Royal Enfield

Klasik Motors, Hubli
TITLE OF THE PROJECT
“ A study on customer perception towards ROYAL ENFIELD bikes at Klasik Motors Hubli”
OBJECTIVE OF THE STUDY
1. To understand the customer perception towards performance of ROYAL ENFIELD.

2. To know the factors influencing the customers to prefer ROYAL ENFIELD.
3. To measure the expectations of customers.
4. To understand overall performance of Royal Enfield.
SCOPE OF THE STUDY
The study includes customer’s response and perception towards the brand, products and
services of ROYAL ENFIELD. The results are limited by the sample size 100 numbers
and therefore the opinion of only selected customers is taken into consideration. Mainly
this study is conducted in Hubli city and the scope in limited to the city only.
The study:
To study and analyze the customer perception towards ROYAL ENFIELD BIKES.
The company:
To analyze the problem area and take the required steps to overcome the
problem.
Limitations of the study:

 Limited time for the study i.e 30 days.
 The study is only limits to the population of HUBALLI city.
 The personal bias of the customer may affect research.
Industry profile:
KLE College of Business Administration, Hubballi Page 1

Royal Enfield Ltd. is the largest exporter of two wheelers’ with Eicher motors at
Redditch industries of : Royal Enfield manufactures state-of the art range of two
wheelers. The brand, classic 350cc is continually dominating the Indian motorcycle
market in the premium segment. Its thunderbird also a successful bike on Indian
roads.
The Royal Enfield Group is amongst the top 10 business houses in Indian. Stretches
over a wide range of industries, spanning automobiles (two-wheelers), bike
accessories, wallets, and clothing, travel bags. The group’s flagship company, Royal
Enfield’ is ranked as the world’s largest two-wheeler manufacturer and having the
continuous production the Royal Enfield brand is well-known across several counties
in Latin American, Africa’ middle east, south and south east Asia. Founded in 1901’
at the height of India’s movement for independent from the British, the group has an
illustrious history. The integrity, dedication resourcefulness and determination to
succeed which are characteristic of the group today, are often traced back to its birth
during those days of relentless devotion to a common cause’, founder Albert Eadie
and Robert Walker Smith of the group, was a close confidant and disciple towards the
company.
ROYAL ENFIELD was a brand name under which the Enfield Cycle company
limited of Redditch, Worcestershire sold motorcycle, bicycles, lawnmowers and
stationary engines which they had manufactured. Enfield Cycles Company also used
the brand name Enfield without Royal.
INDUSTRY: motorcycles, bicycles, lawnmowers, cars
FOUNDER: Albert Eadie and Robert Walker Smith
PRODUCTS: Royal Enfield Clipper, Crusader, Bullet, Interceptor,WD/RD, Super

meteor
HEADQUARTERS: Redditch, United Kingdom, England

In the 1953 SUNDARAM IYER brought Royal Enfield in the India. The Eicher Motors
purchased the Royal Enfield. And in the 1995, the Rrdditchcompany partnered with madras
motors in India to form “Enfield India” to assemble under license, the 350cc Royal Enfield
Bullet motorcycle in madras.
1891 R.W. Smith and Albert Eadie take over the Townsend cycle company in Redditch, UK.
Soon after, they start supplying precision machine parts to the Royal Enfield small arms
factory in Enfield, Middlesex. Their undertaking is renamed the Enfield Manufacturing
company limited. THE OLDERST MOTORCYCLE BRAND….IN COUNTINOUS
PRODUCTION 1893 Enfield Manufacturing ltd. becomes Royal Enfield- ‘Royal’ being
taken from the Royal small arms Company. The trademark ‘Made like a gun’ is introduced.
1898 R.W. Smith designs a proprietary 1 ½ HP De Dion engine. 1900 Royal Enfield enters
motorsport when one of its quadricycles enters a 1000 mile trial. The event does much to
persuade the British public about the viability of motorized transport.
Evolution of Two-wheeler Industry in India
Two-wheeler segment is one of the most important components of the automobile sector
that has undergone significant changes due to shift in policy environment. The two-wheeler
industry has been in existence in the country since 1955. It consists of three segments viz.
scooters, motorcycles and mopeds. According to the figures published by SIAM, the share of
two-wheelers in automobile sector in terms of units sold was about 80 per cent during 2003-¬04.
This high figure itself is suggestive of the importance of the sector. In the initial years, entry of
firms, capacity expansion, choice of products including capacity mix and technology, all critical
areas of functioning of an industry, were effectively controlled by the State machinery. The
lapses in the system had invited fresh policy options that came into being in late sixties. Amongst
these policies, Monopolies and Restrictive Trade Practices (MRTP) and Foreign Exchange
Regulation Act (FERA) were aimed at regulating monopoly and foreign investment respectively.

This controlling mechanism over the industry resulted in: (a) several firms operating
below minimum scale of efficiency; (b) under-utilization of capacity; and (c) usage of outdated
technology. Recognition of the damaging effects of licensing and fettering policies led to
initiation of reforms, which ultimately took a more prominent shape with the introduction of the
New Economic Policy (NEP) in 1985. However, the major set of reforms was launched in the
year 1991 in response to the major macroeconomic crisis faced by the economy. The industrial
policies shifted from a regime of regulation and tight control to a more liberalized and
competitive era. Two major results of policy changes during these years in two-wheeler industry
were that the, weaker players died out giving way to the new entrants and superior products and
a sizeable increase in number of brands entered the market that compelled the firms to compete
on the basis of product attributes. Finally, the two-wheeler industry in the country has been able
to witness a proliferation of brands with introduction of new technology as well as increase in
number of players. However, with various policy measures undertaken in order to increase the
competition, though the degree of concentration has been lessened over time, deregulation of the
industry has not really resulted in higher level of competition.
A Growth Perspective The composition of the two-wheeler industry has witnessed sea
changes in the post-reform period. In 1991, the share of scooters was about 50 per cent of the
total 2-wheeler demand in the Indian market. Motorcycle and moped had been experiencing
almost equal level of shares in the total number of two-wheelers. In 2003-04, the share of
motorcycles increased to 78 per cent of the total two-wheelers while the shares of scooters and
mopeds declined to the level of 16 and 6 per cent respectively. A clear picture of the motorcycle
segment's gaining importance during this period is exhibited by the Figures 1, 2 and 3 depicting
total sales, share and annual growth during the period 1993-94 through 2003- 04. National
Council of Applied Economic Research (NCAER) had forecast two-wheeler demand during the
period 2002¬-03 through 2011-12. The forecasts had been made using econometric technique
along with inputs obtained from a primary survey conducted at 14 prime cities in the country.
Estimations were based on Panel Regression, which takes into account both time series and cross
section variation in data. A panel data of 16 major states over a period of 5 years ending 1999
was used for the estimation of parameters. The models considered a large number of macro-

economic, demographic and socio-economic variables to arrive at the best estimations for
different two-wheeler segments. The all-India and region wise projected growth trends for the
motorcycles and scooters are presented in Table 1
Table 1: Demand Forecast for Motorcycles and Scooters for 2016-17
Two REGIONS
Wheeler North- East & All India
South West
Segment Central North-East
2835 4327 2624 883 10669
Motorcycle
(12.9) (16.8) (12.5) (11.1) (14.0)
203 219 602 99 1124
Scooter
(2.6) (3.5) (2.8) (2.0) (2.08)
Note: Compound Annual Rate of Growth during 2005-06 and 2013-14 is presented in
parenthesis
Source: Indian Automobile Industry: Optimism in the Air, Industry Insight, And NCAER
The projections have been made at all India and regional levels. Different scenarios have
been presented based on different assumptions regarding the demand drivers of the two wheeler
industry. The most likely scenario assumed annual growth rate of Gross Domestic Product
(GDP) to be 5.5 per cent during 2002-03 and was anticipated to increase gradually to 6.5 per cent
during 2011-12. The demand for mopeds is not presented in this analysis due to its already
shrinking status compared to' motorcycles and scooters. It is important to remember that the
above-mentioned forecast presents a long-term growth for a period of 10 years. The high growth
rate in motorcycle segment at present will stabilize after a certain point beyond which a
condition of equilibrium will set the growth path. Another important thing to keep in mind while
interpreting these growth rates is that the forecast could consider the trend till 1999 and the
model could not capture the recent developments that have taken place in last few years.
However, this will not alter the regional distribution to a significant extent.

