CUSTOMER RELATIONSHIP MANAGEMENT (CRM) INTRODUCTION

In today’s intensely competitive, rapidly changing and highly

complex environment characterize by diminishing customer

loyalty, the need to be market –focused and customer centric is

more critical than any other time in past. It is highly imperative for

every organization to retain and use valuable information about

their customer to enhance their business strategies and product

and service offerings. Today, the key focus area of much

organization is identification of a link between customer

satisfaction and performance. However, satisfaction as the

confirmation of expectation has started to be conceptualizing

almost as a threshold for customers. The delivery of satisfaction is

the minimum the customer expects.

Customer relationship management is creating a team relationship

among sales, marketing, and customer support activities within an

organization. Another narrow, yet relevant, viewpoint is to

consider CRM only as customer retention in which a variety of after

marketing tactics is used for customer bonding or staying in touch

after the sale is made.

Shani and Chalasani define relationship marketing as “an

integrated effort to identify, maintain, and build up a network with

individual consumers and to continuously strengthen the network

for mutual benefit of both sides, through interactive, individualized

and value-added contacts over a period of time”.

The core theme of all CRM and relationship marketing perspectives

is its focus on cooperative and collaborative relationships between

the firm and its customers, and/or other marketing actors. CRM is

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) based on the premise that, by having a better understanding of

the customers’ needs and desires we can keep them longer and

sell more to them.

There are three parts of application architecture of CRM:

· Operational - automation to the basic business processes

(marketing, sales, service)

· Analytical - support to analyze customer behavior, implements

business intelligence alike technology

· Co operational - ensures the contact with customers (phone,

email, fax, web...)

Improving customer service

CRMs are claimed to improve customer service. Proponents say

they can improve customer service by facilitating communication

in several ways:

· Provide product information, product use information, and

technical assistance on web sites that are accessible 24 / 7

· Help to identify potential problems quickly, before they occur

· Provide a user-friendly mechanism for registering customer

complaints (complaints that are not registered with the company

cannot be resolved, and are a major source of customer

dissatisfaction)

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) · Provide a fast mechanism for handling problems and complaints

(complaints that are resolved quickly can increase customer

satisfaction)

· Provide a fast mechanism for correcting service deficiencies

(correct the problem before other customers experience the same

dissatisfaction)

· Identify how each individual customer defines quality, and then

design a service strategy for each customer based on these

individual requirements and expectations

· use internet cookies to track customer interests and personalize

product offerings accordingly

· use the internet to engage in collaborative customization or real-

time customization

There are a number of reasons why CRM has become so important

in the last 10 years. The competition in the global market has

become highly competitive, and it has become easier for

customers to switch companies if they are not happy with the

service they receive. One of the primary goals of CRM is to

maintain clients. When it is used effectively, a company will be

able to build a relationship with their customers that can last a

lifetime. Customer relationship management tools will generally

come in the form of software. Each software program may vary in

the way it approaches CRM. It is important to realize that CRM is

more than just a technology.

Customer support is directly connected to CRM. If a company fails

to provide quality customer support, they have also failed with

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) their CRM system. When a customer makes complaints, they must

be handled quickly and efficiently. The company should also seek

to make sure those mistakes are not repeated. When sales are

made, they should be tracked so that the company can analyze

them from various aspects. It is also important to understand the

architecture of Customer relationship management. The

architecture of CRM can be broken down into three categories, and

these are collaborative, operational, and analytical. The

collaborative aspect of CRM deals with communication between

companies and their clients

Key CRM principles

Differentiate Customers: All customers are not equal; recognize

and reward best customers disproportionately. Understanding

each customer becomes particularly important. And the same

customers’ reaction to a cellular company operator may be quite

different as compared to a car dealer. Besides for the same

product or the service not all customers can be treated alike and

CRM needs to differentiate between a high value customer and a

low value customer.

What CRM needs to understand while differentiating

customers is?

- Sensitivities, Tastes, Preferences and Personalities

- Lifestyle and age

- Culture Background and education

- Physical and psychological characteristics

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) · Differentiating Offerings

® Low value customer requiring high value customer offerings

® Low value customer with potential to become high value in near

future

® High value customer requiring high value service

® High value customer requiring low value service

Keeping Existing Customers

Grading customers from very satisfied to very disappoint should

help the organization in improving its customer satisfaction levels

and scores. As the satisfaction level for each customer improves so

shall the customer retention with the organization.

· Maximizing Life time value

Exploit up-selling and cross-selling potential. By identifying life

stage and life event trigger points by customer, marketers can

maximize share of purchase potential. Thus the single adults shall

require a new car stereo and as he grows into a married couple his

needs grow into appliances.

· Increase Loyalty

Loyal customers are more profitable. Any company will like its

mind share status to improve from being a suspect to being an

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) advocate. Company has to invest in terms of its product and

service offerings to its customers. It has to innovate and meet the

very needs of its clients/ customers so that they remain as

advocates on the loyalty curve. Referral sales invariably are low

cost high margin sales.

Summarizing CRM activities:

The CRM cycle can be briefly described as follows:

1. Learning from customers and prospects, (having in depth

knowledge of customer)

2. Creating value for customers and prospects

3. Creating loyalty

4. Acquiring new customers

5. Creating profits

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

NEED FOR THE STUDY

The need of this study is to find the impact made by the CRM

activities by the different automobile dealer on the customer

satisfaction and sale. On this study will let us know about the

various aspects of the CRM activities and automobile dealer in

India. What are the various factors affecting it positively and

negatively? This study will enhance our knowledge and will help us

in times to come. We all find this area of study very lucrative so we

have chosen it as our topic of project.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

SCOPE OF THE STUDY

This research study throws light on the CRM activities of the

automobile dealer in Hyderabad and it will let all those who are

interested in Indian automobile dealer with CRM to know “impacts

of CRM activities by automobile sector”.

This research work and survey would help to future researchers

and students to know the impact of CRM activities by automobile

sector in the broader areas and field and over all employability and

economic growth of the country in this very aspect.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

REVIEW OF LITERATURE

Customer relationship management (CRM) consists of the

processes a company uses to track and organize its contacts with

its current and prospective customers. CRM software is used to

support these processes; information about customers and

customer interactions can be entered, stored and accessed by

employees in different company departments. Typical CRM goals

are to improve services provided to customers, and to use

customer contact information for targeted marketing.

While the term CRM generally refers to a software-based approach

to handling customer relationships, most CRM software vendors

stress that a successful CRM effort requires a holistic approach.

CRM initiatives often fail because implementation was limited to

software installation, without providing the context, support and

understanding for employees to learn, and take full advantage of

the information systems. CRM tools should be implemented "only

after a well-devised strategy and operational plan are put in

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) place". CRM can be implemented without major investments in

software, but software is often necessary to explore the full

benefits of a CRM strategy. Other problems occur when failing to

think of sales as the output of a process that itself needs to be

studied and taken into account when planning automation. From

the outside, customers interacting with a company perceive the

business as a single entity, despite often interacting with a number

of employees in different roles and departments. CRM is a

combination of policies, processes, and strategies implemented by

an organization to unify its customer interactions and provide a

means to track customer information. It involves the use of

technology in attracting new and profitable customers, while

forming tighter bonds with existing ones.

CRM includes many aspects which relate directly to one

another:

Front office operations — Direct interaction with customers,

e.g. face to face meetings, phone calls, e-mail, online

services etc.

Back office operations — Operations that ultimately affect

the activities of the front office (e.g., billing, maintenance,

planning, marketing, advertising, finance, manufacturing,

etc.)

Business relationships — Interaction with other companies

and partners, such as suppliers/vendors and retail

outlets/distributors, industry networks (lobbying groups,

trade associations). This external network supports front and

back office activities.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Analysis — Key CRM data can be analyzed in order to plan

target-marketing campaigns, conceive business strategies,

and judge the success of CRM activities (e.g., market share,

number and types of customers, revenue, profitability).

Proponents of CRM software claim that it doesn't only allow more

effective ways of managing customer relationships, but also more

customer-centric ways of doing business. Executives often cite the

need for the proper tools as a barrier to delivering the experience

their customers expect. A 2009 study of over 860 corporate

executives revealed only 39% believes that their employees have

tools and authority to solve customer problems.

Types/variations of CRM

There are several different approaches to CRM, with different

software packages focusing on different aspects. In general,

Customer Service, Campaign Management and Sales Force

Automation (SFA) form the core of the system (with SFA being the

most popular).

Operational CRM

Operational CRM provides support to "front office" business

processes, e.g. to sales, marketing and service staff. Interactions

with customers are generally stored in customers' contact

histories, and staff can retrieve customer information as

necessary. The contact history provides staff members with

immediate access to important information on the customer

(products owned, prior support calls etc.), eliminating the need to

individually obtain this information directly from the customer.

Reaching to the customer at right time at right place is preferable.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Operational CRM processes customer data for a variety of

purposes:

Managing campaigns

Enterprise Marketing Automation

Sales Force Automation

Sales Management System

Analytical CRM

Analytical CRM analyzes customer data for a variety of purposes:

Designing and executing targeted marketing campaigns

Designing and executing campaigns, e.g. customer

acquisition, cross-selling, up-selling, addon-selling

Analyzing customer behavior in order to make decisions

relating to products and services (e.g. pricing, product

development)

Management information system (e.g. financial forecasting

and customer profitability analysis)

Analytical CRM generally makes heavy use of data mining and

other techniques to produce useful results for decision-making.

