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8/13/2019 GIMSR-Maruti Suzuki Satisfaction
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Project Report
On
( A study of customer satisfaction of Maruti Suzuki
Users in the four wheeler segment in Mumbai )
For the Partial Fulfillment
of
Master Of Management Studies
Submitted by
(Name)
Specialization
(!"#!$!"#%)
Roll no
&nder the guidance of
Prof'
ahlot nstitute of Management Studies * Research+
,oper-hairane
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Acknowledgement
My sincere than-s and gratitude to our college+ ahlot nstitute of Management
Studies * Research+ .irector+ .r' Subhash ,ul-arni and my project guide Prof'
(Project guide name) for pro/iding 0ith the necessary support and the timely guidance
re1uired for the successful completion of this project'
further e2press my than-s to Mr'3Ms' (4ompany project guide name) at (4ompany
name) for gi/ing me the opportunity to carry out my project in the respecti/e
department 0hich has further enhanced my -no0ledge of the subject both
theoretically and practically
5ast but not the least+ 0ould also li-e to than- my parents for their consistent
presence and help at all times'
( Student Full Name )
'
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Declaration
+ + the undersigned+ a student of Gahlot Institute of
Management Studies !esearch" #o$erkhairane" declare that this project report
titled 6 7 0as submitted by me in partial
fulfillment for the re1uirement of the course of Master of Management Studies' 8his
is my original 0or- and has not been pre/iously submitted as part of another degree
or diploma of another 9usiness school or &ni/ersity'
8he findings and conclusions of this report are entirely based on my personal study
and e2perience'
(Student Full Name)
::::::::::::::::::::::: ::::::::::::::::::
nternal Project uide .irector
.ate ::::::::::::::
::::::::::::::::::: ;2ternal ;2aminer
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%&ecuti'e Summary
8opic of the study 6A study of customer satisfaction of Maruti SuzukiUsers in the four wheeler segment in Mumbai7
Need for study
8o understand the satisfaction le/el of the customer regarding four 0heeler
segment pro/ided by Maruti Suzu-i+ to understand 0hat are the customer
re1uirement and impro/ement re1uired by them in ser/ice '
Objecti/e of the study
1. 8o -no0 the customer satisfaction le/el of Maruti Suzu-i
2. 8o -no0 the problems presently faced by the customers of Maruti
Suzu-i'
3. 8o study the post sales ser/ice performance'
4.8o -no0 the ne0 area of impro/ement'
Research .esign
5. Primary Source <uestionnaire * Personal interaction'
6. Secondary Source 4ompany data through nternet'
7. Sample Size
8. 5ocation Mumbai
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able of contents *age +os,
-ha$ter .
I) ntroduction #
II) Objecti/e Of the Study =
III) Need Of the Project =
IV) Scope Of the Project %
V) Research Methodology >
VI) 5imitations Of the project ?
-ha$ter II
I) 4ompany Profile @
II) Organization 4hart #!
III) 9enefits gi/en by the 4ompany #=
-ha$ter /III
I) 8heoretical 9ac-ground #?
II) .ata Analysis * nterpretation !!
-ha$ter / I0
I) Findings =@
II) Suggestions %"
Appendi2
9ibliography %#
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*ro1ect re$ort font guidelines
• Font Style 8imes Ne0 Roman
• Font Size
Beading #%+ 9old+ 4AP8A5S
Subheading #%+ 9old
8e2t #!
• Cutified alignment
• 8he main title * the title page should be centre aligned
•5ine spacing #'>
• Page numbers should be added at the bottom+ centre and it should start from
the introduction page
• Beader 8itle of the project
• &se margins as gi/en on this page along 0ith page borders
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Introduction
t gi/es me an immense pleasure to present you this entire project' 8he topic s 2 A
study of customer satisfaction of Maruti Suzuki Users in the four wheeler segment in
Mumbai”
8he project report focuses on customer satisfaction and post sale ser/ices+ of Maruti
Suzu-i' Four 0heeler users in Mumbai city'
N8RO.&48ON OF 8B; S8&.D
8he study is to find out the le/el of 4ustomer Satisfaction on sales to0ards the Maruti
Suzu-i /ehicle' And to find out the Satisfaction on the performance Maruti Suzu-i
/ehicle' 8o find out this+ ha/e done the sur/ey'
-ustomer Sur'ey
Finding out the customer satisfaction on sales to0ards Maruti /ehicle 0ith reference to
Maruti Suzu-i &dyog 5td'
Finding out the customer satisfaction on dealership performance to0ards Maruti Suzu-i&dyog 5td'
For this sur/ey+ ha/e prepared a 1uestionnaireE through this collected data fromcustomers' Sample Size of sur/ey is #"" consumers'
9y analyzing these 1uestionnaires+ found out the le/el of customer sales satisfaction onMaruti Suzu-i 5td'
n this reportE e2plained the analysis of 1uestionnaire through graphs and tables'
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3b1ecti'e 3f the Study
8o -no0 the customer satisfaction le/el to0ards of Maruti Suzu-i motors
8o -no0 the problems presently faced by the customers at Maruti Suzu-i car
8o -no0 the post sales ser/ice performance'
8o -no0 the ne0 area of impro/ement'
8o -no0 the 4ustomer Satisfaction on Performance of .ealer'
8o -no0 the moti/ated factors to buy the Maruti Suzu-i /ehicle'
8o -no0 the customers are satisfied 0ith price and ser/ice net0or-'
8o -no0 the 0hether Maruti performance matching 0ith the customer
e2pectations'
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Sco$e of Study
$ 4ompany 0ill come to -no0 0hat attracts 4ustomers'
$ 4ompany as 0ell as .ealers of Maruti Suzu-i and Byundai 0ill come to -no0 that
0hich are the criterias customers loo- for before buying car'
$ 4ompany and .ealers 0ill also come to -no0 the future changes 0hich 0ill be re1uire
satisfying customer needs and 0ants'
$ &nderstand the buying beha/ior of customer of Mumbai city
$ 8he Sample Size is 5imited+ So as to gi/e the accurate information regarding 4ustomer
Satisfaction'
