India Infoline Report Deval

India Infoline Limited

CHAPTER – I INTRODUCTION

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Chapter 1

Introduction

1. Introduction

Industry Profile

Company Profile

Strategies of marketing

INTRODUCTION

Customersatisfaction is a measure of how products and services supplied by a

company can meet the customer’s expectations.

Customer satisfaction is still one of the single strongest predictors of customer

retention. It’s considerably more expensive to attract newcustomers than it is to

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keep old ones happy. In a climate of decreasing brand loyalties, understanding customer service and measuring customer satisfaction are very crucial.

There is obviously a strong link between customer satisfaction and customer

retention. Customer's perception of Service and Quality of product will determine the

success of the product or service in the market.

With better understanding of customers' perceptions, companies can determine

the actions required to meet the customers' needs. They can identify their own

strengths and weaknesses, where they stand in comparison to their competitors, chart

out path future progress and improvement. Customer satisfaction measurement helps

to promote an increased focus on customer outcomes and stimulate improvements in

the work practices and processes used within the company.

Customer expectations are the customer-defined attributes of your product or service

you must meet or exceed to achieve customer satisfaction.

There are many reasons why customer expectations are likely to change over time.

Process improvements, advent of new technology, changes in customer's priorities,

improved quality of service provided by competitors are just a few examples.

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INDUSTRY PROFILE

INDUSTRY PROFILE

The Indian broking industry is one of the oldest trading industries that have been

around even before the establishment of the BSE in 1875. Despite passing through

number of changes in the post liberalization period, the industry has found its way

onwards sustainable growth. With the purpose of gaining a deeper understanding

about the role of the Indian stock broking industry in the country’s economy, we

present in this section some of the industry insights gleaned from analysis of data

received through primary research.

For the broking industry, we started with an initial database of over 1,800

broking firms that were contacted, from which 464 responses were received. The list was further short listed based on the number of terminals and the top 210 were

selected for profiling. 394 responses, that provided more than 85% of the information

sought have been included for this analysis presented here as insights. All the data

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for the study was collected through responses received directly from the broking

firms. The insights have been arrived at through an analysis on various parameters,

pertinent to the equity broking industry, such as region, terminal, market, branches,

sub brokers, products and growth areas.

Some key characteristics of the sample 394 firms are:

On the basis of geographical concentration, the West region has the maximum

representation of 52%. Around 24% firms are located in the North, 13% in the

South and 10% in the East

3% firms started broking operations before 1950, 65% between 1950-1995

and 32% post 1995.

On the basis of terminals, 40% are located at Mumbai, 12% in Delhi, 8% in

Ahmedabad, 7% in Kolkata, 4% in Chennai and 29% are from other cities

From this study, we find that almost 36% firms trade in cash and derivatives

and 27% are into cash markets alone. Around 20% trade in cash, derivatives

and commodities

In the cash market, around 34% firms trade at NSE, 14% at BSE and 52%

trade at both exchanges. In the derivative segment, 48% trade at NSE, 7% at

BSE and 45% at both, whereas in the debt market, 31% trade at NSE, 26% at

BSE and 43% at both exchanges

Majority of branches are located in the North, i.e. around 40%. West has 31%,

24% are located in South and 5% in East

In terms of sub-brokers, around 55% are located in the South, 29% in West,

11% in North and 4% in East

Trading, IPOs and Mutual Funds are the top three products offered with 90%

firms offering trading, 67% IPOs and 53% firms offering mutual fund

transactions

In terms of various areas of growth, 84% firms have expressed interest in

expanding their institutional clients, 66% firms intend to increase FII clients

and 43% are interested in setting up JV in India and abroad

In terms of IT penetration, 62% firms have provided their website and around

94% firms have email facility

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A BRIEF HISTORY

India Infoline was originally incorporated on October 18, 1995 as Probity

Research and Services Private Limited at Mumbai under the Companies Act, 1956

with Registration No. 11 93797. India Infoline commenced operations as an

independent provider of information, analysis and research covering Indian

businesses, financial markets and economy, to institutional customers. India Infoline

became a public limited company on April 28, 2000 and the name of the Company

was changed to Probity Research and ServicesLimited. The name of the Company

was changed to India Infoline.com Limited on May 23, 2000 and later to India

Infoline Limited on March 23, 2001.

In 1999, India Infoline.com identified the potential of the Internet to cater to

a mass retail segment and transformed our business model from providing

information services to institutional customers to retail customers. Hence India

Infoline launched Internet portal, www.indiainfoline.com in May 1999 and started

providing news and market information, independent research, interviews with

business leaders and other specialized features.

In May 2000, the name of India Infoline was changed to India Infoline.com

Limited to reflect the transformation of our business. Over a period of time, India

Infoline.com has emerged as one of the leading business and financial information

services provider in India.

In the year 2000, India Infoline leveraged its position as a provider of

financial information and analysis by diversifying into transactional services,

primarily for online trading in shares and securities and online as well as offline

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distribution of personal financial products, like mutual funds and RBI Bonds. These

activities were carried on by our wholly owned subsidiaries.

