study on consumer buying behaviour & satisfaction level for hero honda motorcycle by owesh...
TRANSCRIPT
1
Project On
“Study on Consumer Buying Behavior & Satisfaction Level for Hero
Honda Motorcycle with reference to Chikhli city in Navsari”
Master of Business Administration (Marketing)
Submitted in partial fulfillments of requirements for award of Master of Business Administration of
Tilak Maharashtra University, Pune.
Submitted By:
OWESH R. DABAWALA
(Batch 2008-10) PRN: 07208013444
Of
PAI International Centre for Management Excellence, Pune-411001
Tilak Maharashtra University Gultekdi, Pune 411037
2
Certificate Of Internal Guide
This is to certify that project titled ―Study on Consumer Buying Behavior &
Satisfaction Level for Hero Honda Motorcycle with reference to
Chikhli city in Navsari‖ is a bonafide work carried Out by Mr. Owesh
R. Dabawala a candidate for the award of Master of Business
Administration of Tilak Maharastra University, Pune under my guidance
and direction.
Signature of guide
Name: DR. Roshan Kazi
Date: Designation: HOD
(MBA)
Place: Institute: AIMS
3
ACKNOWLEDGEMENT
Concentration, dedication, hard work and application are essential but not the only
factor to achieve the desired goal. Those must be supplemented by the guidance
assistance and cooperation of experts to make it success.
I am extremely grateful to my institute for providing me the opportunity to undertake
this research project in the prestigious field.
With profound pleasure, I extend my extreme sincere sense of gratitude and
indebtedness to Mr. Kadar Memon and Mr. Razak Memon (Founder of Supreme
Auto) for extensive and valuable guidance that was always available to me
ungrudgingly and instantly, which help me complete my project without difficulty.
I express my deep and sincere gratitude to Mr. Nitin Patel (Sales Manager of Supreme
Auto) for providing me firsthand knowledge.
Last but not the least I am indebted to Prof.R Ganesan, Director, of our institute and
my project guide Prof.Roshan Kazi (HOD OF MBA) without whose sincere gratitude
this project would not have been possible.
I am thankful to all of my friends and batch mates for their help in completing this
project work. Finally, I am thankful to my entire family members for their great support
and encouragement.
Owesh R. Dabawala
4
Contents
Chapter
No.
SUBJECT
PAGE
NO.
1 Rationale of Study 1
2 Objective of the Study 6-8
Title of the project
Objective of the Study
Scope of the Study
3 Profile of Company 9-22
4 Review of Literature 23-29
5 Research Methodology 30-34
Research Design
Data collection methods/sources
Sampling plan
6 Data Analysis and Interpretation 35-50
7 Findings 51-53
8 Limitations 54-55
Appendix 56
Questionnaire 57-60
Form or any from the company 61
Bibliography 62
5
Chapter: I
Rationale for The Study
6
Two Wheeler Auto Mobile’s Introduction
Throughout the centuries man has striven to expand his capabilities through the use of machine. His
ever inventive mind has constantly devised ways to use tool to increase his abilities to explore the
world around him. To go faster, deeper, higher and further than before was it. Coupled with his need to
find new thrills, new adventures and new modes of transportation, the invention refinement of the
motorcycle seems an inevitable outcome.
It would seem that Michelangelo conceived of the bicycle as early 14th
century. And his drawing
shows a remarkable resemblance to he modern day bike. It had wheels of similar size and even pedals
and chain. Albeit made without any apparent means of steering.
Through never built, it was a remarkably clever design, and early bicycle makers would have done
well to study his concepts, there have, in fact been 4 machines built based on his drawing, attesting to
the viability of his design.
It wasn‘t until 1869 that the first serious attempts were made to produce motor driven bicycles.
These very first were powered by steam, and driven by leather belts or as in the case of the roper steam
velocipede of 1869 by a system of levers attached to a crank on the driven wheel.
In 1885 the Daimler, Europe this is consider by many as the first true motorcycle or motor
bicycle, as it was the first to employ an internal combustion engine and was designed from the ground
up to be motor powered. Designed by gottlibe Daimler it was powered by an Otto cycle engine
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producing about ½ horse powers. Note this design again employed wooden wheels and Daimler
dropped the twist grip controls from his 1877 design in favor of leavers on the frame.
In 1894, Hildebrand and Wolfmuller, France Worlds produce first motorcycle. It came with a 1428
cc water cooled four-stroke motor producing 2.5 bhp. And speed of 25 mph.
In 1898 orient-Aster, USA the American made production motorcycle was this entry built by the
Metz Company, in Waltham, mass, it used an aster engine that was a French copy of the Metz
Company, in Waltham, mass.
Introduction of India Two wheeler’s Company
Bikes or two wheelers in India cater to various needs of the consumers. With the choice of the Indians
improving from bicycles to two wheelers, the Indian two-wheeler market has seen a significant growth
over the years. Now owing a bike has become a must for most Indians. Even if people own a car they
prefer to have a bike as it is very economical and fuel efficient.
With the growth in the economy the demand for two wheelers is increasing over the years. It is one of
the most dynamic industries today and with the increasing competition companies are bringing in new
products with sophisticated technologies and innovative features to capture a major pie of the Indian
market and it‘s the consumer who is benefited from it..
With the availability of reduced consumer loans and high disposable income the Indian two-wheeler
industry has perceived an exceptional growth over the past few years thereby making India the second
largest market for two wheelers in the world only after China.
The motorcycle has now become one most popular mode of transportation among the Indian middle
class families because of it is cost effective, economical and easy to navigate through the traffic.
8
Moreover, the people have started preferring bikes instead of scooters and mopeds and today bikes
form a major part of the Indian two wheelers.
Indian companies are one of the largest two wheeler manufacturers in the world. The number one bike
manufacturer in the world, Hero Honda is in close competition with the Indian manufacturer Bajaj
India.
The motorcycle industry in India has witnessed a tremendous change in the 90‘s with the invention of
4 stroke engine which makes the bikes more fuel efficient. Further companies are trying to bring in
more innovations to make the motorcycle ride more comfortable, safe and user friendly and
economical.
In a nut shell the followings factors can be distinguished for the growth of motorcycle industry in
India:
Easy accessibility to cheap consumer loans
The increase in the average income of the family.
The reduction in duties and taxes.
Convenience with regards to commuting as compared to the public transport system.