$8he scope is /ery limited+ because attitude * e2pectations of the people change
according to the time * situation'
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!esearch Methodology
M%43D353G6
.ata collection is most essential aspect of any research because the 0hole result of
research depends on the data and information hence+ the methodology adopted by me tocollect the data final interpretation 0ere through'
., Sur'ey !esearch
8his -ind of research finds fa/or 0ith almost all the social science researches' t is one
of
the most popular methods of in/estigation+ because a study of the attributes and/ariables
in relation to the population (8he entire group of people+ inhabitants+ items etcGunder
study) is easier and is more accurate'
ts suffers from a negligible magnitude of error' No0$a$days sample sur/ey has become
an effecti/e method for research' 8his is possible 0ith the help of personal inter/ie0s0hich are bac-ed by 1uestionnaires+ direct oral obser/ations' ndirect oral obser/ations
and etcG
7, *rimary source of Data
Meaning Primary sources of data are the data 0hich needs the personal efforts to collect
it and 0hich are not readily a/ailable'Primary sources of data are the other type of sources through 0hich the data 0as
collected'
Follo0ing are fe0 0ays in 0hich the data 0as collected
a)<uestionnaires ts set of 1uestions on a sheet of paper 0as being gi/en to therespondents of fill it+ based on 0hich the data 0as interpreted'
b).irect nter/ie0ing .irect inter/ie0ing in/ol/ed the process 0here as-ed the1uestions directly to the customers and got the feedbac-'
8, Secondary Source of Data
Secondary sources are the other important sources through 0hich the data 0erecollected'
8hese are the readily a/ailable sources of the data 0here one had need not put much
effort to collect+ because it is already been collected and part in an elderly manner by
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some researchers+ e2perts and socialites'
he secondary sources hel$ful for study were
8e2t boo-s li-e Mar-eting Management+ Research Methodology+ Ad/ertisement and
Sales Promotion'
$ nternet 0as made use for the collection of the data'
$ Ne0spapers 0ere also referred'
$ 9usiness Magazines also referred'
$ Some journals 0ere also referred'
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5imitations 3f the $ro1ect
#' 8he study 0as restricted to Mumbai city only+ so it 0as difficult to generalize theinterpretations 0ould be ma-e out of the findings'
!' 5imited -no0ledge of the researcher in the field of research may lead to
interpretation errors'
=' 8he research 0as based on primary collection of data through StructuredSchedule+ so there may be chances of human error and biasness'
%' 8he research 0as dependant on the information pro/ided by the respondents 0ho
0ere /ery reluctant in pro/iding right information and often pro/ides carelessly
and results are dra0n out by only these information' So+ sometimes all effortmight fail to find the right result'
>' As associated 0ith e/ery project+ time and money 0ere the major limitations
0ith project'
?' 8he conclusions arri/ed at+ are based on a /ery less e2perience of theresearcher in this field'
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-om$any *rofile
Maruti Suzuki9s *rofile
n early #HI"s ndian o/t decided to produce a small car+ 0hich 0ould be 0ithin
buying reach of ndian middle class' 8he ob/ious place to shop for technology 0as
Capan+ 0hich had de/eloped 0orld class capabilities in small cars by that time't 0as not8oyota+ orNissan+ or Bonda +three largest player in Capan+ but Suzu-i+ a much smaller
company 0ith strong capcabilities in ma-ing small cars' Suzu-i grabbed the opportunity0ith both hands and formed a joint /enture 0ith go/t' called Maruti &dyog'
Maruti &dyog 5imited+ a subsidiary of Suzu-i Motor 4orporation of Capan+ has been the
leader of the ndian car mar-et for about t0o decades' ts manufacturing plant+ locatedsome !> -m south of Ne0 .elhi in urgaon+ has an installed capacity of =+>"+""" units
per annum+ 0ith a capability to produce about half a million /ehicles'
Maruti rolled out its #stcar+ Maruti I"" 0ith I""cc engine in .ecember #HI=' 8his
model targeted at masses and 0as lanuched as 6Peoples car7'
n early !""=+ Maruti &dyog+ a joint /enture bet0een Suzu-i and ndian o/t'
dominated ndias automobile mar-et 0ith >%J mar-et share and 0ith annual production capacity of >lac cars' 8he company dominated ndian Small car mar-et 0ith
a share of #""J in A seg+ =?J in 9 seg and I?J o/erall'
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8he company has a portfolio of ## brands+ including Maruti I""+ Omni+ premium small
car Ken+ international brands Alto and LagonR+ off$roader ypsy+ mid size ;steem+
lu2ury car 9aleno+ the MP+ ersa+ S0ift and 5u2ury S& rand itara 5@'
n recent years+ Maruti has made major strides to0ards its goal of becoming Suzu-i
Motor 4orporations R and . hub for Asia' t has introduced upgraded /ersions of
LagonR+ Ken and ;steem+ completely designed and styled in$house'
Marutis contribution as the engine of gro0th of the ndian auto industry+ indeed its
impact on the lifestyle and psyche of an entire generation of ndian middle class+ is0idely ac-no0ledged' ts emotional connect 0ith the customer continuesMaruti tops
customer satisfaction again for Ith year in a ro0according to the C'.' Po0er Asia Pacific'
ndia 4ustomer Satisfaction nde2 Study'
8he company has also ran-ed highest in ndia Sales Satisfaction Study'n -eeping 0ith
its leadership position+ Maruti supports safe dri/ing and traffic management through
mass media messages and a state$of$the art dri/ing training and research institute that it
manages for the .elhi o/ernment'
8he companys ser/ice businesses including sale and purchase of pre o0ned cars(8ruealue)+ lease and fleet management ser/ice for corporates (N!N)+ Maruti nsurance
and Maruti Finance are no0 fully operational'
MU5 Market Share
M&5 has a >%'>J mar-et share 0hile all the remaining manufacturers could only ma-e
