A

PROJECT REPORT
ON
MARKETING STRATEGY ROYAL
ENFIELD
Submitted for the partial fulfillment for the
award Of
Bachelor of Business Administration
from
Chaudhary Charan Singh University, Meerut
Session 2021-2024
Submitted To:
Beacon Institute of Technology

Under the guidance of: Submitted by:

MR. SUDHANSHU VANSH JAIN
(Assistant Professor) R.No:R21096810
5040
Semester: 5th
DEPARTMENT OF MANAGEMENT
BEACON INSTITUTE OF TECHNOLOGY,
PARTAPUR BY PASS ROAD, MEERUT
BATCH 2021-2024

1
 BEACON INSTITUTE OF TECHNOLOGY, MEERUT
(Affiliated to Chaudhary Charan Singh University, Meerut)

BY – PASS ROAD PARTAPUR, MEERUT - 250002

Date: ………………….

Certificate

This is to certify that Mr. VANSH JAIN is a bona fide student of BBA 5th

semester in our Institute. He has submitted the Research Project Report titled

MARKETING STRATEGY ROYAL ENFIELD to fulfill the partial

requirements of Chaudhary Charan Singh University, Meerut. He has

completed Research Project Report under the guidance of MR.

SUDHANSHU

Ms. SUDHANSHU SHARMA Prof. (Dr.) RAKESH

KUMAR

Designation: Assistant Professor Director

BBA/BCA Department

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 DECLARATION

I hereby declare that the work presented in this report entitled ―MARKETING
STRATEGY ROYAL ENFIELD‖ was carried out by me. I have not submitted
the matter embodied in this report for the award of any other degree or diploma of
any other University or Institute.

I have given due credit to the original authors/sources for all the words, ideas,
diagrams, graphics, computer programs, experiments, results that are not my
original contribution. I have used quotation marks to identify verbatim sentences
and given credit to the original authors/sources.

I affirm that no portion of my work is plagiarized, and the experiments and results
reported in the report are not manipulated. In the event of a complaint of plagiarism
and the manipulation of the experiments and results, I shall be fully responsible and
answerable.

Name: VANSH JAIN

Roll. No.: R210968105040

(Candidate Signature with date)

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 ACKNOWLEDGEMENT

‘When a person is helped, guided and co-operated, his or her heart is

bound to pay gratitude.’
It is not a single man‘s effort which is sufficient for the accomplishment of a
Research .Various factors, situations and persons integrate to provide the
background. Accomplishment of a task requires the effort of so many people.
I acknowledge here the names of those people who have been instrumental in
preparation of this Research.
I am sincerely indebted to Dr. RAKESH KUMAR (Director of BBA/BCA
Department) and MR. SUDHANSHU (Project Head) for their valuable
inspirations and suggestions to undergo this study and their unstilted help
which they gave for the completion of this Research.
My grateful thanks are also due to various other technocrats who inspired of
their multifarious pre-occupation, were kind enough to spare time to grant
me personal help and others cooperative activities.

VANSH JAIN

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 CONTENTS
1. CHAPTER 1- INTRODUCTION 7-21
This chapter contains introduction to Marketing, Meaning, Definition,
Importance and other relevant aspects of Customer Satisfaction, the theoretical
background to Automobile Industry till date and Indian two wheeler markets.

3. CHAPTER 3- COMPANY PROFILE 22-29

This chapter contains the historical background of the company, company
vision, objectives, and SWOT analysis.

2. CHAPTER 2- RESEARCH DESIGN 30-50

 Statement of problem
 Objectives of study
 Scope of study
 Operational Definitions
 Research Methodology
 Tools of Data collection
 Sample Design
 Plan of Analysis
 Limitations of the study
Overview of Chapter scheme

4. CHAPTER 4- DATA ANALYSIS AND INTERPRETATION

51-91
Analysis and interpretation from the data collected through questionnaires,
Tables and graphs representing it.

5. CHAPTER 5- SUMMARY OF FINDINGS AND

CONCLUSIONS
92-96
This chapter contains the findings drawn from the study.
6. CHAPTER 6- SUGGESTIONS 97-99
This chapter consists few suggestions to the
company
100-105
7. ANNEXURES
s chapter contains Questionnaire. 106-107
BIBLIOGRAPHY

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 EXECUTIVE SUMMARY

This is a Research report, on the project titled, ―MARKETING STRATEGY ROYAL

ENFIELD.

To collect the required data a questionnaire was prepared for customer and retail sector.
After collection of data, it was interpreted and analyzed.

Customers data after analysis showed fallowing results:-

1. The consumer mostly demands for particular brands of a motorcycle. And the most
preferred motorcycle are ,Enfield and other motorcycle.

2. 90% of the customer are satisfied with the service of the company. While 10% of the
customer complained about non satisfied through the hero moto because they want to
discount and more facility from the company.
The above data has been discussed in detail with illustrations and tables further In the
report. There was also some suggestion from customer. Which also has been placed latter
in the report.

