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BY SHEKHAR ROLL.NO: 06511301710 Submitted in partial fulfillment of award of Degree of BACHELOR OF BUSINESS ADMINISTRATION (2010 2013)



This is to certify that the survey entitled, CUSTOMER SATISFACTION ON HYUNDAI MOTORS submitted in partial fulfillment of the requirement for the award of degree of bachelor of Business Administration (BBA) from BERI INSTITUDE OF TECHNOLOGY AND RESERCH , New Delhi is a bonafide project work carried out by SHEKHAR PRASAD, under my supervision and guidance and to the best of my knowledge and information.


This project report bears the imprint of those who had rendered their wholehearted support and encouragement without whose help this effort of mine would be in vain. I express my deep sense of gratitude and sincere thanks to my project guide Lect. gunjan for his directions, suggestion and information provided which were of utmost importance for the successful completion of the project. I thankful to the employees of HYUNDAI MOTORS for assisting me in the timely completion of project. At last, I also thank to my family and my friends those helped me in my period and in the completion of project.


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Customer Satisfaction is the buzzword used by the business people for the success of organization in the present days. Due to the increases of heavy competition in every product line it become difficult for the companies to retain the customers for longer time. So retain the customer for longer time the marketer has to do only one things i.e. customer satisfaction .If customer is fully satisfied by the product it not only rub the organization successfully but also fetch many benefits for the company . They are less process sensitive and they remain customer for a longer period. They buy addition products overtimes as the company introduce related produce related products or improved, so customer satisfactions is gaining a lot of importance in the present day. Every company is conducting survey on customer satisfaction level on their products .To make the products up to the satisfaction level of customers. This project is also done to know the customers satisfaction on the hyundai on behalf of hyundai Automobiles. The impact of automobile industry on the rest of the economy has been so pervasive and momentous that is characterized as second industrial. It played a vital role in helping the nation to produce higher value good and services and in the enhancing their skills and impose tremendous demand for automobile. The decrease in the interest rate and easy available of cars loons from 2 to 3 years, lot of car manufacturers company facing cut throat competition in the fields of technology and price, So to gain the market share it is important for the institutes to satisfy its customers and to retain the reputation and its image. Customer Satisfaction Strategies Followed By HYUNDAI The different strategies followed by hyundai consists of Customer relationship management, strategy to providing better facility to the owner, and strategy to provide better after sales service to customer. Customer Relationship Management CRM as a tool was used to create positive word-of-mouth, to monitor customer experiences and generate referrals. A series of CRM activities were implemented with regular direct communication, events and customer satisfaction surveys, Events, Festive offers, Rewards Program, etc.


The automobile industry has changed the way people live and work. The earliest of modern cars was manufactured in the year 1895. Shortly the first appearance of the car followed in India. As the century turned, three cars were imported in Mumbai (India). Within decade there were total of 1025 cars in the city. The dawn of automobile actually goes back to 4000 years when the first wheel was used for transportation in India. In the beginning of 15th century, Portuguese arrived in China and the interaction of the two cultures led to a variety of new technologies, including the creation of a wheel that turned under its own power. By 1600s small steam-powered engine models was developed, but it took another century before a full-sized engine-powered vehicle was created. Brothers Charles and Frank Duryea introduced the actual horseless carriage in the year 1893. It was the first internal-combustion motor car of America, and it was followed by Henry Fords first experimental car that same year. One of the highest-rated early luxury automobiles was the 1909 Rolls-Royce Silver Ghost that featured a quiet 6-cylinder engine, leather interior, folding windscreens and hood, and an aluminum body. Chauffeurs usually drove it and emphasis was on comfort and style rather than speed. During the 1920s, the cars exhibited design refinements such as balloon tires, pressed-steel wheels, and four-wheel brakes. Graham Paige DC Phaeton of 1929 featured an 8-cylinder engine and an aluminum body. The 1937 Pontiac De Luxe sedan had roomy interior and rear-hinged back door that suited more to the needs of families. In 1930s, vehicles were less boxy and more streamlined than their predecessor was. The 1940s saw features like automatic transmission, sealed-beam headlights, and tubeless tires. The year 1957 brought powerful high-performance cars such as Mercedes-Benz 300SL. It was built on compact and stylized lines, and was capable of 230 kmph (144 mph). This was the Indian automobile history, and today modern cars are generally light, aerodynamically shaped, and compact.