up %>'>J' M&5 is the 0orld leader in Mar-et Share and sets a bench mar- that is hardto achie/e'
he 3b1ecti'e of MU5
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Modernization of the ndian Automobile ndustry'Production of fuel$efficient /ehicles to
conser/e scarce resources'Production of large number of motor /ehicles 0hich 0as
necessary for economic gro0th'
he !e'olution
Maruti created history by going into production in a record #= months' ON #%th.ecember #HI=+ the then Prime Minister of ndia+ Mrs'ndira andhi+ released the first
/ehicle for sale by handing o/er the -eys of a MarutiI"" to Mr' Barpal Singh of .elhi'
M&5 e2ceeds the /olume targets+ and in March #HH%+ M&5 became the first ndian
company to produce o/er one million /ehicles+ a landmar- yet to be achie/ed by any
other car company in ndia' Maruti is the highest /olume car manufacturer in Asia+outside Capan and ,orea+ ha/ing produced o/er % million /ehicles by April !""='
Maruti re/olutionized type 0ay ndians loo-ed at cars' 6No other car company so
completely dominates its home mar-et7 (8he ;conomist)' Maruti holds about ?"J of
the total mar-et share'
M&5 is the first and only car company in the 0orld to lead its home mar-et in terms of
both mar-et share and in the C. Po0er 4ustomer Satisfaction study (C. Po0er AsiaPacific !""" ndia 4ustomer Satisfaction studies)' t is also the only car company in the
0orld to be 8op ran-ed four times in a ro0 (!"""$!""#+ !""! *!""=)' .espite there
being #> companies in the passenger car mar-et'
-om$any Mission
8o pro/ide a 0ide range of modern+ high 1uality fuel efficient /ehicle in order to meet
the need of different customers both domestic and e2port mar-ets' 8here are !>I salesoutlets+ #I=I ser/ice centers across H!! cities as on "#$"=$!""I' Ser/ice a/ailable in %#cities across the country'
India9s 5argest Sales Ser'ice +etwork
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No matter 0here you are ne/er far from a Maruti Ser/ice Station'
#>!? Authorized Ser/ice Stations
Most dealers a0arded SO certification rest in the process getting it'
=>? .ealer 0or-shopsState of the art e1uipment and facilities
H!! cities co/eredSales+ ser/ices and support net0or- co/er the length and breadth of the country
!>I Sales Outlets in #?H citiesStandardized ser/ice and specially trained ser/ice engineers
O/er the !""" trained ser/ice personnel
<uality of ser/ice in -eeping 0ith the needs of the customer ;asy a/ailability of affordable+ Maruti enuine Parts
!? Spare Parts Stoc-iest
## MP Shoppes (9outi1ues)
*roduct !ange
#! Models 0ith %> /ariants to satisfy all customer need'
At least ! models a/ailable in A#+ A! and A= segments'
Models a/ailable to meet /aried re1uirements of the customers lifestyle'
Models * ariants a/ailable to suit /arious customers needs'
Range of /ehicles to support physically challenged persons'
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Suzuki Motor -or$oration
Suzuki Motor -or$oration is a Capanese multinational corporation head1uartered
in Minami$-u+ Bamamatsu+ Capan+0hich specializes in manufacturing automobiles+ four$0heel dri/e /ehicles+ motorcycles+ all$terrain /ehicles (A8s)+ outboard marine
engines+ 0heelchairs and a /ariety of other small internal combustion engines'
n !"##+ Suzuki 0as the tenth biggest automa-er by production 0orld0ide' Suzu-i
employs o/er %>+""" and has => main production facilities in != countries and #==distributors in #H! countries ' According to statistics from the Capan Automobile
Manufacturers Association (CAMA)+ Suzu-i is Capans second$largest manufacturer of
small cars and truc-s'
Suzu-i Motor 4orporation 0as established around @> years ago' Suzu-i Motor
4orporation is a pioneer and mar-et leader in small car manufacturing segment in Capan'Further+ Suzu-i Motor 4orporation is also a mar-et hea/y 0eight in motorcycle
manufacturing sector'
8he company ran-s =rd o/erall after Bonda motors and Damaha motors' 8he company
rose to pinnacle of success by pro/iding designs+ /alue$pac-ed ser/ices and 1uality products to the customers 0orld o/er' ts mini car section rolled out inno/ati/e yet
economical passenger car for the masses'
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8he company operates in more than #H" countries across the 0orld' Furthermore+ the
company is aggressi/ely into motor sports' Suzu-i Motor 4orporation has forged joint
/entures 0ith a number of international players+ to ma-e cars' ts prominent international
partners are eneral Motors and Maruti &dyog 5imited+ ndia'
Suzu-i Motor 4orporation ndian partner $ Maruti &dyog is ndias leading ma-er of cars
in ndia and shares more than >"J of car mar-et in ndia' 8he company+ in technological
partnership 0ith Suzu-i Motors 4orporation+ manufactures models such as the Ken+Alto+ and ypsy' Maruti acts as a manufacturing hub for the international mar-et'
8he model Alto is e2ported to many ;uropean countries' Maruti has four manufacturingunits near Ne0 .elhi+ ndia' Maruti produces around =>"+""" cars annually' Further+ to
maintain the huge demand of Maruti cars in ndia+ it has come up 0ith a ne0
manufacturing unit near .elhi+ 0hich 0ill be made operational soon' Suzu-i Motor4orporation ndian partner'
Maruti Suzu-i is a Capanese car company' ehicles of this brand ha/e been -no0n to be
reasonably fuel efficient and are reno0ned for their lo0 maintenance costs' From
photos+ it is easy to ma-e out that the /ehicles of Maruti Suzu-i follo0 function o/er
form' t is important to go through the technical specifications in order to ma-e an
informed purchase decision'
Suzu-i !"#=
• >"th anni/ersary Special ;dition S$R#""" model celebrates Suzu-is
#H?= entry into the &'S' motorcycle mar-et'
•
March n spite of a !"#! statement to the contrary+ Suzu-i 4anada nc'announced it 0ould discontinue its auto$building operations in 4anada as part ofits 4hapter ## ban-ruptcy proceedings in the &'S' t 0as contemplated that the
sale of motorcycles+ A8s and marine e1uipment 0ould continue in 4anada as
