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CHAPTER 1

INTRODUCTION

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INTRODUCTION

The project is all about measuring the customer satisfaction in Hero Maestro .For the past

few years every company is trying to satisfy its customers .The emphasis is on ways of

retaining customers ,then on attracting new customers .It is easy to attract new customers

then to retain old customers .So, companies are trying to focus on this aspect of customer’s

satisfaction.

The sale of a product does not end with the sale transaction but it is the point at which the

original marketing concept starts .The marketer has to see that whether the customer satisfied

with that particular product/service or not .The post purchase behavior is important for a

marketer .If there is any cognitive dissonance in the minds of the customers then that is

enough to lose a customer .Keeping this in mind the companies are giving more importance

to customer satisfaction.

This project work has been done to find out whether a customer is satisfied or dissatisfied

,also to measure the level of the customer satisfaction and provide this feedback to the

company .The first phase of the project involves the collection of information from the

customers for interpreting the characteristics based on which the customer feels satisfied or

dissatisfied .This information is collected by preparing a structured questionnaire .The

questionnaire consists of both open-ended and closed–ended questions .The questionnaire is

designed in such a way that a customer feels convenient to answer.

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The collated information through the questionnaire is analyzed and presented in a statistical

form .The findings are listed and suggestions to solve problems faced have been given in the

suggestion part.

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INDUSTRY PROFILE

The Indian automobile industry, the seventh largest in the world, has demonstrated

a phenomenal growth. The industry has grown significantly over the last ten years,

during which industry volumes have increased by 3.2 times, from a level of 4.7

million numbers to 14.9 million numbers, according to Vishnu Mathur, Director

General ,Society of Indian Automobile Manufacturers (SIAM).The industry, by

virtue of its deep connects with several key segments of the economy, occupies a

prominent place in the country’s growth canvas. It exhibits a strong multiplier

effect and has the ability to be the key driver of economic growth. A robust

transportation system plays a key role in a country's rapid economic and industrial

development, and the well-developed Indian automotive industry justifies this

catalytic role by producing a wide variety of vehicles, which include passenger

cars, light, medium and heavy commercial vehicles, multi-utility vehicles such as

jeeps, scooters, motorcycles, mopeds, three wheelers, tractors etc.

Two Wheeler Industry

The Indian two-wheeler industry is the largest in the world with domestic annual

sales of nearly 14.8 million units in FY2014. The industry is a mix of home grown

companies and foreign players predominantly from Japan, like Honda Motor

Company, Suzuki Motor Corporation and Yamaha Motor Company. Till 1993, the

industry was dominated by scooters and mopeds with contributions of 47% and

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28% respectively. Bajaj Auto was the market leader with a strong presence in both

these segments. With fuel efficiency becoming a key consideration for purchase,

the industry moved towards the motorcycle segment. Hero Honda Motors(now

Hero MotoCorp) took the market with strong brands like Splendor and Passion . In

FY2007, the contribution of scooters had dipped to 12.3% and that of motorcycles

had risen to 83% for the industry. Scooters made a comeback of sorts with the

advent of Honda Motor Company’s Activa and have been the fastest growing

segment over the last five years.

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COMPANY PROFILE

HMCL, formerly known as Hero Honda Motors, is the largest two-wheeler

producer in the world and has retained this title for the past nine years. Over the

years, it has built product portfolio across categories, continuously improved

operational efficiency and aggressively expanded its customer reach by investing

in brand-building activities. Moreover, it operates with four facilities through an

extensive sales and service network spanning over 6,000 customer touch points

and dealer-appointed outlets across the country. The company enjoy 41.3% market

share in the domestic two-wheeler segment, largely on the back of its two popular

brands, Splendor and Passion .The Splendor launched two decades ago remains the

single largest selling two-wheeler brand in the country .In the 1980's the Company

pioneered the introduction of fuel-efficient ,environment friendly four-stroke

motorcycles in the country. It became the first company to launch the Fuel

Injection (FI) technology in Indian motorcycles, with the launch of the Glamour FI

in June 2006.Its plants use world class equipment and processes and have become

a benchmark in leanness and productivity .Manufacturing Hero MotoCorp 2-

wheelers are manufactured across three globally benchmarked manufacturing

facilities. Two of these are based at Gurgaon and Dharuhera which are located in

the state of Haryana in northern India. The third and the latest manufacturing plant

are based at Haridwar, in the hill state of Uttrakhand .Product range Hero

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MotoCorp offers wide range of two wheeler products that include motorcycles and

scooters, and has set the industry standards across all the market segments.