Facts & Figures

The automobile industry in India is on an investment overdrive. Be it passenger car or twowheeler manufacturers, commercial vehicle makers or three-wheeler companies - everyone appears to be in a scramble to hike production capacities. The country is expected to witness over Rs 30,000 crore of investment by 2010. Hyundai will also be unmasking the Verna and a brand new diesel car. General Motors will be launching a mini and may be a compact car. Most of the companies have made their intentions clear. Maruti Udyog has set up the second car plant with a manufacturing capacity of 2.5 lakh units per annum for an investment of Rs 6,500 Crore (Rs 3,200 Crore for diesel engines and Rs 2,718 Crore for the car plant itself). Hyundai and Tata Motors have announced plans for investing a similar amount over the next 3 years. Hyundai will bring in more than Rs 3,800 Crore to India. Tata Motors will be investing Rs 2,000 Crore in its small car project. General Motors will be investing Rs 100 Crore, Ford about Rs 350 Crore and Toyota announced modest expansion plans even as Honda Siel has earmarked Rs 3,000 Crore over the next decade for India - a sizeable chunk of this should come by 2010 since the company is also looking to enter the lucrative small car segment. .Talking about the commercial vehicle segment, Ashok Leyland and Tata Motors have each announced well over Rs 1,000 Crore of investment. Mahindra & Mahindra's joint venture with International Trucks is expected to see an infusion of at least Rs 500 Crore.

Industry performance in 2008-09

The Indian automotive market managed to stand up to the vagaries of the economic meltdown to show slightly growth during fiscal 2008-09. Overall vehicle sales at 97.23 lakh grew 0.71 per cent from 96.54 lakh units in 2007-08. When major automotive markets reported a 30-40 per cent decline, only a handful of countries managed to show growth. A few months ago, India was looking at negative growth but has turned around. It is actually better than expected. Passenger vehicle sales at 15.51 lakh registered flat growth while commercial vehicle sales showed a 21 per cent drop. SIAM has a positive outlook for the current financial year. While it foresees a 7-8 per cent growth for the commercial vehicle segment, the industry body predicts a 3-5 per cent growth for passenger vehicles. The three-wheeler segment may grow 5-8 per cent growth while two wheelers may show 3-5 per cent growth.

The passenger vehicle market has weathered the downturn largely due to market leader Maruti Suzuki which holds 48 per cent of the market. The compact car giant clocked 7.22 lakh units for 2008-09. Closest rival Hyundai Motor India sold 2.44 lakh cars, a growth of 13 per cent. Tata Motors sales grew 1.3 per cent at 2.30 lakh units while Mahindra & Mahindra posted 2.5 per cent growth at 1.06 lakh units. Most premium carmakers saw volumes shrink last fiscal. Toyota Kirloskar Motors numbers fell 15 per cent to 46,892 units while Ford Indias sales were down 17 per cent to 27,976 units. Honda Siel Cars India also saw a 17 per cent drop at 52,420 units while General Motors India was down 8 per cent to 61,526 units. Among commercial vehicle makers, all major players saw substantial fall in volumes. Market leader Tata Motors with a 60 per cent plus share, showed 22 per cent drop in numbers at 2.34 lakh units while Ashok Leyland showed 37 per cent drop at 47,632. Eichers sales volume fell 37 per cent at 17,341 units and Force Motors was down 28 per cent at 7,819 units. The freight movement is unlikely to improve this fiscal which will impact truck sales. Two-wheeler sales grew 2.6 per cent to 74.38 lakh units. Hero Honda has made up for the erosion of sales volume for other two-wheeler makers including Bajaj Auto and TVS Motor Company, said Mr. Matta. Hero Honda clocked 36.40 lakh units, a growth of 12.5 per cent. Bajaj Autos volumes dropped 23 per cent to 12.86 lakh units while TVS saw a marginal decline at 11.36 lakh units. Honda Motorcycle and Scooter Indias sales surged 16 per cent to 10.15 lakh units.


Increasing competition, ever growing market, easy availability of the finances and increasing population of young executives, with huge disposable incomes, over the past few years has substantially increased the sales in the automobile industry. Also, the competition among the dealers of the products has increased with each trying to maximize their customer base. This makes it imperative for the dealers to provide the best of the services and exceed the customer expectations to achieve customer delight and loyalty. The study tries to understand the key service parameters and reflect upon the dysfunctional areas, thus providing the dealer with an insight into the level of customer satisfaction and changing trends of the customer expectations.