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 CHAPTER 1
About the Industry in
general

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About the Industry in general
Marketing is the process of performing market research, selling products
and/or services to customers and promoting them via advertising to further
enhance sales. It generates the strategy that underlies sales techniques,
business communication, and business developments. It is an integrated
process through which companies build strong customer relationships and
create value for their customers and for themselves.
Marketing is used to identify the customer, to satisfy the customer, and to
keep the customer. With the customer as the focus of its activities, it can be
concluded that marketing management is one of the major components of
business management. Marketing evolved to meet the stasis in developing
new markets caused by mature markets and overcapacities in the last 2-3
centuries. The adoption of marketing strategies requires businesses to shift
their focus from production to the perceived needs and wants of their
customers as the means of staying profitable.
The term marketing concept holds that achieving organizational goals
depends on knowing the needs and wants of target markets and delivering the
desired satisfactions. It proposes that in order to satisfy its organizational
objectives, an organization should anticipate the needs and wants of
consumers and satisfy these more effectively than competitors.
An orientation, in the marketing context, related to a perception or attitude a
firm holds towards its product or service, essentially concerning consumers
and end-users. Throughout history, marketing has changed considerably in
time with consumer tastes.
Contemporary approaches
Recent approaches in marketing include relationship marketing with focus
on
the customer, business marketing or industrial marketing with focus on an
organization or institution and social marketing with focus on benefits to
society. New forms of marketing also use the internet and are therefore called
8
internet marketing or more generally e-marketing, online marketing, search
engine marketing, desktop advertising or affiliate marketing. It attempts to
perfect the segmentation strategy used in traditional marketing.

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Customer orientation
A firm in the market economy survives by producing goods that persons are
willing and able to buy. Consequently, ascertaining consumer demand is vital
for a firm's future viability and even existence as a going concern. Many
companies today have a customer focus (or market orientation). This implies
that the company focuses its activities and products on consumer demands.
Generally, there are three ways of doing this: the customer-driven approach, the
market change identification approach and the product innovation approach.
In the consumer-driven approach, consumer wants are the drivers of all strategic
marketing decisions. No strategy is pursued until it passes the test of consumer
research. Every aspect of a market offering, including the nature of the product
itself, is driven by the needs of potential consumers. The starting point is
always the consumer. The rationale for this approach is that there is no reason
to spend R&D funds developing products that people will not buy. History
attests to many products that were commercial failures in spite of being
technological breakthroughs.
A formal approach to this customer-focused marketing is known as SIVA
(Solution, Information, Value and Access). This system is basically the four Ps
renamed and reworded to provide a customer focus. The SIVA Model provides
a demand/customer-centric alternative to the well-known 4Ps supply side model
(product, price, placement, promotion) of marketing management.

Product → Solution

Price → Value
Place → Access
Promotion → Information

If any of the 4Ps were problematic or were not in the marketing factor of the
business, the business could be in trouble and so other companies may appear
in
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the surroundings of the company, so the consumer demand on its products will
decrease.
Organizational orientation
In this sense, a firm's marketing department is often seen as of prime
importance within the functional level of an organization. Information
from an
organization's marketing department would be used to guide the actions of
other departments within the firm. As an example, a marketing department
could
ascertain (via marketing research) that consumers desired a new type of
product,
or a new usage for an existing product. With this in mind, the marketing
department would inform the R&D department to create a prototype of a
product/service based on consumers' new desires.
The production department would then start to manufacture the product, while
the marketing department would focus on the promotion, distribution, pricing,
etc. of the product. Additionally, a firm's finance department would be
consulted, with respect to securing appropriate funding for the development,
production and promotion of the product. Inter-departmental conflicts may
occur, should a firm adhere to the marketing orientation. Production may
oppose the installation, support and servicing of new capital stock, which may
be needed to manufacture a new product. Finance may oppose the required
capital expenditure, since it could undermine a healthy cash flow for the
organization.
Marketing research
Marketing research involves conducting research to support marketing
activities, and the statistical interpretation of data into information. This
information is then used by managers to plan marketing activities, gauge the
nature of a firm's marketing environment and attain information from suppliers.
Marketing researchers use statistical methods such as quantitative research,
11
qualitative research, hypothesis tests, Chi-squared tests, linear regression,
correlations, frequency distributions, poison distributions, binomial
distributions, etc. to interpret their findings and convert data into information.
The marketing research process spans a number of stages, including the
definition of a problem, development of a research plan, collection and
interpretation of data and disseminating information formally in the form of a
report. The task of marketing research is to provide management with relevant,
accurate, reliable, valid, and current information. A distinction should be made
between marketing research and market research. Market research pertains to
research in a given market. As an example, a firm may conduct research in a
target market, after selecting a suitable market segment. In contrast, marketing
research relates to all research conducted within marketing. Thus, market
research is a subset of marketing research.
Market segmentation
Market segmentation pertains to the division of a market of consumers into
persons with similar needs and wants. For instance, Kellogg's cereals, Fro sites
are marketed to children. Crunchy Nut Cornflakes are marketed to adults. Both
goods denote two products which are marketed to two distinct groups of
persons, both with similar needs, traits, and wants. Market segmentation allows
for a better allocation of a firm's finite resources. A firm only possesses a
certain amount of resources. Accordingly, it must make choices (and incur the
related costs) in servicing specific groups of consumers. In this way, the
diversified tastes of contemporary Western consumers can be served better.
Types of marketing research
Marketing research, as a sub-set aspect of marketing activities, can be divided
into the following parts:
 Primary research (also known as field research), which involves the
conduction and compilation of research for a specific purpose.
 Secondary research (also referred to as desk research), initially conducted
for one purpose, but often used to support another purpose or end goal.

