Customer Relationship Management ( Crm )

PROJECT REPORT

CUSTOMER RELATIONSHIP MANAGEMENT ( CRM )

WITH REFERENCE TO

AUTOMOTIVE MFRS PVT. LTD.

(Authorised dealer for Bajaj Auto Ltd.)

♦ PREPARED BY ♦ MR. DHOLAKIA NIMIT B.

T.Y.B.B.A

♦ COLLEGE ♦ SMT. M.T.DHAMSANIA COLLEGE OF COMMERCE RAJKOT.

♦ SUBMITTED TO ♦ SAURASHTRA UNIVERSITY

♦ GUIDED BY ♦ DR. TUSHAR HATHI

ACADEMIC YEAR: 2004-05

ROLL NO: 7 SEAT NO: COLLEGE CERTIFICATE

This is to certify that the industrial practical training report on “Customer

Relationship Management” undergone at

Automotive MFRS Pvt. Ltd. is the original work of Mr. Dholakia Nimit B. of

T.Y.B.B.A. This report is prepared under my guidance and supervision.

This work is submitted to the University as part of curriculum to go through in the examination.

Project Incharge Principal (Dr. Tushar Hathi) (T.T.Raiyani)

DECLARATION

I the undersigned, Dholakia Nimit B., the student of T.Y.B.B.A. hereby declare that the project report presented here is my own work and have been carried out under the supervision of Dr. Tushar Hathi of Smt.

M.T.Dhamsania commerce college.

This work has not been submitted to any other university for any other examination. Date: ( Dholakia Nimit B.)

Place: Rajkot

PREFACE

The fact is crystal clear that only reading is not sufficient enough for any personal growth. Specially in the field of management, practical knowledge is the preliminary requirement. As a student of the management field, it is very necessary for me to get the training. A man read the book about swimming and jumps into pool to swim; obviously he can not swim properly because only the theoretical knowledge does not make a man perfect. The same rule applies here. As the student of third year B.B.A. class we are provided a very good source of theoretical knowledge during period hours. But practical knowledge can be got only through industrial training. And for this shake, I have got training in Automotive MFRS Pvt. Ltd. –

Rajkot.

( Dholakia Nimit B. ) ACKNOWLEDGEME

First of all, I am really very much thankful to my parents and family. Actually this word ‘thank you’ is much limited to show my feelings. Without these people I would be nothing. By whose efforts, I have reached at this stage and I know their blessings are always with me.

I am very much thankful to the authority of the college who gave me a chance to make this kind of report. I like to give special thanks to our professor cum guide Dr.

Tushar Hathi with whose guidance I can make this report.

I am also very much thankful to the authority of the unit who allowed me to get training in Automotive MFRS

Pvt. Ltd. and much thanks to Mr. Prasant and other staff members of AMPL because they devote their valuable time for me and help me to understand various components like Marketing, customer care and other related activities.

I had tried my best to understand the topic which I have selected in the reference to Bajaj Auto Ltd., a leading two wheeler Manufacturer and its dealer “Automotive MFRS Pvt. Ltd.” I tried my best to include all the information as possible.

Date:

Place: Rajkot INDEX

1. A GLIMPSE OVER THE AUTO INDUSTRY.

2. GENERAL INFORMATION

. ABOUT BAJAJ AUTO LIMITED

. ABOUT THE AUTHORISED DEALER

“AUTOMOTIVE”

. ORGANISATION STRUCTURE

. PRODUCTS AND SERVICES

3. CUSTOMER RELATIONSHIP MANAGEMENT

. EVALUATION & PHILOSOPHY OF CRM . CUSTOMER RELATIONSHIP MANAGEMETN –

WHY?

. CUSTOMER RELATIONSHIP MARKETING

. CRM AT AUTOMOTIVE MFRS PVT. LTD.

4. ANALYSIS OF CUSTOMERS’ VIEW

5. SWOT ANALYSIS

A GLIMPSE OVER THE AUTO INDUSTRY AS A WHOLE IN INDIA

The term automotive industry refers to the industries related to motor vehicles. It may be of two wheelers, three wheelers, four wheelers or six wheelers

(commercial) etc. We can see that the vehicles are involved in human beings day to day life as they are the basic requirement. If we talk about the big cities, the citizen can not run without vehicle. Even in the rural area, the craze of motor vehicle is growing. Before some year it was considered as a status symbol but now it is the preliminary requirement for students and working women. Because of this huge demand, newer and newer innovations, technologies and product development are taking place in this field. And

obviously for a successful market player it generates a great profit. But one fact is also that this business requires a wide technical knowledge as well as market knowledge. Futures prospective are more profitable for the unit which has already established their feats on the land of automotive industry.