To study and understand the key service parameters using Customer Satisfaction and reflect upon the low performing areas To study about the customer satisfaction on the services provided by the dealers. To study the opinion of the customers regarding the availability and cost of spare parts. To study the opinion of the owners of cars regarding its features like mileage, price etc. To study the effect of advertisement on the customers to promote the product. To study the customer satisfaction with usage of their cars. To study the information resources that the customer using before purchasing the car.








HISTORY In India Hyundai Motor India Limited is a wholly owned subsidiary of Hyundai Motor Company, the second largest and the fastest growing car manufacturer in India.


HMIL's fully integrated state-of-the-art manufacturing plant near Chennai boasts some of the most advanced production, quality and testing capabilities in the country. Having started operations in 1996, HMIL has an illustrious history in India. HMIL emerged as the second largest automobile manufacturer in the country in just 6 months after it began its production and rolled out its 100,000th car from its Chennai plant within just 19 months of commencement of operations. Hyundai Motor India, continuing its tradition of being the fastest growing passenger car manufacturer, registered total sales of 299,513 vehicles in calendar year (CY) 2006, an increase of 18.5 percent over CY 2005. In the domestic market it clocked a growth of 19.1 percent a compared to 2005, with 186,174 units, while overseas sales grew by 17.4 percent, with exports of 113,339 units.

HMIL is investing to expand capacity in line with its positioning as HMC's global export hub for compact cars. Apart from expansion of production capacity, HMIL plans to expand its dealer network, which will be increased from 183 to 250 this year. And with the company's greater focus on the quality of its after-sales service, HMIL's service network will be expanded to around 1,000 in 2007. The year 2006 has been a significant year for Hyundai Motor India. It achieved a significant milestone by rolling out the fastest 300,000th export car. Hyundai exports to over 65countries globally; even as it plans to continue its thrust in existing export markets, it is gearing up to step up its foray into new markets. The year just ended also saw Hyundai Motor India attain other milestones such as the launch of the Verna and yet another path-breaking record in its young journey by rolling out the fastest 10,00,000th car.



Santro Xing Getz Accent Verna Elantra Sonata Embera

Modern automobile engineering practices require a holistic approach to production management, which cannot be accomplished in a non-integrated manufacturing and assembly setup. The production processes at Hyundai motor India are overlaid with an organizationwide implementation of manufacturing best practices like just-in-time, inventory management, kaizen, TPM and TQM, that help in making the worlds best cars, right here in India.


The research and development team focuses on the development of new products and technologies that include interior and exterior design changes, development of new generation engines and alternate fuel systems, concept vehicles and advanced passenger safety and comfort systems, in line with evolving customer preferences across the globe. Recent successes of the team include the development of the Hyundai patented common Rail Direct injection (CRDi) engine in association with Detroit diesel.



HMIL has chartered the Hyundai Motor India Foundation (HMIF) with the objective of addressing the expectations of society and initiating concrete steps towards extending support in the fields of Health Care, Educational and Vocational training, Environment, Road Safety, Art, Science and Technology, Natural Calamity and Heritage re-building. Hyundai is committed to road-safety, and undertakes myriad initiatives ranging from creating awareness to help implement road discipline, besides producing cars that conform to the highest safety standards to make the Indian roads safer. Hyundai Motor India, in association with the Institute of Road Traffic Education and Delhi Traffic Police, launched an innovative road safety program called "Hyundai Traffic Squad", a Student Traffic Volunteers Scholarship Scheme to create road safety awareness and support Delhi Traffic Police in improving Traffic Management System in Delhi.


HMIL has many awards in its bouquet.


The mid-size sedan Accent won two awards, Accent Petrol-No 1 Entry mid-size car and Accent Diesel-No 1 mid-size diesel car by TNS. Business Standard declared it The Star Company amongst unlisted companies this year.

Getz got the coveted Car of the Year 2005 award twice over. Both Business Standard Motoring and CNBC-TV18 Auto car Auto awards declared it a winner. HMIL was also the Manufacturer of the Year two years in a row in 2002 and 2003. ICICI Overdrive Awards declared Hyundai as the Car Maker of the Year in 2003. Hyundai products with state of the art technology have also been winning many accolades over the years. Santro bagged top honors in JD Power Asia Pacific for three years. Accent was ranked No. 1 in J D Power Asia Pacific APEAL for two years and also got Business Standard Motoring Jury award for its CRDi model.



of Hyundai:



The Quality Advantage


Hyundai owners experience fewer problems with their vehicles than any other car manufacturer in India . The Santro was chosen the best in the premium compact car segment and the Getz in the entry level mid - size car segment across several parameters. This study measures owner in terms of design, content, layout and performance of vehicles across several parameters. A Buying Experience Like No Other Hyundai has a sales network of 250 state-of-the-art showrooms across 189 cities, with a workforce of over 6000 trained sales personnel to guide our customers in finding the right car. Our high sales and customer care standards led us to achieve higher nameplate in the J.D. Power SSI Study.