Continuous innovations in technology making the bikes economic and fuel-efficient.
The first choice among youths and teenagers.
IInnttrroodduuccttiioonn ooff SSttuuddyy
9
Selling of any product, there is needed to build relationship with customer. For building a relationship
there is need for knowing the customer behavior and how will be they satisfied?
This project is undertaken to know the customer behavior & satisfaction level for Hero Honda
Motorcycle in Supreme Auto (at Chickhli). Also through this project get awareness that which factors
affect on the selling of bike mainly in the rural area. Because the area where project was undergoing, it
is almost rural area and most population income depends on agriculture or its products.
There were some limitations while doing the project. The data was collected by personal interviews of
the respondents. It was very challenging to fill up the questionnaire as most of the population comes
from rural back ground. As it was the rural area we were supposed to explain each and every question
of the questionnaire. Also many of them did not show any interest in filling questionnaires..
This study will help Hero Honda to know the most popular way by which they are providing services
and quality to the customers and to know various customers Perceptions.
From the study, we found that, the customers were highly satisfied with the products and service of
Hero Honda, but there were some complaints regarding after sales service and staff of Hero Honda.
It was found that Hero Honda Motorcycle is having a good brand image in the market. Most of the
respondents considered Hero Honda showroom is one of the best places to purchase of Motorcycle.
The present is the era of customers. Customers are more knowledgeable than ever before and because
the customer is more knowledgeable, companies must be faster, more agile and more creative than few
years ago. So companies should strive to enhance customer satisfaction through knowing their
expectations regarding products.
Hero Honda should improve on their after sales support, and have knowledgeable support staff. Also
Hero Honda should increase the range of its targeted market.
10
CChhaapptteerr –– IIII
OObbjjeeccttiivvee ooff TThhee SSttuuddyy
11
Title of the Project
In today‘s world customer is the key of the success of any business. So, Customer behavior and its
satisfaction level play very key role to sale of the product. That‘s why we decide to keep the project
title related this key factor called ―Study on consumer buying behavior and satisfaction
level for Hero Honda Motorcycle with reference to Chikhli in Navsari”.
Main purpose of the study was to know the customer buying behavior and demand into the minds of
customer of Chikhli because always customers say something and does something. At the same time as
there are many companies manufacturing motorcycles, idea about thinking of customer on whether,
what, how, and for whom to purchase the motorcycle.
Therefore, research is required to measure present consumer buying behavior at the purchase of Hero
Honda bike. so the researcher problem is to identify what are the criteria that prospective customer
takes into consideration before buying the motorcycles. Also after purchasing are customers being
satisfied or not?
12
Objective of the Study
To know market position of Hero Honda bike in the market.
To know consumer behavior for purchase of two wheeler bike.
To identify the factor which influences on consumer decision?
To classify which types of customers visiting of Dealers with reference
to age, gender, income
To know which medium play important role for purchasing bike.
To study who is the decision make in purchasing bike?.
To study whether customers are satisfied with staff and services
or not?
Identifying possible areas of Improvement.
To know the status of different offers.
SCOPE OF STUDY
The main scope of the study is restricted to Chikhli city in Navsari.
This study has been made to find the level of satisfaction the customer has
regarding the service provider by bike place at Chikhli city.
13
Chapter: III
PPrrooffiillee ooff TThhee CCoommppaannyy
14
HERO HOND PROFILE
HERO HONDA HEADQUARTERS
Logo
Founded January 19, 1984 in Gurgaon, Haryana, India
Headquarters Haryana, India
15
Board of Directors:
No. Name of the Directors Designation
1 Mr. Brijmohan Lall Munjal Chairman & Whole-time Director
2 Mr. Pawan Munjal Managing Director & CEO
3 Mr. Toshiaki Nakagawa Joint Managing Director
4 Mr. Sumihisa Fukuda Technical Director
5 Mr. Om Prakash Munjal Non-executive Director
6 Mr. Sunil Kant Munjal Non-executive Director
7 Mr. Masahiro Takedagawa Non-executive Director
Om Prakash Munjal, Founder
Mr. Brijmohan Lall Munjal, Chairman
Key people Mr. Toshiaki Nakagawa, Joint Managing Director
Mr. Pawan Munjal, Managing Director
Industry Automotive
Products Motorcycles, Scooters
Revenue U$ 2.8 billion
Website http://www.herohonda.com/site/home/home.asp
16
8 Mr. Santoshi Matsuzawa (Alternate
Director to Mr.Takashi Nagai)
Non-executive Director
9 Mr. Pradeep Dinodia Non-executive & Independent
Director
10 Gen.(Retd.) Ved Prakash Malik Non-executive & Independent
Director
11 Mr. Analjit Singh Non-executive & Independent
Director
12 Dr. Pritam Singh Non-executive & Independent
Director
13 Ms. Shobhana Bhartia Non-executive & Independent
Director
14. Mr. Meleveetil Damodaran Non-executive & Independent
Director
15. Mr. Arun Nath Maira Non-executive & Independent
Director
The joint venture between India's Hero Group and Honda Motor Company, Japan has not only created
the world's single largest two wheeler company but also one of the most successful joint ventures
worldwide.
During the 80s, Hero Honda became the first company in India to prove that it was possible to drive a
vehicle without polluting the roads. The company introduced new generation motorcycles that set
industry benchmarks for fuel thrift and low emission. A legendary 'Fill it - Shut it - Forget it' campaign
17
captured the imagination of commuters across India, and Hero Honda sold millions of bikes purely on
the commitment of increased mileage.
Over 20 million Hero Honda two wheelers tread Indian roads today. These are almost as many as the
number of people in Finland, Ireland and Sweden put together!
Hero Honda has consistently grown at double digits since inception; and today, every second
motorcycle sold in the country is a Hero Honda. Every 30 seconds, someone in India buys Hero
Honda's top -selling motorcycle – Splendor. This festive season, the company sold half a million two
wheelers in a single month—a feat unparalleled in global automotive history.
Hero Honda bikes currently roll out from its three globally benchmarked manufacturing facilities. Two
of these are based at Dharuhera and Gurgaon in Haryana and the third state of the art manufacturing
facility was inaugurated at Haridwar, Uttrakhand in April this year. These plants together are capable
of producing out 4.4 million units per year.
