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INTRODUCTION

"As we spread wings to expand our capabilities and explore new horizons, the fundamental

focus remains unchanged: seek out the best technology in the world and put it at the

service of our ultimate user: our customer."

Promotion is true that products are manufactured to satisfy the needs of the consumers..

But alone is not enough. Today the responsibility of the manufacturers does not cease with

physical production whatever may be the nature of the product. The present day marketers are

consumer oriented where it is the duty of the manufacturers to know from where, when, how and

what price the products would be available. Successful marketing consists in offering the right

product of the right price of the right place (and time) with right promotion.

In course of time, various activities came into vogue designed particularly to help easy sale

of goods. These activities commonly known as promotional Mix. The marketing communication

Mix also called as the “Promotion Mix” consists of four major tools.

1. Advertising.

2. Sales Promotion

3. Publicity

4. Personal Selling

Generally marketing communication is undertaken to pass on the message of a

product or sale to the ultimate consumers. Thus, there are three elements in this process.

The purpose of advertising is motivating but to sell something a product, a service or

Reliance. The real objective of advertising is effective communication between producers

and consumers. In other words the ultimate purpose all advertising is “Increased awareness”

list of the following specific objectives of advertising.

The process of selling is ensured by personal selling supposed by advertising and sales

promotion. Of these three methods personal selling occupies the predominant role mainly

because of the personal element involves. It may be described as a personal source rendered

to the community in connection with marketing of goods.

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It is a marketing process with which consumers are personally persuaded to by goods and

services offered by a manufacturer. The most powerful element in the promotional mix is

salesman ship, is not something very new. Even centuraries ago salesman ship was practiced

in Greece and Rome. According to Peter Drucker Cyrus Mecornie was the first man to use

modern technique of selling.

Features:

1. It helps to establish a cordial and obiding relationship between the organization and its

customers.

2. It is a creative art. It creats wants a new.

3. It is a science, in the sense that “One human mind influences another human mind”.

4. Personal selling imparts knowledge and technical assistance to the consumers.

Promotion includes all those functions, which have to do with the marketing of a

product all other activities designed to increase and expand the market. But it is clearly

distinguished from advertising and personal selling, through basic aim or all the three is one

and the same viz., to increase the volume of sales.

“Sales promotion in a specific sense refers to those sales activities that supplement

both personal selling and advertising and co-ordination ate them and help to make them

effective, such as displays, shows and expositions, demonstrations and other non recurrent

selling efforts not in the ordinary routine”.

In a general sense the sales promotion includes “ personal selling, advertising and

supplementary selling activities”.

Evaluation of Sales Promotion:

Two decades ago, there was no agreement among the marketing people that there

was a separate sales promotion function. In those days, promotion was a “share- run

to gain a short run good”.

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The importance of sales promotion is modern marketing has increased mainly an

account of its ability in promoting sales and preparing the ground for future

expansion. The main objective of sales promotion is to attract the prospective buyer

towards the product.

PUBLICITY

The publicity is derived as “Any form of commercially significant news about a

product, and institution, a service, or a person published I a space or radio i.e. not paid for by

the sponsor”. In short advertisement is paid form of publicity. It is to be noted here that

though the terms ’ADVERTISING ‘AND ‘Publicity’ or differences in the field of marketing, both are used interchangeably.

The media are broadly classified into direct indirect. Direct method of advertising

refers to such methods used by the advertiser with which he could established a direct contact

with the prospects. Most of the media are indirect in nature EX: Free Publicity, cinema, etc.

Methodology of the study:

3.1 Objectives of the Study :

To study the promotional activities offered by the firm.

To identify the impact of sales in the market by using promotional strategies.

To study the influence of schemes offered by firm on sales.

To study the customer’s awareness towards the after sale services offered to himor her.

3.2 Scope of Study:

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The area of study is considered to be in two districts. Those are Hyderabad and

Ranga Reddy districts.

3.3 Need of the Study:

The increasing competition in business is the reason to pay much more attention

to satisfying customers. It may help the market to notice role of customer satisfaction inthe overall context of product of service development and management.

Customers do not buy services, they buy satisfaction. Hence marketers must be

clear about the satisfaction the customer is seeking and check out whether the customers

are getting the actual satisfaction. This study helps the marketers to take necessary steps

to gain the competitive advantage over the competitors.

The study helps to predict further behavior intentions of the customers such as

intention to re-purchase, intention to increase the usage, intention to recommend the

product and Service to others. Today the customers have wide variety of motorcycles to

chose.

If the satisfaction level of the customer goes down he may switch over to other

brand. Ultimately the company loses its actual customers. This study helps the marketer

to take necessary steps to overcome this problem and retain in the increase of customer

loyalty.

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3.4 Limitations to the study:

Primary data analysis only depended on the respondents.

Process of study/survey is limited only to some customers.

Survey will be conducted for the period of 45 days only.

a) Source of data:

1) Primary Data:

The primary data is collected through questionnaires from the customers.

2) Secondary Data:

The secondary data is collected from the books, journals and internet.

Data collected method:

The data is collected through close ended questionnaire.

b) Sample size:

1. The sample size of the survey (N) is 100.

2. Samples are collected customers of showroom.

3. The age limit of the customers is in between 20-55.

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f) Survey approach: The survey will be conducted through close ended questionnaire.

This questionnaire will contain the multiple choice questions; each question will be

given options. The collection of data in survey follows two types they are

i) Primary data (first hand data).

ii) Secondary data (used data).

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Review of Literature

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The increasing competition in business to pay much more attention to satisfying

customers. It may help the marketer to notice role of customer satisfaction in the

overall context of product of service development and management.

Customers do not buy services, they bys satisfaction. Hence marketers must be

clear about the satisfaction the customer is seeking and check out whether the customer

are getting the actual satisfaction.

This study helps the marketers to take necessary steps to gain the competitive

advantage over the competitors.

The study helps to predict further behavior intentions of the customers such as

intention to Re-purchase, intention to increase the usage, intention to recommend the

product and service to others. Today the customers have wide variety of motorcycles to

chose. If the satisfaction level of the customer goes down he may switchover to other

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brand. Ultimately the company loses its actual customers. This study helps the marketer

to take necessary steps to overcome this problem and retain its actual customers.

1. Can be major source of revenue, although it often receives too little management

attention.

2. Is essential for achieving customer satisfaction and good long-term relationship-as

identified by a number of researches.

3. Can provide a competitive advantage.

4. Play a role in increasing the success rate of new products introduced.

5. Needs to be fully evaluated during new product development, as good product design

can make customer support more efficient and cost-effective. Increased competition

within many industries has led to increased attention on customer service.

Various studies indicate that upset customers may have big effect on sales of

company. Therefore all dealers try to put all their attention to keep their customers

satisfied and fulfill their needs and wants as much as possible. One of the strong tools

which help all companies in this matter is providing best after-sales service.

Market: The set of all actual and potential buyers of a product of a service.

Marketing:

In today’s competitive world any organization to run successfully three factors plays an

important role are

1. Finance.

2. Human resources.

3. Marketing.

Along with the above mentioned the other three factors which plays an important role to

achieve the organizational goals and objectives in the competitive market they are

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1. Innovative technology.

