Projectreport 141008015527 Conversion Gate01(1)

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EXECUTIVE SUMMARY

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EXECUTIVE SUMMARY

Title of the project: “A Comparative Study of Customer Satisfaction toward

Performance of Hero, TVS, Honda & Bajaj Bikes”

Industry: Automobile

Company: HMSI (Honda Motorcycle and Scooter India) Private Limited

Product: Two Wheeler Bikes

NEED FOR THE STUDY

The title of this project clearly states that the purpose of the study is to know the

consumer preference towards performance of different two wheelers bike, the

problem is to identify the impact of current marketing strategy on the consumers

& the brand positioning of the product. Therefore a research is conducted to

give and exposure to this case. The study is an attempt to know what is the exact

expectation of customer attitude towards performance of different two wheelers

bike in India.

OBJECTIVES OF PROJECT

1. To identify the customer satisfaction level towards the performance of bikes

2. To identify the factors which influence consumer decision making process.

3. To identify possible area of improvement in bike.

4. To identify the competitive position of various brands of two wheelers in

customers mind.

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RESEARCH DESIGN

Success of any formal research project is a sound research design. A good

research design has Characteristics like problem identification, problem definition,

research objectives, developing the research plan, sourcing data, collection of data,

analyzing data and information, presenting the findings.

Research type - Descriptive

Research approach- Qualitative and Quantitative

Population- Malegaon

Sample frame- Two Wheeler Bike users in Malegaon city

Sample size- 100 Two Wheeler Bike customers in Malegaon city

Data collection –

� Primary data was collected by structured questionnaires, interviews and

observations made during the visits on field.

� Secondary data was collected from literature survey and internet.

LIMITATIONS

1. Research work was carried out in Malegaon City only. The findings may not be

applicable to the other parts of the country because of social and cultural

differences.

2. The sample was collected using connivance-sampling techniques. As such result

may not give an exact representation of the population.

3. Shortage of time is also reason for incomprehensiveness.

4. The views of the people are biased therefore it doesn’t reflect true picture.

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FINDINGS

1. It is observed that in rating of different features of different bikes people give

maximum rating to the look shape, Brand Image and Pickup of the HONDA &

HERO bikes. At the second level they give their maximum rating to the mileage

of Bajaj Bikes. Most of the customers are dissatisfied with their TVS bikes

2. It is observed that the customers of Hero, Bajaj & Honda bikes are not ready to

change their bikes even if a new bike comes in with good features. While majority

of the customers of TVS are ready to change their bikes if new bike provides

some good features to them.

Conclusion

1. Hero, Bajaj and Honda are considered to be most fuel-efficient bike on Indian

rods.

2. Service & Spare parts of Honda bikes are available throughout India in local

markets also.

3. While buying a motorcycle, economy is the main consideration in form

of maintenance cost, fuel efficiency.

4. Majority of the respondent had bought their motorcycle more than 2 years.

SUGGESTIONS

1. Honda should introduce some more models having more engine power.

2. Honda should think about fuel efficiency in case of upper segment bikes.

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INDEX

SR. No. Title Page no.

1 INTRODUCTION OF THE STUDY 9

2 LITTERATURE SURVEY 11

3 INDUSTRY PROFILE 17

4

COMPANY PROFILE

- HMSI (Honda Motorcycles and Scooters India) Pvt.

Ltd.

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5 OBJECTIVE AND SCOPE OF THE STUDY 38

6 RESEARCH METHODOLOGY 40

7 DATA ANALYSIS AND INTERPRETATION 49

8 OBSERVATIONS FROM THE STUDY 69

9 CONCLUSIONS 71

10 SUGGESTIONS 73

11 REFERRENCES AND QUESTIONIARRE

75

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LIST OF TABLES

Table

No. Table Name

Page

No.

Table

No.

Table Name

Page

No.

4.1.1 TVS Ushering In the personal

transportation revolution

26 7.06 Usage Of Bikes

56

4.1.2 Profile of TVS Motors Ltd. 27 7.07 How did customers get to

know about bikes?

58

4.2.1 Profile Of Bajaj Auto Ltd. 29 7.08 Influence of advertisement

on customer’s decision

59

7.01

Owners of different bikes 49 7.09 Customer Satisfaction

towards performance of

bikes

60

7.02

Age-wise users of different

bikes

50 7.10 Respondents having about

knowledge about bikes

before buying

61

7.03 Respondents using different

models

51 7.11 Influencing factors of bikes

62

7.04 Income level of respondents 54 7.12 Points given by customers

for attributes of bikes

65

7.05 Customers using bikes

since…

55 7.13 Bike Changing decision

67

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LIST OF FIGURES GRAPHS

Graph

No.

GRAPH NAME PAGE

No.

Graph

No.

GRAPH NAME PAGE

No.

1 Respondents Ownership Of

Bikes

49 11 Influence of

advertisement on

customer’s decision

59

2 Age-Wise Users Of Bikes 50 12 Customer Satisfaction

towards performance of

bikes

60

3 Respondents using different

models of Hero Bikes

51 13 Respondents having

knowledge about bikes

before buying

61


models of Bajaj Bikes

52 14 Hero Bikes influencing

factor

62


models of TVS Bikes

53 15 Bajaj Bikes influencing

factor

63


models of Honda Bikes

53 16 TVS Bikes influencing

factor

63

7 Income Level of

respondents

54 17 Honda Bikes influencing

factor

64

8 Customers using bikes

since…

55 18 Points given by customers

for attributes

66

9 Usage of Bikes 56 19 Bike Changing decision 67

10 How Did customers get to

know about bikes?

58

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CCHHAAPPTTEERR –– 11

IINNTTRROODDUUCCTTIIOONN

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INTRODUCTION

In today’s market the sales of the product is not the only way to get success,

the services and the customer satisfaction is also important. The companies HERO,

HONDA, BAJAJ, & TVS are the world class companies in the two wheeler bikes.

Those all are the highest two wheeler selling companies in India. But the performance

and the customers approach toward those companies is important.

The topic “A COMPARATIVE STUDY OF CUSTOMER

SATISFACTION TOWARD PERFORMANCE OF HERO, TVS, HONDA AND

BAJAJ BIKES” is a kind of survey that shows the performance of those companies.

So this shows the customers view toward the companies and their problems about the

companies.

Here in this study, we try to analyze about the number of two wheelers and

how many people are using two-wheeler? What motivates and influence them to

buy two-wheeler? Which are the most preferable choices in two wheelers in case of

motor cycles and scooters and the most recent two wheelers choice in the market?

What are their consumer attitude toward performance of two wheelers bikes

which influenced them and the reason to buy?

So it is helpful to me in my future reference and that’s the reason I select this

topic for my project.

STATEMENT OF THE PROBLEM

In today’s intensely competitive environment, companies today are constantly

looking for ways to attract customers by having a better understanding of changing

customer attitude towards performance of two wheelers bikes. The ever changing

market characteristics have huge impact on corporate decisions. The global

environment also poses several complexities to marketer in understanding the market

and consumer attitude.

“A COMPARATIVE STUDY OF CUSTOMER SATISFACTION TOWARD

PERFORMANCE OF HERO, TVS, HONDA AND BAJAJ BIKES”

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LLIITTEERRAATTUURREE SSUURRVVEEYY

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LITERATURE SURVEY

In the review of literature I found that many researchers have contributed to this

study about 'Consumer attitude toward performance of two wheeler bikes. Yet, these

remain some area on the part of consumer attitude that needs to be taken notice of in

my report.

According to Anuj Kumar Kanojia, 2011

In his article explored the impact of consumer attitude on sales of two-wheeler in

urban areas of India. However, the study also showed that urban and rural regions

have different attitude when it comes to selecting the two wheelers bike model.

According to Economic of times Ketan Thakkar, ET Bureau:-

How critical India is to Hero Motor Co's fortunes became evident at the close of the

last financial year. The Japanese company had forecast that it would sell 15.52 million

motorcycles and all terrain vehicles (TVs) by March. It ended up falling marginally

short (15.494 million) but that it was even able to get so close to the target was

because its Indian unit grew at a cracking 30% pace. The numbers pretty much tell the

story of what...

ICRA EQUITY RESEARCH SERVICE: -

HERO MOTOCORP LIMITED Results Update January 20, 2012, Hero Moto. Corp.

