A PROJECT REPORT ON CUSTOMER RETENTION IN DAYGAINS SERVICES BANGALORE SUBMITTED IN PARTIAL FULFILMENT OF THE COURSE REQUIREMENT OF POST GRADUATE

DIPLOMA IN MANAGEMENT SUBMITTED BY ASHWINI KUMAR REG. NO: A1009 UNDER THE GUIDANCE OF
INTERNAL GUIDE Dr.. PARUL TANDON Faculty of Finance Dayananda Sagar Business School

July 2011

Dayananda Sagar Business School Shavige Malleswara Hills, K.S. Layout, Bangalore-78

Guide Certification

This is to certify that the report titled Customer Retention has been prepared under my guidance and supervision. The report is submitted in partial fulfillment of the requirement for the award of Post Graduate Diploma in Management (Approved by AICTE) by GANESH KUMAR DUBEY Reg. no:-A1018 and this report / study has not formed a basis for the award of any degree or diploma in any university / institution.

Place:Date:Guide Name:MR. K.V. RAMANATHAN Director

Student Declaration

I hereby declare that the report/ study titled prepared under the guidance of Marketing Pattern submitted in partial fulfillment of the requirement for the award of Post Graduates Diploma in Management (AICTE) in Dayananda Sagar Business School is my original work and has not been submitted for the award of any other degree/ diploma in any university / institution.

Place Date

.... Name of the Student Signature

ACKNOWLEDGEMENT
Apart from my own effort, the success of any project depends largely on the encouragement and guidelines of many others. I take this opportunity to express my gratitude to the AUTO PLAANATE INDUSTRY( PVT.) LTD (Jharkhand), which has been instrumental in the successful completion of this project. I express my heart full in deftness and owe a deep sense of gratitude to my faculty guide Prof. K.V. RAMANATHAN, DAYANANDA SAGAR BUSINESS SCHOOL, BANGLORE, and I would also like to show my greatest appreciation to MRS. KUMKUM TRIPATHI, General Manager (H.R). I cant say thank you enough for his tremendous support and help. I feel motivated and he encouraged every time I attend her. Without his encouragement and guidance this project would not have materialized. I am extremely thankful to the Director and faculties of the DAYANANDA SAGAR BUSINESS SCHOOL for their coordination and cooperation and thankful to Prof. K.V. Ramanathan for his kind guidance and encouragement. Its a pleasure to me to acknowledge many invisible hands that have helped me here in completion of this dissertation.

Thanking You
4

S.R NO. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. S.R NO.

TABLE OF CONTENTS
Introduction of customer retention Benefits of our approach to customer retention Objective of customer retention Problem statement Research methodology Data collection Tools of analysis Limitation of the study Company profile overview Current status of Mahindra & Mahindra Ltd Auto Plaanate Indostry (Pvt.) Ltd Mission and vision of the company Competitors profile of respondents Data collection Chi-square test Applying ANOVA test Correlation test Finding Recommendation Conclusion Bibliography

PAGE NO. 10 13 14 14 15 15 16 18 20 21 23 25 26 28 30 46 51 52 56 57 58 59

Questionnaire

LIST OF TABLE
5

60 PAGE NO.

1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19.

Ratio of male and female 30 Respondents frequently visit 31 Satisfaction level of customer care facility and 32 staff Friendliness and helpfulness of the staff Rating of knowledge of staff to solve problem Professionalism of the staff Accessibility to the department store Pricing system of goods Affordability of our goods Satisfaction of customer with location Communication level received from staff Recommendation of the customer for the store Rating of excellence scale Rating of overall experience of customer with company Satisfaction level of customer towards quality Chi-square test Chi-square test Applying ANOVA test Correlation 33 34 35 37 38 39 40 41 42 43 44 45 47 50 51 52

S.R NO.

LIST OF GRAPH
Ratio of male and female Respondents frequently visit Satisfaction level of customer care facility and staff Friendliness and helpfulness of the staff Rating of knowledge of staff to solve problem Professionalism of the staff
6

PAGE NO.

