You are on page 1of 42





I thank to my college Director Mr. Mohan S. Rao for his encouragement

and extending his support in completing the study at HOTSPOT RETAIL Pvt. Ltd.

I wish to express my heartfelt thanks to Mr. R. Vijay Prasad Marketing

Faculty of VISHWA VISHWANI Institute of Systems and Management
for his guidance, vital Support & cooperation.

Last but not the least; I am grateful to Mr. SANTOSH KUMAR (H.R.
MANAGER, HOTSPOT RETAIL) for their unfolding Stretch on Which the
Project has been written.
I am very much grateful to my parents for their support & inspiration on this



Page No.

Introduction 5

Company profile 7

Industry profile 11

Literature review 16

Objectives of the study 20

Limitations of the study 22

Research methodology 23

Data Analysis & Interpretation 32


Findings 37

Recommendation 38

Annexure 39

Bibliography 45


The retail industry is one of the fastest growing industries in India. The
significance of these remarks sinks in gradually. With planned investments of $22
billion over the next five years -- excluding what might be brought in by new
global and large local players henceforth -- the retail sector is expected to grow
40% to $427 billion by 2011.

Organized retail, which is 3% of the whole currently, is in turn pegged to grow to

$64 billion by 2015. And one consequence of all those investments will be the fact
that India's present two square-feet per capita retailing space will rise 15-20% by
The Indian retail market is estimated at US$ 215 billion at the ninth position in the
world. With a growth rate of 30%, Indian retail industry has the highest growth
rate in the world.

History of Indian Retail industry started in 1980 when the first retail outlet is
established in India in Calcutta by kishore baiyani as pantaloon retail and also be
an open economy.
Traditionally retailing in India can be traced to
– The emergence of the neighborhood ‘Kirana’ stores catering to the
convenience of the consumers
– Era of government support for rural retail: Indigenous franchise model
of store chains run by Khadi & Village Industries Commission

The first wind of reforms in retail sector began to flow in 1980s when the private
sector or organized retail outlet enter in the market .before it the Indian retail
market is fully captured by local Kirana store.
Today, on seeing the growth of retail industry maximum organization are entering
or going to enter in this sector. As entering the companies here competition is also
increased day per day. For retain the company in market service is important fact.
To providing better service to customer companies are doing hard work, for
improving it more this research is done.

Hotspots Retails Pvt. Ltd. is a part of MCorp Global group now known as ‘Spice’.
Hot Spot has created a highly visible retail focusing on lifestyle technology
products, with a continuously upgraded innovative multi-brand product range.
It offers a unique retailing experience and ambience to help customers 'Enjoy
Technology' and make a knowledge based choice by offering him world class
services for Mobile handsets, Airtime and VAS.

The focus is on developing the market amongst young, techno-savvy, fun loving,
style conscious customers. Hotpsot plans an aggressive roll-out of stores, to ensure
a high coverage of the market.

We are a multi-faceted management group that is engaged in establishing a lead in

an emerging business area, which is an outcome of the linkages and converging
communication and entertainment technologies.
The process of establishing new businesses is through the "SPICE" brand, that is,
‘Synchronized performance through Innovation in Communication and
Entertainment’, which seeks to fulfil the integrated technological needs of global
customers. SPICE will enable re-engineering of our existing businesses for greater
competitiveness through building new strategic partnerships both in India and

We have a proven track record of over 30 years in building some of Asia’s most
successful Joint Venture Partnerships in collaboration with world leaders in cutting
edge technologies – Mobile Phones, Mobile Retail, Onshore BPO, Mobile VAS, IT
Systems Integration, Entertainment and Retail Real Estate.

With our base of strong intellectual capital, joint-venture expertise, global

connectivity, proven track record and benchmark in corporate governance, we have
redefined the scope of our operations and refocused our strategies to further
strengthen our global positioning.

We aim to inspire the Indian masses to connect and aspire to own the SPICE
Brand. Our focus is on niche markets in each business area, and we seek to expand
our reach and responsiveness through a pan India presence.
The group is divided into two parts on the basis of work. First is communication
sector which contain the subsidiaries company cellebrum, hotspot, spice mobiles.
And other is spice entertainment which contains spice world and spice m-films.

To be the most preferred choice of energetic young minds for Communication and
Entertainment products and services by 2011


To be the first business entity to provide user-friendly and innovative solutions for
young minds in the Information, Communication and Entertainment space

Industry profile:--
Emerging markets such as India and China are the final frontier for retail
taking the focus away from saturated Western markets. Since 2001, 49
global retailers entered 90 new markets, but at the same time, 17 retailers
left markets in 2005.