Limited (HMCL), formerly Hero Honda Motors Limited, is the world’s largest two-

wheeler (2W) company in terms of sales volumes, a position that it has been holding

for the last nine consecutive years. HMCL was promoted as a joint venture (JV)

between the Hero Group of the Munjal family and Honda Motor Company (HMC,

Japan), with each holding around 26% equity stake in the company. However, in

December 2010, the management of HMCL signed a new licensing agreement with

HMC. The Hero Group and HMC agreed to restructure their respective equity

positions in HMCL, as part of which, the Hero Group bought out the entire 26% of

HMC’s stake in HMCL. HMCL has three manufacturing facilities located at Gurgaon

(Haryana), Dharuhera (Haryana) and Haridwar (Uttarakhand) with an aggregate

capacity to produce 6.15 million vehicles per annum as of March 31, 2011.

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Asian Journal of Technology & Management Research / Vol. 01 –

Issue: 02 (Jul - Dec 2011) according to him: -

Hero Honda has a remarkable share in the market of the two wheeler industry of India.

It has recorded more than 41 percent share in the segment during the period. Where

Bajaj the local manufacturer of two wheelers has recorded second position sales

percentage 26.70 but it is a significant growth during the period. Third place has

grabbed by the TVS motors in the segment which has a share of 18.14 percent.

SIAM, Imams Analysis: -

Indian two wheeler markets, competition is intense with around 10 players competing

for the share in the industry. These players include global giants like Honda, Suzuki

and Yamaha as well as Indian players like Bajaj and TVS. The market leader in the

domestic two wheeler industry is Hero Honda Motors, with a 42 per cent market share.

It is the largest two wheeler manufacturer in the world and is closely followed by

Bajaj Auto, which has a 27 per cent market share. TVS Motor is the third largest two

wheeler manufacturer in the country; it has also established a manufacturing facility in

Indonesia. Honda Motors is present in India as Honda Motorcycles and Scooters India

Limited (HMSIL), a 100 per cent subsidiary, in addition to joint venture, Hero Honda.

Another international player, its Suzuki, has recently entered the Indian market

through its direct subsidiary. The industry is characterized by frequent product

launches, with over 20 models launched in 2006-07.

In the year 1984, Mr. Brijmohan Lal Munjal:-

The Chairman and Managing Director of Hero Honda Motors (HHM), headed an

alliance between the Munjal family and Honda Motor Company Ltd. (HMC). HHM

Mission Statement is: “We, at Hero Honda, are continuously striving for synergy

between technology, systems, and human resources to provide products and services

that meet the quality, performance, and price aspirations of our customers.

According to study of Mr. MUKESH KUMAR, SRM SCHOOL OF

MANAGEMENT:-

“Hero Honda Motors Ltd., the manufacturer of India Largest selling 100 CC

Motorcycles was incorporated on Jan. 19, 1984. Hero Honda is a successful blend of

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two unique cultures & world market leaders i.e. Honda Motor Company of Japan &

Hero Group of India. The partnership between Honda’s & Manual’s to manufacture

100 CC Motor bike has been one of the most successful Indian joint Venture ever.

HHML has brought to India a revolution on Two Wheeler by famous advertising

campaign “Fill it-Shut It-Forget it “. Today 2 plants of HHML are located on Delhi-

Jaipur highway”.

According to Company, Media Reports, ICRA Hero Honda:-

Hero Honda been adding 500-600 customer touch points every year and has doubled

the count from 2,000 in March 2006 to 4,200 (includes around 800 dealers) in March

2010. To strengthen its presence in the rural markets, HHML had launched a dedicated

rural vertical in 2007 - 08, which took several new marketing initiatives including

launch of a national-level programmed to direct sales efforts in territories with a

population of 5,000 and above.

Management Punditz: Indian Two Wheeler Industries - 2011-2012:-

Hero Moto Corp is now world’s largest manufacturer of two-wheelers. The company

has benefited from the demand shift to motorcycles, as it focuses solely on this

product segment (although has a product called Pleasure in Scooter segment). With

fuel efficiency and riding comfort as the main selling points, HMC has been able to

address a wide market and post robust sales growth even after its separation from the

Japanese major Honda.

Honda Motorcycle and Scooter India, Private Limited (HMSI) is the wholly owned

Indian subsidiary of Honda Motor Company, Limited, Japan. Founded in 1999, it was

the fourth Honda automotive venture in India, after Hero Honda, Kinetic Honda Motor

Ltd and Honda Siel Cars India. The entry of Honda into the Indian market as HMSI

began with the launch of the Honda Activa, a 100 cc scooter. A slightly modified

trendier version of the Activa was soon launched, as the Honda Dio. Honda Eterno

was launched thereafter to add to the portfolio of HMSI's scooters. The Honda

Unicorn was the first motorcycle released by HMSI. The Honda Shine has since been

released.

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According to Sriram on LinkedIn.... Shoppers' Stop Ltd:-

In 2000 from the initial investor India Book House Ltd. Sriram stepped...He curated the

Kala Ghoda Literature Festival from 2005 to 2010.Past: AVP (Research& Consulting) at

Trans Graph Consulting Pvt. Ltd., Senior Analyst at.

(Received 12 September 2009; accepted 23 Janaury2010). Abstract. The purpose of

the...Key words: Customer Evaluation, Brand Image, Quality ... techniques are

suggested in the literature to.....Hero Honda Motors Ltd (HHML), Bajaj. Auto Ltd

(Bajaj Auto) and TVS Motor..... Loyalty and positive word-of-mouth.

Nov 25, 2009 ... 13HeroCycles Limited Hero Honda Motors Limited hero Cold..... This

has helped Hero Cycles develop immense brand loyalty and customer satisfaction.

....Hero Cycles was ranked 3rd amongst top Indian Companies Review2000.... 38

CHAPTER 339 Literature review Ball and Brown (1968) were the first...

May 6, 2008 ... Customer loyalty has been universally recognized as a valuable asset....

Nearly30 years after loyalty first appeared in the academic literature ... Indica Xeta,

Bajaj Pulsar, Hero Honda, CD 100 and gold coins..... Article: NETTINGLOYALTY

Article from: Grocer Article date: October 07, 2000 is…

Nov 30, 2008 ... Customer Value Exchange Loyalty (If Exchange not

Applicable)....Songs, Review, Story, MP3, Download, Trailer, Wallpaper, Picture....

NII invites application for Ph.D. Programmed for the Academic Year 2009-2010....

Bajaj Auto Ltd, India's second-biggest motorcycle and Hero Honda was in the first in the

market.

Hero Honda contributes 50% motorcycles to the market. In it Honda holds 46% ... per

cent lower than in the West, have grown at 25% a year between 2000to 2005. ...

Environmental issues, web usage, lead management and customer loyalty.

According to Davis :-

To maximize the customer-brand relationship on review of the literature we see that

family decision-making process has been. These trust levels are not only associated

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with brand equity and band loyalty but also Hero Honda being the key player. Bajaj by

far is the number one...

We are very excited to launch Audire - the IIM ABC Consulting

Review:-

Joint effort of the.....off in other ways: the share of Hero Honda in ... dramatic shift in

fortune from March 2000 when it..... Customer base of both the standards by lying

out..... Entrepreneurship literature, it is clear that a key.

Customer's impression regarding such products will enhance the tendency to shift ...

because there salting brand loyalty lowers customers' sensitivity to price. ... Uses of a

differentiation strategy are Hero Honda, HLL, in their 1999 Harvard Business Review

article "Creating New Market Space".

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INDUSTRY PROFILE

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INDUSTRY PROFILE

TWO WHEELERS INDUSTRY IN INDIA

The two wheeler industry in India is one of the largest in the world and one of the

fastest growing globally. India manufactures over 18 million vehicles including

four wheeled vehicle every year. It is the world's second largest manufacturer of

motorcycles, there are eight key players in the Indian market that produced 13.8

million units in the year 2010-11.At present the dominant products of the automobile

industry are two wheelers with a market share of over 75%. The industry has attained

a turnover of more than USD 35 billion & provides direct and indirect employment to

over 13 million people.

Currently, India is the second largest producer of two-wheelers in the world. It

stands next only to China and Japan in terms of the number of two wheelers

produced and the sales of two-wheelers respectively. There are many two-wheeler

manufacturers in India. The major players in the 2-wheeler industry are Hero

,Bajaj Auto Ltd (Bajaj Auto), TVS Motor Company Ltd (TVS) and Honda

Motorcycle & Scooter India, Private Limited (HMSI) accounting for over 93% of

the sale in the domestic two wheeler market. It is noteworthy that motorbikes

segment’s share is just below 80% of the total 2W market in India which is

dominated by Hero a n d Honda with a market share of 59%. Scooter segment’s

market share is about 18% which is led by Honda Motorcycle & Scooter India,

Private Limited (HMSI) with a market share of 43%. Three-fourth of the total

exports in the two wheeler automobile industry is made in the motorcycle segment.