2. Quality.

3. Price.

Because of globalization, privatization and liberalization the number of competitors

are increasing at a constant rate as a result of which consumers are preferring products

which are of high quality, technology and at a reasonable price.

Though the company is producing high quality products at a reasonable price to be

success in the competitive market the company should take promotional activities and

marketing tools and techniques to achieve its mission and vision.

Marketing is not just telling and selling but in the new sense satisfying customer

needs marketing is a comprehensive term and it includes all resources and a set of

activities necessary to direct and facilitate and flow of goods and services from producer

to consumer in the process of distribution.

Marketing definition.

“Marketing is a social and managerial process by which individuals and groups

obtain what they need and want through creating and exchanging products and

value with others”.

ELEMENTS OF MODERN MARKETING SYSTEM:

11Company

(Marketer



“The art and science of choosing target customers and building profitable relationships

with them.”

Delivering and communicating superior customer value. Thus marketing

management involves managing customer relationships.

THE MARKETING CONCEPT:

The marketing concept holds that achieving organizational goals depends on

knowing the needs and wants of target markets and delivering the desired satisfactions

better than competitors do. Under the marketing concept, customer focus and valve are

the paths to sales and profits.

DEVELOPING THE MARKETING MIX:

Marketing Mix:

The set of controllable tactical marketing tools that he firm blends to provide the

response it wants in the target market. The marketing mix consists of everything the firm

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Suppliers

Competito

rs

Marketing

Intermediari

es

End users

Market Customer Integrated Profits

through

Needs Marketing Customer

satisfaction



can do to influence the demand for its product. It can be collected into four groups of

variables known as “FORUP’S”.

1) PRODUCT

2) PRICE

3) PLACE

4) PROMOTION

Product:

Product means the goods-and –services combination the company offers to the target

market.

Price:

Price is the amount of money customers have to pay to obtain product.

Place:

Place includes company activities that make the product available to a target consumers.

Promotion:

Promotion means the activities taken by the company to communicate the merits of the

product and promote its product to the target market.

ACTIVITIES UNDER THE 4P ARE OF THE MARKETING MIX:

1) Product:

Managing the product includes planning and developing the right products and

services to be marketed by the company policy strategy guidelines are needed for

changing the existing products and adding new ones.

A product activity includes policies and procedures relating to:

a. Product variety, quality, features, design, brand name, packaging, size, services,

warranties and returns.

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b. Markets to sell-whom, where and in what quantity.

c. New product policy, R&D programs.

2) Pricing activities:

Include policies and procedures relating to

1. List prices.

2. Discounts.

3. Allowances.

4. Payment period.

5. Credit terms.

Generally markets consider the following factors while seeking price: target customers, cost,

competition, social responsibility.

3) Promotional activities:

Includes policies and procedures relating to.

Advertising: media mix, budget, allocation and programmes.

Personal setting: objectives, quality of sales force, cost level, level of motivation.

Promotion: special setting plans/ devices directed at or through the trade forms of

these devices are consumer promotions and trade opinions.

Publicity and public relations.

4) Place/distribution activities: Basically place of distribution activities are to transfer

ownership to consumer and to place products, services, idea at the right time and place.

Distribution is made up of two components

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1) Physical distribution and

2) Channels of distribution

i) Physical distribution: Activities involved in moving products or services from

producer to consumer are.

Transportation, warehousing and storage, order processing and inventory control.

ii) Channels of distribution;: These are the routes taken by good from producer-

consumer it includes.

Channel design

Location of outlets

Channel remuneration

Dealer-principal relations

An effective marketing program blends all of the marketing-mix elements into a

coordinated program designed to achieve company’s marketing objectives by delivering value to

consumer. The marketing mix constitutes the company’s tactical tool kit for establishing string

positioning in target markets. The four P’s concept taken the seller’s view of the market, not the

buyer’s view. From the users view point the four P’s might be better described as the four C’s.

FOUR P’S FOUR C’S

Product customer solution

Price customer cost

Place convenience

Promotion communication

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Thus marketers see themselves as selling products; customers see themselves as buying

value of solutions to their value of solutions to their problems. The customer is interested in

more than just the price’ they are interested in the total cost of obtaining, using and disposing of

a product. Customers want the product and service to be as conveniently available as possible,

marketers think about the four C’s first and build the four P’s platform.

COMOMIC ENVIROMENT:

Markets require buying power as well as people. The economic environment consists of factors that affect consumer purchasing power and spending patterns.

The factors effecting consumer behavior are:

1) Cultural factors

2) Social factors

3) Personal factors

4) Psychological factors

1) Cultural factors:

i) Cultural is the set of basic values, perceptions wants and behavior learned by a

member of society from family and other important institutions.

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ii) Sub-culture a group of people with shared value sustains based on common life

experiences sub cultures includes nationalities, religion.

iii) Social classes relatively permanent and ordered divisions in a society whose

members share similar values, interests and behaviors. Social class is measured by

a combination of factors like income, occupation, education, wealth etc. types are

upper class, upper middle, lower class, working class etc.

2) Social factors:

i) Groups: Two or more people who interact to accomplish individual of mutual

goods. The broad types are groups, reference groups, opinion leaders in the

reference group are persons who because of special skills, knowledge,

personality, exerts influence of others.

ii) Family: marketers are interested in the roles and influence of the husband, wife

and children on the purchase of different products and services. Five fingers of the

hand relating to five members of family influencing the decision of purchase.

iii) Roles and Status: A person role differs from group to group. A role consists of the

activities people are expected to perform according to the persons around them.

Each role carries a status reflecting the general esteem given to it by society.

People often choose products that show their status in the society.

3) Personal factors:

i) Age and life cycle stage: tastes in food, clothes, furniture etc care often age

related. Buying is also shaped by the stage of family life cycle the stages through

which families might pass as they mature over time.

ii) Occupation; A person’s occupation affects the good and services bought. Blue

collar workers tend to buy more rugged clothes where as white collar workers buy

more suits. A company cans ever specialty in making products needed by a given

occupation.

iii) Economic situation: Marketers of income sensitive goods, look at the consumer

personal income savings and interest rates. If the economic indicators point to a

recession, marketers can take steps to redesign reposition and re-price their

products closely.

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iv) Life style: Life style is a person’s pattern of living understanding these forces

involves measuring consumer’s activities, interests and opinions.

v) Personality and self concept: It refers to the unique psychological characteristics

that lead to relatively consistent and tasting response to one’s own environment,

Personality is usually described in terms of traits such as self-confidence,

dominance, sociability, autonomy, defensiveness, adaptability and aggressiveness.

4) Psychological factors:

i) Motivation : A motive is a need that is sufficient pressing to direct the person to

seek satisfaction. Psychological have developed theories of human motivation for

consumer analysis and marketing.

ii) Perceptions : It is the process by which people select, organize, and intercept

information to form a meaningful picture of the world. Two people with same

motivation and is the same situation may act quite differently because they

perceive the situation differently.

iii) Learning : When people act, they learn. Learning describes chares In an individual

behavior arising from experience. Learning theorists say that most human

behavior is learned learning occurs through the interplay of drives, stimuli, uses,responses and reinforcement.