Now talk particularly for the Indian industry. In recent study done for automotive component Manufacturers’ Association (ACMA) of India, consultancy major

Mckinsey has predicted that the auto component industry will grow from $ 6.7 billion in 2004 to $ 33-40 billion by

2015. This growth will lead to the creation of 2.5 million to 3 million jobs and raise

India’s G.D.P. growth by 0.5%. This is one of the examples of the industry in India.

The industry’s output has risen at a compounded annual growth rate (CAGE) of 22% over the past five year.

Exports have registered CAGR of 30% in 2003-04 total output was $ 6.7 million and export amounted to $ 1 billion. The sector has evolved in landem with the local automobile industry. In the 1970s, the customer had two car models to choose from; today, he has 42. The two wheeler segment was dominated by one player; today, most large international two wheeler manufacturers are here. The auto component manufacturers were quick to adopt themselves to the

new environment after the opening up of the economy first they took the help of Japanese manufacturers and now they have themselves began to adopt global

Technologies and manufacturing processes. They have now achieved international standard in quality, environmental safeguards and in best practices on the shop floor. Acknowledging that Indian companies are now globally competitive, the largest original equipment manufacturers (DEMS) have tied up with them for their global supply chain.

In the 90s, India’s total automobile export amounted to $

200 million and approximately 80% of it was for the after market (where standards are less exacting

compared to that required by OEMS) Today, of India’s $

1 billion, 60% is for OEMS.

Talking about the automobile industry in the coming years, the market for passenger cares is expected to reach two million by 2009-10 and three million by 2014-2015.

By later date, the commercial vehicle market is forecasted to reach 500000 to 600000 and two wheelers will touch the 9 million mark. Even if we are able to acquire 4% of the market of $ 20-25 billion. If all goes right, we could see the emergence of a couple of Indian

MNCs in components manufacturing.

But, the mindset that we can be a global player must prelate down to lowest level. Annual investment to the

tune of $ 1 billion to $ 1.5 billion will have to be made every year for next 7-10 years. The industry will have to adopt a futuristic approach of putting capacity in

advance in orders to cash in the opportunities coming out way. This is in sharp contrast to the present conservative approach of Indian business.

ABOUT BAJAJ AUTO LTD.

The Bajaj Group is amongst the top 10 business houses in India. Its footprint stretches over a wide range of industries, spanning automobiles (two-wheelers and three-wheelers), home appliances, lighting, iron and steel, insurance, travel and finance. The group’s flagship company, Bajaj Auto, is ranked as the world’s fourth largest two- and three- wheeler manufacturer and the Bajaj brand is well-known in over a dozen countries in Europe, Latin America, the US and

Asia.

Founded in 1926, at the height of India's movement for independence from the British, the group has an

illustrious history. The integrity, dedication, resourcefulness and determination to succeed which are characteristic of the group today, are often traced back to its birth during those days of relentless devotion to a common cause. Jamnalal Bajaj, founder of the group, was a close confidant and disciple of Mahatma Gandhi.

In fact, Gandhiji had adopted him as his son. This close relationship and his deep involvement in the independence movement did not leave Jamnalal Bajaj with much time to spend on his newly launched business venture.

His son, Kamalnayan Bajaj, then 27, took over the reins of business in 1942. He too was close to Gandhiji and it was only after Independence in 1947, that he was able to give his full attention to the business.

Kamalnayan Bajaj not only consolidated the group, but also diversified into various manufacturing activities.

The present Chairman and Managing Director of the group, Rahul Bajaj, took charge of the business in 1965.

Under his leadership, the turnover of the Bajaj Auto the flagship company has gone up from Rs.72 million to

Rs.46.16 billion (USD 936 million), its product portfolio has expanded from one to and the brand has found a global market. He is one of India’s most distinguished business leaders and internationally respected for his business acumen and entrepreneurial spirit.