India Infoline broking services was launched under the brand name of

5paisa.comthrough our subsidiary, India Infoline Securities Private Limited and

www.5paisa.com, the e-broking portal, was launched for online tradingin July 2000. It

combined competitive brokerage rates and research, supported by Internet technology

besides investment advice from an experienced team of research analysts, India

Infoline also offer real time stock quotes, market news and price charts with multiple

tools fortechnical analysis.

FacilitiesIndia Infoline’s main offices are located in approximately 4,000 square feet

of office space located in Mumbai, India. India Infoline Branchescollectively occupy

an additional 10,000 square feet of office space located throughout India, As on

March 31, 2005, India Infoline has 73 branches across 36 locations in India.

Terminals

Almost 52% of the terminals in the sample are based in the Western region of

India, followed by 25% in the North, 13% in the South and 10% in the East. Mumbai

has got the maximum representation from the West, Chennai from the South, New

Delhi from the North and Kolkata from the East.

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Branches & Sub-Brokers

The maximum concentration of branches is in the North, with as many as

40% of all branches located there, followed by the Western region, with 31%

branches. Around 24% branches are located in the South and East constitutes for 5%

of the total branches of the total sample.

In case of sub-brokers, almost 55% of them are based in the South. West and

North follow, with 30% and 11% sub-brokers respectively, whereas East has around

4% of total sub-brokers.

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Financial Markets

The financial markets have been classified as cash market, derivatives market,

debt market and commodities market. Cash market, also known as spot market, is the

most sought after amongst investors. Majority of the sample broking firms are

dealing in the cash market, followed by derivative and commodities. 27% firms are

dealing only in the cash market, whereas 35% are into cash and derivatives. Almost

20% firms trade in cash, derivatives and commodities market. Firms that are into

cash, derivatives and debt are 7%. On the other hand, firms into cash and

commodities are 3%, cash & debt market and commodities alone are 2%. 4% firms

trade in all the markets.

In the cash market, around 34% firms trade at NSE, 14% at BSE and 52% trade at

both exchanges. In the equity derivative market, 48%of the sampledbroking houses

are members of NSE and 7% trade at BSE, while 45% of the sample operate in both

stock exchanges. Around 43% of the broking houses operating in the debt market,

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trade at both exchanges with 31% and 26% firms uniquely at NSE and BSE

respectively.

Products

The survey also revealed that in the past couple of years, apart from trading,

the firms have started offering various investment related value added services. The

sustained growth of the economy in the past couple of years has resulted in broking

firms offering many diversified services related to IPOs, mutual funds, company

research etc. However, the core trading activity is still the predominant form of

business, forming 90% of the firms in the sample. 67% firms are engaged in offering

IPO related services. The broking industry seems to have capitalized on the growth

of the mutual fund industry, which was pegged at 40% in 2006. More than 50% of

the sample broking houses deal in mutual fund investment services. The average

growth in assets under management in the last two years is almost 48%. Company

research is another lucrative area where the broking firms offer their services; more

than 33% of the firms are engaged in providing company research services.

Additionally, a host of other value added services such as fundamental and technical

analysis, investment banking, arbitrage etc are offered by the firms at different

levels.

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Of the total sample of broking houses providing trading services, 52% are based in

the West, followed by 25% from North, 13% from South and 10% from the East.

Around 50% of the firms offering IPO related services are based in the West as

compared to 27% in North, 13% in South and 10% in East. In providing mutual

funds services, the Western region was dominant amounting to 49% followed by

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27% from North; The South and the East are almost at par with 13% and 11%

respectively.

Future Plans

68% of the firms from the sample have envisaged strategies for future growth.

With the middle class Indian investor as well as foreign investor willing to invest in

the stock market, majority of the firms preferred expansion of institutional and the

Foreign Institutional Investor clients in their areas of growth. Around 84% have

shown interest in expanding their institutional client base. Nearly 51% of such firms

are located in the West, 25% in North, 15% are from South and 9% from East. Since

the past couple of years, India, along with Korea and Taiwan, has been one of the

preferred destinations for the FIIs. With corporate restructuring, rising market

capitalization and sectoral friendly policies helping the FIIs, more than two thirds of

the firms are interested in increasing their FII client base. Amongst these firms, west

again has maximum representation of 53%, followed by North with 22%. South has

15% firms and East makes up for 9%.

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COMPANY PROFILE

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A PROFILE ONINDIA INFOLINE LIMITED

About themAre a one stop financial services shop, most respected for quality of its advice, are a

one- stop financial services shop, most respected for quality of its advice,

personalized service and cutting-edge technology.

VisionIndia Infoline vision is to be the most respected company in the financial services

space.

India Infoline Group

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The India Infoline group, comprising the holding company, India Infoline

Limited and its wholly-owned subsidiaries, straddle the entire financial services space

offerings ranging from Equity research, Equities and derivatives trading, Commodities

trading , portfolio Management Services, Mutual Funds, Life Insurance, Fixed deposits,

GoI bonds and other small savings instruments to loan products and investment banking.

India Infoline also owns and manages the websites www.indiainfoline.com and

www.5paisa.com.

The company has a network of 596 branches spared across 345 cities and

towns. It has more than 500,000 customers.

.