12
By these definitions, an example of primary research would be market research
conducted into health foods, which is used solely to ascertain the needs/wants
of the target market for health foods. Secondary research in this case would
be research pertaining to health foods, but used by a firm wishing to develop
an unrelated product.
Primary research is often expensive to prepare, collect and interpret from data
to information. Nevertheless, while secondary research is relatively
inexpensive, it often can become outdated and outmoded, given that it is
used for a purpose other than the one for which it was intended. Primary
research can also be broken down into quantitative research and qualitative
research, which, as the terms suggest, pertain to numerical and non-
numerical research methods and techniques, respectively. The appropriateness
of each mode of research depends on whether data can be quantified
(quantitative research), or whether subjective, non-numeric or abstract
concepts are required to be studied (qualitative research).
There also exist additional modes of marketing research, which are:
 Exploratory research, pertaining to research that investigates an
assumption.
 Descriptive research, which, as the term suggests, describes "what is".
 Predictive research, meaning research conducted to predict a future
occurrence.
 Conclusive research, for the purpose of deriving a conclusion via a
research process.
Promotion (marketing)
Promotion is one of the four elements of marketing mix (product, price,
promotion, distribution). It is the communication link between sellers and
buyers for the purpose of influencing, informing, or persuading a potential
buyer's purchasing decision. Fundamentally, however there are three basic
objectives of promotion. These are:

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 1. To present information to consumers as well as others
2. To increase demand
3. To differentiate a product.
Marketing strategy
The field of marketing strategy encompasses the strategy involved in the
management of a given product. A given firm may hold numerous products in
the marketplace, spanning numerous and sometimes wholly unrelated
industries. Accordingly, a plan is required in order to effectively manage such
products. For example, a start-up car manufacturing firm would face little
success should it attempt to rival Toyota, Ford, Nissan, Chevrolet, or any other
large global car maker. Moreover, a product may be reaching the end of its life-
cycle. Thus, the issue of divest, or a ceasing of production, may be made.
CUSTOMER SATISFACTION
Customer satisfaction, a business term, is a measure of how products and
services supplied by a company meet or surpass customer expectation.
Customer satisfaction is defined as "the number of customers, or percentage of
total customers, whose reported experience with a firm, its products, or its
services (ratings) exceeds specified satisfaction goals." It is seen as a key
performance indicator within business and is part of the four of a Balanced
Scorecard. In a competitive marketplace where businesses compete for
customers, customer satisfaction is seen as a key differentiator and increasingly
has become a key element of business strategy. Within organizations, customer
satisfaction ratings can have powerful effects. They focus employees on the
importance of fulfilling customers‘ expectations. Furthermore, when these
ratings dip, they warn of problems that can affect sales and profitability. These
metrics quantify an important dynamic. When a brand has loyal customers, it
gains positive word-of-mouth marketing, which is both free and highly
effective. In researching satisfaction, firms generally ask customers whether
their product or service has met or exceeded expectations. Thus, expectations

14
are a key factor behind satisfaction. When customers have high expectations
and the reality falls short, they will be disappointed and will likely rate their
experience as less than satisfying. For this reason, a luxury resort, for example,
might receive a lower satisfaction rating than a budget motel—even though its
facilities and service would be deemed superior in ―absolute‖ terms.
CUSTOMER SATISFACTION IN 7 STEPS
1. Encourage Face-to-Face Dealings
This is the most daunting and downright scary part of interacting with a
customer. If you're not used to this sort of thing it can be a pretty
nerve- wracking experience. Rest assured, though, it does get easier over
time. It's important to meet your customers face to face at least once or even
twice during the course of a project.
2. Respond to Messages Promptly & Keep Your Clients Informed
This goes without saying really. We all know how annoying it is to wait
days for a response to an email or phone call. It might not always be practical to
deal with all customers' queries within the space of a few hours, but
at least email or call them back and let them know you've received their
message and
you'll contact them about it as soon as possible. Even if you're not able
to solve a problem right away, let the customer know you're working on it.
3. Be Friendly and Approachable
A fellow Site Pointer once told me that you can hear a smile through the
phone. This is very true. It's very important to be friendly, courteous
and to make your clients feel like you're their friend and you're there to help
them out. There will be times when you want to beat your clients over the head
repeatedly with a blunt object - it happens to all of us. It's vital that you keep a
clear head, respond to your clients' wishes as best you can, and at all times
remain polite and courteous.

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4. Have a Clearly-Defined Customer Service Policy
This may not be too important when you're just starting out, but a clearly
defined customer service policy is going to save you a lot of time and
effort in the long run. If a customer has a problem, what should they do?
If the first option doesn't work then what? Should they contact different
people for billing and technical enquiries? If they're not satisfied with any
aspect of your customer service, who should they tell? There's nothing more
annoying for a client than being passed from person to person, or not knowing
who to turn to. So make sure your customer service policy is present on
your site -- and anywhere else it may be useful.
5. Attention to Detail
Have you ever received a Happy Birthday email or card from a company
you were a client of? Have you ever had a personalized sign-up confirmation
email for a service that you could tell was typed from scratch?
These little
niceties can be time consuming and aren't always cost effective, but
remember to do them.
Even if it's as small as sending a Happy Holidays email to all your
customers, it's something. It shows you care; it shows there are real people on
the other end of that screen or telephone; and most importantly, it makes the
customer feel welcomed, wanted and valued.
6.Anticipate Your Client's Needs & Go Out Of Your Way to Help
Them Out
Sometimes this is easier said than done! However, achieving this
supreme level of understanding with your clients will do wonders for your
working
relationship.
7. Honor Your Promises
It's possible this is the most important point in this article. The simple
message: when you promise something, deliver. Clients don't like
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to be disappointed. Sometimes, something may not get done, or you might
miss a
deadline through no fault of your own. Projects can be late, technology can fail
and sub-contractors don't always deliver on time. In this case a quick apology
and assurance it'll be ready ASAP wouldn't go a miss.
CUSTOMER LOYALTY
TABLE SHOWING KEY FACTORS FOR CUSTOMER
SATISFACTION

