A STUDY ON SALES AND PROMOTIONAL DISTRIBUTION

ABSTRACT

Sales and Promotion is a key ingredient in marketing campaigns with designed short term
incentives tools aimed at consumers to influence quicker or greater purchase of particular
products or services. Sales promotion means any steps that are taken for the purpose of obtaining
or increasing sales. Sales promotion is a plus element in marketing mix. Sales promotion can be
aimed at consumers, dealers, company’s sales employees. There are three kinds of sales
promotion they are consumer promotion, dealer promotion, and sales force promotion.

The project is done in order to study the sales promotional activities of xavy, Coimbatore.
It is done in order to have a good knowledge on the various sales promotional techniques that the
form uses to promote their products. The objectives under study are to find out dealers attitude
towards sales promotional activities to find out incentives offered by the company and to
analyses the changes in sales due to sales promotional activities. This organization has very good
sales promotional activities and that is accepted by the entire customer and it is the key factor in
the firm success.

The samples adopted were the dealer of the products. The study come to the finding that
all the customers feel the sales promotion helps in increasing the demand of the products. The
dealers are the best source to know how effective the sales promotion is because they are the
person who come in direct contact with the customer and can easily understood the effectiveness
of the various kinds of sales promotion and the changes in the customer attitude.
A sale is the pinnacle activity involved in selling products or services in return for money or
other compensation. It is an act of completion of a commercial activity.

A sale is completed by the seller or the provider of the goods or services to an acquisition or
appropriation or request followed by the passing of title (property or ownership) in the item and
the application and due settlement of a price, the douche of or any claim upon the item. The
purchaser, though a party to the sale, does not execute the sale, only the seller does that. To be
precise the sale completes prior to the payment and gives rise to the obligation of payment. If the
seller completes the first two above stages (consent and passing ownership) of the sale prior to
settlement of the price, the sale is still valid and gives rise to an obligation to pay.

The sale can be made through

 Direct sales, involving person to person contact

 Pro forma sales
 Agency-based
o Sales agents (real estate, manufacturing)
o Sales outsourcing through direct branded representation
o Transaction sales
o Consultative sales
o Complex sales
o Consignment
o Telemarketing or telesales
o Retail or consumer
 Traveling salesman
o Door-to-door
o To tourists on crowded beach
 Request for proposal – An invitation for suppliers, through a bidding process, to submit a
proposal on a specific product or service. An RFP is usually part of a complex sales
process, also known as enterprise sales.
 Business-to-business – Business-to-business sales are much more relationship based
owing to the lack of emotional attachment to the products in question.
Industrial/Professional Sales is selling from one business to another
 Electronic
o Web – Business-to-business and business-to-consumer
o Electronic Data Interchange (EDI) – A set of standard for structuring information
to be electronically exchanged between and within businesses
 Indirect, human-mediated but with indirect contact
o Mail-order
 Sales Methods:
o Selling technique
o SPIN Selling
o Consultative selling
o Sales enablement
o Solution selling
o Conceptual Selling
o Strategic Selling
o Sales Negotiation
o Reverse Selling
o Paint-the-Picture
o The take away
o Large Account Management Process
1.2 INDUSTRIAL PROFILEThe product is a maintenance-free battery, similar in design to a

onventional automotive battery, but just a heavier-duty version of the same arrangement. Many

of the components have thicker construction, and different, more durable materials are typically

used. This design is called a lead-calcium battery. The heavier-duty parts ensure that fluid loss is

kept to a minimum and that components have a much longer life.

Purchase Occasions:

The automotive battery business consists of OE (original equipment) and after-market or

replacement market segments. The OE market is around 1.2 million units and the larger

replacement market is around 5 million units per annum in India. Purchase therefore occurs

when the current battery ‘dies’, which is usually after a period of approximately two years.

Competition:

The product is a market leader in the original equipment (OE) automotive batteries segment

with a market share of over 85% in the OE automotive batteries segment and more than 25% in

the replacement market (more than 60% amongst the organized players). The unorganized

players have a bigger role in there placement market, with a market share of above 55%.For the

rest 15 per cent of the pie, there’s a clamour between players like Prestolite, Bosch, Tata Green

& Amaron. Other players in the organized market are and Amco.
Products:

Lead Acid Storage Batteries for Automotive, Motorcycles, Genets, Trawlers, VRLA, Industrial

Standby, Motive Power and Submarine applications.

Factories:

has 9 Factories spread across India. Together the annual production capacity is of over 7.2

million automobile batteries (including motorcycle batteries) and over 360 million AH of

Industrial Power.

OEM Supplier to:

Honda, Fiat, Toyota, Hyundai, Telco, Suzuki, Mazda, GM, Leyland, Maruti Suzuki, Mitsubishi,

Piaggio. Only manufacturer of Submarine Battery in India.

Industries hold:

HELPED by the robust demand from the automobile segment, battery major Industries recorded

a 28 per cent growth in turnover for the quarter ended December 2004. As the leader in the

original equipment market of the automobile battery segment, the company benefited from the

growth in the automobile production seen in the recent quarters.

The company also has a presence in the industrial battery market, which accounts for about 40

per cent of revenues. The enhanced activity levels in telecom and power sectors have resulted in

increased demand for industrial batteries as well. The profitability was under pressure owing to

spiraling input cost. The price of lead, the key raw material, rose by over 40 percent during the

period under consideration. Lead accounts for about 75 percent of the total cost of production
and raw material cost over 50 percent of revenues. Owing to a sharp spurt in lead price, the

operating profit margin dropped to 13 per cent from 19 per cent in the quarter ended December

2003. The competitive environment and the growing demand from the original equipment

market have limited the scope for revising battery prices to completely accommodate changes in

input cost. The soft interest rate regime and the low gearing have given the company savings in

interest cost. The company's performance depends on the trend in the price of lead.