Hero Honda's extensive sales and service network now spans over 3000 customer touch points. These
comprise a mix of dealerships, service and spare points, spare parts stockiest and authorized
representatives of dealers located across different geographies.
Hero Honda values its relationship with customers. Its unique CRM initiative - Hero Honda Passport
Program, one of the largest programs of this kind in the world, has over 3 million members on its
roster. The program has not only helped Hero Honda understand its customers and deliver value at
different price points, but has also created a loyal community of brand ambassadors.
Having reached an unassailable pole position in the Indian two wheeler market, Hero Honda is
constantly working towards consolidating its position in the market place. The company believes that
changing demographic profile of India, increasing urbanization and the empowerment of rural India
18
will add millions of new families to the economic mainstream. This would provide the growth ballast
that would sustain Hero Honda in the years to come. As Brijmohan Lall Munjal, the Chairman, Hero
Honda Motors succinctly points out, "We pioneered India's motorcycle industry, and it's our
responsibility now to take the industry to the next level. We'll do all it takes to reach there.''
Mission: Hero Honda‘s mission is to strive for synergy between technology, systems and human
resources, to produce products and services that meet the quality, performance and price aspirations of
its customers. At the same time maintain the highest standards of ethics and social responsibilities.
This mission is what drives Hero Honda to new heights in excellence and helps the organization forge
a unique and mutually beneficial relationship with all its stake holders.
Product of Hero Honda Motorcycle:
Category Product Name Slogan Engine
Capacity
Entry
CD Dawn Dawn 97.2cc
CD Deluxe Naye Indian ki Nayi Deluxe Bike 97.2cc
Pleasure Why should boys have all the fun? 102cc
Deluxe
Splendor+ Designed to excel 97.2cc
Splendor NXG The New Xiting Ride 97.2cc
Passion Pro Ride your passion flaunt your style "style unlimited" 97.2cc
Passion Plus A whole new world of style 97.2cc
Super Splendor Generation nayi bharosha wahi 124.7cc
Glamour Simply Magnetic 124.7cc
19
Glamour PGM FI Programmed fuel injection 124.8cc
Premium
Achiever Solid Like You 149.1cc
CBZ Extreme Live Extreme 149.2cc
Hunk Because Muscles Matter 149.2cc
Karizma Always Game 223cc
Market share of Hero Honda Motorcycle
Motorcycle:
Scooter:
20
21
Dealer Profile
Two entrepreneurs Mr. Kadar Memon & Mr. Razak Memon as a partner have started journey with
Hero Honda Company on 20th
March, 2000 as starting workshop service station of HHML at Chikhli
dist:Navsari. After achieving some milestone in the company they are appointed as an authorized
dealer of HHML for Chikhli taluka. On 8th
July, 2005 Supreme Auto was established at Chikhli. In 4
years Supreme auto achieve many remarkable milestone and being one of the leading dealer behalf of
HHML.Hero Honda has given 4s (Sales, Service, Spares & Safety) facilities to the Supreme Auto.
SUPREME AUTO AT CHIKHLI
22
Range of Providing Services: Company gives authority around 15 km far from Chikhli.
Areas are covered by dealer is given bellow.
Chikhli
Billimora
Khergam
Rankuwa
All above centers Supreme Auto has established their service centers. From there it offers sales,
services & spares to the customers.
23
Service Centre of Supreme Auto
Value of Supreme Auto:
Trust
Satisfaction
Passion
VISION
24
To make Supreme Auto the dominant for best service provider & dealer built on trust by all class
people. This we hope to achieve by:
Understanding the needs of customers and offering them superior products and service
Leveraging technology to service customers quickly, efficiently and conveniently
Providing an enabling environment to foster growth and learning for our employees
And above all, building transparency in all our dealings.
MISSION
Understanding the needs of customers and offering them superior products and service
Building long lasting relationships with their customers & HHML.
Providing an enabling environment to foster growth and learning for their employees
DEALER’S ARD & SERVICE STATIION
There Are 1Dealer Showroom, 1 Main Service station & Workshop, 3 ARD (Authorized
Representative of Dealer).Which details are given bellow
TYPE NAME ADDRESS
DEALER SHOWROOM SUPREME AUTO
N.H.NO.8, THALA, CHIKHLI.
PH.:231100,232100
SERVICE
STATION&WORKSHOP
SUPREME AUTO
SAMROLI, KALAPUL, CHIKHLI.
PH:234100,231399
25
WORKSHOPHELPLINE:9909133100
ARD REHBAR AUTO
SOMNATH ROAD , BILLIMORA
PH:284100
HELPLINENO.:9428383100
ARD RIDDHI AUTO
DESRA TEKRI, KHERGAM
PH:220233
ARD SPEED AUTO
RANKUWA
PH:247866
DEALER’S ORGANIZATION STRUCTURE
26
SUPREME AUTO’S STRUCTURE
DEALERS’ TIE UP
Supreme Auto provides facilities of finance & insurance to the customer at a time. So customers does
not need to go anywhere for loan & insurance
Finance Tie up
HDFC
MASS FINANCE
27
Both finance providers are belonging good reputation in the market. Also customers are free to get
finance from any finance company.
Insurance Tie up
IFCO-TOKYO
ICICI LOMBARD
Both insurance players have good image about customer oriented.
Achievements
During 2000 & 2001 it got award for best service provider of all over the
india.
It is included in top 7 scooter selling dealer of Gujarat.
E-R Diagram:
28
E-R diagram shows the process from inquiry of customers to delivery of bike or any services. It shows
the relation between entities.