Exports are made mainly to South East Asian and SAARC nations.

The level of technology change in the Motor vehicle Industry has been high but,

the rate of change in technology has been medium. Investment in the technology

by the producers has been high. However, further investment in new technologies

will help the players to be more competitive. Currently, India’s increasing per

capita disposable income which is expected to rise by 106% by 2015 and

growth in exports is playing a major role in the rise and competitiveness of

the industry. The Indian two wheeler industry has come a long way since its humble

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beginning in 1948 when Bajaj Auto started importing and selling Vespa scooters in

India. Since then, the customer preferences have changed in favor of motorcycles and

gearless scooters that score higher on technology, fuel economy and aesthetic appeal,

at the expense of metal bodied geared scooters and mopeds. These changes in

customer preference have had an impact on the fortunes of the lead manufacturers.

The erstwhile leaders have either perished or have significantly lost market share,

whereas new leaders have emerged. The two wheeler industry consists of three

segments viz., scooters, motorcycles and mopeds. With an expanding market and

entry of new players over the last few years, the Indian two wheeler industry is now

approaching a stage of maturity. Previously, there were only a handful of two wheeler

models available in the country.

At present the dominant products of the automobile industry are Two Wheelers

with a market share of over 75% and passenger cars with a market share of about

16%. Commercial vehicles and three wheelers share about 9% of the market

between them. The industry has attained a turnover of more than USD 35 billion

and provides direct and indirect employment to over 13 million people.

The Indian two-wheeler industry has come a long way since its humble beginning

in 1948 when Bajaj Auto started importing and selling Vespa Scooters in India.

Since then, the customer preferences have changed in favor of motorcycles and

gearless scooters that score higher on technology, fuel economy and aesthetic

appeal, at the expense of metal-bodied geared scooters and mopeds. These

changes in customer preferences have had an impact on the fortunes of the

Players. The former leaders have either perished or have significantly lost market

share, whereas new leaders have emerged. With an expanding market and entry of

new players over the last few years, the Indian two wheeler industry is now

approaching a stage of maturity. Previously, there were only a handful of two-

wheeler models available in the country.

Consumers are very important for the survival of the Motor Vehicle manufacturing

industry. In 2008-09, customer sentiment dropped, which burned on the

augmentation in demand of cars. The key to success in the industry is to improve

labor productivity, labor flexibility, and capital efficiency. Having quality

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manpower, infrastructure improvements, and raw material availability also play a

major role. Access to latest and most efficient technology and techniques will bring

competitive advantage to the major players. Utilizing manufacturing plants to

optimum level and understanding implications from the government policies are the

essentials in the Automotive Industry of India.

This report “A COMPARATIVE STUDY OF CUSTOMER

SATISFACTIO N TOWARD PERFORMANCE OF HERO, TVS,

and H ONDA & BAJAJ BIK ES” gives insight of the industry encompassing

its evolution in India, demand drivers, influence of supply side factors,

commentary on industry players and competition and the trends in domestic sales

and exports. The report also shows the oligopolistic nature of the Indian two

wheeler industry and the propensity of the major players to increase their share. In

this paper we assess the degree of imperfection in the two-wheeler industry by

using Hirschman- Herfindahl Index (HHI). In a rapidly growing two wheeler

industry, especially in developing economies like India, it is extremely important

to analyze the state of competition to check whether a few firms may increase

their dominance and also the implications of after sale services provided by the

two wheeler firms to consumers. An important point also remains to look that why

even after being the world’s largest two wheeler industry.

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COMPANY PROFILE

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COMPANY PROFILE

HONDA MOTORCYCLES AND SCOOTERS, INDIA

PVT.LTD.

The wholly owned subsidiary of Honda Motor Company, Japan, Honda Motorcycle &

Scooter India has amassed impressive numbers and credibility over the past decade

with some very successful models like the Activa scooter and the Honda Shine 125cc

motorcycle. HMSI is currently the third largest two-wheeler company in India and is

steadily climbing up the ranks. And now with its third plant getting operational, the

long wait for its products also seems to be dropping effectively.

1.1 Products

• Twister

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The Honda CB Twister is a motorcycle manufactured and marketed in India by the

Honda subsidiary Honda Motor and Scooter India (HMSI). It was introduced in

December 2009.

It was given "the most awarded motorcycle of the year" in 2011.

It is available in the Philippines as the Honda CB110, and in India as the CB Twister.

• CBR

The Honda CBR models are a series of Honda sport bikes several of which (400RR,

600RR, 900RR, 929RR, 954RR and 1000RR) are marketed as race replicas, having

the suffix RR after the engine size designation. With the exception of the single

cylinder CBR125 and CBR150, all CBR motorbikes have inline engines (as compared

to the V-twins in the VT, VTR and VF/VFR series). Less sporting models with inline

engines make up the CB Series.

• Honda Shine

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The Honda Shine is a motorcycle developed by Honda Motorcycle & Scooter India

(HMSI). It was introduced in India in 2006. It is a 125 cc motorcycle. Honda claimed

the Shine accelerated from 0 to 60 km/h (0 to 37 mph) in 5.30 seconds and had a top

speed of 95–100 km/h (59–62 mph).

1.2 Product Offering

• Exchange Offer

• Free gifts

1.3 USP

Extremely powerful engine and sporty design used in motorsports

1.4 Marketing Strategy

The markets are different in terms of the way we reach out to them. As we are

expecting Dream Yuga to generate good volumes from Tier II and Tier III towns, we

need to work on both front end and back end. So we are working on what we call the

3C strategy at Honda. The first C is communication; we have to communicate in such

a way that we are understood by customers belonging to Tier II and Tier III towns.

We want to translate our global slogan ‘Power of Dreams’ into a language that is

followed by the masses in India - ‘Sach kar denge sapne’ is being used in local

languages as per the region. The second C is Connect; we have seen that that the

Indian buyer has a very good balance of emotional and rational connect. He evaluates

the product on looks and price, as well as emotional connect through messages and

communication of the brand. That’s why we have roped in Akshay Kumar. We feel

that he has very wide acceptability amongst the masses. We are also increasing our

own network - from 1500 touchpoints last year, we want to take it to 2000 by the end

of this fiscal year. The product is a mass segment product and it should be available

closer to the masses. We are also increasing the reach of our regional offices;

everywhere.

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HISTORY:-

The history of the Honda brand is nothing more than the history of our challenges and

achievements in creating values, invariably ahead of our time. It is also the history of

the dreams of each of our associates that have come true and have been shared by

people around the world.

COMPETITORS:-

4.1- TVS MOTOR COMPANY

The TVS group was established in 1911 by Shri. T. V. Sundaram Iyengar. As one

of India’s largest industrial entities it epitomizes Trust, Value and Service. It all

began way back in 1984 when Sundaram Clayton Limited (A TVS Group

company) introduced its 50 CC mopeds in the arena of road racing, notching up

unbelievable speeds of 105 kmph. Since then, there has been no looking back

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for TVS Motor Company. TVS Racing was established in 1987 with the

objective of improving the performance of its bikes. Over the years it has

provided valuable data, design inputs, development of reliable motorcycle

models, excellent vehicle dynamics & handling etc. The true evidence of it is

seen in today's TVS Victor and TVS Fiero. Today, there are over thirty companies

in the TVS Group, employing more than 40,000 people worldwide and with a

turnover in excess of USD 2.2 billion.

With steady growth, expansion and diversification, TVS commands a strong

presence in manufacturing of two-wheelers, auto components and

computer peripherals. We also have vibrant businesses in the distribution of

heavy commercial vehicles passenger cars, finance and insurance.

TVS Motor Company Limited, the flagship company of the USD 2.2 billion

TVS Group, is the third largest two-wheeler manufacturer in India and among the

top ten in the world, with an annual turnover of over USD 650 million.

The year 1980 is one to be remembered for the Indian two-wheeler industry,

with the roll out of TVS 50, India's first two-seater moped that ushered in an era

of affordable pe r sona l t r a nspor ta t i on . For the Indian Aut om obi le

s ec t o r , i t wa s a breakthrough to be etched in history. TVS Motor Company is

the first two-wheeler manufacturer in the world to be honored with the hallmark of

Japanese Quality – The Deming Prize for Total Quality Management.