Beliefs and Attitudes: Through doing and learning people acquire beliefs nd

attitude. These in turn influence their buying behavior. A belief is a descriptive

thought that a person has about something; as attitude describes a person’s

relatively consistent evaluations, feelings and tendencies toward an object of

India.

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There are four main aspects of a promotional mix. These are:

• Advertising - Any paid presentation and promotion of ideas, goods, or services by an

identified sponsor. Examples: Print ads, radio, television, billboard, direct mail, brochures

and catalogs, signs, in-store displays, posters, motion pictures, Web pages, banner ads,

and emails.

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http://en.wikipedia.org/wiki/Advertising

http://en.wikipedia.org/wiki/Advertising



• Personal Selling - A process of helping and persuading one or more prospects to purchase

a good or service or to act on any idea through the use of an oral presentation. Examples:

Sales presentations, sales meetings, sales training and incentive programs for

intermediary salespeople, samples, and telemarketing. Can be face-to-face or via

telephone.

•

Sales promotion - Media and non-media marketing communication are employed for a pre-determined, limited time to increase consumer demand, stimulate market demand or

improve product availability. Examples: Coupons, sweepstakes, contests, product

samples, rebates, tie-ins, self-liquidating premiums, trade shows, trade-ins, and

exhibitions.

• Public relations - Paid intimate stimulation of supply for a product, service, or business

unit by planting significant news about it or a favorable presentation of it in the media.

Examples: Newspaper and magazine articles/reports, TVs and radio presentations,

charitable contributions, speeches, issue advertising, and seminars.

• Corporate image - The Image of an organization is a crucial point in marketing. If the

reputation of a company is bad, consumers are not less willing to buy a product from this

company as they would have been, if the company had a good image.

• Direct Marketing is often listed as a the fifth part of the marketing mix

• Exhibitions - are try-outs. You make your product, and let potential buyers try the

product, this way; you know directly what people see in your product. The downside,

your competitor can see exactly what you are doing.

Customer Satisfaction:

“The extent to which products perceived performance matches a buyer’s expectation”.

Consumer satisfaction depends on the products perceived performance, relative to a

buyer’s expectations. If the products performance fall’s short of expectations, the customer isdissatisfied.

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http://en.wikipedia.org/w/index.php?title=Personal_Selling&action=edit&redlink=1

http://en.wikipedia.org/wiki/Sales_promotion

http://en.wikipedia.org/wiki/Public_relations

http://en.wikipedia.org/wiki/Corporate_image

http://en.wikipedia.org/wiki/Direct_Marketing

http://en.wikipedia.org/wiki/Exhibitions

http://en.wikipedia.org/w/index.php?title=Personal_Selling&action=edit&redlink=1

http://en.wikipedia.org/wiki/Sales_promotion

http://en.wikipedia.org/wiki/Public_relations

http://en.wikipedia.org/wiki/Corporate_image

http://en.wikipedia.org/wiki/Direct_Marketing

http://en.wikipedia.org/wiki/Exhibitions



INDUSTRIAL PROFILE

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HISTORY OF THE TWO WHEELERS:

The Britannica Encyclopedia a motorcycle as a bike or tricycle propelled by an internal –

combustion engine (or, less often by an electric engine). The automobile was the reply to the

19th –century reams of self-propelling the horse-drawn carriage. Similarly, the invention of the

motorcycle created the self –propelling bicycle. The first commercial design was three-wheeler

built by Edward Butler in Great Britain in 1884. This employed a horizontal single-cylinder

gasoline engine mounted between two steer able front wheels and connected by a drive chain to

the rear wheel. The 1900s saw the conversion of many bicycles or pedal cycles by adding small,

centrally mounted spark ignition engine engines. There was then felt the need for reliable

constructions. This led to road trial tests and competition between manufacturers. Tourist

Trophy (TT) races were held on the Isle of main in 1907 as reliability or endurance races. Such

were the proving ground for many new ideas from early two-stroke-cycle designs to

supercharged multivalent engines mounted on aerodynamic, carbon fiber reinforced bodywork.

INVENTION OF TWO WHEELERS:

The invention of two wheelers is a much-debated issue. “Who invented the firstmotorcycle?” May seem like a simple question, “safety”, bicycle, i.e., bicycle with front and

rear wheels of the same size, with a pedal crank mechanism to drive the rear wheel. Those

bicycles in turn described from high-wheel bicycles. The high –wheelers descended from an

early type of pushbike, without pedals, propelled by the rider’s feet pushing against the ground.

These appeared around 1800, used iron banded wagon wheels, and were called “bone-crushers”,

both for their jarring ride, and their tendency to toss their riders. Gottiieb Daimler (who credited

with the building the first motorcycle in 1885, one wheel in the front and one in the back,

although it had a smaller spring-loaded outrigger wheel on each side. It was constructed mostly

of wood, the wheels were of the iron-banded wooden-spooked wagon-type and it definitely had a

“bone-crusher” chassis!

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FURTHER DEVELOPMENTS:

Most of the developments during the early phase concentrated on three and four-wheeled

design since it was complex enough to get the machines running with out having to worry about

them falling over. The next notable two-wheeler though was the Hildebrand & Wolf Mueller,

patented in Munich in 1894. In 1895, the French firm of DeDion-button built and engine that

was to make the mass production and common use of motorcycle possible. The first motorcycle

with electric start and a fully modem electrical system; the Hence special from the Indian

Motorcycle Company astounded the industry in 1931. Before World War 1, IMC was the largest

motorcycle manufacturer in the world producing over 20000 bikes per year.

INCREASING POPULARITY:

The popularity of the vehicle grew especially after 1910, in 1916; the Indian motorcycle

company introduced the model H racer, and placed it on sale. During World War 1, all branches

of the armed forces in Europe used motorcycles principally for dispatching. After the war, it

enjoyed a sport vogue until the Great Depression began in motorcycles lasted into the late 20 th

century; weight the vehicle being used for high-speed touring and sport competitions. The more

sophisticated of a 125cc model. Since then, an increasing number of powerful bikes have blazed

the roads.

HISTORICAL INDUSTRY DEVELOPMENTS:

Indian is the second largest manufacturer and producer to two wheelers in the World. It

stands next only to Japan and China in terms of the number of V produced and domestic sales

respectively. This destination was achieved due to variety of reason like restrictive policy

followed by the government of India towards the passenger car industry, rising demand for

personal transport, inefficiency in the public transportation system etc. The Indian two-wheelers

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industry made a small beginning in the early 50s when Automobile products of India (API)

started manufacturing scooters in the country. Until 1958, API and Enfield were the sole

producers.

The two –wheelers market was opened were opened to foreign competition in the mid-

80s. And the then market leaders-Escorts and Enfield – were caught unaware by the onslaught of

the 100cc bikes of the four Indo- Japanese joint ventures. With the availability of fuel-efficiency

low power bikes, demand swelled, resulting in Hero Honda –then the only producer of four

stroke bikes (100cc category), gaining a top slot.

The first Japanese motorcycles were introduced in the early eighties. TVS Suzuki and

Hero Honda brought in the first two-stroke and four-stroke engine motorcycles respectively.

These two players initially started with assembly of CKD Kits, and later on progressed to

indigenous manufacturing.