Dealer Market Share
(Secondary data collection from RTO and data is related to Chikhli city)
29
CChhaapptteerr –– IIVV
RReevviieeww ooff LLiitteerraattuurree
30
CCUUSSTTOOMMEERR BBEEHHVVIIOOUURR
TThhee mmaaiinn aaiimm ooff mmaarrkkeettiinngg iiss mmeeeett aanndd ssaattiissffyy ttaarrggeett ccuussttoommeerrss nneeeedd aanndd wwaannttss bbuuyyeerr bbeehhaavviioorr
rreeffeerrss ttoo tthhee ppeeoopplleess oorr oorrggaanniizzaattiioonn ccoonndduucctt aaccttiivviittiieess aanndd ttooggeetthheerr wwiitthh tthhee iimmppaacctt ooff vvaarriioouuss
iinnfflluueennccee oonn tthheemm ttoowwaarrddss mmaakkiinngg ddeecciissiioonn oonn ppuurrcchhaassee ooff pprroodduucctt aanndd sseerrvviiccee iinn aa mmaarrkkeett.. TThhee ffiieelldd
ooff ccoonnssuummeerr bbeehhaavviioorr ssttuuddiieess hhooww iinnddiivviidduuaallss,, ggrroouuppss aanndd oorrggaanniizzaattiioonn sseelleecctt,, bbuuyy,, uussee aanndd ddiissppssee ooff
ggooooddss,, sseerrvviiccee,, iiddeeaass,, oorr eexxppeerriieennccee ttoo ssaattiissffyy tthheeiirr nneeeeddss aanndd ddeessiirreess uunnddeerrssttaannddiinngg ccoonnssuummeerr bbeehhaavviioorr
aanndd kknnoowwiinngg ccuussttoommeerr aarree nneevveerr ssiimmppllee.. TThhee wweeaalltthh ooff pprroodduuccttss aanndd sseerrvviiccee pprroodduucceedd iinn aa ccoouunnttrryy
mmaakkee oouurr eeccoonnoommyy ssttrroonngg.. TThhee bbeehhaavviioorr ooff hhuummaann bbeeiinngg dduurriinngg tthhee ppuurrcchhaassee iiss bbeeiinngg tteerrmmeedd aass
――BBuuyyeerr BBeehhaavviioorr‖‖.. CCuussttoommeerr ssaayyss oonnee tthhiinngg bbuutt ddoo aannootthheerr.. TThheeyy mmaayy nnoott bbee iinn ttoouucchh wwiitthh tthheeiirr
ddeeeeppeerr mmoottiivvaattiioonnss.. TThheeyy aarree rreessppoonnddiinngg ttoo iinnfflluueenncceess tthhaatt cchhaannggee tthheeiirr mmiinndd aatt tthhee llaasstt mmiinnuuttee.. AA
bbuuyyeerr mmaakkeess ttaakkee aa ddeecciissiioonn wwhheetthheerr ssaavvee oorr ssppeenndd tthhee mmoonneeyy..
DDeeffiinniittiioonn ooff BBuuyyeerr BBeehhaavviioorr::--
BBuuyyeerr bbeehhaavviioorr iiss ――aallll ppssyycchhoollooggiiccaall,, SSoocciiaall aanndd pphhyyssiiccaall bbeehhaavviioorrss ooff ppootteennttiiaall ccuussttoommeerrss aass
tthheeyy bbeeccoommee aawwaarree ooff eevvaalluuaattee,, ppuurrcchhaassee,, ccoonnssuummee aanndd tteellll ootthheerrss aabboouutt pprroodduucctt && sseerrvviiccee..
31
CCuussttoommeerr bbuuyyiinngg DDeecciissiioonn PPrroocceessss
TThheerree aarree ffoolllloowwiinngg ffiivvee ssttaaggeess iinn ccoonnssuummeerr bbuuyyiinngg ddeecciissiioonn pprroocceessss..
11.. PPrroobblleemm iiddeennttiiffiiccaattiioonn::--
TThhee bbuuyyiinngg pprroocceessss ssttaarrttss wwhheenn tthhee bbuuyyeerr rreeccooggnniizzeess aa pprroobblleemm oorr nneeeedd.. TThhee nneeeedd ccaann bbee ttrriiggggeerreedd bbyy
iinntteerrnnaall oorr eexxtteerrnnaall ssttiimmuullii.. MMaarrkkeetteerrss nneeeedd ttoo iiddeennttiiffyy tthhee cciirrccuummssttaanncceess tthhaatt ttrriiggggeerr aa ppaarrttiiccuullaarr nneeeedd..
BByy ggaatthheerriinngg iinnffoorrmmaattiioonn ffrroomm aa nnuummbbeerr ooff ccoonnssuummeerrss,, MMaarrkkeetteerrss ccaann iiddeennttiiffyy tthhee mmoosstt ffrreeqquueenntt
ssttiimmuullii tthhaatt ssppaarrkk aann iinntteerreesstt iinn aa pprroodduucctt ccaatteeggoorryy.. TThheeyy ccaann tthheenn ddeevveelloopp mmaarrkkeettiinngg ssttrraatteeggiieess tthhaatt
ttrriiggggeerr ccoonnssuummeerr iinntteerreesstt..
22.. IInnffoorrmmaattiioonn SSeeaarrcchh::--
TThhee ccoonnssuummeerr ttrriieess ttoo ccoolllleecctt iinnffoorrmmaattiioonn rreeggaarrddiinngg vvaarriioouuss pprroodduuccttss//sseerrvviiccee.. TThhrroouugghh ggaatthheerriinngg
iinnffoorrmmaattiioonn,, tthhee ccoonnssuummeerr lleeaarrnnss aabboouutt ccoommpplleettiinngg bbrraannddss aanndd tthheeiirr ffeeaattuurreess.. IInnffoorrmmaattiioonn mmaayy bbee
ccoolllleecctteedd ffoorrmm mmaaggaazziinneess,, ccaattaalloogguueess,, rreettaaiilleerrss,, ffrriieennddss,, ffaammiillyy mmeemmbbeerrss,, bbuussiinneessss aassssoocciiaattiioonn,,
ccoommmmeerrcciiaall,, cchhaammbbeerr ooff ccoommmmeerrccee,, tteelleepphhoonnee ddiirreeccttoorryy,, ttrraaddeeffaaiirr eettcc.. MMaarrkkeetteerrss sshhoouulldd ffiinndd oouutt tthhee
ssoouurrccee ooff iinnffoorrmmaattiioonn aanndd tthheeiirr rreellaattiivvee ddeeggrreeee ooff iimmppoorrttaannccee ttoo tthhee ccoonnssuummeess..
PPeerrssoonnaall SSoouurrcceess:: FFaammiillyy,, ffrriieennddss,, nneeiigghhbboorr,, aass qquuiittttaanncceess..
CCoommmmeerrcciiaall SSoouurrccee:: AAddvveerrttiissiinngg,, ssaalleess ppeerrssoonnss,, ddeeaalleerrss,, ppaacckkaaggiinngg,, ddiissppllaayyss..