1. 2. 3. 4. 5. 6.

30 31 33 34 35 36

7. 8. 9. 10. 11. 12. 13. 14. 15.

Accessibility to the department store Pricing system of goods Affordability of our goods Satisfaction of customer with location Communication level received from staff Recommendation of the customer for the store Rating of excellence scale Rating of overall experience of customer with company Satisfaction level of customer towards quality

37 38 39 40 41 42 43 45 46

CHAPTER-1

INTRODUCTION OF CUSTOMER RETENTION

Customer retention is the measure of how well the costumer stays and engaged with the organization or with specific products and services. Company seeking or want to expand their profit or sales and spending time, money and resources for new customers. That customer satisfaction leads to customer retention is conventional wisdom. You may have situation where a customer is satisfied, but is still not retained. You may have situation where a customer will not be satisfied, but still retained.

Customer satisfaction is the measure of how well our PRODUCTS, SERVICE, SUPPORT and ENGAGEMENT are able to meet the customer EXPECTATIONS. Customer Satisfaction and Customer Retention is not absolutely linear That Customer Satisfaction leads to Customer retention is a conventional wisdom. You may have situations where a customer is satisfied, but is still not retained. You may have situations where a customer will not be satisfied, but still retained. Here are some examples of these paradoxical situations: Satisfied customer, but detained

Your products are doing the right things, but they are not the right productsYour products and services could be meeting customer expectations, but customer could be attracted to more creative and functionally better products. Customer wants to try something new- Customer may get bored of your product, and they just want to try something new. Customer going for more competitive products- Competition is giving better price vs. value equation.

Dissatisfied customer, but retained

Existing contract yet to expire. Supplier market- More demand than supply. Customer expectations are not well managed, but customer is staying due to the value proposition of your product. High Exit cost to the customer. Example- Exit load for early termination of your loan with a bank.
9

Customer retention refers to the percentage of customer relationships that, once established, a business is able to maintain on a long-term basis. Customer retention is a simple concepthappy customers who feel important and are regularly communicated with in the right way will keep coming back. It is a major contributing factor in the net growth rate of businesses. For example, a company that increases its number of new customers by 20 percent in a year but retains only 85 percent of its existing customers will have a net growth rate of only 5 percent (20 percent increase less 15 percent decrease). But the company could triple that rate by retaining 95 percent of its clients. Of course, growth is just one of the benefits that superior customer retention can offer a company. Increased profits are another. The cost of acquiring customers and putting them on the books generally exceeds by several times the annual cost of serving existing customers. So the longer customers are kept, the more years over which the initial cost of acquisition can be spread.
10

Customer feedback can help you improve your products and continue your relationship. However, its not effective to measure customer satisfaction because its so vague. Satisfied doesnt mean they intend to keep buying. Instead, focus on behavior: Ask whether they intend to buy again and why or why not. Ask what three things you can improve and whether theyll provide referrals. These questions provide more actionable insight than satisfaction.

The Benefits of Our Approach to Customer Retention

Identifies customers that will churn through churn modeling. Identifies and score customers that should not be kept via customer priority models. Identifies defensible competitive niches. Isolates customers that appreciate value-added services. Yields 200 to 300% higher lifts compared to conventional customer retention modeling. Can be performed in 60-90 days. Produces targeting scores that allow campaigns to intercept and remediate customers before they leave. Identifies the optimal incentive and reward strategies at the lowest cost through primary survey research which tests reward and incentive attributes.

11

Objectives:

To study the strategy of the Customer Retention to stock advisory firm Daygains. To understand the satisfaction level of customer, affordability of the services and friendliness and helpfulness of staff member. To study the excellence scale and accuracy of the Daygains.

Problem Statement
Is that the Auto Plaanate Indostory has the best way of customer retention or not. In todays world every company have to face competition out of that in what way company should to do the work to customers in terms of quality, service, benefits etc. due to marketing problem in this regards the present study is require how the customer retention make in organization.