Commodity Price Risks Hyundai commodity price risks to higher costs due to changes in prices of inputs such as steel, aluminum, plastics and rubber, which go into the production of automobiles. In order to mitigate these risks, the company continues to attempts to enter into long term contracts based on its projections of prices. In a volatile commodity market, where your company gives top priority to ensuring smooth availability of inputs, long term contracts are helpful. They also help minimize the impact of growing input prices. Conversely, long term contracts dilute the benefits, if any of a decline in input prices. Exchange Rate Risk The company is exposed to the risks associated with fluctuations in foreign exchange rates mainly of import of components & raw materials and export of vehicles. The company has a well structured exchange risk management policy.


Leading Growth As the market leader, company led the growth in the passenger car sector last year. Hyundai sales went up 30% to 4,72,000 units. This, as I said earlier, is the highest annual sale since company began operations 20 years ago. Hyundai also gained market share, mainly on account of its performance in the competitive A2 segment where it increased its share from 40.3% in 2005-06 to 47.7% in 2006-07. The record sales performance was reflected in the financials. Net Sales (excluding excise) grew by 31% to Rs 93,456 million. Operating Profit Margin increased from 0.8 % in 2005-06 to 4.7 % in 2006-07. Profit after Tax jumped 270% to Rs 5421 million.

Risk Factors In the course of its business, Hyundai is exposed to a variety of market and other risks including the effects of demand dynamics, commodity prices, currency exchange rates, interest rates, as well as risk associated with financial issues, hazard events and specific assets risk. Whenever possible, we use the instrument of insurance to mitigate the risk. Business Risks The automotive industry is very capital intensive. Such investments require a certain scale of operation to generate viable returns. These scales depend on demand. Although 2005-06 was year of continued growth for the Indian economy, whether this growth momentum will continue has to be seen.



There is a highly competition in the market today. Various competitors of HYUNDAI are: Toyota Tata Ford Maruti Suzuki

Maruti Suzuki India Limited (MSIL, formerly named Maruti Udyog Limited) is a
subsidiary of Suzuki Motor Corporation, Japan. MSIL has been the leader of the Indian car market for over two and a half decades. The company's two manufacturing facilities are located at Gurgaon and Manesar, south of New Delhi. The Manesar and Gurgaon facilities have a combined capability to produce over a million (1,000,000) passenger car units annually. Recently, the company has announced a further investment of Rs1, 700 crore (Rs 17 billion) for enhancing the production capacity by 250,000 units annually.


The company has a portfolio of 13 brands and over 150 variants across Maruti 800, Omni, international brands Alto, A-star, WagonR, Swift, Ritz and Estilo, off-roader Gypsy, SUV Grand Vitara, sedans SX4 and Swift DZire and the newest entrant Eeco.

Toyota was established as a public company in Japan in 1937. It entered the U.S. market in 1957, but only became successful with the introductions of the Corona in 1965 and the Corolla in 1968. By 1970, Toyota was the worlds fourthlargest carmaker and by 1975 had displaced Volkswagen as the U.S.s #1 auto importer. Toyota began auto production in the U.S. in 1984 through a joint venture with GM, and launched the successful Lexus line in the U.S. in 1989. Since then, Toyota has continued to grow steadily, becoming the third largest global automotive manufacturer as of 2003, with sales last year of 7.4 million vehicles. Unlike many other large auto manufacturers, Toyota carries only 4 brands: Toyota, Hino, Scion, and Lexus; it also has a majority interest in Daihatsu. Known for their quality and reliability, Toyota cars and light trucks such as the Camry (Bestselling passenger car in America, 2004), Corolla, Lexus LS330, Prius (Motor Trends Car of the Year, 2004), Tundra (Motor Trends Truck of the Team A 11 Year, 2000), Tacoma (Motor Trends Truck of the Year, 2005), 4Runner, and Lexus RX300 (Motor Trends SUV of the Year, 1999) have been extremely successful both in the U.S. and abroad.