It is at the analytical stage that the importance of fully

integrated CRM software becomes most apparent. Logically

speaking, the more information that the analytical software has

available for analysis, the better its predictions and

recommendations will be.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Sales Intelligence CRM

Sales Intelligence CRM is similar to Analytical CRM, but is intended

as a more direct sales tool. Features include alerts sent to sales

staff regarding:

Cross-selling/Up-selling/Switch-selling opportunities

Customer drift

Sales performance

Customer trends

Customer margins

Customer alignment

Campaign Management

Campaign management combines elements of Operational and

Analytical CRM. Campaign management functions include:

Target groups formed from the client base according to

selected criteria

Sending campaign-related material (e.g. on special offers) to

selected recipients using various channels (e.g. e-mail,

telephone, SMS, post)

Tracking, storing, and analyzing campaign statistics,

including tracking responses and analyzing trends

Collaborative CRM

Collaborative CRM covers aspects of a company's dealings with

customers that are handled by various departments within a

company, such as sales, technical support and marketing. Staff

members from different departments can share information

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) collected when interacting with customers. For example, feedback

received by customer support agents can provide other staff

members with information on the services and features requested

by customers. Collaborative CRM's ultimate goal is to use

information collected by all departments to improve the quality of

services provided by the company. CRM also plays a role of data

distributor within customers, producers and partners. Producers

can use CRM information to develop products or find new market.

CRM facilitates communication between customers, suppliers and

partner by using new information system such email, link and data

bank.

Consumer Relationship CRM

Consumer Relationship System (CRS) covers aspects of a

company's dealing with customers handled by the Consumer

Affairs and Customer Relations contact centers within a company.

Representatives handle in-bound contact from anonymous

consumers and customers. Early warnings can be issued regarding

product issues (e.g. item recalls) and current consumer sentiment

can be tracked (voice of the customer).

Strategy

Several CRM software packages are available, and they vary in

their approach to CRM. However, as mentioned above, CRM is not

just a technology but rather a comprehensive, customer-centric

approach to an organization's philosophy of dealing with its

customers. This includes policies and processes, front-of-house

customer service, employee training, marketing, systems and

information management. Hence, it is important that any CRM

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) implementation considerations stretch beyond technology toward

the broader organizational requirements.

Implementation issues

Many CRM project "failures" are also related to data quality and

availability. Data cleaning is a major issue. If a company's CRM

strategy is to track life-cycle revenues, costs, margins, and

interactions between individual customers, this must be reflected

in all business processes. Data must be extracted from multiple

sources (e.g., departmental/divisional databases such as sales,

manufacturing, supply chain, logistics, finance, service etc.), which

requires an integrated, comprehensive system in place with well-

defined structures and high data quality. Data from other systems

can be transferred to CRM systems using appropriate interfaces.

Because of the company-wide size and scope of many CRM

implementations, significant pre-planning is essential for smooth

roll-out. This pre-planning involves a technical evaluation of the

data available and the technology employed in existing systems.

This evaluation is critical to determine the level of effort needed to

integrate this data.

Equally critical is the human aspect of the implementation. A

successful implementation requires an understanding of the

expectations and needs of the stakeholders involved. An executive

sponsor should also be obtained to provide high-level

management representation of the CRM project. An effective tool

for identifying technical and human factors before beginning a

CRM project is a pre-implementation checklist. A checklist can help

ensure any potential problems are identified early in the process.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Privacy and data security System

One of the primary functions of CRM software is to collect

information about customers. When gathering data as part of a

CRM solution, a company must consider the desire for customer

privacy and data security, as well as the legislative and cultural

norms. Some customers prefer assurances that their data will not

be shared with third parties without their prior consent and that

safeguards are in place to prevent illegal access by third parties.

Maruti Suzuki CRM

Maruti Suzuki achieves an overall C.S.I Score of 820 an a 1000

point Scale, overall customer satisfaction with dealer service for

the industry improves slightly in 2008-up by 3 points since

2007,with six of the 11 ranked brands demonstrating gains. While

ranking below the industry average Tata and Mahindra emerge as

the most improved brands, respectively, particularly in the areas

of services initiation, quality of services advisors and in services

experience.

“Maruti Suzuki has effectively implemented simple producers that

improved satisfaction with the value of work performed and

perceptions of the fairness and honesty of the dealer, such as

greeting service customers quickly upon arrival and fully

explaining charges and repairs”, said Mohit Arora senior director at

J.P Power Asia Pacific, Singapore “Instituting these low.-effort yet

high-impact practices helps to foster trust among customers,

which is critical to building loyalty for future service and sales

opportunities.”

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) The study finds that the proportion of vehicles brought in and

serviced within the same day has increased to 55 percent this year

from 49 percent in 2007.Quick completion of service is a key

source of customers delight, particularly for customers who visit

the dealer for routine maintenance.

In 2008 India Customer Satisfaction Index (C.S.I) study is based on

responses from more than 5,594 owners of nearly 41 different

vehicle models. The study was fielded from June to August those

customers who serviced their vehicles at authorized services

facilities.

S.M.R.-(service marketing report)-

Services marketing report is the detail of the customers who

purchased the car from the showroom. In this report we have the

data about the Customer purchasing date and the time of car

servicing. Means by this report we remind to customer that it is the

time of your car servicing .So we ask some questions for customer

satisfaction these are the following questions:

Ques.1-are you aware of the maintained schedule of yours

cars?

Ques2-as per record you cars service in due on-will you like

to make a booking?

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) OBJECTIVES OF THE STUDY

The study has been conducted with followings objectives.

Primary objective:

To study the customer awareness about Maruti Suzuki, &

Mithra Agencies.

To enhance the sale of Maruti Suzuki in the showroom.

To know the reason for the loss of inventory.

Secondary objectives

To analyze the customer buying behavior.

To find out the satisfaction level of the customers at Mithra

automobiles showroom.

To study the effect of event and promotion.

To make various suggestion on the improvement of the

Mithra automobiles.

RESEARCH METHODOLOGY

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Research methodology is away to systematically solve research

problem. In it we study the various step that are generally adopted

by researcher in studying his research problem along with logic

behind them. It is necessary for a researcher to know not only the

research method/techniques but also the methodology. It may be

noted, in the context of planning & development that the

significance of research lines in its quality and not in quantity.

Researcher should know how to apply particular research

techniques, but they also need to know which of these methods or

techniques, are relevant and which are not, and what would they

mean and indicate and why?

Meaning of Research

“Research is common parlance refers to a search for knowledge. In

fact research is an act of scientific investigation.”

The project was divided in to the following steps.

To decide objective of the study

1. To decide objective of the

Study:-

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To decide research design & application

To decide source of data collection

To decide from of data collection

To organize & collect data

To process & analyze report

To prepare the research report

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) This step is also research problem. Problem definition is the most

critical part of the research process. Research problem definition

involves specifying the information needed by management. The

main objective of the study is:

To study the awareness of Maruti Suzuki & Mithra Agency in

Hyderabad.

To find out the level of customer satisfaction with the offers,

discount and services offered by Maruti Suzuki & Mithra

Agencies.

2. To decide research design & application:-

Research design involves defining the research problem,

determining how to collect the data and from whom, establishing

the way the data will be analyzed estimating costs and the

preparation of the research approach. For this study, descriptive

research was selected.

3. To decide Source of data there are two sources of data

Primary Data

Secondary Data

Primary data:-

Primary data is the original data collected specifically for the

problem.

Reason for selecting primary data:-

In terms of primary data a questionnaire has been used to

interview desire sample units that give accurate and up to data

information as well better to research problem.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Research approaches: - Primary data can be collected in five

main ways: through Observation, focus groups, surveys,

behavioral data, and experiments.

Research instruments:- Marketing researchers have a choice of

three main research Instruments in collecting primary data:

Questionnaires: - A questionnaire consists of questions

presented to respondents for their answers. Because of its

flexibility, the questionnaire is by far the most common

Instrument used to collect primary data. Questions can be

open-ended or closed-Ended.

Qualitative measures: - Some marketers prefer more

qualitative methods for gauging consumer opinion because

consumer actions do not always match their answers to

survey questions. Qualitative research techniques are

relatively unstructured measurement approaches that

permit a range of possible responses, and they are a

creative means of ascertaining consumer perceptions that

may other-Wise be difficult to uncover.

Mechanical devices: -Mechanical devices are occasionally

used in marketing research .Mechanical devices like

galvanometers measure the respondent’s interest or

emotions aroused by exposure to a specific ad or picture.

Secondary data:-

Data potentially useful in solving a current problem but that were

collected for a different purpose.

Reason for selecting secondary data:-

Secondary data can be gathered quickly and inexpensively,

compared to primary data, it is clear useful to study analyzing the

recent development in the telecom industry.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Contact methods:- Once the sampling plan has been

determined, the marketing researcher must decide how the

subject should be contact:

Mail questionnaire: - The mail questionnaire is the best

way to reach people who would not give personal interviews

or whose responses might be biased or distorted by the

interviewers. Mail questionnaires require simple and clearly

worded questions.

Telephone interview: - Telephone interviewing is the best

method for gathering information quickly; the interviewer is

also able to clarify questions if respondents do not

understand them. The response rate is typically higher than

in the case of mailed questionnaires.

