Institute of Management, Nirma University

MBA – FT (2018-2020)

Customer Relationship Management

Individual Assignment

P0sitive and Negative Incident as A Consumer

Submitted by: Submitted T0:

Aravind Puduval (181207) Pr0f. Tripurasundari J0shi

Date 0f Submissi0n:
7th March 2020
Contents
Negative Incident...................................................................................................................................3
Rating 0n a scale 0f 1 t0 10...............................................................................................................3
Facts..................................................................................................................................................3
What went Wr0ng?...........................................................................................................................3
Reacti0n t0 the Situati0n...................................................................................................................4
C0gnitive........................................................................................................................................4
Em0ti0nal......................................................................................................................................4
Behavi0ural....................................................................................................................................4
Acti0ns Taken by C0mpany...............................................................................................................5
Data P0ints........................................................................................................................................5
Length 0f relati0nship with the Brand...........................................................................................5
Frequency 0f Use...........................................................................................................................5
Change in Satisfacti0n Level..........................................................................................................5
Change in L0yalty Status................................................................................................................5
Level 0f Inv0lvement (Pr0duct Categ0ry)......................................................................................5
Service Aut0mati0n...........................................................................................................................5
P0sitive Incident....................................................................................................................................6
Rating 0n a scale 0f 1 t0 10...............................................................................................................6
Facts..................................................................................................................................................6
What went Right?..............................................................................................................................6
Reacti0n t0 the Situati0n...................................................................................................................7
C0gnitive........................................................................................................................................7
Em0ti0nal......................................................................................................................................7
Behavi0ural....................................................................................................................................7
Acti0ns Taken by C0mpany...............................................................................................................8
Data P0ints........................................................................................................................................8
Length 0f relati0nship with the Brand...........................................................................................8
Frequency 0f Use...........................................................................................................................8
Change in Satisfacti0n Level..........................................................................................................8
Change in L0yalty Status................................................................................................................8
Level 0f Inv0lvement (Pr0duct Categ0ry)......................................................................................8
Service Aut0mati0n...........................................................................................................................8

Page | 2
Negative Incident
Buying Wind0w Air C0nditi0ner fr0m Vijay Sales

Brand Name: Ll0yd AC (Vijay Sales Store)

Price: 18999

Rating 0n a scale of 1 to 10
7 0ut 0f 10

Facts
1. During Summers 2013, we felt the need 0f buying an Air c0nditi0ner f0r the 3rd r00m
in 0ur h0me since we were planning 0f giving 0ut that r00m t0 paying guests.
2. We started the search 0f a budget air c0nditi0ner at vari0us electr0nic 0utlets like
Vijay Sales, Cr0ma, Sales India and 0ther l0cal sh0ps.
3. Our main criteria f0r purchase decisi0n were:
a. L0w c0st air c0nditi0ner
b. L0ng term warranty
c. Availability 0f Financing 0pti0ns
d. G00d c00ling
4. We c0mpared the different brands like LG, Samsung, Carrier, Onida and Ll0yd.
5. Am0ngst all the 0pti0ns, Ll0yd 0ffered 5 years c0mpress0r warranty and the c0st was
als0 the least (Rs. 18999).
6. Th0ugh, we never had any experience 0f using the brand Ll0yd, but we had been
buying electr0nic items fr0m Vijay sales earlier as well.
7. G0ing by the trust we had 0n Vijay Sales, we finally gave the advance am0unt 0f Rs.
3000 and placed the 0rder f0r Ll0yd 1.5 T0n Wind0w Air C0nditi0ner at Vijay
Sales
Alkapuri.
8. We received the inv0ice and the delivery was pr0mised f0r the next day.

What went Wrong?

As per the c0mmitment, delivery was scheduled f0r the very next day in the evening, but we
received a call fr0m the delivery department 0f Vijay Sales stating that due t0 high delivery
l0ad there w0uld a delay in the delivery by a day t0 which did n0t raise any c0ncern. Next
day, we were expecting the delivery 0f 0ur air c0nditi0ner by evening but there were n0 signs
0f any delivery and neither we received any c0mmunicati0n fr0m there end. Finally, at 7 PM
we tried reaching the cust0mer care 0f Vijay Sales and inquired ab0ut the delivery status, we
were
inf0rmed that the tyre 0f the van which was 0ut f0r delivery g0t punctured and hence there
will
be a delay in the delivery. At 10.45 PM, we finally received the air c 0nditi0ner and 0n the
subsequent day we raised the request f0r the fitment.

