CHAPTER – 1

A Study on Customer Satisfaction towards Maruti Suzuki swift in velachery

INTRODUCTION
Whether the buyer is satisfied after purchase depend on the offers performance in relation to the
buyer expectation. In general satisfaction is a person's feelings of pleasure or disappointment
resulting from comparing a products perceived performance relation to his/her expectations. If the
performance falls short of expectation, the customer is dissatisfied. If the performance matches the
expectation customer is satisfied. If the performance exceeds the expectation the customer is highly
satisfied.

Customer satisfaction cannot be very difficult. After all you either satisfied with the services you
receive or you are not. If you don’t you are not. If it is that easy, then obtaining people's opinion
about how satisfied they are with relatively straight forward matter- or is it?. 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 organisation offers.

It looks at what is involved from 3 different angles, the first is from the view of an organisation
wishing to understand, and measures, how satisfied its customer are with the products and services
they receive from it. The second is from the perspective of a research agency that has been asked to
obtain feedback from customers and about their experiences when dealing with companies. Finally it
considers the issue from the perspective of consumers who participate in surveys, including both
business customers and members of general public

MEANING OF CUSTOMER SATISFICATION

Customer satisfaction is a business term, is a measure of how products and services supplied by a
company meet or surpass customer expectation. It is seen as a key performance indicator within
business and part of the four prospective of balanced score card.

IN a competitive market place were businesses compete for customers, customer satisfaction is seen
as a key differentiator and increasingly has become a key element of business strategy customer
satisfaction drives successful private sector business. High performing businesses have developed
principles and strategies for achieving customer satisfaction. This paper presents a framework or set
of ideas for using customer satisfaction principles and strategies to improve the quality
responsiveness, and possibility of public sector privately provided services in vulnerable
communities. The framework suggested that resident who live in tough neighbourhoods can be
supported through customer satisfaction strategies to become empowered individuals who informed
perspectives influence decisions about what, how, when, and where services are available to them.

Customer satisfaction is the customers response to the evaluation of the perceived discrepancy
between prior expectation and the actual performance of the product as perceived after its
consumption.
DEFINITION
Codotte, woodruff and Jenkins (1987) define customer satisfaction as "conceptualized as a feeling
developed from an evaluation of the experience."

HERE, the timing of satisfaction response is driving consumption.

BUT there is general agreement with kotler (2003) that "customer satisfaction is a person's feeling of
pleasure or disappointment resulting from comparing a products perceived performance in relation to
his or her expectation."

In short customer satisfaction is "The provision of goods or services which fulfil the customer
expectation in terms of quality and service, in relation to price paid."

IMPORTANCE OF CUSTOMER SATISFACTION

IT costs atleast 7 times more to source a new customer than it does to retain existing one

A 'satisfied' customer tells 5-7 people in a year whilst a 'dissatisfied' customer will tell 14-15 people.

Companies can boost profits anywhere from 25% to 125% by retaining a mere 5% more of their
exciting customers.

Totally satisfied customers were 6 times more likely to use that services and commend it than '
satisfied' customers.

Customers who have a bad experience with you and do not complain are only 37% likely to still do
business with you.

Customers who have an opportunity to complain and the complaint is achieved are 95% likely to still
do business with you.

Factors of customer satisfaction

Reliability of service

Knowledge of the staff

Being kept informed of progress

The way service kept its promises

The way the service handled any problem Friendliness of staff

How sympathetic staff were to your needs

Speed of enquiries

Number of time had to contact the service.

Measuring customer satisfaction
Organizations are increasingly interested in retaining existing customers while targeting non-
customers; measuring customer satisfaction provides an indication how successful is the organisation
at providing products and/or services to the market place.

Customer satisfied is an ambiguous and abstract concept and the actual manifestation of the state of
satisfaction will vary from person to person and product/service to product/service. The state of
satisfaction depends on a number of both psychological and physical variables which correlate with
satisfaction behaviours such as return and recommend rate. The level of satisfaction can also vary
depending on other options the customer can compare the organizations products.

Because satisfaction is basically a psychological state, care should be taken in effort

of quantitative measurement, although a large quantity developed. Work done by berry (bart allen)
and brodewr between 1990 and 1998 defined ten 'quantity values' which influence satisfaction
behaviour, further expanded by berry in 2002 and known as the ten domains of satisfaction.

The usual measures of customer satisfaction involve a survey with a set of statements
using a likert technique or scale. The customer is asked to evaluate each statement and in term of
their perception and exceptation of performance of the organization being measured.

