About India Yamaha Motor Pvt. Ltd.

CHAPTER -1 INTRODUCTION BRIEF HISTORY About India Yamaha Motor Pvt. Ltd. Yamaha made its initial foray into India in 1985. Subsequently, it entered into a 50:50 joint venture with the Escorts Group in 1996. However, in August 2001, Yamaha acquired its remaining stake as well, bringing the Indian operations under its complete control as a 100% subsidiary of Yamaha Motor Co. , Ltd, Japan. India Yamaha Motor operates from its state-of-the-art-manufacturing units at Faridabad in Haryana and Surajpur in Uttar Pradesh and produces motorcycles both for domestic and export markets. With a strong workforce of 2000 employees, India Yamaha Motor is highly customer-driven and has a countrywide network of over 400 dealers. The company pioneered the volume bike segment with the launch of its 100 cc 2-stroke motorcycle RX 100. Since then, it has introduced an entire range of 2-stroke and 4-stroke bikes in India. Presently, its product portfolio includes Crux (100cc), Alba (106cc) and Gladiator (125cc). MAJOR PRODUCTS SERVICES: Manufacture and sales of motorcycles, scooters, electro-hybrid bicycles, boats, sail boats, Water Vehicles, pools, utility boats, fishing boats, outboard motors, diesel engines, 4-wheel ATVs, side-by-side vehicles, racing karts, golf cars, multi-purpose engines, generators, water pumps, snowmobiles, small-sized snow throwers, automotive engines, intelligent machinery, industrial-use remote control helicopters, electrical power units for wheelchairs, helmets. Biotechnological production, processing and sales of agricultural and marine products and microorganisms. * Import and sales of various types of products, development of tourist businesses and management of leisure, recreational facilities and related services. HEADQUARTERS: 2500 Shingai, Iwata-shi, Shizuoka-ken, Japan CORPORATE PHILOSOPHY For society, for the world †¦ Yamaha works to realize ur corporate mission of creating Kando Yamaha Motor is a company that has worked ever since its founding to build products defined by the concepts of â€Å"high-quality and high-performance† and â€Å"light weight and compactness† as we have continued to develop new technologies in the areas of small engine technology and FRP processing technology as well as control and component technologies. It can also be said that our corporate history has taken a path where â€Å"people† are the fundamental element and our product creation and other corporate activities have always been aimed at touching people’s hearts. Our goal has always been to provide products that empower each and every customer and make their lives more fulfilling by offering greater speed, greater mobility and greater potential. Said in another way, our aim is to bring people greater joy, happiness and create Kando* in their lives. As a company that makes the world its field and offers products for the land, the water, the snowfields and the sky, Yamaha Motor strives to be a company that â€Å"offers new excitement and a more fulfilling life for people all over the world† and to use our ingenuity and passion to realize peoples’ dreams and always be the ones they look to for â€Å"the next Kando. † About the subject Customer satisfaction, a term frequently used in  marketing, is a measure of how products and services supplied by a company meet or surpass customer expectation. Customer satisfaction is defined as the number of customers, or percentage of total customers, whose reported experience with a firm, its products, or its services (ratings) exceeds specified satisfaction goals. Customer Satisfaction in 7 Steps 1. Encourage Face-to-Face Dealings This is the most daunting and downright scary part of interacting with a customer. If youre not used to this sort of thing it can be a pretty nerve-wracking experience. Rest assured, though, it does get easier over time. Its important to meet your customers face to face at least once or ven twice during the course of a project. 2. Respond to Messages Promptly Keep Your Clients Informed This goes without saying really. We all know how annoying it is to wait days for a response to an email or phone call. It might not always be practical to deal with all customers queries within the space of a few hours, but at least email or call them back and let them know youve received their message and youll contact them about it as soon as possible. Even if youre not able to solve a problem right away, let the customer know youre working on it. 3. Be Friendly and Approachable A fellow Site Pointer once told me that you can hear a smile through the phone. This is very true. Its very important to be friendly, courteous and to make your clients feel like youre their friend and youre there to help them out. There will be times when you want to beat your clients over the head repeatedly with a blunt object it happens to all of us. Its vital that you keep a clear head, respond to your clients wishes as best you can, and at all times remain polite and courteous. 4. Have a Clearly-Defined Customer Service Policy This may not be too important when youre just starting out, but a clearly defined customer service policy is going to save you a lot of time and effort in the long run. If a customer has a problem, what should they do? If the first option doesnt work, then what? Should they contact different people for billing and technical enquiries? If theyre not satisfied with any aspect of your customer service, who should they tell? Theres nothing more annoying for a client than being passed from person to person, or not knowing who to turn to. Making sure they know exactly what to do at each stage of their enquiry should be of utmost importance. So make sure your customer service policy is present on your site and anywhere else it may be useful. 5. Attention to Detail (also known as The Little Niceties) Have you ever received a Happy Birthday email or card from a company you were a client of? Have you ever had a personalized sign-up confirmation email for a service that you could tell was typed from scratch? These little niceties can be time consuming and arent always cost effective, but remember to do them. Even if its as small as sending a Happy Holidays email to all your customers, its something. It shows you care; it shows there are real people on the other end of that screen or telephone; and most importantly, it makes the customer feel welcomed, wanted and valued. 6. Anticipate Your Clients Needs Go Out Of Your Way to Help Them Out Sometimes this is easier said than done! However, achieving this supreme level of understanding with your clients will do wonders for your working relationship. 