India Infoline LtdIndia Infoline Limited is listed on both the leading stock exchanges in India,

viz. the stock Exchange, Mumbai (BSE) and the National Stock Exchange (NSE) and is

also a member of both the exchanges. It is engaged in the businesses of Equities broking,

Wealth Advisory Services and Portfolio Management Services. It offers broking services

in the Cash and Derivatives segments of the NSE as well as the Cash segment of the

BSE

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http://www.5paisa.com/

http://www.indiainfoline.com/


A SEBI authorized Portfolio Manager; it offers Portfolio Management Services to

clients. These services are offered to clients as different schemes, which are based on

differing investment strategies made to reflect the varied risk-return preferences of

clients.

India Infoline Media and Research Services Limited.The content services represent a strong support that drives the broking, commodities,

mutual fund and portfolio management services businesses. Revenue generation is

through the sale of content to financial and media houses, Indian as well as global.

It undertakes equities research which is acknowledged by none other than Forbes as

'Best of the Web' and '…a must read for investors in Asia'. India Infoline research is

available not just over the internet but also on international wire services like

Bloomberg.

India Infoline Commodities Limited.India Infoline Commodities Pvt Limited is engaged in the business of commodities

broking. Our experience in securities broking empowered us with the requisite skills and

technologies to allow us offer commodities broking as a contra-cyclical alternative to

equities broking. We enjoy memberships with the MCX and NCDEX, two leading

Indian commodities exchanges, and recently acquired membership of DGCX..

India Infoline Marketing & ServicesIndia Infoline Marketing and Services Limited is the holding company of India Infoline

Insurance Services Limited and India Infoline Insurance Brokers Limited.

(a) India Infoline Insurance Services Limited is a registered Corporate Agent with the

Insurance Regulatory and Development Authority (IRDA). It is the largest Corporate

Agent for ICICI Prudential Life Insurance Co Limited, which is India's largest private

Life Insurance Company.

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(b) India Infoline Insurance Brokers Limited India Infoline Insurance Brokers Limited is

a newly formed subsidiary which will carry out the business of Insurance broking. We

have applied to IRDA for the insurance broking licence and the clearance for the same is

awaited.

India Infoline Investment Services Limited Consolidated shareholdings of all the subsidiary companies engaged in loans and

financing activities under one subsidiary. Recently, Orient Global, a Singapore-based

investment institution invested USD 76.7 million for a 22.5% stake in India Infoline

Investment Services.

WHERE INDIA INFOLINE STAND

IN THE MARKET

INDIA INFOLINE one of the leading financial intermediaries and India's most

popular website for business and investment. Its Website has been rated as 'Best of the

Web' by Forbes, under the Asia Investing category.

Besides providing up-to-date and comprehensive information on business and

industry, It is also a leading investment intermediary for Mutual Funds, Bonds,

ICICI / IDBI Bonds, Govt. Relief Bonds, Insurance, IPOs and Fixed Deposits in

India. India Infoline is direct brokers/ agents with leading financial institutions like

RBI, UTI, LIC, GIC, ICICI, IDBI and other private mutual fund like HDFC, Alliance,

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Prudential ICICI, Templeton, TATA, HSBC, Standard & Chartered, Sun F&C, Birla,

DSP Merrill Lynch, Kotak, IL&FS, Sundaram, Zurich and Reliance.

The company has more than 500 Investor points in all the leading cities across India,

with a team of trained and qualified investment advisors and 1500+associates (sub

brokers). Company e-broking web site 5paisa.com, which deals in shares, provides

you fast, secure and easy to use trading facilities combined with a wealth of

outstanding products and features. Thus, we are uniquely placed with both online and

offline presence to maximize customer satisfaction.

India Infoline is a growing organization, which is an ideal place for individuals with

high ambitions. The working atmosphere is highly charged with a young and

energetic team of qualified professionals.

MARKETING STRATEGY OF INDIA INFOLINE

Market Positioning:

Market positioning statements of India Infoline are “At India Infoline we give

you single window service” and “We also ensure your comfort”. So, India Infoline

focus on the consumers who prefer almost all investment activities at same place by

providing number of various financial services. At India Infoline a person can

purchase or sell shares, debentures etc. and at the same place also demat it. India

Infoline also provides other investment option to the same person at same place like

Mutual Fund, Insurance, Fixed Deposit, and Bonds etc. and help the person in

designing his portfolio. By this way India Infoline provides comfort to its customers.

Target Market:India Infoline uses demographic segmentation strategy and segment people

based on their occupation. India Infoline uses selective specialization strategy for

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market targeting. Target person for the India Infoline Stock Broking and India

Infoline Investment Service are persons who can work as sub-broker for the

companies. Companies focus on Advisors of Insurance and post office, Tax

consultants and CAs for making sub-broker.

Marketing channel System:India Infoline uses one level marketing channel for investment product

distribution. Sub-brokers work as intermediary between consumer and company.

Company has both forward and backward flow of activity through channel. Company

distributes stationery, brokerage, and information forward to its sub-broker. The sub-

brokers send filled forms, queries, amount of investment etc. back to the company.

Training Channel Members:

India Infoline provides training to the sub-brokers because they will be viewed

as the company by the investors. The executives of India Infoline explain various new

schemes of investment to the sub-brokers with its objective, risk factors and expected

return. Company also periodically arrange seminar to guide sub-brokers.

Advertising and Promotion:

The objective of advertising of India Infoline is to create awareness about

services of India Infoline among investors and sub-brokers.