The Indian retail industry in valued at about $300 billion and is expected to
grow to $427 billion in 2010 and $637 billion in 2015. Only three percent
of Indian retail is organised. Retailers of multiple brands can operate
through a franchise or a cash-and-carry wholesale model.
Retail is India’s largest industry, accounting for over 10 percent of the
country’s GDP and around eight percent of employment. Retail in India is
at the crossroads. It has emerged as one of the most dynamic and fast paced
industries with several players entering the market. That said, the heavy
initial investments required make break even hard to achieve and many
players have not tasted success to date. However, the future is promising;
the market is growing, government policies are becoming more favourable
and emerging technologies are facilitating operations.
Retailing in India is gradually inching its way to becoming the next boom
industry. The whole concept of shopping has altered in terms of format and
consumer buying behavior, ushering in a revolution in shopping. Modern
retail has entered India as seen in sprawling shopping centres, multi-
storeyed malls and huge complexes offer shopping, entertainment and food
all under one roof.

The Indian retailing sector is at an inflexion point where the growth of

organised retail and growth in the consumption by Indians is going to adopt
a higher growth trajectory. The Indian population is witnessing a significant
change in its demographics. A large young working population with median





CSD Store
MANAGER Store Store
manager manager
(SALES) manager manager
Area sales

Business Business Business Business

development development development development
manager manager manager manager

Customer Satisfaction

The Value of Customer Satisfaction

By “Andrew Mennie”, General Manager eGain Communications EMEA

What is the connection between customer satisfaction and the bottom line?
Ever wondered how much customer satisfaction is worth? We all know and
Accept that it is a strategic goal for all organizations involved in the delivery of
customer service. Yet in all my experience as a professional in this arena,
I have never come across a customer services director who could articulate the
financial value of customer satisfaction to their business. Conversely, I have
Never met a customer service Director Who wasn’t measured on it. How Bizarre.
Big business is happy to measure it but doesn’t know what its worth.
One of the reasons for the difficulty in making the connections is the Intangibility of
customer churn. That is to say, how dissatisfied does a
Customers have to be before they leave and sign with the competition? What
Might be an intolerable experience for one customer may well exceed all
expectations of another. Then there’s competition. What if there isn’t any?
Before deregulation how concerned were the large utility companies with
Customer satisfaction or British Telecom comes to that. Interesting therefore
That the telecoms sector is where war is being waged on customer
Satisfaction could it that be high customer satisfaction attracts new customers and
helps retain existing ones? Sounds like that could be worth something.

There is no question that customer satisfaction is difficult to measure, but why

Is measurement so essential?

As a student I opened my first bank as an adult with a major high street Bank.
They attracted me with their offer of a $ 10 deposit to the account. I Stayed with
them through the four years of university, through the gradually
Increasing overdraft, the unintentional forays beyond the overdraft limit, the lost
ATM cards, the replacement cheque books, the minimal deposits, the regular and
very small withdrawals. Except for the penalty charges for the

Overdraft excursions the bank made very little money out of me, and in fact
incurred untold cost in maintaining me as a student customer.

All that effort, clearly with the goal of keeping me in my earning years and reaping
back their investment. In fact I felt consciously loyal to them at that point and even
recognize that it was my turn to pay them back. So why was their customer service
so poor once I became a full-time employee? I stayed with them for several years
using them for mortgage service, investment and insurances but eventually churned
to one of the first telephone banks. I have been with them a few years now and every
time I phone them they are aware of my recent communications with them, request
that I have made and they don’t try to sell an unwanted insurance policy at the end of
every call.
Ten Basic Rules for Customer Satisfaction
1. Involve top management.

2. Know the customers.

3. Let the customers define what attributes are important.

4. Know the customer’s requirements, expectations, and wants.

5. Know the relative importance of customer decision criteria.

6. Gather and trust data.

7. Benchmark the data against competitors, and identify competitive Strengths

and weaknesses.

8. Develop cross-functional action plans that enhance strengths and Correct

9. Measure performance continually and spread the data throughout the

10. Be committed to getting better and better and better.



• Creating awareness to customers about the facilities in care pack offer of


• Analyzing the problem faced by customers.

• Collecting the data bases of different age group of customers interested in

different types of offer.

• Motivating the customers to take care pack or service of company.

• Analyzing which care pack plan is more used by customers.

• Analyzing the satisfaction level of customer towards the company.