The results of all this are clear: in 2005, Toyota won a record-breaking 10 segment awards in J.D. Power and Associates Initial Quality Study, with Lexus carrying top honors for five years straight. And while 75% of Toyotas current market is in Japan and North America, it aims to reach markets in 140 countries and regions in the future. Toyota faces fierce competition from all angles, and is facing a very tough market from other Japanese, American, South Korean and German auto manufacturers. Toyota is working hard to set itself apart from the competition in more than one way, however. Since Toyota products have a reputation for reliability, the resale value of their vehicles tends to be much higher than many other producers. The most serious threat to Toyota is widely considered to be Honda Motor company. However, Toyota has done some substantial work on their products and price points to stay competitive against Honda. Below are some comparisons between Honda and Toyota products, and the price points for a base product, and fully loaded.

Tata Motors, Indias second-largest automobile company, faces the prospect of a churn in its distribution network with rival companies luring away two of its top dealers by offering better margins. A slow pick-up in sales of Fiat Auto, whose vehicles are distributed in India by Tata Motors may also have contributed to the exits. Pune-based BU Bhandari Auto, which became a Tata Motors dealer more than a decade ago when the automobile major entered the passenger car market by launching Indica, will distribute products of German carmaker


Volkswagen , which is eyeing a larger market share in the booming Indian automobile market.


The Ford


Company (NYSE: F)



American multinational corporation based in Dearborn, a suburb of Detroit. The automaker was founded by Henry Ford and incorporated on June 16, 1903. In addition to the Ford, Lincoln, and Mercury brands, Ford also owns a small stake in Mazda in Japan and Aston Martin in the UK. Ford's former UK subsidiaries Jaguar and Land Rover were sold to Tata Motors of India in March 2008. In 2010 Ford sold Volvo to Greely Automobile.[5] Ford will discontinue the Mercury brand at the end of 2010. Ford introduced methods for large-scale

manufacturing of cars and large-scale management of an industrial workforce using elaborately engineered manufacturing sequences typified by moving assembly lines. Henry Ford's methods came to be known around the world as Fordism by 1914 Ford is currently the second largest automaker in the U.S. and the fourth-largest in the world based on number of vehicles sold annually, directly behind Volkswagen Group.[6] In 2007, Ford fell from second to third in US annual vehicle sales for the first time in 56 years, behind only General Motors and Toyota.





Concept IdentificationAs organizations become increasingly customer focused and driven by demand, the need to gain customer loyalty and retain their loyalty is critical. Customer satisfaction is the most effective way to achieve customer loyalty. Customer satisfaction and customer loyalty share many similar traits. Customer value is the customers perception of the ratio of benefits to what he or she gives to obtain those benefits. The customer Value Triad is a framework used to understand what it is that customers want. The framework consists of three parts: (1) perceived product quality, (2) value-based pricing, and (3) perceived service quality. Customers are satisfied, when value meets or exceeds expectations. If their expectations of value are not met, there is no chance of satisfying them. Figuring out what the customers want, however, is a difficult and complex process. To be able to create and deliver customer value is important to understand its components. On the most basic level, value from a customers perspective is the ratio of benefits to the risks being taken while buying the product.



According to Harold E Edmondson Customer Satisfaction seems to appear in print more frequently than any other catch phrase used to describe a new found magic for industrial success. Before we proceed in to the study of the dynamics of Customer Satisfaction it is important to know about, who a customer is and what satisfaction really means.

Who really is a Customer? The question of defining who your customers are seems fairly easy particularly if you have segmented your market properly and understand who you are trying to satisfy. However subtlety that frequently goes undetected by many firms is that is that customer set can be divided into two parts, the apparent customer and the user. The apparent customer is the person or group of people who decide what product to buy and