Personal interview: - Personal interviewing is the most

versatile method. The interviewer can ask more questions

and record additional observations about the respondent,

such as dress and body language. Personal interviewing

takes two forms. In arranged interviews, respondents are

contacted for an appointment, and often a small payment or

incentive is offered. Intercept interviews involve stopping

people at a shopping mall or busy street corner and

requesting an interview.

Online interviews: - There is increased use of online

methods. There are so many ways to use the Net to do

research. In this method, researcher can include a

questionnaire on its Web site and offer a people to answer

the questionnaire.

4. To decide from of data collection:-

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) For this project survey method was selected which was carried

through person interview. Because information from different

customers was required.

5. To organize & collect data:-

Once the researcher has formulated and development a research

design including questionnaire second thing he has to decide

whether he has to collect the information from all the targeted

customers. There can be two types of survey are possible.

Sample Survey

Census Survey

“For this project sample Survey war chosen”

Characteristics of the sample survey are:-

It is cheaper than census survey

It requires less time

It is economical

More detail information can be collected

Deciding the sample plan requires following decisions

Sample unit “Who is to be surveyed”

Sample

Sample is the true representation of the population by studying of

the sample we can predict the behavior of the population.

Sample Size: 100

Method of Sampling:-

In this project, the survey was done within the market that means

probabilistic convenience Sampling was carried out.

6. To process & analyze data:-

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) After the data was collected it was tabulated, analyzed and

interpreted to the conclusion reach.

Techniques Applied

Bar Chart:- A chart in which the length of the bar represents

the amount of the item associated with the bar.

Pie Chart:- A circle divided in to sections, such that each

section represent the percentage of the total area of a circle

associates with one variable.

Types of Research

Along with this there may be 3 type of research methodology

these are:

They are –

Exploratory Research

Descriptive Research

Casual Research

“Our research is based on the exploratory research.”

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

LIMITATIONS OF THE STUDY

The sample size is restricted under response only.

Due to certain constrains, the survey is limited to the Twin

Cities Hyderabad and Secunderabad.

The survey can not be generalized to rural areas as it is

limited to twin cities only.

The response that is given by some of the customers about

the company who’s car they own may contain some

biasness.

It was very difficult to get the data from the dealers in the

region because they are not willing to disclose the data and

hence the analysis that has been done on the basis of

available data may contain some biased results.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

INDUSTRY PROFILE

Automobile Industry

History:

In the year 1769, a French engineer by the name of Nicolas

J. Cugnot invented the first automobile to run on roads. This

automobile, in fact, was a self-powered, three-wheeled, military

tractor that made the use of a steam engine. The range of the

automobile, however, was very brief and at the most, it could only

run at a stretch for fifteen minutes. In addition, these automobiles

were not fit for the roads as the steam engines made them very

heavy and large, and required ample starting time. Oliver Evans

was the first to design a steam engine driven automobile in the

U.S.A Scotsman, Robert Anderson, was the first to invent an

electric carriage between 1832 and 1839. However, Thomas

Davenport of the U.S.A. and Scotsman Robert Davidson were

amongst the first to invent more applicable automobiles, making

use of non-rechargeable electric batteries in 1842. Development of

roads made travelling comfortable and as a result, the short

ranged, electric battery driven automobiles were no more the best

option for travelling over longer distances.

The Automobile Industry finally came of age with Henry Ford in

1914 for the bulk production of cars. This lead to the development

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) of the industry and it first begun in the assembly lines of his car

factory. The several methods adopted by Ford, made the new

invention (that is, the car) popular amongst the rich as well as the

masses.

According the History of Automobile Industry US, dominated the

automobile markets around the globe with no notable competitors.

However, after the end of the Second World War in 1945, the

Automobile Industry of other technologically advanced nations

such as Japan and certain European nations gained momentum

and within a very short period, beginning in the early 1980s, the

U.S Automobile Industry was flooded with foreign automobile

companies, especially those of Japan and Germany.

The current trends of the Global Automobile Industry reveal

that in the developed countries the Automobile Industries are

stagnating as a result of the drooping car markets, whereas the

Automobile Industry in the developing nations, such as, India and

Brazil, have been consistently registering higher growth rates

every passing year for their flourishing domestic automobile

markets.

The automotive industry designs, develops, manufactures,

markets, and sells the world's motor vehicles. In 2008, more than

70 million motor vehicles, including cars and commercial vehicles

were produced worldwide.

In 2007, a total of 71.9 million new automobiles were sold

worldwide: 22.9 million in Europe, 21.4 million in Asia-Pacific, 19.4

million in USA and Canada, 4.4 million in Latin America, 2.4 million

in the Middle East and 1.4 million in Africa. The markets in North

America and Japan were stagnant, while those in South America

and other parts of Asia grew strongly. Of the major markets,

Russia, Brazil, India and China saw the most rapid growth.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

About 250 million vehicles are in use in the United States.

Around the world, there were about 806 million cars and light

trucks on the road in 2007; they burn over 260 billion gallons of

gasoline and diesel fuel yearly. The numbers are increasing

rapidly, especially in China and India. In the opinion of some,

urban transport systems based around the car have proved

unsustainable, consuming excessive energy, affecting the health

of populations, and delivering a declining level of service despite

increasing investments. Many of these negative impacts fall

disproportionately on those social groups who are also least likely

to own and drive cars. The sustainable transport movement

focuses on solutions to these problems.

In 2008, with rapidly rising oil prices, industries such as the

automotive industry, are experiencing a combination of pricing

pressures from raw material costs and changes in consumer

buying habits. The industry is also facing increasing external

competition from the public transport sector, as consumers re-

evaluate their private vehicle usage. Roughly half of the US's fifty-

one light vehicle plants are projected to permanently close in the

coming years, with the loss of another 200,000 jobs in the sector,

on top of the 560,000 jobs lost this decade. Combined with robust

growth in China, in 2009, this resulted in China becoming the

largest automobile market in the world.

Indian Automobile History

The origin of automobile is not certain. In this section of

automobile history, we will only discuss about the phases of

automobile in the development and modernization process since

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) the first car was shipped to India. We will start automotive history

from this point of time.

The automobile industry has changed the way people live

and work. The earliest of modern cars was manufactured in the

year 1895. Shortly the first appearance of the car followed in India.

As the century truned, three cars were imported in Mumbai (India).

Within decade there were total of 1025 cars in the city.

The dawn of automobile actually goes back to 4000 years

when the first wheel was used for transportation in India. In the

beginning of 15th century Portuguese arrived in China and the

interaction of the two cultures led to a variety of new technologies,

including the creation of a wheel that turned under its own power.

By 1600s small steam-powered engine models was developed, but

it took another century before a full-sized engine-powered vehicle

was created.

The actual horseless carriage was introduced in the year

1893 by brothers Charles and Frank Duryea. It was the first

internal-combustion motor car of America, and it was followed by

Henry Ford's first experimental car that same year.

One of the highest-rated early luxury automobiles was the

1909 Rolls-Royce Silver Ghost that featured a quiet 6-cylinder

engine, leather interior, folding windscreens and hood, and an

aluminum body. It was usually driven by chauffeurs and emphasis

was on comfort and style rather than speed.

During the 1920s, the cars exhibited design refinements

such as balloon tires, pressed-steel wheels, and four-wheel brakes.

Graham Paige DC Phaeton of 1929 featured an 8-cylinder engine

and an aluminum body.

The 1937 Pontiac De Luxe sedan had roomy interior and rear-

hinged back door that suited more to the needs of families. In

29

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) 1930s, vehicles were less boxy and more streamlined than their

predecessors. The 1940s saw features like automatic transmission,

sealed-beam headlights, and tubeless tires. The year 1957 brought

powerful high-performance cars such as Mercedes-Benz 300SL. It

was built on compact and stylized lines, and was capable of 230

kmh (144 mph).

This was the Indian automobile history, and today modern

cars are generally light, aerodynamically shaped, and compact.

Emerging India Auto market

India auto market is a promising industrial sector that is growing

immensely every passing year. Passenger cars are referred to,

through use of word "automobile." Whooping growth experienced

by Indian auto market in last financial year itself that is financial

year end in February, 2007 was very close to a 18 percent over

previous fiscal. This statistical fact is a glittering example of

potential of growing auto industry in India.

As per survey conducted by Society of Indian Auto Manufacturers,

total number of automobiles manufactured by auto industry in

India, throughout financial year 2006-07, was very close to 15.5

lakh (1.5 million) margin. Huge of number of automobiles

manufactured by auto industry in India was an enormous growth

upon number of autos manufactured during previous fiscal, that

ended in 2006.

Total number of cars that were exported from India were very

close to 2.0 lakh (2.0 hundred thousand) margin, an encouraging

sign for auto industry in India. Export of cars manufactured in India

comprised nearly 13 percent of total number of cars manufactured

domestically by auto industry in India.

India auto market looks set to prosper, largely due to growing

market for automobiles that is developing in India. In financial year

30

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) that ended in February, 2004, Indian auto markets were fastest

growing in world, with registered growth rate touching nearly 20

percent.

Auto industry in India mainly comprises of small car section, which

enjoys nearly a 2/3rd market share of entire market for autos in

India. In this respect, Indian markets are largest in world for small

cars, behind Japan.