0ell as in the &'S'
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• .ebut of the second$generation S% crosso/er /ehicle at the I=rd ene/a
nternational Motor Sho0'
• American Suzu-i Motor 4orporation ends all operations as of =# March+
selling its assets to Suzu-i Motor of America+ nc'+ a 0holly o0ned subsidiary ofSuzu-i Motor 4orporation'
• Culy Ne0s reports suggested that disaccord o/er the erst0hile alliance
bet0een ol-s0agen and Suzu-i might be settled as a result of rene0ed tal-s
bet0een the t0o companies'
•
8hese reports 0ere soon denied by ;2ecuti/e ice President 8oshihiroSuzu-i+ 0ho said that Qthere ha/e been /arious reports+ but there absolutely areno such facts+ so there is nothing can tal- about on this topic'Q
• October Suzu-i recalls !#"+!!I motorcycles in the &'S' because the front
bra-es might not 0or- properly'
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3rganization -hart
Maruti Suzuki9s 3rganization -hart
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:enefits gi'en by the -om$any
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heoretical :ackground
D%;I+II3+ 3; MA!#%I+G !%S%A!-4
8he American Mar-eting Association defines mar-eting research as 6the systematicgathering+ recording and analysis of data about problems relating to mar-eting of goods
and ser/ices'
According to ,otler+ 6mar-eting research is the systematic design+ collection analysis
and reporting of data and finding rele/ant of a specific mar-eting situation facing the
company'7
8he -ey 0or- in the abo/e definition is 6systematic7' 8his is the difference bet0eenresearch and haphazard gathering of findings' For a study3research to be systematic
there must be t0o 1ualities in the least'
First+ it should be orderly so that the measurements ha/e accuracy and there is a fair
cross$section' Second+ it should be implemented in analysis and interpretation'
No0 for a research to be systematic it should be planned in ad/ance' Moreo/er to
complete it+ it should be interpreted' Le thus arri/e at a definition of mar-etingresearchE7mar-eting research is the planning of and systematic gathering+ recording+
analysis and interpreting data about problems (or opportunities) relating to the
mar-etingof goods and ser/ices'
I+DUS!6 *!3;I5%
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Modern mar-eters are concentrating on the needs and 0ants of the people+ and then
producing products+ 0hich satisfy those needs'
A turning point in transport came 0hen the 0heel 0as in/ented' One good point about
mean is that he ne/er been satisfied 0ith his achie/ements' Be al0ays tries to impro/ehis li/ing conditions'
As time passes in #III 9enz 4ompany in/ented the first car in the 0orld' n early #H""
year+ lot of changes too- place in culture+ life style+ standard of li/ing 0as impro/ed' So
many industries ha/e entered in this field (% 0heelers) to impro/e the <&A58D of the product in different parameters'
As 0ell as in #H!I the first imported car 0as introduced in ndia+ n #H%! Bindustan
Motors 0as incorporated and in #H%% Premiere automobiles 0as started its manufacture'8he gro0th 0as /ery less+ but in early H"s tremendous changes too- place in all
industries because of lobalization' Many companies ha/e entered+ to start its
manufacturing in ndia' 9ecause of cheap a/ailability of resources'
Particularly in ndia compact car segment+ in the past eight years many car ma-ers ha/eentered ndia hoping to tap its much 0anted middle class'
Automobile manufacturers in ndia ha/e+ for decades+ perpetuated the idea that they
-no0 best not only about manufacturing and selling years but also 0hat the customer0anted' As a result e/en till the early I"s+ customer 0as /ery often not able to choose
the colors of the car or scooter he bought' ndeed+ motorcycles 0ere usually bac-' So+ tothe premium payable' .ealers 0ere not much more than bagmen and the
generalmessage 0as that the act of buying a ne0 car 0as simply a monitory transaction
0hich resulted in a great fa/or being besto0ed on the customer'
O/er a period of more than t0o decades the ndian Automobile ndustry has been
dri/ing its o0n gro0th through phases' 8he entry of Suzu-i 4orporation in ndian passenger car manufacturing is often pointed as the first sign of ndia turning to a mar-et
economy' Since then the automobile sector 0itnessed rapid gro0th year after year' 9ylate$H"s the industry reached self reliance in engine and component manufacturing fromthe status of large scale importer'
Lith comparati/ely higher rate of economic gro0th rate inde2 against that of great
global po0ers+ ndia has become a hub of domestic and e2ports business'
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8he automobile sector has been contributing its share to the shining economic
performance of ndia in the recent years' Lith the ndian middle class earning higher per
capita income+ more people are ready to o0n pri/ate /ehicles including cars and t0o$
0heelers' Product mo/ements and manned ser/ices ha/e boosted in the sales of mediumand sized commercial /ehicles for passenger and goods transport'
Automobile Dealers +etwork in India
n terms of 4ar dealer net0or-s and authorized ser/ice stations+ Maruti leads the pac-
0ith .ealer net0or-s and 0or-shops across the country' 8he other leading automobile
manufacturers are also trying to cope up and are opening their ser/ice stations and dealer0or-shops in all the metros and major cities of the country' .ealers offer /arying -ind
of
discount of finances 0ho in tern pass it on to the customers in the form of reduced
interest rates'
o/ernment has liberalized the norms for foreign in/estment and import of technology
and that appears to ha/e benefited the automobile sector' 8he production of total
/ehicles
increased from %'! million in #HHI$HH to @'= million in !""=$"%' t is li-ely that the
production of such /ehicles 0ill e2ceed !" million in the ne2t couple of years'
Des+ you can get lost in ndia+ but chances are there 0ill be a Maruti Suzu-i Ser/ice