Table 1 suggests two important dimensions for the two-wheeler industry. The region-
wise numbers of motorcycle and scooter suggest the future market for these segments. At the all
India level, the demand for motorcycles will be almost 10 times of that of the scooters. The same
in the western region will be almost 20 times. It is also evident from the table that motorcycle
will find its major market in the western region of the country, which will account for more than
40 per cent of its total demand. The south and the north-central region will follow this. The
demand for scooters will be the maximum in the northern region, which will account for more
than 50 per cent of the demand for scooters in 2011-12. The present economic situation of the
country makes the scenario brighter for short-term demand. Real GDP growth was at a high level
of 7.4 per cent during the first quarter of 2004. Both industry and the service sectors have shown
high growth during this period at the rates of 8.0 and 9.5 per cent respectively.
However, poor rainfall last year will pull down the GDP growth to some extent. Taking into
account all these factors along with other leading indicators including government spending,
foreign investment, inflation and export growth, NCAER has projected an average growth of
GDP at 6.7 per cent during the tenth five-year plan. Its mid-term forecast suggests an expected
growth of 7.4 per cent in GDP during 2004- 05 to 2008-09. Very recently, IMF has portrayed a
sustained global recovery in World Economic Outlook. A significant shift has also been
observed in Indian households from the lower income group to the middle income group in
recent years. The finance companies are also more aggressive in their marketing compared to
previous years. Combining all these factors, one may visualize a higher growth rate in two-
wheeler demand than presented in Table 1, particularly for the motorcycle segment.
There is a large untapped market in semi-urban and rural areas of the country. Any strategic
planning for the two¬-wheeler industry needs to identify these markets with the help of available
statistical techniques. Potential markets can be identified as well as prioritized using these
techniques with the help of secondary data on socio-economic parameters. For the two wheeler
industry, it is also important to identify the target groups for various categories of motorcycles
and scooters. With the formal introduction of second hand car market by the reputed car
manufacturers and easy loan availability for new as well as used cars, the two wheeler industry
needs to upgrade its market information system to capture the new market and to maintain its

already existing markets. Availability of easy credit for two-wheelers in rural and smaller urban
areas also requires more focused attention. It is also imperative to initiate measures to make the
presence of Indian two-wheeler industry felt in the global market.
Adequate incentives for promoting exports and setting up of institutional mechanism such as
Automobile Export Promotion Council would be of great help for further surge in demand for
the Indian two-wheeler industry. In conclusion we can say that there are great opportunities and
possibilities in the automobile sector. But hike in the fuel price is influencing the market of this
industry. There is a need of a very liberal policy for the fuel prices and requires a great good deal
with fuel supplying countries. The performance of the industry is better instead of high and
unfavorable fuel policy. The GDP of India for the first half of the year 2011 is 8.9 per cent.

COMPANY PROFILE
The beginning
The Enfield Cycle Company made motorcycles, bicycles, Lawnmowers and stationary
engines under the name Royal Enfield out of its works based at Redditch, Worcestershire.
The legacy of weapons manufacture is reflected in the logo comprising the cannon, and the
motto “Made like a gun”. Use of the brand name Royal Enfield was licensed by the Crown in
1890.
The Early Years
In 1909 Royal Enfield surprised the motorcycling world by introducing a small Motorcycle
with a 2 ¼ HP engine of Swiss origin. In 1911 the next model was powered by a 2 ¾ HP
engine and boasted of the well-known Enfield 2-speed gear. In 1912 came the JAP 6 HP 770
CC V twin with a sidecar combination. It was this motorcycles which made Enfield a
household name. 1914 saw the 3HP motorcycle this time with Enfield’s own engine which
now had the standardized Enfield paint scheme of black enameled parts and green tank with
gold trim.
The India connection
Royal Enfield motorcycles were being sold in India ever since 1949. In 1955, the Indian
government started looking for a suitable motorcycle for its police forces and the army for
patrolling duties on the county’s border. The Bullet 350 was chosen as the most suitable bike
for the job. The Indian government 800 of these 350 CC motorcycles, an enormous order for
that time. Thus in 1955,the Redditch company partnered with Madras motors in India from
what was called “Enfield India” to assemble these 350 cc Bullet motorcycle under license in

erstwhile Madras (now called Chennai). As per their agreement Madras Motors owned the
majority (over 50%)of shares in the company. In 1957 tooling equipment was also sold to
Enfield India so that they could manufacture components and start full-fledged production.
The Enfield Bullet dominated the Indian highways and with each passing year its popularity
kept rising.
Closeout in the UK
Royal Enfield UK continued manufacturing motorcycles and came out with some more
innovative and powerful machines notably the Royal Enfield Meteor, constellation and
finally the interceptor 700, before being sold to Norton-Triumph-Villiers (NVT) in 1968.
Production ceased in 1970 and the company was dissolved in 1971. Remaining tooling and
equipment of the Redditch works were auctioned off. Meanwhile the Bullet 350 continued to
be manufactured in India and by the 1980’s motorcycles were even exported to Europe out of
India. Even after the motorcycle manufacturing close down the precision engineering
division ran for some more time and even bicycles were produced until quite late.
The Eicher Chapter
In 1990’s, Enfield India entered into a strategic alliance with the Eicher group, and later
merged with it in 1994. It was during this merged that the name Enfield India changed to
Royal Enfield. The Eicher group is one of the India’s leading automotive groups with
diversified interest in the manufacture of Tractors, commercial vehicles, automotive gears,
exports, garments, management consultancy and motorcycles. Since then, the company has
made considerable investments in modernizing its manufacturing technology and systems. In
1996, when the Government decided to impose stringent norms for emission Royal Enfield
was the first motorcycle manufacturer to compel, a tradition which has stuck on thus making
emission norms being one of the most important factors that company focuses on.
Eicher Motors began its business operations in 1958 with the role out of India’s first Tractor.
Today the Eicher group is a significant player in the Indian automobile industry with a gross
sale turn over of over INR19000 million (824 USD million) in the year 2015-16. The Eicher

group has diversified business interest in design and development, manufacturing and
local/international marketing of drugs and buses, motorcycles, automotive gears and compo
COMPANY PROFILE
TYPE Subsidiary
INDUSTRY Motorcycle
FOUNDER 1901
1955 as Enfield India
HEADQUARTERS Chennai
PRODUCTS Motorcycles
PARENT Eicher Motors
WEBSITE WWW.royalenfield.com

VISION
To be recognized as the industry leader driving modernization in biking in India
and developing world
MISSION
Aim is to continuously improve biking efficiency in India and developing
markets. Customers are the integral part of the organization and creating a family of
bikers bond.

ORGANISATIONAL HIERARCHY
S.NO NAME DESIGNATION
1 Mr. Jadrinder Singh Regional Manager 1

2 Mr. KesharTayal Regional Manager 2
3 Mr. Sanjay Kumar Regional Manager 3
4 Mr. Sachdera Regional Manager 4
5 Mr. PradeepChaurasiya Regional Manager 5
6 Mr. C.B.Rajesh Regional Manager 6
7 Mr. VikasGautam Regional Manager 7
8 Mr.T.Karthikeyan Regional Manager 8
9 Mr.G.NarashimaRao Regional service Manager
10 Mr.Y.Raju Regional commercial Executive
11 Mr.Dinesh Territory service Manager 1
12 Mr.Manoj Kumar Varma Territory Service Manager 2
13 Mr. Parbhakar Brand store Manager 1
14 Mr.K.VeeraSudharRoa Brand Store Manager 2
15 Mr.G.BhanuParkash Brand Store Service Manager1
16 Mr.A.RamBabu Brand Store Service Manager2

DEALERS PROFILE
INTRODUCTION
Klasik Motors Hubballi established by Imam Kolur and Samir Khan Kittur back in 2013 is one
of the authorized Royal Enfield Showroom. The showroom displays a wide range of two-wheeler
models both, new and popular ones. The sales staff employed at the showroom is well-trained
and experienced. The entire team is committed to offering the best of its customers and leaves no
stone unturned in ensuring potential buyers find something that matches their requirements
perfectly. Their suggestions make it easier for customers to make a well-informed decision.
They are capable of providing all the necessary information with regards to the salient features,
specification, on-road price and model availability. In addition, the staff also furnishes important
information or visit the showroom from morning to evening. The establishment makes the
buying process seamless for customers by accepting payments via cash, cheques oronline
payment.
Making available a wide range of two-wheelers, Klasik Motors at Keshawapur, Hubli is popular
dealer of Royal Enfield bikes. The dealer’s association with the automobile brand dates to 2013.
The dealer believes in the brand’s approach of establishing long-lasting relationships with its
clients and it is this commitment that has led to the success of the dealer. The showroom can be
spotted with ease. Located on Kusugal Road, a renowned landmark in Keshawpur. The
establishment enjoys a prime location with potential buyers surrounding the place in commercial
and residential establishment. It can be contacted on +(91)-836-2288222. Undoubtedly it is one
of the Best Motorcycle Dealer in Hubli.