12

RESEARCH METHODOLOGY
Research Design:Research design that prefer in the project is analytical in nature.

Data Collection:Primary Data:

Taking data from General Manager and other staff members of Daygains.

Collecting Data from informal interview with firms owner.

Secondary Data:
Database of Daygains stock advisory firm.

Internal reports and magazines of Daygains.

13

Tools of Analysis:Chi Square Test:Pearson's chi-square is used to assess two types of comparison: tests of goodness of fit and tests of independence. A test of goodness of fit establishes whether or not an observed frequency distribution differs from a theoretical distribution. A test of independence assesses whether paired observations on two variables, expressed in a contingency table, are independent of each other

The formula for Chi Square test is:-

Where, 2 = Pearson's cumulative test statistic, which asymptotically approaches a 2 distribution. Oi = an observed frequency;

14

Ei = an expected (theoretical) frequency, asserted by the null hypothesis; n = the number of cells in the table.

Anova test:Analysis of variance (ANOVA) is a collection of statistical models, and their associated procedures, in which the observed variance in a particular variable is partitioned into components attributable to different sources of variation. In its simplest form ANOVA provides a statistical test of whether or not the means of several groups are all equal

Coefficient of Correlation:The coefficient of correlation analysis attempted to determine the degree of relation between variance. The coefficient of correlation is +1 in the case of a perfect positive (increasing) linear relationship (correlation), 1 in the case of a perfect decreasing (negative) linear relationship (anti correlation), and some value between 1 and 1 in all other cases, indicating the degree of linear dependence between the variables. As it approaches zero there is less of a relationship (closer to uncorrelated). The closer the coefficient is to either 1 or 1, the stronger the correlation between the variables.

15

The formula for r is:-

Limitations of the study:

As far as possible best efforts have been made to collect the data in the course of entire study, also encountered difficulties in collecting data on certain aspects, and research study has done with whatever data on hand.

Since The sample size of the customers are very less, the analysis done can not be compared to the entire population of customer.

Survey done was limited to period of time. Company did not provide their real policy. The company and customer coulnot provide the entire details due to their busy schedule. Non-response error. Huge Space between what people say and what they actually do.

16

CHAPTER-2

17

Company Profile:Overview
DayGains Services is an Investment Advisory Company which provides fail-safe recommendations for your valued Investments in the Share Market. We provide the Best Stock Tips. Keeping a proper blend of growth as well as safety in mind, our team of professionals provide you opportune Share Market Tips live through SMS.

Current Status of Mahindra &Mahindra Ltd.

Mumbai, May 2, 2011: Mahindra & Mahindra Ltd. (M&M Ltd.), a part of the US $11.1 billion Mahindra Group, today announced a 23% rise in its auto sales numbers, which stood at 32090 units during April 2011 as against 26043 units during April 2010. The companys domestic sales stood at 30349 units during April 2011, as against 25037 units during April 2010, an increase of 21%. The Passenger Vehicles segment (which includes the UVs as well as the newly launched Verito) registered a growth of 20%, having sold 15459 units in April 2011, as against 12923 units during April 2010. The 4 wheel pick-up and commercial passenger segment has registered a growth of 16%, while the 3-wheelers segment has grown by an impressive 45%.
18

AUTO PLAANATE INDOSTRY (PVT.) LTD.