The industry had a smooth ride in the 50s, 60s and 70s when government prohibited new

entries and strictly controlled capacity expansion. The industry saw a sudden growth in the 80s.

The industry witnessed a steady of 14% leading to a peak volume of 1.9 mn vehicles in 1990.

In 1990 the entire automobile industry saw a drastic fall in demand. This resulted in a

decline of 15% in 1991 and 8% in 1992, resulting in a production loss of 0.4mn vehicles.

Barring Hero Honda, all the major producers suffered from recession in FY93 and FY94. Hero

Honda showed a marginal decline in 1992.

The reason for recession in the sector were the incessant rise in fuel prices, high input costsand reduced purchasing power due to significant like increased production in 1992, due to new

entrants coupled with recession in the industry resulted in companies either reporting losses or a

fall in profits.

CONCLUSION:

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The two-wheelers market has had a perceptible shift from a buyers market to a sellers market

with a variety of choice, players will have compete on various fronts viz. pricing, technology

product design, productivity after sale service, marketing and distribution. In the short term,

market shares of individual manufacturers are going to be sensitive to capacity, product

acceptance, pricing and competitive pressures from other manufacturers.

As incomes grow and people grow and people feel the need to own a private means of

transport, sales of two-wheelers will rise. Penetration is expected to increase to approximately to

more than 25% by 2005.

The motorcycle segment will continue to lead the demand for two-wheelers in the

coming years. Motorcycle sale is expected to increase by 20% yoy as compared to 1% growth in

the scooter market and 3% by moped sales respectively for the next two years.

The four-stroke scooters will add new dimension to the two-wheeler segment in the coming

future.

The Asian continent is that largest user of the two-wheelers in the world. This is due to poor

road infrastructure and low per capita income, restrictive policy on car industry. This is due to

oligopoly between top five players in the segment, compared to thirsty manufacturers in the car

industry.

Hero Honda motors LTd., is one of the leading companies in the two-wheeler industry.At present it is the market leader in the motorcycle segment with around 47% the market share

during FY 2000 –01. During the year, company posted a 41.15% yoy rise in turnover to Rs.31,

686.5mn in motorcycles which driven by a 35.17% yoy rise in Motorcycle sales volumes. The

company has emerged as one of the most successful players, much ahead of its competitions an

account of its superior and reliable product quality complemented with excellent marketing

techniques. The company has been consistently addressing the growing demand for motorcycles

and has been cumulative customer base of over 4 million customers, which is expected to reach

5min mark with rural and semi-urban segment being the new class of consumers.

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COMPANY PROFILE

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COMPANY PROFILE

The Hero Honda story began with a simple vision – the vision of a mobile and an empowered

India, powered by Hero Honda. This vision was driven by Hero Honda's commitment to

customer, quality and excellence, and while doing so, maintain the highest standards of ethics

and societal responsibilities. Twenty five years and 25 million two wheelers later, Hero Honda is

closer to fulfilling this dream. This vision is the driving force behind everything that we do at

Hero Honda. We understood that the fastest way to turn that dream into a reality is by remainingfocused on that vision.

There were many unknowns but we kept faith, and today, Hero Honda has been the largest two

wheeler company in the world for eight consecutive years. Our growth has kept compounding.

The company crossed the ten million unit milestone over a 19-year span. In the new millennium,

Hero Honda has scaled this to 15 million units in just five years! In fact, during the year in

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review, Hero Honda sold more two wheelers than the second, third and fourth placed two-

wheeler company put together. With Hero Honda, the domestic two wheeler market was able to

show positive growth during the year in review. Without Hero Honda, the domestic market

would have actually shrunk.

Over the course of two and a half decades, and three successive joint venture agreements later,

both partners have fine-tuned and perfected their roles as joint venture partners. What the two

partners did was something quite basic.

They simply stuck to their respective strengths. As one of the world's technology leaders in the

automotive sector, Honda has been able to consistently provide technical know-how, design

specifications and R&D innovations. This has led to the development of world class, value - for-

money motorcycles and scooters for the Indian market. On its part, the Hero Group has taken on

the singular and onerous responsibility of creating world-class manufacturing facilities with

robust processes, building the supply chain, setting up an extensive distribution networks and

providing insights into the mind of the Indian customer.

Since both partners continue to focus on their respective strengths, they have been able to

complement each other. In the process, Hero Honda is recognized today as one of the most

successful joint ventures in the world. It is therefore no surprise that there are more Hero Honda

bikes on this country's roads than the total population of some European countries

put together!

The company's meteoric growth in the two-wheeler market in India stems from an intrinsic

ability to reach out and come closer to its customers, with every passing year. Hero Honda's

bikes are sold and serviced through a network of over 3500 customer touch points, comprising a

mix of dealers, service centres and stockists located across rural and urban India. Hero Honda

has built two world-class manufacturing facilities at Dharuhera and Gurgaon in Haryana, and its

third and most sophisticated plant at Haridwar has just completed a full year of operations. It is

difficult to imagine that all this has happened in the span of just two and a half decades!

The best is yet to come. During the year in review, Hero Honda powered its way in a market that,

for all practical purposes, was feeling the full effects of the economic slowdown in India. With

an economic recovery now clearly on the cards, Hero Honda is all set to ride into another

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summit. As Brijmohan Lall Munjal, the Chairman, Hero Honda Motors succinctly puts it, "We

pioneered India's two wheeler industry, we've steered it through difficult times; now it is our

responsibility to set the pace again.''

Group:

HHML belongs to the Munjal group. Brijmohanlal Munjal and his three brothers have

founded the group in1951. HHML is a 26:26 JV between Hero Group and Japan Honda Motors

bicycle components. Over the years, the group has become the largest manufacturer of bicycle

in the world. Besides Hero Honda, there are 4 other major companies in the group, namely the

following:

Hero Cycles (1951), which is India’s leading manufacturer and exporter. The group

worth RS.60 Billion is set to enter hospitality business with US-based $31 billion Carlson

Hospitality by bidding for four properties of ITDC hotels in Delhi- Kanishka, Lodhi, Qutab and

Yatri Nivas in order to explore the huge potential offered by the industry. Plant location:

HHML has the two plants one located at Dharuhera, Haryana near Delhi and the other at

Gurgaon, 30 kms away from the existing plant. The new plants have installed capacity of 2 min

unit’s p.a. on shift basis at each of the plants. The company has been taking initiatives to expand

the existing capacity of its plants.

Mission Statement:

“We, at Hero Honda, are continuously striving for synergy between technology, system,

and human resources to provide products and services that meet the quality, performance, and

price aspirations of out customers. While doing so, we maintain the highest standards of ethics

and societal responsibilities, constantly innovate products and processes, and develop teams thatkeep the momentum going to take the company to excellence in the new millennium”.