• Analyzing the satisfaction level of customer towards the care pack.

Scope of the study:

The study is conducted on HOTSPOT CARE PACK user at “HOTSPOT RETAIL

OUTLETS AND SERVICE CENTERS”. The study is confined to the area of
Hyderabad and Secunderabad.

The size of the sample was: 150


The present study is subjected to following LIMITATIONS.

1. Method of data collection was through personal interview and therefore bias
becomes a major limitation.

2. Due to the time constraints all the customers were not covered.

3. The sample was restricted to 150 customers, which may restrict the scope
and completion of study.

4. The scope of study is restricted only to the twin cities of Hyderabad and

5. Owing to their pre occupation some customers were unable to answer the
complete questionnaire.



Definition of marketing research is approved by the board of the American

Marketing Association (AMA) is:

“Marketing research is the functions which links the customer and public

To marketer through information used to identity and define marketing

Opportunities and problems; generate define and evaluate, marketing

Actions, monitor marketing performance, and improve understanding of

Marketing as a process”.
Simply, marketing research is the systematic design, collection, analysis and

Reporting of the data is findings relevant to a specific marketing situation facing

the company. Careful planning through all stages of the research is a necessity.

Objectivity in research is all- important. The heart of the scientific method is

The objective is gathering and analysis of the information.

The function of marketing research within a company is to provide the Information

and analytical inputs necessary for effective.

• Planning of future marketing activity.

• Control of marketing operations in the present.

• Evaluation of marketing results.

A research may undertake any of three types of research investigations depending

upon the problem. These three types of research included.

• Basic research
• Applied research

• Designated fact gathering


It is also known as the pure fundamental research which refers to those studies,
sole purpose of which is the discovery of new information. It is conducted to
extend the horizon in given area of knowledge with no immediate application to
existing problem.


It is an attempt to apply the various marketing techniques, which have been

developed as research, first and later on they become applied research techniques.
It is an attempt to apply the basic principles and existing knowledge for the
purpose of solving the operational problems.


It refers to a research where the investigator attempts nearly to gather some

predetermined data.
Steps in Marketing Research Process

Marketing Research Process can be carried out through the following steps:

Define the problem and research objectives

Develop the research plan

Collect the information

Analysis and

Present the findings


In a very sense, this is the heart of the research process. This is the first step, which
calls for the marketing manage and marketing research.


The second calls for developing the most efficient plan for gathering the needed
information. Not to forget the cost or values of research the Marketing manager
must estimate process its approval, Research plan calls

For decision on

a) Data source

i. Primary data to be collected for a specific purpose.

ii. Secondary data collected for another purpose and already existing
some where.
1. Research Approaches: Primary data can be collected in four ways:

1. Observational research

2. Focus group research

3. Survey research

4. Experimental research

2. Research Instruments: Marketing researchers can use questionnaires in

collecting of primary data, because of its flexibility, questionnaires is by for the
most common instrument used to collect primary data.

3. Sampling Plan: This plan calls for the three aspects:-

a) Define the sampling unit.

b) Decide the sample size.

c) Decide the sampling procedure whether to use probability or non-

probability sampling methods.
4. Contract method: once the sampling plan has been determined, this has to
decide how the subject should be contacted. The choices are mail, telephone or
research interviews.


Data collection phase is generally the most expensive and the most phase to error.
Carry out the field work, collect data using the instruments, adjust the

Problem of not at homes, replaced, refusal to co-operate, biased or dishonest



The next to last step is to extract pertinent findings from the collected data.

The researcher edits, code, tabulate the collected data.


As the last step in marketing research the researchers present the findings.

The researchers have to arrange the researched result according to an approved

reporting format, get the report typed and bound, present the copies of the report
to the concerned authorities.

The methodology adopted for eliciting the data required for the study was survey
method. It is the overall pattern or framework of the project that will dictate as to
what information is to be collected, from which sources and by what procedures.


Research methodology must be classified on the basis of the major purpose of the
investigation. In this problem, description studies have been under- taken, as the
objective of the project is to conduct the market share study to determine the share
of the market received by both the company and it’s competitors.


The information needed to further proceed in the project had been collected
through primary data and secondary data.


Primary data consists of information collected for the specific purpose at hand for
the purpose of collecting primary data, survey research was used and all the retail
outlets sellers using different brands and their competitors were contacted. Survey
research is the approach best suited gathering description.


The secondary data consists of information that already exist somewhere,

Any researcher begins the research work by first going through the secondary data.
Secondary data includes the information available with the company. It may be the
findings of research previously done in the field. Secondary data can also be
collected from magazines, newspapers, other surveys conducted by known
research agencies etc.