basically have control over the purse strings. The user is a person or group who physically uses the product or is the direct recipient of a service. What does satisfaction really mean? As in defining customer above, defining satisfaction also appears simple. However as with customer there is a subtlety that needs addressing. Satisfaction by most definitions simply means meeting the customers requirement. Customer satisfaction is a concept that more and more companies are putting at the heart of their strategy, but for this to be successful theyre needs to be clarity about, what customer satisfaction means and what needs to happen to drive improvement. Without this, there is a risk that customer satisfaction becomes little more than a good intention, with confused objectives failing to address the real issues for customers, one helpful way to look at the problem is to rephrase the objectives: set the sights on helping the customers meet their goals. Customer satisfaction can be defined in many different ways. Finding the right way for a company depends on understanding your customer and on having a clear vision of the role that customer satisfaction is to play in the strategy. For example, a focus on customer satisfaction can work alongside existing segmentations to support revenue generation from high value customers or it can be a company-wide objective rooted in the brand values. For the former, it may be sufficient to focus on improving customer service, but for the latter a broader definition of customer satisfaction is necessary, closer akin to corporate reputation. Whatever the strategy for customer satisfaction, it must at least include getting the basics right. Failing to achieve this can destroy the reputation as well as losing valuable customers. Every customer, regardless of their economic worth to the business, has the power to influence positively or negatively a companys reputation. Once the objectives for the customer satisfaction strategy are defined there are a number of steps


we can take to make sure the focus on customer satisfaction is effective. Building a company around Customer Satisfaction With the increase in customers demands and competition it has become a lot more important to base the entire company on customer service. When doing this one must first realize that every member of an organization plays an active role in customer service. This includes both external customers and internal customers within a company. Customer focused organizations focus both on customer satisfaction and

profit. Achieving customer satisfaction generates the profit. In these organizations top management has frequent contacts with external customers. The top management uses consultative, participative, and supportive management styles to get through to the customer. The staff focuses all of its attention on satisfying the customers needs. However, the managements job is to provide the staff with support necessary to achieve these goals. The other department and staff in the organization that do not have direct contact with the external customers deal exclusively with internal customer satisfaction. The Influence of the salesperson in Customer SatisfactionIn an article titled, The influence of salesperson selling behavior on customer satisfaction with products, Brent G.Goff and James S. Boles examine the effects of nonproduct related construct on customer satisfaction with major retail purchases such as automobiles. The article states that salespersons selling orientation- customer orientation (SOCO) will affect not only consumer satisfaction with the salesperson and dealer, but also indirectly, satisfaction with the product or manufacturer. In the perspectives of both the retailer and the manufacturer, customer satisfaction represents an important issue because it relates to several desirable outcomes. Customer satisfaction leads to future purchases, and repeated purchases of the same product from


the same source. In other words, it helps a firm retain its present customers and build loyalty. By helping a buyer obtain product information and providing guidelines about what should be expected during the buying process and use of a product, a salesperson may influence customer expectations concerning the product. Thereby this may reduce the likelihood of dissatisfaction (Grewal and Sharma, 1991). A successful salesperson tailors to the needs of each individual customer. By being customer-oriented, a salesperson is likely to identify with needs of the customer, enabling the salesperson to match his or her presentation to those requirements of the customer. Internal Marketing how it affects Customer Satisfaction Successful companies make every effort to ensure satisfaction to their customer by focusing all organizational efforts of the company on providing superior customer service. By doing this these companies hope to retain their existing customers and attract new ones. Only angle of customer satisfaction commonly overlooked is the internal aspect. The internal customer or employee plays a vital role in achieving customer satisfaction and loyalty. Some firms do not understand that the treatment of internal customers becomes the external customers perception of the company. A firms employees or other departments within the organization make up its internal customers. Their job performance affects the firms ability to deliver superior product and customer service (Boone and Kurtz, 1999). When a firms employees are happy at work, their overall attitude and performance towards the customer enhances tremendously. Internal marketing helps members or employees of an organization understand and fulfill their roles in implementing its marketing strategy. Internal marketing not only keeps employees happy, it also shows them how their actions affect the firms ability to achieve customer satisfaction. Customer Satisfaction as part of Service Profit Chain:


A Harvard Business Review article outlines the internal process required to drive growth and increase profitability. The article describes the ways in which service quality contributes to success, outlining the steps in the Service-profit chain:

Profitability / Growth Customer Loyalty Customer Satisfaction Value Employee Productivity Employee Loyalty Internal Quality Leadership




Preliminary stage of study- a pilot survey, personal interview of sales consultants, potential customers and existing customer numbering 20 was conducted to arrive at key deliverables which would ensure customer satisfaction. The research tool (questionnaire) was designed by inducing the various queries, based on the key deliverables, which would reflect the customer satisfaction. The research was based on a study of a sample, sized 100, using simple random sample selected from the existing database of Lakshmi Hyundai. The research included collection of data from the primary sources using the research tool (questionnaire). Final stage was to analyze, interpret and draw conclusions from the data collected


Date Sources:
Primary Data:
The data is collected directly from each and every customer. Pilot Survey A pilot survey was conducted to understand the factors, which would positively influence the customer. Personal Interviews totaling 20 were conducted for the sales team, potential customers and the existing customers of Lakshmi Hyundai. The factors scoring high in the interviews were considered to be the key deliverables.