India Infoline also publishes its weekly Stock Market Newsletter ‘Market Mantra’.

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COMPETITORS DETAILS

KARVY

KARVY is a premier integrated financial services provider, and ranked among

the top five in the country in all its business segments, services over 16 million

individual investors in various capacities, and provides investor services to over 300

corporate, comprising the who is who of Corporate India. Karvy has a professional

management team and ranks among the best in technology, operations and research of

various industrial segments.

ICICI DIRECT20


ICICI Web Trade Limited (IWTL) maintains www.icicidirect.com (herein

after referred to as the "Website") whereas IWTL is an affiliate of ICICI Bank

Limited and the Website is owned by ICICI Bank Limited. IWTL has launched and

established an online trading service on the Website.

HDFC SECURITY

HDFC security is the subsidiary of HDFC (Housing Development Financial

Corporation). www.hdfcsec.com would have an exclusive discretion to decide the

customers who would be entitled to its online investing services. www.hdfcsec.com

also reserves the right to decide on the criteria based on which customers would be

chosen to participate in these services .The present web site (www.hdfcsec.com)

contains features of services that they offer/propose to offer in due course. The launch

of new services is subject to the clearance of the regulators. i.e. SEBI, NSE and BSE.

INDIABULLS SECURITIES LIMITED

Indiabulls Securities Limited was incorporated as GPF Securities Private

Limited on June 9, 1995. The name of the company was changed to Orbis Securities

Private Limited on December 15, 1995 to change the profile of the company and

subsequently due to the conversion of the company into a public limited company; the

name was further changed to Orbis Securities Limited on January 5, 2004. The name

of the company was again changed to Indiabulls Securities Limited on February 16,

2004 so as to capitalize on the brand image of the term “Indiabulls” in the company

name. ISL is a corporate member of capital market & derivative segment of The

National Stock Exchange of India Ltd. At present, ISL accounts for approximately 3%

of the total daily turnover of the Exchange with 32,359 client relationships and 70

branches spread across the country as of April 30, 2004.

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http://www.bseindia.com/

http://www.nseindia.com/

http://www.sebi.com/


CHAPTER – II RESEARCH DESIGN

Chapter II

Research Design

2.1

2.2

Title of the Project Report

Objectives of the study22


2.3

2.4

2.5

2.6

2.7

Purpose of the study

Literature Review

Hypothesis

Methodology

Limitations of the study

A study on Customer satisfaction towards the services provided by India Infoline

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OBJECTIVES

1. To study the satisfaction level of brokerage.

2. To understand the satisfaction level of clients with India Infoline regarding

tips.


trade confirmation.

4. To study the satisfaction level of flexibility provided by India Infoline.


service provided by staff.

6. To study the overall satisfaction level.

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PURPOSE OF THE STUDY

The purpose of the study is to know the expectations of those customerswho trading

in INDIA INFOLINE LTD and the satisfaction levels of customers with the services

provided by the INDIA INFOLINE LTD.

Here the main purpose of the survey is to know the various factors that are very

important in satisfying the customer’s needs and to know how INDIA INFOLINE

LTD is ensuring its customers satisfaction.

The expectations of customers are vary from one customer to the other customer. It is

very difficult to any business firm to satisfy all the expectations of all customers but

there are some common factors that are essential to fulfill.

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Literature Review

In this 21st century the digital revolution has transformed the economy in to a

new economy which empowered the customer with new set of capabilities such as;

1.Access to greater amount of information, 2.Wider variety of available good and

services 3.Greater ease of interacting with the service provider.

This new capability in the new economy led the customer to market the

marketing and plays a very vital role in the growth of the market. It is essential in the

service industry in particular, place greater emphasis on the enablers leading to

customer satisfaction and customer retention. It is in this context is very important to

understand the customer requirements to provide value-(QSP - Quality, Service and

Price) and track and manage the customer satisfaction for retention and creation of

new customers.

In Service industry it is not enough if the product meets the functional

requirements of the customer, it should also meet certain other customer expectations

like the behaviors/attitude of the person who provides service. The customer

satisfaction is the combination of both technical features & human behavioural

aspects. The quality management only addresses the systems and processes; service

addresses the customer service independently. In today’s new economy, it is essential

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to address the enablers for customer satisfaction for business growth with utmost

importance as they are interdependent in nature.

Customer satisfactionCustomer satisfaction can be represented as follows.

Customer satisfaction=Performance Features + Behavioural Features + Price.

Performance features address the issues on Conformance to the standards and

Variability and the behavioural aspects of service provider deals with the following

components of service which is a major enabler for the growth of the business as

indicated in the research publications.

If customer experience matches customer expectations, leads to customer

satisfaction and if customer experience doesn’t match Customer Expectation, leads to

Customer dissatisfaction. On similar lines if it exceeds expectation leads to Customer

Delight.

The title of Article is “Does customer satisfaction lead to profitability?”

Author(s): Timothy L. Keiningham, Tiffany Perkins-Munn, Lerzan Aksoy.

Publisher: Emerald Group Publishing Limited

Purpose – Many researchers have proposed a virtuous chain of effects from improved

customer satisfaction to profits. In particular, satisfaction is thought to improve share-

of-spending, which in turn leads to higher customer revenue and customer

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profitability. This paper aims to examine these proposed linkages using data from the

institutional securities industry.