About the Company
The Company was formally founded in the Name of Rahul AutoMobile Udyog Pvt. Ltd. on 7th January 2004. Later it was changed into Auto Plaanate Indostry Pvt Ltd on 7th January 2005 & started operation on 19th August 2005. During its inception, APIPL started with the modest retail about 484 vehicles with Gross Turnover of 25.7 Crores. In Financial Year 2006-07 Company retail 771 vehicles with Gross Turnover of 39.36 Crores. All this would have been possible with the proper guidance of our Managing Director, Mr. Shaligram Tiwari and his great team. BUSINESSES & DIVISIONS AUTO PLAANATE INDOSTRY PVT. LTD IS HAVING AN AUTHORIZATION OF MAHINDRA & MAHINDRA LTD. THEY HAVE AUTHORIZED FOR SALES, SERVICE AND SPARE FOR MAHINDRA VEHICLE AND THEIR VALUABLE SPARE PARTS. THEY AUTHORIZED BRANCHES ARE AVAILABLE IN VARIOUS IMPORTANT LOCATION OF JHARKHAND WHICH PROVIDE COMPLETE INFORMATION AND LATES UPDATE TO THE CUSTOMERS QUERIES OR COMPLAIN. AUTO PLAANATE INDOSTRY PVT. LTD. IS BETTER KNOWN AS AUTOMOBILE DIVISION. THEY DEAL IN FULL MAHINDRAS RANGE OF VEHICLE LIKE UTILITY VEHICLES, SPORT

19

UTILITY VEHICLES, LOGAN, LIGHT COMMERCIAL VEHICLES AND HEAVY COMMERCIAL VEHICLES.

MANAGEMENT: IN AUTO PLAANATE BELIVE THAT ANY ORGANIZATION IS A CLOSE KNIT FAMILY. THE FIRM HAS THE FOLLOWING PERSON AS ITS MANAGING DIRECTOR. NAME MR. SHALIGRAM TIWARI DESIGNATION MANAGING DIRECTOR

MR. SHALIGRAM TIWARI, MANAGING DIRECTOR, HAS OVER 7 YEARS EXPERIENCE IN F.M.C.G. DURING HIS TENURE AS MD THE FIRM HAS WON SEVERAL AWARDS FROM MAHINDRA & MAHINDRA LTD. AUTO PLAANATE INDOSTRY PVT. LTD. AUTOMOBILE DIVISION HAS BEEN DIVIDED INTO FOLLOWING THREE SECTIONS WITH FOLLOWING SECTIONS MANAGERS: MR. AJAY KUMAR SINGH MISS. KUMKUM TRIPATHI MR. KRISHNA VISHWAKRMAMR. JITENDRA KR. SINHA GENERAL MANAGER GENERAL MANAGER (HR) MANAGER (HR) MANAGER ACCOUNTS SALES
20

MR. K.N. JHA MR. RAJESH BHAGAT

-SALES MANAGER SUV (PASSENGER) -SALES MANAGER UV (PASSENGER) SALES MANAGER LCV SALES MANAGER (HCV) SALES MANAGER (LOGAN)

MR. ARBIND UPADHAYAY MR. DINESH PRASAD MR. HIMANSHU MISHRA MR. G.N. SINHA

- SALES MANAGER (COMMERCIAL)SERVICE

MR. KUMUD RANJAN SINGH -WORKS MANAGER MR. MANASWI KUMAR -COTECH (TECHNICAL MANAGER) SPARES MR. KAMLESH KUMAR -PARTS MANAGER EACH DIVISION HAS ITS OWN HOD HENCE ONE HAS TO REPORT DIRECTLY TO THEIR HODS BUT AUTO PLAANATE BELIVES IN THE OPEN DOOR POLICY SO ANYONE IS FREE TO APPROACH THE MD OR ANY OF THE DIRECTORS IF REQUIRED. MISSION & VISION OF THE COMPANY: Auto Plaanate Indostry Pvt. Ltd will strive to create an environment of fairness, honesty, and courtesy to get maximum satisfaction of our employee and customer.