MANY FIRSTS TO THE AUTOMOTIVE INDUSTRY IN INDIA

TVS has been at the forefront in bringing a revolution in the way personal

commutation was happening, way back in the 1980s. Beginning with launching

a simple, easy-to-use moped for the middle class in India in the 1980s to

launching 7 new bikes in a single day (first time in the history of the automotive

industry in the world), TVS has often taken the unbeaten path to innovation.

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Ushering in the personal transportation revolution

1980 Launched TVS 50, India's first 2 seater 50 cc moped

1984 First Indian company to introduce 100 cc Indo - Japanese motorcycles

1994

Launched India's First indigenous scooterette (sub - 100 cc variomatic) -

1996

Introduced India's first catalytic converter enabled motorcycle, the 110 cc

1997 Introduced India's first 5 speed motorcycle, Shaolin

2000 Launched India's first 150 cc, 4 stroke motorcycle - The Fiero

2001

Launched India's first fully indigenously designed and manufactured

2004

Launched the revolutionary VT-I engine for the best in class mileage in

2006 Launched TVS Apache - first bike to win 6 awards in a row

2007

Apache RTR - first two wheeler in India to have racing inspired engine and

2008

TVS Flame, TVS Scooty Electric Vehicle and Three- wheeler TVS King

Launched.

Table no. 4.1.1 Ushering in the personal transportation revolution

TVS MOTORS LIMITED.

TVS MOTOR

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Table no. 4.1.2 Profile of TVS Motors limited

Type

Private conglomerate (BSE)

Founded

In 1911 by shri. T. V. Sundaram Iyenger

Headquarters

Chennai, Tamilnadu, India.

Key

Mr. venu srinivasan chairman

Products

Motorcycle, mopeds, ungeared scooters, automotive

components.

Revenue

USD 2.2 billion (FY 2006)

Employees

5,633 (2007)

Website

www.tvsmotor.in

4.2- BAJAJ AUTO

Bajaj Auto limited is on

India apart from produci

The company had started

wheelers from outside, bu

the country. By the year

Bajaj scooters and moto

milieu and over the yea

India. Bajaj Auto als

industries of Japan to

world class quality The B

drawing board of Kawasa

limited includes Learning

Bajaj Auto has three ma

Chakan in Maharashtra,

2005-06. The sales are

maintenance work shops

Bajaj Auto has produc

wheeler market Bajaj CT

level. Similarly Bajaj

performance without ma

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TO LIMITED

ne of the largest two wheeler manufacturing co

ing two wheelers they also manufacture three

ted way back in 1945. Initially it used to impo

but from 1959 it started manufacturing of two w

r 1970 Bajaj Auto had rolled out their 100,000t

or cycles have become an integral part of t

ars have come to represent the aspirations o

lso has a technical tie up with Kawasa

to produce the latest motorcycles in India wh

Bajaj Kawasaki eliminator has emerged straight

aki heavy industries. The core brand values of B

g, Innovation, Perfection, Speed and Transparen

anufacturing units in the country at Akurdi, W

, western India, which produced 2,314,787 v

re backed by a network of after sales se

all over the country.

cts which cater to every segment of the In

CT 100 Dlx offers a great value for money at

aj Discover 125 offers the consumer

aking a big hole in the pocket.

ompany in

e wheelers.

port the two

wheelers in

00th vehicle.

the Indian

of modern

aki heavy

which are of

ht out of the

Bajaj Auto

ncy.

Waluj and

vehicles in

ervice and

ndian two

t the entry

r a great

29

PROFILE:-

Table No. 4.2.1. Profile of Bajaj Auto Limited

FOUNDER

JAMUNALAL BAJAJ

Year of Establishment

1926

Industry

Automotive- Two & Three Wheelers

Business Group

The Bajaj Group

Listings & its codes

BSE – Code: 500490; NSE - Code:

BAJAJAUTO

Presence

Distribution network covers 50 countries.

Dominant presence in SriLanka, Bangladesh,

Columbia, Guatemala, Peru, Egypt, Iran and

Indonesia.

Joint Venture

Kawasaki Heavy Industries of Japan

Registered & Head Office

Akurdi Pune - 411035 India Tel.: +(91)-(20)-27472851

Works

1- Akurdi, Pune 411035 2- Bajaj Nagar, Waluj Aurangabad 431136 3- Chakan Industrial Area, Chakan, Pune

E-mail

[email protected]

Website

www.bajajauto.com

30

COMPANY'S HISTORY

Bajaj Auto came into existence on November 29, 1945 as M/s Bachraj

Trading Corporation Private Limited. It started off by selling imported two-

and three- wheelers in India. In 1959, it obtained license from the Government

of India to manufacture two- and three-wheelers and it went public in 1960. In

1970, it rolled out its 100,000th vehicle. In 1977, it managed to produce and sell

100,000 vehicles in a single financial year. In 1985, it started producing at Waluj

in Aurangabad. In 1986, it managed to produce and sell 500,000 vehicles in a

single financial year. In 1995, it rolled out its ten millionth vehicles and produced

and sold 1 million vehicles in a year.

4.3- HERO MOTO CORP.

About Us

Hero Moto Corp Ltd. (Formerly Hero Honda Motors Ltd.) is the world's largest

manufacturer of two - wheelers, based in India. In 2001, the company achieved the

coveted position of being the largest two-wheeler manufacturing company in India

and also, the 'World No.1' two-wheeler company in terms of unit volume sales in a

calendar year. Hero Moto Corp Ltd. continues to maintain this position till date.

VISION

The story of Hero Honda

empowered India, powere

identity, reflects its com

with renewed focus on ex

MISSION

Hero MotoCorp’s missio

needs and aspirations fo

quality so that it convert

provide an engaging env

will continue its focus on

31

da began with a simple vision - the vision of a m

ered by its two wheelers. Hero MotoCorp Ltd., co

mmitment towards providing world class mobi

expanding company's footprint in the global arena

sion is to become a global enterprise fulfilling i

for mobility, setting benchmarks in technology

erts its customers into its brand advocates.The c

nvironment for its people to perform to their true

on value creation and enduring relationships with i

mobile and an

company's new

bility solutions

na.

g its customers'

gy, styling and

e company will

rue potential. It

h its partners.

STRATEGY

Hero MotoCorp’s key s

categories, explore gro

operational efficiency, ag

in brand building activitie

BRAND

The new Hero is rising a

identity "Hero MotoCorp

mobility and technology

brand identity will be ce

leveraging its strong p

activation.

32

strategies are to build a robust product por

growth opportunities globally, continuously

aggressively expand its reach to customers, conti

ities and ensure customer and shareholder delight.

g and is poised to shine on the global arena. Co

rp Ltd." is truly reflective of its vision to strengt

y and creating global footprint. Building and pr

central to all its initiatives, utilizing every opp

presence across sports, entertainment and

ortfolio across

improve its

ntinue to invest

ompany's new

gthen focus on

promoting new

pportunity and

d ground-level

MANUFACTURING

Hero Moto Corp. two w

manufacturing facilities. T

located in the state of

manufacturing plant is ba

DISTRIBUTION

The Company's growth in

ability to increase reach

extensive sales and servi

These comprise a mix o

dealer-appointed outlets a

33

G

wheelers are manufactured across 3 globally

s. Two of these are based at Gurgaon and Dharuhe

of Haryana in northern India. The third an

based at Haridwar, in the hill state of Uttrakhand.

in the two wheeler market in India is the result o

h in new geographies and growth markets. Hero

rvice network now spans over to 6000 customer

of authorized dealerships, service & spare parts

s across the country.

y benchmarked

uhera which are

and the latest

lt of an intrinsic

ro MotoCorp’s

er touch points.

rts outlets, and

34

History

“Hero” is the brand name used by the Munjal brothers for their flagship company,

Hero Cycles Ltd. A joint venture between the Hero Group and Honda Motor

Company was established in 1984 as the Hero Honda Motors Limited at Dharuhera,

India. Munjal family and Honda group both owned 26% stake in the Company.

During the 1980s, the company introduced motorcycles that were popular in India for

their fuel economy and low cost. A popular advertising campaign based on the slogan

'Fill it – Shut it – Forget it' that emphasized the motorcycle's fuel efficiency helped the

company grow at a double-digit pace since inception. In 2001, the company became

the largest two-wheeler manufacturing company in India and globally. It maintains

global industry leadership till date. The technology in the bikes of Hero Moto.Corp

(earlier Hero Honda) for almost 26 years (1984–2010) has come from the Japanese

counterpart Honda.