DELERS PROFILE
Name of the Dealer KLASIK Motors
Promoter Imam Hussain Kolur

Year of Establishment 2013
Address Klasik Motors, Kusugal Road, Keshwapur, Apex Center 58003
Association with Royal Klasik Motors was associated with Royal Enfield from 2013
Enfield
Contact Number 94481-93775, 99865-67188
GST No 29AAMFK5131E1ZC
Type Dealership

PRODUCT DETAILS
Royal Enfield bullet Electra 5s
The new seat is richly padded for greater support and comfort over long rides. New gas
filled rear shock absorbers improve rear suspension ensuring a more compliant ride. Improved
looks new metallic colours, and three dimensional graphics on the tank enhance the visual,
appeal of this already attractive machine. White dials, chrome mirrors and an redesigned chain
case cover add classic appeal to this motorcycle. Improved Technology-The new glass wool
silencer lets you enjoy the traditional beat of the Bullet. Its Transistor Controlled ignition ensures
a longer spark as well as improved battery charging.

Royal Enfield Bullet 350 Standard
The Royal Enfield Bullet 350 Standard has proven itself over 45 years in the toughest of
conditions. Finished in Black color this motorcycle retains the classic bike appeal with tank
emblems and deep valance mudguards. Now with a heavier crank and glass wool silencer.
Royal Enfield Thunderbird Twinspark
The New Royal Enfield-Thunderbird Twinspark offers an unmatched cruising experience

for the Enfield enthusiasts as well as those used to Indo-Japanese motorcycles. With an

integrated gearbox transmission losses are reduced and the engine develops 20BHP of power and
28Nm of torque. Symmetrical Twin Spark Plugs for better combustion leading to better power
and fuel efficiency. Featuring attractive cruiser styling, gas filled shock absorbers, lots of chrome
and disc brakes the Thunderbird has been upgraded to a Digital Transistor Controlled Ignition
System with variable ignition timing and a larger CV carburetor for increased performance
.Larger 6-plate clutch for smoother shifting and longer clutch life
ROYAL ENFIELD CLASSIC 350cc and CLASSIC 500cc
Classic 500cc comes to India. Armed with a potent fuel injected 500cc Unit Construction engine,
Twinspark, air-cooled and clothed in a disarmingly appealing post war styling, this promises to
be the most coveted Royal Enfield in history. For those who want it all. The power, the fuel
efficiency, the reliability and simple, yet drop dead gorgeous classic styling. The classic turns
heads not because it wants to but because it can’t help it. You will appreciate the beat not just for
the music it creates but also for the muted feeling of strength and power that it signifies. The
view is simply better when you are astride a Royal Enfield Classic 500 – whether moving or still.
Nothing more to be said

Royal Enfield Himalayan
Royal Enfield Himalayan price starts at Rs.1.80 lakh (Ex-Showroom, Delhi) and the top end
variant Royal Enfield Himalayan Sleet is priced at Rs. 1.82 lakh (Ex-Showroom, Delhi). It
features the all-new 411cc single-cylinder engine that offers 24.8PS at 6500rpm and 32Nm of
torque at 4350rpm. The bike also comes with fuel injection to make it BS-IV compliant. For the
first time, Royal Enfield has introduced a bike with monoshock rear suspension with the
Himalayan. It also offers 220mm of ground clearance to ensure a smooth ride in the most
difficult of terrains. The bike gets large spooked wheels, 19-inchers at the front, and shod with
dual-purpose tyres to make it competent to ride over rough terrains. Braking is done by disc
brakes on both ends while ABS has been given a miss to keep cost low.

ROYAL ENFIELD INTERCEPTOR
The Royal Enfield Interceptor 650 is a 270°parallel twin retro-

styled motorcycle introduced by Royal Enfield (India) in 2018. It is the first modern twin
cylinder motorcycle developed by the company. In 2017, the company revealed a new
motorcycle bearing the classic name "Interceptor". The model, which will be on sale from 2019,
has two versions: the "Interceptor", a conventionally-styled roadster, and the "Continental GT",
a cafe racer. The bike will be produced in huge numbers and will be marketed in India, Europe
and the United States. The bike is expected to become the biggest selling large-capacity twin in
the world.

ROYAL ENFIELD DESERT STORM
The Classic Desert Storm is covered in a “sand” paint scheme which reminds us of the
war era when Royal Enfield motorcycles proved their capabilities and battle worthiness by
impeccable service to soldiers in harsh conditions of the desert.
At the heart of the bike beats a single cylinder air-cooled pushrod engine which puts out
27.2 bhp at 5250 rpm and 41.3 Nm of torque at 4000 rpm.

COMPETITOR INFORMATION
Royal Enfield brand has been around for a long time now. It has gained a cult status and
two wheeler many manufacturers have tried to challenge the retro-brand with their products but
none have gained the fan base as big as Royal Enfield. Here are ten new challengers that seek to
attract buyers away from Royal Enfield.
BAJAJ DOMINAR ADVENTURER
Bajaj launched the Dominar in India while keeping an eye on the Royal Enfield’s market
share. However, the Dominar has not gained as much popularity as Bajaj would have liked. Bajaj
earlier registered the name ‘Adventurer’ in May this year and there’s a strong possibility that
Bajaj will launch an adventure version of the Dominar in the near future.
The Dominar ADV is expected to be powered by the same 373.2cc engine as the
Dominar and utilize the same chassis too. The new motorcycle with Adventurer moniker is
expected to make an appearance in the Indian market next year. The motorcycle will take on the
Royal Enfield Himalayan in the market.
KTM 390 ADVENTURE - Render of the 390 Adventure
KTM is working on an Adventure version of the 390 Duke and the motorcycle has been
spied several times while testing in its homeland, Austria. The 390 Adventure will take on the
Royal Enfield Himalayan, which has seen a decent success in the Indian market. The Adventure
will get longer travel suspension, a new headlamp set-up and spoke-wheel tires. The single-
cylinder 373cc engine is expected to remain same but KTM may change the gearing or the
engine tune to add a stronger low-end torque to the Adventure.
HUSQVARNA VITPILEN
Husqvarna, a part of KTM will launch the Vitpilen and Svartpilen based on the KTM
Duke. The Vitpilen is a cafe-racer styled motorcycle that will take on the Royal Enfield

Continental GT in India. The lower handlebars make sure that the motorcycle gets an aggressive
riding position. It will use the same chassis and engine as the KTM 390 Duke.
JAWA 350 OHC
The Jawa brand will come back to India with Mahindra, who now own the rights to sell
Jawa in India and other South East Asian nations. Jawa will launch the 350 OHC, which will
take on the Royal Enfield Classic 350 in the market. The retro-styled Jawa is powered by 350cc
two-stroke engine sourced from a Chinese company, Shineray. The engine produces 26 Bhp – 32
Nm and is mated to a 4-speed manual transmission.
BENELLI IMPERIALE 400
Benelli showcased the Imperiale 400 at the EICMA and it will be launched in India to
take on the Royal Enfield Classic 350 and Classic 500. The retro-styled cruiser is powered by a
373cc, air-cooled, fuel-injected engine that produces a maximum power of 20 Bhp and 28 Nm. It
will be showcased at the 2018 Auto Expo and will be launched subsequently.
NORTON SCRAMBLER 650
Norton has already announced that it will enter the Indian market in mid-2018 with two
new products – Dominator and Commando. The British motorcycle maker may also bring the
650cc Urban Tracker motorcycle that it showcased as a concept at EICMA. However, the
motorcycle may take some time to become a reality. It will challenge the Royal Enfield
Interceptor when launched in India.
BENELLI LEONCINO
The BenelliLeoncino will be launched in India next year and was showcased at the
EICMA. The scrambled styled motorcycle looks quite good and will be available in two variants
– one for off-road and another for tarmac use. The Leoncino is powered by the parallel-twin
500cc engine that produces a maximum power of 47 Bhp – 45 Nm.