COMPETITORS

Ashok Leyland Limited

21

Bajaj Auto Limited Maruti Suzuki India Limited Audi Chevrolet Ford Honda Hyundai Tata Toyota

ServicesCustomization Services Design Services

CompaniesMahindra & Mahindra-Automotive Division Mahindra Graphic Research Design Mahindra Navistar Automotive Mahindra Navistar Engines Mahindra Reva Electric Vehicles Mahindra Vehicle Manufacturers Ssangyong Motor Company

22

CHAPTER-3

23

Profile of Respondents:Auto Plaanate Indostry (Pvt.) Ltd situated at Dhanbad in Jharkhand, it is a rural area. Mostly respondents employee of B.C.C.L and business man. Some respondentprefers commercial vehicle and some for their personal use. Recently Mahindra launched Navistar truck so some transporters also prefers truck Mostly the age respondents that prefers to take the vehicle comes under 30-40 years of age.
b

24

CHAPTER-4

25

DATA COLLECTION:

1. Table Showing The Respondent Ratio of male and female. Sex Male Female Total respondents 48 12 60

Interpretation: From the above table it was found that most 48 respondents are male and 12 respondents are female. Chart showing the Respondent Ratio of male and female.

26

2.Table Showing the frequently visit Auto Plaanate Indostry (pvt.) Ltd showroom in a month. s. no. 1 2 3 4 5 Visit(time) 1-2 2-5 5-10 More 10 times Total respondent 17 30 11 than 2 60

Interpretation: From the above table it was found that most 30 respondents visited 2-5 time to the Auto Plaanate and secondly 17 respondents visited 1-2 times . Chart showing the frequently visit Auto Plaanate Indostry (pvt.) Ltd showroom in a month.

27

3. Table showing the satisfaction level with the customer care facility and staff. s. no. 1 2 3 4 5 6 Customer care facility Excellent Very good Moderate Poor Very poor Total respondent 1 26 29 4 0 60

Interpretation: From the above table it was found that most 29 respondents are moderately satisfied with the customer care facility and staff and secondly 26 respondents concludes to be very good.

Chart showing the satisfaction level with the customer care facility and staff.

28

4. Table showing the friendliness and helpfulness of the staff members to resolve the problem. s. no. 1 2 3 4 5 6 Helpfulness Very good Good Average Poor Very poor Total respondent 4 25 20 8 3 60

Interpretation: From the above table it was found that most 25 respondents satisfied with good helpfulness and friendliness level and secondly 20 respondents concludes to be average.
29

Chart showing the friendliness and helpfulness of the staff members to resolve the problem.

5. Table showing the rating of the overall knowledge and ability of staff to solve problem s. no. 1 2 3 4 Staff ability Very good Good Average Good respondent 5 23 27 0

30

5 6 Interpretation:

Very good Total

5 60

From the above table it was found that most 27 respondents satisfied with average knowledge and ability of staff to solve problem and secondly 23 respondents satisfied with good. Chart showing the rating of the overall knowledge and ability of staff to solve problem.

6. Table Showing the professionalism of the staff members? s. no. 1 2 3 4 5 6 Professionalism staff Excellent Very good Moderate Poor Very poor Total respondent 2 26 29 3 0 60
31

Interpretation: From the above table it was found that most 29 respondents satisfied with moderate professionalism of the staff members and secondlynd 26 respondents satisfied with very good.

Chart Showing the professionalism of the staff members?

32

7. Table showing the accessibility to the department store. s. no. 1 2 3 4 5 6 Accessibility department store Very high High Reasonable Low Very low Total of respondent 6 25 24 5 0 60

Interpretation: From the above table it was found that most 25 respondents give their view high for accessibility to the department store and secondly 24 respondents satisfied with reasonable . Chart showing the accessibility to the department store.

8. Table showing the pricing system of goods. s. no. Pricing system Respondent
33

1 2 3 4 5 6

Excellent Very good Moderate Poor Very poor Total

4 20 30 6 0 60

Interpretation: From the above table it was found that most 30 respondents give their view about pricing system is moderate and secondly 20 respondents satisfied with very good . Chart showing the pricing system of goods.

9. Table showing the affordability of our goods. s. no. 1 2 3 Affordability of goods Very high High Reasonable respondent 3 28 28
34

4 5 6

Low Very low Total

1 0 60

Interpretation: From the above table it was found that 28 respondents give their view about affordability of our goods is high and as well as 28 respondents give their view reasonable. Chart showing the affordability of our goods.