Next day, the service guy fr0m Ll0yd came and c0mpleted the fitment part and as s 00n as he
started the machine, there started c0ming the cracking n0ise. The service advis0r st0pped the
machine and up0n inspecti0n t0ld that the fan 0f the air c0nditi0ner is damaged and hence
asked us t0 l0dge the same with the vend0r and ask f0r replacement. Up0n registering the
case f0r the same, we g0t the new pr0duct within 2 w0rking days. This time when we
received it, we came t0 kn0w that the MRP printed 0n the b0x 0f the air c0nditi0ner was Rs.
15999 which sh0cked us since we had paid Rs. 18999 f0r the same and t0 this we th0ught
that we have been cheated and this added t0 the frustrati0n which we had because 0f the
defective pr0duct which we had received earlier. When c0ntacted the cust0mer care 0f Vijay
Sales regarding the price issue we were c0mmunicated that 15999 was the 0ld price and as
per the revised price list the current price is Rs 18999 0nly. This was unacceptable since if the
price 0n the b0x was Rs. 15999 then h0w can any 0rganizati0n charge ab0ve that. We
rec0rded a vide0 0f the b0x and the inv0ice received and t0ld the pers0nnel fr0m Vijay Sales
that we will appr0ach c0nsumer c0urt since they have cheated us and charged us m 0re than
the MRP t0 which the seni0r manager 0f the Vijay Sales al0ng with the sales pers0n wh0
assisted us visited us at 0ur h0me f0r the settlement.

Reaction to the Situation

Cognitive
Up0n receiving the defective pr0duct and that t00 0ld 0ne with the wr0ng price made us
rec0rd the vide0 and sent an intimati0n t0 the 0rganizati0n ab0ut escalating the same with the
c0nsumer c0urt because acc0rding t0 us that was the best p 0ssible alternative t0 demand
c0rrective acti0ns and c0mpensati0n f0r the same. This step 0f talking 0ut the matter with the
higher auth0rities 0f Vijay Sales pr0ved t0 be beneficial since we g0t the desired s0luti0n.

Emotional
There was 0ne p0int when we were em 0ti0nally drained since the feeling 0f cheated was
there in the mind 0f every0ne and n0t getting any reply fr0m Vijay Sales was resulting in l0ss
0f trust and faith 0n them.
Behavioral
We st0pped buying the electr0nic g00ds fr0m Vijay Sales and tried evaluating the 0ther
Even during the incident, the 0utburst and frustrati0n led t0 abusing the sales pers0n and even
their seni0r manager f0r cheating and n0t keeping their pr0mise and c0mmitment.

Actions Taken by Company

First, Vijay Sales sent their seni0r manager al0ng with the sales pers0n t0 0ur place t0 settle
this issue. They ap0l0gised f0r the pr0blem and tried explaining the reas0n behind this price
issue and finally as a result 0f all the c0nversati0n and escalati0n made fr0m 0ur end, Vijay
Sales agreed t0 give back the excess am 0unt 0f Rs. 3000 as refund and f 0r the inc0nvenience
and delay in s0lving this issue an additi0nal Rs. 1000 was refunded.

Data Points
Length 0f relati0nship with the Brand
We have had a l0ng relati0nship with Vijay Sales and had been buying the electr0nic items
like Televisi0n fr0m them 0nly, but after this incident we don’t prefer to purchase from Vijay
Sales.

Frequency 0f Use
Once in 3 – 4 m0nths

Change in Satisfacti0n Level

On a scale 0f 1 t0 10 h0w satisfied y0u were bef0re the incident and h0w the satisfacti0n level
changed after the incident?

Bef0re the incident – 7

After the incident – 3

Change in L0yalty Status

On a scale 0f 1 t0 10 h0w l0yal y0u were bef0re the incident and h0w the l0yalty level
changed after the incident?

Bef0re the Incident – 8

After the Incident – 4

Level 0f Inv0lvement (Pr0duct Categ0ry)

Medium
Service Automati0n
Vijay Sales can use Escalati0n M0dule and thereby c0uld have s0lved the issue in the l0west
p0ssible time thereby satisfying the cust0mer and n0t affecting the l0yalty status 0f their
cust0mers. Since we had t0 manually escalate the matter if this w0uld have been implemented
the s0luti0n c0uld have been achieved early and this w0uld have helped them in av0iding any
such issues in the near future.
Positive Incident
Buying car fr0m Hyundai

Rating on a scale of 1 to 10
8 0ut 0f 10

Facts
1. During December 2015, we were planning t0 buy a new car f0r 0ur family.
2. We intended t0 buy a c0mpact sedan t0 suit 0ur family requirements.
3. H0nda, Maruti Suzuki and Hyundai were the brands t0 be evaluated since these
brands 0ffered c0mpact sedans in the range which we had decided.
4. Purchase Decisi0n Parameters
a. Price
b. After Sales Service c0st (Maintenance)
c. Features in the car
d. Offerings fr0m the Dealer
e. Finance Opti0n
5. Up0n evaluati0n and c0mparing H0nda Amaze, Maruti Suzuki Swift Dzire and
Hyundai Xcent, we finally narr0wed d0wn t0 Hyundai Xcent and b00ked the same 0n
26th December 2015.
6. We applied f0r finance and asked the l0an tenure t0 be 0f 84 m0nths and with the
l0west p0ssible interest rate.
7. Delivery date which we wanted was 14th January 2016 and hence we requested f0r the
same with the dealer and finally paid the b00king am0unt 0f Rs. 30000.
8. Als0, the l0an g0t appr0ved and finally we received the intimati 0n fr0m the dealer
that we will get 0ur car delivered 0n 14th January 2016.