Hero Honda Motorcycles Limited is an Indian manufacturer of motorcycles and

scooters. Hero Honda is a joint venture that began in 1984 between the Hero group

of India and Honda from Japan. It has been the world's biggest manufacturer

of 2- wheeled motorized vehicles since 2001, when it produced 1.3 million

motorbikes in a single year. Hero Honda's Splendor is the world's largest selling

motorcycle. Its 2 plants are in Dharuhera and Gurgaon, both in Haryana, India. It

specializes in dual use motorcycles that are low powered but very fuel efficient.

The company has sold over 47 million 2-wheelers since its inception in 1984 till

March 2013. It sold 6.07 million 2-wheelers in 2012, out of which 5.5 million were

motorcycles. Hero Moto.Corp sells more two wheelers than the second, third and

fourth placed two-wheeler companies put together. Its most popular bike Hero Honda

Splendor sells more than one million units per year.

In 2013, Hero MotoCorp registered best ever calendar year performance of more than

6.1 million unit sales. By selling 6.25 million units in the month of October, it became

the first-ever manufacturer to cross landmark 6 lakh unit sales in a month. In the last

quarter of the year or say in the festive season, the company sold more than 1.6

million units, while in non festive time in April–May 2013; it managed to sell out

quite good numbers of units- 1.1 million.

35

Termination of Honda joint venture:-

In December 2010, the board of directors of the Hero Honda Group had decided to

terminate the joint venture between Hero Group of India and Honda of Japan in a

phased manner. The Hero Group would buy out the 26% stake of the Honda in JV

Hero Honda.

Under the joint venture Hero Group could not export to international markets (except

Sri Lanka and Nepal) and the termination would mean that Hero Group can now

export. Since the beginning, the Hero Group relied on their Japanese partner Honda

for the technology in their bikes. So there are concerns that the Hero Group might not

be able to sustain the performance of the joint venture alone.

The Japanese auto major will exit the joint venture through a series of off market

transactions by giving the Munjal family—that held a 26% stake in the company—an

additional 26%. Honda, which also has an independent fully owned two-wheeler

subsidiary—Honda Motorcycle and Scooter India (HMSI)—will exit Hero Honda at a

discount and get over $1 billion for its stake. The discount will be between 30% and

50% to the current value of Honda's stake as per the price of the stock after the market

closed on Wednesday.

The rising differences between the two partners gradually emerged as an irritant.

Differences had been brewing for a few years before the split over a variety of issues,

ranging from Honda's reluctance to fully and freely share technology with Hero

(despite a 10-year technology tie-up that expires in 2014) as well as Indian partner's

uneasiness over high royalty payouts to the Japanese company. Another major irritant

for Honda was the refusal of Hero Honda (mainly managed by the Munjal family) to

merge the company's spare parts business with Honda's new fully owned

subsidiary Honda Motorcycle and Scooter India (HMSI).

As per the arrangement, it will be a two-leg deal. In the first part, the Munjal family,

led by Brijmohan Lal Munjal group, will form an overseas-incorporated special

purpose vehicle (SPV) to buy out Honda's entire stake, which will be backed by

bridge loans. This SPV would eventually be thrown open for private equity

participation and those in the fray include Warburg Pincus, Kohlberg Kravis

Roberts (KKR), TPG, Bain Capital, and Carlyle Group.

36

Honda will continue to provide technology to Hero Honda motorbikes until 2014 for

existing as well as future models.

Formation of Hero Moto Corporation:-

The name of the company was changed from Hero Honda Motors Limited to Hero

Moto Corp Limited on July 29, 2011. The new brand identity and logo of Hero Moto

Corp were developed by the British firm Olins. The logo was revealed on 9 August

2011 in London, to coincide with the third test match between England and India.

Hero Moto Corp can now export to Latin America, Africa and West Asia. Hero is free

to use any vendor for its components instead of just Honda-approved vendors.

37


OBJECTIVE AND

SCOPE OF THE STUDY

38

OBJECTIVES AND SCOPE OF THE

STUDY

Successful decision-making depends not on any principles but on the skill and

judgments of the individuals. However skill and judgment by itself cannot lead to

good decisions but are the inherent tools through which data collected or available can

be converted into proper information thus for this purpose of having proper decision

making it is very essential to collect relevant and accurate information. Hence to

collect proper information certain objectives were set which would lead to the process

of research in the designed direction based on the priority and need of the

organization the objectives of the research were segregated in to primary and

secondary objectives.

OBJECTIVES OF PROJECT

1. To identify the customer satisfaction level towards the performance of bikes

2. To identify the factors which influence consumer decision making process.

3. To identify possible area of improvement in bike.

4. To identify the competitive position of various brands of two wheelers in

customers mind.

SCOPE

The project was based on the A COMPARATIVE STUDY OF CUSTOMER

SATISFACTION TOWARD PERFORMANCE OF HERO, HONDA, TVS

AND BAJAJ BIKES and data was collected from the Malegaon City.

This shows the company’s performance and the customer’s satisfaction toward the

company’s products. It also helps to know the customers demand and the expected

services from the companies. The project also helps to know the reasons behind the

reduction of sales of the company’s product. So it is important for customer as well

as the company

39


RESEARCH

METHODOLOGY

40

RESEARCH METHODOLOGY

Introduction

Research methodology is a way to systematically solve the research problem, as

to how research is done scientifically. It consist of the different methods that

generally adopted by researcher to study his research problem along with logic behind

them. It is necessary for the researcher to develop certain tests.

Marketing research specifies the information required to address these issues; designs

the method for collection information manages and implements the data collection

process; analysis the results and communication the findings and their implication.

Research definition:

“Research is careful inquiry or examination to discover new information and

relationship and to expand and to verify exiting knowledge,”

Research always starts with questions or a problem. Its purpose is to find answer to

questions through the application of the scientific method. It is a systematic and

intensive study directed towards a more complete knowledge of the subject studies.

The following are the methods adopted for the projects:

1. The Research Design is made as per the requirements of the project.

2. For the secondary data collection, the information in the record of the company

proved to be sufficient.

3. For the primary data collection, the researcher has preferred the survey method

to the other methods.

4. In the survey method, the researcher chose to undertaken field work. This is

because there is perception that in the geographical area in which he was to conduct

the survey, better and quicker data was possible to be collected only through direct

field work.

5. In the field work, instead of choosing any interviews or recorded

41

observation, the researcher chose to incorporate all the questions in from of a

questionnaire.

RESEARCH DESIGN

“Research design is the plan, structure and strategy of investigation conceived so as to

obtain answer to research question and to control variance.” - BY KERLINGER

The researcher after choosing the subject, company and the area to conduct his

research, decided to establish the theme or the important factor upon which the entire

project is to base.

At the outset, the objectives of the project were identified. Thereupon, the

conclusive research was undertaken upon consideration, the researcher chose the

statistical design as it suited the project’s requirements. This method was warranted

as he had decided to embark upon a survey and the analysis and interpretation of the

findings of the surveys can only be done properly only if he chose the statistical

design.

RESEARCH PROBLEM:-

To know the consumer buying behavior & awareness about the HONDA bikes and in

the minds of consumer in Malegaon city, because always consumer say something and

does something. There are many companies manufacturing motorcycles into the

market, at the same time as there are many companies manufacturing motorcycles,

idea about thinking of customer on whether, what, how, and for whom to purchase the

motorcycle.

Therefore, research is required to measure present consumer buying behavior at the

purchase of hero bike. So the researcher problem is to identify what are the criteria

that prospective customer takes into consideration before buying the motorcycles.

At the outset may be noted that there are several ways of studying and tackling a

problem. There is no signal perfect design. The research design can be classified in to

true broad categories:

42

• Exploratory

• Descriptive

• Casual

• Exploratory research is focus on the discovery of ideas. Exploratory research is

carried out to define problems and developed hypothesis to test later. An exploratory

study is generally based on the secondary data that are reading available. It does not

have to change his focus of direction, depending on the availability of new ideas and

relationship among variables.

• Descriptive studies are undertaken in many circumstances. Descriptive studies

can be complex, determining a high degree of scientific skill on the part of the

researcher.

• Casual research helps in determined cause and effect relationship. Between

two or more variables.