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RESEARCH PROBLEM

Now-a-days , two wheeler manufactures face stiff competition in the market .

All two wheeler manufacturers are ready to provide more attributes to

customers for satisfying them . Today customers prefer branded products. This

study analyses the things that make big differences to customer’s satisfaction

with a brand . Hence it is very relevant to study the brand preferred by

customers .By keeping in view the importance of customer’s satisfaction , the

present study is intended to make an analysis of customer’s satisfaction of

Hero Two-Wheeler-Maestro .

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OBJECTIVE OF THE STUDY

 To gather information about customer satisfaction toward Hero Maestro .

 To know the customer perception about features , low maintenance cost and looks

of Maestro.

 To know the customer satisfaction about the safety and comfort provided by

Maestro .

 To provide suggestions , in improving the customer satisfaction and the company

sales and Profitability.

 To know the customer satisfaction towards the after sales service offers by Race

motors.

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SCOPE OF THE STUDY

The study is aimed at finding out the customer’s opinion towards Hero Maestro. The

researcher has taken up 50 samples for the study , in Thrissur city . The study would

reveal the Intensity of gap between company’s deliverance and the company’s

deliverance and the customer’s expectation .The revelation of the study would keep

the company informed about the customer’s perception towards the bike and various

aspects concerned .

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LIMITATION OF THE STUDY

 The sample size is restricted to fifty only .

 Only questionnaire is used for data collection .

 Time was another factor . The study period is limited to 3 weeks .

 Respondent’s bias is another limitation of the study .

 The study is limited to Chettuva and Chavakad area only .

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RESEARCH METHODOLOGY

The Research Methodology is the process used to collect information and data for

the purpose of making business decisions. The methodology may include

publication research, interviews, surveys, and other research techniques, and could

include both present and historical information. The research methodology is used

as a guide in collecting and analysis of data. It is a comprehensive plan of the

series of operations that a researcher intends to carry out to accomplish the

research objectives. It is the blue print for the study.

TYPE OF RESEARCH

There are different types of research but for conducting this study the Descriptive

research is taken.

Descriptive research is fact-finding investigation. It is the simplest type of

research. Descriptive study is designed to gather descriptive information. It

provides information for formulating complex studies. The main objective of

descriptive studies is to depict accurately the distinctiveness of a particular group

or situation.

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DATA COLLECTION METHOD

In this study the survey research method is used and the data is collected through

the sample

A sample is a smaller representation of a large unit or value. So a sample is that

part of universe or population which we select for the purpose of investigation. The

selected respondents constitute sample and the selection process is called sampling

and the survey so conducted is called sample

SOURCES OF DATA

The study is based on both primary and secondary data.

PRIMARY DATA

Primary data has been collected directly from sample respondents through

questionnaire and with the help of personal interview.

SECONDARY DATA

Secondary data information has been collected from standard books, official

records and various published articles through internet and journals

SAMPLING METHOD

The study used the convenience sampling method for collecting necessary primary

data .This is a non-probability sampling This is a non-probability sampling

method. Questionnaires were used to gather the primary data from Customers only.

SAMPLE SIZE :A total of 50 samples have been selected for the study.

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CHAPTER 2
REVIEW OF LITERATURE

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LITERATURE REVIEW

The study is conducted to know the consumer satisfaction of two wheelers with special

references to Hero Maestro. The information is taken from customers and from journals and

periodicals. The internet provides a good source of information of this study. The Scooter

segment has been growing really fast these days in India with a 26.1% for April 2014 when

compared to an 8.1% growth in the motorcycle segment. The Hero Maestro is a scooter

designed for men for their everyday use. It is sturdy, stylish and comes with a host of

attractive features. In fact, it is seen that this bike is more stylish than the Pleasure scooter

meant for women. It is convenient to go for scooter; the reason being storage is better and

spacious.The fuel efficiency on this model is also good with 60 kmph and an engine, which

gives brilliant performance. The top speed on this scooter is 91 kmph and is ideal for even

long distance rides. Though you cannot compare the performance of scooters with that of

bikes in terms of speed, mileage of both scooters and bikes are almost similar. Adding up

mileage, stylish features, performance and durability is of course a reason why many opt for

scooters in place of bikes.According to one customer reviewing his newly purchased Hero