The 4 – wheelers industry is passing through is passing through a

critical but interesting phase. For many years, it was growing

continuously but the turning point came in 1996 Feb., when it

started slowing down. The impact was rally felt in the next year

when the overall growth was hardly 10%. This was also possible

only because, the cars segment showed a healthy growth of 50%.

The net result is that is that Maruti cars now account for 62% of

the 4 – wheelers market in April, May & June 2008.The Varun

Motors Ltd. mainly is the only dealers of the mature Branded cars. 

NEW SEGMENTS

A step through segment like Maruti alto, ZEN, VERSA and

WAGONR,A-star and SX-4 . 

DRAMATIC CHANGES

The new products have contributed to 35% of the growth and

helped the producers improve their bottom line.  The coming years

will see increasing competition due to the priority in products in

products and prices. The only differentiate will be technology,

quality, product range and service.

31

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Imaginative market will emphasize relationship building and

customer satisfaction. New techniques such as direct marketing

and institutional sales are being explorer by all. Some of them are

taking the vehicle actually to the customers door step. Now the

customer is king. Luxury cars, Passenger cars &

Multipurpose/Commercial cars. Product range from MUL had offers

different cars of all these classifications, i.e., Bale no & Esteem

Cares in luxury days, M-800, ALTO, ZEN, WAGON-R falls in

passenger cars, while OMNI, VERSA & GYPSY for multipurpose /

commercial cars. According to MUL managing director Jagdish

Khattar, Swift has been positioned on the“aspirational”plank for

young Indians.

COMPANY PROFILE

HISTORY:  

Maruti Udyog Limited (MUL) was established as a private limited

company in India on February 1981, through an Act of Parliament

to meet the growing demand of a personal mode of transport

caused by the lack of an efficient public transport system. MUL is

wholly owned by the Govt. of India at the time of its birth.

Suzuki Motor Company was chosen from seven prospective

partner’s world wide. This was due not only to their undisputed

leadership in small cars but also to their commitment to actively

32

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) bring to MUL contemporary technology and Japanese management

practices (which had  catapulted Japan over USA to the status of

the top auto manufacturing country in the world)

MUL was classified in the Public Sector as long as the equity of

Government of India remained over 51% . A license and a Joint

Venture agreement were signed between Govt. of India and Suzuki

Motor Company (now Suzuki Motor Corporation of Japan) in Oct

1982, with Suzuki Motor Corporation (SMC) acquiring 26% of the

equity. This newly formed organisation was given the primary

objectives of:

Modernizing the Indian Automobile Industry by bringing in the

latest technology Production of fuel- efficient vehicles to conserve

scarce resources. Production of a large number of motor vehicles

which is necessary for economic growth. Maruti created history by

going into production in a record 13 months. On 14 December

1983, the then Prime Minister of India. Mrs. Indira Gandhi released

the first Vehicle for sale by handing over the keys of a Maruti 800

to Mr. Harpal Singh of Delhi.

Maruti exceeded the volume targets, and in March 1994, it

became the first Indian Company to produce over one million

vehicles, a landmark yet to be achieved by any other car company

in India. Maruti is the highest volume cat manufacture in Asia,

outside Japan and Korea, having produced over 4 million vehicles

by April 2003.  Maruti revolutionized the way Indians looked at

cars.  

 

VISION, VALUES & ETHOS OF MUL:  

33

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) MUL Vision is to be a leader in the Indian Automobile Industry,

Creating Customer Delight and Shareholder’s Wealth, transforming

Maruti to be a pride of India.

      The Core values of MUL are customer Obsession, Fast, Flexible

and First Mover, Innovation and Creativity, Networking and

Partnership Openness and Learning, Quality Systems and

Consumer Satisfaction through Continuous Improvement of our

Products and Services by following PDCA (PLAN-DO-CHECK-ACT) in

all functions of our organization.

At Maruti, the approach to quality is in keeping wit the Japanese

practice – “build it into the product”. Technicians themselves

inspect the quality of work. Supervisors educate and instruct

technicians to continually improve productivity and quality. The

movement of quality indicators is reviewed in weekly meetings by

the top management 

MUL believes that its employees are its greatest strength and

asset. It is this underlying philosophy that has molded the

workforce at Maruti into a team with common goals and

objectives. The Employee- Management relationship is therefore

characterized by Participative Management, Team work & Kaizen

communication and information sharing.

Open office culture for easy accessibility  

To implement this philosophy, several measures have been

adopted like, a flat organizational structure. There are only three

levels of responsibilities ranging from the Board of Directors,

Division Heads to Department Heads. Other visible features of this

34

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) philosophy are an open office, common uniforms (at all levels),

and a common canteen. 

MARUTI SUZUKI

Industry Automotive

Founded1981 (as Maruti Udyog

Limited)

Headquarte

rsNew Delhi, India

Key peopleMr. Shinzo Nakanishi,

Managing Director and CEO

Products Automobiles

Revenue US$4.8 billion (2009)

Parent Suzuki Motor Corporation

Maruti Suzuki India Limited (NSE: MARUTI, BSE: 532500) a

partial subsidiary of Suzuki Motor Corporation of Japan, is India's

largest passenger car company, accounting for over 45% of the

domestic car market. The company offers a complete range of cars

from entry level Maruti 800 and Alto, to hatchback Ritz, A star,

Swift, Wagon-R, Estillo and sedans DZire, SX4 and Sports Utility

vehicle Grand Vitara.

It was the first company in India to mass-produce and sell more

than a million cars. It is largely credited for having brought in an

35

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) automobile revolution to India. It is the market leader in India and

on 17 September 2007, Maruti Udyog Limited was renamed

Maruti Suzuki India Limited. The company's headquarters are

located in New Delhi.

Maruti Suzuki is India and Nepal's number one leading automobile

manufacturer and the market leader in the car segment, both in

terms of volume of vehicles sold and revenue earned. Until

recently, 18.28% of the company was owned by the Indian

government, and 54.2% by Suzuki of Japan. The BJP-led

government held an initial public offering of 25% of the company

in June 2003. As of 10 May 2007, Govt. of India sold its complete

share to Indian financial institutions. With this, Govt. of India no

longer has stake in Maruti Udyog.

Maruti Udyog Limited (MUL) was established in February 1981,

though the actual production commenced in 1983 with the Maruti

800, based on the Suzuki Alto key car which at the time was the

only modern car available in India, its only competitors- the

Hindustan Ambassador and Premier Padmini were both around 25

years out of date at that point. Through 2004, Maruti Suzuki has

produced over 5 Million vehicles. Maruti Suzukis are sold in India

and various several other countries, depending upon export

orders. Models similar to Maruti Suzukis (but not manufactured by

Maruti Udyog) are sold by Suzuki Motor Corporation and

manufactured in Pakistan and other South Asian countries. The

company annually exports more than 50,000 cars and has an

extremely large domestic market in India selling over 730,000 cars

annually. Maruti 800, till 2004, was the India's largest selling

compact car ever since it was launched in 1983. More than a

million units of this car have been sold worldwide so far. Currently,

36

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Maruti Suzuki Alto tops the sales charts and Maruti Suzuki Swift is

the largest selling in A2 segment.

Due to the large number of Maruti 800s sold in the Indian market,

the term "Maruti" is commonly used to refer to this compact car

model ("Maruti" is another name of the Hindu god, Hanuman).

Maruti Suzuki has been the leader of the Indian car market for over

two decades. Its manufacturing facilities are located at two

facilities Gurgaon and Manesar south of Delhi. Maruti Suzuki’s

Gurgaon facility has an installed capacity of 350,000 units per

annum. The Manesar facilities, launched in February 2007

comprise a vehicle assembly plant with a capacity of 100,000 units

per year and a Diesel Engine plant with an annual capacity of

100,000 engines and transmissions. Manesar and Gurgaon

facilities have a combined capability to produce over 700,000 units

annually.

More than half the cars sold in India are Maruti Suzuki cars. The

company is a subsidiary of Suzuki Motor Corporation, Japan, which

owns 54.2 per cent of Maruti Suzuki. The rest is owned by public

and financial institutions. It is listed on the Bombay Stock

Exchange and National Stock Exchange in India.

During 2007-08, Maruti Suzuki sold 764,842 cars, of which 53,024

were exported. In all, over six million Maruti Suzuki cars are on

Indian roads since the first car was rolled out on 14 December

1983.

Maruti Suzuki offers 14 models, Maruti 800, Alto, WagonR, Estilo,

A-star, Ritz, Swift, Swift DZire, SX4, Omni, Eeco, Gypsy, Grand

Vitara, Kizashi. Swift, Swift Drier, A-star and SX4 are manufactured

37

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) in Manesar, Grand Vitara and Kizashi are imported from Japan as

completely built units(CBU), remaining all models are

manufactured in Maruti Suzuki's Gurgaon Plant.

Suzuki Motor Corporation, the parent company, is a global leader

in mini and compact cars for three decades. Suzuki’s technical

superiority lies in its ability to pack power and performance into a

compact, lightweight engine that is clean and fuel efficient.

Nearly 75,000 people are employed directly by Maruti Suzuki and

its partners. It has been rated first in customer satisfaction among

all car makers in India from 1999 to 2009 by J D Power Asia Pacific.

