Services Marketing‘Gap Analysis’Presented by:Arunim DattaNidhi Ratna

INDIAN LOGISTICS INDUSTRY : AN OVERVIEW

• The global logistics industry is valued at US$ 3.5 trillion•Indian Logistics Industry is presently estimated at US$ 90 billion (CII)•Compound Annual Growth Rate (CAGR) of 8%

•3PL service providers are expected to corner an increased share of the IndianLogistics pie, from 6% in FY06 to 13% in FY11, at a CAGR of 25% (CII)

•Increased efficiency and productivity of the transport system would result in lower transit times

Primary Growth Drivers

•Increased investments in the

infrastructure sector

•Streamlining of the indirect tax

structure

•Robust trade growth

•Globalization of manufacturing

systems

Major players0 Blue Dart

0 DHL

0 TNT

0 First Flight

0 DTDC

0 Safexpress

0 Gati

0 Agarwal movers & packers

"Compared with other multi national enterprises belonging to the logistics industry in China, the advantage of GATI is that it is the most powerful logistics company in its homeland India, with a network that covers 622 out of a total of 626 districts. GATI began in 1989 as a cargo management company, and has now grown into an organization with 6400 professionals and a turn over of 4610 million Rupees (8.5 billion Yuan approx.). GATI is supported by seamless multi-modal connectivity covering air, road, ocean and rail, and also supported by Mechantronic warehousing providing 1 million square feet of storage space across India.“

Brad Jeffreys, vice president of GATI company

GATI – Ahead In Reach

Overview:0 Among the top 5 players in the country

0 Massive investments on IT and warehousing

0 Gati covers over 3.2 lakh kilometers every day

0 Connects to 622 out of 626 districts in India

0 International operations

0 Best domestic logistics company award

Product offering:0 Warehousing, Express

Cargo etc. 0 Logistics Solutions of the

company 0 Warehousing0 Supply chain

Management0 Distribution Solutions

0 Gati Surface Express0 Gati coast to coast0 Gati Air Express etc

Extended Marketing Mix:• People: All people that are directly or indirectly involved in the consumption of service

Employees Customer

•Process: Procedures, mechanisms and flow of activities by which services are consumed. It assists organizations in delivering service

Technology Supply Chain Management Operational flow of activities

•Physical Evidence: Physical Evidence is the material part of a service

Packaging Web pages Promises Brochures Tracking of Shipment

Key Factors Leading to Knowledge Gap

KNOWLEDGE

GAP

Customer needs & Expectations

Management definition of these needs

Improper field level Information.

Business Intelligence not available for decision making at all levels.

Least attention paid to small customers.

GATI’S SOLUTION:

Customer’s information is collected through feedback forms

Appointment of executives to cater all types of customers

Key Factors Leading to Standard Gap

STANDARD

GAP

Translation into Design

No proper service design for customers.

Fluctuation in fuel prices.

No Insurance for goods.

Improper allocation of funds.

GATI’S SOLUTION:

Sharing the burden of increasing fuel prices

Insurance for goods

Management definition of these needs

Key Factors Leading to Delivery Gap

DELIVERY

GAP

Execution of Design

Poor employee-technology job fit.

Delay in delivering the service.

Over pricing to match demand.

GATI’S SOLUTION:

Employees are properly trained

Promptness in delivery

Translation into Design

Key Factors Leading to Service Gap

SERVICE

GAP

Customer perceptionsOf product execution

Value added services.

Ware housing facility.

Reverse logistics.

GATI’S SOLUTION:

Started giving value added services in some areas Online tracking, e-pod

Customer Interpretation of communications

Customer experienceRelative to expectations