Maestro on Bike Dekho, the scooter is expected to offer a relatively low mileage till the third

service post which the mileage should shoot to 55-60 kmpl. As a new customer though, he

reports a mileage of 41.7 kmpl in city conditions. On Vicky.in, a customer of two months

has again reported a mileage of between 40 – 41 kmpl .These reported mileages are for city

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conditions. On highways, the mileage could be closer to the officially claimed consumption

levels. That is exactly what MaxAbout is reporting. In their test drive, they report a mileage

of 42 kmpl under city conditions and a much better 60 kmpl on the highways. That’s very

similar to what the folks at Iama Bikernote,at least in the city conditions. In their review,

they write that the reported mileage on city roads is 43 kmpl although on the highways, the

fuel consumption is not very high at 47 kmpl. Auto Empyrean too report a mileage of

between 40-45 kmpl in their test drive. Hero is calling the Maestro a men’s scooter and by

no means is that marketing jargon. Seat’s height is low, so shorter riders can place feet

firmly on the ground. Handlebars are placed upright to add to the already comfortable riding

position. The seat is wide enough to accommodate even XL-size posteriors (both yours

and/or your pillion’s) without any overhang. On longer rides, the Maestro feels comfortable

thanks to the riding position and adequate seat cushioning .The 109cc motor is borrowed

from Honda as well. Hero has pretty much kept the entire motor intact. It pumps out the

same 8bhp and 9Nm of torque, which is enough for puttering down to the grocery store and

back. Which reminds us, the Maestro also comes with a larger boot to stow some of those

shopping bags in.Schiffman. G. Leon and kanuklazare Leslie - Study of the customer

behaviour is the study of how individuals make decisions to spend their available resources

(Time, Money and Efforts) on consumption related items. It includes the study what they

buy, whey they buy it, when they buy it, where they buy it, how often they buy it and how

often they use it. The primary purpose for the study consumer behaviour as apart of

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marketing curriculum is to understand how and how customers make their purchase

decisions. There insights enable marketers to design more effective marketing strategies.

Gupta.C .B and Dr. Nair.N.Rajan- A business is based on understanding the customer

and providing the kind of products that the customer wants.

Mamoria C.B. and MamoriaSatish -Consumer behaviour is the process where by

individuals decide what, when, where, how and from whom to purchase goods and

services. Buying behaviour may be viewed as an orderly process here by individual

interacts with his environment for the purpose of making market decision on products

and services.

Nair Suja. R. - The success of the firm will be determined by how effective it has been

in meeting the diverse customer needs and wants by treating each customer as unique

and offering products and services to suit his/her needs.

Bennett Peter.D. And Kassarjian Haroldh - A great deal of research activity in

marketing is design to shed light on the customer decision process.

Oliver (1981) The definition offered by Hunt (1977) put forward a definition as, “the

summary psychological state resulting when the emotion surrounding disconfirmed

expectations is coupled with the consumers’ prior feelings about the consumption

experience”.

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CHAPTER 3&4
DATA ANALYSIS AND
INTTERPRETATION

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TABLE 3.1

AGE WISE CLASSIFICATION

Age Number of Respondents


18-25 9
25-35 16
35-45 17
45-55 6
55 Above 2
Total 50

CHART- 3.1

No.of Respondents

4%
12% 18%

18-25
25-35
34% 32%
35-45
45-55
55 Above

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INTERPRETATION

Above diagram shows that 18% of customers are aged between 18-25.32% of customers lie

between 25-35 age group. 34% of customer belongs to age group of 35-45.12% and 4% of

customer are among 45-55 and 55 above age group respectively.

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TABLE 3.2

GENDER WISE CLASSIFICATION

Gender Number of Respondents


Male 27
Female 23
Total 50

CHART-3.2

No. of Respondents

46%

54%
Male
Female

INTERPRETATION

Data shows 54% of customer are Male and 46% of customer are Female.