LAST FIVE YEARS’ PERFORMANCE IN NEW LAUNCHING

2004 2004 September Bajaj Discover DTS-i launched

August New Bajaj Chetak 4 stroke with Wonder Gear launched

May Bajaj CT100 Launched

January Bajaj unveils new brand identity, dons new symbol, logo and brandline

2003 October Pulsar DTS-i is launched

October 107,115 Motorcycles sold in a month.

July Bajaj Wind 125,The World Bike, is launched in India

February Bajaj Auto launched its Caliber115 "Hoodibabaa!" in the executive motorcycle segment.

2001 November Bajaj Auto launches its latest offering in the premium bike segment ‘Pulsar’.

January The Eliminator is launched.

2000 The Bajaj Saffire is introduced. 1999 Caliber motorcycle notches up 100,000 sales in record time of 12 months.

Production commences at Chakan plant.

ABOUT THE AUTHORISED DEALER FROM WHERE THE TRAINING HAS UNDERGONE :

Name : Automotive MFRS Pvt. Ltd.

Type of Org. : Private Limited Size of Org. : Medium Scale Unit

The training has undergone at Automotive

Manufacturers Pvt. Ltd. A private limited manufacturing unit is the authorized dealer of the vehicles produced by

Bajaj Auto Limited. At this time the unit is dealing with

16 different products of Bajaj. Different scooters, bikes, and auto rickshaws are available at the unit. The unit is a kind of show room from where people can purchase the vehicles. Bajaj has

a very good brand name in the Indian market. So the unit as a dealer gets benefits of this name. No doubt that the unit also has its goodwill in the local market. People can rely on the unit and they get satisfaction also. Customer is the main concentration of the unit or rather we can say that market of Automotive is customer oriented. Customer’s satisfaction is the main aim of the unit. The unit is dealing in the market with customer concept. Customer concept is to concentrate on the individual customer, recognized his needs and values, marketing integration and profitable growth through capturing customer share, loyalty and lifetime value. The whole business of Automotive is based on this theory.

There are two Authorised dealers of Bajaj available in

Rajkot’s market. One is Automotive MFRS Pvt. Ltd. and second is Rajeshri Auto Deals Pvt. Ltd. Both are situated on Gondal Road – Rajkot.

Other competitors are also there in Rajkot’s market which is as follows. . Jaykay Auto for Hero Honda.

. Perfect Auto for Hero Honda.

. Dharati Auto for Honda

. N.K.T.V.S. for T.V.S.

. Vikash corporation for Yahama.

. Tilak Auto for LML

. Chandan Auto for Kinetic

. Milan Auto for Kinetic

. Coronation for TVS

. Punjab Auto for Honda

Out of these, few have just newly entered into the market. All are dealing well into the market. As far as the bikes of other company are concerned Perfect Auto and

JayKay Auto are the best rival of Automotive with the producers Hero Honda Splendor and Hero Honda

Passion.

ADMINISTRATIVE STRUCTURE OF AUTOMOTIVE MFRS. PVT.LTD. Branch Manager

Accountant Marketing Work Administrative Manager (service) (personnel (sales) Manager dept.) Clerk

Spare Part Manager Clerical supervisor mechanics Staff

Workers Electronic Data Process

Reception Sales Finance Repre. Dept.

Telephone Computer operator operator

Here in Automotive Mfrs. Pvt. Ltd. has a horizontal type of organization structure. It is very easy to understand the organization structure of Automotive. All the work is done under a branch manager. Under the branch manager the whole work is divided under six different departments.

There is an account department which takes care of all work regarding the day to day transactions of the business. All necessary accounts are maintained by this accounting department. The job of this department is complicated.

Second one is spare part department. The work of this department is being done under spare part manager. The unit is dealing with vehicles so this department has

its own separate existence. All activities regarding purchase, usage, and dispatch of spare parts are done under the supervision of the spare part manager. Many workers are wording under the manager.

The next and the most important is marketing department. The unit is the dealer of the Bajaj Auto ltd.

As a dealer the unit should concentrate in this department more. The whole department is under control of a marketing manager. The show room staff is working under his guidance and authority. Sales representatives are there to deal with the customers. One receptionist is sitting there in the show room at the entrance to guide customers. The receptionist also maintains the data of the customers visited over there. Finance department also works under this marketing

department. Various finance schemes are available there for the customers who can not afford direct cash payment. The finance schemes are available from Baja

Auto Finance, HDFC bank and ICICI bank. Well experienced staff is available with the unit to deal.