COMPANY FUNCTION QUALITY FACTORS

Product
Sales Knowledge
Brochure detail
Marketing Mailing frequently
Order Delivery time
Distribution Order Completeness
Problem Response Time
After Sales Time to Resolve

Accuracy
Accounts
Problem Response
Courtesy

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CUSTOMER CARE AND SALES PROCESSES
Service organizations are particularly dependent on levels of customer care, as
the ‗people‘ element in the marketing mix reflects. Customer care can play an
equally important role, however, in manufacturing, production and other
organizations providing goods and services. For customer care programs to be
successful they need to span the entire organization. Popular guarantees 100%
customer satisfaction and has, over the years, developed a more conscientious
approach to individual customers. There is Customer care training provided.
Though this may initially be a very lengthy process as the ball starts rolling
through all sectors of the organization and costs will grow too, as further
investment is required to update and maintain the initiative in the future. To
provide an effective customer care services, every employee is highly
motivated. There are frequent internal newsletters circulated which strengthens
the bond throughout the organization. Frequent performance appraisal
throughout the organization is conducted to evaluate the employees and provide
career developmental opportunities to potential employees. The customer care
program at Popular mainly have six main stages, as follows:
1. Objectives setting: For every month, target sales will be fixed by the
Sales Manager at the showroom.

2. Current situation analysis: Present industrial trend is observed closely

and various promotional offers are introduced to boost sales if
there is a chance for a slump in sales. Also, a customer service audit
is conducted both internally and externally. Monthly sales
targets fixed by the Sales Manager.
3. Strategy development: Develop a strategy for raising levels of both
customer service and sales from the current to the desired standard based
upon any change in trends and the economic conditions prevailing. Each
region is divided into 4 zones. Each zonal level will be under the charge of

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 a supervisor under whom there are four sales executives. It is the duty of
these sales executives to generate on field enquiries and to follow up the
customers based on the appointment fixed.
4. Functional planning: Define training needs and other requirements such
problem-solving sessions or teambuilding exercise to execute the
strategy. Daily, a meeting of all the staffs at their respective branch
is convened. Here they discuss their daily programs and
targets to meet plus they also discuss about their previous day‘s
work among the team. They consider the response of all the
individual customers met.
5. Implementation: Implement training and other initiatives through
workshops, seminars. The prospective customers are segregated
and the
issues raised by certain customers will also be addressed. Some customers
may not be satisfied with the present offers and price. In such cases efforts
will be put up to make maximum adjustments and convert it to sales.
6. Monitoring: Results are tested through customer and employee surveys
and evaluation of the training methods is also conducted. The
program is
improved and updated on a continuous basis.
•HANDLING CUSTOMER
Service Content, Delivery orCOMPLAINTS • Response Time
Quality • Personnel
A complaint is any measure of dissatisfaction with your product or
• Documentation
• Communication
service, even if it‘s unfair, untrue, or painful to hear! Complaints may be
• Billing
about: • Requests
• Follow Up
This is a customer complaint resolution process that anyone can implement:
 Focus on the Customer
If you can‘t immediately solve the problem, respond to the customer and
identify an ―owner‖ who will be responsible for final resolution. Complete the
communications loop with customer. If you‘ve referred the complaint to others,
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make sure there‘s closure. If you‘ve left the customer hanging without a
response, you‘ve become part of the problem.
 Focus on the Complaint
Collect all complaints from all external customers and categorize them in a way
that allows you to analyze data to see trends, patterns, concentrations,
tendencies, etc.
 Focus on Process Improvement
Use the database of complaints to define processes that are important from the
customer‘s perspective and to improve the most critical ones. Based on analysis
of the database, make appropriate investments to prevent issues that result in
customer complaints. If you can think of complaints as useful data for making
process improvements in your organization, you will go a long way towards
making changes that will differentiate you and make your work life easier,
more
fun, and more responsive to customer needs.
SIX STEPS TO DEALING WITH DIS-SATISFIED CUSTOMERS

1.Listen carefully to what the customer has to say, and let them
finish- Don't get defensive. The customer is not attacking you personally; he or
she has a problem and is upset. Repeat back what you are hearing to show that
you have listened.
2.Ask questions in a caring and concerned manner-The more
information you can get from the customer, the better you will understand
his or her perspective. I‘ve learned it‘s easier to ask questions than to jump to
conclusions.
3.Put yourself in their shoes-As a business owner, your goal is to solve
the problem, not argue. The customer needs to feel like you‘re on his or her
side and that you empathize with the situation.
4.Apologize without blaming-When a customer senses that you are
sincerely sorry, it usually diffuses 20the situation. Don't blame another
person or department. Just say, "I'm sorry about that.‖
 5.Ask the customer, "What would be an acceptable solution to
you?"- Whether or not the customer knows what a good solution would be,
I‘ve found it‘s best to propose one or more solutions to alleviate his or her
pain. Become a partner with the customer in solving the problem.
6. Solve the problem, or find someone who can solve it— quickly!-Research
indicates that customers prefer the person they are speaking with to instantly
solve their problem. When complaints are moved up the chain of command,
they become more expensive to handle and only add to the customer's
frustration.