PPuubblliicc ssoouurrcceess:: mmaassss mmeeddiiaa,, ccoonnssuummeerr,, rraattiinngg oorrggaanniizzaattiioonnss..
32
EExxppeerriimmeennttaall ssoouurrcceess:: HHaannddlliinngg.. EExxaammiinnee,, uussiinngg tthhee pprroodduucctt..
33.. EEvvaalluuaattiioonn ooff aalltteerrnnaattiivvee::--
TThheerree iiss nnoo ssiinnggllee pprroocceessss uusseedd bbyy aallll ccoonnssuummeerrss bbyy oonnee ccoonnssuummeerr iinn aallll bbuuyyiinngg ssiittuuaattiioonnss.. TThheerree iiss
sseevveerraall FFiirrsstt,, tthhee ccoonnssuummeerr pprroocceesssseess,, ssoommee bbaassiicc ccoonncceeppttss aarree::
FFiirrsstt,, tthhee ccoonnssuummeerr iiss ttrryyiinngg ttoo ssaattiissffyy nneeeedd..
SSeeccoonndd,, tthhee ccoonnssuummeerr iiss llooookkiinngg ffoorr cceerrttaaiinn bbeenneeffiittss ffrroomm tthhee pprroodduucctt ssoolluuttiioonnss..
TThhee mmaarrkkeetteerr mmuusstt kknnooww wwhhiicchh ccrriitteerriiaa tthhee ccoonnssuummeerr wwiillll uussee iinn tthhee ppuurrcchhaassee ddeecciissiioonn..
44 .. CChhooiiccee ooff ppuurrcchhaassiinngg ddeecciissiioonn::--
FFrroomm aammoonngg tthhee ppuurrcchhaassee ooff aalltteerrnnaattiivveess tthhee ccoonnssuummeerr mmaakkeess tthhee ssoolluuttiioonn.. IItt mmaayy bbee ttoo bbuuyy oorr nnoott ttoo
bbuuyy.. IIff tthhee ddeecciissiioonn iiss ttoo bbuuyy.. TThhee ootthheerr aaddddiittiioonnaall ddeecciissiioonnss aarree::
WWhhiicchh ttyyppeess ooff bbiikkee hhee mmuusstt bbuuyy??
FFrroomm wwhhoomm ddoo yyoouu bbuuyy aa bbiikkee??
HHooww tthhee ppaayymmeenntt ttoo bbee mmaaddee?? AAnndd ssoo oonn..
TThhee mmaarrkkeetteerr uupp ttoo tthhiiss ssttaaggee hhaass ttrriieedd eevveerryy mmeeaannss ttoo iinnfflluueennccee tthhee ppuurrcchhaassee bbeehhaavviioorr,,
bbuutt tthhee cchhooiiccee iiss pprrooppeerrllyy ccoonnssuummeerrss.. IInn tthhee eevvaalluuaattiioonn ssttaaggee tthhee ccoonnssuummeerr ffoorrmmss pprreeffeerreenncceess aammoonngg
tthhee bbrraannddss iinn tthhee cchhooiiccee sseett.. TThhee ccoonnssuummeerr mmaayy aallssoo ffoorrmm aann iinntteennttiioonn ttoo bbuutt tthhee mmoosstt pprreeffeerrrreedd bbrraanndd..
33
55.. PPoosstt PPuurrcchhaassee BBeehhaavviioorr::--
AAfftteerr ppuurrcchhaassee tthhee pprroodduucctt,, tthhee ccoonnssuummeerr wwiillll eexxppeerriieennccee tthhee ssaammee lleevveell ooff pprroodduucctt.. TThhee MMaarrkkeetteerr‘‘ss
jjoobb nnoott eenndd wwhheenn tthhee pprroodduucctt iiss bbuuyyiinngg mmuusstt mmoonniittoorr ppoosstt--ppuurrcchhaassee ssaattiissffaaccttiioonn,, ppoosstt--ppuurrcchhaassee aaccttiioonn,,
ppoosstt--ppuurrcchhaassee uussee aanndd ddiissppoossaall
PPoosstt PPuurrcchhaassee SSaattiissffaaccttiioonn::--
TThhee ccuussttoommeerr,, ssaattiissffaaccttiioonn iiss aa ffuunnccttiioonn OOff cclloosseenneessss bbeettwweeeenn tthhee bbuuyyeerr,, eexxppeeccttaattiioonn aanndd tthhee
pprroodduuccttss PPeerrcceeiivveerr ppeerrffoorrmmaannccee.. TThhee llaarrggeerr tthhee ggaapp bbeettwweeeenn eexxppeeccttaattiioonn aanndd ppeerrffoorrmmaannccee,, tthhee
gg ggrreeaatteerr tthhee ccoonnssuummeerr ddiissssaattiissffaaccttiioonn..
PPoosstt ppuurrcchhaassee AAccttiioonn::--
TThhee CCoonnssuummeerr,, SS ssaattiissffaaccttiioonn oorr ddiissssaattiissffaaccttiioonn wwiitthh tthhee pprroodduucctt iinnfflluueennccee ssuubbsseeqquueenntt bbeehhaavviioorr.. IIff tthhee
ccoonnssuummeerr ssaattiissffiieedd,, hhee oorr sshhee wwiillll eexxhhiibbiitt aa hhiigghheerr pprroobbaabbiilliittyy ooff ppuurrcchhaassiinngg tthhee pprroodduucctt aaggaaiinn..
DDiissssaattiissffaaccttiioonn ccoonnssuummeerr mmaayy aabbaannddoonn aanndd rreettuurrnn tthhee pprroodduucctt..
PPoosstt--PPuurrcchhaassee UUssee oorr DDiissppoossaall::--
TThhee mmaarrkkeetteerr sshhoouulldd aallssoo mmoonniittoorr nneeww bbuuyyeerrss uussee aanndd ddiissppoossee ooff tthhee pprroodduucctt.. IIff tthhee ccoonnssuummeerr ssttoorree tthhee
pprroodduucctt iinn aa cclloossee,, tthhee pprroodduucctt iiss pprroobbaabbllyy nnoott vveerryy ssaattiissffyyiinngg.. IIff tthhee ccoonnssuummeerr tthhrroowwss tthhee pprroodduucctt
aawwaayy,, tthhee mmaarrkkeetteerr nneeeeddss ttoo kknnooww hhooww tthheeyy ddiissppoossee ooff iitt;; eessppeecciiaallllyy iitt ccaann bbee hhuurrtt tthhee eennvviirroonnmmeenntt..