The university of michigan's American consumer satisfaction is a scientific standard of

consumer satisfaction academic research has shown that the national ACSI score is a strong predictor
of gross domestic product growth, and an even stronger predictor of personal consumption
expenditure (PCE) growth. On the micro economic level, research has shown that ACSI data predicts
stock market performance, both for market indices and for individually traded companies. Increasing
ACSI scores has been shown to predict loyalty, word of mouth recommendations and purchase
behaviour. The ACSI measures consume satisfaction annually for more than 200 companies in 43
industries and 10 economic sector. In addition to quarterly reports, the ACSI.

Methodology can be applied to private sector companies and government agencies in order to
improve loyalty and purchase intent.

The net promoter score is a management tool that can be used to guage the loyalty of a firms
consumer relationships. It serves as an alternative to traditional consumer a single question (usually,
"how likely is it that you would recommend us to a friend or colleague?") based on their responses,
consumers can be categorized into one of 3 groups, promoters, passives and detractors. In the net
promoters are viewed as valuable assets that drive profitable growth because of their repeat/increased
purchases, longevity and referrals, while detractors are seen as liabilities that destroy profitable
growth because of their complaints, reduced purchases/defection and negative word of mouth.

The kano model is a theory of product development and consumer satisfaction developed
in the 1980's by professor noriaki kano that classifies consumer preferences into 5 categories:
attractive, one –dimensional, must be indifferent, reverse. The kano model offers some insight into
the product attributes which are perceived to be important to consumers. kano also produced a
methodology for mapping consumers responses to questionnaires onto his model.

One of the newest and most innovative consumer satisfaction measurement methodologies is
called gustometria. Gustometria is real time measurement of consumer and employee satisfaction,
consumers are invited to answer a short survey by touching the "gustometer" screen with their
fingers. The responses are collected immediately by gustometria serves which tabulate the results in
real time. Management can then log into their private website and use the sophisticated business
intelligence reports which are built into the gustometria system.

HISTORY OF MARUTHI SUZUKI

In the last few years, the Indian Maruti Suzuki car industry has seen spectacular growth. The country
stands next to the China and Japan in terms of production and sales respectively. This distinction was
achieved due to variety of reasons like restrictive policy followed by the government of India towards
the passenger car industry. Majority of Indians, especially the youngsters prefer rather than cars.

The first car that the company produced was a four-door Maruti 800 and the second car that the
company produced was a Multi-Utility Vehicle called the Omni. Between 1994 and 1996 Maruti
released the Esteem, the Gypsy, the Omni, the Gypsy King, Zen and Esteem. It also opened a second
plant in Manesar whose capacity at the time of opening was 2,00,000 units.

Maruti Suzuki India Limited (MSIL, formerly known as Maruti Udyog Limited) is a subsidiary of
Suzuki Motor Corporation, Japan. Maruti Suzuki has been the leader of the Indian car market for over
two and a half decades. The company has two manufacturing facilities located at Gurgaon and
Manesar, south of New Delhi, India. Both the facilities have a combined capability to produce over a
1.5 million (1,500,000) vehicles annually. The company plans to expand its manufacturing capacity
to 1.75 million by 2013.

The Company offers 15 brands and over 150 variants ranging from people's car Maruti 800 to the
latest Life Utility Vehicle, Ertiga. The portfolio includes Maruti 800, Alto, Alto K10, A-star, Estilo,
WagonR, Ritz, Swift, Swift DZire, SX4, Omni, Eeco, Kizashi, Grand Vitara, Gypsy and Ertiga. In an
environment friendly initiative, in August 2010 Maruti Suzuki introduced factory fitted CNG option
on 5 models across vehicle segments. These include Eeco, Alto, Estilo, Wagon R and Sx4. With this
Maruti Suzuki became the first company in India to introduce factory fitted CNG vehicles.

Maruti Udyog Limited (MUL) was established in February 1981, though the actual production
commenced in 1983 with the Maruti 800, based on the which at the time was the only modern car
available in India, its only competitors- the and were both around 25 years out of date at that point.
Through 2004, Maruti Suzuki has produced over 5 Million vehicles. Maruti Suzukis are sold in India
and various several other countries, depending upon export orders. Models similar to those made by
Maruti in India, albeit not assembled or fully manufactured in India or Japan are sold at pak Suzuki
Corporation.

Maruti 800. Suzuki also felt that Bhaskarudu was a proxy for the Government and would not let it
increase its stake in the venture If Maruti Suzuki would have been able to indigenise gear boxes then
Maruti Suzuki would have been able to manufacture all the models without the technical assistance
from Suzuki. Till today the issue of localization of gear boxes is highlighted in the presents.

