You are on page 1of 21



A Study of Customer Satisfaction on
Maruti Suzuki in Indore city
Submitted to
In the partial fulfillment for the degree
Master of Business Administration
(Session 2011-2013)

Under the supervision of: Submitted by:

Dr. Indu Bhargva Dhirendra Singh Baghel

I hereby declare that the Market Research entitled A Study of Customer Satisfaction on
Maruti Suzuki in Indore city and the information presented in this report has been written by
mean the basis of survey of A Study of Customer Satisfaction on Maruti Suzuki in Indore
cityThis is correct to the best of my knowledge and the report presented has not been published
anywhere else.

The successful accomplishment of any task is incomplete without acknowledging the
contributing personalities who assisted, inspired and lead us to visualize the things that turn them
into successful stories for our successors. First, I thank the Almighty God for his grace bestowed
on me throughout this project. My special thanks to my respected my respected Guide HOD of
MBA Dept. Mrs. Indu Bhargava and guide by Mr. Varun Kumar, who guided me with the timely
advice and expertise and helped me complete the project early.

Chapter-I Introduction
1.1 Introduction
2.2 Conceptual framework
3.3 Introduction to the sector
4.4 Literature review

Chapter- II Research methodology

2.1 Research Design
2.2 Research Objectives
2.3 Sampling design
2.5 Analytical tool used
2.6 Limitation of study

Chapter- III Data Analysis & Interpretation.

3.1 Factor Analysis

Chapter- IV Suggestion & Conclusion
Reference & Bibliography
Whether the buyer is satisfied after purchase depends on the offers performance in relation to
the buyers expectations. Satisfaction is a persons fallings of pleasure or disappointment
resulting from comparing a products perceived performance 9or outcome) in relation to his or
her expectations. As this definition makes clear, satisfaction is a function of perceived
performance and expectation. If the performance falls short of expectations, the customers, the
customer is dissatisfied. If the performance matches the expectations, the customers are satisfied.
If the performance exceeds expectations, the customers are highly satisfied or delighted.
Many companies are aiming for high satisfaction because customers who are just satisfied still
find it easy to switch when a better comes along. Those who are highly satisfied are much less
ready to switch. High satisfaction or delight creates an emotional bond with the brand, not just a
rational performance. The result is high customer loyalty. Xeroxs senior management believes
that a very satisfied or delighted customer is worth 10 times as much to the company as a
satisfied customer. A very customer is likely to stay with Xerox many more years and buy more
than a satisfied Satisfaction is the persons feelings of pleasure or disappointment resulting from
comparing a products perceived in relation to his or her expectations. In general, if performance
of the products matches the expectations, the customer is said to be satisfied. Customer
satisfaction, a business term, is a measure of how products and services supplied by a company
meet or surpass customer expectations. In a competitive marketplace where business competes
for customers, customer satisfaction is seen as a key differentiator and increasingly has become a
key element of business strategy. If performance exceeds expectations, the customer is said to be
highly satisfied or delighted. If the performance falls short of expectations, the customer is said
to be dissatisfied.

Car pickup & delivery facility for women car owners Quote Unquote: "The study finds that
vehicle pickup and delivery before and after service has a strong impact on customer satisfaction.
In particular, customers who say that their vehicle was picked up from their doorstep before
service and delivered to the same point after service are notably more delighted with their after-
sales service experience, compared with customers who do not receive this service...." Car Safety
device: Immobilizer
The company used technology to meet customer needs and even delight them. Following
feedback that the company's cars were more prone to theft owing to their resale value, the
company worked on an anti-theft immobilizer or "I-Cats;" system for all its new cars.

There are five major factors, which affected satisfaction of the car
namely: -
Problems Experienced
Contributing to 35% of the CSI score, this factor measures the quality of the car in terms of the
number of repair problems that cropped up and how often it was returned for re-service.
Service Advisor
This related to ability of the services advisor to ability of the service advisor to understand the
problem and his promptness in attending to the customer, contributing to 28% of the CSI Score.
Service Performance
Measures the quality of the service performed as well as the dealers ability to fix a problem on
the first visit. It has a weight age of 26% in the CSI score and also considers how easily spare
parts are available when required.

Service Timing
Affecting the score by just 6%, this time taken for a service or repair job was responsible and if
the vehicle was ready at the time promised.