34
CChhaarraacctteerriissttiicc ooff BBuuyyeerr BBeehhaavviioorrss
TThhee cchhiieeff cchhaarraacctteerriissttiiccss ooff tthhee bbuuyyeerrss bbeehhaavviioorrss aarree aass ffoollllooww::--
((11)) IItt ccoonnssiissttss ooff mmeennttaall aanndd pphhyyssiiccaall aaccttiivviittiieess wwhhiicchh ccoonnssuummeerrss uunnddeerrttaakkee ttoo ggeett ggooooddss aanndd sseerrvviicceess
aanndd oobbttaaiinn ssaattiissffaaccttiioonn ffrroomm tthheemm..
((22)) IItt iinncclluuddeess bbootthh oobbsseerrvvaabbllee aaccttiivviittiieess ssuucchh aass wwaallkkiinngg tthhrroouugghh tthhee mmaarrkkeett ttoo eexxaammiinnee mmeerrcchhaannddiissee
aanndd mmaakkiinngg aa ppuurrcchhaassee aanndd mmeennttaall aaccttiivviittiieess--ssuucchh aass ffoorrmmiinngg aattttiittuuddeess,, ppeerrcceeiivviinngg aaddvveerrttiissiinngg mmaatteerriiaall,,
aanndd lleeaarrnniinngg ttoo pprreeffeerr ppaarrttiiccuullaarr bbrraannddss..
((33)) CCoonnssuummeerr bbeehhaavviioorrss aarree vveerryy ccoommpplleexx aanndd ddyynnaammiicc ttoo ccoonnssttaannttllyy cchhaannggiinngg.. AAnndd tthheerreeffoorree,,
mmaannaaggeemmeenntt nneeeedd ttoo aaddjjuusstt wwiitthh tthhee cchhaannggee ootthheerrwwiissee mmaarrkkeett mmaayy bbee lloott..
((44)) TThhee iinnddiivviidduuaallss ssppeecciiffiicc bbeehhaavviioorrss iinn tthhee mmaarrkkeett ppllaaccee iiss aaffffeecctteedd bbyy iinntteerrnnaall ffaaccttoorr,, ssuucchh aass nneeeedd ,,
mmoottiivveess,, ppeerrcceeppttiioonn,, aanndd aattttiittuuddeess,, aass wweellll aass bbyy eexxtteerrnnaall ooff eennvviirroonnmmeennttaall iinnfflluueenncceess ssuucchh aass tthhee
ffaammiillyy ssoocciiaall ggrroouuppss,, ccuullttuurree,, eeccoonnoommiiccss aanndd bbuussiinneessss iinnfflluueenncceess..
35
SSttiimmuulluuss -- RReessppoonnssee mmooddeell ffoorr bbuuyyeerr bbeehhaavviioorr
36
CChhaapptteerr –– VV
RREESSEEAARRCCHH MMEETTHHOODDOOLLOOGGYY
37
Research design
A research design is the detailed blue print used to guide a research study towards its objectives. It
helps to collect, measure and analysis of data.
The present study seeks to find out the consumers attitude towards buying of bike. The study
also aims at findings out the drawbacks of the marketing set up of Hero Honda. So this makes the
study a descriptive one.
Type of Research
The study undertaken is of ―Descriptive Research‖ in nature.
Nature of Research
The study is ―quantitative‖ in nature.
It is structured, standardized, question based interview.
Types of Question
The types of question asked during the study are ―Straight forward and limited probing‖.
Total number of questions: 12
Total number of close ended questions: 10
Total number of open ended questions: 2
38
Sources of Data
Secondary Source
In this study the secondary data is collected from the following sources.
1. Company‘s website
2. Reports of Company
3. Discussion with marketing and sales staff
4. Books on Marketing and Research methodology
Primary Source
The Primary source of collecting data for research is:
Questionnaire filled by the customers of Supreme Auto.
Primary Data of Collection
Research Technique
In this study the ―survey method‖ is used as a research technique. This method helps to obtain right
information from respondents.
Contact Method
In this study ―Personal Exit interview‖ it is taken as a tool for the contact method. In which the
personal interview is conducted with customers of Westside.
39
Sampling plan
Sampling is a process of obtaining. The information about the entire population by examine a
part of it .The effectiveness of the research depends on the sample size selected for the survey purpose.
(A) Population:-
The survey was conducted in Chikhli city.
(B)Sampling Unit:-
It means ―Who is to be surveyed‖. Here target population is decided and it is who are
interested to purchase ―Bike‖ and sampling frame is developed so that everyone in the target
population has known chance of being sampled. So the survey is conducted particularly in Chikhli
city.
40
(C)Sample size:-
For the purpose of proper survey, there is need of perfect research instruments to find out
sample size for more accurate result about buying behavior of bike. The sample size is 100
respondents.
(D) Sample Element
The sample element of research is customer of Supreme Auto.
(E) Sample Extent
The sample extent is limited to Chikhli city.
(F) Sample Duration
The sample duration between June 2009 and July 2009
(G) Sampling Procedure
The sampling procedure followed is convenience.
Research Instrument
In this study the research instrument is ―Questionnaire‖. It consists of set of question presented to
respondents.
The questionnaire is structured & combinations of various close and open ended questions.
Close ended question already have the possible answers and the open ended question allow the
respondents to answer in their own word.
41
CChhaapptteerr –– VVII
DDaattaa AAnnaallyyssiiss aanndd IInntteerrpprreettaattiioonn
42
1. AGE WISE CLASSIFICTION
Data:
Age (in year) No. of respondents Percentage (%)
18-20 30 30
21-25 37 37
26-30 15 15
31-35 06 06
36-40 07 07
41& above 05 05
Total 100 100
Analysis:
Age wise Classification
30, 30%
37, 37%
15, 15%
6, 6%
7, 7% 5, 5%
18-20
21-25
26-30
31-35
36-40
41& above
Interpretation: Above Graph shows are 30% of respondent in age group of 18-20, 37%of respondent in
age group of 21-25, 15% of respondent in age group of 26-30, 7% and 5% respondent are come in 36-
40 and 41&above.