In 2009-10, the company sold a record 10,18,365 units including 1,47,575 units which we exported
primarily to Europe, the remaining 870,790 sold in India. In the third quarter of 2009-2010, the
company sold 258, 026 units. Thus, in March 2010, Maruti Suzuki had a India market share of 53.3
per cent of the Indian passenger car market of 16,33,752 passenger car units.

OBJECTIVES OF THE STUDY

 To study about the services provided by Maruti Suzuki showroom

 To determine customer’s awareness about various brands and models of Maruti cars

 To study about the customer satisfaction regarding the vehicles in the Maruti Suzuki
company.

 To find out the customers opinion on cars in Maruti Suzuki.

 CHAPTER - 2

REVIEW OF LITERATURE

1. Willard Hom (2000) presents two broadly classified customer satisfaction models viz. Macro-
models, which place the customer satisfaction among a set of related constructs in marketing research
and Micro-models, which theorize the elements of customer satisfaction. The paper also gives various
models of customer satisfaction from the perspective of the marketing research discipline.

2. Vavra, T.G. (1997) in his book suggests specific programmes to improve the measurement of
customer satisfaction in an organization. The author describes five critical skills required for this
taskviz.sampling /customer-participant selection, questionnaire design, interviewing /survey
administration, data analysis, and quality function deployment-building action plans.

3. Peyton, R.M. (2003) in their working paper submitted at the Allied Academies International
Conference presented a comprehensive review of the literature on various Customer Satisfaction and
Dissatisfaction (CS/D) theories proposed. The literatures are specifically prior to the 1990s. This
review focuses on the major components of the decision-making process, also addresses the
measurement-related issues relevant to this body of literature.

4. Customer satisfaction is an evaluation of difference between prior expectations about product

and its actual performance. Customer satisfaction is how customers react towards the state of
satisfaction, and how customers judge the satisfaction level (Hanif, Hafez & Riaz, 2010).

5. Customer satisfaction is the reaction of customer toward state of the fulfillment and

judgment of customer about that fulfilled state (Khayyat & Heshmati,2012).

6. Customer satisfaction is the expectation before consuming a product regarding quality or it is

a pre-consumption judgment or expectation (bae,2012).

7. Satisfaction is an outcome of purchase in which consumer compare cost and rewards with the
anticipated consequences (Maxham,2001).

8. There is always a positive relationship between customer satisfaction and profit maximization
of an organization (bowen&chen,2001).

9. No one is important than customers and their satisfaction is the ultimate objective through
improvement in services in terms of competitiveness and it saves future revenue plus it becomes the
cause of cost reduction in future(Yuan Hu, Ching-Chan&Cheng, Hong,2010).

10. Customer satisfaction is the perceived feeling of a customer for which he or she has set
standards if his expectations match with the standard he is satisfied(Eggert&Ulaga,2002).

11. There are number of imperial studies on specific relationship of employees satisfaction. Often
the quality of the relationship is called satisfaction mirror which gives an idea that success of business
is from satisfaction of employee which is reflected in term of the customer satisfaction. Service
quality is derived from employee satisfaction for example if employees are satisfied it has direct
effect on both customer satisfaction and service quality(Madern,Maull,Smart&Baker,2005).

12. There is a significant effect of customer satisfaction on the performance of business and
through customer satisfaction returns of shareholders can be increased and value of any business can
be maximized(O’sullivan,Mccalling,2010).
13. Customer satisfaction with offices is resolved by specialized execution, as well as by a many-
sided set of trade procedures, for example, compelling correspondence and administration of desires.
(Campbell&Finch,2004).

14. Customer satisfaction have antecedent, mediated and moderated effect on personal

connections and enjoyable interactions(Fatima&Razzaque,2013).

15. Customer satisfaction with offices is resolved not just by specialized execution, additionally
by a multifaceted set of trade methodologies, for example, powerful correspondence and
administration of desires.(Campbell&Finch,2004)

16. Halstead, Hartman and Shmidt (1994) found that customer satisfaction is a transaction-
specific affective response resulting from the customer’s comparison of product performance to some
pre-purchase standard.

17. Webbrook and Oliver (1991) described customer satisfaction is a post choice evaluative
judgment concerning a specific purchase selection.

18. Oliver (1987) examined whether satisfaction was an emotion and concluded that satisfaction
is a summary attribute phenomenon coexisting with other consumption emotions.

19. Tse and Wilton (1998) stated customer satisfaction as the customer’s response to the
evaluation of the perceived discrepancy between prior expectations (or some norm of performance)
and the actual performance of the product as perceived after its consumption.

20. Mano and Oliver (1993) examined the three aspects of the post consumption experience-
product evaluation, product elicited affect and product satisfaction.