Though sustaining volume growth would not be difficult, the fluctuation in. The cost of inputs

would be the key determinant of growth in bottom line. The increased automobile production in

the last couple of years would translate into enhanced demand from the lucrative replacement

market. The efforts to gain access to the rural market would also drive demand from the

replacement market. The implementation of the more stringent norms pertaining to recycling of

used batteries is another positive trigger. This is likely to dilute the presence of unorganized

sector players in the replacement market.

The company is also implementing capacity expansion projects. This, along with the location of

the unit from Aurangabad (Maharasthra) to Bawal (Haryana), would have long-term positive

implications. On the flip side, the recent decision to permit duty-free imports of sealed

maintenance free batteries could expose domestic players to the threat from cheaper imports.

Besides, the removal of anti-dumping duty on lead acid batteries could also affect the prospects

of domestic players.

The government had imposed an anti-dumping duty a few years ago on complaints from the

domestic companies about the dumping of cheaper imported batteries. Though has strong brand

equity and products positioned across various price points, it would remain vulnerable to the
threat from imports, especially in the replacement market segment. There would, however, be a

marginal impact in the original equipment market due to relaxed norms for imports.From an

investment perspective, shareholders can retain their holdings Fresh exposures may be

considered on evidence of softening of lead price or sustained buoyancy in automobile

production. The key risk is the prospective threat from cheaper imports.Besides, any further rise

in lead price would also have an impact on profitability.

Leaders in Power Storage Solutions:

Industries Limited, India's flagship of the storage battery industry- is also the largest Power

Storage Solutions company in South and South East Asia. It manufactures the widest range of

storage batteries in the world from 2.5Ah to 20,600Ah capacity, to cover the broadest spectrum

of applications. Capital Rs.712 Million. Turnover Rs. 12182 Million in 2003-04 ,Employees

Over 4000, Market Share 33% Market Share in overall domestic Auto Battery Market and90%

Market Share in Automotive OE. Industrial battery market share 50%.

Manufacturing Capacities:

Multi location hedge supply risks to customers - delivery confidence strategically located near

markets logistically efficient, considering 70% raw materials imported

Proximity to ports - cost efficiency in exports

Marketing Network

Offices -37

Care Centers -210

Power Centers -53

SLI -6890
The Company has the dominant share in the original equipment segment for automobiles. It

powers almost all the cars which have been introduced in India such as Honda City, Honda

Accord, Hyundai Santro, Hyundai Accent, Hyundai Sonata, Suzuki Baleno and Suzuki Wagon

R, Mitsubishi Lancer, Tata Indica, TataIndigo, Fiat Palio, Opel Corsa, Toyota Qualis, Mahindra

Scorpio and Mahindra Bolero. XAVY also has the dominant share in the organized sector

replacement segment for Automobile batteries.

The Industrial applications of XAVY batteries extend to Power, Telecom, Motive Power,

Mining, Railways, Emergency Lighting and Non-Conventional Energy Sources. The Company is

the largest manufacturer of cap lamp batteries in the world. It is also one of the five companies in

the world which has the capability to make submarine batteries for both Russian and German

types.

XAVY is the first battery company in the country to introduce polypropylene case batteries and

maintenance-free batteries. It is also the pioneer of several new technologies like flat-plate, and

tubular plate batteries. By virtue of being the largest Sealed Maintenance Free (SMF) batteries in

Asia outside Japan, the Company has earned the status of a global supplier to American Power

Conversion, the largest UPS manufacturer in the world. Besides, it also caters to other

multinationals operating within the country i.e. Siemens and Ericsson and other major players as

TVSE, HTL, Tata Liebert, Numeric and ITI. The Company has always believed in working

closely with the Government in developing and sustaining applications which are best suited to

the country’s national interest. It has tried to do its bit for the country by providing batteries

specially tailored for Boors guns, armored vehicles and tanks, wireless transmission, solar

applications in remote areas and devising anti-pollution masks among others. The country's first
battery powered electric boat, designed and developed by XAVY is an extension of its social

initiatives and it contributes towards building an eco-friendly and pollution free nation. was the

first to introduce batteries for electric vehicles, Traction batteries for electric wheelchairs, flat-

plate batteries for golf carts and batteries for automated guided vehicles. In an agrarian economy

such as India, the farm sector is one which cannot be ignored. Accordingly, Batteries avowed

objective was to cater to the tractor segment as a thrust area. Its major initiative, Project Kissan,

has made steady inroads into the rural regions, particularly those of the North and West. This has

helped to spread consciousness among the rural populace on the need to use eco-friendly and

technologically superior batteries. has made extensive use of Kissan Melas and Dhabas to

promote this scheme and has introduced "Jai Kissan" battery to cater to the replacement market

in this segment. In furthering its social commitment, XAVY has planned to adopt select villages

to improve social welfare.