Station close at hand' Lhere/er you go+ across the length and breadth of this /ast nation+
our ser/ice net0or- follo0s
ts the 0idest ser/ice net0or-' ts the deepest ser/ice net0or-' And+ 0hen you ser/ice
%"+""" cars a day 0ith an unmatched first$time right score+ 0e can say+ hand on ourheart+ that you 0ont find a better+ more committed ser/ice net0or- any0here in the
0orld'
Maruti Suzu-i e/en got an a0ard for it' Le/e been No'# in the C . Po0er 4ustomer
Satisfaction A0ard for a staggering #= years in a ro0' ts a sur/ey that rates the after$sales ser/ice e2perience+ one that no other global car mar-et leader has 0on e/en once'
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Bo0 do Maruti Suzu-i pull this feat off 8hats because across our o/er ="#=
nation0ide ser/ice outlets+ the only thing our ==""" strong trained ser/ice professional
ha/e on their mind is your delight'
About customer satisfaction
4ustomer satisfaction occurs 0hen the e2perience obtained from transaction match
e2pectation' 4ustomer may forget e2perience that match e2pectation although+
customers 0ill generally notice and also remember those e2perience that de/iated from
e2pectation'
8his stage is particularly -no0n as dissatisfaction results in to a feeling of dissonance in
case 0here an e2perience obtains from product3sender falls short of e2pectations'
n opposite situation i'e' state of satisfaction it may result in to repurchase of product
3ser/ice as case may be'
One has to accept the fact that people i'e' employee in an organization play a crucial role in
determining+ and deli/ering of the le/el of ser/ice 1uality and ultimately consumers
satisfaction' t has been obser/ed that e/en manufacturing organization ha/e gradually
realized the fact that along 0ith tangible offering+ intangible customer ser/ice the only
possible distinct 0ay to create a point of differentiation and positioning in to the
competitors' t is needless to state companies need to manage customer contact effecti/ely
0here the desired outcome is a satisfied customer'
4ustomers satisfaction data customer data pro/ides early 0arning sign of problems before
they sho0 up in re/enue and do0n in profit'
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he #ey ;actors behind his U$swing
Sales incenti/es+ introduction of ne0 models as 0ell as /ariants coupled 0ith easy
a/ailability of lo0 cost finance 0ith comfortable repayment options continued to dri/e
demand and sales of automobiles during the first t0o 1uarters of the current year' 8he
ris- of an increase in the interest rates+ the impact of delayed monsoons on rural
demand+ and increase in the costs of inputs such as steel are the -ey concerns for the
players in the industry'
As the players continue to introduce ne0 models and /ariants+ the competition may
intensify further' 8he ability of the players to contain costs and focus on e2ports 0ill be
critical for the performance of their respecti/e companies'
Industry $erformance in 7<../.7
*roduction
8he cumulati/e production data for April$March !"#! sho0s production gro0th of
#='I= percent o/er same period last year' n March !"#! as compared to March !"##+
production gre0 at a single digit rate of ?'I= percent' n !"##$#!+ the industry produced
!"+=??+%=! /ehicles of 0hich share of t0o 0heelers+ passenger /ehicles+ three 0heelers
and commercial /ehicles 0ere @? percent+ #> percent+ % percent and % percent
respecti/ely'
Domestic Sales
8he gro0th rate for o/erall domestic sales for !"##$#! 0as #!'!% percent amounting to
#@+=@?+?!% /ehicles' n the month of only March !"#!+ domestic sales gre0 at a rate of
#"'## percent as compared to March !"##'
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Passenger ehicles segment gre0 at %'?? percent during April$March !"#! o/er same
period last year' Passenger 4ars gre0 by !'#H percent+ &tility ehicles gre0 by #?'%@
percent and ans by #"'"# percent during this period' n March !"#!+ domestic sales of
Passenger 4ars gre0 by #H'?? percent o/er the same month last year' Also+ sales
gro0th of total passenger /ehicle in the month of March !"#! 0as at !"'>H percent (as
compared to March !"##)' For the first time in history car sales crossed t0o million in a
financial year'
8he o/erall 4ommercial ehicles segment registered gro0th of #I'!" percent during
April$March !"#! as compared to the same period last year' Lhile Medium * Bea/y
4ommercial ehicles (M*B4s) registered a gro0th of @'H% percent+ 5ight
4ommercial ehicles gre0 at !@'=? percent' n only March !"#!+ commercial /ehicle
sales registered a gro0th of #%'I! percent o/er March !"##'
Automobile Domestic Sales rends (Number
of ehicles)4ategory !""@$"I !""I$"H !""H$#" !"#"$## !"##$#! !"#!$#=
Passenger
ehicles#+>%H+II! #+>>!+@"= #+H>#+=== !+>"#+>%! !+?#I+"@! !+?I?+%!H
4ommerci
al ehicles%H"+%H% =I%+#H% >=!+@!# ?I%+H"> I"H+>=! @H=+#>"
8hreeLheelers
=?%+@I# =%H+@!@ %%"+=H! >!?+"!% >#=+!># >=I+!H#
80o
Lheelers@+!%H+!@I @+%=@+?#H H+=@"+H># ##+@?I+H#" #=+%=>+@?H
#=+@H@+@%
I
rand8otal
=">?@"@8? ="7@"7@8 .7"7=?"8=
.?"@B."8B
.
."8>">7
@
."B.?">.
B
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Industry Structure
The Indian car market has been divided in to small cars, mid size cars, luxury
cars and multi utility vehicles.
Small cars:
It is the most preferable small car segment in Indian economy. Under this
segment e have !aruti "##, !aruti $agon %, !aruti sift, Tata Indica,&yundai Santro, 'iat (alio, and !aruti )lto, !aruti *en +stilo, Tata ano, i-#,
spark, )star etc.These are the best
suitable for Indian middle class people. These cars also suit Indian roads and
traffic conditions. The concept of small cars has emerged from apan.Small
cars are fuel efficient ith latest sleek look and advanced technology.
!id size cars:
The mid size cars are to supper middle class people of society./usiness
executives mainly use these cars.Under this e have !aruti S01, Sift 2zire,
'ord 'usion, 'ord 'iesta, 3pel )stra, Tata Indigo, Tata !arina, &onda 4ity,
4hevrolet )veo, &yundai )ccent etc., and &yundai 5erna etc.