7. Honor Your Promises Its possible this is the most important point in this article. The simple message: when you promise something, deliver. Clients dont like to be disappointed. Sometimes, something may not get done, or you might miss a deadline through no fault of your own. Projects can be late, technology can fail and sub-contractors dont always deliver on time. In this case a quick apology and assurance itll be ready ASAP wouldnt go a miss. Sales promotions Sales promotion  is one of the four aspects of  promotional mix. The other three parts of the  promotional mix  are  advertising,  personal selling, and  publicity/public relations. ) 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. Sales promotion includes several communications activities that attempt to provide added value or incentives to consumers, wholesalers, retailers, or other organizational custom ers to stimulate immediate sales. These efforts can attempt to stimulate product interest, trial, or purchase. Examples of devices used in sales promotion include coupons, samples, premiums, point-of-purchase (POP) displays, contests, rebates, and sweepstakes. CHAPTER-2 RESEARCH DESIGN TITLE OF THE STUDY â€Å"A STUDY ON MEASURING CUSTOMER SATISFACTION LEVEL AND SALES PROMOTION IN YAMAHA OBJECTIVES OF THE STUDY * To know the customer’s perception regarding launch of new bikes FZ FZS by Yamaha. * To determine the customer’s satisfaction regarding bikes and after sales service. To determine the factors influencing the choice of customers regarding bikes * To know the market scenario of second hand bike industry. SCOPE OF THE STUDY This study is aimed at providing India Yamaha Motors with an insight into the success of FZ FZS as well as the customer’s response and awareness towards the brand, products and services of Yamaha. The data has been analyzed and presented in a simple and precise way on the basis of which pertinent recommendations have been made to the company to better the services, policies and strategies of the company in India. RESEARCH METHODOLOGIES AND LIMITATIONS: * The report has been prepared on the basis of information collected from different sources. In order to achieve the objective of the project proper research method was applied.. After giving through brain storming session, objectives were selected and the set on the base of these objectives, A questionnaire was designed major emphasis of which was gathering new ideas or insight so as to determine and bind out solution to the problems. * * * DATA COLLECTION SOURCE * Research included gathering both primary and secondary data. * * PRIMARY DATA Primary Data was very crucial to collect so as to know various past present consumer views about bikes and to calculate the market share of this brand in regards to other brands. Fresh primary data was collected by taking direct feed back from customer which involved face to face interview with the customer as well as through telephonic interview with the customer , all the FZ customer who visited the de alership showroom for the service of their bikes were questioned in order to find out the customer satisfaction level. * SECONDARY DATA- are those which has been collected by some one else and which already have been passed through statistical process. Secondary data has been taken from internet, newspaper, magazines and companies web sites. * * RESEARCH APPROACH * * SURVEY METHOD: The research approach used was survey method which is a widely used method for data collection and best suited for descriptive type of research survey includes research instrument like questionnaire which can be structured and unstructured. Target population is well identified and various methods like personal interviews and telephone interviews are employed. * RESEARCH DESIGN This study is a mix of explorative and formal methodologies adopting monitoring and observing to study the dealerships in Lakhimpur and communication to elicit responses from customers. This is a cross sectional study done during th e months of June and July. For the customer satisfaction study a questionnaire was formulated containing 17 closed ended questions which were sent out for response through the internet and mainly through personal interviews of customers at Yamaha dealerships. This data was later analyzed using SPSS through performing the cross-tabulations on various involved variables. Results of this step formed the basis of the recommendations given to the company. To know the Yamaha reputation and sales promotion in motorcycle market, census method was chosen and all the dealership were individually visited in the area of Lakhimpur, Mosaram Auto Sales(Hero Honda), I did a market survey by taking open interviews to the dealers and brokers of the market. SAMPLE DESIGN For the sales promotion study a census methodology was adopted and all the dealerships and brokers of that region were visited. For the customer satisfaction study a sample of 100 persons was chosen from the Yamaha’s dealership in Lakhimpur. The sample was judgmental and methodology was non probability sampling Size of Sample| 100| Sampling technique| Judgmental (Non Probabilistic Sampling) | Location from which samples were taken| Lakhimpur| LIMITATIONS OF THE STUDY * This research is geographically restricted to Lakhimpur only. Hence the result cannot be extrapolated to other places. * The study is restricted only to the organized sector of two wheeler industry * The seriousness of the respondents and their ability to justify their answers may also be a limitation. * The sample size is small due to the specified reasons. * Findings are based on sample survey. * All interview questions are undisguised or direct. Hence there is a scope for the respondents to be biased or pretentious. CHAPTER-3 COMPANY PROFILE AUTOMOBILE INDUSTRY TILL DATE The automobile industry is one of the biggest industries in the world. Being a major revenue and job generating sector it drives the economies of some of the superpowers of the world. In India the automobile industry has grown by leaps and bounds since the advent of the liberalization era the automobile industry and especially the two wheeler segment has grown by leaps and bounds. The liberalization has done away with primitive and prohibitive practices of licensing and restricted foreign investment have been done away with. The result of which was the entry of foreign players into the Indian market. The two wheeler segment was largely dominated by Automobile Products of India (API) and Enfield in the 50s. Later on towards the end of the 50s Bajaj Autos began importing Vespa scooters from Italian company Piaggio. In the following decades the automobile industry in India was mainly dominated by scooters with API and later Bajaj dominating the market. There were very few products and choices available as far as motorcycle is concerned and Enfield bullet and Rajdoot dominated the market. The 80s saw the entry of Japanese companies in the Indian market with the opening up of the market to foreign companies. Hero Honda and TVS Suzuki are companies formed in this era of market reform. The market was still predominantly