UM 400CC ADV
UM currently offers a slew of cruiser motorcycles in the Indian market. United

Motorcycles is now working to bring an Adventure motorcycle which will be powered by a
400cc engine. The engine is expected to be a V-Twin water-cooled motor. The name of the
motorcycle has not been made public yet and the motorcycle is expected to be launched in next
six months.
HONDA
Honda is expected to launch to launch two new cruisers in the Indian market to take on the Royal
Enfield Classic twins. The two new motorcycles from Honda will be powered by 350cc and
500cc engine and Asian Honda Motor Co. CEO; Noriaki Abe has already confirmed the
upcoming motorcycles. The motorcycles are expected to launch by 2020.

SWOT ANALSIS
STRENGTHS
1. Oldest motorcycle brand in the world.

2. Experience in the market.
3. Used on a large scale for military purposes, because of its sturdiness.
4. Established brand.
5. High emphasis on R and D .
6. Blend of traditional and modern style and technology.
7. Online supply chain management.
WEAKNESSES
1. Weak product diversity.

2. Not much emphasis on aggressive selling.
3. Only plant to meet the national and international demand for the product and
spare parts.
4. Longer waiting periods.
5. High price.
OPPORTUNITIES
1. Tap the urban market.

2. Growing premium segment.
3. Expansion of target market(including women)
4. Increasing dispensable income.
5. Global expansion.

THREATS
1. Cut throat competition (KTM, Bajaj, Hero, Honda, TVS)

2. Increasing players in market.
3. Raising cost of raw materials.
4. Increasing rates of interests on finance.
5. Entry of other players in the 350cc segment.
6. Entry of exclusive foreign player.

AWARDS & ACHIEVEMENT
Royal Enfield Thunderbird 500 Wins Motorcycle of the year Award
Highest in Dealer Satisfaction among Manufacturers of Two-Wheelers—Royal Enfield



Literaturere
view and
Theoretical
Concepts

Literature review:
Brand:
Customer perception towards brand is an important aspect of marketing mix (Gabor &
Continue, 2012). Jin and Weber (2013) proposed that, brands served primarily as a way for
customers to identify and recognize goods and their manufacturer. The focus of brand value
creation was on individual goods whereby firms used brands to show ownership and take
responsibility for their goods. This in turn helped customers identify and recognize a firm’s
goods on sight. From the 1930s onwards, brands were viewed as images that firms create to
enable customers to both differentiate a brand from its competitors and identify the needs a brand
promises to satisfy (Jin & Weber, 2013).
Another aspect of brand is that, it is strongly believed by academics and practitioners that brand
reputation is becoming increasingly important. Brands should have a positive reputation to be
successful and therefore profitable, (Veloutsou&Moutinho, 2009). On the other hand, Schmitt
(2012) describes a comprehensive model of five brand-related processes: identifying,
experiencing, integrating, signaling and connecting with the brand.
The personal experience of using a brand can be of assorted shapes from the personal experience
of using an indistinguishable product without the brand (Sheena &Naresh, 2012). Brands can
form relations with other brands. Brands can be anthropomorphized, and many of them are
appreciated as cultural symbols. Finally, customers can organize communities around brands.
Customers know and experience these characteristics about brands and respond to them. The
model presented here accounts for these essential characteristics of brands (Schmitt, 2012).
Customer Perceptions:
A broad variety of efforts and theories that attempt to describe the factors which
influence the customers and their behaviors when making purchasing decisions. The goal of the
investigation of customer behavior is to discover patterns of customers' attitudes in their decision
to buy or to ignore a product. (Matsatsinis, Samaras, 2000). Customers’ preferences for products
or brands arise from the combination of many different factors. Some factors come from features

of the product itself (e.g., price, durability), while others are attributes of customers themselves
(e.g., goals, attitudes, discretionary income), (Venkatraman, Clithero, Fitzsimons, and Huettel,
2012).
Ge, Brig den and Häubl (2015) proposed that customers often make choices in settings where
some alternatives are known and additional alternatives can be unveiled through search. When
making a choice from a set of alternatives, the manner in which each of these was discovered
should be irrelevant from a normative standpoint. Customers must often decide between
choosing among asset of previously discovered alternatives and searching to discover additional
alternatives before making a choice. A substantial body of prior work examines customer choice
from pre-determined sets of alternatives. As a result, we know much about the influence of
choice set composition and decision context on choice (Ge, Brig den, and Häubl, 2015).
Additionally, customer characteristics such as patriotism, protectionism and social economic
conservatism are effecting their choices (Spillan&Harcar, 2010).
THEORETICAL ASPECTS OF THE STUDY
Customer’s perception:
Customer’s perception refers to the process by which a customer selects, organizes, and
interprets information/stimuli inputs to create a meaningful picture of the brand or the product. It
is a three stage process that translates raw stimuli into meaningful information. Each individual
interprets the meaning of stimulus in a manner consistent with his/her own unique biases, needs
and expectations. Three stages of perception are exposure, attention and interpretation.
Although a customer's perception of a product or service is at least partially based on his actual
experience with the good, a significant amount of market research suggests that a customer's
view of a product is also conditioned by a variety of other factors. From very concrete factors of
price and quality to less tangible factors such a customer's view of the manufacturer's reputation,
experience with service and the quality of packaging and branding, a number of complex and
interrelated psychological factors determine a customer's perception of goods and services.

Factors affecting customer perception:
 Price: Price has a complex effect on customer perception. On the one hand, customers
appreciate a bargain and are often likely to favour an economically-priced item. On the
other, customers often perceive very inexpensive items as cheap and discard able,
ultimately damaging a customer's view of a product even if the product remains the same
and the customer is benefited from a price reduction. Especially sophisticated or
skepticalcustomers are even prone to distrust a product that is considerably cheaper than
the alternatives. As a result, price should be part of a comprehensive marketing plan,
where even inexpensive products are depicted as favourable alternatives with similar
levels of quality to the competition, with a price that is somewhat lower but still
comparable with other possibilities.
 Product quality: The actual quality of a product is a vital part of a customer's perception
of a good or service. Quality can describe any attribute in a set of characteristics that
satisfy or disappoint a customer, including usability, reliability and durability. Marketing
can influence a customer's perception of quality, but, in the end, and particularly with
non-durable goods, a customer's actual experience with a product will determine his
perception of quality. Outside the realm of mass communication, word of mouth
regarding quality also travels very quickly.
 Service quality: Even in the case of goods that exhibit numerous flaws, excellent service
quality can often overshadow a negative experience with the product itself. If a customer
feels that he receives exceptional attention when encountering a problem with a product,
that customer is somewhat more likely to trust the brand or product knowing that the
manufacturer or retailer provides a prompt and effective response to problems. Humans
are social animals and their customer behaviour is often determined by the social
relationships that surround a product, including interactions with customer service
representatives.

 Packaging and branding: Packaging and branding have a huge effect on customer
perceptions, particularly at the point of purchase. Especially when a customers are
purchasing a type of product for the first time, the way the product is presented can
wholly determine their perception of the item. Packaging and branding, of course, cover
everything from the attractiveness and display quality of an item to the attributes of a
product the manufacturer chooses to highlight. Depending on the type of product and
market, different branding messages from tough and reliable to fine and luxurious can be
appropriate and effective.
 Reputation: A product's reputation is built up over time and is usually a combination of

actual experience with the product, word-of-mouth recommendations and marketing
campaigns that attempt to establish a status or shared view of the product or brand. A
customer's perception of a product's reputation, moreover, is not only determined by the
product's brand identity and manufacturer but by the whole chain of distribution. Even if
a customer trusts a product's manufacturer, for example, that customer may change his
mind about the product upon seeing it available in a retailer he associates with cheap,
defective products.
Role of Perception in Customer Behaviour: The

perceptions customers have of a business and its products or service have a dramatic effect
on buying behavior. That’s why businesses spend so much money marketing themselves,
honing their customer service and doing whatever else they can to favorably influence the
perceptions of target customers. With careful planning and execution, a business can
influence those perceptions and foster profitable customer behaviours
 Influencing Perception: Customers continually synthesize all the information they have
about a company to form a decision about whether that company offers value. In a sense,
customer perception is an approximation of reality, notes the book “CustomerBehaviour”
For example, advertisements often trumpet the quality and convenience of a product or

service, hoping to foster a customer perception of high value, which can pay off with
increased sales.