BOARD OF DIRECTORS

31



No. Name of the Directors Designation

1 Mr. Brijmohan Lall Munjal Chairman & Whole-time Director

2 Mr. Pawan Munjal Managing Director & CEO

3 Mr. Toshiaki Nakagawa Joint Managing Director

4 Mr. Sumihisa Fukuda Technical Director

5 Mr. Om Prakash Munjal Non-executive Director

6 Mr. Sunil Kant Munjal Non-executive Director

7 Mr. Masahiro Takedagawa Non-executive Director

8 Mr. Satoshi Matsuzawa

(Alternate Director to Mr. Takashi Nagai)

Non-executive Director

9 Mr. Pradeep Dinodia Non-executive & Independent Director

10 Gen.(Retd.) V. P. Malik Non-executive & Independent Director

11 Mr. Analjit Singh Non-executive & Independent Director

12 Dr. Pritam Singh Non-executive & Independent Director

13 Ms. Shobhana Bhartia Non-executive & Independent Director

14. Mr. Meleveetil Damodaran Non-executive & Independent Director

15. Mr. Ravi Nath Non-executive & Independent

PROFILE OF DIRECTORS

MR. BRIJMOHAN LALL MUNJAL

Mr. Brijmohan Lall Munjal is the founder Director and Chairman of the Company and the $ 2.8

billion Hero Group. He is the Past President of Confederation of Indian Industry (CII), Society of

Indian Automobile Manufacturers (SIAM) and was a Member of the Board of the Country's

Central Bank (Reserve Bank of India ). In recognition of his contribution to industry, Mr. Lall

was conferred the Padma Bhushan Award by the Union Government.

32

http://www.herohonda.com/co_board_directors.htm#1


































Mr. Brijmohan Lall Munjal is currently on the board of the following companies:

No. Name of Company Nature of Office

1 Hero Honda Motors Limited Chairman and Whole-time Director

2 Hero Cycles Limited Chairman and Director

3 Hero Honda Finlease Limited Chairman and Director

4 Munjal Showa Limited Chairman and Director

5 Sunbeam Auto Limited Chairman and Director

6 Easy Bill Limited Director

7 Munjal Auto Industries Limited Director

8 Shivam Autotech Limited Director

Brijmohan Lal Munjal - The King of the Road

The venerated patriarch and visionary of the Hero Group, Mr. Brijmohan Lall

Munjal, is a first generation entrepreneur who started very small and through sheer hard

work and perseverance has today made his two wheeler venture the World's No.1 Two

Wheeler company.

The Story of the Indomitable Entrepreneur

One of the brightest stories of Indian entrepreneurship began seventy-one years

ago when a six-year old boy quietly walked into a newly opened gurukul (Indian value

based school) near his home in Kamalia (now in Pakistan) determined to gain admission.

of entrepreneurial achievement. Impressed by his conviction, the gurukul granted him

admission instantly. Thus began an extraordinary saga Today, we know that boy as

Brijmohan Lall Munjal, the much-venerated patriarch of the Hero Group, one of the

largest corporate groups in the country.

Brijmohan Lall's inspiration to enter the two-wheeler world came from a

desire to provide the cheapest form of transport for the poorest of the poor. Post-partition,

33



Brijmohan Lall Munjal and his brothers relocated to Ludhiana. They had to begin from

scratch. They set up as manufacturers of bicycle components. From then on there was no

looking back. In typically modest manner, B.M. Munjal accords a great deal of the credit

for his success to his family and his team.

He traversed the road to success following these principles:

• Trusting his uncanny instincts

• A unique approach to people - one from the heart

• Ahead of his time, every time!

• The ideal corporate citizen! Showing others the way

Above all, his leadership and sagacity has earned him great espect and he has

personally been responsible for kindling the spirit of entrepreneurship amongst his

employees who today constitute a family of about forty successful entrepreneurs.

KEY MILESTONES OF HERO HONDA

Year Event

1983 Joint Collaboration Agreement with Honda Motor Co. Ltd. Japan signed

Shareholders Agreement signed

1984 Hero Honda Motors Ltd. incorporated

1985 First motorcycle "CD 100" rolled out

1987 100,000th motorcycle produced

1989 New motorcycle model - "Sleek" introduced

1991 New motorcycle model - "CD 100 SS" introduced

500,000th motorcycle produced

1992 Raman Munjal Vidya Mandir inaugurated - A School in the memory of founder Managing

Director, Mr. Raman Kant Munjal

34



1994 New motorcycle model - "Splendor" introduced

1,000,000th motorcycle produced

1997 New motorcycle model - "Street" introduced

Hero Honda's 2nd manufacturing plant at Gurgaon inaugurated

1998 2,000,000th motorcycle produced

1999 New motorcycle model - "CBZ" introduced

Environment Management System of Dharuhera Plant certified with ISO-14001 by DNV

Holland

Raman Munjal Memorial Hospital inaugurated - A Hospital in the memory of founder

Managing Director, Mr. Raman Kant Munjal

2000 4,000,000th motorcycle produced

Environment Management System of Gurgaon Plant certified ISO-14001 by DNV Holland

Splendor declared 'World No. 1' - largest selling single two-wheeler model

"Hero Honda Passport Programme" - CRM Programme launched

2001 New motorcycle model - "Passion" introduced

One million production in one single year

New motorcycle model - "Joy" introduced

5,000,000th motorcycle produced

2002 New motorcycle model - "Dawn" introduced

New motorcycle model - "Ambition" introduced

35



Appointed Virender Sehwag, Mohammad Kaif, Yuvraj Singh, Harbhajan Singh and

Zaheer Khan as Brand Ambassadors

2003 Becomes the first Indian Company to cross the cumulative 7 million sales mark

Splendor has emerged as the World's largest selling model for the third calendar year in a

row (2000, 2001, 2002)

New motorcycle model - "CD Dawn" introduced

New motorcycle model - "Splendor +" introduced

New motorcycle model - "Passion Plus" introduced

New motorcycle model - "Karizma" introduced

2004 New motorcycle model - "Ambition 135" introduced

Hero Honda became the World No. 1 Company for the third consecutive year.

Crossed sales of over 2 million units in a single year, a global record.

Splendor - World's largest selling motorcycle crossed the 5 million mark

New motorcycle model - "CBZ*" introduced

Joint Technical Agreement renewed

Total sales crossed a record of 10 million motorcycles

2005 Hero Honda is the World No. 1 for the 4th year in a row

New motorcycle model - "Super Splendor" introduced

New motorcycle model - "CD Deluxe" introduced

36



New motorcycle model - "Glamour" introduced

New motorcycle model - "Achiever" introduced

First Scooter model from Hero Honda - "Pleasure" introduced


15 million production milestone achieved


New 'Splendor NXG' launched

New 'CD Deluxe' launched

New 'Passion Plus' launched

New motorcycle model 'Hunk' launched


2008 Hero Honda Haridwar Plant inauguration

New 'Pleasure' launched

Splendor NXG lauched with power start feature

New motorcycle model 'Passion Pro' launched

New 'CBZ Xtreme' launched


CD Deluxe lauched with power start feature

37



New 'Glamour' launched

New 'Glamour Fi' launched

2009 Hunk' (Limited Edition) launched

Splendor completed 11 million production landmark

New motorcycle model 'Karizma - ZMR' launched

Silver jubilee celebrations

PROMINENT AWARDS TO THE COMPANY

Year Awards & Recognitions

2010 Company of the Year awarded by Economic Times Awards for Corporate Excellence

2008-09.