scooter dominated and Bajaj and LML were the leading brands producing the products at that time. Scooter was viewed as a more family and utility friendly vehicle than motorcycle and hence was preferred. The Japanese companies not only collaborated with Indian companies to produce the already existing products but also brought in new technology as a result of which the ever conquering 100cc bikes which were extremely fuel efficient with 4 stroke engines were launched in India. These proved to be highly successful as they provided a cheap and affordable means of personal transport to all those who could not buy a car. The flourishing middle class took a great liking for these bikes and the bike sales in India began to grow exponentially year on year leading to Hero Honda becoming the leader in the two wheeler industry in India and the largest producer of two wheelers in the world. The post 90s era was the era of liberalization and weakening of restrictive measures. The government went on an overdrive to support the industry and all FDI regulations and licensing was abolished. 100% FDI was allowed in the automobile industry and the excise duty was also considerably reduced to its current level of 12% on two wheelers. All these factors combined with the rising fuel prices, the increasing dispensable incomes of households, easy access to finance, etc. have led to two wheeler industry becoming the backbone of the automobile industry in India. The two wheeler industry in India forms a major chunk of the automobiles produced in India. According to Society of Indian Automobile Manufacturers statistics for the year 2008 – 2009, two – wheelers comprise 76. 49% of market share among the vehicles produced in India. The production share of two wheelers is quite similar to the market share. The two wheeler industry comprises around 74% of the total automobiles produced in India. The SIAM data for the year 2008-09 states that 8,418,626 two wheelers were produced during the year against a total of 11,175,479vehicles produced during the year. SEGMENTATION OF TWO WHEELER A Two Wheeler Sector Sub-Segmenting in the three Segments. . Motorcycle 2. Scooter Mopeds About India Yamaha Motor Pvt. Ltd. Yamaha made its initial foray into India in 1985. Subsequently, it entered into a 50:50 joint venture with the Escorts Group in 1996. However, in August 2001, Yamaha acquired its remaining stake as well, bringing the Indian operations under its complete control as a 100% subsidiary of Yamaha Motor Co. , Ltd, Japan. India Yamaha Motor operates from its state-of-the-art-manufacturing units at Faridabad in Haryana and Surajpur in Uttar Pradesh and produces motorcycles both for domestic and export markets. With a strong workforce of 2000 employees, India Yamaha Motor is highly customer-driven and has a countrywide network of over 400 dealers. The company pioneered the volume bike segment with the launch of its 100 cc 2-stroke motorcycle RX 100. Since then, it has introduced an entire range of 2-stroke and 4-stroke bikes in India. Presently, its product portfolio includes Crux (100cc), Alba (106cc) and Gladiator (125cc). MAJOR PRODUCTS SERVICES: Manufacture and sales of motorcycles, scooters, electro-hybrid bicycles, boats, sail boats, Water Vehicles, pools, utility boats, fishing boats, outboard motors, diesel engines, 4-wheel ATVs, side-by-side vehicles, racing karts, golf cars, multi-purpose engines, generators, water pumps, snowmobiles, small-sized snow throwers, automotive engines, intelligent machinery, industrial-use remote control helicopters, electrical power units for wheelchairs, helmets. * Biotechnological production, processing and sales of agricultural and marine products and microorganisms. Import and sales of various types of products, development of tourist businesses and management of leisure, recreational facilities and related services. HEADQUARTERS: 2500 Shingai, Iwata-shi, Shizuoka-ken, Japan CORPORATE PHILOSOPHY For society, for the world †¦ Yamaha works to realize our corporate mission of creating Kando Yamaha Motor is a company that has worked ever since its founding to build products defined by the concepts of â€Å"high-quality and high-performance† and â€Å"light weight and compactness† as we have continued to develop new technologies in the areas of small engine technology and FRP processing echnology as well as control and component technologies. It can also be said that our corporate history has taken a path where â€Å"people† are the fundamental element and our product creation and other corporate activities have always been aimed at touching people’s hearts. Our goal has always been to provide pro ducts that empower each and every customer and make their lives more fulfilling by offering greater speed, greater mobility and greater potential. Said in another way, our aim is to bring people greater joy, happiness and create Kando* in their lives. As a company that makes the world its field and offers products for the land, the water, the snowfields and the sky, Yamaha Motor strives to be a company that â€Å"offers new excitement and a more fulfilling life for people all over the world† and to use our ingenuity and passion to realize peoples’ dreams and always be the ones they look to for â€Å"the next Kando. † VISION To establish YAMAHA as the exclusive trusted brand of customers by creating Kando (touching their hearts) the first time and every time with world class products services delivered by people having passion for customers. MISSION We are committed to: Be the Exclusive Trusted Brand renowned for marketing and manufacturing of YAMAHA products, focusing on serving our customer where we can build long term relationships by raising their lifestyle through performance excellence, proactive design innovative technology. Our innovative solutions will always exceed the changing needs of our customers and provide value added vehicles. Build the Winning Team with capabilities for success, thriving in a climate for action and delivering results. Our employees are the most valuable assets and we intend to develop them to achieve international level of professionalism with progressive career development. As a good corporate citizen, we will conduct our business ethically and socially in a responsible manner with concerns for the environment. Grow through continuously innovating our business processes for creating value and knowledge across our customers thereby earning the loyalty of our partners increasing our stakeholder value. CORE COMPETENCIES Customer #1 We put customers first in everything we do. We take decisions keeping the customer in mind. Challenging Spirit We strive for excellence in everything we do and in the quality of goods services we provide. We work hard to achieve what we commit achieve results faster than our competitors and we never give up. Team-work We work cohesively with our colleagues