1.3. COMPANY PROFILE

Xavy was started in the year 1947 by the name Associated Battery Makers (Eastern) Ltd

(ABMEL) at Shamnagar, West Bengal. ABMEL become a public limited company in the year

1960. After that the second factory setup in Chinchwad, pune. ABMEL was renamed as Chloride

India Ltd in the year 1972. In 1976 R&D centre was established at Kolkata. In 1981 third factory

was setup at Haldia, West Bengal. After that Chloride India Ltd was again renamed as Chloride

Industries Ltd. In 1995 Chloride Industries was renamed as Xavy Industries Limited. In 1997

fourth was setup at Hosur and Tamilnadu. For over 74 years, Xavy Industries Ltd has pioneered

battery technology in India. Formerly known as Chloride Industries Limited, the company was a

part of the chloride Group PLC UK. The leader in the packaged power technology. Xavy is

today India’s largest storage battery company with global affiliations and internationally reputed

brands having nine factories strategically located all over India.

VISION:

To win our customer, stakeholders and employees by transferring Quality into a

performance oriented business, which will secure market Leadership and profitable growth

through effective fulfillment of customer Needs.

World Class Manufacturing:

The industries has eight manufacturing plants producing world class products. Exide

factories are located strategically around the country to provide logistic support for its production

of over five million batteries per annum. Each of these factories is equipped with state-of-the-art
equipment sourced from the best battery making machinery manufacturers in the world. Exide,

due to its strong roots with the erstwhile Chloride group, has access to the best manufacturing

practices in the Acid Batteries. A technology tie-up with Shin-Kobe, Japan the makers of world-

class Hitachi VRLA batteries have given Exide the technological edge in maintenance free

batteries. Other strategic technology agreements with Furukawa, Japan and Oldham, U.K. have

given Exide the competitive edge in providing the most reliable solutions for packaged power.

Collaborations:

Shin-Kobe Electric Machinery Co. Ltd., Hitachi Group, Japan For Automotive and VRLA

Batteries The Furukawa Battery Co. Ltd., Japan For Automotive Batteries at Taloja.

PRODUCT PROFILE

TYPES OF XAVY INDUSTRIAL BATTERIES:

 PLANTE

 TUBULAR

 POWERSAFE

 LITE

 INVAKING 1500

 HSP CLASSIC
1.4.2 ADVANTAGES OF DIFFERENT KINDS OF PRODUCT:

The TUBULAR Battery has a very robust construction and can provide 1200 to 1500

cycles of charge and discharge before its capacity Degrades to 80% of its rated capacity and is fit

for replacement. · The TUBULAR Battery provides a life of around 10 to 12 in Power Stations if

maintained properly.

 In VRLA Battery there is no topping up with water required during lifetime.

 In VRLA Battery there is no acid fume while charging the battery.

 The VRLA Batteries are stackable and hence smaller floor area and smaller floor area

and smaller battery room.

 The VRLA Batteries has very good high discharge performance and hence smaller

capacity VRLA Battery can do the same job as a larger capacity tubular battery.

 The PLANTE Batteries require water topping up only once in three Years if the battery

room is not too hot. Even in higher ambience, once in two years topping up is quite

adequate.

 The PLANTE cells do not lose any capacity till the end of their life.

 Hence, unlike TUBULAR and VRLA Battery, 20% margin need not be added to the

required PLANTE Battery capacity. This further reduces the cost differential between

PLANTE and other batteries.

 The XAVY INVAKING 1500 has extra heavy duty plates as per exclusive XAVY

design ensuring durability, resistance to corrosion and inbuilt margins for high ambient

temperature and vibrations.

 In XAVY POWERSAFE Battery, no topping up is required and it is maintenance free.

  In XAVY POWERSAFE battery it enhanced performance that is it is Computer aided

grid design for high power density, excellent deep discharge recovery, and better thermal

management in the module and it is resistance to thermal runaway.

RANGE OF EXPRESS BATTERIES:

 These batteries are strong durable polypropylene containers with heat shield leads.

 The plates in these batteries are manufactured to an exclusive design using special grid

Alloys to give durability and resistance to corrosion.

 The special low resistance flat separators bounded on to non-degradable glass wool

retainer mats prevent plate shedding and ensure enhanced charge –discharge life Cycle.

INTIAL CHARGING DESCRIPTION:

Apply petroleum jelly on the terminal cable clamps. Remove the filling plugs loosely place

them in position. Ensure positive and negative terminals of the battery are connected properly to

the Corresponding charger terminals to avoid reverse charging. Continue charging at this rate

approximately for 8-12 hours till the cells are gassing freely and the voltage remains same for

three hourly consecutive readings at the top of charge terminal voltage of 16.2 volts for 12v

battery. Adjust the obtained specific gravity to the recommended final specific gravity by

replacing requisite quantity of electrolyte with distilled water in case they obtained Specific

gravity is higher. Dilute sulphuric acid of 1.400 specific gravity in case of the obtained specific

gravity is lower.Confirm specific gravity and levels of all cells are identical as per requirements.

Tighten filling plugs, wash the top of the battery with tap water and apply petroleum jelly on the

terminal cable clamps before installing the battery of the vehicle.

SPECIFIC GRAVITY:

Initial filling –1.230+- 0.005 .

Gravity is fully charged condition (270 c)-1.230-1.240.Charge

duration 8-12 hours.

CAUTION:

 While charging more than one battery, make sure that identical type batteries are

charged and they are connected in series keep the charger off before connecting or

disconnecting a charger load.

 While charging if Electrolyte temperature exceeds 50deg centigrade stop charging and

allow battery to cool.

 While charging is in progress, always keep the filling plugs in loose condition so that

gases escape freely. Batteries expel explosive gases, keep naked flame away.
1.4 RESEARCH METHODOLOGY

Research methodology is a way to systematically solve the research problem. It refers to the

methodology refers to the methodology, techniques that are used for the activities involved in

performing the research operations such as making observation, recording data etc.