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 CHAPTER 2
About Major Companies
in the Industry

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About Major Companies in the Industry
Mid 19th century England The firm of George Townsend & Co. opened its
doors in the tiny village of Hunt End, near the Worcestershire town of Redditch.
The firm was specialized in sewing needles and machine parts. In the first flush
of enterprise, flitting from one opportunity to another, they chanced upon the
pedal-cycle trade. Little did they know then that it was the beginning of the
making of a legend. Soon, George Townsend & Co. was manufacturing its own
brand of bicycles. And in 1893 its products began to sport the name ‗Enfield‘
under the entity Enfield Manufacturing Company Limited with the trademark
‗Made Like a Gun‘. The marquee was born.
INDUSTRY Motorcycles,
Lawnmowers
SUCCESSOR Royal Enfield Motors
(formerly Enfield of
India)
FOUNDED 1893, as Enfield Manufacturing Co. Ltd.
DEFUNCT 1971
HEADQUARTERS Redditch, Worcestershire, England
KEY PEOPLE Founders Albert Eadie and Robert Walker Smith
PRODUCTS Royal Enfield Clipper, Crusader, Bullet, Interceptor.

Profile of the Organization

Royal Enfield is the makers of the famous Bullet
brand in India. Established in 1955, Royal
Enfield (India) is among the oldest bike
companies. It stems from the British
manufacturer, Royal Enfield at Redditch. Royal
Enfield has its headquarters at Chennai in India. Bullet bikes are famous for
their power, stability and rugged looks. It started in India for the Indian Army

23
350cc bikes were imported in kits from the UK and assembled in Chennai.
After a few years, on the insistence of Pandit Jawaharlal Nehru, the company
started producing the bikes in India and added the 500cc Bullet to its line.
Within no time, Bullet became popular in India.
Bullet became known for sheer power,
matchless stability, and rugged looks. It
looked tailor-made for Indian roads.
Motorcyclists in the country dreamt to drive
it. It was particularly a favorite of the Army
and Police personnel. In 1990, Royal Enfield ventured into collaboration with
the Eicher Group, a leading automotive group in India, in 1990, and merged
with it in 1994. Apart from bikes, Eicher Group is involved in the production
and sales of Tractors, Commercial Vehicles, and Automotive Gears. Royal
Enfield made continuously incorporating new technology and systems in its
bikes. In 1996, when the Government of India imposed stringent norms for
emission, Royal Enfield was the first motorcycle manufacturer to comply. It
was among the few companies in India to obtain the WVTA (Whole Vehicle
Type Approval) for meeting the European Community norms. Today, Royal
Enfield is considered the oldest motorcycle model in the world still in
production and Bullet is the longest production run model.
2010 AWARDS
The New Year saw the dawn of India's most prominent automotive show, the
Auto Expo 2010. Held between January 5th and 11th at the Pragati Maidan
in New Delhi, the event saw more than 400 global brands showcasing new
technology, products and show-off concepts.
Royal Enfield was also a part of the event, displaying the recently launched
Royal Enfield Classic 500 EFI and the Royal Enfield Classic 350. The main
stays of the Royal Enfield display were the soon to be launched variants of the
Classic - the Royal Enfield Classic Chrome and the Royal Enfield Classic
Battle 24
Green.
The Expo turned out to be a rather rewarding experience for Royal Enfield
with
the Royal Enfield Classic and the Marketing team picking up as many as
five awards.

Awards 2010:
- Apollo Auto India Awards 2010: Best Brand
- Zigwheels.com Viewers Choice Bike of the Year 2009
- Zigwheels.com Bike of the Year above 251cc
- NDTV Profit Car & Bike Awards 2010: Motorcycle of the Year above 250 cc.
- NDTV Profit Car & Bike awards 2010: Best PR Communications Team.

EVOLUTION OF ROYAL ENFIELD

THE BEGINNING (1851 – 1890)

Hunt End, England was a village of
several small

mills
manufacturing needles and fish-hooks. It was
here in 1851 that George Townsend put up
his
needle-making mill, which he named Givry Works. But it wasn‘t until his
passing away that his son, George Jr. and his half-brother brought into Givry
Works one of the first 'boneshakers' – a crude cycle. It had a backbone of iron,
with wooden wheels, iron tires and pedals of triangular pieces of wood!
Though the bike was a source of some amusement, George and his team felt
they could easily improve on it. The earliest modern safety bicycle with two
25
wheels of equal size had appeared in about 1880. All manufacturers were
trying their hand at this new venture. So was George Townsend Jr. By luck, he
invention in his neighbourhood – a saddle that only used one length of wire in
the two springs and in the framework. This was adopted, patented and
marketed as the 'Townsend Cyclists Saddle & Spring'. He had entered the
bicycle parts trade!
From bicycle parts, Townsend slowly moved on to producing bicycles himself.
He was also supplying a wide range of parts to other manufacturers - Givry
Works was growing rapidly. Over the next three years he developed his own
range of over two-dozen machines. Each machine, known locally as the
'Townsend cycle' was reputed for its sturdy frame, a character that all
Enfield bikes would follow.
THE COMING INTO BEING (1891 – 1900)
1891 A Little Trouble-Townsend got himself into a bit of financial trouble
in
about 1890 and called in some financiers from
Birmingham. Unfortunately, they didn‘t quite
see eye to eye. So Townsend parted ways with
the financiers leaving the company to them. The
financiers then brought in Albert Eadie and R.W.
Smith. They took control of Townsend‘s in
November 1891. The following year the firm was re-christened ‗The Eadie
Manufacturing Company Limited‘. Soon after,
Albert Eadie got a lucrative
contract to supply precision rifle parts to the
Royal Small Arms Factory in Enfield, Middlesex.