While the major companies were personally represented in the

initial rounds of discussion, Osamu Suzuki, Chairman and CEO of

the company ensured that he was present in all the rounds of

discussion. Osamu in an article writes that it subtly massaged their

(Indian delegation's) egos and also convinced them about the

sincerity of Suzuki's bid. Suzuki in return received a lot of help

from the government in such matters as import clearances for

manufacturing equipment (against the wishes of the Indian

machine tool industry then and its own socialistic ideology), land

purchase at government prices for setting up the factory Gurgaon

and reduced or removal of excise tariffs. This ensured that Suzuki

conscientiously nursed Maruti Suzuki through its infancy to

become one of its flagship ventures.

Maruti Suzuki's A-Star vehicle during its unveiling in Pragati

Maidan, Delhi. A-Star, Suzuki's fifth global car model, was designed

and is made only in India.[6] Besides being Suzuki's largest

38

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) subsidiary in terms of car sales, Maruti Suzuki is also Suzuki's

leading research and development arm outside Japan

Relationship between the Government of India, under the United

Front (India) coalition and Suzuki Motor Corporation over the joint

venture was a point of heated debate in the Indian media till

Suzuki Motor Corporation gained the controlling stake. This highly

profitable joint venture that had a near monopolistic trade in the

Indian automobile market and the nature of the partnership built

up till then was the underlying reason for most issues. The success

of the joint venture led Suzuki to increase its equity from 26% to

40% in 1987 and further to 50% in 1992. In 1982 both the venture

partners had entered into an agreement to nominate their

candidate for the post of Managing Director and every Managing

Director will have tenure of five years

Initially R.C.Bhargava was the managing director of the company

since the inception of the joint venture. Till today he is regarded as

instrumental for the success of Maruti Suzuki. Joining in 1982 he

held several key positions in the company before heading the

company as Managing Director. Currently he is on the Board of

Directors.[8] After completing his five year tenure, Mr. Bhargava

later assumed the office of Part-Time Chairman. The Government

nominated Mr. S.S.L.N. Bhaskarudu as the Managing Director on

27 August 1997. Mr. Bhaskarudu had joined Maruti Suzuki in 1983

after spending 21 years in the Public sector undertaking Bharat

Heavy Electricals Limited as General Manager. Later in 1987 he

was promoted as Chief General Manager, 1988 as Director,

Productions and Projects, 1989 Director, Materials and in 1993 as

Joint Managing Director.

39

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Suzuki Motor Corporation didn't attend the Annual General Meeting

of the Board with the reason of it being called on a short notice.

Later Suzuki Motor Corporation went on record to state that Mr.

Bhaskarudu was "incompetent" and wanted someone else.

However, the Ministry of Industries, Government of India refuted

the charges. Media stated from the Maruti Suzuki sources that

Bhaskarudu was interested to indigenise most of components for

the models including gear boxes especially for Maruti 800. Suzuki

also felt that Bhaskarudu was a proxy for the Government and

would not let it increase its stake in the venture.[10] If Maruti Suzuki

would have been able to indigenise gear boxes then Maruti Suzuki

would have been able to manufacture all the models without the

technical assistance from Suzuki. Till today the issue of localization

of gear boxes is highlighted in the press.

The relation strained when Suzuki Motor Corporation moved to

Delhi High Court to bring a stay order against the appointment of

Mr. Bhaskarudu. The issue was resolved in an out-of-court

settlement and both the parties agreed that R S S L N Bhaskarudu

would serve up to 31 December 1999, and from 1 January 2000,

Jagdish Khattar, Executive Director of Maruti Udyog Limited would

assume charges as the Managing Director.[12] Many politicians

believed, and had stated in parliament that the Suzuki Motor

Corporation is unwilling to localize manufacturing and reduce

imports. This remains true, even today the gear boxes are still

imported from Japan and are assembled at the

For most of its history, Maruti Udyog Limited had relatively few

problems with its labour force. Its emphasis of a Japanese work

culture and the modern manufacturing process, first instituted in

Japan in the 1970s, was accepted by the workforce of the company

40

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) without any difficulty. But with the change in management in

1997, when it became predominantly government controlled for a

while, and the conflict between the United Front Government and

Suzuki may have been the cause of unrest among employees. A

major row broke out in September 2000 when employees of Maruti

Udyog Ltd (MUL) went on an indefinite strike, demanding among

other things, revision of the incentive scheme offered and

implementation of a pension scheme. Employees struck work for

six hours in October 2000, irked over the suspension of nine

employees, going on a six-hour tools-down strike at its Gurgaon

plant, demanding revision of the incentive-linked pay and

threatened to fast to death if the suspended employees were not

reinstated. About this time, the NDA government, following a

disinvestments policy, proposed to sell part of its stake in Maruti

Suzuki in a public offering. The Staff union opposed this sell-off

plan on the grounds that the company will lose a major business

advantage of being subsidized by the Government.

The standoff with the management continued to December with a

proposal by the management to end the two-month long agitation

rejected with a demand for reinstatement of 92 dismissed workers,

with four MUL employees going on a fast-unto-death. In December

the company's shareholders met in New Delhi in an AGM that

lasted 30 minutes. At the same time around 1500 plant workers

from the MUL's Gurgaon facility were agitating outside the

company's corporate office demanding commencement of

production linked incentives, a better pension scheme and other

benefits. The management has refused to pass on the benefits

citing increased competition and lower margins.

41

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

ORGANISATIONAL STRUCTURE

Chairman- _ Mr. R. C. Bhargava

Managing Director and CEO – Mr. Shinzo Nakanishi

Director _ Mr. Manvinder Singh Banga

Director _ Mr. Amal Ganguli

Director _ Mr. D. S. Brar

Director _ Mr. Keiichi Asai

Director _ Ms. Pallavi Shroff

Director _ Mr. Osamu Suzuki

Director _ Mr. Shuji Oishi

Director _ Mr. Kenichi Ayukawa

Director and Managing Executive Officer (Production) - Mr.

Tsuneo Ohash

42

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

CAR MODEL MODEL-SHOW ROOM PRICE

Maruti Suzuki 800

RS. 1,98,466

Maruti Suzuki Omni

Rs. 2,13,615

Maruti Suzuki Alto

Rs. 2,33,172

Maruti Suzuki Eeco

Rs. 2,95,194

Maruti Suzuki Zen Estilo

Rs. 3,36,125

43

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Maruti Suzuki Wagon R 1.0

Rs. 3,44,110

Maruti Suzuki A-Star

Rs. 3,67,392

Maruti Suzuki Ritz

Rs. 4,13,130

Maruti Suzuki Swift

Rs. 4,32,891

Maruti Suzuki Swift Dzire

Rs. 5,05,346

Maruti Suzuki Gypsy

Rs. 5,63,223

44

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Maruti Suzuki SX4

Rs. 7,18,531

Maruti Suzuki Kizashi

Rs. 16,86,411

Maruti Suzuki Grand Vitara

Rs. 17,33,133

Manufactured locally

1. 800 (Launched 1983)

2. Omni (Launched 1984)

3. Gypsy (Launched 1985)

4. WagonR (Launched 2002)

5. Alto (Launched 2000)

6. Swift (Launched 2005)

7. Estilo (Launched 2009)

8. SX4 (Launched 2007)

9. Swift DZire (Launched 2008)

10. A-star (Launched 2008)

11. Ritz (Launched 2009)

45

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

12. Eeco (Launched 2010)

13. Alto K10 (Launched 2010)

14. Suzuki Grand Vitara (Launched 2007

15. Kizashi (Launched 2011)

Discontinued car models

1. 1000 (1990–1994)

2. Zen (1993–2006)

3. Esteem (1994–2008)

4. Baleno (1999–2007)

5. Zen Estilo (2006–2009)

6. Versa (2001–2010)

7. Grand Vitara XL7 (2003–2007)

Manufacturing facilities

Maruti Suzuki has two state-of-the-art manufacturing facilities in

India.[14] Both manufacturing facilities have a combined production

capacity of 1,250,000 vehicles annually.

Gurgaon Manufacturing Facility

The Gurgaon Manufacturing Facility has three fully integrated

manufacturing plants and is spread over 300 acres (1.2 km2). All

three plants have an installed capacity of 350,000 vehicles

annually but productivity improvements have enabled it to

manufacture 700,000 vehicles annually. The Gurgaon facilities also

manufacture 240,000 K-Series engines annually. The entire facility

is equipped with more than 150 robots, out of which 71 have been

developed in-house. The Gurgaon Facilities manufactures, the 800,

Alto, WagonR, Estilo, Omni Gypsy and Enesco.

46

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Manesar Manufacturing Facility

The Manresa Manufacturing Plant was inaugurated in February

2007 and is spread over 600 acres (2.4 km2). Initially it had a

production capacity of 100,000 vehicles annually but this was

increased to 300,000 vehicles annually in October 2008. The

production capacity was further increased by 250,000 vehicles

taking total production capacity to 550,000 vehicles annually. The

Manesar Plant produces the A-star, Swift, Swift DZire and SX4.

Sales and service network

As of 31 March 2011 Maruti Suzuki has 933 dealerships across 666

towns and cities in all states and union territories of India. It has

2,946 service stations (inclusive of dealer workshops and Maruti

Authorized Service Stations) in 1,395 towns and cities throughout

India. It has 30 Express Service Stations on 30 National Highways

across 1,314 cities in India.