as a multi-cultural team built on trust, respect, understanding mutual co-operation. Everyones contribution is equally important for our success. Frank Fair Organization We are honest, sincere, open minded, fair transparent in our dealings. We actively listen to others and participate in healthy frank discussions to achieve the organizations goals. OVERVIEW FOUNDED: July 1, 1955 CAPITAL: 48,302 million yen (as of March 31, 2008) PRESIDENT: Takashi Kajikawa EMPLOYEES: 46,850 (as of December 31, 2007) PARENT: 9,019 (as of December 31, 2007) SALES:1,756,707 million yen (from Jan 1, 2007 to Dec 31, 2007) PARENT: 799,209 million yen (from Jan 1, 2007 to Dec 31, 2007) SALES PROFILE Sales (%) by product category (consolidated) Sales (%) by region (consolidated) MAJOR PRODUCTS SERVICES: * Manufacture and sales of motorcycles, scooters, electro-hybrid bicycles, boats, sail boats, Water Vehicles, pools, utility boats, fishing boats, outboard motors, diesel engines, 4-wheel ATVs, side-by-side vehicles, racing karts, golf cars, multi-purpose engines, generators, water pumps, snowmobiles, small-sized snow throwers, automotive engines, intelligent machinery, industrial-use remote control helicopters, electrical power units for wheelchairs, helmets. Biotechnological production, processing and sales of agricultural and marine products and microorganisms. * Import and sales of various types of products, development of tourist businesses and management of leisure, recreational facilities and related services. HEADQUARTERS: 2500 Shingai, Iwata-shi, Shizuoka-ken, Japan CORPORATE PHILOSOPHY For society, for the world †¦ Yamaha works to realize ur corporate mission of creating Kando Yamaha Motor is a company that ha s worked ever since its founding to build products defined by the concepts of â€Å"high-quality and high-performance† and â€Å"light weight and compactness† as we have continued to develop new technologies in the areas of small engine technology and FRP processing technology as well as control and component technologies. It can also be said that our corporate history has taken a path where â€Å"people† are the fundamental element and our product creation and other corporate activities have always been aimed at touching people’s hearts. Our goal has always been to provide products that empower each and every customer and make their lives more fulfilling by offering greater speed, greater mobility and greater potential. Said in another way, our aim is to bring people greater joy, happiness and create Kando* in their lives. As a company that makes the world its field and offers products for the land, the water, the snowfields and the sky, Yamaha Motor strives to be a company that â€Å"offers new excitement and a more fulfilling life for people all over the world† and to use our ingenuity and passion to realize peoples’ dreams and always be the ones they look to for â€Å"the next Kando. † What is Kando? Kando is a Japanese word for the simultaneous feeling of deep satisfaction and intense excitement that people experience when they encounter something of exceptional value. SWOT ANALYSIS A scan of the internal and external environment is an important part of the strategic planning process. Environmental factors internal to the firm usually can be classified as strengths (S) or weaknesses (W), and those external to the firm can be classified as opportunities (O) or threats (T). Such an analysis of the strategic environment is referred to as a SWOT analysis. The SWOT analysis provides information that is helpful in matching the firms resources and capabilities to the competitive environment in which it operates. As such, it is instrumental in strategy formulation and selection. The following diagram shows how a SWOT analysis fits into an environmental scan: SWOT Analysis Framework Environmental Scan| /|   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  | Internal Analysis  Ã‚  Ã‚  |   Ã‚  Ã‚  External Analysis| /   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  |   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  / | Strengths  Ã‚  Ã‚  Weaknesses  Ã‚  Ã‚  |   Ã‚  Ã‚  Opportunities  Ã‚  Ã‚  Threats| || SWOT Matrix| | SWOT ANALYSIS FOR THE TWO WHEELER INDUSTRY Strength * Established brands, Strong Brand Name * Fuel efficient * Style statement * Convenient in heavy traffic * Cheap and affordable * Easy and cheap finance availability * Patents * Good reputation among customers| Weaknesses * Extremely price sensitive * Short PLC * High R and D costs| Opportunities * Growing premium segment * Increasing dispensable income * Environmental concerns * Exports increasing * Very strong demand in the 100cc. segment dominated by limited players. | Threats * The Rs. Lakh car * Cut throat competition * Increasing number of players in the market * Rising raw material costs * Increasing rates of interest on finance| SWOT ANALYSIS FOR INDIA YAMAHA MOTORS Strength * Size and scale of parent company. * Effective Advertising Capability * Committed and dedicated staff. * High emphasis on R and D. * Experience in the market. * Established brand. * Established market channel. * Power, Speed Acceleration| Weaknesses * Small showrooms. * Not much emphasis on agg ressive selling. * Weak product diversity. | Opportunities * Growing premium segment. Global expansion into the Caribbean Central America. * Expansion of target market (include women). * Increasing dispensable income. * 1st mover advantage. | Threats * Cut throat competition * Increasing number of players in the market * Rising raw material costs * Increasing rates of interest on finance| RECENT LAUNCHES YAMAHA FZ-S Yamaha FZ-S 150cc, a recently launched bike by the industry giant Yamaha. After the grand success of FZ-16 Yamaha has finally launched its modified version (FZ-S) in India. This fabulous bike is equipped with all the necessary features one may think of. It stands ahead in style and performance not only in its segment but beyond. This bike is best suited for those who want elegance and power in one. It is designed and engineered with the capacity for active and aggressive enjoyment of around-town street riding and styling, bringing a sense of pride for the owner of the bike. It is especially designed to satiate riders desire for style and fashion. It is popularly referred as the â€Å"Stylish Macho Street Fighter† (Lord of the Streets). The primary features of Yamaha FZ-S include: * European international design * Stainless steel body Aerodynamic muscular design * High torque rate * Carbon pattern meter console * Latest graphics * Disk brakes * Electric start starting system * Electronic fuel injection system YAMAHA YZF R15 This is the latest offering from the Yamaha stable. The YZF R15 is the first truly sports bike launched in India. The looks and design have been done keeping the bigger R1 in mind and hence the resemblance. The bike is priced at Rs. 97,500 (ex-showroom) across India. It boasts of the first liquid cooled 4 valve engine in the two wheeler category which gives it better performance and power. It is a 150cc bike having enough power to bring chills to the rider when he revs up the accelerator BAJAJ PULSAR DTS FI 220 CC Bajaj auto has upgraded the Pulsar family with the launch of its high-end bike Pulsar DTS-Fi 220 cc. This advanced variant of popular Pulsar combines new features and advanced technology. This all new version of Pulsar is priced at Rs. 70, 000 (ex-showroom Delhi). The 2009 edition of Bajaj Pulsar comes without fuel injection technology but yet it will produce more power at 21PS. The new Bajaj Pulsar DTS – Fi 220 cc will reach the top speed of more than 140 kmph. This two wheeler from Indias second largest two-wheeler manufacturer comes with single cylinder 4 stroke air cooled engine. This motorcycle has a maximum power of 21. 