6uxury 4ars:
The elite members of the society use these luxury cars. The luxury cars symbol
of success of a man.Under this e have !aruti 7rand 5itara, 'ord !ondeo,
Skoda 3ctavia, Skoda 6aura, &yundai Sonata, &yundai +lantra, Toyota 4orolla,
Toyota 4ramy, !itsubishi 6ancer, !itsubishi 4edia, &onda 4ivic, &onda 4%5,
&onda )ccord, 4hevrolet optra, !ercedes8/enz 9S8class,+8class, etc.,
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Multi Utility Vehicle:
!U5;S are used for transportation purpose. )s !U5s are very rugged and
poerful vehicles they are used in hilly regions. Today there are a lot of playersin the car segment. This has increased competition amongst the
manufacturers.Under this e have Tata Sumo, Tata Sierra, Tata safari, !aruti
7ypsy, /a<a< Tempo, 'ord +ndeavour, Toyota =uails, Toyota In nova, !ahindra
5oyager, !ahindra Scorpio, !ahindra /olero etc.,
o8a8days dealers and manufacturers are providing many attractive financial
facilities for the consumers. This indicates that the manufactures ill have huge
demand in coming decades.
4ar Segments:
$ith the expansion of Indian )utomotive !arket over a period of time the car
models have been grouped in to the folloing segments.
/ased on the price and size:
) Segment 9Till > lacks:!aruti"##, 3mni.
/ Segment 9> to 1.? lacks :*en, $agon %, )lto, Santro, !atiz,
(alio and Indica.
4 - Segment 91.? to @.? lacks :+steem, )ccent, Siena, Indigo, Ikon,
4orsa, Sift.
4 A Segment 9@.? to -# lacks :/aleno, )stra, 4ity and 6ancer
2 Segment 9-# lacks B above : 3ctivia, Sonata, !ondeo, )ccord,
4army, 5ectra, 4orolla, !ercedes
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Based on Length as per SIAM (Society of Automotive
Manufacturers):
) - 9!ini8Up to >1##mm :!aruti"##
) A 94ompact8>1#- to 1###mm :*en, $agon %, )lto, Santro, !atiz, (alio,
and Indica.
)> 9!id8Size81##- to 1?##mm :+steem, Sift, )ccent, Siena, Indigo, Ikon,
4orsa, /aleno, )stra, 4ity,
)mbassador and
6ancer.
) 1 9+xcutive81?#- to 1C##mm :3ctivia, 4ontessa, !ercedes 484lass
) ? 9(remium81C#- to ?###mm :Sonata, !ondeo, )ccord, 4army, 5ectra.
) @ 96uxury8?##- and above :!ercedes S8class,
4 95an Type : 3mni, 5ersa.
/A 9(assenger 4arrier :7ypsy, Sumo, safari, =ualis, )rmada, and
5oyager.
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Maruti *roduct Information
Maruti B<< (India9s 5argest Selling -ar)
Started the Automoti/e re/olution in the country and ha/e /irtually become the 0heels
for the nation'
Most popular car among the first time buyers'
,no0n for reliability+ fuel efficiency+ least o0nership cost and /alue for money'
Pro/en * tested product to aspiring car o0ners'
Most Affordable 4ar (NFO Auto 4ar sur/ey)
Maneu/erability * ease par-ing
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;2cellent pic-up
ood ride comfort
MI"" launched in #HI='
MI"" got the Ball of Fame A0ard+ a0arded by Auto 4ar'
ariants
Std';=+ A34 ;=
Maruti 3M+I
From the beginning it 0as a conscious decision to send people to Suzu-i Motor4orporation for on$the$job training for line technicians+ super/isors and engineers'
8his helps them to imbibe the culture in a 0ay that merely transferring technology
through documents can ne/er replicate' At present !"J of our 0or-force ha/e beentrained under this program'
Coint /enture 0ith SM4 Capan+ the most technically ad/anced compact car manufacturerin the 0orld'
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SC/@
8he Pioneering %% in ndia
o Any0here
uarding ndia
Any 4limate
ariants ,ing hard$top+ ,ing soft$top
%+ %SI53 (S4A*%S 63U! E3!5D)
9est premium compact car
Bighest reliability
rate dri/e
9est car in 8otal 4ustomer Satisfaction by NFO !""!
No' # car in ;urope # Autocar #HH%
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ariantsA8+ 5 ;=+ .iesel+ 5i ;=+ i+ .PS
A53
(5ets go)
More Spacious
Meets nternational Safety Standards
&nmatched Fuel ;fficiency
Fastest 4ar in its Segment
oted as 64ar of 8he year !""#7 by 9usiness Standards Motoring
oted as 64ar of 8he year !""!7 by O;R.R; ALAR.S
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ariants 5+ i+ 5i
EAG3+ ! (Ins$ired %ngineering) It9s Magic
Bighest selling compact car in Capan
Perfect combination of space+ technology * /alue
&nmatched 4omfort
ncreasing Sales
nteresting 8ypes of 4ustomers
Rated as the best Family car by Star plus ood Morning ndia Sho0
Rated as the best car by C'.'Po0er
ariants
A+ 5+ i+ Pride+ 5i
%S%%M (he +ew *ower 0ersion)
5atest Safety Features
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9est Performance
Ne0 appearance
ariants
A+ .iesel+ 5 &pgrade+ .S.+ i+ .PS+ i &pgrade
A/star
ersatile &sage
;asy Maneu/erability
Fle2i Seating
ood All Round 4ooling ariants .+ .>s+ .!+ .!>s+ S.