HYPOTHESIS

1. Relationship between brokerage and customer satisfaction.

Hypothesis - 1

H0 – There is no significant relation between brokerage and customer satisfaction

HA – There is a significant relation between brokerage and customer satisfaction.

2. Relationship between tips and customer satisfaction.

Hypothesis - 2

H0 – There is no significant relation between tips and customer satisfaction

HA – There is a significant relation between tips and customer satisfaction.

3. Relationship between Trade confirmation and customer satisfaction.

Hypothesis - 3

H0 – There is no significant relation between trade confirmation and customer

satisfaction

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HA – There is a significant relation between trade confirmation and customer

satisfaction.

4. Relationship between Flexibility and customer satisfaction.

Hypothesis - 4

H0 – There is no significant relation between flexibility and customer satisfaction

HA – There is a significant relation between flexibility and customer satisfaction.

5. Relationship between customer support and customer satisfaction.

Hypothesis - 5

H0 – There is no significant relation between customer support and customer

satisfaction

HA – There is a significant relation between customer support and customer

satisfaction.

6. Relationship between clarity of information and customer satisfaction.

Hypothesis - 6

H0 – There is no significant relation between clarity of information and customer

satisfaction

HA – There is a significant relation between clarity of information and customer

satisfaction.

7. Relationship between time taken to respond to telephone enquiries and customer satisfaction.

Hypothesis - 7

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H0 – There is no significant relation between time taken to respond to telephone

enquiries and customer satisfaction

HA – There is a significant relation between time taken to respond to telephone

enquiries and customer satisfaction.

8. Relationship between staff treating as a valuable customer and customer satisfaction.

Hypothesis - 8

H0 – There is no significant relation between staff treating as a valuable customer and

customer satisfaction

HA – There is a significant relation between staff treating as a valuable customer and

customer satisfaction.

RESEARCH METHODOLOGY

Type of Research– ExploratoryResearch.

The research design is usually conducted during the initial stage of the research

process. The preliminary activities undertaken to refine the problem into a

researchable one need not be formal or precise. The purpose of the exploratory

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research process is to progressively narrow the scope of the research topic and to

transform discovered problems into defined ones, incorporating specific research

objectives.

Sample design

Sampling design– The sampling method adopted for research work was

Conveniencesampling method.

Sample size - The sample selected was 300. The data collection method was based on

the following:

Sampling Unit–Professional

Variables of the Study

Dependent Variable – Overall satisfaction

Independent Variable – Brokerage, Tips, Trade confirmation, Flexibility, Customer

support, Speed of service, Clarity of information, Time taken to respond to telephone

enquiries, staff treating as a valuable customer.

Method of Data collectionThe sources of the data for the study were primary data. The questionnaire was

prepared and administered to collect the relevant primary data. The data collection

method was based on Questionnaire and Observation.

Method of analysis of data Data collected through questionnaires is analyzed using techniques and association

test. It is done through correlation analysis, chi square test, Skewness, Kurtosis.

Correlation refers to the relationship between two or more variables. Here we can find

out independent variables like Brokerage, Tips, Trade confirmation, Flexibility,

Customer support, Speed of service, Clarity of information, Time taken to respond to

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telephone enquiries, staff treating as a valuable customer and dependant variable is

overall satisfaction.

Skewness denotes the symmetry of distribution. Skewness may be either positive or

negative. When mean = median = mode that represents symmetry of distribution.

When the skewness value is zero,it also represents symmetry of distribution.

Kurtosis indicates whether the distribution is more flat of or more peaked then the

normal distribution. A measure of kurtosis is there for a measure of peakedness.

When the value of kurtosis is 3, we can apply z test, t test and any other test.

As a non parametric test chi square is used for 1. Testing the goodness of fit between observed and accepted frequency.2. Testing the independent of two attributes.

LIMITATIONS OF THE STUDY

As the data will be collected through questionnaire, there are chances of

biased information provided by the respondent.

Heterogeneity among the respondents.

Inability to respond to the questionnaire due to lack of time.

The study is confined to the existing customers of INDIA INFOLINE LTD

only.

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CHAPTER – III ANALYSIS & INTERPRETATION

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1. Correlation between Customer Satisfaction and Brokerage

Overall Satisfactio

nBrokera

geOverall Satisfaction

Pearson Correlation 1 .401(**)

Sig. (2-tailed) . .000N 300 300

Brokerage Pearson Correlation .401(**) 1

Sig. (2-tailed) .000 .N 300 300

** Correlation is significant at the 0.01 level (2-tailed).

INFERENCE: - The above table shows a moderate positive correlation between

customer satisfaction and brokerage. (.401) and also have level of significance less

than .05

Goodness of fit test- goodness of fit of the above test can do with a nonparametric test

chi square because the distribution is not normal distribution.

Statistics

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Overall satisfaction Brokerage

Skewness

Std Error of Skewness

Kurtosis

Std Error of Kurtosis

-.919

.141

-.149

.281

-1.077

.141

.005

.281


Highly Dissatis-

fiedDissatisfied Neither Sat -

isfied Nor Dissatisfied

Satisfied Highly Sat -isfied

050

100150200

0 9% 29%

62%

0

Here, we can see that maximum number of clients i.e., 186 clients are satisfied with

the service provided by India Infoline regarding brokerage charged, while in the

otherhand only 26 clients are dissatisfied with the brokerage charged.