04 @ 8500rpm and maximum torque of 19. [emailprotected] rpm. 1. 1COMPETITORS ANALYSIS 1. Bajaj Auto Ltd. Established in 1945 Bajaj Auto Ltd was incorporated as a trading company. Till 1959, they imported scooters and three-wheelers from Italy and sold them in India. The company got a production license in the year 1959 and fastened a technical collaboration with Italian PIAGGIO in 1960. Bajaj Auto Ltd. s one among Indias top ten companies in terms of market capitalization and among the top five in terms of annual turnover. The company started producing scooters in the year 1961 and followed three-wheelers production in 1962. Its collaboration with Piaggio expired in 1971 and since then, their scooters and three-wheelers are being sold with the brand name â€Å"BAJAJ†. Maharashtra Scooters Ltd. , a Company with 24 % equity participation by the Company and 27% participation from Maharashtra State Governments Western Maharashtra Development Corp. was formed in the year 1975 under the Horizontal transfer of technology policy. The first production unit is located at Satara, Maharashtra. The unit continues to collect scooters from CKDs supplied by the Company. These scooters are marketed through the Companys distribution network and under the Companys brand name. In 1984, the second production plant was set up at Aurangabad, Maharashtra. This plant started scooter production in 1986, three-wheeler production in 1987 and scooterettes and motorcycle facilities were commissioned in 1990 1991 respectively. Today, the company has become a market leader with annual production in excess of 1. 35 million units which was about 4000 units in 1961. These days, Bajaj Auto Ltd. has started offering products in all segments (mopeds scooterettes, scooters, motorcycles, three wheelers). TWO WHEELERS| MOTORCYCLE| Bajaj Avenger| 180 CC| Bajaj CT 100| 99. 27 CC| Bajaj Discover DTSi | 135 CC| Bajaj KB 125| 123 CC| Bajaj Platina| 99. 27 CC| Bajaj Pulsar DTS-Fi 220 CC| 220 CC| Bajaj Pulsar DTSi * Pulsar 180 DTS-i UG * Pulsar 150 DTS-i UG * Pulsar 200 Cc * Pulsar 220 DTS-Fi | 180 CC 150 CC 200 CC 220 CC| Bajaj Wind 125| 124. 6 CC| Bajaj XCD| 125 CC| SCOOTERS| Bajaj Bravo| 145 CC| Bajaj Chetak| 145. 45 CC| Bajaj Classic SL| 145. 45 CC| Bajaj Legend| 150 CC| SCOOTERETTES/MOPEDS| Bajaj Blade DTSi| 100 CC| Bajaj Cagiva CRX| 145 CC| Bajaj Fusion| 145 CC| Bajaj Kristal DTSi| 100 CC| Bajaj M 80 Electronic| 74. 08 CC| Bajaj Rave| 74. 08 CC| Bajaj Saffire| 74. 4 CC| Bajaj Spirit| 100 CC| Bajaj Sunny| 59. 86 CC| Bajaj Sunny Spice| 59. 86 CC| Bajaj Wave DTSi| 109. 7 CC| AWAITED MODELS| Sonic DTSi| Motorcycle| 1. 1. 2 Models of BAJAJ 2. Hero Honda Motors Ltd. Hero Honda Motors Ltd. is a result of the joint venture between Indias Hero Group and Japanese Honda Motors Company in the year 1983. This joint venture has not only created the worlds single largest two wheeler company but also one of the most successful joint ventures worldwide. Hero Honda is globally known of being the most fuel-efficient and the largest CBZ selling Indian Motorcycle Company. This is a relationship so harmonious that Hero Honda has managed to achieve indigenisation of over 95 percent, a Honda record worldwide. The below chart shows the golden years in the history of HERO HONDA :- 1985| CD-100| 1989| SLEEK| 1991| CD-100 SS | 1994| Splendor| 1997| Street| 1999| CBZ| 2001| PASSION | 2002| DAWN, AMBITION| 2003| CD-DAWN, SPLENDOR +, PASSION +, KARIZMA| 2005| SUPER-SPLENDOR, CD-DELUX, GLAMOUR, ACHIEVER | 1. 1. 3 Golden Years of HERO HONDA The company is committed to provide the customer with excellence. A rich background of producing high value products at reasonable prices led the worlds largest manufacturer of motorcycles to collaborate with the worlds largest bicycle manufacturer. During 80s, Hero Honda became the first company in India to prove that it was possible to drive a vehicle without polluting the roads. They company possess three manufacturing units based at Dharuhera, Gurgaon and Haridwar are capable to produce 4. 4 million units per year. They introduced new generation motorcycles that set industry benchmarks for fuel thrift and low emission. The unique features like fuel conservation, safety riding courses and mobile workshops helped the group reach in the interiors of the country. Well-entrenched in the domestic market, Hero Honda Motors Ltd. turned its attention overseas, and exports have been steadily on the rise. Over the years, the Company has received its share of accolades, including the National Productivity Councils Award (1990-91), and the Economic Times Harvard Business School Association of India Award, against 200 contenders. The gross sales of Hero Honda by March end2008 was 33, 371, 43 Crores. TWO WHEELERS| MOTORCYCLES| Hero Honda Achiever| Hero Honda CD Dawn| Hero Honda CD Deluxe| Hero Honda CD 100| Hero Honda CD 100 SS| Hero Honda Glamour| Hero Honda Glamour * Glamour * Glamour FI| Hero Honda Splendor * Splendor + * Super Splendor * Splendor NXG| Hero Honda Passion Plus| Hero Honda Sleek| Hero Honda CBZ X-TREME| Hero Honda Karizma| Hero Honda Hunk| | | SCOOTERETTES/MOPEDS| Hero Honda Pleasure| Hero Ankur| Hero Gizmo| Hero Panther| Hero Puch Automatic| Hero Sakhti 3G| Hero Stepmatic| Hero Street| Hero Winner| Hero Stepmatic| Hero Puch Automatic| Hero Sakthi 3G| Hero Winner| | | 1. 1. 4 Hero Honda Models 3. Honda Motorcycles Scooters India Private Limited Established in 1999, the Honda Motorcycle Scooter India Pvt. Ltd. (HMSI) is a wholly owned subsidiary of Honda Motor Company Ltd. , Japan and is located at Manesar, Haryana. The companys most well known brand is the Honda Activa that revolutionized the Indian scooterette market in terms of design and features. The company exports scooters to the European Union. HONDA MOTORCYCLES| MODEL| CAPACITY| Honda Shine| 125 CC| Honda Unicorn| 149. 1 CC| Honda Stunner CBF| 125 CC| Honda CBF Stunner FI| 124. 7 CC| HONDA SCOOTERS| MODEL| CAPACITY| Honda Eterno| 147. 