 Reaching Customers: A key factor in influencing customer perception is exposure. The
more information customers have about a product, the more comfortable they are buying
it. As a result, businesses do all they can to publicize their offerings. However, this
causes a problem: When every business bombards customers with marketing messages,
customers tend to tune out. To influence customer perception, a business not only must
expose its product to customers, it also must make its product stand out from the crowd.
 Risk Perception: Customer risk perception is another factor businesses must take into
account when trying to encourage buying behaviors. The more risky a proposition is, the
more difficult it is to get customers to act. If customers aren’t familiar with a brand of
product, they can’t assess the risk involved; it could be poorly built, for instance, or too
costly compared to substitutes. Businesses can overcome this hesitancy by offering as
much product information as possible in the form of advertisements or by encouraging
product reviews. Allowing potential customers to handle the product in stores or test it at
home also decreases risk perception, as does offering a flexible return policy.
 Customer Retention: Successful businesses don’t relax once a customer makes a

purchase. Rather, they continue to foster perceptions that result in profitable behaviors.
Once customers have tried a product, the task becomes maintaining a good reputation and
establishing brand loyalty. Offering superior customer service is an effective tactic
because it maintains the perception that the business cares about its customers’ best
interests. In return, customers become loyal to the business, which secures a consistent
revenue stream for the company and makes it more difficult for competitors to poach
customers

Customer Perception Theory: Merchants aim to increase their sales by determining what drives
their customers' purchase decisions. Customer perception theory attempts to explain customer
behavior by analyzing motivations for buying -- or not buying -- particular items. Three areas of
customer perception theory relate to customer perception theory: self perception, price
perception and perception of a benefit to quality of life
 Self Perception: self perception theory attempts to explain how individuals develop an
understanding of the motivations behind their own behavior. Self perception by
customers relates to values and motivations that drive buying behavior -- which is also an
important aspect of customer perception theory. For instance, a study by researchers at
the University of Massachusetts at Amherst addressed how self perception shaped
customers' buying behavior. The study considered the question of whether customers
believed their buying decisions had a real effect on issues such as environmental impact.
The researchers concluded that customers' self perception was a driving factor in whether
or not they placed a priority on socially conscious purchase and consumption practices.
Customers who viewed themselves as socially conscious tended to place more weight on
issues such as environmental impact when making buying decisions than customers who
did not hold similar views of themselves.
 Price Perception: While mass merchandisers such as Wal-Mart emphasize low prices as
an inherent virtue, upscale merchants attempt to emphasize quality and value for money
to appeal to potential customers. Researchers at the School of Business Administration at
LaSalle University and LeBow College of Business at Drexel University considered
several factors, including price perception -- whether customers believed they were being
charged fair prices -- in determining whether online shoppers would make repeat
purchases through the same website. The researchers concluded that price perception
strongly influenced whether customers were satisfied with their purchases and whether
they would make future purchases. Two factors that shaped price perception were the
perceived quality of the merchandise or service in question and price comparisons with
merchants offering similar merchandise or services.

 Benefit Perception: “It's good, and it's good for you." Many customers are familiar with
this phrase frequently associated with food advertising. Researchers from Marquette
University, Louisiana State University and the University of Arkansas surveyed
customers to determine how nutrition claims associated with food affected their
perception of that food's nutritional value. The researchers found that customers tend to
reject general, unsupported claims of enhanced nutrition, especially concerning high
nutritional value for foods that are traditionally viewed as unhealthy. The researchers also
theorized that customers would demonstrate a trend toward applying more scrutiny to
nutrition claims and would demand more specific information about the foods they
purchase.

THEORETICAL ANALYSIS
Customer Perception is a marketing concept that tells us what customers think about a brand or a
company or its offerings. It can be positive or negative feelings, perceptions, inhibitions,
predispositions, expectations or experiences that a customer has. If you understand the concept
of customer perception, you will figure out that it is arguably the most important factor that
decides the success of a brand, product or a company as a whole. How a particular brand or
company is positioned also plays a vital role in this. The characteristics of a brand and its
personality play a big role.
CUSTOMER:
Traditionally the work "Customer" was used to define people whom the organization dealt with
externally. The customer refers to the purchasers of product or service, they may or may not be
ultimate customer.
Customers are only the purchases of the product or service but they are not use
completely about that product.
CUSTOMER:
Customer and Customer are both are different, Customers are only the purchaser of the
product or service but they can't use the lifelong about that product. Customer refers to the end
user of a product or service they may or may not be the customer.
Thus Understanding of the form customer and customer is necessary especially in the
event of the dramatic shifts that have been witnessed at the market in the 1990's. The drastic
variations in the life style dater’s of the customer and the revaluation that has taken place in the
field of communication technology marketers are being exposed to a new generation of
customers. These new generation customers have to be differentiated on the basis of individual
differences in customer expectation, preference for more choice, not very brand Loyal and even

willing to try competing brands so as to obtain the perceived higher value satisfaction. The
marketers have to do the exercise of analyzing customer behavior it could be difficult to classify
the present generation of customers by the conventional demographic variables. So, markets are
engaged in gauging the behavior of the customers by try to identify the sources timing and
direction of the changes in the customer behavior and also the emerging new competencies and
perspective. Thus the priority will be developing a new parading to tackle the emerging
challenges at the market place.
CUSTOMER ATTITUDE:
“ATTITUDE IS EVERYTHING “ Attitude plays a very important role for any

product for success in the market .Any companies products will be successful only when
the customers have a positive attitude towards a product, services, advertisements, retailers
and so on. In simple words whenever the customer is asked about his likes and dislikes
regarding the product ,the opinion which gives is called an “ATTITUDE” .In
customerbehaviour attitude is an expression of favorable or unfavorable predisposed to
some object because they are an outcome psychological process ,attitude are not directly
observable ,but must be inferred from what people say and what they do .
In general terms ,attitudes can be defined as a expression of inner feeling either

like or dislike towards a product or service .when an individual expresses his feelings in a
positive way ,it will help a product or service to click in the market .
CUSTOMER PERCEPTION
Perception is the process of selecting organizing and interpreting or attaching meaning to
events happened in environment – L.M.PRASAD.
A motive is fan aroused need. It interims, activities behavior intended to satisfy the aroused need.
One from that behavior takes is collecting and processing information from the environment, a
process known as perception - STANTON, MICHEL, WALKER.
Perception is a mental process whereby an individual selects data or information from the
environment organizes it and then draws significance or meaning from it.

Perception is basically a cognitive or thinking process and individual’s activities,

emotions, feelings, etc. are based on his or her perceptions of their surroundings or environment.
Perception, being an intellectual and cognitive process will be subjective in nature. That
is as a subjective process, different people may perceive the environmental occurrence of an
event, differently based on which aspects of the situation is absorbed by them how they
organized this information and how they draw meanings and interpret it so as to obtain a
meaningful understanding of the situation.
FACTORS INFLUNCEING PERCEPTION
EXTERNAL FACTOR INTERNAL FACTORS
Intensity and size

Selective
attention P
E Selective
Position
R exposure
C
Contrast Selective
E
P reception
Novelty
T
Repetition I Comprehension
O Retention perceptual
Movement N vigilance or defense
Expectation Subliminal
perception
PRECEPTUAL PROCESS:
Perceptual process consists of many sub processes. The dynamics of perception can be
understood by taking a note of the input-through putout approach. This approach is based on the
fact that there is an input, which when processed gives outputs.
The actual aspects of perception mechanism include-the selection, organization and
interpretation.
The perceptional outputs will be the behavior or actions of the individuals i.e., the
resultant opinions, feelings, attitude etc.