CNBC TV18 Overdrive Awards 2010 'Hall of Fame' to Splendor

NDTV Profit Car & Bike Awards 2010 –

• Two-wheeler Manufacturer of the Year

• CnB Viewers' Choice Two-wheeler of the Year (Karizma ZMR)

Bike Maker of the Year by ET-ZigWheels Car & Bike of the Year Awards 2009

2009 'Two-wheeler Manufacturer of the Year' by NDTV Profit Car & Bike Awards 2009 and

Passion Pro adjudged as CNB Viewers' Choice two-wheeler

Top Indian Company under the 'Automobile - Two-wheelers' sector by the Dun &

Bradstreet-Rolta Corporate Awards

38



Won Gold in the Reader's Digest Trusted Brand 2009 in the 'Motorcycles' category

NDTV Profit Business Leadership Awards 2009 - two-wheeler category

2008 NDTV Profit Business Leadership Award 2008 - Hero Honda Wins the Coveted

"NDTV Profit Business Leadership Award 2008"

TopGear Design Awards 2008 - Hunk Bike of the Year Award

NDTV Profit Car India & Bike India Awards - NDTV “Viewers’ Choice Award” to

Hunk in Bike category

IndiaTimes Mindscape and Savile Row ( A Forbes Group Venture ) Loyalty Awards

- “Customer and Brand Loyalty Award” in Automobile (two-wheeler) sector

Asian Retail Congress Award for Retail Excellence (Strategies and Solutions of

business innovation and transformation) - Best Customer Loyalty Program in Automobile

category

NDTV Profit Car India & Bike India Awards - Bike Manufacturer of the year

Overdrive Magazine - Bike Manufacturer of the year

TNS Voice of the Customer Awards:

• No.1 executive motorcycle Splendor NXG

• No.1 standard motorcycle CD Deluxe

• No. premium motorcycle CBZ Xtreme

2007 The NDTV Profit Car India & Bike India Awards 2007 in the following category:

• Overall "Bike of the Year" - CBZ X-treme

• "Bike of the Year" - CBZ X-treme (up to 150 cc category)

• "Bike Technology of the Year" - Glamout PGM FI"Auto Tech of the Year" - Glamout PGM FI by Overdrive Magazine.

"Bike of the Year" - CBZ X-treme by Overdrive Magazine.

Ranked CBZ X-treme "Bike of the Year" - by B S Motoring Magazine

“Most Trusted Company” , by TNS Voice of the Customer Awards 2006.

CD Deluxe rated as "No 1 standard motorcycle" by TNS Voice of the Customer Awards

39



2006.

2006 Adjudged 7th Top Indian Company by Wallstreet Journal Asia (Top Indian Two Wheeler

Company).

One of the 8 Indian companies to enter the Forbes top 200 list of world’s most reputed

companies.

No. 1 in automobile industry by TNS Corporate Social Responsibility Award.

Best in its class awards for each category by TNS Total Customer Satisfaction Awards

2006:

• Splendor Plus (Executive)

• CD Deluxe (Entry)

• Pleasure (Gearless Scooters)Splendor & Passion - Top two models in two wheeler category by ET Brand Equity

Survey 2006.

Adjudged 7th Top Indian Company by Wallstreet Journal Asia (Top Indian Two Wheeler

Company).

Top Indian company in the Automobile - Two Wheeler sector by Dun & Bradstreet -

American Express Corporate Awards 2006.

Hero Honda Splendor rated as India's most preferred two-wheeler brand at the Awaaz

Consumer Awards 2006.

Certificate of Export Excellence for outstanding export performance during 2004-05 for

two-wheeler & three- wheelers - Complete (Non SSI) by Engineering Export Promotion

Council.

The NDTV Profit Car India & Bike India Awards 2006 in the following category:

• Bike Maker of the Year

• Bike of the Year - Achiever

• Bike of the Year - Achiever (up to 150 cc category)

40



• Bike of the Year - Glamour (up to 125 cc category)

• NDTV Viewers' Choice Award to Glamour in the bike category

KEY POLICIES AN ENVIRONMENTALLY AND SOCIALLY, AWARE COMPANY

At Hero Honda, our goal is not only to sell you a bike, but also to help you every step of the way

in making your world a better place to live in. Besides its will to provide a high-quality service to

all of its customers, Hero Honda takes a stand as a socially responsible enterprise respectful of its

environment and respectful of the important issues.

Hero Honda has been strongly committed not only to environmental conservation programmes

but also expresses the increasingly inseparable balance between the economic concerns and the

environmental and social issues faced by a business. A business must not grow at the expense of

mankind and man's future but rather must serve mankind.

"We must do something for the community from whose land we generate our wealth."

A famous quote from our Worthy Chairman Mr.Brijmohan Lall Munjal.

Environment Policy

We at Hero Honda are committed to demonstrate excellence in our environmental

performance on a continual basis, as an intrinsic element of our corporate philosophy.

To achieve this we commit ourselves to:

• Integrate environmental attributes and cleaner production in all our business processes

and practices with specific consideration to substitution of hazardous chemicals, whereviable and strengthen the greening of supply chain.

• Continue product innovations to improve environmental compatibility.

• Comply with all applicable environmental legislation and also controlling our

environmental discharges through the principles of "alara" (as low as reasonably

achievable).

41



• Institutionalise resource conservation, in particular, in the areas of oil, water, electrical

energy, paints and chemicals.

• Enhance environmental awareness of our employees and dealers / vendors, while

promoting their involvement in ensuring sound environmental management.

Quality Policy

Excellence in quality is the core value of Hero Honda's philosophy.

We are committed at all levels to achieve high quality in whatever we do, particularly in our

products and services which will meet and exceed customer's growing aspirations through:

• Innovation in products, processes and services.

• Continuous improvement in our total quality management systems.

•

Teamwork and responsibility.

Safety Policy

Hero Honda is committed to safety and health of its employees and other persons who may

be affected by its operations. We believe that the safe work practices lead to better business

performance, motivated workforce and higher productivity.

We shall create a safety culture in the organization by:

• Integrating safety and health matters in all our activities.

• Ensuring compliance with all applicable legislative requirements.

• Empowering employees to ensure safety in their respective work places.

• Promoting safety and health awareness amongst employees, suppliers and contractors.

• Continuous improvements in safety performance through precautions besides

participation and training of employees.

sales performance hero Honda reports leadership performance with 50 % net profit in q2, '08-09

defies industry trend with turnover (net sales & other operating income), at rs. 3202 crore; ebidta

at 13.58 per cent

42



Aug'06 Aug'07 FY 06-07 FY 07-08

Total Sales 2,15,076 2,40,875 12,82,860 12,63,254

INTRODUCTION ABOUT PHOENIX

DEALER PROFILE (PHOENIX MOTORS)

ORGANIZATIONAL PROFILE

PHOENIX MOTORS PVT LTD is dealership type of business. PHOENIX MOTORS PVT

LTD. is established on 21st march 2003. The business is running by only one man. The owner

name is ch .madhu mathi the firm is located at habsiguda in Hyderabad.

Generally the sale will be either on cash basis or on institutional basis. Bank like

ICICI, HDFC and CENTURION are providing loans to customers.

Advertising strategy of phoenix motors:

They are giving the ads through newspapers, wall paintings, hoardings and

field staff. They are upgrading sales by introducing the schemes, group bookings, institutional

sales and customer door-to-door activities.