7 CC| HONDA SCOOTERETTES/MOPEDS| MODEL| CAPACITY| Honda Aviator| 102 CC| Honda Activa| 102 CC| Honda Dio| 102 CC| CHAPTER-4 Data Analysis and Interpretation Age| No of respondents| % of respondents| 16 – 20| 28| 28%| 21-25| 41| 41%| 26-30| 20| 20%| Above 30| 11| 11%| Total| 100| 100%| Table no. 4. 1 : The Age distribution in the sample. ANALYSIS: 4. : Following points can be referred from the above pie chart * The above pie chart is showing that the customers of FZS are mainly coming from the age group of 16-25 that is around 69%, as Yamaha claims that they generally target their customers who are between the age group of 18 to 25, because that people of this age group are passionate and are style freaks, * So we can say that Popularity of Yamaha is available in the age of 26-30 (aroun d 20%) also because of its reputation in the world market. Graph no. 4. 1 RESULTS OF THE CUSTOMER SURVEY Table no. 4. 2 Marital status| No. f respondents| %of respondents| Married| 24| 24%| Single| 76| 76%| Total| 100| 100%| 4. 2 The Marital status distribution in the sample. Analysis: 4. 2: In this pie chart it is very much clear that 76% of the Yamaha’s customer is mainly the youth who are single, so Yamaha’s new launch FZS is mostly being accepted by the singles instead of family oriented people. Graph no 4. 2 4. 2 The Marital status distribution in the sample. Occupation| No. of respondents| %of respondents| Business person| 27| 27%| Student| 43| 43%| Office employee| 28| 28%| Others| 2| 2%| Totals| 100| 100%| Table no. 4. 3 4. : The Occupation distribution in the sample. Analysis: 4. 3: Once again we found that Yamaha’s major customers are the students of colleges and schools which consists 43%, as they want something special, new, stylish, masculine and at tractive and Yamaha is providing that in the form of FZS. Graph no. 4. 3 4. 3: The Occupation distribution in the sample. Table no. 4. 4 Income group| No. of respondents| %of respondents| Upto 1000| 17| 17%| 10001-20000| 33| 33%| 20001-40000| 40| 40%| 40001-60000| 9| 9%| Above 60000| 1| 1%| Totals| 100| 100%| | | | 4. 4: The Income groups distribution in the sample. Analysis:4. 4: In the income group distribution we can analyze that customers of FZS are coming from the Middle income group people which is around 73% by including 10001-40000 slab of income group. It shows that Yamaha is placing their products in the appropriate price range. As the people of this income bracket can easily afford this Bike. Graph no 4. 4 4. 4: The Income groups distribution in the sample. Table no . 4. 5 Purchased by| No. of respondents| %of respondents| Loan| 28| 28%| Cash| 72| 72%| Totals| 100| 100%| 4. 5: The Way of purchasing distribution in the sample. Analysis: 4. : Here again we can prove that the products of Yamaha are in the acceptable price range, as we can see that purchasing way of the customers are leading in the CASH sector. Customers are easily affording the price of FZS; they are not feeling much problem with the amount of FZS. Today’s customers are ready to pay for better facilities and technology and they feel that FZS deserves that price wh ich YAMAHA is offering. Graph no 4. 5 4. 5: The Way of purchasing distribution in the sample. Table no . 4. 6 Paid by| No. of respondents| %of respondents| Family| 51| 51%| Self| 49| 49%| Totals| 100| 100%| 4. : The Financing distribution in the sample. Analysis: 4. 6: In this pie chart a very important thing can be referred that Indian Youths are not so much independent in the financial matters, still they depends on the family, as Yamaha claims that they target the people of 18-25 age group, but here we can say that they should promote such kind of advertisements where the Yamaha products can link to the family. Ultimately family is paying the amount so Yamaha should target according to family also, so that the view of the children and family shouldn’t clash. Graph no 4. 6 4. 6: The Financing distribution in the sample. Table no . 4. 7 Compare Brands| No. of respondents| %of respondents| Bajaj| 26| 26%| Hero Honda| 23| 23%| Honda| 2| 2%| Bullet| 4| 4%| Yamaha| 6| 6%| No| 39| 395| Totals| 100| 100%| 4. 7: Compared brands with FZS. Analysis: 4. 7: Majority of people is not comparing Yamaha FZS to any other product and the number of such people is around 39%, But the second view which we have found that FZS is getting a very tough competition Fr BAJAJ HERO HONDA. BAJAJ has launched their new edition of Pulsar 220 at a very low price (around 70000 ex showroom price), which is the reason for the tough competition giving by BAJAJ. On the other hand HERO HONDA HUNK is also giving direct fight to the FZS because of its MILEAGE only. There are some more competitors which are stable at their market share in automobile industry. Graph no. 4. 7 4. 7: Compared brands with FZS. Table no. 4. 8 Choice of feature in a bike | No. of respondents| %of respondents| Style/Design| 54| 54%| Controll ability| 7| 7%| Pick up| 8| 8%| Reputation of maker| 6| 6%| Riding comfort| 12| 12%| New Technology| 8| 8%| Durability| 1| 1%| Others| 2| 2%| Mileague| 2| 2%| Totals| 100| 100%| 4. 8: The choice of Feature which is most important in a bike. Analysis: 4. : If we see the trend of Two wheeler industry we found that earlier people were looking mainly towards the mileage of the vehicle but now In our research we collected data and found that now customer’s perception has changed and they are shifting towards the style, design riding comfort of the vehicle, 54% customers have purchased FZS because of its Style Design and only 2% people are looking for the mileage. So in a way we can say they Yamaha exactly changed the perception of Indian customers. They are trying to attract customers with new style, design or look of the bike and creating passion in the customers for the speed and power. So through this we have proved our First hypothesis which was regarding the Yamaha’s new launch of FZ FZS that has changed the customer’s perception regarding choice of bikes. Graph no. 4. 8 4. 8: The choice of Feature which is most important in a bike. Table no. 4. 9 First Information source| No. of respondents| %of respondents| Tvcf| 45| 45%| Family/Friends| 24| 24%| Road show| 5| 5%| Websites| 3| 3%| Showroom| 12| 12%| Auto expo| 1| 1%| Newspaper| 4| 4%| Magazines| 5| 5%| Others| 1| 1%| Totals| 100| 100%| 4. 9: 1st Information sources and their shares Analysis: 4. : As we can see here the major promotional tool which is influencing the customers is TVCF which stands for Television Commercial, which is around 45%, after that the major source of awareness among customers, is Family/Friends. Magazine and newspaper consists only 9% in our research, but if we look them at a very good sample size then it is around 2% only. Graph no. 4. 9 4. 9: 1st Information sources and their shares Tables no. 4. 10 Improvement in Yamaha Image in india| No. of respondents| %of respondents| No| 2| 2%| Yes| 98| 98%| Totals| 100| 100%| 4. 