Test StatisticsOverall

Satisfaction

Brokerage

Chi-Square(a,b)

296.367 130.160

Df 4 2Asymp. Sig. .000 .000

a 0 cells (.0%) have expected frequencies less than 5. The minimum expected cell frequency is 60.0.b 0 cells (.0%) have expected frequencies less than 5. The minimum expected cell frequency is 100.0.

According to the above table calculated chi square value is greater than table value

and significant at less than .05 so we no accept the null hypothesis hence we accept

the alternate hypothesis.

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2. Correlation between Customer Satisfaction and Tips

Overall Satisfactio

n TipsOverall Satisfaction


Sig. (2-tailed) . .000N 300 300

Tips Pearson Correlation .456(**) 1

Sig. (2-tailed) .000 .N 300 300



customer satisfaction and tips. (.456) and also have level of significance less than .05



Statistics

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Overall

satisfaction

Tips

Skewness


Kurtosis


-.919

.141

-.149

.281

-.162

.141

.977

.281


Highly Dissat -isfied

Dissatisfied Neither Satisfied Nor Dissatisfied

Satisfied Highly Satisfied0

20

40

60

80

100

120

2%

29%

38%

31%

0%

Here, we can see that maximum number of clients i.e., 113 clients are neither satisfied

nor dissatisfied with the service provided by India Infoline regarding tips (Intraday,

Delivery, Investment), while in the otherhand we can see that 94 clients are satisfied

with the service provided, and 86 clients are dissatisfied with the service provided.


Satisfaction Tips

Chi-Square(a)

296.367 183.967

df 4 4Asymp. Sig. .000 .000

a 0 cells (.0%) have expected frequencies less than 5. The minimum expected cell frequency is 60.0.




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3. Correlation between Customer Satisfaction and Trade confirmation

Overall Satisfactio

n

Trade Confirmatio

nOverall Satisfaction


Sig. (2-tailed) . .000N 300 300

Trade Confirmation

Pearson Correlation .551(**) 1

Sig. (2-tailed) .000 .N 300 300



customer satisfaction and trade confirmation. (.551) and also have level of

significance less than .05



Statistics

Here, we can see that maximum number of clients i.e., 61% of the clients are satisfied

with the service providedby India Infoline regarding trade confirmation, while in the

otherhand we can see that 14% of the clients are dissatisfied with the service

provided.

38

Overall

satisfaction

Trade

confirmation

Skewness

Std Error of

Skewness

Kurtosis


-.919

.141

-.149

.281

-.875

.141

.222

.281



Satisfaction

Trade Confirmatio

nChi-Square(a,b)

296.367 236.133

df 4 3Asymp. Sig. .000 .000

a 0 cells (.0%) have expected frequencies less than 5. The minimum expected cell frequency is 60.0.b 0 cells (.0%) have expected frequencies less than 5. The minimum expected cell frequency is 75.0.




4. Correlation between Customer Satisfaction and Flexibility

Overall Satisfactio

nFlexibilit

yOverall Pearson 1 .541(**)

39


Satisfaction CorrelationSig. (2-tailed) . .000N 300 300

Flexibility Pearson Correlation .541(**) 1

Sig. (2-tailed) .000 .N 300 300



customer satisfaction and flexibility. (.541) and also have level of significance less

than .05



Statistics

Here, we can

see that maximum number of clients i.e., 52% of the clients are satisfied with the service providedby India Infoline regarding flexibility, while in the otherhand we can see that 16% of the clients are dissatisfied by the service provided.

40

Overall

satisfaction

Flexibility

Skewness

Std Error of

Skewness

Kurtosis


-.919

.141

-.149

.281

-.776

.141

.419

.281



Satisfaction

Flexibility

Chi-Square(a)

296.367 286.700

df 4 4Asymp. Sig. .000 .000





5. Correlation between Customer Satisfaction and Customer support

Overall Satisfactio

nCustomer Support

Overall Satisfaction


Sig. (2-tailed) . .000N 300 300

Customer Support


Sig. (2-tailed) .000 .N 300 300


41



customer satisfaction and Customer support. (.692) and also have level of significance

less than .05



Statistics

Highly Dissatisfied3%

Dissatisfied16%

Neither Satisfied Nor Dissatisfied

27%

Satisfied53%

Highly Satisfied1%

42

Overall

satisfaction

Customer

support

Skewness


Kurtosis


-.919

.141

-.149

.281

-.894

.141

.075

.281



with the service provided by India Infoline regarding customer support, while in the


provided.


Satisfaction

Customer Support

Chi-Square(a)

296.367 266.767

Df 4 4Asymp. Sig. .000 .000





6. Correlation between Customer Satisfaction and Speed of service

Overall Satisfactio

n

Speed of

ServiceOverall Satisfaction

Pearson Correlation

1 .893(**)

43


Sig. (2-tailed) . .000N 300 300

Speed of Service


Sig. (2-tailed) .000 .N 300 300



customer satisfaction and speed of service. (.893) and also have level of significance

less than .05



Statistics

Highly Dissatisfied4% Dissatisfied

20%

Neither Satisfied Nor Dissatisfied

23%Satisfied

51%

Highly Satisfied2%

44

Overall

satisfaction

Speed of

service

Skewness


Kurtosis


-.919

.141

-.149

.281

-.723

.141

.512

.281



with the service providedby India Infoline regarding speed of service, while in the


provided.