Facility Appearance
Deals with the appearance of the customer lounge at the dealership and the look and cleanliness
of the service area. This factors has the least impact CSI score at Just 5%
When to Conduct a Customer Satisfaction Survey
The best time to conduct a customer satisfaction survey is when the experience is fresh in their
minds. If you wait to conduct a survey, the customer's response may be less accurate. He may
have forgotten some of the details. She may answer about a later event. She may color his
answers because of confusion with other visits. She may confuse you with some other company.

How You Ask Whether Customers Are Satisfied
There are many ways to ask your customers whether or not they are satisfied with your company,
your products, and the service they received. You can ask them: Face-to-face
As they are about to walk out of your store or office, ask them. Call them on the phone
if you have their phone number, and their permission, you can call them after their visit and ask
how satisfied they are. Mail them a questionnaire this technique has been used for a long time.
The results are predictable. Email them a customer satisfaction survey be careful to not violate
Spam laws
Email them an invitation to take a customer satisfaction survey
What to Ask In A Customer Satisfaction Survey
There is a school of thought that you only need to ask a single question in a customer satisfaction
survey. That question is, "will you buy from me again?" While it is tempting to reduce your
customer satisfaction survey to this supposed "essence", you miss a lot of valuable information
and you can be easily misled. It is too easy for a customer to answer yes to the "will you buy
from me again?", whether they mean it or not. You want to ask other questions in a customer
satisfaction survey to get closer to the expected behavior and to collect information about what to
change and what to keep doing.
By all means ask the basic customer satisfaction questions:
How satisfied are you with the purchase you made (of a product or service)
How satisfied are you with the service you received?
How satisfied are you with our company overall?
And ask the customer loyalty questions"
How likely are you to buy from us again?
How likely are you to recommend our product/service to others
How likely are you to recommend our company to others?
Also ask what the customer liked and didn't like about the product, your service, and your

Customer satisfaction, a term frequently used in marketing, is a measure of how products and
services supplied by a company meet or surpass customer expectation. Customer satisfaction is
defined as "the number of customers, or percentage of total customers, whose reported
experience with a firm, its products, or its services (ratings) exceeds specified satisfaction
goals."In a survey of nearly 200 senior marketing managers, 71 percent responded that they
found the "customer satisfaction" metric very useful.
It is seen as a key performance indicator within business and is often part of a Balanced
Scorecard. In a competitive marketplace where businesses compete for customers, customer
satisfaction is seen as a key differentiator and increasingly has become a key element of business
Within organizations, customer satisfaction ratings can have powerful effects. They focus
employees on the importance of fulfilling customers expectations. Furthermore, when these
ratings dip, they warn of problems that can affect sales and profitability. These metrics quantify
an important dynamic. When a brand has loyal customers, it gains positive word-of-mouth
marketing, which is both free and highly effective.
Therefore, it is essential for businesses to effectively manage customer satisfaction. To be able
do this, firms need reliable and representative measures of satisfaction.
In researching satisfaction, firms generally ask customers whether their product or service has
met or exceeded expectations. Thus, expectations are a key factor behind satisfaction. When
customers have high expectations and the reality falls short, they will be

From the singsong rhythm of the bullock cart to the jet-age, India has traveled a long way. An
average Indians dream car may not be the design- savvy Honda or the stately limousine, but he
sure can dream, and afford, the Maruti now. It was in 1898 that the first motorcar rode down
Indias roads. From then till the First World War, about 4,000 cars were .directly imported to
India from foreign manufacturers. The growing demand for these cars established the inherent
requirements of the Indian market that these merchants were quick to pounce upon.
The Hindustan Motors (HM) was set up in 1942 and in 1944; Premier Autobackmobile (PAL)
was established to manufacture automobiles in India. However, it was PAL who produced the
first car in India in 1946, as HM concentrated on auto components and could produce their first
car only in 1949. It was left to another company, Mahindra and Mahindra (M&M) to
manufacture sturdier utility vehicles, namely the American Jeep.
In the 50s, the Government of India granted approval to only 7 car dealers to operate in India -
HM, API, ALL, SMPIL, PAL, M&M and Telco. His protectionist policies continued to remain
in place. The 60s witnessed the establishment of the two-three wheeler industry in India and in
the 70s, things remained much the same. Since the 80s, the Indian car Industry has seen a major
resurgence with the opening up of Indian shores to foreign manufacturers and collaborators.
The 90s have become the melting point for the car industry in India. The consumer is king. He is
being constantly wooed by both the Indian and foreign manufacturers. Though sales had takes in
the first few months of 1999, it is back to boom time. New models like Marutis Classic, the first
few months of 1999, it is back to boom time. New models like Marutis Classic, A first few it is
back to boom time. New models like Marutis Classic, A Station Wagon, Fords Icon, the new
look Mitsubishi Lancer are all being launched with an eye on the emerging market. In these last
years of the millennium, suffice it is to say that Indian cars will only grow from strength to
Society of Indian Automobile Manufacturers (SIAM).The Society of Indian Automobile
Manufacturers (SIAM) is the apex national association representing the Auto Industry. The
Automotive Component Manufacturers Association of India (ACMA) The Automotive
Component Manufacturers Association of India (ACMA), with a membership of over 365
companies, has been the Indian auto component industry's spokesman for the last 38 years.
The Western India Automobile Association (WIAA) was founded on October 15th 1919 and
today is the largest and the oldest motoring body with over forty-eight thousand members and a
network of 7 branches in 4 states of Western India. Federation of Automobile Dealers
Associations (FADA).
This is the first Indian Association formed by the dealer community in January 1964 and
signified the urge of India's automobile dealer community to have their own identity and a
national organization of their own.