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TABLE 3.3

CUSTOMER USAGE

Time Period Number of Respondents

0 0-3 months 15

3-6 months 13

6-9 months 12

9-12 months 6

Above 12 months 4

Total 50

CHART – 3.3

No. of Respondents
16
14
12
10
8
No. of Respondents
6
4
2
0
0-3months 3-6months 6-9months 9-12months Above 12
months

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INTERPRETATION

Data shows 30% of customers are using for 0-3 months .26% of customers are using 3-6

months and 24% of customers are using for 6-9 months.12% of customers are using for 9-12

months and 8% of customers are using for above 12 months.

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TABLE 3.4

SOURCE WHICH PROVIDE AWARENESS ON HERO MAESTRO

Source No.of Respondents


Newspaper 10
Social Media 6
Television Ads 18
Friends 8
Others 8
Total 50

CHART-3.4

Others

Friends

Television Ads No.of Respondents

Social Media

Newspaper

0 5 10 15 20

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INTERPRETATION

36% of customers knew about Maestro from Television Ads and 20% from Newspaper.12%

of customers knew about Maestro from Social media .About 16% of customers knew about

Maestro from Friends and others.

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TABLE 3.5

MODE OF PURCHASE

Mode No.of Respondents


Wholesaler 0
Retailer 35
Sales Representatives 15
Total 50

CHART- 3.5

No.of Respondents

35
30
25
20
15
10
5 No.of Respondents
0

INTERPRETATION
About 70% of customers purchased the vehicle from Retailer and 30% of customers

purchased the vehicle through Sales Representative.

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TABLE 3.6
PERFOMANCE OF MAESTRO
Performance No.of Respondents

Satisfied 43

Dissatisfied 7

Total 50

CHART – 3.6

No.of Respondents

7%

Satisfied
Dissatisfied

93%

INTERPRETATION
About 93% of customers are satisfied with the Performance of vehicle and 7% of customers

are dissatisfied with the Performance.


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TABLE 3.7
MOST INFLUENCIAL FACTOR
Factors No.of Respondents

Features 15

Low Maintenance 7

Looks 9

After Sales 13

Price 6

Total 50

CHART – 3.7

No.of Respondents
16
14
12
10
8
6
4 No.of Respondents
2
0

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INTERPRETATION
About 30% of customers are influenced by the features of the vehicle whereas 26% of

customers are influenced by the After Sale Service. 18% of customers are influenced by its

looks. 14% of customers are influenced by the Low Maintenance cost whereas 12% of

customers are influenced by its Price.

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TABLE 3.8
PRICE OF MAESTRO
Pricing No.of Respondents

Satisfied 18

Neutral 27

Dissatisfied 5

Total 50

CHART – 3.8

30

25

20

No.of Respondents
15

10

0
Satisfied Neutral Dissatisfied

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INTERPRETATION
About 54% of customers have a neutral opinion about the Price of Maestro whereas 36% of

customers are Satisfied with the Price.10% of customers are not satisfied with the Price.

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TABLE 3.9
MAINTENANCE COST
Level of Satisfaction No.of Respondents

Satisfied 13

Neutral 28

Dissatisfied 9

Total 50

CHART – 3.9

No.of Respondents

3%

31%
Satisfied
Neutral
Dissatisfied
66%

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INTERPRETATION
About 66% of customers have a neutral opinion about the Maintenance cost of Maestro

whereas 31% of customers are Satisfied with the Maintenance cost.3% of customers are not

satisfied with the Maintenance cost.

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TABLE 3.10
FUEL CONSUMPTION
Level of Satisfaction No.of Respondents

Highly Satisfied 7

Satisfied 23

Neutral 15

Dissatisfied 5

Highly Dissatisfied 0

Total 50

CHART- 3.10

No.of Respondents

10% 0% 14%
Highly Satisfied
Satisfied
30% Neutral
Dissatisfied
46% Highly Dissatisfied

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INTERPRETATION
14% of customers are Highly Satisfied with the Fuel Consumption of Maestro.About30% of

customers have a neutral opinion about the Fuel Consumption whereas 46 % of customers

are Satisfied with the Fuel Consumption.10% of customers are not satisfied with the Fuel

Consumption.