Categorization of Staff members:

Staff members are categorized for technicians, 25 members are allotted for

field staff, 5 members are recruited for sales for persons, 5 persons are placed for evaluating for

spare parts, 5 members are allotted for managerial accounts and another 3 persons for cash

transaction and other members are allotted for remaining work.

Customer relationship:

They entertain the showroom providing a customer’s huge having pool game,

internet facility and television with home there system. They provide bile maintenance programs

on every week.

According to other dealers PHOENIX motors in first in sales and best in service. They treat

customer, is the very important person at PHOENIX motors customer satisfaction is their motto,

43



why because, they will satisfied customer is the best advertisement. They provide better value for

the customers and as well as employees also. At PHOENIX motors the customer is the boss.

SALES STRATEGY OF PHOENIX MOTORS:

Average they are selling 25 vehicles per day. PHOENIX motors PVT L.T.D is the

A.P s NO.1 dealership in sales and other activities? It is a QLAD (qualify leader through quality

dealer). At PHOENIX motor they gave the quality service to the customers why because ‘the

cost is long forgotten but the quality is remembered for ever”. They treat quality has a...

Q Quest for excellence

U Understanding customer’s needs

A Action to achieve customer’s appreciation.

L Leadership determined to be a leader

I involving all the people

T Team spirit to work for a common goal

Y Yard sticks to measure programs.

WARRANTY ON PROPRIETARY ITEMS:

Warranty on proprietary items like Tyros, Tubes and Battery etc, will be directly

handled by the respective original manufactures (OEM’s) except AMCO for batteries and

Dunlop and Falcon tires and Tubes. In case of any defect in proprietary items, other than the

above two mentioned OEM’S the dealers must approach the

Brach office dealer of the respective manufacture. For AMCO batteries and Dunlop and falcon

tires, tubes claims will be accepted at our authorized dealerships per the mutually agreed termsand conditions between HERO HONDA and of these two OEM’s in case the claim is not

accepted for invalid reasons. Then the claim along with the refusal note form the OEM can be

sent to the warranty section at gorgon plan after due to recommendation of the area service

engineer.

44



If any other six services or subsequent paid services is not availed as per the recommended

schedule given in the owner’s manual.

If HERO HONDA recommended engine oil is not used.

To normal wear & tear components like bulbs, electric wiring, filters, spark plug, clutch plates,

braded shoes, fasteners, shim washers, oil seals, gaskets, rubber parts (other than tyre and tube)

plastic components, chain$ sprockets and in case of wheel rim misalignment or bend.

If there is any damage due o modification or fittings of accessories other than ones recommended

by HERO HONDA.

If the motor has been used in any competitive events like tracking races or rallies.

If there is any damage to the painted surface due to industrial pollution or other extraneous

factors.

For clams made for any consequential damage due to any previous malfunction.

For normal phenomenon like noise, vibration, oil seepage, which do not affect the performance

of the motorcycles?

SOCIAL SERVICE ACTIVITIES

PHOENIX motors participate and conduct social service activities. Recently the phoenix

motors organized a BLOOD DONATION CAMP for the trust on 21st January 2006.they

motivated on the consumers to participated in this camp and also provide certificate for the

customers.

THE MARKETED BIKES OF PHOENIX (All Hero Honda Model)

45



46



48



49



CUSTOMER RELATIONSHIP:

To entertain the customers the showroom providing a customers huge having pool game,

Internet facility and television with home theatre system. They provide bike maintenance

programs on every week. According to other dealers PHOENIX motors in first in sales and best

in service. They treat customer, is the very important person at PHOENIX motors customer

satisfaction is their motto, why because, the well satisfied customer is the best advertisement.

They provide better value for the customers and as well as employees also. At PHONIX motors

the customer is the boss.

SOCIAL SERVICE ACTIVITIES

PHOENIX Motors participates in social service activities. The Phoenix motors organize

a BLOOD DONATION CAMP for the trust in every year. They motivated on the customers to

participated in this camp and also provide Certificate for the customers.

50



QUESTIONNAIRE AND INTERPRETATION WITH GRAPHS:

1) Income per month

a) Less than 6000K b) 6001K -10000K

c) 10001K-15000K d) Above 15000K

Less than 6000K 6001K -10000K 10001K-15000K Above 15000K

5 24 42 29

Interpretation:

By the above pie chart we know that the customers have an income per month , 10,000 to

20,000 is 42%, above 15000 are 29%, between 6,000 and 10,000 are 24% and less than 6000 are

5%.

51



3. Did you hear about HEROHONDA bike?

a) YES b) NO

YES NO

95 5

Interpretation:

By this pie-chart we can understand most of the respondents know about theHEROHONDA bike.

53



4. Are you using HEROHONDA bike?

a) YES b) NO

YES NO

67 33

Interpretation:

By the above pie –chart we know that 67% respondents are using HEROHONDA bike

and rest of the 33% respondents are not using HEROHONDA bike.

So we have to concentrate more on those 33% as well as 67% respondents.

5 YES, What is your rating factor for Bike which you will give

54



RATING FACTOR GOOD FAIR BAD

Quality

Price

Longevity

Others (_)

Interpretation:

By the above bar-chart we know that out of 100 respondents 67% have used the Herohonda. Out

of 67% respondents 62% people rated good quality, 4% respondent’s rated fair quality and

remaining 1% respondents rated bad quality.

Out of 67% respondents 46% respondents rated good price, 20% respondents rated fair

quality and remaining 1% respondents rated bad price.

Out of 67% respondents’ 55%respondents rated good longevity and 12% respondent’s

rated fair longevity.

6. If YES, how do you heard about HEROHONDA Products

a) Electronic media b) Print media

55

62 4 1

46 20 1

55 12 0



c) Sales person d) others ( )

Electronic media Print media Sales person others

17 51 16 11

Interpretation:

By this pie-chart we can analyze that most of response came from news paper promotion is 54%,

Through electronic media is 18%, sales persons is 17% and rest of them by others, by this we

known that paper ads are best than others.

7) What way you think promotion of HEROHONDA Products

Should be done

a) Offers b) Advertisement

56



c) Free Service d) others ( )

Offers Advertisement

And offers

Advertisement Free Service Free service and offers All the

above

8 10 17 42 5 6

Interpretation:

By this pie-chart we know that the promotions should be done by free service and advertisement.

PRODUCT PERFORMANCE

8. Which following future made you to buy Reliance?

1) Quality 2) Price 3) Brand Name 4) Free service

57



SL.NO OPTIONS RESPONSE`

1 Quality 48

2 Price 13

3 Brand name 27

4 Free service 12

Source: customer survey (primary data)

Interpretation:

From the above analysis we conclude that among 100 customers 48% of the

customers buy Herohonda basing on Quality, 13% basing on price, 27% basing on

brand and 12% on free service offer.

9. Since how long you have been using Herohonda bike.

1) <1 year 2) 1 to 3 years 3) Above 3 years


58



1 < 1 year 17

2 1 to 3 years 52

3 Above 3 years 31


PERIOD OF USING bike

Interpretation:

From the above analysis out of 100 customers when a question was raised

regarding the duration period they have been using the Herohonda. The responded

was less that 1 year is 17%, between 1-3 years 52% and above 3 years 31%.