(a) Type of Research:

This study is based on Descriptive Research which includes surveys and findings of different

kind .This research aims at answering the ‘What’ and ‘Why’ of the current state of some system.

It provides an accurate description for something that is occurring. Description & explanation are

its two main aims.

(b) Data Collection Method:

Primary data. Because this was more suitable according to survey & sample size.

(c) Primary Data Collection Method:

The primary data can be obtained either through observation or through direct communication

with respondents in one form or another or through personal interviews. The data collection

Method used for research is Survey method.

(d) Primary Data Collection Technique:

The data collection technique used is Questionnaire. A questionnaire is framed and then data is

collected by making it fill by the respondents. The questions are in the form of open ended as

well as close ended.

(e) Universe of the Study:

Owners of cars in Asansol and Durgapur.

(f) Sample Unit:

Dealers and Stockiest of Xavy Batteries in Coimbatore.

(g) Sampling Technique:

Sampling is done according to my own convenience and so the sampling techniques used in this

project is Convenience sampling.

(h) Sample Size:

120People.

(i) Analytical Tools

Graphs (Bar diagram, pie charts, etc.)

OBJETIVE OF STUDY
1. To find out the factors that influences the purchase decision of consumers.

2. To identify need of new innovations of the company towards sales promotion.

3. To know about the different strategies for sales promotion.

4. To suggest to be strengthened after sales services of Hind Cosmetic.

5. To provide suggestions and recommendations for further improvements

SCOPE OF STUDY

The function of marketing is to ensure that the right product is made available at

the right place, in the right quality, at the right price, at the right time and under the right

impressions to the consumer. All these righteousness is made possible by performing the

sales function. Thus, sales function is the pivotal factor in any organization. It is even

capable of deciding the very existence of an organization. The various promotional

mix elements are designed for achieving better sales. Advertising is a necessisity with a

view to maximization of the return on the money invested. The probability of securing the

optimum effectiveness is greater when advertising is adequately planned, executed and

constantly evaluated in terms of carefully crystallized objectives. Thus, advertising offers a reason

to buy while; sales promotion offers an incentive to buy.

LIMITATIONS OF STUDY
 The project was constrained by the time limit.

 Respondent are not used to such surveys and hesitate in telling opinion frankly.

 Some people didn't have enough time to fill up the questionnaire.

 Mindset of people may vary depending upon their age, gender, income etc.

 Respondents were very busy in their schedule. So it was very time consuming for them to

answer all the questions properly.

 The sample size of the respondents is very small.

 The researcher is inexperienced.

 Biasness or prejudice of some of the respondents regarding any sort of the

information which is required for such study.

 LITERATURE REVIEW

Williams, Spiro and Fine (1990) noted that very few researchers have explored the

customer-salesperson interaction from a communication perspective. They proposed a model that

focused on communication as the primary element of this interaction. They found that, although

many authors stressed the importance of "verbal and non-verbal code (Marks, 1981; Jackson et.

al. 1988) such as message order, patterns of argument, use of evidence, visual contact, etc. in

personal selling, most of the research had concentrated on non-sales interactions. The customer

retention function required that sales skills be combined with service skills associated with

quality and customer loyalty. This researcher identified areas in which these two skill sets

overlapped, to determine which (if any) behaviors on the part of the representatives might alter a

customer's decision to take some or all of their business to another supplier.

Rackham, et. al. (1971) studied whether some individuals interact more successfully than

others because they are more skilled -- "they either do certain things that others do not, or they

do them better." While admitting that personality and aptitude factors account for some

differences, they found that interpersonal skills, which they classified as "interactive

behaviours," could be influenced more readily. (The spelling of the term reflects the British

origin of Rackham and his associates.) They defined an interactive behaviour as "one which

involves two or more people in such a way that the behaviour of one person may influence the

behaviour of others." This definition also describes the desired individuals who are expected to

influence the behavior of customers in favor of retaining their accounts.

 Rackham, et. al. (1971) developed a method of data collection and analysis for measuring

interactive behaviors. Trained observers have used this method for training needs analysis,

process consultation, course design and on-the-job feedback. The behavior analysis breaks an

individual's contribution to a discussion into discrete bits of observable behavior. Rackham et. al.

(1971) found that successful individuals tended to use a quantifiably higher proportion of certain

behaviors in specific interactive situations than did their less successful counterparts.

The methods developed by Rackham, et. al. (1971) were used by Motorola Training and

Education Center in studies of the interactive behaviors used in interpersonal discussions, sales

negotiations, presentations and meetings. Working with members of Rackham's organization,

Huthwaite, Inc., researchers trained in these methods (including this author) correlated the

behaviors demonstrated by individual performers with the outcomes of their interactions. In each

type of interaction, the researchers found that the most successful performers used significantly

more of some behaviors and significantly less of others than did either average or below average

performers.

These behaviors varied, depending on the type of interaction. However, successful

performers in two-way interactions consistently demonstrated a substantially higher use of three

behaviors: seeking information, supporting the ideas or feelings expressed by others, and testing

understanding. Conversely, the less successful performers provided a higher proportion of

information (facts, reasons and opinions) than those whose two-way interactions were more

successful.

Farber and Wycoff (1992) interviewed top sales performers at more than 50 companies.

These individuals emphasized the importance of establishing and maintaining rapport with
customers. The Motorola research identified this skill with two interactive behaviors:

"Supporting" and "Testing Understanding." Supporting was defined as acknowledging or

expressing empathy toward the feelings, ideas or positions of the other party. Masser and Leeds

(1984) also stressed the importance of this behavior in telephone sales.