Satisfaction

Speed of

ServiceChi-Square(a)

296.367 239.367

df 4 4Asymp. Sig. .000 .000





7. Correlation between Customer Satisfaction and clarity of information

Overall Satisfactio

n

Clarity of informatio

nOverall Satisfaction


Sig. (2-tailed) . .000N 300 300

Clarity of information


Sig. (2-tailed) .000 .

45


N 300 300** Correlation is significant at the 0.01 level (2-tailed).


customer satisfaction and clarity of information. (.694) and also have level of

significance less than .05



Statistics




20

40

60

80

100

120

140

3%

21%

32%

42%

2%


the service provided by India Infoline regarding clearity of information, while in the

othernhand we can see that 64 clients are dissatisfied with the service provided.

46

Overall

satisfaction

Clarity of

information

Skewness

Std Error of

Skewness

Kurtosis


-.919

.141

-.149

.281

-.469

.141

.627

.281



Satisfaction

Clarity of informatio

nChi-Square(a)

296.367 187.267

df 4 4Asymp. Sig. .000 .000





8. Correlation between Customer Satisfaction and time taken to respond to telephone enquiries

Overall Satisfactio

n

Time taken to

respond to telephone enquiries

47




Sig. (2-tailed) . .000N 300 300

Time taken to respond to telephone enquiries


Sig. (2-tailed) .000 .N 300 300



customer satisfaction and time taken to respond to telephone enquiries. (.562) and also

have level of significance less than .05



Statistics

Here,

we can

see

that

maximum number of clients i.e., 153 clients are satisfied with the service provided by

India Infoline regarding respond to telephone, while in the otherhand only 49 clients

are dissatisfied with the service provided.

48

Overall

satisfaction

Time taken to

respond to

telephone

enquiries

Skewness

Std Error of

Skewness

Kurtosis

Std Error of

Kurtosis

-.919

.141

-.149

.281

-.653

.141

.423

.281


Test Statistics

Overall Satisfactio

n

Time taken to

respond to telephone enquiries

Chi-Square(a)

296.367 262.933

df 4 4Asymp. Sig. .000 .000





9. Correlation between Customer Satisfaction and staff treating as a valuable customer

Overall Satisfactio

n

Staff Treating as a valuable customer



Sig. (2-tailed) . .000

49


N 300 300Staff Treating as a valuable customer


Sig. (2-tailed) .000 .N 300 300



customer satisfaction and staff treating as a valuable customer. (.608) and also have

level of significance less than .05



Statistics




20

40

60

80

100

120

140

160

180

0%

15%

30%

54%

1%

50

Overall

satisfaction

Staff treating as a

valuable

customer

Skewness

Std Error of

Skewness

Kurtosis

Std Error of

Kurtosis

-.919

.141

-.149

.281

-.769

.141

.149

.281



the service provided by the staff (as a valuable customer) by India Infoline, while in

the otherhand we can see that 46 clients are dissatisfied with the service provided by

the staff people.

Test Statistics

Overall Satisfactio

n

Staff Treating as a valuable customer

Chi-Square(a)

296.367 308.667

df 4 4Asymp. Sig. .000 .000





% clients according to gender group:

Male Female245 55

51


Male Female

0

50

100

150

200

25082%

18%

Out of the total clients visited i.e., 82% belongs to male category and 18% belongs to

female category.

% Clients with different age group:

20-30 31-40 ABOVE 40117 181 2

52


20-30Yrs39%

31-40Yrs60%

ABOVE 40Yrs1%

Out of the total clients visited, majority i.e., 60% belongs to 31 years to 40 years age

group, followed by 20 years to 30 years age group which comprises of 39% of the

clients visited, and the leftover clients i.e., 1% (the least %) belongs to above 40 years

age group.

% Clients with different occupation:

Professional Businessman Retired Student others220 62 0 4 14

53


Professional Businessman Retired student others0

50

100

150

200

250 73%

21%

0% 1%4%

Out of the total clients, majority i.e., 73% are professional. Followed by businessman,

which comprises of 21%. 1% are students, 4% belongs to other category (like

housewife, etc), and retired is 0 i.e., nil.

% Customer connected to India Infoline as:

Demate a/c holderCommodities a/c

holder Mutual fund customer Insurance300 0 0 0

54


Demate a/c holder Commodities a/c holder

Mutual fund cus-tomer

Insurance0

50

100

150

200

250

300

100%

0% 0% 0%

Here we can see that all the clients visited, (100%) are connected to India Infoline as a

Demat A/c holder, rather than giving any weightage to other financial products (like

Commodities A/C, Mutual fund, Insurance).

% Customer connected to India Infoline since:

Less then 6 months 6 months - 1 Year 1-2 year More then 2 year26 60 187 27

55


Less then 6 months9%

6 months - 1 Year20%

1-2 year62%

More then 2 year9%

The maximum number of clients i.e., 62% of the total clients are connected to India

Infoline since 1-2 years, followed by 20% connected since 6 months to 1 year and the

least 9% in more than 2 years as well as less than 6 months.

