent may give biased answer due to some lack of information about
other brands.
96
ANNEXURE
99
QUESTIONNAIRE
1. What made you to buy this vehicle?

a) Model
b) Price
c) Quality
d) Brand Name
e) Other Benefits
2. Are you satisfied about the explanation about the benefit / features /
warranty of the vehicle and the financial schemes and the delivery
procedure at the time of purchase?
a) Delighted
b) Very satisfied
c) Satisfied
d) Somewhat dissatisfied
e) Very dissatisfied
f) No response
3. How is the reception at the time of enquiry by the sales personnel?

a) Delighted
b) Very satisfied
c) Satisfied
f) No response
4. Are you satisfied with the time taken to open the job card (work order)?
a) Delighted
b) Very satisfied
c) Satisfied
100
5. Are you satisfied with the reception of the service advisor?
a) Delighted
b) Very satisfied
c) Satisfied
6. Are you satisfied with the facilities of the service station like customer
waiting room etc?
a) Delighted
b) Very satisfied
c) Satisfied
7. Are the services being attended correctly to the relevant complaint?

a) Yes
b) No
8. Are you satisfied with the solutions to all the problems reported by you?
a) Delighted
b) Very satisfied
c) Satisfied
9. Are you satisfied with the delivery made i.e., is the delivery made in time
as per the conditions desired by you from service station?
a) Delighted
b) Very satisfied
c) Satisfied
101
10. Are you satisfied with the explanation of job done and bill at the time of
delivery.
a) Delighted
b) Very satisfied
c) Satisfied
11. Are your receiving our service reminders regularly?

a) Yes
b) No
12. Have you been informed about the next service schedule?
a) Yes
b) No
102

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The best way to improve customer satisfaction is to first measure it and then apply

their customers to enhance business.

Methods of Measuring Customer Satisfaction

Managing customers‟ satisfaction efficiently is one the biggest challenge an

organization face. The tools or methods to measure customer satisfaction needs to be

measure customer satisfaction:

1. Direct Methods: Directly contacting customers and getting their valuable

feedback is very important. Following are some of the ways by which

customers could be directly tabbed:

a. Getting customer feedback through third party agencies.

b. Direct marketing, in-house call centers, complaint handling department

could be treated as first point of contact for getting customer feedback.

These feedbacks are compiled to analyze customers‟ perception.

c. Getting customer feedback through face to face conversation or

d. Feedback through complaint or appreciation letter.

e. Direct customer feedback through surveys and questionnaires.

Organizations mostly employ external agencies to listen to their customers and

provide dedicated feedback to them. These feedbacks needs to be

sophisticated and in structured format so that conclusive results could be

fetched out. Face to face meetings and complaint or appreciation letter

engages immediate issues. The feedback received in this is not uniformed as

This hiders the analysis process to be performed accurately and consistently.

Hence the best way is to implement a proper survey which consists of

uniformed questionnaire to get customer feedback from well segmented

customers. The design of the prepared questionnaire is an important aspect and

be in a way that the customer is encouraged to respond in a obvious way/.

These feedback could received by the organizations can be treated as one of

the best way to measure customer satisfaction.

which is surprise market visit. By this, information regarding different

segment of products and services provided to the customers could be obtained

strong aspects of products and services.

be very costly and requires a lot of pre compiled preparations to implement.

getting feedback regarding customer satisfaction:

a. Customer Complaints: Customer‟s complaints are the issues and

problems reported by the customer to supplier with regards to any

specific product or related service. These complaints can be classified

under different segments according to the severity and department. If

the complaints under a particular segment go high in a specific period

specific area or segment. But if the complaints diminish in a specific

customer satisfaction level is also higher.

b. Customer Loyalty: It is necessarily required for an organization to

interact and communicate with customers on a regular basis to increase

customer loyalty. In these interactions and communications it is

required to learn and determine all individual customer needs and

respond accordingly. A customer is said to be loyal if he revisits

supplier. Hence by obtaining the customer loyalty index, suppliers can

indirectly measure customer satisfaction.

Factors affecting Customer Satisfaction

that could affect customer satisfaction:

 Departmentwise capability of the supplier.

 Technological and engineering or re-engineering aspects of products and

 Type and quality of response provided by the supplier.

 Customer service provided by the supplier.

 Cost, quality, performance and efficiency of the product.

 Supplier‟s ability to manage whole customer life cycle.

 Compatible and hassle free functions and operations.

of the product which is highly admired by the customers.

retaining them becomes easy.