The present study seeks to find out the consumers preference towards performance of

two wheelers bike. The study also aims at findings out the drawbacks of the marketing

set up of HONDA’s two-wheeler bikes. So, this makes the study a descriptive one.

SOURCE OF DATA

The sources of data collection methods are as follows:-

a) Primary data:-

The primary data is that which details we collect first time from the market and also

used first time in the research. We also say that the information is first time in the

research decision. To collect the primary data questionnaire is prepared structure

non-disguise questionnaire is prepared.

� Primary data:- Questionnaire

43

b) Secondary data:-

Secondary data are those data which are already collected by someone for some

purpose and are available for the present study; secondary data are already collected

by the company’s records and other library’s books. When the secondary data are

sufficient, the researcher has to be satisfied with the primary sources of data.

Secondary data can be used as bases for comparison with primary data have been

collected by questionnaire.

� Secondary data: Magazines, Newspapers, Websites, Books, E-Journals.

Primary data i.e. collected for the first time. It is fresh and originally collected by the

survey. I have used only primary data in calculating the study and collect the data.

DATA COLLECTION METHOD

Sampling plan

Sampling is a process of obtaining. The information about the entire population by

examine a part of it .The effectiveness of the research depends on the sample size

selected for the survey purpose.

(A)Sampling Unit:-

It means “Who is to be surveyed”. Here target population is decided and it is who are

interested to purchase “Bike” and sampling frame is developed so that everyone in the

target population has known chance of being sampled. So the survey is conducted

particularly in MALEGAON City.

(B)Sample size:-

For the purpose of proper survey, there is need of perfect research instruments to find

out sample size for more accurate result about buying preference of bike.

These were 100 respondents.

44

(C) Sampling Method:-

A Stratified random sample is one where the population is divided in to mutually

exhaustive strata or sub-group and then a simple random is selected within each of

strata on age groups, occupation etc. It may be noted that stratification does not means

absence of randomness. Here the researcher has used a simple random sampling

method.

Period of study

The period of the study for this is two months i.e.15-May to 14-July.

DATA COLLECTION INSTRUMENT

RESEARCH INSTRUMENT:-

Researcher instruments is the tool by which the researcher can do research on specific

problems or objective. The most popular researcher instrument for collection data is

“Questionnaire” for a particular investigation. It is simple for a moiled set of questions

presented to respondents for their answers. Due to this flexibility, it is most common

instrument used to collect the primary data. During the pre- testing of questionnaire, I

seen the reaction of respondents and suggestions required to make change in research

instrument.

Data Collection :-

The data will be collected from the respondents using questionnaire by personal

interview.

Data Analysis:-

The data analysis will be divided in 2 parts.

First part: will include descriptive statistics and

Second part: will include inferential statistics.

45

THE QUESTIONNAIRE DESIGN:

The questionnaire has been prepared on the following lines:

• The questionnaire includes the entire relevant question so as to provoke and elicit

the data from the respondents in a brief manner.

• There are some open ended questions which are incorporated in the questionnaire.

• The reason behind this is to get the subjective data which if otherwise put in the

form of a close ended form would not elicit the answer in a proper form.

• The questions were able to fully cover the themes concerned.

Analysis of Data through statistical Tools

1. Simple percentage method

2. Correlation Analysis

3. CHI- Square Test

4. Pie diagram

5. Bar diagram

SIMPLE PERCENTAGE METHOD:-

Percentage refers to a special kind of ratio. Percentages are used in making

comparison between two or more series of data. Percentages are used to describe

relationships. Percentage can also be used to compare the relative terms, the

distribution of two (or) more series of data.

% of respondents = No. of respondents ÷ Total respondents × 100

ARITHMETIC MEAN:-

Arithmetic mean, average, or mean is the sum of all items divided by the number of

items. The weighted value mean is most frequently used in marketing research analysis.

CHI- SQURE ANALYSIS:-

Chi-square test is a non- parametric test. It is used most frequently by marketing

researcher to test hypothesis. This is employed for testing hypothesis when

distribution of population is not known and when nominal data is to be analyzed.

46

CORRELATION ANALYSIS:-

Correlation analysis is the statistical technique that is used to describe not only the

degree to which are variable is related to another, but also the direction the

influence. The coefficient of correlation measures the mutual relationship between

two variables. A simple correlation between two variables only and it is usually

represented.

The simple correlation indicted whether the change in one variable influences

the change in the other variable. Not that the changes may likely to occur in both

directions namely:-

1. The increase in one variable is accompanied by the proportionate increase in

the other variable.

2. The increase in one variable causes the proportionate decrease in the other variable.

In the first cast the variable are said to be positively correlated, while in the second

case, the variable are said to be negatively correlated.

BAR DIGAMS:-

Bar diagram consist of bars running either horizontally or vertically with an

individual bar for each observation. The individual bars have separate observations

and magnitudes. They serve the purpose of showing the rate of change in continuous

data. More than two series of data may be depicted by the use of bar diagrams.

The positive and negative quantities also are demonstrated with bar diagram.

PIE DIAGRAMS:-

The pie diagram is presented in a circle dividing the chart in different

components according to the need of the distinctive data. The slices of the circle are

also noted with the name and their percentage share in the total circle of 360 degree.

The questionnaire contains 3 types of questions.

1 Open-ended question:-

It is helpful in knowing what is uppermost in the mind of the respondents. It gives

complete freedom to the respondent.

47

2 Dichotomous questions :-

It has only two answers in form ‘yes’ or ‘n’, ‘true’ or ‘false’, ‘use’ or ‘do not use’. So

the respondent is offered two or more choice

3 Multiple-choice question:-

In this, the respondent is offered two or more choice.

48


DATA ANALYSIS &

INTERPRETEATION

DATA ANAL

Q1) Which company’s tw

Com

HER

BAJA

HON

TVS

Tabl

Graph no.1

INTERPRETATION: -

As per the above 100 cu

are preferred equally by

customers, TVS 25 custo

0

10

20

30

HERONo

. o

f R

esp

on

den

ts

Na

Respond

49

ALYSIS & INTERPRETA

two-wheeler bikes do you have?

mpany Users

RO

25

JAJ 25

NDA 25

S 25

ble no. 7.01 Owners of different bikes

o.1 Respondent's Ownership of Different Bikes

customers survey it is clear that all the four com

by the customers, i.e. HERO 25 customers,

stomers, and BAJAJ 25 customer.

BAJAJHONDA

TVS

Name of two-wheere companies

ndent's Ownership of Different Bikes

ATION

ompany’s bikes

s, HONDA 25

Age Wise Interpre

Age Hero

18-25 9

25-40 7

40-55 8

Above 55 1

Total 25

Gra

Interpretation:-

• Customers with age a

respectively, while cu

respectively

• Most of the custome

9.while few customer

are very less i.e. 7 & 3

• Most of the customer

customers. While the

Honda comparatively

9

7

8

1

Hero

50

retation

ro TVS Honda

3 11

13 9

3 7

6 2

25 25

Table No. 7.02 Age-Wise Users of Bikes

raph No. 2 Age-Wise Users of Bikes

e above 55 prefer mostly TVS and BAJAJ bikes,

customers for Hero and Honda are very less, i

mers between age group 40-55 prefer BAJAJ

ers prefer HERO i.e. 8, customers for HONDA A

3 respectively.

ers between the age group 25-40 prefer TVS Bi

he customers between this age group for HERO,

ly less i.e. 7, 5 and 9 respectively.

3

11

3

13

9

5

3

7

9

62

4

TVS Honda Bajaj

Age-Wise Users of Bikes

18-25 25-40 40-55 Above 55

Bajaj

3

5

9

4

25

s, i.e. 6 & 4

, i.e. 1 & 2

J bikes i.e.

AND TVS

Bikes i.e. 13

O, BAJAJ &

• Most of the customer

11 customers and HER

are quite low i.e. 3 an

Q2) Which Models of tw

Table no

Graph No. 3 R

20%

Respond

Splendou

Hero

No.

B

Splendour+

7

C

CD Deluxe

8

D

Passion

Pro

5

pu

CBZ

2

X

Other

3

O

51

ers between the age group 18-25 prefer HONDA

ERO BIKES i.e. 9 customers. While the customer

and customers for Bajaj are too less i.e. 3.

two-wheeler bike do you have?

no. 7.03 Respondents using different models

Respondents using different models of Hero Bik

28%

32%

20%

8%12%

ndents using different models of Hero Bikes

dour+ CD Deluxe Passion Pro CBZ Other

Bajaj

No.