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Satisfaction
Satisfaction is a persons feelings of pleasure or disappointment resulting fromcomparing a products percei/ed performance (out come) in relation to his or her
e2pectations'
As this definition ma-es clear+ satisfaction is a function of percei/ed performance and
e2pectations'
f the performance falls short of e2pectations+ the customer is dissatisfied' f the
performance matches the e2pectations+ the customer is satisfied' f the performance
e2ceeds e2pectations+ the customer is highly satisfied or delighted'
Many companies are aiming for high satisfaction+ because customers 0ho are just
satisfied still find it easy to s0itch 0hen less good offer comes along' 8hose 0ho are
highly satisfied are much less ready to s0itch' Bigh satisfaction or delight creates anemotional affinity 0ith brand+ not just a rational preference' 8he result is high customer
loyalty'
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Some of todays most successful companies are raising e2pectations and deli/ering
performances to match' 8hese companies are aiming for 84S$8otal 4ustomer
Satisfaction'
4onsumers from their e2pectations on the basis of messages recei/ed from sellers+friends and other information sources'
-ustomer Satisfaction
4ustomer Satisfaction may be defined as a 1ualitati/e measure 0here in a customere2periences /arious degrees of satisfaction until the performance of the product matches
his e2pectations'
4ustomers satisfaction 0ith a product depends on the products performance relati/e tothe buyers e2pectations' f the performance of the product falls short of his
e2pectations
the customer is dissatisfied' f the performance of the product matches his e2pectationsthe customer is satisfied' f the performance of the product e2ceeds his e2pectations the
customer is highly satisfied' 4ustomer Satisfaction can be achie/ed through 1uality+
/alue and ser/ice'
For a customer$centered company customer satisfaction is both a goal as 0ell as a major
factor in the companys success' 4ompanies that achie/e high customer satisfactionratings must ma-e sure that their target customers come to -no0 of it' 8he companies
must realize that highly satisfied customers produce se/eral benefits to the company'8hey are fe0er prices sensiti/e and they remain customers for the longer period' 8hey
also tal- fa/orably to the others about the company and its product and ser/ices'
Although customer$centered firms see- to deli/er a high le/el of customer satisfaction
than their competitors+ they do not attempt to ma2imize the customer satisfaction' Acompany can al0ays increase customer satisfaction by lo0ering the price and increasing
its ser/ices' 9ut this may result in lo0er profits' 8he company may be able to increase
profitability along 0ith customer satisfaction by impro/ing its manufacturing orin/esting
on the R * .'
Satisfaction is the customers fulfillment response' t is a judgment that a product or
ser/ice feature+ or the product or ser/ice itself+ pro/ides a pleasurable le/el of
consumption$related fulfillment'
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n less technical terms+ 0e translate this definition to mean that satisfaction is the
customers e/aluation of product or ser/ice in terms of 0hether that product or ser/icehas met their needs and e2pectations' Failure to meet needs and e2pectations is assumed
to result in dissatisfaction 0ith the product or ser/ice'
n addition to a sense of fulfillment in the -no0ledge that ones needs ha/e been met+
satisfaction can also be related to other types of feelings+ depending on the particular
conte2t or type of ser/ice' For e2ample+ satisfaction can be /ie0ed as contentment more of a passi/e response that consumers may associate 0ith ser/ices they dont thin-
a
lot about or ser/ices that they recei/e routinely o/er time' Satisfaction may also beassociated 0ith feelings of pleasure or ser/ices that ma-e the consumer feel good or
associated 0ith a sense of happiness' For those ser/ices that really surprise the consumer
in a positi/e 0ay+ satisfaction may mean delight' And in some situations+ 0here the
remo/al of a negati/e leads to satisfaction+ the consumer may associate a sense of relief0ith satisfaction'
t is also important to recognize that although 0ere tend to measure customer satisfactionat a particular point in time as if it 0ere static' Satisfaction is dynamic+ mo/ing target
that may e/ol/e o/ertime' nfluenced by a /ariety of factors' Particularly 0hen product
usage or the ser/ice e2perience ta-es place o/er time+ satisfaction may be highly /ariabledepending on 0hich point in the usage or e2perience cycle one is focusing on'
Similarly+
in the case of /ery ne0 ser/ices or a ser/ice not pre/iously e2perienced+ customer
e2pectations may be barely forming at the point of initial purchaseE these e2pectations
0ill solidify as the process unfolds and consumer begins to form his or her perception'8hrough the ser/ice cycle the consumer may ha/e a /ariety of different e2periences
some good+ some not good$and each 0ill ultimately impact satisfaction'
Ehat determines -ustomer SatisfactionF
4ustomer Satisfaction is influenced by specific $roduct or ser'ice features and by $erce$tions of uality as suggested' Satisfaction is also influenced by customer9s
emotional res$onses" their attributions" and their $erce$tions of euity,
*roduct and ser'ice features
4ustomer Satisfaction 0ith a product or ser/ice is influenced by significantly by the
customers e/aluation of product or ser/ice features' Research has sho0n that customers
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of ser/ices 0ill ma-e trade$offs among different ser/ice features (for e2ample+ price
le/el
/ersus 1uality /ersus friendliness of personnel /ersus le/el of customization)+ depending
on the type of ser/ice being e/aluated and criticality of ser/ice'
-ustomer %motion
4ustomers emotions can also affect their perceptions of satisfaction 0ith products andser/ices' 8hese emotions can be stable+ pree2isting emotions'
Attributions for Ser'ice success or failure
Attributions$ the percei/ed causes of e/ents influence perceptions of satisfaction as
0ell' Lhen they ha/e surprised by an outcome+ consumer tend to loo- for the reasons+and their assessments of the reasons can influence their satisfaction'
+ational -ustomer Satisfaction Inde&es
9ecause of the importance of customer satisfaction to firms and o/erall 1uality of lifemany countries ha/e a national inde2 that measures and trac-s customer satisfaction at a
macro le/el' Many public policy ma-ers belie/e that these measures could and should be
used as tools for e/aluating the health of the nations economy+ along 0ith traditionalmeasures of producti/ity and price'