21. Product satisfaction is best characterized as an attitude-like post consumption evaluative

judgment (Hunt, 1977) with the evaluative aspect of that judgment varying along the hedonic
continuum (Oliver 1989; Westbrook and Oliver 1991) Kumar and Oliver (1997) indicated that
satisfaction was associated with customers expectations being met, feeling they got "fair" value and
feeling contented.

22. Oliver (1987) defined customer satisfaction as an outcome of a purchase/ usage experience
would appear to be an important variable in the chain of purchase experience linking product
selection with other post purchase phenomena including favorable word-of-mouth and customer
loyalty.

23. Cadotte et al (1987) conceptualized customer satisfaction is la widely accepted as a view of

the process by which customers develops feeling from an evaluation of the use experience.

24. Cote, Foxman and Bob (1989) suggest that satisfaction is determined at the time the
evaluation occurs. In some cases, satisfaction assessment may be a naturally occurring, internal
response such as after consumption, or prior to repurchase. In some case of the assessment of
satisfaction may be externally driven.

25. Kotler has explained the concept of value and satisfaction as stated by Gita Parimal (20O6).
 CHAPTER – 3

RESEARCH METHODOLOGY

Research in common refers to a search for knowledge. Research methodology is a way to

systematically solve the research problem. It may be understood as science of studying how research
is done scientifically.

Research Design:

Detailed and structured questionnaire was designed.

Survey a sample of 150 customers.

The methodology developed was Primary and Secondary research.

The questionnaire was designed to get information from customers about their satisfaction and
overall opinion about Maruti swift

Sample Design:

The sample design which is used in the study is convenience sampling. Respondents from
Coimbatore were selected on the basis of convenience.

Sample size:

Sample size taken for the study is 150 respondents.

Sources of data:

The data is collected through in two ways:

 Primary data:- The primary data was collected freshly and thus it was original in character. It
has been collected through questionnaire. The questionnaires were given to the respondents when
they visited respective show rooms.

 Secondary data:- Secondary data are data which have already been collected by someone. Its
main sources are Journals, Newspapers, Magazines, and Internet etc.
Sample Area:

The study was conducted in maruthi Suzuki.

Statistical tools description :

 Percentage analysis

 Chi square test

CHAPTER – 4
 DATA ANALYSIS

PERCENTAGE ANALYSIS

RESPONDENTS ON BASIS OF TYPE OF MARUTI SUZUKI CARS:

S.no Type of cars No. of respondents Percentage %

1 Alto 34 23

2 Zen estilo 24 16

3 Swift 47 31

4 Wagon R 35 23

5 Astar 10 11

Total 150 100

INTERPRETATION:

From the above table shows that out of the total number of respondent 23% of respondent were using
Alto, and 16% of respondent using Zen estilo and 31% of respondent were using Swift cars and 23%
of respondent were using Astar and 11% of respondent were using Hatch back cars.
RESPONDENTS ON BASIS OF TYPE OF MARUTI SUZUKI CARS:

35

30

25

20

15

10

Alto Zen estilo swift Wagon R Astar

 CHI SQUARE TEST

HYPOTHESIS:

There is no significant relationship between type of Maruti swift and other cars

OBSERVED FREQUENCY:

MALE FEMALE TOTAL

ALTO 24 32 56

ZEN ESTILO 15 12 27

SWIFT 5 11 16

WAGON R 6 21 27

A STAR 16 8 24

TOTAL 66 84 150
Chi-square result test analysis:
Degree of Table value at
Calculated freedom 5% Hypothesis
value(X2)

12.71 4 9.488 Rejected

INTERPRETATION:

Since the calculated value is more than the table value the hypothesis is rejected stating that there
is a relationship between type of Maruti cars and gender of respondents
 CHAPTER - 5

FINDINGS & SUGGESTION

FINDINGS

 Majority (31%) of the respondents were using SWIFT.

 There is no significant relationship between type of Maruti cars and gender

SUGGESTION
 More attractive advertisement has to provide through various advertisement media.

 Respondents are incurring high maintenance costs and it has to be considered by the
manufacturer.

 Respondents are also facing problems in mileage& performance, so this is another suggestion
to the manufacturer is to take an additional care.

CONCLUSION

The Maruti Suzuki swift are the best and fast moving car. Now a day the demand for the cars by
customer shows increasing trend, at the same time they expected easy handling, safety and
security, higher performance etc. which makes the advanced technologies and adopt new model.

BIBILOGRAPHY

REFERENCES

[1] www.google.com

[2] www.marutisuzukilimited.com

[3] www.wikipedia.com