TVS

No.

Hond

CT 100

10

Flame

5

Activ

Discover

5

Star city

5

Drea

Yuga

pulsar

6

Apache

3

Shine

XCD

3

Jive

3

Unico

Other

1

Other

9

Othe

A Bikes i.e.

ers for TVS

ikes

nda

No.

tiva

8

eam

ga

5

ine

7

icorn

3

her

2

INTERPRETATION

For Hero Bikes most o

customers using Passion

low. The reason behind C

Graph No.4 Re

INTERPRETATION

In Bajaj the customers a

models, because the mode

Res

52

N: -

of the customers have CD Deluxe, while the

on pro, Splendour +, CBZ and other bikes are c

CD Deluxe being famous is its good mileage

Respondents using different models of Bajaj Bi

N: -

are giving more preference to CT100, Pulsar a

odels have good pickup and good mileage.

CT 100

40%

Discover

20%

pulsar

24%

XCD

12%

Other

4%

espondents using different models of Bajaj Bikes

he ratio of the

comparatively

Bikes

r and Discover

Graph No.5 R

INTERPRETATION

In TVS Bikes the custom

than Flame, Star city Jive

Graph No. 6 Re

Interpretation: - In H

Activa and Shine models

0

5

10

No

. O

f R

esp

on

den

ts

Respond

0

10

No

. o

f R

esp

on

den

ts

Responde

D

53

Respondents using different models of TVS Bik

N:-

mers are giving more preference to the other m

ve and Apache.

Respondents using different models of Honda B

Honda Bikes the customers are giving more pref

ls rather than Dream Yuga, Unicorn and Others

Different Models of TVS Bikes

ndents using different models of TVS Bikes

dents using different models of Honda Bikes

Different Models of Honda Bikes

Bikes

models rather

Bikes

ference to the

Q3) In which family Inc

Ta

INTERPRETATION

The maximum numbers o

group of 200000-400000

customers whose income

and the preference level f

four wheelers’.

01020304050

No

. O

f P

eo

ple

Incom

Belo

20000

40000

Above

54

come level do you Fall?

able no. 7.04 - Income level of respondents

Graph No. 7 Income Level of Respondents

N: -

s of customers that are using these bikes fall in the

& 400000-600000. While this ratio is minimum

level fall below 200000 because they can’t affo

l for such bikes lowers from 600000 & above as th

Income Of people

Income Group

ome level Respondents

low 2 lac.

10

000-400000

49

000-600000

31

ove 600000

10

he income

um in case of

fford such bikes

s they prefer

Q4) Since how long do y

Yea

0-2ye

2-5 ye

5-7 ye

Above 7

Table

Grap

INTERPRETATION

It is observed that mostly

customers are attracted t

using one bike for more th

26

Custo

0-2y

55

o you own a bike?

ears Respondents

year

34

year

29

year

26

e 7 year

11

le No. 7.05 Customers using bikes since..

aph No. 8 Customers using bikes since…

N: -

y the customers are having new bikes. This is b

towards new bikes with add on features & do

e than two years.

34%

29%

26%

11%

ustomers Using Bikes Since...

2year 2-5 year 5-7 year Above 7 year

because the

o not prefer

Q5) For what purpose d

Hero

Office purpose

6

Personal

purpose

7

Educational

Purpose

4

Joy purpose

5

Other

3

Total

25

0

2

4

6

8

10

12

56

do you use your Motor Bike?

Bajaj

Honda

TVS

3

3

8

12

8

2

4

6

8

2

2

2

4

6

5

25

25

25

Table No. 7.06 Usage of Bikes

Graph No. 9 Usage of Bikes

Usage Of Bikes

He

Baj

Ho

TVS

Score

20

29

22

11

18

100

Hero

Bajaj

Honda

TVS

57

INTERPRETATION:-

The customers are using their bikes mostly for official, educational and

personal purpose.

People preferring bikes for office purpose are seen highest in TVS, i.e. 8. People

preferring bikes for personal purpose are seen highest in Bajaj, i.e. 12. People

preferring bikes for joy purpose are seen highest in Hero, i.e. 5. People preferring

bikes for educational purpose are seen highest in TVS, i.e. 8. People preferring bikes

for other purpose are seen highest in Honda i.e. 6.

Q6) How do you came t

Newspaper

Television

Internet

Friends & Relative

Other

Total

Table No. 7.

Graph No. 1

INTERPRETATION

bikes mostly comes from

comes from internet and t

05

1015

How did

58

to know about this Motor Bike?

Hero

Bajaj

Honda

TVS

8

3

6

7

10

8

12

7

2

6

2

6

3

7

4

1

2

1

1

4

25

25

25

25

. 7.07 How did customer get to know about bike

. 10 How did customer get to know about bikes?

N: - It is observed that the awareness of Hero, T

om Television and Newspaper, while for Bajaj; t

d television.

did customer get to know about bike?

Her

Baja

Hon

TVS

Score

24

37

16

15

8

100

ke

es?

, TVS & Honda

the awareness

Hero

Bajaj

Honda

TVS

Q7) Does Advertisemen

Table No. 7.08 I

Graph No. 1

INTERPRETATION

Out of the sample

that advertisements play

choose the bike. On the o

remaining 16 customers a

Influenc

ANSWERS

Yes

No

Can’t say

59

t Influence your decision in choosing a Motor

Influence of advertisement on customer’s deci

. 11 Influence of advertisement on customer’s de

N: -

e size of 100 customers, 65 customers agree wi

y a very significant role in influencing their b

e other hand 19 customers do not agree to this f

s are not sure about it.

65%

19%

16%

enced by Advertisement or not?

Yes No Can’t say

RESPONDENTS

65

19

16

or bike?

ecision

decision

with the fact

behavior to

s fact. While

60

Q8) Are you satisfied with the performance of the bike that you are currently

having?

ANSWERS

RESPONDENTS

Yes

59

No

34

Can’t say

07

Table no. 7.09 Customer Satisfaction Towards Performance of bikes

Graph No. 12 Customer Satisfaction Towards Performance of bikes

INTERPRETATION:-

Out of the sample size of 100 customers, 59 customers say that they are

satisfied with the performance of their bikes. On the other hand 34 customers are

not satisfied with the performance of the bikes that they are having, while the

remaining 7 customers are unable to say anything.

Yes

59%

No

34%

Can’t say

7%

Customer Satisfaction Towards

performance of bikes

Q9) Do you have full kn

Table no. 7.10 Resp

Graph No. 13 Respo

INTERPRETATION

It is observed that

bike before purchasing.

0

5

10

15

20

25

Yes

Hero

Yes 1

No 4

Can’t say 2

61

nowledge about Bikes before buying?

spondents having knowledge about bikes before

spondents having knowledge about bikes before

N:-

hat most of the customers are having full knowle

NoCan’t

say

Knowledge about bikes

Bajaj

Honda

TV

19

16

21

4

8

1

2

1

3

ore buying

re buying

edge of the

Hero

Bajaj

Honda

TVS

TVS

15

7

3

Q10) Which Factor belo

Hero

Price

1

Mileage

8

Quality

2

Resale Value

12

Status symbol

2

T

Grap

INTERPRETATION

value that it adds influenc

0

5

10

15

Pri

ce

62

low Influence your decision?

o

Bajaj

TVS

2

8

15

5

4

3

2

4

2

5

Table No. 7.11 Influencing Factors of Bikes

aph No. 14 Hero Bikes Influencing Factor

N: - In Hero bikes the mileage of the bike a

ces the decision criteria of most of the customers

Mile

ag

e

Qu

ali

ty

Re

sale

…

Sta

tus …

Hero Bikes Influencing Factor

Honda

1

1

7

8

8

and the resale

rs.

Sta

tus …

Graph

INTERPRETATION

In Bajaj bikes customers

bike and also they think th

Gr

INTERPRETATION

influences the buying beh

quality

16%

Price

8

63

ph No. 15 Bajaj Bikes Influencing Factor

N: -

rs gets more influenced by the quality and mile

k that it adds value to their prestige.

Graph No. 16 TVS Bikes influencing factor

N: - In TVS bike the economic price of

havior of the customers.

price

8%

mileage

60%

ality

6%

resale

8%

status symbol

8%

Bajaj Bike Influencing factor

Mileage Quality Resale Value

Status Symbol

5

34

5

TVS Bikes Influencing Factor

ileage of the

f the bikes

64

Graph No. 17 Honda Bikes Influencing Factor

Interpretation: -

In Honda Bikes, the factors that influence the consumer buying behavior are Quality,

Resale Value and Status Symbol.