1892 Kick Starting

Royal Enfield-A new company was created to market

these new design bicycles called

‗The Enfield
Manufacturing Company Limited‘. By October
1892,
26 the Enfield bikes were announced to

the public. The following year the word Royal (after

the Royal Small Arms Company) was added and thus Royal Enfield began.
Then in 1893 the Royal Enfield trademark ‗Made like a Gun‘ appeared. Britain
was caught up in a patriotic fervor and the slogan caught the spirit of the
time. In 1899 the first mechanical vehicle was advertised by Enfield Cycle
Company. It was available in both tricycle and quadric cycle form, powered by
a De Dion 1.5 hp engine. The high wheels, solid tires, block chains and heavy
cross frames had by then given way to Diamond frames, the Hyde Freewheel,
Enfield 2 speed hub and the well known Eadie Coaster. Then came the ‗Riche
Model‘ with more refined fittings. By 1907, the cycle industry was still
headquartered at Redditch, producing run-of-the-mill conventional cycles.

1897-Quadricycles
In 1897, R. W. Smith built himself a quadric
cycle – a simple bike with four wheels and a
French engine placed under the saddle between
the rear wheels. During the next two years
several developments were made. About then,
an
Enfield quadric cycle completed the 1,000-miles road trial of 1900 organized
by the Automobile Club of Great Britain and Ireland. The Enfield vehicle
was awarded the silver medal, although it had its share of troubles and
breakdowns.
MOTORCYCLES (1900 - 1910)
1904-Four Wheelers and Three
Buoyed by success, Smith and Eadie decided to
extend the range of quadric cycles and tricycles to
include motorcars. The first Royal Enfield cars
were built in 1901 and were on the road in 1902.
It
was an 8hp, using a DE Dion engine. The body
was made in Leicester and painted yellow hence
27
car was known as ‗The Yellow Car‘. But this was just a temporary phase, a wild
romance that was soon to die.
 PRODUCTS

Royal Enfield Meteor 350

28
29
30
31
32
33
34
35
ORGANISATIONAL STRUCTURE

GENERAL MANAGER
(Proprietor)

Sales Manager Service Manager Service Manager

Showroom Service Accountant

In charge Supervisor

Team Service Assistant

Manager Staffs Accountant

Sales

Representative

36
SWOT ANALYSIS
MAJOR PLAYERS IN INDIAN TWO WHEELER MARKET

GROUP PLAYERS ATTRIBUTES COMPETITIVE FORCES

A Bajaj, Hero Honda Highly diversified - High buyer power

Aggressive -High
promotion
competitive rivalry
- High entry
barriers
B TVS Selectively - Low entry barriers
diversified
-Narrow product lines
Aggressive imply that aggressive
Promotion promotions can eat
into market share

C Honda, Yamaha Selectively -High threat of

diversified
substitution (Rs 1 lakh car)
Moderate Promotion
- Low entry barriers

D Royal Enfield Highly specialized - Low buyer power, high

brand loyalty
Low Promotion
-Product
diversification will
imply risk of brand
dilution

37
SWOT ANALYSIS OF THE TWO WHEELER INDUSTRY

STRENGTHS WEAKNESSES

 Established brands  Extremely price sensitive

 Strong Brand Name  Short PLC
 Fuel efficient  High R and D costs
 Style statement
 Convenient in heavy traffic
 Cheap and affordable
 Easy and cheap finance availability
 Patents
 Good reputation among customers

OPPURTUNITIES THREATS

 Growing premium segment  The Rs.1 Lakh car

 Increasing dispensable income  Cut throat competition
 Environmental concerns  Increasing number of players in
 Exports increasing the market
 Very strong demand in the 100cc.  Rising raw material costs
segment dominated by limited  Increasing rates of interest
players. on finance

38
SWOT ANALYSIS FOR ROYAL ENFIELD, INDIA

STRENGTHS WEAKNESSSES

 Size and scale of parent company  Small showrooms

 Effective Advertising Capability  Not much emphasis on
 Committed and dedicated staff aggressive selling
 High emphasis on R and D  Weak product diversity
 Experience in the market
 Established brand
 Established market channel
 Power, Speed & Acceleration

OPPURTUNITIES THREATS

 Growing premium segment  Cut throat competition

 Global expansion into the  Increasing number of players in
Caribbean & Central the market
America  Rising raw material costs
 Expansion of target market  Increasing rates of interest
(include women) on finance
 Increasing dispensable income
 1st mover advantage

39
 OBJECTIVES OF THE STUDY

1. To understand the reasons for purchasing Royal Enfield bikes.

2. To know about the experience after purchase relating various
parameters (Service, bike performance, mileage etc).
3. To ascertain the barriers to purchasing a Bullet for a prospective
customer.
4. To ascertain the factors that affects the choice of a Bullet as a motorcycle
for common man.
5. To propose an effective Promotional campaign plan for brand Royal
Enfield.
6. To determine the customer‘s satisfaction regarding bikes and after
sales
service.