10. Table showing the satisfaction of customer with the location of department store. s. no. 1 2 3 Satisfied(location) Very satisfied Satisfied Neither dissatisfied
35

respondent 13 28

satisfied

nor 18

4 5 6

Dissatisfied Highly dissatisfied Total

1 0 60

Interpretation: From the above table it was found that 28 respondents give their view satisfaction of customer with the location of department store is satisfied and secondly 18 respondents neither satisfied nor dissatisfied. Chart showing the satisfaction of customer with the location of department store.

11. Table showing the communication and instructions level received from staff . Interpretation: From the above table it was found that 21 respondents give their view about communication and instructions level received from
36

staff

is agree and

secondly 20 respondents with highly agree. Chart showing the communication and instructions level received from staff.

14.Table showing the recommendation of the customers for the store. s. no. 1 2 3 Recommend store Yes No Total respondent 54 6 60

37

Interpretation: From the above table it was found that 28 respondents give their view about recommend store with yes and 6 respondents give their view no. So 54 respondents give positive response out of 60 respondents.

Chart showing the recommendation of the customers for the store.

15. Table showing the rating of excellence scale. s. no. 1 2 3 4 Excellence scale Excellent Very good Moderate Poor Respondent 2 29 26 3

38

5 6 Interpretation:

Very poor Total

0 60

From the above table it was found that 29 respondents give their view about rating of excellence scale is very good and secondly 26 respondents give moderate . Chart showing the rating of excellence scale.

16. Table showing the rating of the overall experience of the customer with company. s. no. Respondent experience respondent

1 2

Very satisfied Satisfied

23 26

39

Neither dissatisfied

satisfied

nor 11

4 5

Dissatisfied Highly dissatisfied

0 0

6 Interpretation:

Total

60

From the above table it was found that 26 respondents give their view about overall experience of the customer with company are satisfied and secondly 23 respondents are very satisfied.

40

Chart showing the rating of the overall experience of the customer with company.

17. Table showing the satisfaction level of customer towards the quality standards. s. no. Quality standards Respondent

1 2 3 4 5

Very high High Reasonable Low Very low

5 29 24 2 0

41

6 Interpretation:

Total

60

From the above table it was found that 29 respondents give their view about satisfaction level of customer towards the quality standards is good and secondly 24respondets are satisfied with reasonable. of satisfaction level of customer towards the quality standards is high. Chart showing the satisfaction level of customer towards the quality standards.

Chi-Square Test The chi test is being done on number of visit of the customer and ability of the staff members in solving the customers query.

42

H0=There is no association between the number of visit and ability taken by the customer. H1=There is association between the number of visit and ability taken by the customer.

Very good Good Average Poor Very poor Total

1-2 2(a) 7(e) 7(i) 0(m) 1(q) 17

2-5 1(b) 12(f) 13(j) 0(n) 4(r) 30

5-10 2(c) 3(g) 6(k) 0(o) 0(s) 11

10< -0(d) 1(h) 1(l) 0(p) 0(t) 2

total 5 23 27 0 5 60

The expected frequency is calculated using the formula. Expected Value= Raw total *column total Grand total

a= 5*7 = 1.416 60 b= 5*30 = 2.5 60 c= 5*11 = 0.916 60

43

d= 5*2 = 0.166 60 e= 23*17 = 6.516 60 f= 23*30 = 11.5 60 g= 23*30 = 4.216 60 h= 23*11 = 0.766 60 i= 27*17 = 7.65 60 j= 27*30 = 13.5 60 k= 27*11 = 4.95 60 l= 27*2 = 0.9 60 m= 0*17 = 0 60

44

n= 0*30 = 0 60 o= 0*11 = o 60 p= o*2 =0 60 q= 5*17 = 1.416 60 r= 5*30 = 2.5 60 s= 5*11 = 0.916 60 t= 5*2 = 0.166 60