Then after work or service department will come. The task of the work manager is to check the individual products after receiving order and to provide after sales services also as the company gives five free services on the product. The work is carried out under the observation of work manager. One supervisor and many mechanics are working under his control. The task of the supervisor is to check the work which is going on in the service department. Expert mechanics are working for technical works. The work of getting

delivery of the stock is carried out under the work manager’s supervision. There is a separate administrative department specially working for the units all kind of administrative work.

Administrative work like making documents, maintain the data, about delivery as well as maintain the data bank of customers for future reference.

The next task comes is the Electronic data processing, a comprised system for maintaining data by computer work. Computers are the easy way to maintain the data and because of its usage, paper work will be minimum.

All these various departments are interrelated for the best co-ordination without such co-ordination the unit

can not work properly and conflicts will arise. Each department is aware of the things going on at other department. All the staff perform their job properly and getting all the advantages which are provided to the employees of Bajaj Auto Limited.

Documents required :

Two photos

Residence Proof

Identity tool (identity card)

12 cheques

RECREATION ACTIVITIES The employees may not getting the advantage of holidays on festival because of the rush of customers is very high on those days. But the unit is doing very good recreation activities for the employees. They are arranging picnics or parties or sports activities etc once in a week. Because of these activities the employees came to know each other and accordingly co-ordination between them will be more which will lead to the company to higher sales figures. PRODUCT & ITS

SERVICES

We are talking about a very reputed company in Indian

Auto Market as well as international market. So, we have also knowledge about its product. Bajaj is mainly dealing with Auto Rickshaws as well as two-wheelers. That we have discussed in the information about Bajaj.

Now about its authorised dealers i.e. Automotive Mfrs.

Pvt. Ltd. at Rajkot. A well recognized dealer of Bajaj.

This unit is dealing with 17 products. The lists of the products are as under.

1. Chetak 4 stroke wonder Gear (scooter)

2. Spirit Met (scooter)

3. Spirit 70 Es. (scooter) 4. M80 Major (Scooter)

5. Byk (bike)

6. Boxer at 100 K TEC (Bike)

7. Boxer AR – CT (Bike)

8. Ct 100 DLX (Bike)

9. CT 100 (Bike)

10.Pulsar 150 ks DTSI (Bike)

11. Pulsar 150 ES Alloy Wheel (Bike)

12.Pulsar 180 ES (Bike)

13.Caliber 115 (Bike)

14.Wind 125 (Bike)

15.Discover k.s. (Bike)

16.Discover E.S. (Bike)

17.Discover E.S. alloy wheel (Bike)

Herewith the photographs of products are given. The two wheelers are segmented into three types :

. Entry level product

. Executive level product

. Premium level product

In entry level, the products are of high performance and low price. This level is for such customers who care much about price and they want good average from the vehicle.

In executive level, people are little bit careful about looks and attractiveness of the product. They want both average and good look. In premium level, people care very less about the price. They want looks mainly. They want bike with hi-fi technology and power peak up. The product lays under this segment is costly.

CUSTOMER RELATIONSHIP MANAGEMENT

EVALUATION & PHILOSOPHY OF CRM

The aim of customer relationship management is to produce high customer equity. Customer equity is the total of the discounted life time value of all of the firm’s customers. Clearly the more loyal the customers, the higher the customer equity. There are three types of customer equity, value equity, brand equity and relationship equity. Value equity is the customers’ objective assessment of the utility of an offering based on perception of its benefits relative to its costs. The sub

drivers of value equity are equity, price and convenience. Each industry has to define the specific factors understanding each factor in order to find program to improve value equity. Value equity makes the biggest contribution to the customer equity. When products are differentiated and when they are more complex and need to be evaluated, value equity drives customer equity in business market.

Brand equity is the customers’ subjective and intangible assessment of the brand, above and beyond its objectively perceived value. The sub drivers of brand equity are customers’ brand awareness, customers’ attitude towards brand and customer’s perception of brand ethics. Companies use advertising,

public relations and other communication tools to affect these sub drivers.