Maruti Suzuki India Limited is a publicly listed automaker in India. It is a leading four-wheeler
automobile manufacturer in South Asia. Suzuki Motor Corporation of Japan holds a majority
stake in the company. It was the first company in India to mass- produce and sells more than a
million cars. It is largely credited for having brought in an automobile revolution to India. It is
the market leader in India and on 17 September 2007, Maruti Udyog was renamed Maruti Suzuki
India Limited. The company's headquarters are in Gurgaon, Haryana (near Delhi).
Maruti Udyog Limited (MUL) was established in February 1981, though the actual production
commenced in 1983 with the Maruti 800, based on the Suzuki Alto key car which at the time
was the only modern car available in India, its' only competitors- the Hindustan Ambassador and
Premier Padmini were both around 25 years out of date at that point. Through 2004, Maruti has
produced over 5 Million vehicles. Maruti are sold in India and various several other countries,
depending upon export orders. Cars similar to Maruti (but not manufactured by Maruti Udyog)
are sold by Suzuki and manufactured in Pakistan and other South Asian countries.
The company annually exports more than 50,000 cars and has an extremely large domestic
market in India selling over 730,000 cars annually. Maruti 800, till 2004, was the India's largest
selling compact car ever since it was launched in 1983. More than a million units of this car have
been sold worldwide so far. Currently, Maruti Alto tops the sales charts and Maruti Swift is the
largest selling in A2 segment.
Due to the large number of Maruti 800s sold in the Indian market, the term "Maruti" is
commonly used to refer to this compact car model. Till recently the term "Maruti", in popular
Indian culture, was associated to the Maruti 800 model. Maruti Suzuki India Limited, a
subsidiary of Suzuki Motor Corporation of Japan, has been the leader of the Indian car market
for over two decades.
Maruti Suzuki offers 12 models, Maruti 800, Omni, Alto, Versa, Gypsy, A Star, Wagon R, Zen
Estilo, Swift, Swift Dzire, SX4, and Grand Vitara. Swift, Swift dzire, A star and SX4 are
manufactured in Manesar, Grand Vitara is imported from Japan as a completely built unit
(CBU), remaining all models are manufactured in maruti Suzuki's Gurgaon Plant. More than half
the numbers of cars sold in India wear a Maruti Suzuki badge. We are a subsidiary of Suzuki
Motor Corporation Japan. Suzuki Motor Corporation, the parent company, is a global leader in
mini and compact cars for three decades. Suzukis technical superiority lies in its ability to pack
power and performance into a compact, lightweight engine that is clean and fuel efficient. Maruti
is clearly an employer of choice for automotive engineers and young managers from across the
country. Nearly 75,000 people are employed directly by Maruti.
Maruti Udyog Limited (MUL) was established in Feb 1981 through an Act of Parliament, to
meet the growing demand of a personal mode of transport caused by the lack of an efficient
public transport system.
Suzuki Motor Company was chosen from seven prospective partners worldwide. This was due
not only to their undisputed leadership in small cars but also to their commitment to actively
bring to MUL contemporary technology and Japanese management practices (which had
catapulted Japan over USA to the status of the top auto manufacturing country in the world)
A license and a Joint Venture agreement were signed between Govt. of India and Suzuki Motor
Company (now Suzuki Motor Corporation of Japan) in Oct 1982.