45

Cell A B C D E F G H I J k l m N o p q r s t Total

Oi 2 1 2 0 7 12 3 1 7 13 6 1 0 0 0 0 1 4 0 0

Ei 1.4 2.5 0.9 0.2 6.5 11.5 4.2 0.8 7.7 13.5 4.9 0.9 0 0 0 0 1.4 2.5 0.9 0.2

(Oi-Ei) 0.6 -1.5 1.1 -0.2 0.5 0.5 -1.2 0.2 -0.7 -0.5 1.1 0.1 0 0 0 0 -0.4 1.5 -0.9 -0.2

(Oi-Ei)2 0.36 2.25 1.25 0.04 0.25 0.25 1.44 0.04 0.49 0.25 1.21 0.01 0 0 0 0 0.16 2.25 0.81 0.04

(Oi-Ei)2/Ei 0.257 0.9 1.34 0.2 0.038 0.021 0.342 0.05 0.063 0.018 0.246 0.011 0 0 0 0 0.114 0.9 0.9 0.2 5.6

X2cal=5.6 and X2tab is at 5% level is 21.026% X2cal < X2tab

Accept H0 and reject H1 It implies that two variables are not dependent, ie the services given by the company is not depend on the number of visit.

46

Applying ANOVA Test

H0:-There is no significant difference between the preference of the vehicles m(commercial and Personal). H1:-There is a significant difference between the preferences of the vehicles. ANOVA Rating Sum Between Groups Within Groups Total Squares 36.432 353.502 389.933 of Df 1 58 59 Mean Square 36.432 6.095 F 5.977 Sig. .018

Fcal=5.977 Ftab at 5 % level with n1=(2-1)=1degree of freedom n2=60-2=58 degree of freedom is 4.00 Therefore, Fcal>Ftab It implies there is a significant contribution on the rating given by the customers as per the vehicle type is concerned the mean value are not identical. Therefore there is difference in the opinion on the rating corresponding to different types of vehicles. Hence accept H1
47

Correlation Test:
I am doing Correlation test for testing that correlation between the quality std. and pricing System of the goods.

Pricing (x) goods 4 20 30 6 0

Quality (y) 5 29 24 2 0

U= x-30 V= y-24 Uv

U2

V2

system of standard -26 -10 0 -24 -30 u=-90 -19 5 0 -22 -24 v=-60 494 -50 0 528 720 uv=1692 676 100 0 576 900 u2=2252 361 25 0 484 576 v2=1446

X = 30 + u 10 =30 + (-90) 10 = 30-9 =21 Y = 24 - v 10 = 24- (-60) 10

48

= 30

r1 = nuv - u * v nu2 (u)2

= 5*1692 (-90) * (-60) 5*2252 (-90)2

= 8460 5400 11260 - 8100

= 3060 3160

= 0.9683

r2 = nuv - u*v nv2 - (u)2 = 0.843

8460 5400 5*1446 3600

= 3060 3630

r =

r1*r2

= 0.90

Hence r=+.90 , therefore the relation between pricing and quality is highly positive linear relationship means pricing of the product is directly proportional to the quality of the good.

49

CHAPTER-5
50

FINDINGS:

It is inferred that the male respondents highly prefer to purchase the vehicle. facility.

It is found that 29 of respondents are moderately satisfied with the customer care

It is inferred that 25of people recommends that the Auto Plaanate Indostry are good in providing the helpfulness and friendliness and the lowest respondents are 3.

It is found that the average (27) of employees is skilful, knowledgeable and able to solve the customers query. 25 respondents think that there is high accessibility to department store.

It is inferred that 30 respondents are averagely satisfied with the pricing system.
51

 Applying chi-square test it is inferred that there is no association between the knowledge and ability of the staff members in compare with the customers visit to the store. From the ANOVA test it is concluded that there is a significant contribution on the rating given the customer while preferring the vehicle type.

Applying coefficient of co-relation it is inferred that there is a highly positive relationship between the process and quality of goods.