10: Customer Perception regarding Yamaha Image after FZS Analysis: 4. 10: This is a good result for Yamaha that once again they are creating place in the heart of the customers, after the discontinue of RX100 Yamaha has lost very big amount of customers in the last 10 years, but after the launching of FZS, Yamaha has improved their image among the customers. Our data is showing that 98% people are admitting that Yamaha has improved their image after the FZS and R15 launch, feedback which we have got from the customers were like that Yamaha has produced something new this time and very stylish and well designed product.. By this we are again proving our second HYPOTHESIS that YAMAHA has regained its image after the launch of FZ FZS. es Graph no. 4. 10 4. 10: Customer Perception regarding Yamaha Image after FZS Table no. 4. 11 Comments about FZS| No. of respondents| %of respondents| Stylish| 45| 45%| Trendy| 6| 6%| Macho| 27| 27%| Low mileage| 16| 16%| Others| 4| 4%| Expensive| 2| 2%| Totals | 100| 100%| 4. 11: Comments for FZS by Potential Customers. Analysis: 4. 11: This year Yamaha FZS has got the BIKE OF THE YEAR AWARD which shows its popularity among the customers. It has fulfilled the desire and demand of the current customers, there are very few people who still need some improvements in the FZS but Yamaha is taking care of those customers also. As our data is showing that 78% people are giving good comments or responses for Yamaha, they are feeling that FZS is the most stylish and trendy bike in these days, 2% people are feels that spare parts of Yamaha FZS are very costly and 16% people are complaining for the mileage of the bike, therefore Yamaha should work on these loopholes of the bike so that they can attract some more customers. Graph no. 4. 11 4. 11: Comments for FZS by Potential Customers. Table no. 4. 12 Customer opinions towards safety and comforts| No. of respondents| %of respondents| Extremely| 23| 23%| Satisfied| 47| 47%| Netural| 10| 10%| Totals| 100| 100%| Analysis: 100% of the respondents 47% of the respondents approached were satisfied with the safety and comfort feature of the Bolero. Followed by 27% was extremely satisfied, 17% are neutral and rest of the 7% was dissatisfied with safety and comfort feature of Yamaha. % Graph no 4. 12 4. 12: Customer opinions towards safety and comforts Table no. 4. 13 Customer opinions towards Design| No. of respondents| %of respondents| Extremely| 20| 20%| Satisfied| 40| 40%| Netural| 27| 27%| Dissatisfied| 13| 13%| Totals%| 100| 100| Analysis: 100% of respondents 40% of the respondents approached were satisfied with the Design of the Yamaha. 20% were more satisfied, 27% of them neutral and 13% are dissatisfied with the design of the yamaha. Observation: As majority of the respondents are satisfied with the design of Yamaha, the company should maintain the same standard and it is suggested to come up with suitable measure to reduce the negative opinion among the consumer who are of the opinion that the fuel consumption is a dissatisfying factor. Graph no 4. 13 4. 13; Customer opinions towards Design Table no. 4. 14 Customer opinion towards consumption of fuels | No. of respondents| %of respondents| More satisfied| 27| 27%| Satisfied| 49| 49%| Not Satisfied and dissatisfied| 17| 17%| Dissatisfied| 7| 7%| Totals | 100| 100%| Analysis: 100% of the respondents 49% of the respondents approached were satisfied with the fuel consumption of the Yamaha. Followed by 27% was extremely satisfied, 17% are neutral and rest of the 7% is more dissatisfied with fuel consumption of Yamaha Observation: As majority of the respondents are satisfied with the fuel consumption of Yamaha, the company should maintain the same standard and it is suggested to come up with suitable measure to reduce the negative opinion among the consumer who are of the opinion that the fuel consumption is a dissatisfying factor Graphs no 4. 14 4. 14 : Customer opinions towards fuel consumption Tables no 4. 15 Customer opinion towards Maintaince| No. of respondents| %of respondents| Extremely| 23| 23%| Satisfied| 51| 51%| Netural| 21| 21%| Dissatisfied| 5| 5%| Totals | 100| 100%| Analysis: The sample drawn on the probability basis shows that out of 100% of respondents 51% of the respondents approached were satisfied with the maintenance of the Yamaha. 23% were extremely satisfied, 21% of neutral and 5% are dissatisfied with the maintenance. Observation: Though majority of the customer are satisfied that the maintenance cost of Yamaha is less, around 20% are not satisfied which may be because of comparison of yamaha with the newly launched competing brands coming with even lower maintenance cost. Graph no 4. 15 4. 15:Customer satisfactions toward Maintenance of Yamaha Chapter-5 Summary of findings Findings 1. It is found that the most preferred vehicle of YAHAHA FZ 2. It is found that from the data we can position our product to the comfort seeking group of people 3. It is found that many of the YAHAMA customers are buying its BIKE by seeing its brand name only. 4. It is found that major media that attracted the customers is television. 5. It is found that only a few customers are satisfied with the service. 6. Most of fortune yahama customers are interested to service their vehicle only at authorized dealer. 7. It is found that most of the customers preferred ICICI and SBI banks for taking financial help while purchasing a bike. . It is found that most of the customers prefer only in house finance compare to outhouse finance. 9. It is found that more than 80% of customers think that yahama bike are affordable only by rich men. Chapter 6 Recommendation, suggestion And conclusion RECOMMENDATIONS * SHOULD IMPROVE THE AFTER SALE SERVICES: During the survey we found that Yamaha is not satisfy ing their customers in after sales services, employees at dealership sometimes use harsh words and become rude to the customers, parts of the bike are not easily available in the market. This is the major drawback in capturing the market share so Yamaha should take some better steps to satisfy and retain their customers. * WEAK FOLLOW UP FROM DEALERSHIPS: We observed during the course of our studies that Yamaha was quite weak in following up with prospective customers. There was no communication from Yamaha showrooms asking the customers if and when they are willing to buy their bikes. Hero Honda, Bajaj and Honda showrooms were extremely attentive in this regard and perform maximum follow up on prospective customers. MEASURES SHOULD BE TAKEN TO IMPROVE ITS DEALERSHIP: Yamaha which is trying to build a brand new image of a high tech and stylish brand of sports bikes should take appropriate steps to show it in their showrooms. Showrooms like Oswal Yamaha, and Shiva Yamaha were very small in size and do not reflect the quality and scale of Yamaha in the market. Shiva motors was very dirty ambience