Service is a major revenue generator of the company. Most of the

service stations are managed on franchise basis, where Maruti

Suzuki trains the local staff. Other automobile companies have not

been able to match this benchmark set by Maruti Suzuki. The

Express Service stations help many stranded vehicles on the

highways by sending across their repair man to the vehicle.

Maruti Insurance

Launched in 2002 Maruti Suzuki provides vehicle insurance to its

customers with the help of the National Insurance Company, Bajaj

Allianz, New India Assurance and Royal Sundaram. The service was

set up the company with the inception of two subsidiaries Maruti

47

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Insurance Distributors Services Pvt. Ltd and Maruti Insurance

Brokers Pvt. Limited.

This service started as a benefit or value addition to customers

and was able to ramp up easily. By December 2005 they were able

to sell more than two million insurance policies since its inception.

Maruti Finance

To promote its bottom line growth, Maruti Suzuki launched Maruti

Finance in January 2002. Prior to the start of this service Maruti

Suzuki had started two joint ventures Citicorp Maruti and Maruti

Countrywide with Citi Group and GE Countrywide respectively to

assist its client in securing loan. Maruti Suzuki tied up with ABN

Amro Bank, HDFC Bank, ICICI Limited, Kotak Mahindra, Standard

Chartered Bank, and Sundaram to start this venture including its

strategic partners in car finance. Again the company entered into a

strategic partnership with SBI in March 2003. Since March 2003,

Maruti has sold over 12,000 vehicles through SBI-Maruti Finance.

SBI-Maruti Finance is currently available in 166 cities across India.

"Maruti Finance marks the coming together of the biggest players

in the car finance business. They are the benchmarks in quality

and efficiency. Combined with Maruti volumes and networked

dealerships, this will enable Maruti Finance to offer superior

service and competitive rates in the marketplace".Jagdish

Khattar, Managing director of Maruti Udyog Limited in a press

conference announcing the launch of Marot Finance on 7 January

2002 Citicorp Maruti Finance Limited is a joint venture between

Citicorp Finance India and Maruti Udyog Limited its primary

business stated by the company is "hire-purchase financing of

48

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Maruti Suzuki vehicles". Citi Finance India Limited is a wholly

owned subsidiary of Citibank Overseas Investment Corporation,

Delaware, which in turn is a 100% wholly owned subsidiary of

Citibank N.A. Citi Finance India Limited holds 74% of the stake and

Maruti Suzuki holds the remaining 26%. GE Capital, HDFC and

Maruti Suzuki came together in 1995 to form Maruti Countrywide.

Maruti claims that its finance program offers most competitive

interest rates to its customers, which are lower by 0.25% to 0.5%

from the market rates.

Exports

Maruti Exports Limited is the subsidiary of Maruti Suzuki with its

major focus on exports and it does not operate in the domestic

Indian market. The first commercial consignment of 480 cars was

sent to Hungary. By sending a consignment of 571 cars to the

same country Maruti Suzuki crossed the benchmark of 300,000

cars. Since its inception export was one of the aspects government

was keen to encourage. Every political party expected Maruti

Suzuki to earn foreign currency.

Angola, Benin, Djibouti, Ethiopia, Europe, Kenya, Morocco, Nepal,

Sri Lanka, Uganda, Chile, Guatemala, Costa Rica and El Salvador

are some of the markets served by Maruti Exports.

49

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

MITHRA AGENCIES

The Mithras Agencies is one of the best car showrooms in

Hyderabad located at Himayat Nagar.The Mithra Agencies

provide a wide variety of services for your car. People here speak

very good English and they are very kind at receiving customers.

The Mithra Agencies provide services at reasonable prices. Also

one can see a wide variety of cars kept for display in the

showroom.All company cars are available here. Also the showroom

charge for cars you buy is very less when compared with other car

show room. The Mithra Agencies is a very good place to have a

luxurious car. You will get full satisfaction for the money you pay.

It invites Sales experts for Himayath Nagar, Mehdipatnam, L.B.

Nagar, Ghatakeshar, Bhuvanagiri, Kampala, Ibrahim Putnam,

Chevella, Paige, Tan door, Vikarabad locations.

THE MITHRA AGENCIES HIMAYATHNAGAR , HYD .

ESTABLISHED: The Mithra Agencies is an authorized dealer of all

Maruti cars, which was established in the year 1988 in Hyderabad,

Andhra Pradesh.

50

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) SELLING CAPACITY: The Company has sold, since its inception

more than 1, 00,000 cars. Its turnover is more than 100 crores per

annum. It is the senior most dealer-ship in Andhra Pradesh.

STANDARDNESS: The Company boasts of being the first ISO-

9001 certified automobile dealer in A.P. The company has also to

its credit a number of honors and accolades from its principal

Maruti Udyog Limited.

ACHIEVEMENTS&STRENGTHS

1. It has been awarded the All India Dealer Award for

excellence in 1995 for highest growth and lifting of Maruti Esteem

and 1000cc cars.

2. Another award in 1997 was given to The Mithra Agencies “All

India Dealer Award” in category A for the highest counter sale of

Maruti Spares in 1997.

3. This company has been awarded with a special citation for

maximum growth in Maruti Finance Penetration at the All India

Dealers’ Conference at Bangkok in 2003.

4. It has been ranked All India 16th in the Balanced Score Card

for 2004-05among 230 odd dealers in the entire country by

registering growth in ancillary businesses like Maruti Insurance,

MGA, Maruti Finance.

5. It has the privilege of having more than 50000 loyal

customers who are repeat buyers the obvious reason for being the

most tried, tested and trusted since yester years.

6. The Mithra Agencies has counter business with

HDFC,ICICI ,SFL CMFL,and KMPL disbursing 4 crores of car loans

every month .

51

CUSTOMER RELATIONSHIP MANAGEMENT (CRM) WORKSHOPS

The Mithra agencies have four state- of- the- art workshops

situated in the prime localities of the city. The following below are

the workshops offered by Mithra agencies.

1. Madhapur

2. RTC X roads

3. Moosapet

4. LB-Nagar.

BRANCHES

The Mithra agencies have three branches situated in the prime

localities of the city. The following below are the branches of

Mithra agencies

1. Mithra Agencies Himayathnagar

2. Mithra Agencies Mehadipatnam.

3. Mithra Agencies L.B.nagar.

TRUE VALUE:

Mithra agencies offering a true value service for a pre owned

Cars.

Here cars are sold by the customers after evaluations.

It brings a huge profit for the organization in second sales

also.

SECTIONS

RTA

DELIVERYSECTION

EDP

A/C DEPT

52

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

CCM

MEETING HALL ETC

SELLING UNITS

Mithra agencies usually sell 300 cars in all 3 branches per month.

The total turnover yields approximately 15 crores.

Organizational Structure

MD

CEO & GM

Sales Manager

53

DGM

HR Manager Accounts Manager

Customer

Care

Manager

TeamLeader &

Sales Executive

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

MD : M.BHASKAR MURTHY & M.RAMALINGAM

COO : V.BALAJI

DGM : T.R.K.REDDY

HR MANAGER : P.CHALAMA REDDY

ASST HR & PROJECT INCHARGE: MEHER PRAVEEN .T

SALES MANAGER : P.BHIKSHAPATHI GOUD

G.V.N.REDDY

T.NAVEEN

This is one of the Authorized Dealer Showroom of MARUTI

SUZUKI ORGANISATION, assisting the different customers in

providing the vehicles especially for TWIN CITIES (HYDERABAD

& SECUNDERABAD) Customers at good economical prices, at

good after sales service, at customer friendly interest rates, at

zero tension Insurance policy and at cheap Genuine

Accessories.

In this target MITHRA AGENCIES has won many

Customer’s hearts, credits, compliments, confidence, loyalty,

image, trustness, and accolades and finally it became the MOST

REPUTED DEALERS among its competitors. It stands NO.1

among its competitors. Its Competitors names are VARUN

MOTORS PVT.LTD. R.K.S MOTORS, and ACER MOTORS etc.

POLICY OF MITHRA AGENCIES

The MITHRA AGENCIES is involved in both inbound sales

and out bound Sales (marketing) providing both permanent and

non permanent jobs. Good in retaining the experienced and

talented employees by providing Promotions, good incentives,

good salaries, provident funds, bonus and other allowances.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) It provides good quality of work life to feel interest in doing the job.

The employers and employees are very friendly and their motto is

“25 YEARS DEDICATED CUSTOMER SERVICE’’. The team

members (employees) will play games and also celebrates parties

that are they are very sportive in nature.

Recruiting employees directly by walk in interviews and through

references also as they are not tied up with any recruitment

consultancy. The various job positions are H.R. Executives,

Managers, Assistant Managers, Marketing Executives, Team

leaders, drivers, servicing employees, software employees,

customer care executives, and other posts. They are kindly helping

MBA Final year students in giving the opportunity for doing the

project work successfully and also providing the jobs for efficient

project work students. They sell more cars on festival occasions

and on year endings. Customer satisfaction activities is there

important objective, they take the feedback of the customers after

selling the cars and customer retaining measures are taken by

satisfying the customers. They are having their own servicing

centers. They are providing all the models of Maruti Suzuki.

The period of free service is up to one year

1st service is up to 1000 kilometers or one month whichever is

earlier.

2nd service is up to 5000 kilometers or six months whichever is

earlier.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) 3rd service is up to 10,000 kilometers or 12 months whichever is

earlier.