Testing (or Checking) Understanding was defined as paraphrasing or restating what the

other party had said or the implications of those statements. Masser and Leeds (1984) also

recommended this behavior, which they categorized as hearing, interpreting and evaluating, to

distill an accurate interpretation of the customer's meaning in telephone sales. The Motorola

research linked both Supporting and Checking Understanding to "active listening," which was

prominent among Bitran and Hoech's (1990) list of the process skills required of service

providers.

Many authors (Reichheld and Sasser, 1990; Rackham, 1988; Farber and Wycoff, 1992;

Masser and Leeds, 1984; Bitran and Hoech, 1990; Boyan and Enright, 1992) have linked the

ability to ask probing questions with success in sales. Reichheld and Sasser (1990) stressed the

value of "defection analysis" to determine and correct the root cause of defections, mentioning

the value of skillful probing (questioning) in identifying the reasons why customers cancel, and

using that information as an "early warning signal" for improvement.

Bitran and Hoech's (1990) task categories of diagnosing problems and gathering

information implied the need for questioning skills among high-communication service

providers. The fact that questioning skills are identified with success in each of the roles played

by individuals seeking to retain customers (retention, sales and service), indicated that such skills

might also be linked to their success.

 Farber and Wycoff (1992) advocated asking questions to develop a "natural flow, which

in turn will lead to a natural solution." Masser and Leeds (1984) emphasized the importance of

"qualifying skill," which they defined as: (1) spontaneously creating probing "subset" questions

and truly responding to the customer's situation; (2) the ability to use listening skills to ensure

that customer's comments are understood and interpreted correctly; and (3) smooth and logical

connection of steps in the conversational process.

In studying the "interactive behaviours" of sales people, Rackham (1988) found that a

category of behavior, which he classified as "Benefits," was significantly higher in calls that

resulted in orders. He defined a Benefit as a statement that explains how the sales person's

company or product can meet an explicit need that the customer has expressed. He also identified

a related behavior as being correlated to success in smaller sales. This second behavior, which

Rackham (1988) referred to as "Advantages," shows how a product or service can be used or can

help a customer.

The difference between Advantages and Benefits was that a Benefit must meet an explicit need

expressed by the customer. At a study conducted at Motorola Canada, Rackham (1988) found

that sales people who used Benefits rather than Advantages increased their dollar volume of sales

by 27 percent.

Rackham's (1988) research also revealed that a common category of sales behavior

known as "Features" (presenting facts or characteristics of a product or service) were

unpersuasive. This finding may be related to the Motorola research which found that the more

facts, reasons and opinions an individual provides in a two-way interaction, the less likely that

individual was to obtain a successful outcome.

 Many authors (Boyan and Enright, 1992; Shafiroff and Shook, 1990; Masser and Leeds,

1984) have described a complex process of overcoming objections and closing as the most

important part of the sales interaction. Rackham (1988) found that individuals who received very

high numbers of objections used a higher than average number of Advantages in their calls.

Conversely, skilled people received up to ten times fewer objections per selling hour, by

preventing rather than handling objections, by questions to develop explicit needs, and then

offering Benefits, rather than Features or Advantages. He also found that the more closing

behaviors a salesperson used, the less likely he or she was to complete the sale.

Farber and Wycoff's (1992) interviews with top sales performers at more than 50

companies also revealed that overcoming objections and closing were perceived as less

significant than other behaviors. Like Rackham (1988), Farber and Wycoff (1992) stressed the

importance of matching the solution to the customer's needs.

According to Robert A. Peterson and William R. Wilson, Self-reports of sales

promotion invariably possess distributions that are negatively skewed and exhibit a positivity

bias. Examination of the customer satisfaction literature and empirical investigations reveal that

measurements of customer satisfaction exhibit tendencies of confounding and methodological

contamination and appear to reflect numerous artifacts. Implications and suggestions for research

and practice are discussed.

 According to Carol Suprenant, investigate whether it is necessary to include

disconfirmation as an intervening variable affecting satisfaction as is commonly argued, or

whether the effect of disconfirmation is adequately captured by expectation and perceived

performance. Further, they model the process for two types of products, a durable and a

nondurable good, using experimental procedures in which three levels of expectations and three

levels of performance are manipulated for each product in a factorial design.

According to Gordon H.G.McDougall, investigated the relationship between three

elements – core service quality, relational service quality- and perceived value – and customer

satisfaction and future intentions across four services. The results revealed that core service

quality (the promise) and perceived value were the most important drivers of customer

satisfaction with relational service quality (the delivery) a significant but less important driver. A

direct link between customer satisfaction and future intentions was established. The relative

importance of the three drivers of satisfaction varied among services. Specifically, the

importance of core service quality and perceived value was reversed depending on the service. A

major conclusion was that both perceived value and service quality dimensions should be

incorporated into customer satisfaction models to provide a more complete picture of the drivers

of satisfaction.

According to Ellen Garbarino & Mark S Johnson Several theories of relationship

marketing propose that customers vary in their relationships with a firm on a continuum from

transactional to highly relational bonds. Few empirical studies have segmented the customer base

of an organization into low and high relational groups to assess how evaluations vary for these
groups. For the high relational customers (consistent subscribers), trust and commitment, rather

than satisfaction, are the mediators between component attitudes and future intentions.

