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A STUDY OF THE

CUSTOMER SATISFACTIONON SERVICES OFFERED

BY FMCG RETAIL STORES

By

Twinkle K Antony

Ullas UdayakumarViniprasad

Vinayraj B

Vipindas KC

Vishnu Jayan

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A Brief Through . . .

Introduction and Background

Service Marketing Mix

Service Gaps

Positioning & Differentiation

Service Quality Model RATER

Role of Customers & Employees

Customers Satisfaction Survey NPS

Growth Plan & Challenges

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Introduction & Background

A Service Provider (Retailer) services theneeds of large number of individuals

Inception long back from un-organizedretail stores in Village Fairs, Melas etc.

Major Share in GDP expected 20%+ Expected Value 2 Lakh Crores rupees

according to Ministry of Commerce &Industry

Expected Employment 10 15 jobs in 5yrs

Major Players Tata, Future, Reliance,Public Sector Outlets etc.

etc.

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Service Marketing Mix The 7Ps

Product Here the Services beingoffered

Prices

Promotion

Place

Process

Physical Evidence

People

The 3 Ps of

Service Marketing

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The 3 Ps of Service Marketing

Process

Systems used for Service Delivering

Faster Customer Response

Should match with the Service Provided Should match with the Local Culture

Self Service in Retail Sores

Should be adaptable

Customer Attraction Schemes Use of Technology for ease of shopping

Customer Redressal Mechanisms

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Physical Evidence

Where is the Service being delivered?

Allows Customers Judgment onOrganization

The Ambience should be there

Customer Perceptions created Shop Layout, Lighting, Packaging,

Displaying,

In-Shop POPs, Staff Uniform, The Bill etc.etc.

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People Right type of Staff

Right number of Staff

Interpersonal Training must be given Proper Aptitude & Service Knowledge

necessary for staff

Staff can Make or Break Customer also need to know his

responsibility

Need of proper Feedback from Customer

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Servicescapes

Impact of Physical Environment in whichthe Services are being offered.

One-Stop-Shop for all purchasesGroceries, Fresh Fruits and Vegetables

Shop Layout Lighting, Displays, In Shopsetc.

Arrangement of items in display racks,cooled racks, freezers

Categorized arrangement of items

Self Service system customer canchoose his roduct in an uantit

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Freedom to spend time in the store Trained employees Uniformed Employees Monitoring of Service Encounter Offers during off seasons also Membership Cards for Customers Packings etc. etc.

Good memory of the Service Encounterto the Customer

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Service Gaps

Customer Gap

Expected Service

Perceived Service

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Provider Gaps Knowledge Gaps

not knowing what the Customer Expects

Service Design & Standard Gapnot having the right service designs &standards

Service Delivery Gapnot delivering to standards

Communication Gap

not matching performances to promises

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Provider Gap Located

Communication Gap Promises and Performances not matched

Customers given over-expectations in

factors like Price Conditional advertisements

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Market Positioning

Advertising on TV, on billboards, inmagazines and in other media outlets

Stores have special offers, promotions

and point of sale posters to attractthose inside the stores to buy

Promotional Mix Advertisements TV, Print, Radio,

hoardings Events/programs Big Bazaar in GKSF

Seasonal Sales Promotions SpecialPackages during Onam, Diwali etc.

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Service Differentiation

Very difficult to differentiate due tointangibility factor

Servicescapes

Introducing exclusive House Brandsat low prices like DJ & C and Koryoof Big Bazaar

Sweepstakes, Scratch-N-Wins,Discounts, Offers, Bundles etc. etc.

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Service Quality Model - RATER

Reliability

Assurance

Tangibility

Empathy

Responsiveness

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Reliability

Majority of the players are Reliable

Major factor in Service Differentiation Efforts for delivering best service

encounter experience

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Assurance

Ensure best prices

Ensure best quality Ensures best purchase experiences

Ensures best store interactions

Ensures best ambience

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Tangibility

Packings bearings Brand Logo

Souvenirs Gift Vouchers through third parties

Free Samples, Gifts etc.

Bill Slips

Pamphlets, Brochures etc.

Happy Calls, SMSs etc.

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Empathy

Price tags

Ensuring In-Shop Customer Assistance

Well trained employees

Fast customer redressal mechanisms

Performance as Promised

Customer Privacy

Value Customer Relations

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Responsiveness

Willful Helping and Courtesy

Personal Attention to Customers No Grumbling Policy of More Retail

Employee Discipline

On-time Customer Redressal

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Role of Customers to improvethe Quality of Service Delivery

Responsibility of Customers to giveproper feedback

Customer must demand for what isbeing promised

Customer must understand the

differentiations and should respond

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Role of Employees to improvethe Quality of Service Delivery

Employee is the Maker or Breaker

Interpersonal Skills much important

Personalized Business

Service Encounters must be madememorable

Must aim Customer Loyalty

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Customer Satisfaction Survey

Went with Net Promoter ScoreApproach

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Growth Plans & Challenges

Trends Growing Trends in Inflection Point Expected Value 2 Lakh Crores rupees Aims for 30%+ of GDP 10 15 Lakhs employments in 5 yearsChallenges Increase in organized retail players

Liberalization in FDI terms Change in Customer Outlook Growth of Etailing

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Conclusion

Concluding with a Success Mantra

The highest compliment that our

customer can give is the referral oftheir friends and family

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