43
2. OCCUPATION WISE CLASSIFICATION
Data:
Analysis:
Interpretation:
Occupation No. of respondents Percentage (%)
Agriculture 47 47
Student 30 30
Business 12 12
Serviceman 08 08
Others 03 03
Total 100 100
44
Above Chart Shows that 47 respondent are belonging Agriculture occupation out of 100 and
30 are the students. 12 respondents are businessman.
3.
INCO
ME
WISE
CLAS
SIFIC
ATION
Data:
Analysis:
Income Level No. of respondents Percentage (%)
<= 5000 54 54
5000-10,000 25 25
10,000-15,000 11 11
15,000-20,000 07 07
20,000 Above 03 03
Total 100 100
45
Income Wise Classification
54, 54%
25, 25%
11, 11%
7, 7% 3, 3%
5000
5000-10,000
10,000-15,000
15,000-20,000
20,000 Above
Interpretation: Above graph shows that 54% of respondents are income in <=5000 income level,
Second 25% of respondents are of 5000-10,000 income level. 11% of respondents are of 10,000-
15,000, 7% of respondents are of 15,000-20,000 and remain 3% of respondents above 20,000 of
income level
4. SOURCES OF FINANCE
Data:
Analysis:
Sources of
Finance
By cash By loan Total
Agriculture 31 16 47
Student 11 17 30
Business 10 2 12
Profession 3 5 8
Others 1 2 3
Total 46 54 100
46
Interpretation: Above Graph shows that 54 people purchase Hero Honda Bike by Loan and 46 people
purchase Hero Honda Bike by Cash.
5. MEDIUM OF SOURCES
Data:
Analysis:
Sources No. of respondents Percentage (%)
News Paper 12 12
T.V.Advertisement 14 14
Friends 26 26
Others 48 48
Total 100 100
47
No. of respondents
News Paper, 12
Friends, 26
Others, 48
T.V.Advertiseme
nt, 14
Interpretation:
Above graph shows that 48 % respondents are come to know from the ‗other‘. Then 26 %
respondents are come to know from the ‗friends‘. 14 % & 12 % respondents are come to know from
the T.V.Advertisement & news paper.
6. View of customers about “Advertisements create more awareness of
Showroom”:
Data:
Response No. of respondents Percentage (%)
Yes 65 65
No 15 15
Can‘t Say 10 10
Analysis:
48
Interpretation:
Above graph shows that the majority of customers are agreed on the
advertisement creates more awareness of showroom and very few of customers are
disagreed.
7. AGE V/S USAGE OF COMPANIES MOTORCYCLE
Data:
Age (in
year)
Hero
Honda
Bajaj TVS Yamaha Honda Total
18-20 15 05 03 02 05 30
21-25 23 06 03 03 02 37
26-30 09 02 01 03 00 15
31-35 02 00 01 01 02 06
36-40 01 2 02 01 01 07
41& 01 01 00 02 01 05
49
above
Total 51 16 10 12 11 100
Analysis:
Age V/S Of Companies Motorcycles
0
5
10
15
20
25
Hero Honda Bajaj TVS Yamaha Honda
No
. O
f R
es
po
nd
en
ts
18-20
21-25
26-30
31-35
36-40
41& above
Interpretation: Above Charts shows that 51 respondents are using Hero Honda Company‘s Motorcycle.
And 16 respondents are using Bajaj bikes.
50
8. Who is decision maker for purchasing bike in your family?
Data:
Sources No. of respondents Percentage (%)
Father 46 46
Self 42 42
Mother 10 10
Others 02 02
Total 100 100
Analysis:
FatherSelf
MotherOthers
No. of respondents
Percentage (%)
46
42
10
2
46
42
10
20
10
20
30
40
50
Decision maker for purchasing bike
No. of respondents
Percentage (%)
Interpretation:
Above Graph shows that 46 % respondents take decision by father for purchasing
bike. And 42 % respondents are take decision by self for purchasing bike.
51
9. RATING OF HERO HONDA MOTORCYLE FEATURES
Data:
Weight age 6 5 4 3 2 1
Attributes Excellent Very
Good
Goo
d
Aver
age
Poor Very
Poor
Tot
al
Total
score
Price 30 20 18 16 10 06 100 426
Less
maintenanc
e
18 11 17 30 13 11 100 358
Style 21 18 19 10 11 21 100 355
Durability 10 17 16 24 21 12 100 335
Mileage 24 19 14 17 09 17 100 381
Easy
Driving
20 12 21 23 10 14 100 367
Brand
Reputation
17 19 14 21 17 12 100 362
Color 28 19 18 13 10 12 100 406
Pick up 19 22 15 20 14 10 100 382
Total 187 157 152 174 115 115 900 3370
52
Attributes Weight
age
Price 426
Less maintenance 358
Style 355
Durability 335
Mileage 381
Easy Driving 367
Brand Reputation 362
Color 406
Pick up 382
Total 3370
Analysis:
Feature of purchasing Bike
12%
11%
11%
10%
11%
11%
11%
12%
11% Price
Less maintenance
Style
Durability
Mileage
Easy Driving
Brand Reputation
Color
Pick up
Interpretation:
Above chart show that more no of respondents are give more weight age to the price and
color.
53
10. RATING OF SHOW ROOM ATTRIBUTES
Data:
Analysis:
Attributes Excellent Very
Good
Good Average Poor Total
Availability 30 24 18 16 12 100
After Sales
reponse
16 35 24 15 10 100
Knowledge
Of Sales man
20 21 23 20 16 100
Service 25 18 27 19 11 100
Infrastructure 12 29 20 17 22 100
Total 103 127 112 87 71 500
54
Interpretation:
Above chart shows that 30 respondents out of 100 give Weight age on availability is
excellent and second 35 respondents out of 100 give weight age on after sales response is Very Good,
23 respondents give weight age on Knowledge of salesman is good, 27 respondents give Weight age
on services is good, 29 respondents give weight age on Infrastructure is Very Good.
55
11. RATE THE FOLLOWING SCHEMES THAT ATTRACT YOU
MOST.