Survey Research:
The research was done to learn about peoples preferences and satisfaction of the Lakshmi Hyundai customer.

Research Tool: Questionnaire (primary tool- attachment 1)

Interview through questionnaire method was employed for the research purpose. The questionnaires were individually administered to each customer to ensure minimum scope for faulty data entry and error of understanding. This method also gave the interviewer the scope of entering into a dialogue and understanding the customers perception better.


The questionnaire tried to capture the responses of the customers mainly on the key deliverables, derived from the pilot survey conducted, and a few questions have been included to gauge the level of satisfaction and to gain insight into customer expectations






Age Group
Sl.No A B C D Age Group 20 to 30 30 to 40 40 to 50 Above 50 No of people 9 25 25 22

25 20 15 10 5 0 20-30years 30-40years 40-50years above 50

INTERPRETAION: From the above table shows that the respondents of the age group of years above 50 i.e. 22, the next group is 40-50 years i.e.25, the remaining age groups are 30-40 and 20-30 years having 25 and 9 respectively.




Sl.No A B C D

Occupation Pvt Employee Business Govt employee Others

No of people 35 20 15 30

35 30 25 20 15 10 5 0

INTERPRETAION: From the above table shows that the respondents of the occupation are mostly private employees numbered 35, business people numbering 20 , Government employees 15 and others 30 people.


3) Which model of hyundai car do you own? Sl.No A B C D Brand I10 I20 Santro Others No of people 35 18 27 20

Others D 20 , Santro C 27 , I10 A 35 ,

I20 B 18 ,

Interpretation :-


The following graph shows the number of cars in the total of 100 persons i10 is owned by 35 people, and I20 owned by 18 and Santro owned by 27 people and others by 27 people.

4) Which feature is the best one in Hyundai car ? Sl.No A B C D Feature Mileage Price and style Quality All NO of people 20 28 40 12


40 35 30 25 20 15 10 5 0 Mileag e Price & S le ty Quality All

Interpretation:The following graph shows the number of what features you consider while you purchase in the total persons Mileage by 20, and Price And style by 28 and by quality 40,and all by 12.


how do you feel when you drive Hyundai car?

Sl.No A B

RANK Good Better

No of people 35 20



Best Poor

35 10

35 30 25 20 15 10 5 0 good better best poor

INTERPRETAION: From the above table shows that the respondents of the experience of people while driving Hyundai cars is good i.e. 25, the next group is better i.e.20, the remaining people who feel best is 40 and others who feel poor experience are 5 respectively.

6) Sl.No A

Are you satisfied with your vehicles mileage? Vehicles mileage Good No of percentage 60



Better Best Poor

20 13 7

Good B etter B t es Poor

Interpretation :The following graph shows the number of people who satisfied with mileage of the vehicle in the total respondents response given by persons Yes by 61 and No by 14.

Sl.No A

Will you recommend Hyundai product to anybody?

Recommendation Yes No of percentage 70




No B, 30 Yes A, 70

Interpretation :The following graph shows the number of people who recommend Hyundai cars in the total persons yes by 45 and No by 30.


What do you think about hyundais customer service?


Sl.No A B C D

RANK Excellent Good Better Poor

No of people 40 20 30 10

40 35 30 25 20 15 10 5 0 excellent good better poor 40 20 30 10

INTERPRETAION: From the above table shows that the respondents of the people about Hyundais customer service is excellent i.e. 40, the next group is good i.e.20, the remaining people who feel better is 30 and others who feel poor experience are 5 respectively.


9) How do you feel about companys response towards customers? Sl.No A B C D Source Excellent Good Better Poor No of percentage 25 45 20 10

Poor B etter Wes t G ood Ex cellent 0 10 20 30 40 50

Interpretation :The following graph shows the number of response of customers towards the products from the total number of 100 people good are good 17, Excellent 38, better 10 and poor are 7.


10.Did you receive the product on delivery time?

Sl.No A B Delivery time Yes No No of percentage 75 25

No B, 25 A Yes B No Yes A,75

Interpretation :the following graph shows the number of customers who receive the product on delivery time is yes by 55 customers and no by 20 customers.