The respondents are the mobile holder with hotspot care pack facilities. The survey
was carried in twin cities of Hyderabad and Secunderabad with the sample size of
150. The survey was carried out with the help of a structured questionnaire, which
helps in accomplishing the research objectives. The respondents by means of
personal interview administer this structured ended questionnaire

In my study I found that most of the customers (38.5%) having

Care pack type A, care pack type A+ (19.5), B type (23.5%) & C type (18.5)

It is shown in the above bar diagram.

In my survey I observed that most of the customers paid their payment through

Cash (59.75%) & credit cards (40%) respectively. And the rest
Internet banking (.25%).
In my survey I found that most of the customers have taken max. Nokia
mobiles(60%), 15% of Sony mobiles and remaining 25% contains others which
include HTC mobiles, Samsung, LG MOBILES etc. It is shown in the above pie
mobile salesin diff. ranges
0-2500 40
2501-5000 50
5001-10000 30
10000-15000 20
15000-20000 15
20000-above 5
In my survey I found that most of the customer’s view towards HOTSPOT retail
service are Good (50%) & Excellent (25%). But it must take care towards
unsatisfied customers (5%), if they want to reach in market at top.


1. Customers are satisfied with various plans.

2. It was observed that most of the customers expressed their unhappiness over
repairing services.
3. Senior citizens are very particular about offers.
4. Through my survey, I came to know that most of the customers are satisfied with
our plans.
5. Through my survey I observed that most of the customers are not using care
6. I observed that most of the customers are using care pack type A.
7. I observed that most of the customers like advertisement and punch-line for

1. To ensure better customer satisfaction & maintain higher level of Customer

relationship management, the billing department has to be more effective &
2. To retain existing customers means offering the best scheme. This would
automatically attract new customers. Hot spot need not spend on
advertisement to attract new customers.
3. There should be no compromise in quality and repairing facility.


Title: Customer Satisfaction on service of HOT SPOT RETAIL pvt.

(A) Customer Name :

(B) Age :

(C) Mobile No. :

(D) Occupation : Self Employed [ ]

Government Employee [ ]

Non Government Employee [ ]

Student [ ]

Others [ ]

(E) Income per month : Less than Rs 5,000 [ ]

Rs 5001 to 10,000 [ ]
Rs 10,001 to Rs 20,000 [ ]

Above Rs 20,000 [ ]

1. Which mobile you are using?

(a) Nokia (b) Sony

(c) Samsung (d) LG

(e)Others (mention it) -------------------------------------

2. What do you think before taking diff. brand of mobiles?

(a) selling price (b) Brand Value

[ ]
(c) Warranty (d) All of these

3. How long have you been using a particular mobile set?

(a) Less than 6 Months (b) 6 months to 1 year
[ ]
(c) 1 to 2 years (d) More than 2 years

4. How you pay your bill?

(a) By Cash (b) By Cheque

[ ]
(c) By Credit card (d) By Internet Banking

5. Which type of problem you are facing in mobile?

(a) Accessories (b) panels

[ ]
(c) keypad (d) battery

6. Are you satisfied with hotspot service center executives?

(a) Excellent (b) Good

[ ]
(c) Satisfied (d) Unsatisfied
7. Are you satisfied with sales executives?

(a) Excellent (b) Good

[ ]
(c) Satisfied (d) Unsatisfied

8. Are you aware of various offer of hotspots retail?

(a) Yes (b) some what

[ ]
(c) No

9. Do you know about care pack offer?

(a) Yes (b) No

[ ]
(c) Not heard

10. How you know about hotspot retail?

(a) Newspaper (b) internet

[ ]
(c) Television (d) holding

11. Are you know other facilities of hotspot retail?

(a) Recharge cards (b) communication SIM

[ ]
(c) Mobile covers (d) accessories

12. Which company’s advertisement and punch lines you like?

(a) Hotspots retail

(b) Big C mobile retail [ ]

(c) Univer cell mobile retail

(d) Sangita retail

13. Overall Satisfaction on hotspot retail.

(a) Excellent

(b) Good

(c) Satisfied

(d) Unsatisfied
14. Would you like to give your suggestions to improve the satisfaction level of

(a) Yes [ ]

(b) No [ ]

If yes specify your suggestions



Principles of Marketing – Philip Kotler and Gery Armstrong

Marketing Research – D.D. Sharma

Marketing Research – Green & Tull