10. Are you satisfied with the performance of your bike?

1) Completely satisfied 2) Satisfied 3) Not satisfied


1 Completely satisfied 69

2 Satisfied 29

3 Not satisfied 2

59




Satisfaction of the attributes provided by herohonda

Interpretation;

From the above analysis we conclude that 69%of the cistomers are completely satisfied,

29% are just satisfied and 2% of the respondents are not satisfied .

11.How comfortable are you while Driving ypur bike ?

1) Good 2) Average 3) Poor


1 Good 95

2 Average 5

3 Poor 0


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Comfortness while driving

Interpretation:

From the above analysis wee can conclude that out of 100 customers, 95% of the customersfelt good, 5% average ragarding the customers.

2) Did you experience any problem with your bike ?

1) Yes 2) No


1 Yes 17

2 No 83


Problems with Herohonda

61



Interpretation;

From the above analysis we conclude that out of 100 respondents 17% of the respondents

experienced problems with their phone and 83% of the respondents said that they have not

experienced any problem with the Bike.

3) Would you like to change your bike?

1) Yes 2) No


1 Yes 98

2 No 2


Changing Bike

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Interpretation:

From the above analysis we conclude that 2% of the customers wanted to change their bike

and 98% of the customers said not regarding the idea to change their choice from Herohonda to

other’s competitors .

Service appointment

4) Is the appointment system useful to you?

1) Completely 2) Useful 3) Not useful


1 Completely 25

2 Useful 73

3 Not useful 2


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Appointment system

Interpretation;

Among the 100 customers when a question was raised regarding the usefulness of service

appointment system 25% of the respondent said completely useful, 73% said useful and 2% said

not useful.

5) Are you satisfied with the courtesy and friendliness of service personal?




2 Satisfied 54

3 Not satisfied 10


Courtesy and friendliness of service personal

64



Interpretation:

From the above analysis we conclude that 36% of the customers are completely satisfied,

54% of the customers are satisfied and 10% of the customers are not satisfied regarding the

courtesy and friendliness of the service personnel.

6) Are you satisfied with infrastructure and customer lounge facilities?




2 Satisfied 54

3 Not satisfied 2


Infrastructure and customer lounge

65



Interpretation:

From the above analysis we conclude that among 100 respondents 44% of the customers

are completely satisfied, 54% of the customers are satisfied and 2% of the customers are not

satisfied regarding the infrastructure and customer lounge facilities.

7) Are you shuffled from one sales person to another at the time of purchase?

1) Yes 2) No


1 Yes 0

2 No 100


Shuffled form one sales person to another

66



Interpretation:

From the above analysis we come to conclusion that 37% of the customers are getting

complete information from service advisor and 54% are getting adequately and 9% of the

customers are getting partial information regarding the services to be performed.

9) Are you getting clear explanation of the service performed and charges at the

time of delivery?

1) Yes all the time 2) Mostly 3) Sometime


1 Yes all the time 29

2 Mostly 56

3 Sometime 15


Explanation from the service person

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Interpretation:

From the above analysis we conclude that out of 100 customers 29% of the customers

said all the time they are getting cleared explanation and 56% said mostly and 15% of the

customers are getting only sometime about the services performed and charges at the time of

delivery.

FINDINGS

The company is advertisement is not fair and is not reaching to all people.

The advertisement is difficult to understand.

HEROHONDA is not concentrating on the promotional activities for the customers and

for the retailers.

HEROHONDA is not giving gifts for the customers.

The company is not concentrating on other types of advertising media.

69



The package design is not communicative and eye catching, so package design and color

have to blend harmoniously to make the package communication effective.

Network is not reaching to rural villages.

The company is not conducting road shows so as to get awareness in the public about the

product and services.

Improve the marketing personnel and they should give full knowledge to the customers

and retailers.

HEROHONDA must improve their personnel selling direct contacting customers to give

awareness of their products.

SUGGESTIONS

HEROHONDA is not giving gifts for the customers.

The company is not concentrating on other types of advertising media.

The package design should be communicative and eye catching, so package design and

color have to blend harmoniously to make the package communication effective.

Network should be expanding to rural villages.

Reduce the Tariff rates to increase the market share.

70



The company should conduct road shows so as to get awareness in the public about the

product and services.

Improve the marketing personnel and they should give full knowledge to the customers

and retailers.

The offers should be fairer and should also necessary to bring new models with

fascinating offers.

It will help full in Increasing of Sales if The HEROHONDA brings cards for the different

groups of people such as, Students, Employees, Girls etc.,

CONCLUSION

From project conclude that promotion of any service can be successfully executed by

creating awareness through word of mouth and by maintaining the service according to

Advertising and Sales Promotional Activities.

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ANNEXURE

SURVEY ON PROMOTIONAL ACTIVITIES OF RELIANCE

COMMUNICATION

CUSTOMER PROFILE

Name :

Age :

Sex (m/F) :

Occupation :

Marital status :

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Address :

Mobile No :

QUESTIONNAIRE

1) Income per month{ }

a) Less than 6000K b) 6001K -10000K

c) 10001K-15000K d) Above 15000K

2) Do you have Bike?{ }

a) YES b) NO

3) Did you hear about HEROHONDA Products? { }

a) YES b) NO

4. Are you using HEROHONDA Products? { }

a) YES b) NO

5. YES, what is your rating factor for sim cards which you will give? { }

RATING FACTOR A) GOOD B) FAIR C) BAD

6. If YES, how do you heard about HEROHONDA Products{ }

a) Electronic media b) Print media

c) Sales person d) others ( )

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7 . What way you think promotion of HEROHONDA Products

Should be done{ }

a) Offers b) Advertisement

c) Free Service d) others ( )

8. Which following future made you to buy Herohonda?{ }

1) Quality 2) Price 3) Brand Name 4) Free service

9. Since how long you have been using Herohonda bike.{ }

1) <1 year 2) 1 to 3 years 3) Above 3 years

10. Are you satisfied with the Performance of your bike?{ }


11.How comfortable are you while using your bike ?{ }

1) Good 2) Average 3) Poor

12.Did you experience any problem using your bike ?{ }

1) Yes 2) No

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13.Would you like to change your bike{ }

1) Yes 2) No

14.Is the appointment system useful to you?{ }

1) Completely 2) Useful 3) Not useful

15. Why did you choose this specific dealer? { }

1) Convenient location 2) Speedy service 3) Open on convenient hours

16. Are you satisfied with the courtesy and friendliness of service personal? { }


17. Are you satisfied with infrastructure and customer lounge facilities?{ }


18.Are you shuffled from one sales person to another at the time of purchase?{ }

1) Yes 2) No

19.Do you get the information from service advisor on the services to be performed?{ }

1) Completely 2) Adequately 3) Partially

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20.Are you getting clear explanation of the service performed and charges at the time of

delivery?{ }

1) Yes all the time 2) Mostly 3) Sometime

Any suggestions

BIBLIOGRAPHY

Books referred : Philip Kotler

MODERN MANAGEMENT ---- R.S.N.PILLAI

NEWSPAPERS ---- THE HINDU

THE ECONOMIC TIMES

DECCAN CHRONICLE

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THE TIMES OF INDIA

Primary data : employees & Customers

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