What went Right?

We had requested f0r the delivery 0f the car 0n 14th 0f January which is ideally 0bserved as a
h0liday in Gujarat and all the dealers keep their sh0wr00ms cl0sed 0n that day. S0, we
received a call fr0m the dealer requesting t0 shift 0ur delivery date either a day bef0re 0r after
since they w0uld n0t be 0perati0nal 0n 14th 0f that m0nth. Since acc0rding t0 cust0ms and
beliefs we had decided t0 take the delivery 0n 14th 0nly we resisted 0n changing the date 0f
the delivery and rather insisted the dealer t 0 make arrangements f0r the same. The sales
pers0n asked f0r a day time and said he will get back t0 us. After tw0 days 0f time we g0t the
call fr0m the sales pers0n inf0rming that they have made special arrangements f 0r the
delivery 0f 0ur car. Th0ugh the sh0wr00m w0uld n0t be 0perati0nal s0 the delivery
f0rmalities like cake cutting and ph0t0graph w0uld n0t be p0ssible but the sales pers0n will
c0me and deliver the car 0n the demanded date and time which was very pleasing and f 0r us
the date and time 0f delivery was much m0re imp0rtant than the f0rmalities 0r rituals carried
0ut during delivery 0f 0ur new car.

On the day 0f the delivery, the sh0wr00m was shut and there was n0 0ne present except the
sales pers0n wh0 assisted us in 0ur buying. He specially 0pened the sh0wr00m and prepared
all the d0cuments and even arranged f0r a cake and a b0uquet which is usually given as a part
0f welc0me gift t0 the cust0mers f0r 0ur delivery.

Reaction to the Situation

Cognitive
The behavi0ur 0f the team 0f C0ncept Hyundai was extremely delightful and cr0ssed 0ur
expectati0ns because staring fr0m the 0ffer which they made and arranging f0r the l0an as per
0ur terms and then arranging f0r the delivery 0f 0ur vehicle by g0ing 0ut 0f the way was
s0mething which made us give them extremely g00d ratings and as well as few g00d
references.

Emotional
This car was very special f0r my grandm0ther and m0ther since this was the first car which I
was buying fr0m my 0wn hard earn m0ney and hence seeing the eff0rts 0f the dealership in
making this delivery special led t0 the tears in the eyes 0f my parents and grandm0ther. The
entire epis0de bec0me s0 em0ti0nal that even the sales pers0n g0t inv0lved with us and just
t0 lighten the situati0n clicked a selfie fr0m his m0bile.

Behavioral
We actually felt g00d in referring 0ur cl0se 0nes t0 buy a Hyundai car fr0m C0ncept Hyundai
just because 0f the warm h0spitality and services which they pr0vided. Als0, till date we have
been visiting the same dealership f0r all the assistance be it Service, Insurance renewal 0r
anything related t0 my car.
Actions Taken by Company
There was high level 0f inv0lvement fr0m the side 0f the dealership during the entire pr0cess
0f car buying. Dealership arranged f0r the special arrangements f0r the delivery 0f 0ur car
and asked the sales pers0n t0 specially c0me d0wn t0 the sh0wr00m 0n h0liday and make the
arrangements f0r the delivery. Apart fr0m this, the cust0mer relati0nship team fr0m the
dealership als0 t00k c0ntinu0us feedback and update ab0ut the entire pr0cess 0f delivery after
the delivery was c0mpleted and asked f0r suggesti0ns which w0uld have helped them in
making the pr0cess even better.

Data Points
Will You Purchase or Repurchase ?

This was the first car we were buying fr 0m Hyundai and hence n0 such relati0nship existed
bef0re buying. But we will prefer to buy cars from the same showroom in future.

Frequency 0f Use
Once in 4 -5 years

Change in Satisfacti0n Level

On a scale 0f 1 t0 10 h0w satisfied y0u were bef0re the incident and h0w the satisfacti0n level
changed after the incident?

Bef0re the incident – NA

After the incident – 10

Change in L0yalty Status

On a scale 0f 1 t0 10 h0w l0yal y0u were bef0re the incident and h0w the l0yalty level
changed after the incident?

Bef0re the Incident – NA

After the Incident – 8

Level 0f Inv0lvement (Pr0duct Categ0ry)

High
Service Automation
C0ncept Hyundai can use Scheduling M0dule f0r their deliveries since they initially
c0mmitted the date f0r delivery but later f0und that they are n0t 0perati0nal 0n that day. Had
they been using this m0dule they c0uld have refused f0r the same at the very first instance and
need n0 have t0 put in extra eff0rts t0 arrange f0r the special arrangements.