According to J.Joseph Cronin & Steven J Taylor investigate the conceptualization

and measurement of service quality and the relationships between service quality, consumer

satisfaction, and purchase intentions. A literature review suggests that the current

operationalization of service quality confounds satisfaction and attitude. Hence, the authors test

(1) an alternative method of operationalizing perceived service quality and (2) the significance of

the relationships between service quality, consumer satisfaction, and purchase intentions. The

results suggest that (1) a performance-based measure of service quality may be an improved

means of measuring the service quality construct, (2) service quality is an antecedent of

consumer satisfaction, (3) consumer satisfaction has a significant effect on purchase intentions,

and (4) service quality has less effect on purchase intentions than does consumer satisfaction.

Implications for managers and future research are discussed.

 ANALYSIS & INTERPRETATION

Annual Income

TABLE.1

Category Frequency Percent

1lak to 50lak 0 0

50lak to 1Cr 10 5

1Cr to 2Cr 114 57

2Cr and above 76 38

Total 200 100

Inference

From the chart we can find that 57% of the respondents earning a turnover of 1Cr to 2Cr, 38% of

the respondents earning 2Cr and above, 5% of the respondents earning 50lak to 1Cr.

Finding

We can find that respondents are earning more that 1Cr per year.
Annual Income

CHART.3

120 114 Frequency

100 Percent

80 76

60 57

38
40

20
10
5
0
50lak to 1Cr 1Cr to 2Cr 2Cr and above
.Which has urged you to buy from Xavy

TABLE.2

Category Frequency Percent

Ambiance 38 19

Display 37 19

Presentation 38 19

Price 87 43

Total 200 100

Inference

From the table we can find that 435 of the respondents said that price has influenced more to buy

from Xavy, 19% each told Ambience, Display, and Presentation.

Finding

We can conclude that ambience, display, presentation and price all the factors has influenced

customers buy from Xavy.

Which has urged you to buy from Xavy

 CHART.2

100

90 87

80

70

60

50 Frequency
43
38 38 Percent
40 37

30
19 19 19
20

10

0
Ambiance Display Presentation Price

The process of resolving the customer’s queries and orders

 TABLE.3

Category Frequency Percent

Superior 34 17

Very satisfactory 104 52

Above average 30 15

Somewhat unsatisfied 32 16

Poor 0 0

Total 200 100

Inference

From the above table we can find that 52% of the respondents are very satisfied with the way

that their concerns were resolved.17% told said superior,15% told above average,16% somewhat

satisfied.

Finding

From the study we can find that customers are satisfied with the process of resolving their

concerns.
The process of resolving the customer’s queries and orders

CHART.3

Frequency
120

104 Percent

100

80

60
52

40 34
30 32

20 17 15 16

0 0
0
Superior Very Above average Somewhat Poor
satisfactory unsatisfied

How many products do you buy from Xavy?

 TABLE.4

Category Frequency Percent

Only one product 49 25

Two products 50 25

Three products 51 25

More than three 50 25

Total 200 100

Inference

From the table we can find that 25% of the respondents said that they buy only one product, 25%

each said two products, three products, more than three products.

Finding

We can find that 25% of the respondents said that they buy only one product, 25% each said two

products, three products, more than three products and customer is of different category.
How many products do you buy from Xavy?

CHART.4

Frequency Percent
60

50 51 50
49
50

40

30
25 25 25 25

20

10

0
Only one product Two products Three products More than three

How many customers are there for the products which you from Xavy?
 TABLE.5

Category Frequency Percent

>5 49 25

5-10 51 25

10-25 51 25

25 & Above 49 25

Total 200 100

Inference

From the table we can find that 25% of the respondents said that they are having 1-5 customers

for Xavy products, 25% each having customer of 5-10, 10-25 and 25 & above.

Finding

Dealers are having more than 5 customers to 25 customers for Xavy products

How many customers are there for the products which you from Xavy?
 CHART.5

60

51 51
49 49
50

40

30 Frequency
25 25 25 25 Percent

20

10

0
>5 5 to 10 10 to 25 25 & Above

How would you rate the manufacturer ( Xavy), for pricing / range/ display / Ambience

TABLE.6

Category Frequency Percent

 Excellent 90 45

Average 96 48

Poor 14 7

Very poor 0 0

200 100

Inference

From the table we can find that 48% of the respondents rated Xavy as average, 45% of the

respondents rated Excellent, 7% of the respondents said poor.

Finding

From the study we can find that Xavy has performed reasonably well in pricing, range,

ambience and display. Even though there are few dealers who are not satisfied with Xavy’s

characteristic which definitely result in sales of its product. So the company should concentrate

on those few dealers to satisfy the maximum.

How would you rate the manufacturer ( Xavy), for pricing / range/ display / Ambience

CHART.6
 120

100 96
90

80

Frequency
60
45 48 Percent

40

20 14
7
0 0
0
Excellent Average Poor Very poor

Is the sales team providing you with the adequate information of all the products?

TABLE.7
 Category Frequency Percent

Yes they are excellent 96 48

To an extent 94 47

No they don’t 10 5

Total 200 100

Inference

From the table we can find that 48% of the respondents told that the sales team of Xavy TVS

providing the excellent service, 47% of the respondents told to an extent only, 5% told sales team

of Xavy not providing them the adequate information.

Finding

From the study we can find that the seals team of Xavy TVS providing adequate services to the

dealers. This ultimately results in addition of sales to Xavy TVS. We can say that sales

performance of Xavy is reasonably good.

Is the sales team providing you with the adequate information of all the products?

CHART.7
 120
Frequency

100 96 94
Percent

80

60
48 47

40

20
10
5
0
Yes they are excellent To an extent No they don’t

The process of getting the sales orders solved from sales department
 TABLE.8

Category Frequency Percent

Superior 62 31

Very Satisfactory 62 31

Above Average 58 29

Somewhat unsatisfactory 18 9

Very Poor 0 0

Total 200 100

Inference

From the table we can find that 31% each said that their satisfaction towards the sales orders

process is superior, and Very satisfactory, 29% of the respondents told above average, 9% told

somewhat unsatisfactory.

Finding

From the study we can find that Xavy TVS processing the sales orders in a formal way and very

quick. So the customers are satisfied with the processing of solving eh sales orders. We can say

that Xavy’s sales team performance is good which simultaneously results in increment in

demand.
The process of getting the sales orders solved from sales department

CHART.8

70
62 62
60 58

50

40
31 31 Frequency
29
30 Percent

20 18

9
10

0 0
0
Superior Very Above Somewhat Very Poor
Satisfactory Average unsatisfactory
Approximately how many times did you purchase products in the past year?

TABLE.9

Category Frequency Percent

Less than two times 64 32

1-5 times 64 32

1-7 times 62 31

More than 10 times 10 5

Total 200 100

Inference

From the table we can find that 32% of the respondents purchased Xavy products 1-2 times in

the past year, 32% again purchased 1-5 times,31% purchased 1-7times , 5% purchased more

than 10 times from Xavy.

Finding

We can conclude the sales performance of Xavy is good because the customers are very loyal to

them. Major part of the dealers purchased Xavy products more than five times in the recent past.

Due the satisfaction towards the Xavy products only they are buying more than 5 Times. In

future it will definitely increases the sales if the Xavy keep up the same phase or increases the

satisfaction level.
Approximately how many times did you purchase products in the past year?

CHART.9

70
64 64
62
60

50

40
32 32 31 Frequency
30
Percent

20

10
10
5

0
Less than two 1-5 times 1-7 times More than 10
times times
How long have been the customer to Xavy?

TABLE.10

Category Frequency Percent

0-5 Years 70 35

5-10 Years 72 36

10-25 Years 42 21

25 & Above 16 8

Total 200 100

Inference

36% of the respondents said they are loyal to Xavy for 5-10 years, 35% told 0-5 Years, 21% are

loyal for 10-25 Years, and 8% are loyal for more than 25 years.

Finding

We can find that major part of the dealers is loyal to Xavy TVS.
How long have been the customer to Xavy?

CHAR.10

80
72
70
70

60

50
42
40 36 Frequency
35
Percent
30
21
20 16

10 8

0
0-5 Years 5-10 Years 10-25 Years 25 & Above
Compared to the other manufacturers in the industry, how would you rate Xavy?

Table.11

Category Frequency Percent

Much better 68 34

Somewhat better 56 28

About the same 62 31

Somewhat worse 14 7

Much worse 0 0

Total 200 100

Inference
34% of the respondents said that the performance of Xavy id much better compared to the

competitor, 28% of the respondents said that somewhat better, 31% told equal, 7% told

somewhat worse.

Finding

We can find that Xavy is performing very good compared to the competitors. Only 7% said in

few places Xavy performance is little worse. The company needs to rectify this area.

Compared to the other manufacturers in the industry, how would you rate Xavy?

CHART.11
 80

70 68
62
60 56

50

40 Frequency
34
31 Percent
30 28

20
14

10 7

0 0
0
Much better Somewhat About the Somewhat Much worse
better same worse

All the queries regarding the product resolved to your complete satisfaction all the time?
 TABLE.12

Category Frequency Percent

Yes 104 52

To an extent 84 42

No 12 6

Total 200 100

Inference

From the table we can find that 52% of the respondents said that their queries were solved all the

time to their complete satisfaction, 42% told to an extent only, 6% told they are not satisfied.

Finding

From the study we can find that major part of the respondents is satisfied with the way their

queries were resolved.

All the queries regarding the product resolved to your complete satisfaction all the time?
 CHART.12

120

104
100

84
80

60 Frequency
52
Percent
42
40

20
12
6

0
Yes To an extent No

Do you agree with the following statement

“The customer service representatives of Xavy TVS are very courteous”

 TABLE.13

Category Frequency Percent

Strongly agree 60 30

Somewhat agree 62 31

Neutral 60 30

Somewhat disagree 18 9

Strongly Disagree 0 0

Total 200 100

Inference

From the table we can find that 31% of the respondents somewhat agree that the customer

service representative are very courteous, 30% each strongly agree and neutral, 9% only

disagree.

Finding

91% of the respondents agree that the customer service representatives are very polite, only 9%

somewhat disagreed.

Do you agree with the following statement

“The customer service representatives of Xavy TVS are very courteous”

CHART.13
 70

62
60 60
60

50

40

30 31 30 Frequency
30 Percent

20 18

9
10

0 0
0
Strongly agree Somewhat Neutral Somewhat Strongly
agree disagree Disagree

Which of the qualities of customer service representative stood out

TABLE.14

Category Frequency Percent

Patience 41 20

Enthusiastic 39 20

Listened Carefully 40 20
 Friendly 41 20

Responsive 39 20

Total 200 100

45
41 40 41
39 39
40

35

30

25
20 20 20 20 20 Frequency
20
Percent
15

10

0
Patience Enthusiastic Listened Friendly Responsive
Carefully

Inference

From the study we can find that all the qualities of customer service representative are equally

considered by the respondents

Q.16.Do you agree with the following statement “The customer service representatives of

Xavy TVS are very Knowledgeable”

Table.15

Category Frequency Percent

Strongly Agree 5 2

Somewhat agree 98 49

Neutral 99 49

Somewhat disagree 0 0

Strongly disagree 0 0

Total 200 100

Inference

From the table we can find that 49% each somewhat agree and neutral the statement says the

customer service representatives of Xavy TVS are very Knowledgeable, 2% strongly agree.

Finding

From the study we can find that all the dealers are satisfied with the knowledge of customer

service representative. If the customer service representatives are knowledgeable they can bring

in more clients in the business, which results in hike sales performance.

Do you agree with the following statement “The customer service representatives of Xavy

TVS are very Knowledgeable”

CHART.15

120

100

80

60 Frequency
Percent
40

20

0
Strongly Somewhat Neutral Somewhat Strongly
Agree agree disagree disagree
Rate your experience with the manufacturer

TABLE.16

Category Frequency Percent

Excellent 63 31

Good 61 31

Average 62 31

Poor 14 7

Very poor 0 0

Total 200 100

Finding

We can find that 93% of the respondents said that their experience with Xavy is good, only 7%

told they are not satisfied. Company should concentrate on the non satisfied customers and

should make them as satisfied customer.

Q.17. Rate your experience with the manufacturer

CHART.16

70
63 62 Frequency
61
60
Percent

50

40

31 31 31
30

20
14

10 7

0 0
0
Excellent Good Average Poor Very poor
 Do you find the required quantity of the product

Table.17

Category Frequency Percent

Yes 99 50

To an extent 101 50

No 0 0

Total 200 100

Inference

From the table we can find that 50% of the respondents said they find the product all the time,

50% of the respondents said only to an extent.

Finding

Customers could find all the products they are searching for in Xavy. Which means that the all

the demand of customers are fulfilled to an extent.

Do you find the required quantity of the product

CHART.17
 120

99 101
100

80

60 Frequency
50 50
Percent
40

20

0 0
0
Yes To an extent No

Which of the following is the strength of Xavy Products?

Table.18

Category Frequency Percent

Feature 56 28

Quality 54 27

Price 44 22
 Brand Name 46 23

Total 200 100

Inference

From the table we can find that 28% of the respondents said Feature of the product is the strength

of Xavy, 27% of the respondents said Quality is the strength, 22% of the respondents said price,

23% told Brand name.

Finding

From the study we can find that all the characteristics of Xavy like Feature, Quality, Price,

Brand name has got equal contribution to the Xavy’s over all strength.

QUESTIONNAIRE

1. Age
a. 25-30
b. 30-40
c. 40-50
d. 50 & Above
2. Gender
a. Male
 b. Female

3. Income bracket (Annual)

a. 1 lk to 2 lk

b. 2 lk to 3 lk

c. 3 lk to 4 lk

d. 4 lk and above

4. Educational Qualification:

a. Non-graduate

b. Graduate

c. Post-graduate

5. Marital status:

a. Married

b. Unmarried

c. Divorced

6. What are the Companies you are dealing?

a. Xavy

b. Amco

c. Amararaja

d. Panasonic

e. Prestolite

f. All
7. How is the response from Consumers fro the Batteries?

a. Good

b. Poor

8. What is the Consumers opinion about price?

a. Low

b. Moderate

c. High

9. Which Brand do Customer Prefer more?

a. Xavy

b. Amararaja

c. Amco

d. Panasonic

e. Prestolite

f. Others

g. Depends upon the vehicle

10. What are the attributes, which Customer prefer (based on your experience)?

a. Brand name

b. Product Quality

c. Price

d. Maintenance

11. If a Customer does not mention any brand, which brand do you suggest normally?
 a. Xavy

b. Amco

c. Amararaja

d. Panasonic

e. Prestolite

f. others

g. Depends upon the customer vehicle

12. What it is the reason for the preference?

a. Brand Name

b. Quality

c. Price

d. Margin

e. Maintenance

f. Service

13. How does the Manufacturer help in selling the product?

a. Sending sales representative

b. Giving Training

14. Where do you buy the Batteries?

a. Manufacturer

b. Distributor

15. How the Manufacturer/Distributor gets the order from you?

a. Sales

b. Representative
 c. Phone

16. What is the Duration of Ordering the Product?

a. Monthly

b. Weekly

c. Demand wise

17. What is the Credit Period given by the Manufacturer/Distributor?

a. < one-month

b. > one-month

c. Cash on Delivery

18. Are you satisfied with the Manufacturer during Delivery Process?

a. Satisfy

b. Not Satisfy

19. Which type of battery which you normally Sell?

a. Automotive

b. Industrial

20. Rank the brands according to Brand Name, Product Quality, Price andService?

BRAND PRODUCT PRICE SERVICE

COMPANY
NAME QUALITY
XAVY

AMARARAJA

AMCO

PRESTOLITE

PANASONIC

21. Which Sales Promotional Activity do you suggest?

a. Discount

b. Coupon

c. Advertisement

d. Gifts

22. Which Media do you prefer for the Advertisement?

a. Television

b. Newspaper

c. Magazine

d. Radio

e. Poster

23. What is the Turnover Per month?

a. < 50,000

b. 50,000 – 1,00,000

c. 1 – 5 lakhs

d. 5 lakhs
24. Are you satisfied with the Turnover?

a. Satisfy

b. Non Satisfy

25. Give me you Suggestions and Recommendations to Xavy Industries Ltd?