The objectives of MUL then were:-
Modernization of the Indian Automobile Industry.
Production of fuel-efficient vehicles to conserve scarce resources. Production of large number
of motor vehicles which was necessary for economic growth

Every minute two vehicles roll out of the Maruti Plant. It is therefore imperative that the transfer
of contemporary technology from our partner Suzuki is a smooth process.
Great stress is laid on training and motivating the people who can maintain the equipment, since
the best equipment alone cannot guarantee high quality and productivity.
From the beginning it was a conscious decision to send people to Suzuki Motor Corporation for
on-the-job training for line technicians, supervisors and engineers. This helps them to imbibe the
culture in a way that merely transferring technology through documents can never replicate. At
present 20% of our workforce have been trained under this programmed.

Number one in JD Power CSI for the sixth time in a row - the only car to win it so many times
M800, WagonR and Swift topped their segments in the TNS Total Customer Satisfaction Study.
Leadership in the JD Power Initial Quality Study - Alto number one in its segment for the 2nd
time in a row, Esteem number one in its segment for the 3rd year in a row, Swift number one in
the premium compact segment WagonR and Esteem top their segments in the JD Power APEAL
TNS ranks Maruti 4th in the Corporate Reputation Strength (CSR) study (#1 in Auto sector)-
Maruti bagged the "Manufacturer of the year" award from Autocar-CNBC (2nd time in a
row)Feb 05
First Indian car manufacturer to reach 5 million vehicles sales
Business World ranks Maruti among top five most respected companies in India-Oct 04
Maruti ranked among top ten (Rank7) greenest companies in India by
Maruti Suzuki was No. 1 in Customer satisfaction, No. 1 in Sales Satisfaction No.1 in Product
Quality (Esteem and Alto) and No. 1 in Product Appeal (Esteem and Wagon R)
No. 1 in Total Customer Satisfaction (Maruti 800, Zen and Alto)


A review of the existing literature indicates a wide variance satisfaction research in the definition
of satisfaction the lack of a consensus definition limits the contribution of consumer satisfaction
research without a uniform definition of satisfaction researchers are unable to select an
appropriate definition for a given context ,develop valid measures of satisfaction and / or
compare and interpret empirical results consumer satisfaction researchers have contended that
these problems are pervasive and important (Gardial, clemons, woodruff, schumann and bruns
1994 peterson and Wilson 1992 yi 1990)
While the literature contains significant differences in the definition of satisfaction. All the
definition share some common elements when examined as a whole , three general components
can be identified 1 ) consumer satisfaction is a response ( emotional/cognitive) 2) The response
pertains to a particular focus (expectations , product , consumption experience and 3) the
response occurs at a particular time (after consumption, after choice, based on accumulated
experience , etc) consumer response pertaining to a particular focus determined at a particular
time .
There is paucity of research literature in customer satisfaction of maruti Suzuki.


Research methodology is a process to systematically solve the research problem. It may be
understood as a science of studying how research is done scientifically. Why a research study has
been undertaken, how the research problem has been defined. In what way and why the
hypothesis has been formulated, what data have been collected and particular method has been
adopted. Why particular technique of analyzing data has been used and a host of similar other
questions are usually answered when we talk of research methodology concerning a research
problem or study. A research design serves as a bridge between what has been established (the
research objectives) and what is to be done, in the conduct of the study. In this project research
done is of conclusive nature. Conclusive research provides information that help in making a
rational decision. Descriptive design was choose to measure the satisfaction level of customers
on the basis of different parameters such as quality, price, features, technology, after sale
services etc. This design ensured complete clarity and accuracy. It also ensured minimum bias in
collection of data and reduced the errors in data interpretation. Statistical method was followed
in this research because the data was of descriptive nature and it also enabled accurate
A research design specifies the methods and procedures for conducting a
particular study. Broadly speaking, there are 3 categories of research design exploratory,
descriptive and casual research. An exploratory research focuses on the discovery of ideas and is
generally based on secondary data. A descriptive study is undertaken when the researcher wants
to know the characteristics of certain groups such as age, educational level, income, occupation,
etc. A casual research is undertaken when the researcher is interested in knowing the cause and
effect relationship between two or more variables. The type of research used in this study is
descriptive research. Following method was adopted during study
Review of literature to understand recent development in the field. Defining objective of
the study. Formation of questionnaire to capture primary data. Analysis and interpretation of
primary data. Conclusion out of primary and secondary data.