Data:
Analysis:
0 20 40 60 80 100
Festival Offer
Exchange Offer
Special Gift
Cash Discount
Anniversary Offer
Poor
Average
Good
Very Good
Excellent
Attributes Excellent Very
Good
Good Average Poor Total
Festival
Offer
43 21 12 14 10 100
Exchange
Offer
15 31 29 12 13 100
Special Gift 20 19 30 20 11 100
Cash
Discount
11 21 19 34 15 100
Anniversary
Offer
14 13 12 20 41 100
Total 103 105 102 100 90 500
56
Interpretation: Above graph shows that in festival offer 43 respondents out of 100 are give a excellent,
then in exchange offer 31 respondents out of 100 are give a very good rank, in special gift 30
respondents are give a good rank, in cash discount 34 respondents are give a average rank
57
12. RANKING OF ATTRIBUTES WHICH IMPORTANT IN
PURCHASING HERO HONDA BIKE
Data:
Analysis:
Interpretation:
Above graph show that respondents give more importance to the mileage then after they
give more importance to the price for purchasing motorcycle of Hero Honda. Respondents give poor
rating in availability of motorcycle as per their requirement and pickup attributes.
Attributes 1st 2nd 3rd 4th 5th Total
Mileage 31 26 15 18 10 100
Available 14 25 32 16 13 100
Price 22 16 42 11 09 100
Pick up 17 18 29 21 15 100
Color 20 24 26 10 20 100
Total 104 109 144 76 67 500
58
CChhaapptteerr –– VVIIII
FFiinnddiinnggss
59
Findings
In current market scenario, respondents give maximum no. of weight age to price
then after they consider mileage and colors respectively.
The study shows that more no. of respondents have connected as sources of income
from agriculture.
The study shows that 51 respondents are already user of Hero Honda motorcycle. So
Hero Honda is popular automobile company in study region.
The study show that 48 respondents are come to know from ―others‖ and 26
respondents are come to know from ―friends‖ about Hero Honda bike.
The study shows that 55 respondents are purchase Hero Honda bike by Loan and 45
respondents are purchase Hero Honda bike by cash.
The study shows that 31 respondents are give more points to mileage.
The study shows that 46 respondents‘ father take a decision to purchase bike And 42
respondents take a self decision to purchase bike.
The study shows that 30 respondents are give rank to availability of show rooms and
35 respondents are give rank to service.
The study shows that 43 respondents are giving excellent to festival offer and 41
respondents are give poor rank to the anniversary offer.
60
SUGGESTIONS
Hero Honda should introduce a low price (25000 to 30000) moped.
For the promotion, company makes road-show that will Increase the sales.
Hero Honda should increase in advertisements through t.v., newspapers.
The company should give more concentrate on the advertisement.
Hero Honda should expand the targeted market like introducing special scooter
for women and also considering rural market related offers.
Hero Honda should work on sports and pick up bikes.
61
CChhaapptteerr –– VVIIIIII
LLiimmiittaattiioonnss
62
Research work was carried out in Chikhli city of Gujarat only the finding may not be
applicable to the other parts of the country because of social and cultural differences.
The sample was collected using connivance-sampling techniques. As such result
may not give an exact representation of the population.
Shortage of time is also reason for incomprehensiveness.
The views of the people are biased therefore it may not be reflecting true picture.
63
AAppppeennddiixx
64
Questionnaire
CUSTOMER PERSONAL INFORMATION:-
A. Name: - ___________________________________________
B. Address:-___________________________________________
___________________________________________
___________________________________________
C. Contact No.:-__________________________________________
D. Gender: Male / Female
E. Age (in year):-
18 to 20 ( ) 21 to 25 ( )
26 to 30 ( ) 31 to 35 ( )
36 to 40 ( ) 41 & above ( )
F. Occupation:-
Agriculture ( ) Businessman ( )
Students ( ) Professional ( )
Others ( )
G. monthly income:-
5000 ( ) 5000-10,000 ( )
10,000-15,000 ( ) 15,000-20,000 ( )
20,000 Above ( )
65
A STUDY ON CUSTOMER BEHAVIOUR AND SATISFACTION
LEVEL FOR HERO HONDA MOTORCYCLE.
1 Do you have own bike?
(A) Yes ( ). (B) No ( )
If yes than,
2 Which company bike do you have at present?
Company ____________________
3 Which medium do you refer to purchasing bike?
(A) News paper ( ) (C) TV advertisement ( )
(B) Friends ( ) (D) others ( )
4 Do you think advertisements create more awareness of showroom and
bikes?
(A) Yes (B) NO (C) Can‘t Say
5 Who is decision maker for purchasing bike in your family?
(A) Father ( ) (B) Mother ( )
(B) Self ( ) (D) other ( )
6 How do you purchase bike?
(A) By cash ( ) (B) By Loan ( )
66
7 Give points to the given bellow features in Hero Honda motorcycle?
Attributes 6 5 4 3 2 1
Price
Less maintenance
Style
Durability
Mileage
Easy driving
Brand reputation
Color
8 Give rating the following attribute of show room
Attributes Excellent Very Good Good Average Poor
Availability
Knowledge
of Sales
person
After sales
response
Services
infrastructure
9 Give rating the following offers that attract you most.
Attributes Excellent Very Good Good Average Poor
Festival
offer
Exchange
offer
Special
gift
Cash
discount
67
10 Give the rank of given bellow features which consider at the time of
purchasing bikes on priority base.
Attributes 1st 2nd 3rd 4th
5th
Mileage
Available
Price
After service
Pick up
11 Do you properly understand of Passport scheme?
(A) Yes ( ) (B) No ( )
12 How do you find Passport Scheme?
(A) Excellent ( ) (B) Very Good ( )
(C) Good ( ) (D) Not Bad ( )
(E) Useless ( )
13 Give your suggestion if any:
______________________________________________________________
______________________________________________________________
_____________________________
Sign.___________________
Date.___________________
68
Form Provided from Dealer
69
BIBLIOGRAPHY
70
Books
Name
Author Edition Publication
Date of Referred
From To
Marketing
Research G.C.Beri 3rd
Tata Mc Graw
Hill Publishing
Company Ltd
1/06/09 25/06/09
Marketing
management
Philip
Kotler 12th
Prentice-Hall of
India Private
Ltd.,
10/06/09 15/07/09
Websites
Name Date of Surfing
From To
www.herohonda.com
1/07/09 30/07/09
www.nissparta.com
1/07/09 30/07/09
www.google.com
Magazines
Name Published Publication Date of Referred
From To
NIS Sparta (HERO HONDA) 2008-2009 NIS SPARTA 15/06/09 30/07/09