11) Are you satisfied with companys after sales service ?

Sl.No A B

After sales service Satisfied Not satisfied

No of percentage 90 10

90 80 70 60 50 40 30 20 10 0 satisfied not satisfied

The number of customers who satisfy/not satisfied with the after sales service of the company from a number of 100 customers are satisfied 75 and not satisfied 5.


12. how do you feel the experience at show room? Sl.No A B Best Brand Ambassadors Satisfied Not satisfied No of percentage 80 20


Not satisfied



Interpretation :The following graph shows the consumers experience at show room the number of customers who satisfy is 55 and who does not satisfy is 29

12) Were you offered test drive? Sl.No A B C Test drive Yes No Not remember No of people 70 12 18


Y es Not Not rem ber em

Interpretation :The following graph shows the number of customers who were offered test drive for the product is yes by 80 customers and no by 7 customers.

14) Are you satisfied with the Performance of Hyundai cars? A B

Customer response percentage Satisfied 74 Not satisfied 26


80 70 60 50 40 30 20 10 0 Satisfied Not Satisfied

The following table shows that the respondents who satisfied with dealers performance is better71,good 15 and Poor is 4.







Hyundai enjoys a high patronage from its customers. Most of the customers had a good experience of shopping at Hyundai. The satisfaction levels can also measured with the level of recommendations to friends and associates; It is evident that more than 80% customers are satisfied with the service offered at Hyundai.

The probability that the customers would repeat that purchase at the same showroom is high, which is a good sign.

The sale satisfaction index of Hyundai showroom is 8.4 on scale of ten (refer

page 32), which is exceptionally good, the showroom should persist on high levels of commitment to maintain the good image it has created. The industry SSI (2003) is 104 out of 126 according to J D Power Asia pacific. And Hyundai scores 105 out of 125. In the interview it was found that the customers are happy about the training programs under taken by the showroom, which train the customers to negotiate minor breakdowns comfortably. It has been observed that 25% of customers have reported a slack in the delivery process.


This is the only area of concern that has emerged form the city.

SUGGESTIONS The overall sales satisfaction index from the study reveals that the company is performing very well and customers buying are much satisfied with the service given to them. The only couple problem noticed are: Some of the customers have complained about the slack in the delivery process and timings. Therefore, this is the area which I recommend to the showroom to focus a little bit more. It needs to improve its delivery process and time. Need to become little quick and fast. Some of the customers have also complained about the after purchase services provided by the showroom. Even though the complaints are minor, the showroom needs to resolve the customer after purchase service issues in order to achieve customer satisfaction.



Details: Vehicle No: _______________________________________________________ Model: ___________________________________________________________ Customer Name: __________________________________________________ Telephone No: ______________________Mobile:________________________ Date: __________________Customer signature: ________________________

1. Age group a) 20-30 2. Occupation? a) Employee b) business c) NRI d) others b) 30-40 c) 40-50 d) Above 50

3. Which model of hyundai car do you own? a) Santro b) Verna c) Accent d) i10 e) i20

4.which feature is the best one in Hyundai car? a) price b) style c) mileage d) quality e) mileage&quality


e) mileage & style 1. How do you feel when you drive hyundai car?


B) better c) best b) No

d) Poor

6. Are you satisfied with your vehicle mileage? a) Yes

7. will you recommend hyundai product to anybody? a) Yes


b) No

what do you think about hyundais customer service?

a) Excellent

b) Good

c) Better

d) Poor

9. How do you feel about companys response towards customers? a) Excellent b) Good c) Better d) Poor

10. did you receive the product on delivery time? a) Yes b) No

11. are you satisfied companys after sales service? a) Satisfied b) not satisfied

12. How do you feel the experience at the showroom? a) Satisfied b) not satisfied

13. were you offered test drive? a) Yes b) No

14. Are you satisfy with their usage of the car? a) fully satisfied b) just satisfied c) not satisfied


15. Please give your comments/suggestions to enable us to improve satisfaction of customers at this Hyundai authorized showroom. __________________________________________________________________ __________________________________________________________________





Books: Principles of marketing: KOTLER ARMSTRONG. Marketing Management: PHILIP KOTLER. (Analysis, Planning Implementation and Control) Services Marketing : TATA Mc GRAW HILL.


Marketing Research : G.C.BERI. Research Methodology: KOTHARI. C.R. Websites: