Recommendations based on Factor and Regression Analysis

Factor analysis

• We have grouped factors based on the the communalities and factor loading values
in the rotated component matrix

• We have named the factors based on the variables grouped together in the
corresponding factor

Regression Analysis for Satisfaction

Significant Factors: Assurance , Add on Services , and Value For Money

Regression Analysis for Recommendation

Significant Factors: Assurance , Add on Services , and Service Responsiveness

 Assurance: The service provider should concentrate on “Delivery” and “Ease of

Access” to improve this factor. Since on-time delivery is a basic service provided
by all courier services, what becomes important that the service provider
communicate this promise to its customers and ensure that in case of service
failure in terms of late delivery, response should be quick and satisfactory. “Ease
of Access” becomes important for a customer in case of large couriers to be sent.
This can be improved by providing ramps outside its service centers, selecting the
location near the road with ample parking or selecting a building with dedicated
parking lot for its customers.

 Add-on services: This factor includes “Online presence”, “Tracking option”, and
“Redelivery”. The service provider can include tracking options, delivery rates
for various cities, and complaint/feedback option on its website. This will help
the provider understand its customers better and provide easy access to its
customers who wish to track their courier. “Redelivery” only comes into picture
in case of service failure. The customer should be immediately notified of a failed
delivery, its reason and asked what the customer wants the provider to do with the
courier. This will help the service provider understand whether the delivery failed
from customer’s side or due to delivery person’s mistake.
 Value for Money: This factor includes Value of the product and pricing. The
service provider should set courier charges competitively priced with other
courier service providers.

 Service Responsiveness: “Speed of delivery” and “Flexibility” are important

factors when it comes to recommending a service provider to others. The service
provider should continuously improve its speed of delivery by investing in better
operations and package transfer process. If speed of delivery is found to be better
than its competitors, this point of difference should be highlighted to customers.
“Flexibility” can be improved by asking the customers to provide an alternate
delivery address nearby the primary delivery address. They can also be asked to
provide name of the persons who could receive the courier in case of absence of
primary receivers and their contact information. They can also ask for a time
range during which the recipient will be available. Recipient’s availability can
also be gauged if delivery address is a private office, government office or a
house. They should also provide the address of nearest branch where the recipient
can collect the courier if he/she wishes to.