Recommendations:

The current scenario demands that the company prefers to get a loyal customers and can achieve that by providing good services so according to survey conducted the company should focus more on there staff service towards the customer and try to achieve the highest customer satisfaction level.

It has been found that the company will be providing the training to the drivers for heavy vehicle(Navistar) which gives the opportunity to the driver staff to take wrong advantage from the company and hence the customer finds difficulty in purchasing such vehicle type.

The company should also focus on increasing the accessibility of the store for the customers.

By the survey and interaction with the customer it is found that the customers are unsatisfied with the company because they would not be able to receive the goods on time.
52

CONCLUSIONS:
The study is conducted to know the techniques for the customer retention for the company and the survey has helped in providing the details regarding this. The study has been able to accomplish the objective of the survey, and also in knowing the strength and weakness of the company, the customer perception towards purchasing of the vehicle, and the services that is being provided by the company. It can be concluded that the company can initiate various steps for the customer retention by following some of the recommendations given in this report.

53

BIBLIOGRAPHY

http://www.mahindra.com/ http://www.mahindra.com/What-We-Do/Automotive http://en.wikipedia.org/wiki/Mahindra_%26_Mahindra_Limited http://www.surfindia.com/automobile/mahindra-logan.html http://www.thefundu.com/tag/mahindra-rodeo/ http://stores.hoovers.com/storefront/multiproduct-view.ep? eType=company&eID=138817000000000

54

Customer Retention Questionnaire

Dear Respondent, I am Ganesh Kumar Dubey Student of Dyananda Sagar Business School conducting project on Customer Retention from Mahindra Automobiles and for this purpose I am taking information from your side and this information is only use for my internal prospects. Name of the customer____________ Age_______________________ Sex__________ Address___________________________Phone___________

55

Please fill out the following information accurately and clearly. 1.) Please state how many times you frequently visit Auto Plaanate Indostry showroom in a month? a) 1 to 2 times b)2 to 5 times c)5 to 10 times d)More than 10 times

2)What type of vehicle are you interested in purchasing? View Commercial Personal 3)Are you happy with our customer care facility and staff? a)Excellent b)Very Good c)Moderate d)Poor e)Very Poor Agree Highly Agree Neither agree Disagree nor Disagree Highly Disagree

4)Please rate the friendliness and helpfulness of our staff members to resolve your problem? a) very good b)good c)average d)poor e)very poor

5) How did you rate the overall knowledge and ability of our staff to solve your problem? a) very good b)good c)average d)poor e)very poor

6)Please rate the professionalism of our staff members?

56

a)Excellent

b)Very Good c)Moderate

d)Poor

e)Very Poor

7)Please rate the accessibility to our department store? a)Very High b)high c)Reasonable d)Low e)Very Low

8)Please rate the pricing system of our goods? a)Excellent b)Very Good c)Moderate d)Poor e)Very Poor

9)Please rate the affordability of our goods? a)Very High b)high c)Reasonable d)Low e)Very Low

10) Are you satisfied with the location of our department store? a) very Satisfied d) dissatisfied b) satisfied e) Highly dissatisfied c) neither satisfied nor dissatisfied

11)Is the communication and instructions received from staff is clear? a) highly Agree d) disagree b) agree c)neither agree nor disagree

e)highly disagree

12) Please describe the aspects of our store that would make you come back. ________________________________________________________________________ ________________________________________________________________________ 13) Please describe the aspects of our store that would not make you come back. ________________________________________________________________________

57

________________________________________________________________________ 14) Would you recommend our store? a) Yes b) No

15) How would you rate us in excellence scale? a) Excellent b) Very Good c) Moderate d) Poor e)Very Poor

16.) How would you rate your overall experience with our company? a)Satisfied b)very satisfied c)neither satisfied nor dissatisfied

d)dissatisfied e)Highly dissatisfied 17))Are you happy with our quality standards? a)Very High b)high c)Reasonable d)Low e)Very Low

18)Do you have any complaint, regarding our products and staff?

Any Suggestions__________________________________________________________ Thank You

58

THANK YOU
59