Primary objective
Main objective of this study to identify which enhances customer satisfaction level in maruti
To find out customer expectation from Maruti Suzuki.
To study the factors those satisfy and delight the customer.
Secondary objective
To find out problem faced by customers.
To understand the customers requirement from the Maruti Suzuki.
To know customer opinion about Maruti Suzukis vehicles
For face to face survey, sample size is 20 customer of maruti Suzuki.
In my research I have used questionnaire method. If one wishes to find this has led marketing
research to use questionnaire techniques for collecting data more than any other method.
In this method questionnaire were distributed to respondents and they were asked to answer
question in the questionnaire. The questionnaire structured questionnaire because the question,
which in the questionnaire contained were arranged in a specific order besides every question
asked were logical for the study no question can be term as irrelevant.

Sample size: - 20 customer of maruti Suzuki company in Indore city.
Data source: - Primary & Secondary data.
Data analysis: - statistical techniques used and with the help of Pie charts.
Data analysis techniques: - Factor analysis.
Primary Data
The sources of primary data were:-
Here data related to study was collected from questionnaires & personal interaction
Secondary Data
The sources of secondary data were internet, research papers, books and newspaper articles.
Though the research was conducted properly, the probability of errors & biases kept is minimum.
Still some errors occurred because of certain limitation.
These are as follows:-
A very short span of time for research.
This is time-consuming research method & the respondents did not have
Sufficient time for giving information for such type of research.
People were reluctant to give responses for such type of research.
People also did not give proper response for Questionnaire & interview, because of short time.
Study is restricted to only Amravati city.
I have honestly and sincerely tried to present the facts and figures but some error still might have
cropped up.
Thus on the basis of above factor analysis it can be concluded that the major factors affecting the
customer satisfaction is due to the grievances handling procedure at various dealers at Indore , it
is also due to after sales services and the interior of the car. It can be also be said from the
analysis that technology adopted by maruti Suzukis also a major factor contributing towards
customer satisfaction of people purchasing maruti Suzuki.
Maximum customer satisfied with fuel efficiency of the maruti car so company should
introduced fuel efficiency in Indian market.
It concentrates mainly on providing AFTER SALES SERVICES. But it should also try to other
BEHAVIOR, and LOW PRICE OF THE MARUTI CAR. So that it can promote its own
organization at a wider scope.


In case of maruti Suzuki company maintainability the excellent factor, company should attention
on interior of the car and some technology of the car. The company should try to reduced the
price of the car and create awareness among the employees of the maruti Suzuki company.
After calculating the rotated component matrix table three table are identified
satisfaction of maruti car.
moderate factor of maruti car.
FUEL EFFICIENCY is minor factor of maruti car.


Gardial Sarah fisher , D. Scott Clemons Robert B. Woodruff , David W. Schumann and Mary
Jane Burns 1994 comparing consumers recall of repurchase and post purchase product
evaluation experience Journal of consumer research 20 (march) 548-560.
Peterson, Robert A and Wilson R Wilson 1992. measuring emotions in the consumption
experience Journal of consumer research 24 (sept.)127-146.
Giene L. Joan and cote A. Joseph 2000 Defining consumer satisfaction. Academy of
marketing science review vol. no. 1.

Website visited

Dear Sir / Madam,
I am a student of Shushila Devi Bansal Collage technology Indore conducting a research project
on "A Study of Customer Satisfaction on Maruti Suzuki in Indore City"
I request you to fill this questionnaire & I assure that this data will be used only for study
purpose it will be kept confidential
Section 'A'
Name ----------------------------------------------------------------------------
Address -------------------------------------------------------------------------
Age ---------------------------- (4) Income -----------------------------------
(5) Design & Job ------------------------------------------------------------------
(6) Type of Job
I. State Government II. Business
III. Employee IV. Other
(7) Name of Maruti Car ---------------------------------------------------------
(8) Model Number -----------------------------------------------------------------
(9) Loan / Cash Purchase ---------------------------------------------------------

` Section ' B'
S.No. Factor Agree Strongly
Neutral Disagree Strongly
1. Technology
2. Interior
3. Mileage
4. After Sale Services
5. Maintains Cost
6. Purchase Time
(After Booking)

7. Fuel Efficiency
8. Employee's

9. Grievances