CUSTOMER DECISION-MAKING
Decision-making is the selection of an action from two or more alternative choices. That
four vies of how and why individuals behave as they do is that.
a. He is an economic man i.e., makes rational decisions.
b. He is a passive man i.e., he is regarded as one who can manipulate
c. He is cognitive man i.e., a problem solver.
d. He is a emotional man i.e., who makes decisions that are not rational.
Sample model of customer’s decision-making which consists of three major components.

Input, process, and output is s shown below:
INPUT
The input component draws upon external influences that serve s resources of inform
nation about a particular product and influence a customer’s product related values, attitudes and
behaviors. Chief among these factors are:
1. Marketing Input:
These inputs to the customers decision-making process take the form of specified marketing mix,
strategies the consists of the product. Itself, mass media advertising, personnel selling,
promotional efforts, and selection of distribution channels to move the products from the
manufacture to the customers
2. Social-Cultural inputs:
These inputs consist of wide range of non-commercial influences. For example, the comments
of a friend, an editorial in the news-paper, usage by family member since these influence may be
directed to the individual or actively sought by the individual; a two –headed arrow is used to
link the input and process segments of the model.

PROCESS
Process is concerned with how customers make decisions, which consists of three stages:
1. Need recognition.
2. Pre-purchase search
3. Evaluation of alternatives
4. Purchase decision
5. Post purchase evaluation
Need Recognition
The recognition of need is like; to occur when a customer is faced with a problem. Among
customers, three seem to be two different problem recognition styles. Some customers are actual
types, who perceive that they have a problem when a product.
Pre-purchase Search
Pre-purchase search begins when customer perceives a need that might be satisfied by the
purchase and consumption of a product. The customer usually searches his or her memory before
seeking external of information regarding a given consumption related need. The greater the
relevant past experience, the less external information the customer is likely to need in order to
reach a decision. In high-risk situations, customers are likely to engage in complex information
search and evaluation and vice-versa.
Evaluation of Alternatives:
When evaluating potential alternatives, customers tend to use two types of information.
a) “List” of brands from which they plan to make their selection (evoked set)
b) The criteria they will use to evaluate each brand. The evoked set is generally only a
part of subset of all the brands of which the customer is aware; these brands in turn
are frequently only portion of all the brands in the market. Making a selection from a

sample of all possible brands is a human characteristic that helps to simply the
decision-making process.
OUTPUT
The output portion of the customer decision-making model concern two kinds of post
decision activity; Purchase behavior and post purchase evaluation. The objective of both the
activities is to increase the customer’s satisfaction with his or her purchase.
1. Purchase Behavior:
Customers make two types of purchase: trail purchases and repeat; purchases. A purchase is said
to be trail when the customer purchases a product or brand for the first time and that too in a
smaller quantity than usual. If a new brand in an established product category is found by trail to
be more satisfactory or better than other brands, customers are likely to repeat the purchased.
Repeat purchase behavior is closely related to the concept of brand loyalty, which most firms try
to encourages because of it ensure them of stability in the market place. In trial purchase, the
customer uses the product on a small scale and in the case of repeat purchase the customer is
willing to use it again and in larger quantities.
2. Post purchase Evaluation:

As customers use a product, they evaluate its performance in light of their expectation.
These are three possible outcomes of such evaluations.
a. That actual performance matches the standard, leading to neutral feeling.
b..That performance exceeds the standard, causing positive disconfirmation.
C, That performance is below the standard, causing negative disconfirmation.
An important component of post purchase evaluation is the reduction of uncertainty that the
customer might have had about the selection. As part of their cost purchase analysis, customers
try to reassure that their choice was a wise one.
The degree of post purchase analysis that customers undertake is likely to depend on the
importance of the product decision and the experience acquired in suing the product. If the

product lives up to the expectations. They will probably but it again. If the products performance
is disappearing, they will search for more suitable alternatives. Thus the customers post purchase
evaluation ‘feed back’ is experience to the customer’s psychological field severs t influence
future related decision.
BRAND
It is defined as a name, term sign, symbol or design or combination of them. It is intended
to identify the goods or services of one seller or a group of sellers and to different them from
those of competition. A brand is essentially a seller, promise to consistently deliver a specific set
of features, benefits, and services to the buyers.
A brand can convey different types of meanings like attributes benefits, values culture
personality and user.
Brand awareness is the degree measured either by brand recall or recognition. Beyond
this the brands have high degree of brand acceptability. In that most customers would not resist
buying them. Some brands enjoy brand preference that would be selected over other finally there
is brand loyalty that commands on other brands.
Behavioral scientists believe that brand loyalty results from an initial product trial that is
reinforced through satisfaction, leading to report purchase, cognitive researches, emphasis the
role of process in building brand loyalty. It can be increased by frequent exposure on Tele-
media, Papers, Audio wall writing etc. if the brand loyalty is achieved automatically the sales of
the organization products increase.

RESEARCH
METHODOLOGY

RESEARCH METHODOLOGY
TITLE OF THE PROJECT
“A Study on Customer Perception towards Royal Enfield bikes at Klasik Motors Hubballi”
OBJECTIVE OF THE STUDY
1. To understand the customer perception towards performance of Royal Enfield.

2. To know the factors influencing the customers to prefer Royal Enfield.
3. To measure the expectations of customers.
4. To understand overall performance of Royal Enfield.
SCOPE OF THE STUDY
This study includes customer’s response and perception towards the brand, products and
services of Royal Enfield. The results are limited by the sample size 100 numbers and therefore
the opinion of only selected customers is taken into consideration .Mainly this study is conducted
in Hubballi City and the scope in limited to the city only.
The study:
To study and analyze the customers perception towards Royal Enfield Bike.
The company:
To analyze the problem area and take the required steps to overcome the problem.
Type of research: Quantitative research
Sample Size: 110
Research Instrument: Structured Questionnaire

Types of data:This part deals with the data collection method adopted for collecting the
information relating to complete the project work. The methods are primary &secondary method.
PRIMARY DATA
Primary data is an evolution data, which do not exist prior to initiating an evolution study. It is
collected directly from the field of study under consideration. It is time consuming and requires
lot of time and costly affair.
During the research I followed questionnaire which was administered to a sample of 110
people who are using Royal Enfield Bikes and their responses have been collected personally
for analyzing the customer perception of customers towards Royal Enfield Bikes at Klasik
Motors, Hubli.
 Personal interview with owners

 Personal interview with managers
 Personal interview with customers
 Observation
SECONDARY DATA
Secondary data is the data maintained by and organized for use in its normal course or
operation and which can be used for evaluate purposes. It is a pre collected data which is not
accurate and freely available on company websites, journals, published research articles etc.
The data such as address of customers who have purchased Royal Enfield Bikes and other
data information relating to the project was collected from dealer’s showroom. For analyzing,
classification and presentation the collected data was tabulated and presented in various
diagrams, graphs and charts.
 Internal records
 Journals
 Manual
 Internet

LIMITATIONS OF THE STUDY
 Limited time for the study

 The study is only limits to the population of HUBALLI city.
 The personal bias of the customer may affect the research.

DATA ANALYSIS & INTERPRETATION

Question: Gender
Table No. 1.
Particulars Frequency Percentage

A Male 93 85
B Female 17 15
Chart No. 1
Percentage
100
50
85
15
0
Male Female
Analysis:
Out of 110 respondents, I found that 85 % of the respondents are male and 15% are
female
Interpretation:
From the above chart it is interpreted that 85% all the respondents are male

Question:Occupation
Table No. 2.
Particulars Frequency %
A Student 37 33.6
B Professional 30 27
C Businessman 23 21
D Others 20 18.4
Chart No. 2
Percentage
40
30
20
34 27 21
10 18
0
Analysis:
Out of 110 respondents, I found that 34% of the respondents are students, 27% of the
respondents are professionals, and 21% of the respondents are businessmen whereas 18% of
respondents are others.
Interpretation:
From the above analysis it is interpreted that (34%) majority of the respondents are
students.