Relationship equity is the customers’ tendency to stick with the brand, above and beyond objective and subjective assessment of its with sub drivers of relationship equity include loyalty program, special recognition program, community building program and knowledge building programs. Relationship equity is especially important where personal relationship count for a lot and where customers tend to continue with suppliers out of habit or inertia. This formulation integrates value mgt., brand mgt., and relationship mgt., within a customer centered

focus. Companies can decide which driver (s) to strengthen for the best pay off. The researchers believe, they can measure and compare the financial return of alternative investments.

CUSTOMER DEVELOPMENT PROCESS

Suspects

Prospects Disqualifies Pros.

First time customer

Repeat customer

Clients Inactive or Members ex- customers Advocates

Partners

The chart shows the main step in the process of attracting and keeping the customers. The starting point is everyone who might conceivable but the product or service. From these the company may determine the most likely prospects which hope to convert into first time customers, and then repeat customers, and then into clients – company treats them specially. The next challenge is to turn clients into members by starting a membership program and then into advocated – customers who enthusiastically recommend the company and its products. The ultimate challenge is to turn advocates into partners. Some customers inevitably become inactive or drop out.

The challenge is to reactivate the customers through win back strategy. Many times it is easy to

retract the customers because the company has the records of his name, and address. The key is to analyse the cause of customers’ defection through exit interviews and lost customers’ survey. The aim is to win back only those customers who have strong profit potential. CRM WHY?

We have already discussed the process of CRM in any company. But now the question arises that why this all is required? Only is a simple word we can say that for the growth of the company. It is but obvious for any company to maintain the relationship with the customers.

Because the customers are the indirect source of the products. If the customer is satisfied with the product he will suggest to other potential customers. Customer is looking to the product from various angels and these angels are the reputation of the company, product quality, its price, weather the product is fit for the purpose or not?, the performance of the product, after sales services which is provided by

the company etc. The potential customer will obviously ask the person who had already use the products. Especially in the case of durable goods and then other person will suggest the product only if he is fully satisfied with it.

Even for creating brand image CRM is necessary.

Brand creation depends not only on the product performance but also on the company’s performance and

CRM is one of the measurements of company’s performance.

A good relation with the customers makes them a life time customers. In this competitive age, one can not afford that his customers are diverting to the other company’s products.

So this is whole about the requirement of CRM. It is crystal clear that without CRM any business can not run prosperously. APPROACH TO CUSTOMER RELATIONSHIP MARKETING

Customer relationship marketing enables companies to provide excellent real time customer service by developing a relationship with each value customer through the effective use of individual account information. Based on what they know about each customer, companies can customize market offering services program, messages and media. Winning companies are more productive in acquiring, keeping and growing customers. These companies improve the value of their customer base by excelling at the following customer strategies.

. Reducing the rate of defection.

. Increasing the longevity of the customers’

relationship.

. Enhancing the growth potential of each

customer through “share of wallet”, cross

selling and up selling.

. Making low profit customers more profitable

or terminating them.

. Focusing disproportionate efforts on high

value customers. Companies are keeping customers’ database for inquiring the customers and for the shake of marketing research also.

WHAT IS CUSTOMR DATA BASE?

A customer database is an organized collection of comprehensive information about individual customers or prospects that is current, accessible and actionable for such marketing purposes as lead generation, lead qualification, and sale of a product or service or maintenance of customers’ relationship.

Automotive Bajaj is having customers’ data base and business data base also. Business database contain past purchase of business customers; past volume, price and profits, buyer team member names; status of current contracts; an estimate of suppliers share of the customer’s business; competitive suppliers; assessment

of competitive strengths and weaknesses in selling and serving the accounts; and relevant buying practices, patterns, and policies.

Savvy companies are capturing information every time a customer comes into contact with any of its departments. The touch points include a customer purchase, a customer requested services call, an online query, or a mail in relocate card. These details are collected by the company’s contact centers and organized into a data warehouse. Customer relationship marketing has five different types of marketing.

. Basic Marketing :-

The sales person simply sells the product.

. Reactive marketing :-

The salesman sells the product and encourages the customers to call if he/she has questions, comments or complaints.

. Accountable Marketing :-

The sales person phones the customer to check weather the product is meeting expectations. The sales person also asks the customer for any product or service improvement suggestions and specific disappointments. . Proactive Marketing :-

The sales person contacts the customer from time to time with suggestions about improved products uses or new products.