0123456789

price mileage Quality Resale Value

Status Symbol

No

.of

peo

ple

in

flu

ence

d

Influencing Factors

Honda Bikes Influencing Factor

65

Q11) How will you rate your bike’s performance with respect to following

attributes?

Give the points as follows:-

Worst Worse Bad Neutral Good Better Best

-3 -2 -1 0 1 2 3

Table no. 7.12 Points Given By Customers for attributes of bikes

ATTRIBUTES

AVERAGE

POINTS

FOR HERO

AVERAGE

POINTS

FOR BAJAJ

AVERAGE

POINTS

FOR TVS

AVERAGE

POINTS FOR

HONDA

Mileage 1 3 0 1

Price 1 2 0 -2

Pick-up 2 0 1 3

Maintenance 2 0 -2 2

Look & shape 3 -1 2 3

Brand Image 3 0 -1 3

Graph No. 18 P

INTERPRETATION

It is observed that in r

maximum rating to the lo

bikes. At the second lev

Bikes. Most of the custom

-2

-1

0

1

2

3

4

5

6

78

POINTS GIVE

66

Points Given By Customers for attributes of b

N: -

rating of different features of different bikes

look shape, Brand Image and Pickup of the HOND

evel they give their maximum rating to the mile

omers are dissatisfied with their TVS bikes.

EN BY CUSTOMERS FOR ATTRIBUTES

OF BIKES

AVERAGE ASSOCISTFACTOR FOR HOND

AVERAGE ASSOCISTFACTOR FOR TVS

AVERAGE ASSOCISTFACTOR FOR BAJAJ

AVERAGE ASSOCISTFACTOR FOR HERO

f bikes

es people give

NDA & HERO

ileage of Bajaj

ISTION DA

ISTION

ISTION AJ

ISTION

Q12) If new Bike with g

your bike?

Gr

INTERPRETATION

bikes are not ready to cha

features. While majority o

new bike provides some g

0

10

20

30

40

50

Yes

He

Yes

7

No

14

Can’t say

4

67

good features comes in, then would you like to

Table No. 7.13 Bike Changing decision

raph No. 19 Bike Changing Decision

N: - It is observed that the customers of Hero, B

ange their bikes even if a new bike comes in with

of the customers of TVS are ready to change the

good features to them.

No Can’t

say

Bike Changing decision

ero

Bajaj

TVS

7

10

13

14

12

7

4

3

5

o change

Bajaj & Honda

ith good

eir bikes if

Honda

TVS

Bajaj

Hero

Honda

10

13

2

68


OBSERVATIONS FROM

THE STUDY

69

OBSERVATIONS FROM THE STUDY

OBSERVATIONS:-

1. The maximum numbers of customers that are using these bikes fall in the income

group of 200000-400000 & 400000-600000. While this ratio is minimum in case

of customers whose income level fall below 200000 because they can’t afford

such bikes and the preference level for such bikes lowers from 600000 & above as

they prefer four wheelers.

2. Out of the sample size of 100 customers, 59 customers say that they are satisfied

with the performance of their bikes. On the other hand 34 customers are not

satisfied with the performance of the bikes that they are having. While the

remaining 7 customers are unable to say anything.

3. In Hero bikes the mileage of the bike and the resale value that it adds influences

the decision criteria of most of the customers. In Bajaj bikes customers gets more

influenced by the quality and mileage of the bike and also they think that it adds

value to their prestige. In TVS bike the economic price of the bikes influences the

buying behavior of the customers. In Honda Bikes, the factors that influence the

consumer buying behavior are Quality, Resale Value and Status Symbol.

4. It is observed that in rating of different features of different bikes people give

maximum rating to the look shape, Brand Image and Pickup of the HONDA &

HERO bikes. At the second level they give their maximum rating to the mileage

of Bajaj Bikes. Most of the customers are dissatisfied with their TVS bikes

5. It is observed that the customers of Hero, Bajaj & Honda bikes are not ready to

change their bikes even if a new bike comes in with good features. While majority

of the customers of TVS are ready to change their bikes if new bike provides

some good features to them

70


CONCLUSIONS

71

CONCLUSIONS

1. Most of the Apache, Pulsar & Shine are purchased by young generation 18

to 25 years because they prefer stylish looks and rest of the models of Hero,

Honda, TVS and Bajaj are purchased more by daily users who needs more

average of bikes than looks.

2. Hero, Bajaj and Honda is considered to be most fuel-efficient bikes on Indian

roads.

3. Service & Spare parts of Honda Bikes are available throughout India in local

markets also.

4. While buying a motorcycle, economy is the main consideration in form

of maintenance cost, fuel efficiency.

5. Majority of the respondent had bought their motorcycle more than 2 years.

72


SUGGESTIONS

73

SUGGESTIONS

1. Honda should introduce some more models having more engine power.

2. Honda should think about fuel efficiency in case of upper segment bikes.

3. More service centers should be opened for their Customers.

4. Maintenance cost and the availability of the spare parts should also be

given due importance.

5. They also introduce some good finance/discount schemes for students.

6. The price should be economic.

74


REFERENCES

75

REFERENCES

Bibliography

� Kotler, Philip (1999) “Marketing Management” Millennium Edition, Prentice

Hall, New York.

� Kothari, C (2005) “Research Methodology” New age publisher, New Delhi.

Magazines

� Business Today and India Today

Webliography:

1. www.heromotocorp.com

2. www.world.honda.com

3. www.bajajauto.com

4. www.extrememachines.com

5. www.tvsmotors.in

6. www.honda2wheelersindia.com

7. www.business-standard.com

76

QUESTIONNAIRE

“A comparative study on customer satisfaction towards

performance of Hero, Bajaj, Honda & TVS Bikes”

I. Personal data:-

1. Name & Contact no: -

____________________________________________________________

2. Gender: M F

3. Age Group : (A)18 to 25 (B)25 to 40

(C) 40 to 55 (D) Above 55

4. Occupation : Businessman Govt. Employee Private Employee

Student Retired Farmer

5. Annual income : Below 2,00,000 2,00,000-4,00,000

4, 00,000-6, 00,000 Above 6, 00,000

II. Consumer attitude & performance:-

1. Which company’s two wheelers bike do you have?

HERO BAJAJ HONDA TVS

2. Which models of two wheelers bike do you have?

HERO: - Splendour+ CD Deluxe Passion Pro CBZ Other

BAJAJ: - CT 100 Discover Pulsar XCD Other

HONDA: - Activa Dream Yuga Shine Unicorn Other

TVS: - Flame Apache Star city Jive Other

3. For how long do you own a bike?

0 year – 2 year 2 year – 5 year 5 year – 7 year Above 7 year

77

4. Since do you came to know about these two wheeler bike?

Newspaper Television Internet Friends / family other

5. For what purpose do you use these two wheelers bike?

Office work personal Enjoyment Education Other

6. Which source did you use to purchase a these two wheelers bike?

Cash Bank loan Friend / Relative Instalments

7. How will you rate your bike’s performance with respect to following attributes:-

Give the points as follows:-

Worst Worse Bad Neutral Good Better Best

-3 -2 -1 0 1 2 3

ATTRIBUTES POINTS

A Mileage

B Price

C Pick-up

D Maintenance

E Look / shape

F Brand image

8. Give the proper rank from 1 to 4 for the below given different two-wheeler companies of

bikes for choice preference as per your views?

(A)HERO_____ (B) BAJAJ _____ (C) HONDA_____ (D) TVS_____

9. If new bike with good features come in, then would you like to change your bikes?

Yes No can’t say

78

10. From the following factors given below, tick the foremost important factor which

influenced your decision while purchasing a bike?

Price mileage Quality Resale value Status

11. Does advertisement influence your decision in choosing a motor bike?

Yes No Can’t say

12. Which company’s bikes you will suggest others to buy?

HERO BAJAJ HONDA TVS

13. For the following criteria answer these question based upon your experience about these

two wheeler bikes. Tick the most appropriate answer as per your views in the block.

Strongly Agree

Agree Natural Disagree Strongly Disagree

A Satisfied with the performance of the bike

B Knowledge about bike before buying.

C The dealers are customer friendly.

D Dealer service is helpful at time to purchase a bike.

E Satisfied with the dealer service after purchase a these two wheeler.

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