Question:Age
Table No. 3.

a 18-25 years 48 44
b 26-32 years 40 36
c 33-40 years 14 13
d 41 and above 8 7
Chart No. 3
Percentage
60
40
20
44 13 7
0 36
18-25 26-32 33-40 41 and
years years years above
Analysis:
Out of 110 respondents, I found that 44% of the respondents are in the age group of 18 –
25 years, 36% of the respondents are in the age group of 26 – 32 years, and 13% of the
respondents are in the age group of 33 – 40 years whereas only 7% are in the above 41 years.
Interpretation:
From the above analysis it is interpreted that (44%) majority of the respondents are in the
age group of 18 – 25 years.

Question:Annual income
Table No. 4.

a Less than 1,20,000 43 39
b 1,20,000-3,00,000 32 29
c 3,00,000-7,00,000 20 18
D 7,00,000 and above 15 14
Chart No. 3
Percentage
40
30
20 39 29
10 18 14
0
Analysis:
Out of 110 respondents interviewed, I found that (39%) of the respondents are having
income between Less than 1,20,000 , (29%) of the respondents are having income between
1,20,000 to 3,00,000, (18 %) of the respondents are having income 3,00,000-7,00,000 whereas
there are only (14 %) of the respondents whose income is above 7,00,000
Interpretation:
From the above analysis it is interpreted that (39%) majority of the respondents are
having income between less than 1,20,000.

Question:Which model of Royal Enfield do you presently own?
Table No. 5.

A Classic 350 40 36
B Classic 500 35 32
C Eletra 18 16
D other 17 15
Chart.No.5.
Percentage
40
30
20
10 32 16 15
36
0
Classic Classic Eletra other
350 500
Analysis:
Out of 110 respondents, I found that (36%) of the respondents are having Royal Enfield
Classic 350 bike, (32%) of the respondents are having Royal Enfield Classic 500 CC bike, (16
%) of the respondents are having Royal Enfield Eletra whereas (15 %) of the respondents have
other bikes like Interceptor, Himalayan Thunderbird etc.
Interpretation:
From the above analysis it is interpreted that (36%) majority of the respondents are Royal
Enfield Classic 350 CC bike

Question:What made you buy this model?
Table No. 6.

a Style 51 46
b Status Symbol 28 25
c Maintenance 13 12
d Power of bike 17 15
e Others 1 1
Chart.no.6
Percentage
50
40
30
20 46 25
10 12 15 1
0
Analysis:
Out of 110 respondents, I found that (46%) of the respondents buy Royal Enfield Bikes
because of style, (25%) of the respondents buy Royal Enfield Bikes because of status symbol ,
(15%) of the respondents buy Royal Enfield Bikes because of power of the bike whereas only
(12%) of the respondents buy Royal Enfield Bikes because of maintenance.
Interpretation:
From the above analysis it is interpreted that (46%) majority of the respondents buy
Royal Enfield Bikes because of style.

Question:How did you come to know about it?
Table No. 7.

a News paper 21 19
b Advertisement 26 24
c Friends/Relatives 47 43
d Others 16 15
Chart.No.7
Percentage
60
40
20 24 43
19 15
0
Analysis:
Out of 100 respondents, I found that (43%) of the respondents came to know about Royal
Enfield bikes through friends & relatives, (24%) of the respondents came to know about Royal
Enfield bikes from Advertisement, (19%) of the respondents came to know about Royal Enfield
bikes through Newspaper whereas only (15%) of the respondents came to know about Royal
Enfield bikes through others sources like Facebook, Twitter etc.
Interpretation:
From the above analysis it is interpreted that (43%) majority of the respondents came to
know about Royal Enfield bikes through friends & relatives.

Question:For what purpose you use your bike?
Table No. 8.

a College 40 36
b Professional Rider 33 30
C Office 27 25
d Others 10 9
Chart.no.8
Percentage
40
30
20
10 36 30 25 9
0
Analysis:
Out of 110 respondents, I found that (36%) of the respondents use Royal Enfield bikes
for college purpose (30%) of the respondents use Royal Enfield bikes for professional rides,
(25%) of the respondents use Royal Enfield bikes for travelling to office whereas (9%) use it for
other purposes like status symbol, short road trip etc.
Interpretation:
From the above analysis it is interpreted that (36%) majority of the respondents use Royal
Enfield bikes for college purpose.

Question:How do you rate your bike among other bike which is available?
Table No. 9.
Particulars Frequency %
a Excellent 32 29
b Very Good 41 37
c Average 31 28
d Poor 5 5
e Very Poor 1 1
Chart.No.9
Percentage
40
30
20
10 29 37 28 5 1
0
Analysis:
Out of 110 respondents, I found that (37%) of the respondents rated Royal Enfield bikes
as very good compared to other bikes (29%) of the respondents rated Royal Enfield bikes as
excellent compared to other bikes, (28%) of the respondents rated Royal Enfield bikes as average
compared to other bikes, whereas (5%) of the respondents rated Royal Enfield bikes as poor
compared to other bikes
Interpretation:
From the above analysis it is interpreted that (37%) majority of the respondents rated
Royal Enfield bikes as very good compared to other bikes.

Question:What do you say about the maintenance of your bike?
Table No. 10.

a Expensive 58 53
b Affordable 52 47
Chart.No.10
Percentage
55
50
53
45
47
40
Expensive Affordable
Analysis:
Out of 110 respondents, I found that (53%) of the respondents say maintenance of Royal
Enfield bikes is expensive whereas (47%) of the respondents say it is affordable
Interpretation:
Royal Enfield bike maintenance as expensive.

Question:Is Royal Enfield bike good on all roads?
Table No. 11.

A Yes 83 75
B No 27 25
Chart.No.11
Percentage
100
50
75
25
0
Yes No
Analysis:
Out of 110 respondents, I found that (75%) of the respondents say Royal Enfield bikes
are good on all roads whereas only (25%) of the respondents rated as they are not good on all
roads
Interpretation:
Royal Enfield bikes as good on all roads.

Question:What is your comment on the price of your Royal Enfield bike?
Table No. 12.

a Costly 43 39
b Standard 60 55
c Economical 70 6
Chart.No.12
Percentage
100
50
39 55
6
0
Costly Standard Economical
Analysis:
Out of 110 respondents, I found that (55%) of the respondents rated Royal Enfield bikes
pricing as standard (39%) of the respondents rated Royal Enfield bike pricing as costly whereas
(6%) of the respondents rated as economical.
Interpretation:
Royal Enfield bikes pricing as standard.

Question:Is there any variation you expect?
Table No. 13.

a Price 38 35
b Service 43 39
c Quality 14 13
d Product Design 15 14
Chart.No.13
Percentage
40
20 35 39
13 14
0
Price Service Quality Product
Design
Analysis:
Out of 110 respondents, I found that (39%) of the respondents said there is variation in
service of Royal Enfield bikes (35%) of the respondents said there is variation is price of Royal
Enfield bikes whereas (14%) of the respondents rated there is variation in product design of the
bikes whereas (13%) of respondents rated there is a variation in quality .
Interpretation:
From the above analysis it is interpreted that (39%) majority of the respondents said there
is variation in Royal Enfield bikes service.

Question:Does Royal Enfield understand the need of the customer?
Table No. 14.

a Yes 75 68
b No 35 32
Chart.No.14
Percentage
100
50
68 32
0
Yes No
Analysis:
Out of 110 respondents, I found that (68%) of the respondents are say Royal Enfield understand
customers need whereas only (32%) of the respondents say Royal Enfield does not understand
customer’s needs.
Interpretation:
From the above analysis it is interpreted that (68%) majority of the respondents say that
Royal Enfield understand customer’s needs.

Question:Will you recommend this product to your friends and relatives?
Table No. 15.

a Yes 46 42
b No 32 29
c Maybe 32 29
Chart.No.15
Percentage
50
42
29 29
0
Yes No Maybe
Analysis:
Out of 110 respondents, I found that (42%) of the respondents would recommend Royal
Enfield bikes whereas only (29%) of the respondents would not recommend (29%) of the
respondents may recommend.
Interpretation:
From the above analysis it is interpreted that (42%) majority of the respondents would
recommend Royal Enfield bikes.

Question:Which brand would you prefer other than Royal Enfield?
Table No. 16.