. Partnership Marketing :-

The company works continuously for its large customers to help improve their performance. CRM AT AUTOMOTIVE MFRS PVT. LTD.

It was all about CRM in general. But now we will talk about CRM in Automotive. As an outlet of Bajaj it makes very good sense to understand the process over there. Automotive Mfrs Pvt. Ltd is the authorised dealer of Bajaj and it works according to company’s prescribed plan and guidelines.

To understand it, it is required to understand about how they are dealing with the customers. There is a specific way for dealing with customers.

The way is described in the following chart.

Customer visits

Meet the Receptionist Sales executive directly meets the customers

Demand for No specific product The information Is decided Of specific product

Discuss with salesperson About various product

Select the specific one

Inspect the products

Discuss about pricing and performance

On finance On cash base base

Choose from various scheme available Prepare document

Meet the requirements

Take the product to home

From the above mentioned chart following things are raised out.

The prospective customer visits the shop. He came to know about the shop by advertisement by previous customers.

As soon as he enters into the shop he meets the receptionist at the front counter or the sales representative himself approach to the customer and ask his requirements. The customers enters into the auto dealer’s shop means he wants to buy the vehicle or wants the information about existing products or newly launched products.

Sometimes the customer already has decided that he

wants to buy such specific product or he is in confusion regarding the selection of the products. Sales representative can solve his problem. As we have discussed in product specification that Bajaj two wheeler are segmented in three types i.e. entry level, executive level, and premium level.

The sales person asks him about his requirement whether he wants average or good looks or power pickup or low cost. Then he shows that two wheeler which fits best in the customer demand. The sales person gives him all the information about the product regarding technical specification, advantages and of course pricing. The sales person informs him about the after sales services also.

After this the customer select the specific product in inspect it. Many a time the customer brings his mechanic with him to inspect the products. By inspection he confirms about the technical efficiency.

Now he discuss about the pricing again. The customer may capable enough to purchase the product the product on cash. According to the Automotive strategy the customer can not pay the entire amount in cash. He is required to give partially payment in cheques.

Sometimes the customer may not be able to pay the payment in cash, for him loan facilities are available. In

Automotive the customers can get loan from.

. Bajaj Auto Finance . ICICI Auto Finance

. HDFC Auto Finance

The customer can choose the scheme whichever is more suitable to him.

SCHEME OF BAJAJ AUTO FINANCE LTD.

Illustration is given with reference to Bajaj Pulsar – 150

ES under 0% rate scheme.

59204 on road price

30000 loan amount

+ 29754 down payment cash

59754

- 59204 on road price

550 Document charges For 30000 loan amount Rs. 2500 installment for 12 months.

Here all financial formalities have made. Now it comes to prepare documents. The ownership document is made.

The vehicle service is book is made available to the customers. All the instructions regarding the vehicle are there in the service book.

After finishing this it is necessary for the vehicle owner o make R.T.O. Passing. Only after that he can get permanent number of the vehicle.

Here the procedure of delivery ends. AFTER SLES SERVICES

As it is a business the activity never ends at the delivery of the products. Actually the crucial activity starts from here. Delivery of the product is the starting point of customer relationship management.

In Automotive the system prevails of recording the data of the customers for the future reference for these they use particular computer based program as well as paper filing. Maintenance of this data is very important for this unit because this unit customer is the king. In future they use these data to maintain relation with customers. They establish the contacts with the customers through telephone. They inquire about the

performance of the vehicle. If the customers have any problem, the unit solves it as its service station. Highly experienced mechanics are available at the service station. Who solve the problems occurred in the vehicle.

More than this on every vehicle 5 free services are given free form the company. They do not care charge anything in these services.

Customer relationship process is a long term process. It is a continuous process also. According to this concept the unit is going to maintain it. ANALYSIS OF

CUSTOMERS’ VIEW

Customers are the fundamentals of the growth of any unit. Customer is the king in this competitive market.

Customer Concept :-

Companies practicing the marketing concept work at the level of customer segments, a shaping number of today’s companies are now shaping separate offers, services and messages to the individual customers. Companies hope to achieve profitable growth through capturing a large share of each customer’s expenditures by building high customer loyalty and focusing on customer life value.