The period of free warranty is up to 2 years and extended

warranty offer is also available for next two years.

1. EXPERIENCED AND EFFICIENT CUSTOMER CARE STAFF

IN SHOW ROOMS.

This organization is having very good customer care and

experienced Staff in handling the customers very carefully; if the

customer is treated very rashly the customer goes to other

competitors. The customer is provided with full fledged information

about the products about all facilities and services very peacefully

so that the customer feels confident and happy.

2. GOOD SERVICING

There is a good word of mouth for this organization in doing

service, very effectively among his competitors. Among its

competitors like Varun Motors Pvt. Ltd R.K.S Motors, Acer, The

Mithra is having very good name for servicing of the vehicles and

this is also one of the reason for customer visits to this show room.

3. AVAILABILITY OF SERVICING CENTRES ALL OVER THE

COUNTRY

The MARUTI SUZUKI is having the servicing centers all over the

Country i.e. From KASHMIR TO KANYAKUMARI. This is indirectly

motivating the customers to buy. Why because most of the

Competitors cars are of foreign companies and the customers

have to face lot of problems if repair comes and there are no

servicing centers for Competitors as Maruti is having.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) 4. AVAILABILITY OF SPARE PARTS ALL OVER THE COUNTRY

The MARUTI is having availability of spare parts all over the

country image in the minds of the customers why because this is

the company Which is most trusted by many customers and Maruti

is committed to that.

THEORITICAL BACKGROUND OF THE TOPIC

CRM Introduction

CRM, or Customer relationship management, is a number of

strategies and technologies that are used to build stronger

relationships between companies and their customers. A company

will store information that is related to their customers, and they

will spend time analyzing it so that it can be used for this purpose.

Ads

Some of the methods connected with CRM are automated, and the

purpose of this is to create marketing strategies which are

targeted towards specific customers. The strategies used will be

dependent on the information that is contained within the system.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Customer relationship management is commonly used by

corporations, and they will focus on maintaining a strong

relationship with their clients.

There are a number of reasons why CRM has become so important

in the last 10 years. The competition in the global market has

become highly competitive, and it has become easier for

customers to switch companies if they are not happy with the

service they receive. One of the primary goals of CRM is to

maintain clients. When it is used effectively, a company will be

able to build a relationship with their customers that can last a

lifetime. Customer relationship management tools will generally

come in the form of software. Each software program may vary in

the way it approaches CRM. It is important to realize that CRM is

more than just a technology.

Customer relationship management could be better defined as

being a methodology, an approach that a company will use to

achieve their goals. It should be directly connected to the

philosophy of the company. It must guide all of its policies, and it

must be an important part of customer service and marketing. If

this is not done, the CRM system will become a failure. There are a

number of things the ideal CRM system should have. It should

allow the company to find the factors that interest their customers

the most. A company must realize that it is impossible for them to

succeed if they do not cater to the desires and needs of their

customers. Customer relationship management is a powerful

system that will allow them to do this.

It is also important for the CRM system to foster a philosophy that

is oriented towards the customers. While this may sound like

common sense, there are a sizeable number of companies that

have failed to do it, and their businesses suffered as a result. With

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) CRM, the customer is always right, and they are the most

important factor in the success of the company. It is also important

for the company to use measures that are dependent on their

customers. This will greatly tip the odds of success in their favor.

While CRM should not be viewed as a technology, it is important to

realize that there are end to end processes that must be created

so that customers can be properly served. In many cases, these

processes will use computers and software.

Customer support is directly connected to CRM. If a company fails

to provide quality customer support, they have also failed with

their CRM system. When a customer makes complaints, they must

be handled quickly and efficiently. The company should also seek

to make sure those mistakes are not repeated. When sales are

made, they should be tracked so that the company can analyze

them from various aspects. It is also important to understand the

architecture of Customer relationship management. The

architecture of CRM can be broken down into three categories, and

these are collaborative, operational, and analytical. The

collaborative aspect of CRM deals with communication between

companies and their clients.

Ads

The operational aspect of the architecture deals with the concept

of making certain processes automated. The analytical aspect of

CRM architecture deals with analyzing customer information and

using if for business intelligence purposes. Each one of these

elements are critical for the success of a CRM system. A company

must learn how to use all three properly, and when they do this

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) proficiently, they will be able to build strong customer

relationships and ensure their profits for a long period of time. As

more businesses continue to compete on a global level, it will

become more important for them to use successful Customer

relationship management techniques.

In this highly competitive world, medium and small business

groups struggle for survival. As they established with small capital

investments, these organizations usually will not have enough

money to overcome the massive promotional campaigns by their

large counterparts. Thus the most effective solution they got to

keep their customers and to attract new clients is to enhance

customer satisfaction through better customer service methods.

The mouth publicity by the satisfied customers is the most useful

advertising tool for these companies. Offering some great benefits

to good customers and creating new plans for infrequent

customers can boost the company turnover.

Today, Customer Relationship Management (CRM) programs have

become the most effective tools for all marketing and service

providing companies to enhance their customer satisfaction. Now,

there are so many CRM vendors who offer different customized

customer relationship management solutions according to

business needs. You can purchase a standard pre-customized CRM

solution or an open source CRM solution, or can hire a hosted/on

demand CRM solution. The choice mainly depends on your

business structure and volume.

Customer relationship management programs enhance the

customer-friendly services by automating all proceedings and

procedures in a company. All CRM systems are primarily large

customer databases capable of storing all customer information

such as customer's name, address, customer contacting method,

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) ability to spend money on products, money spending per visit etc.

The specific programs built in these systems integrate the stored

data on demand to identify good customers and help to create

better service plans for them.

CRM software systems are capable of automating everything

involved in a small business. The main features of a CRM solution

include sales force automation, data tracking, data migration, data

integration, contact management, account management,

opportunity management, customer service training, custom

reporting, product management, lead routing, lead assignment,

task management, calendaring, quota management, territory

management, partner tracing, sales forecasting, customization

analytics, sales analytics, trouble shooting, etc.

For small sized companies, there are two popular CRM options as

open source CRM and hosted or on-demand CRM. Open source

CRM software programs are customizable CRM programs. These

programs are available in standard formats, which can be

customized according to the company needs. But the requirement

with these CRM solutions is your company must have enough

technical knowledge to customize the program. Also there are

some pre-customized CRM versions available today.

Hosted CRM or on demand CRM is a web-based application

provided by an ASP (Application Service Provider), is an example of

SaaS (Software-as-a-Service). In this type of CRM solution, all your

CRM needs are satisfied by a distant CRM provider. The CRM

provider or host will automate all proceedings including data

tracking, data integration and data migration. The provider will

offer the CRM solutions on your demand and will charge a monthly

fee for that. Benefits of on demand CRM include reduction in the

initial cost essential for installing a CRM system and accessibility

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) from any part of the world at any time. But before signing a

contract with any on demand CRM provider, make sure that he

uses special data encryption techniques for securing your data.

Also check the data integration capacity of the provider.

Today an another alternative, namely open source hosted CRM,

which combines the merits of both open source and hosted CRM is

becoming rapidly popular. This CRM solution is proven effective in

tackling specific situations. For all CRM types, most providers now

offer 30 days free trail, making use of these offers can help you to

find a good CRM solution for your company.

CRM is a term that is often referred to in marketing. However,

there is no complete agreement upon a single definition. This is

because CRM can be considered from a number of perspectives. In

summary, the three perspectives are:

• Information Technology (IT) perspective

• The Customer Life Cycle (CLC) perspective

• Business Strategy perspective

1. CRM from the Information Technology Perspective.

From the technology perspective, companies often buy into

software that will help to achieve their business goals. For many,

CRM is far more than a new software package, the renaming of

traditional customer services, or an IT-based customer

management system to support sales people. However, IT is vital

since it underpins CRM, and has the payoffs associated with

modern technology, such as speed, ease of use, power and

memory, and so on.

2. CRM from the Customer Life Cycle (CLC) Perspective.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) The Customer Life Cycle (CLC) has obvious similarities with the

Product Life Cycle (PLC). However, CLC focuses upon the creation

of and delivery of lifetime value to the customer i.e. looks at the

products of services that customers need throughout their lives. It

is marketing orientated rather than product orientated. Essentially,

CLC is a summary of the key stages in a customer's relationship

with an organization.

3. CRM from the Business Strategy Perspective.

The Business Strategy perspective has most in common with many

of the lessons and topics contained on this website, and indeed

within the field of marketing itself. The diagram below shows the

Marketing Teacher Model of CRM and Business Strategy. Our

model contains three key phases - customer acquisition, customer

retention and customer extension, and three contextual factors -

marketing orientation, value creation and innovative IT.

A commonly cited definition of CRM is that of CRM (UK) Ltd (2002),

as follows:

Customer Relationship Management is the establishment,

development, maintenance and optimization of long-term mutually

valuable relationships between consumers and organizations.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) What you cry? What does that mean? Let's unpack the definition.

The key to the definition is long-term mutually valuable

relationship. This is based upon a definition of marketing that

considers marketing as a mutually satisfying system of exchanges

(for example Baker 2002). So CRM is the building and maintenance

of long-term customer relationships. The relationship delivers

value to customers, and profits to companies. The relationship is

supported (but not driven) by cutting edge IT. The business

strategy is based upon the recruitment, retention and extension of

products, services, solutions or experiences to customers.