Bajaj Dominar
a Adventure 19 17
b KTM 390 Adventure 56 51
c Jawa 3500 HC 17 15
d Other 18 16
Chart.No.16
Percentage
60
40
20 51
17 15 16
0
Bajaj KTM 390 Jawa 3500 Other
Dominar Adventure HC
Adventure
Analysis:
Out of 110 respondents, I found that (51%) of the respondents would prefer KTM 390,
(17%) of respondents would prefer Bajaj domineer, whereas only (16%) of the respondents
would prefer others whereas (15%) of respondents would prefer Jawa 3500 HC.
Interpretation:
From the above analysis it is interpreted that (51%) majority of the respondents would prefer
KTM 390.

Question:What do you think about the resale value of your Royal Enfield bike?
Table No. 17.

a Excellent 12 11
b Good 59 54
c Average 34 31
d Poor 5 5
Chart.No.17
Percentage
60
40 54
20 31
11 5
0
Excellent Good Average Poor
Analysis:
Out of 110 respondents, I found that (54%) of the respondents say they have good resale
value for Royal Enfield bikes, (31%) of the respondents say they have average resale value,
(11%) of the respondents say they have excellent resale value whereas (5%)of the respondents
say they have poor resale value for Royal Enfield bikes.
Interpretation:
From the above analysis it is interpreted that (54%) majority of the respondents say they
have good resale value for Royal Enfield bikes.
Question:Please indicate your perception level with respect to company image of "Royal
Enfield Ltd"?

Table No. 18.

a Excellent 14 13
b Good 41 37
c Average 43 39
d Below Average 10 9
e Not satisfied 2 2
Chart.No.18
Percentage
40
30
20 13 39
10 37 9 2
0
Analysis:
Out of 110 respondents, I found that (39%) of the respondents have average perception
towards Royal Enfield bikes, (37%) of the respondents have good perception towards Royal
Enfield Bikes, (13%) of the respondents say they have excellent perception towards Royal
Enfield Bikes, whereas (9%)of the respondents say they have below average perception towards
Royal Enfield bikes and (2%) of the respondents say they are not satisfied with Royal Enfield
bikes.
Interpretation:
From the above analysis it is interpreted that (39%) majority of the respondents say they
have average perception towards Royal Enfield bikes.

FINDINGS
 Out of 110 respondents, 85% were male.

 (34%) majority of royal Enfield users were students
 (44%) majority of royal Enfield user I in the age group of 18 – 25 years
 (39%) of the respondents were having an income between Less than 1,20,000.
 (36%) majority of respondents owned Classic 350 cc bike
 (46%) majority of respondents purchased Royal Enfield bikes as status style.
 (43%) majority of the respondents came to know about Royal Enfield bikes through
friends & relatives.
 (36%) majority of the respondents use bikes for College purpose.
 (37%) majority of the respondents rated Royal Enfield bikes as very good compared to
other bikes.
 (53%) majority of the respondents felt maintenance of Royal Enfield bikes is expensive.
 (75%) majority of the respondents feel Royal Enfield bikes are good on all roads
 (55%) majority of the respondents feel the pricing of Royal Enfield bikes is standard.
 (39%) majority of the respondents feel there is variation in service.
 (68%) majority of the respondents feel Royal Enfield understand customer’s needs.
 (42%) majority of the respondents would recommend Royal Enfield bikes to their friends
and relatives
 (51%)majority of the respondents would prefer KTM 390 other than Royal Enfield bikes.
 (54%) majority of the respondents feel there is good resale value for Royal Enfield bikes.

SUGGESTIONS
1. From the above survey it was found that many people preferred Royal Enfield Classic
350 & Electra model, I suggest that they should promote other models extensively and
bring more features in these two preferred models.
2. There were few respondents who suggested fuel meter should be added in all the bikes as
they don’t get to know when they should refill the tank.
3. Royal Enfield should go for aggressive advertisement strategies and tap the untapped
market.
4. Since college students are major users of the bikes in this study I suggest to provide
safety accessories with the products like gloves, helmet and gears and add the same
charges in the cost of bikes.
5. Follow standard service for a particular duration as respondents felt there is variations in
service.

CONCLUSION
Royal Enfield has made its mark with the legendary history it has and maintains the
image of the products they produce till date. The company has its own ways of marketing the
products and has been maintaining the brand value. The promotional activities of the company
are going quite strong but for the company to attain market share leader status they will have to
follow aggressive sales strategies as with the change in time the competition is only to increase
as in the year 2017 we saw launch of 30 new bikes in the market and also give importance to
advertising. The old generation models did not need advertising as these were in late 50’s and
80’s. They were not much of promotions known then, the competition lacked too and the
company having such goodwill as the military personnel used the bikes because it was made for
such use.
The company is doing well but it needs to have a vision about becoming the market leaders and
cutting through the little competition they have.
So I conclude that royal Enfield bikes are having a very positive perception towards
Royal Enfield Bikes and they should maintain this legacy and work hard in building positive
vibes among the customers. Being one of the royal Enfield customers I personally developed
very good attitude towards these bikes as they have been built really strong.

Royal Enfield

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Klasik Motors, Hubli

TITLE OF THE PROJECT

OBJECTIVE OF THE STUDY

1. To understand the customer perception towards performance of ROYAL ENFIELD.

SCOPE OF THE STUDY

Limitations of the study:

KLE College of Business Administration, Hubballi Page 1

INDUSTRY: motorcycles, bicycles, lawnmowers, cars

FOUNDER: Albert Eadie and Robert Walker Smith

PRODUCTS: Royal Enfield Clipper, Crusader, Bullet, Interceptor,WD/RD, Super

HEADQUARTERS: Redditch, United Kingdom, England

KLE College of Business Administration, Hubballi Page 2

Evolution of Two-wheeler Industry in India

KLE College of Business Administration, Hubballi Page 3

KLE College of Business Administration, Hubballi Page 4

Table 1: Demand Forecast for Motorcycles and Scooters for 2016-17

KLE College of Business Administration, Hubballi Page 5

KLE College of Business Administration, Hubballi Page 6

KLE College of Business Administration, Hubballi Page 7

The Early Years

The India connection

KLE College of Business Administration, Hubballi Page 8

The Eicher Chapter

KLE College of Business Administration, Hubballi Page 9

PARENT Eicher Motors

KLE College of Business Administration, Hubballi Page 10

KLE College of Business Administration, Hubballi Page 11

S.NO NAME DESIGNATION

1 Mr. Jadrinder Singh Regional Manager 1

KLE College of Business Administration, Hubballi Page 12

KLE College of Business Administration, Hubballi Page 13

Promoter Imam Hussain Kolur

Address Klasik Motors, Kusugal Road, Keshwapur, Apex Center 58003

KLE College of Business Administration, Hubballi Page 14

Royal Enfield bullet Electra 5s

KLE College of Business Administration, Hubballi Page 15

Royal Enfield Bullet 350 Standard

Royal Enfield Thunderbird Twinspark

The New Royal Enfield-Thunderbird Twinspark offers an unmatched cruising experience

KLE College of Business Administration, Hubballi Page 16

ROYAL ENFIELD CLASSIC 350cc and CLASSIC 500cc

KLE College of Business Administration, Hubballi Page 17

Royal Enfield Himalayan

KLE College of Business Administration, Hubballi Page 18

ROYAL ENFIELD INTERCEPTOR

The Royal Enfield Interceptor 650 is a 270°parallel twin retro-

KLE College of Business Administration, Hubballi Page 19

ROYAL ENFIELD DESERT STORM

KLE College of Business Administration, Hubballi Page 20

BAJAJ DOMINAR ADVENTURER

KTM 390 ADVENTURE - Render of the 390 Adventure

KLE College of Business Administration, Hubballi Page 21

JAWA 350 OHC

BENELLI IMPERIALE 400

NORTON SCRAMBLER 650

KLE College of Business Administration, Hubballi Page 22

UM currently offers a slew of cruiser motorcycles in the Indian market. United

KLE College of Business Administration, Hubballi Page 23

1. Oldest motorcycle brand in the world.

1. Weak product diversity.

1. Tap the urban market.

KLE College of Business Administration, Hubballi Page 24

1. Cut throat competition (KTM, Bajaj, Hero, Honda, TVS)