Here with the customer’s views are taken :-

. The product is highly durable, so it requires much

thinking before purchasing. Especially when such

large numbers of products are available in the

market.

. Looks and performance matters more to the Indian

consumers.

. Finance is also a matter for middle class people.

. For rural market toughness of the vehicle is more

preferable rather than looks.

. Advertising mainly affects in the urban market. . Test rides are also much useful for the consumers to

choose newly launched products.

. Exchange offers affects a lot to the consumers’

preference.

SWOT ANALYSIS WITH REFERENCE TO AUTOMOTIVE

Strengths :-

The strengths of the unit are its team work and its courtesy while dealing with the customers.

Weakness :- There are the internal weaknesses of the unit which are to be solved at the higher authorities.

Opportunities :-

To open branches in small city and town is the main opportunity for the unit.

Threats :-

Threats for the unit are the rise in competition and the new products launched by other company. As well as

Mnc’s involvement in the Indian market is also a hurdle for the company and unit. CONCLUSION AND

SUGGESTIONS

Herewith I conclude my project report. It was very nice experience to get training over there in Automotives.

The efforts of the persons who gave me all the necessary information was very good. This experience will remain a part of my professional career I will remember it. Still there are some suggestions which will help the unit for sale improvements.

1. Advertising is a core part of sales promotion. So

more advertisement especially in small cities and

remote villages will prove to be helpful for sales

improvement.

2. Branches in the small cities where the Bajaj outlets

are very less is available.

3. you can make the show room more decorative.

4. company can provide gifts to the customers with a

view of sales promotion.

5. more loyalty programs can create good image in

people’s mind.

PROJECT REPORT

ON CONSUMER TASTE & PREFERENCES

WITH REFERENCE TO

JAYKAY MOTORS

(Authorised dealer for Hero Honda)

♦ PREPARED BY ♦ MR. SAMA SARFRAZ I.

T.Y.B.B.A ♦ COLLEGE ♦ SMT. M.T.DHAMSANIA COLLEGE OF COMMERCE RAJKOT.

♦ SUBMITTED TO ♦ SAURASHTRA UNIVERSITY

♦ GUIDED BY ♦ DR. TUSHAR HATHI

ACADEMIC YEAR: 2004-05

ROLL NO: 34 SEAT NO: COLLEGE CERTIFICATE

This is to certify that the industrial practical training report on “Consumer

Taste and Preferences” undergone at

Jaykay Motors is the original work of Mr.

Sama Sarfraz I. of T.Y.B.B.A. This report is prepared under my guidance and supervision. This work is submitted to the University as part of curriculum to go through in the examination.

Project Incharge Principal

(Dr. Tushar Hathi) (T.T.Raiyani)

DECLARATION

I the undersigned, Sama Sarfraz I., the student of

T.Y.B.B.A. hereby declare that the project report presented here is my own work and have been carried out under the supervision of Dr. Tushar Hathi of Smt.

M.T.Dhamsania commerce college.

This work has not been submitted to any other university for any other examination.

Date: ( Sama Sarfraz I.)

Place: Rajkot

ACKNOWLEDGEME

I am very much thankful to the authority of the college who gave me a chance to make this kind of report. I like to give special thanks to our professor cum guide Dr.

Tushar Hathi with whose guidance I can make this report.

I am also very much thankful to the authority of the unit who allowed me to get training in Jaykay Motors and much thanks to Mr. Dhruv Rupabhinda and other staff members of Jaykay Motors because they devote their valuable time for me and help me to understand various components like Marketing, customer care and other related activities.

I had tried my best to understand the topic which I have selected in the reference to Hero Honda a leading two wheeler Manufacturer and its dealer “Jaykay Motors” I tried my best to include all the information as possible.

Date:

Place: Rajkot

PREFACE

“Trend is dynamic” in every step of business cycle many changes are occurring. None things are stable in this field. Business has to look out what is going on in its business environment.

In this ever changing business environment consumer is main who can affect much to demand of particular product. Preference of consumers towards each and every product is changing so I though to make a consumer preference survey on Splendor Plus, the well known motor bike of Hero Honda.

This project report has included preference of consumer towards Splendor Plus. Today the demand of motor bike is dependent upon certain strategy or facilities of bike because there are many competitors in market. This report will helpful to company for making well planned marketing strategy for Hero Honda splendor.