DATA ANALYSIS & INTERPRETATION

1. Customer’s Satisfaction for Mithra Agencies

Levels of Satisfaction

Value Percentage responded

Satisfied 135 54%

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Dissatisfied 55 22%

No Comments 55 22%

Highly Satisfied 5 2%

Data Analysis

From the analysis we can conclude that to the existing customer of

the dealers, there are satisfied customers 54%, dissatisfied are

22% from servicing or after sales servicing, 22% is the percentage

of those customers who not replied, there is also 2 % customer

who was highly satisfied from the company and also from dealers.

Data Interpretation

In the showroom there is range of the customers, huge no. of

customers are satisfied from the service of the company and

dealer, there is also no. of customer who are dissatisfied from the

services but rage of satisfied and highly satisfied customer is

more.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

2. Which version of the models are mostly demanded by

the customer’s

Version Value Percentage of

PETROL 90 36%

DISEL 112.5 45%

LPG 47.5 19%

Data Analysis

From the above table we can conclude that according to the

dealers 45 % of the customer asks for the diesel variants while 36

support the petrol variants and 19 % wants the LPG variants of

different models.

Data Interpretation

The demand for the diesel variant is more for most of the models

but the firm has limited number of the models having diesel

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) variants. The customers are also looking for the gas models which

will suitable for LPG and CNG. So the firm should think for the

diesel and gas variants.

3. Features of Maruti Suzuki

Features ValuePercentage of

loyalty

Price 95 38%

Quality 55 22%

Service 87.5 35%

Others 12.5 5%

Data Analysis

The above analysis shows that 38 % of customers are buying the

Maruti Suzuki product for its price, 22 % buy them due to their

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) quality. 35% think that after sale service is provided by Maruti.

And 5% people buy them due to other reasons like style, look etc.

Data Interpretation

We can conclude that most of the people think that Maruti Suzuki

pricing are economical so they are loyal to his brand; while other

people give emphasis to the after sale service. Quality and other

features are also a trait for the buyers.

4. What is the Performance of the Car

Customer Opinion Value Percentage of Responded

Excellent 62.5 25%

Very good 125 50%

Good 50 20%

Poor 12.5 5%

Data Analysis

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) The above analysis shows that there is 25% customers are highly

satisfied from the performance of car, there is 50% response is

very good and 20% is response for good also there is 5% response

of poor performance of car.

Data Interpretation

We can conclude that there is huge no of customer’s are satisfied

with the performance of the car, data is concerned with those

customers who are the existing customers of Maruti Suzuki and

data is also concerned with new customers.

5. After servicing vehicle delivered at the promised

time?

Customers opinion Value Percentage of

Responded

Yes 200 80%

NO 50 20%

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Data Analysis

There is 80% customers response is that they get their vehicle at

promisied time and 20% customers who responded that they

never get their vehicle at promisied time.

Data Interpretation

Servicing comes in after sales services,dealer provides this

services to customers so there is necessary for dealer to provide

the vehicle at the promised time because it makes the relationship

better with the customers.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

6. What rank you will give to Maruti Company as for the

satisfaction level?

Rank for the satisfaction level

Value Percentage of Responded

1 82 33%

2 67.5 27%

3 50 20%

4 32.5 13%

5 17.5 7%

Data Analysis

The table is shows the rank for the customer satisfaction level 1 is

highest and 5 is the lowest,there is 33% response for the rank

1,27% for the rank 2,20%for the rank 3,13% for the rank 4,7% for

the rank 5.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Data Interpretation

By the analysis this is found that there is huge customers of Mruti

Suzuki those are satisfied from the company.

7. What type of repot shared between Customer and

dealer?

Customer Opinion Value Percentage of Responded

Excellent 62.5 25%

Very good 125 50%

Good 50 20%

Poor 12.5 5%

Data Analysis

The table shows that there is 25% opinion for the excellent and

50% response for good, 20% for good and also there is 5% opinion

for poor relationship with the dealer.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Data Interpretation

There should be good relation between customer and dealer

because it helps to increase the sales of company and also helpful

for making the customer relationship management.

8. About Company after Sales Service

Customer Opinion Value Percentage of Responded

Excellent 62.5 25%

Very Good 125 50%

Good 37.5 15%

Poor 25 10%

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Data Analysis

The table shows that there is 25% customer responded for the

excellent services of company and 50% for the very good,15% for

the good and there is 10% responded for the poor services of the

company.

Data Interpretation

There is important to know the after sales services of the company

it shows the customers satisfaction and also shows the customer

relationship management.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

FINDINGS

There is 54% of satisfied customer’s of Maruti Suzuki.

The demand for the diesel variant is more for most of the

models but the firm has limited number of the models

having diesel variants. The customers are also looking for

the gas models which will be suitable for LPG and CNG. So

the firm should think for the diesel and gas variants.

Most of people think Maruti Suzuki pricing are economical so

they are loyal to his brand. While other people give

emphasis to the after sale service. Quality and other

features are also a trait for the buyers.

There is large no of customer’s are satisfied with the

performance of the car, data is concerned with those

customers who are the existing customers of Maruti Suzuki

and data is also concerned with new customers.

Servicing comes in after sales services,dealer provides this

services to customers so there is necessary for dealer to

provide the vehicle at the promised time because it makes

the relationship better with the customers.

There should be good relation between customer and dealer

because it helps to increase the sales of company and also

helpful for making the customer relationship management.

There is important to know the after sales services of the

company it shows the customers satisfaction and also shows

the customer relationship management.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) RECOMMENDATIONS

The research work was successfully identifying by the studying the

relationship management of Maruti Suzuki in Mithra Agencies in

Hyderabad. The conclusion can be drawn from this study may be:-

Maruti Suzuki is India’s one of the leading automobile

manufactures and also the leader of the market both in

terms of volume and revenue generated.

Taking the sale trend in to account MSL sold a record

number of vehicle 7, 14,842 in 2007-08 including 53,024

units of export. In 2007-08 it record a turnover of INR

145,922 million which rose to 178,603 million in 2007-08

showing a growth of 20%.

Hence Maruti Suzuki Limited has captured over all share of

46% in the Indian car market.

Recommendation

To conclude, it can be said that Mithra Agencies has created its

image in a very short period in Hyderabad. Mithra is the Best

dealer of Maruti Suzuki. It is attracting the customers with its good

services. Most of the customer satisfied by buying the Maruti car

from Mithra Agencies. This satisfaction can be concluded by the

response of customer in the questionnaires. Day by day Maruti

Suzuki is improving his reputation to other Automobile Company.

The comparison chart and survey report in this training report can

recognize this.

There should be more staff having experience of automobile

sector.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

There should be more efficient planning for satisfying

customer needs.

Attractive offers should be given time to time, to increase

customer’s interests

There should be easy process of car servicing.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

CONCLUSION

As our study is being confined to the study of CRM by automobile

dealers in the region of Hyderabad from the study we have reveal

that some of the

customers have no knowledge about the CRM of the company

after the purchase of the car it may be due to the lack of

awareness in that area but they could understand when we

explained to them. Now coming to the three companies under

study the conclusion can be stated in one line only that all the CRM

initiative taken by the dealers of these companies have impacted

the customer loyalty and customer satisfaction of course some of

the points are there where the dealers have to work on which we

have explained in the recommendation. So by working more on

CRM they can achieve the heights of customer satisfaction.

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

QUESTIONNAIRE

A STUDY ON CRM OF MARUTI SUZUKI

Name:

Age:

Contact No.:

Qualification:

1: Do you have any Maruti Suzuki four wheelers?

Ans- (a) Yes (b) No

2: Which Maruti Model do you have?

Ans- (a) Maruti 800 (b) Maruti Swift (c) Maruti Wagon-R

(d) Maruti Alto e) Others

3: Which Version do you have?

Ans- a) Petrol b) diesel c) LPG or GAS

4: If you have Maruti Suzuki what features do you like most?

Ans- (a) Price (b) Quality (c) Services (d) other

5: What is the performance of your Car?

Ans : a)Excellent b) Very Good c) Good d)

poor

6: After Servicing your vehicles delivered at the promised time?

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM) Ans: a) Yes b) No

7: What rank you will give to your company as for the satisfaction

level 1 is the highest 5 is the lowest rank of sati-factionary

level?

Ans- (a) 1 (b) 2 (c) 3 (d) 4

(e) 5

8: Which type of repot shared between you and your dealer?

Ans- (a) Excellent (b) Very Good (c) Good (d)

Poor

9: What you will say about after sales services of company?

Ans-(a) Excellent (b) Very Good (c) Good (d)

Poor

10 If any suggestion for automobile company?

Ans-

………………………………………………………………………………………

………………………………………………………………………………………

……………………………… ……………………………………………….

-THANKYOU-

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CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

BIBLIOGRAPHY

Name Of Book Name Of Author

Edition & year

Marketing Management Paramhans Foundation First

Edition, 1992

Research Methodology C.R.Kothari Second

Edition, 1993

Marketing Management Philip Kotler Tenth

Edition, 1999

Fundamentals of Statistics D.N.Elhance Present

Edition, 1992

Journal:

Indian Journal of brand awareness

Journal of marketing

Web sites:

www.google.com

www.marutisuzuki.com

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