4ustomer Satisfaction inde2es begin to get at the 1uality of economic output+ 0hereasmore traditional economic indicators tend to focus only on 1uantity'
-ustomer %&$ectations of Ser'ice
4ustomer ;2pectations are beliefs about ser/ice deli/ery that functions as standards or
reference points against 0hich performance is judged' 9ecause customers compare their
perceptions of performance 0ith these reference points 0hen e/aluating ser/ice 1uality+through -no0ledge about customer e2pectations is critical to ser/ices mar-eters'
,no0ing 0hat the customer e2pects is the first and possibly most critical step in
deli/ering 1uality ser/ice' 9eing 0rong about 0hat customers 0ant can mean e2pending
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money+ time+ and other resources on things that do not count to the customer' 9eing
0rong can e/en mean not sur/i/ing in a fiercely competiti/e mar-et'
-ustomer *erce$tions
Bo0 customers percei/e ser/ices+ ho0 they assess 0hether they ha/e e2perienced
1uality
ser/ice+ and 0hether they are satisfied'
4ustomers percei/e ser/ices in terms of the 1uality of the ser/ice and ho0 satisfied they
are o/erall 0ith their e2periences' 8hese customer oriented terms 1uality and
satisfaction ha/e been the focus of attention for e2ecuti/es and researchers a li-e o/erthe
last decade or more' 4ompanies today recognize that they can compete more effecti/ely
by distinguishing themsel/es 0ith respect to ser/ice 1uality and impro/ed customersatisfaction'
Satisfaction 'ersus Ser'ice uality
Practitioners and 0riters in the popular press tend to use the terms satisfaction and
1uality
interchangeably+ but researches ha/e attempted to be more precise about the meaningsand measurements of the t0o concepts+ resulting in considerable debate' 4onsensus is
gro0ing that the t0o concepts are fundamentally different in terms of their underlying
causes and outcomes' Although the certain things in common+ satisfaction is generally
/ie0ed as a broader concept+ 0hereas ser/ice 1uality assessment focuses specifically ondimensions of ser/ice' 9ased on this /ie0+ percei/ed ser/ice 1uality is a component of
customer satisfaction'
Methods of measuring -ustomer Satisfaction
A companys tools for trac-ing and measuring 4ustomer Satisfaction range from
Primiti/e to the sophisticated methods' 4ompanies use follo0ing methods to measureho0 much 4ustomer Satisfaction they are creating'
-om$laint Suggestion Systems
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A customer centered organization 0ould ma-e it easy for its customers 0ho deli/er
suggestion and complaints' Many restaurants and hotels pro/ides from guests to reporttheir li-es and disli-es' Some companies establish customer hot line 0ith toll$free
numbers to ma2imize the ease 0ith 0hich customers can in1uire+ ma-e suggestions or
complaints' 8his inform action flo0s pro/ide this companies 0ith many good ideas andenable then to act more rapidly to resol/e problems'
-ustomer Satisfaction Sur'ey
A company may not conclude that it can get a full picture of customer satisfaction and
dissatisfaction by simply running a compliant and suggestion system' 4ompanies cannot
use complaint le/el as a measure of customer satisfaction' Responsi/e companies obtaina direct measure of the customer satisfaction by conducting sur/eys' 8hey send
<uestionnaires or ma-e phone call to random sample of their recent customer to find out
Bo0 they feel about /arious aspects of the companys performance'
8hey 0ill solicit buyers /ie0 on the competitors' 4ustomer Satisfaction can be
Measured in a number of 0ays'
t can be measured directly by as-ing indicate ho0 satisfied you are 0ith ser/ice on
thefollo0ing scale'
Bighly .issatisfied
.issatisfied
ndifferent
Satisfied
Bighly Satisfied
Respondents can be as-ed as 0ell to rate ho0 much they e2pected of a certain attributeand also ho0 much they e2pected it' (.eri/ed Satisfied)
Another method is to as- respondents to list any problems they ha/e had 0ith the offer
and to list any impro/ements they could suggest' (Problem Analysis)'
Finally+ companies could as- respondents to rate /arious elements of the offer in terms
of
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the importance of each element and ho0 0ell the organization performed each element'
(mportance+ Performance rating)'
8he last method helps the company to -no0 if it is under performing on importantelements and o/er performing on relati/ely unimportant elements'
Lhile collecting customer satisfaction data it 0ould be useful as-ing additional
1uestions
to measure the customers repurchase intention' 8his 0ill normally be high if thecustomer satisfaction is high'
t 0ould be useful to measure the li-elihood or 0illingness to recommend the companyand brand to other persons' A high positi/e 0ord or mouth score indicates that the
company is producing high customer satisfaction
Ghost Sho$$ing
4ompanies can hire persons to pose as potential buyers to report their findings on strongand 0ea- points they e2perienced in buying the companys and competitors product'
5ost -ustomer Analysis
4ompanies should contact customers 0ho ha/e stopped buying or ha/e s0itched to
another supplier to learn 0hy this happened'
Satisfaction
Satisfaction is a function of percei/ed performance and e2pectation' f the
performance matches the e2pectations the customer is satisfied' f the performance
e2ceeds the e2pectations the customer is highly satisfied and delighted' f the
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performance does not match the e2pectations the customer is dissatisfied' Satisfaction is
a
persons feelings of pleasure or disappointment resulting from comparing a products
percei/ed performance (out$come) in relation to his3her e2pectation' 8he lin- bet0eencustomer satisfaction and customer loyalty is proportional' 8he -ey to generating high
customer loyalty is to deli/er high customer /alue'
A companys /alue proposition is much more than its positioning on a single attribute'
Most of the successful companies are raising e2pectations and deli/ering performances
to match' 8hese companies are aiming for 84S 8otal 4ustomer Satisfaction' 4ustomersatisfaction is both a goal and a mar-eting tool' 4ompanies that achie/e high customer
satisfaction ratings ma-e sure that their target mar-et is -no0n'
-ustomer Sur'ey
Finding out the customer satisfaction on sales to0ards Maruti /ehicle 0ith reference to
Maruti Suzu-i &dyog 5td'
Finding out the customer satisfaction of Maruti Suzu-i car users to0ards
Maruti Suzu-i &dyog 5td'
For this sur/ey+ ha/e prepared a 1uestionnaireE through this collected data from
customers'
Sample Size of sur/ey is #"" consumers' 9y analyzing these 1uestionnaires+ found outthe le/el of customer satisfaction on Maruti'
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