40
 CHAPTER 2
RESEARCH DESIGN

41
INTRODUCTION
Royal Enfield one of the popular brand and highest selling bike in India
and outside India (USA, Europe, Australia etc). Royal Enfield motorcycles had
been sold in India from 1949. In 1955, the Indian government looked for a
suitable motorcycle for its police and army, for use patrolling the country's
border. As far as the motorcycle brand goes, though, it would appear that Royal
Enfield is the only motorcycle brand to span three centuries, and still going,
with continuous production. Product range has widened and the customer has
evolved.

TITLE OF THE STUDY

―A Study on Customer Satisfaction towards ROYAL
ENFIELD BIKES, Bangalore‖
STATEMENT OF THE PROBLEM
Customer satisfaction plays a crucial role in enabling an organization to
change and develop with customers. Keeping the existing customer contended
is generally much easier, takes less time and involves less expense. The reason
for this is that it takes more time to find new prospective customer. In this
context study is conducted with special reference to customer satisfaction. A
company can earn more profits only when it has strong customer care towards
product and services offered by the company. So to have strong customer care it
has to provide a competitive price further advertising to increase.

42
SCOPE OF THE STUDY
This study includes Customer‘s response and awareness towards the brand,
products and services of Royal Enfield. The results are limited by the sample
size 75 numbers and therefore the opinion of only selected customers is taken
into consideration. Mainly this study is conducted in Bangalore and the scope is
limited.

OPERATIONAL DEFINITIONS
1. Customer- A customer (also known as a client, buyer, or purchaser) is
usually used to refer to a current or potential buyer or user of the
products of an individual or organization, called the supplier, seller, or
vendor.
2. Customer Satisfaction- A business term, is a measure of how products
and services supplied by a company meet or surpass
customer expectation. Customer satisfaction is defined as "the
number of customers, or percentage of total customers, whose
reported experience with a firm, its products, or its services
(ratings) exceeds specified satisfaction goals."
3. Respondents- A person who replies to something, esp. one supplying
information for a survey or questionnaire or responding
to an advertisement.
4. Objective- An end that can be reasonably achieved within an expected
timeframe and with available resources.
5. Bike- A motor vehicle with two wheels and a strong frame.
6. Buying- To acquire in exchange for money or its equivalent purchase.

RESEARCH METHODOLOGY
The research will be carried out in various phases that constitute an
approach of working from whole to part. It includes subsequent phases trying
to
43
go deeper into the user‘s psyche and develop a thorough understanding of what
a user looks for while buying a bike.
The first phase is completely internal where it is stormed over the most
effective route of action, considering that Bullet users in Bangalore are more in
number.
The second phase is with some of the seasoned bikers who have been using
Bullets for some time now and are generally known and respected amongst the
Bullet community.
The third phase is with some respondents who will be interviewed with the help
of questionnaire keeping in mind the time and cost constraints.

TOOLS OF DATA COLLECTION

The information relevant for study was drawn from Primary data collected
through survey method, which alone was not sufficient. Hence Secondary data
was collected to study successfully.
 Primary data- In order to find out customer satisfaction regarding bikes
of Royal Enfield Primary Data was collected by personally
visiting the dealerships and showrooms. With the help of a well laid
questionnaire, I took the feedback from the customers who
were coming for the services of their bikes at the dealerships.
As well as I contacted some of the customers through
telex calling by taking the data about the customers from the
customer data register of the dealership. I interviewed them and
discussed with the showroom staff as well as with the employees at
Royal Enfield which helped me to prepare the research Report.
 Secondary data- The Secondary Data collection involved internet
search, browsing magazines, newspapers and articles and papers
related to the two wheeler industry in India. Numerous
Journals and books related to the topic were also browsed to
44
understand the dynamics of the industry.
SAMPLE DESIGN
The research was carried out in various phases that constituted an
approach of working from whole to part. It included subsequent phases trying
to go deeper into the user‘s psyche and develop a thorough understanding of
what the user looks for while buying a bike. In order to get a perspective from
non- Bullet riders as to what are the reasons for not choosing a Bullet, I
administered the same questionnaire to riders who used other motorcycles
keeping in mind the time and cost constraints. For the customer satisfaction
study a sample of 75 persons was chosen from the in Bangalore city. The
sample was judgmental and methodology was convenient random sampling.
Size of Sample 75
Sampling technique Convenient Random Sampling
method
Location from which samples were Bangalore city
taken

PLAN OF ANALYSIS
 Raw Primary data has been collected with help of questionnaire. The raw
data has been tabulated with the help of table. From the tables,
concept, analysis and inferences are drawn which in turn
was used for interpretation. Based on, these charts were
prepared to better pictorial understanding of the study.
 From the set of inferences and interpretation, conclusion have been
drawn which is followed by suggestions, keeping the
objectives in mind throughout the study.


45
OVERVIEW OF CHAPTER SCHEME
Chapter-1 Introduction- It‘s all about the Introduction part. It mainly consists
of introduction to Marketing with its types, approaches, research and market
segmentation. Then comes introduction about Customer Satisfaction with its
steps, customer loyalty and concepts, handling customer complaints, how to
deal with dissatisfied customers and objectives of customer satisfaction
program. Later about automobile industry till date, Indian two wheeler market
and its recent trends.
Chapter-2 Research Design- It consists of the title of the study, statement of
problem, objectives and scope of the study, operational definitions, research
methodology, data collection, sample design, plan of analysis and finally the
limitations of the study.
Chapter-3 Company Profile- This chapter contains the historical background
of the company Royal Enfield, company‘s vision and objective, Royal Enfield
products, organizational chart and SWOT analysis of Indian two wheeler
markets and Royal Enfield.
Chapter-4 Data Analysis and Interpretation- This chapter consists of the
analysis and interpretation from the data collected through questionnaires,
tables and graphs representing it.
Chapter-5 Findings and Conclusion - This chapter contains the findings
drawn from the study and final conclusion about the whole project. Also few
suggestions are posted.
Chapter-6 Suggestions- This chapter contains some suggestions to the
company.