and customer will feel that company is not working good that’s why they are not taking any actions toward their showrooms and this will definitely hamper the sales, so Yamaha should take care of these things. POOR PROMOTIONAL CAMPAGIN: The Yamaha ads seen on electronic and print media are absolutely out of touch with the Indian culture and thought process. If we see that Bajaj and Hero Honda has produced a very good link with the Indian family and customers can easily recall their Ads by well know punch lines like HAMARA BAJAJ or HERO HONDA DESH KI DHADKAN-DHAK DHAK. Yamaha is also focusing on this as we can see the AD of YAMAHA ALBA. An Indian consumer irrespective of their income level has a soft corner for traditions and culture of India. Hence, all companies including market leaders like Hero Honda and Bajaj capitalize on this behavior of customers and design their ad campaigns keeping India in mind. * YOUTH ORIENTED PROMOTION: Yamaha claims that they target the customers of age group 18-25 but their ad never represents this so they should make such kind of AD where youth should taken in as centre of attraction. They should do this earliest to capture the market because vast majority of people depending on ads and friends as their chief sources of information about the products. AGGRESSIVE SELLING: The Company should follow an aggressive selling concept. A non-aggressive selling concept which is clearly visible in its advertising campaign which does not hit on the customer rather aims to provide information in a subtle manner. These days they have hit on the right target as we can prove through our survey that people who purchased YAMAHA FZS, 54% people have seen the TVCF of Yamaha before purchasing the bike. Emotion al advertising which is the norm in India and which is very successful is not followed. INDIAN BRAND AMBASSADOR: The Company’s brand ambassador is VALENTINO ROSSY earlier we had JOHN ABRAHAM too but now YAMAHA does not have any Indian brand ambassador as compared to its competitors like Hero Honda who have Hrithik Roshan doing their ads and M. S. Dhoni doing the job for TVS. It is necessary for Yamaha to have a brand ambassador from India to connect with the Indian customer. * VARIETY IS NEEDED TO BE PROVIDED: Yamaha at the moment has a very weak product portfolio and its products are not that visible in the market or displays in dealerships except the Gladiator and now R15. The lack of product range visibility in dealerships and in the media and advertisements is adversely affecting the brand of Yamaha. If a customer want to switch from one bike to another Yamaha is not providing them options so here Yamaha should work to maintain their loyal customers. Yamaha should maintain and produce the bikes in quarterly or half yearly so that customers can avail options. * BRAND EXPOSURE SHOULD BE INCREASED OR TO TAP THE NICHES : There is a large market of unsatisfied customers in India. This effort would be in the direction to capture the unsatisfied customers and who are willing to change their brands on bike replacement. * FOCUSSED ADVERTISEMENT ON PRODUCT USP: The maximum demand among customers constituting the target market of India Yamaha Motors is for the power and style features of bikes. Hence, the company should produce products keeping the above factors in mind. CONCLUSION From the customers survey and desk research we conclude that:We are confident that we will continue getting technology from Yamaha , for its part, has also made similar statements. However, industry analysts do have doubts. Says an industry analyst, Yamaha’s track record in India does lead to some apprehensions. An analysis of Yamaha’s past tie-ups in India would prove so. This does throw up some questions with regards to the path ahead for Yamaha. These examples prove that Yamaha has always wanted to have its own entity, says another analyst. Most of the customers of Yamaha belong to congested areas. They mostly belong to middle class and are mostly officials/ executives. Thus, we conclude client has targeted the right segment . From the findings we conclude that a customers while purchasing a car, customers takes into consideration mainly fuel efficiency, good looks, low maintenance cost and reliability. The main competitors of Yamaha are bajaj Honda and herohonda The consumer preference basically depends upon wider network and better services. Customers are influenced more to buy a product by advertisements rather than dealer friend’s or family recommendations BIBLIOGRAPHY BIBLIOGRAPHY 1) Phillip Kotler; Principles of marketing, 7th Edition; Pearson Publication. ) Saxena and Rajan; Marketing Management; Tata McGraw Hill; 3rd Edition 3) Ramaswami, V. S. and Namakumari, S. ; Marketing Management; Macmillan India; 2002. 4) Batra Satish Kazmi SHH ; Consumer behaviour text cases; 1999. 5) Gupta, S. P. and Gupta, M. P. ; Business Statistics; 14th Edition; Sultan Chand Publications. 6) Robert W and Boockholdt, James L. ; Factors Leading To change in consumer behavior: A Study of Managers Perspectives; Cr eativity Research Journal, 11(4), Page No. 245-307; 1998. ANNEXURES SAMPLE QUESTIONNAIRE QUESTIONNAIRE (For FZ customers) Contact- Place: Model: cc: Date of purchase: 1. Name: 2. Age: 3. Marital status: a) married b) single 4. What is your occupation? a) Student b) Office employee c) Factory employee d) Shop owner e) Business Person f) Other: ________ . Monthly household income: a) Up to Rs. 10,000 b) Rs. 10,001-20,000 c) Rs. 20,001-40,000 d) Rs. 40,001-60,000 e) Rs. 60, 001-80,000 f) Rs. 80, 001-100,000 g) Above Rs. 100,000 6. How did you buy the MC? a) Cash b) Loan [D/P: ] 7. Who paid for your MC? a) Self b) Family c) Others: 8. Did you considered other motorcycle while buying this model? a) Yes b) No 9. Which model did you compare with? Model: cc: 10. Have you seen FZ 16 TVCF? a) Yes b) No 11. Have you seen FZ 16 newspaper advertisement? a) Yes b) No 12. Have you seen FZ 16 magazine advertisement? a) Yes b) No 13. Do you take information from internet blogs? a) Yes b) No Which blog? 14. What was the reason you finally purchased your Bike? a) Style/design b) Mileage c) Resale value d) Reputation of maker e) Riding comfort f) Pick up g) Controllability h) new technology i) Maneuverability j) Riding position k) Quality l) Color/ graphics m) Big vehicle size n) Durability o) Price p) Low maintenance q) After sales support r) others: _______ 5. Please specify your source of awareness for your Bike? a) TVCF b) Newspaper c) Magazine d) Showroom e) Family/Friends f) Mall display g) Road show/Test ride h) Website/Blogs i) Radio j) Hoardings k) Auto expo l) TV news m) Others_______ 16. Do you think Yamaha has improved after FZS and R15? a) Yes b) No 17. How does your friend say to your Motor Cycle? a) Trendy b) Macho c) Stylish d) Low Mileage e) After sales service f) Poor Resale value g) Expensive spare parts h) Others______