% Customer gathering information/ awareness about trading from different sources:

TV Newspaper Friend Financial Advisor Others58 15 43 37 147

56


TV19%

Newspaper5%

friend14%

Financial Advisior12%

Others49%

Out of the total clients, majority i.e., 49% of clients gather information about trading

from the sources like mail, some web-sites (moneycontrol.com, bloomberg,

dnaindia.com),etc. Followed by 19% which gather information from television,15%

from friends, 12% from financial advisor, and the rest 5% from newspaper.

Main objectives of investment in Equities and Mutual funds of % customer:

Risk Return Tax Benefit Capital Appreciation SafetyLiquidit

y Other0 263 0 18 0 19 0

57


Return88%

Capital Appreciation6%

Liquity6%

Maximum customers invest in Equities and Mutual funds for getting a good return,

which is obvious from the chart shown above.Here, we can see that mojority of the

clients visited i.e., 88% invest in equities for good return.6% for liquidity and rest 6%

for capital appreciation.

Number of clients giving more weightage to the tips coming from:

Relationship manager TV

India Infoline TT Advance tips Others

66 49 152 33

58


Relationship manager22%

TV16%

India infoline TT Advance tips

51%

Others11%

Out of the total number of clients visited, maximum i.e., 51% give more weightage to

the tips coming from India Infoline TT Advance tips. 22% of the client goes with the

tips coming from Relationship Manager, 16% goes with the tips coming from

television, and rest 11% goes with the tips coming from some other sources.

59


CHAPTER – IV FINDINGS, SUGGESTIONS & CONCLUSION

Chapter IV

Findings, Suggestions & Conclusion

Findings

Suggestions

Conclusion

60


FINDINGS

There is low positive correlation between brokerage and overall satisfaction.

There is low positive correlation between tips and overall satisfaction.

There is a moderate positive correlation between customer support service and


There is low positive correlation between flexibility and overall satisfaction.

There is a moderate positive correlation between speed of service and overall

satisfaction.

There is a moderate positive correlation between Clarity of information and


61


SUGGESTIONS

The suggestion is the Small investors prefer most economical fee on trading

and prefers negotiations therefore the company should offer services and fee

structure keeping in mind such customers if they add significantly to bottom

line.

Lack of communication and advisories happen when relationship manager

moves out of the organization and this has to be checked so that the customer

doesn’t migrate to other brokerage companies.

CONCLUSION

The company should come up with innovative ways of service at their

door steps this may be a costly affair but will surely give positive

results in the long run.

The company should take the initiative of training the advisors about

the trading from time to time which also makes the advisors connected

to the company.

The company should focus on the advertising strategy and also the

marketing of the product.

62


BIBLIOGRAPHY

Referred Books:

Marketing Management

- Philip kotler

-Gary Amstrang

Websites:

http://WWW.INDIAINFOLINE.COM

http://WWW.5PAISA.COM

http://WWW.MONEYCONTROL.COM

http://WWW.CAPITALINE.COM

http://WWW.SHAREKHAN LTD.COM

http://WWW.INDIAINFOLINE.COM

http://WWW.ICICIDIRECT.COM

http://WWW.HDFCSECURITY.COM

http://WWW.KARVY.COM

63

http://WWW.HDFCSECURITY.COM/

http://WWW.ICICIDIRECT.COM/

http://WWW.INDIAINFOLINE.COM/

http://WWW.INDIABULLS.COM/

http://WWW.CAPITALINE.COM/

http://WWW.MONEYCONTROL.COM/

http://WWW.INDIAINFOLINE.COM/


Appendix:

“A study on Customer satisfaction towards the services provided by India Infoline”

QUESTIONAIRE

Name: ……………………………………………………………………………………………..1. Gender: Male Female

2. Age: a). Below 20 b). 21- 30 c). 31- 40 d). More then 50

3. Occupation: a). Businessman b). Student c). Professional d). Retired Persone). Others (Please Specify)__________

4. I am connected to India Infoline since:a).Less than 6 Months b). 6 months – 1 Year

c). 1 – 2 year d). More than 2 year

5. I am gathering information/ awareness about trading from:a). T.V b). Newspaper c) Friends

d). Financial Advisor e) Others (Please specify) ______

6. Main objectives of investment in Equities and Mutual funds are:a). Risk b). Return c). Tax benefit

d). Capital Appreciation e). Safety f). Liquidityg). Others (please specify)________

7. I give more weightage to tips coming from: (in %)a). Relationship manager _______ b). T.V ________

64


c). India Infoline TT Advance tips ________ d) Others (please specify) _______

8. Satisfaction level with India Infoline.Particulars Highly

DissatisfiedDissatisfie

dNeither Satisfied

Nor Dissatisfied

Satisfied Highly Satisfied

BrokerageTips (Intraday,Delivery,Investment)Trade ConfirmationFlexibility (Fund transfer) 5paisa.comCustomer SupportSpeed of Service / Product DeliveredClarity of information or advice providedTime taken to respond to telephone enquiriesStaff treating you as a valuable customerOverall Satisfaction

65

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