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TABLE 3.11
SAFETY AND COMFORT
Satisfaction for Safety and Comfort No.of Respondents

Extremely Satisfied 11

Satisfied 21

Neutral 9

Dissatisfied 9

Highly Dissatisfied 0

Total 50

CHART – 3.11

No.of Respondents
25

20

15

10

5 No.of Respondents
0

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INTERPRETATION
22% of customers are Extremely Satisfied with the Safety and Comfort of Maestro .About

18% of customers have a neutral opinion about the Safety and Comfort whereas 42% of

customers are Satisfied with the Safety and Comfort.18 % of customers are not satisfied with

the Safety and Comfort.

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TABLE 3.12
PRODUCT DESIGN
Level of Satisfaction No.of Respondents

Satisfied 19

Neutral 24

Dissatisfied 7

Total 50

CHART – 3.12

No.of Respondents

Dissatisfied

Neutral
No.of Respondents

Satisfied

0 10 20 30

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INTERPRETATION
About 48% of customers have a neutral opinion about the Product Design of Maestro

whereas 38% of customers are Satisfied with the Product Design . 7% of customers are not

satisfied with the Product Design.

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TABLE 3.13
PERCEPTION ABOUT MAESTRO
Perception Level No.of Respondents

Very Good 13

Good 18

Average 14

Bad 5

Total 50

CHART – 3.13

No.of Respondents

Bad

Average

No.of Respondents
Good

Very Good

0 5 10 15 20

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INTERPRETATION
26% of customers have Very good Perception about Maestro .About 36% of customers have

good Perception whereas 28% of customers have an Average Perception. 10% of customers

have Bad Perception Maestro.

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TABLE 3.14
FEATURE ON SATISFACTION
Satisfaction for Feature No.of Respondents

Fuel Efficiency 9

Pick Up 4

Resale Value 14

Driving Comfort 12

Outlooks 11

Total 50

CHART – 3.14

No.of Respondents

22% 18%
Fuel Effieciency
8%
Pick Up
24% Resale Value
28% Driving Comfort
Outlooks

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INTERPRETATION
Almost 23% of customers are satisfied with the Resale value of Maestro whereas 12%

of customers are satisfied with the Driving Comfort .Data shows that 42% of customers

are satisfied with the Outlook of Maestro.32% of customers are satisfied with the Fuel

Efficiency and 12% of customers are satisfied with the Pick up of the Vehicle.

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TABLE 3.15
PRODUCT INNOVATION
Innovation Number of Respondents
Yes 36
No 14
Total 50

CHART – 3.15

No.of Respondents

8%

Yes
No

92%

INTERPRETATION

Data shows 92% of customer needs Innovation on the Product whereas 4% of customer does

not need any Innovation on the Product.

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TABLE 3.16
PRODUCT DEVELOPMENT
Response for Development No.of Respondents

Comfort 16

Design 17

Mileage 7

Other 10

Total 50

CHART – 3.16

No.of Respondents

Other

Mileage

No.of Respondents
Design

Comfort

0 5 10 15 20

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INTERPRETATION
Data shows 23% of customers needs development in the Comfort of the Vehicle

whereas 56% of customers need development in the Design .About 26% of customers

suggest need of more mileage.% of customers need various other development.

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TABLE 3.17
UNIQUENESS
Factors No.of Respondents

Style and Design 25

User Friendly 11

After sale Service 14

Total 50

CHART – 3.17

No.of Respondents

4%

29%
Style and Design
User Friendly
Aftersale Service
67%

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INTERPRETATION
About 67% of customers needs Uniquesness in the Style and Design of Maestro. By

data 4% of customers needs uniqueness in the After sale service whereas 29%

customers want it to be more User Friendly.

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CHAPTER 5

FINDINGS,SUGGESTIONS AND CONCLUSION

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FINDINGS

 Both Male and Female are almost equally attracted to Hero Maestro.

 Most of customers are aware of Maestro through Television Ads.

 Most of the customers who are using Maestro is in a period of 0-3 months.

 Majority of the customers purchased Maestro through Retailer.

 It is found that most of the customers are Satisfied with the Performance of

Maestro.

 Majority of the customers are influenced by mainly the Features of Maestro.

 It is found that most of the customers have a Neutral Opinion about the Price of

Maestro.

 It is found that most of the customers have a Neutral Opinion about the

Maintenance Cost of Maestro.

 Large number of customers are Satisfied with the Fuel Consumption of Maestro.

 Large number of customers are Satisfied with the Safety and Comfort of Maestro.

 Majority of the customers have a Neutral Opinion about the Design of Maestro.

 It is found that most of the customers have a good Perception about Maestro.

 Majority of the customers are satisfied with its Feature of Resole tube.

 Most of the customers need an Innovation on the Product.

 It is found that most of customers need development mainly in the Design and

Mileage of Maestro.
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SUGGESTIONS

 The most important media for consumer durables is Television. So, they should go for

Television advertisements rather going for Newspaper ,the television advertisements

influences more on the people .They should spend some expenditure for T.V

advertisements.

 Being the price of the Hero ,they should try to reduce price because there are many

other competitors which can be selling at lower cost.

 More features should be added to the bikes according to the needs of the customer

,because their competitors are coming with new models .According to the competitors

these people should change the models or change the technology.

 Company should give some incentives to the dealers for promoting the Maestro.

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CONCLUSION

Customer satisfaction is a marketing tool and a definite value added benefit .It is

often perceived by customers as important as the primary product or service your

organization offers . For making a better relationship with customer they always

use genuine parts in their product . And after selling they have the services and

maintenances .Their constant endeavor is to support the company’s mandate of

providing highest level of customer satisfaction by taking good care of customer’s

two wheeler service and maintenance through their vast network of more than

2100 committed dealers and service outlets spread across the country.

Apart from that hero MotoCorp Ltd focused on cleanliness and other aesthetics of

the service stations and add such air conditioned waiting area ,internet surfing

,coffee shops etc to enhance the in house experience of the customers at those

“customer touch point .To ensure that millions of customers in the rural area are

not left waiting for adequate service as it is impossible for the company to

introduce service station at every nook and corner of the country ,mobile service

stations are regularly arranged with prior inimation to public about the rout that the

mobile workshop would take when passing through that region so that customers

can come and get their two wheelers serviced .All these activities are aimed to

increase the customer loyalty and thus retaining customers.

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APPENDIX

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QUESTIONNAIRE
CUSTOMER SATISFACTION
1. Name : ………………….

2. Gender :

Male

Female

3. Age :

18 – 25

25 – 35

35 – 45

45 – 55

55 Above

4. What is your current occupation?

Business

Profession

Employee

Student

Others

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5. Educational Qualification?

SSLC

Plus Two

Degree

PG

6. How long have you been using Hero Maestro?

0 – 3 months

3 – 6 months

6 – 9 months

9 – 12 months

< 12 months

7. How do you come to know the product?

Newspaper

Social Media

Television Ads

Friends

Others

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8. From where did you buy the Vehicle?

Wholesaler

Retailer

Sales Representative

9. Are you satisfied with Maintenance cost?

Yes

No

10. Are you satisfied with the price of Maestro?

Satisfied

Neutral

Dissatisfied

11. Are you satisfied with the performance of Maestro?

Yes

No

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12. If “Yes” ,which feature you consider the most influencial ?

Feature

Low Maintenance

Bookings

After sale service

13. Are you satisfied with Fuel consumption of Maestro?

Extremely Satisfied

Satisfied

Neutral

Dissatisfied

14. Are you satisfied with the safety and comfort of Maestro?

Extremely Satisfied

Satisfied

Neutral

Dissatisfied

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15. Are you satisfied with the Product Design?

Extremely Satisfied

Satisfied

Neutral

Dissatisfied

16. Your general perception about Maetsro?

Very Good

Good

Average

Bad

17. Which attribute do you like most in Maestro?

Fuel Efficiency

Pick Up

Resale Value

Driving Comfort

Outlook

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18. Should the company go for Innovation/Modification in context for

further development ?

Yes

No

19. If “Yes”, which factors you think most usefull if there is an

Innovation /Product Development?

Comfort

Mileage

Design

Others

20. Do you find any factor which is unique as compared to other

competitors brands?

Style & Design

User Friendly

After Sales Service

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21. Your overall rating about Hero Maestro is?

Good

Satisfied

Not satisfied

Bad

22. Give your suggestions for improving the quality of Maestro?

______________________________________

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BIBLIOGRAPHY

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BIBLIOGRAPHY

Books

 A. Vinod – marketing management

Websites

 www.enwikipedia.org

 www.heroauto.com

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