46
 CHAPTER 4
DATA ANALYSIS
AND
INTERPRETATION

47
TABLE No.1
TABLE SHOWING-THE PROFILE OF THE RESPONDENTS
BASED ON AGE

AGE NO. OF PERCENTAGE

RESPONDENTS
20-24 30 40%
25-29 19 26%

30-34 14 18%
Above 35 12 16%

TOTAL 75 100%

Analysis

From the above table it is clear that 40% of the respondents are aged between

20 and 24, 26% between 25 and 29, 18% between 30 and 34 and only 16% aged

above 35 years.

Interpretation

It is revealed that majority of respondents are between 20 and 29 years. From

this we can conclude younger generation and middle age are more interested in

Royal Enfield may be because this is the age where they start earning.

48
GRAPH No.1

GRAPH SHOWING-THE PROFILE OF THE RESPONDENTS

BASED ON AGE

16%

40%
18%

20-24

26% 25-29
30-34
Above 35

49
TABLE No.2
TABLE SHOWING-THE PROFILE OF THE RESPONDENTS
BASED ON GENDER

GENDER NO. OF PERCENTAGE

RESPONDENTS
MALE 69 92%

FEMALE 6 8%

TOTAL 75 100%

Analysis

From the above table it is clear that 92% of respondents were male and female

respondents constituted just 8% of total responses.

Interpretation

It is clear that most of the users of Royal Enfield are males mostly because of

the manly look of the bikes.

50
GRAPH No.2
GRAPH SHOWING-THE PROFILE OF THE RESPONDENTS
BASED ON GENDER

8%

Male
Female
92%

51
TABLE No.3
TABLE SHOWING-THE OCCUPATION OF RESPONDENTS
OCCUPATION NO.OF PERCENTAGE
RESPONDENTS
STUDENT 33 44%

GOVERNMENT 5 6%
SERVICE
EX-SERVICEMEN 3 4%

PROFESSIONAL 21 28%

SELF-EMPLOYED 13 18%

TOTAL 75 100%

Analysis

From the above table it is clear that 44% of the respondents were students

pursuing their graduation or post graduation studies and 28% were

professionals. 18% of the respondents were self employed, 4% were ex-

serviceman and 6% belonged to government services.

Interpretation

It is clear that users are mostly Professional males, 20-35 years of age including

some students because of the looks and power of the bike.

52
GRAPH No.3
GRAPH SHOWING-THE OCCUPATION OF RESPONDENTS

45%
40%
35%
30%
25%
20%
15%
10%
5
%
0
%

No. of Respondents

Student Govt service Ex-servicemen Proffesional Self-employed

No. of Respondents 44% 6% 4% 28% 18%

53
TABLE No.4
TABLE SHOWING-THE ANNUAL INCOME GROUP OF
RESPONDENTS
INCOME GROUP NO. OF PERCENTAGE
RESPONDENTS
LESS THAN 1,20,000 39 52%

1,20,001-3,60,000 10 14%

3,60,001-7,20,000 14 18%

ABOVE 7,20,000 12 16%

TOTAL 75 100%

Analysis

From the above table it is clear that 52% of the respondents had an annual

income of lesser than 1,20,000, 18% had income between 3,60,001 and

7,20,000, 16% earned more than 7,20,000 per annum and 14% had income

between 120001 to 3,60,000.

Interpretation

It shows that Royal Enfield is placing their products in the appropriate and

reasonable price range and the people of income bracket less than 1,20,000 can

easily afford this Bike.

54
GRAPH No.4
GRAPH SHOWING-THE ANNUAL INCOME GROUP OF
RESPONDENTS

16%

18%

52%

14%
L
e
s
s

t
h
a
n

1
,
2
0
,
0
0
0
1
,
2
0
,
55 0
0
1
-
3
TABLE No.5

TABLE SHOWING-THE MODEL OF THE ROYAL ENFIELD THE

RESPONDENTS PRESENTLY OWN
MODEL NO. OF PERCENTAGE
RESPONDENTS
BULLET 500 11
14%
THUNDER BIRD
7
BULLET ELECTRA 10%
MACHISMO 500 15
BULLET 350 20%
6
CLASSIC 500/350
8%
OTHERS
16
TOTAL 21%

17
23%
Analysis
3
4%
From the above it is clear that 14% of the respondents own Bullet 500, 10% of
them own Thunder Bird, 20% of them own 75Bullet Electra, 8% of them own
100%
Machismo 500, 21% of them own Bullet 350 and 23% of them own Classic
500/350.

Interpretation

It clearly shows that customers are not attracted to only one particular model
due to the variants available and because the Classic 500/350 are the newly
released models they are fast moving now.

56
GRAPH No.5
GRAPH SHOWING-THE MODEL OF THE ROYAL ENFIELD THE
RESPONDENTS PRESENTLY OWN

18

16

14

12

10

Bullet 500
4
Thunder Bird
2 Bullet Electra
Machismo 500
0
Bullet 350
No. of
Respondents Classic 500/350
Others

57
TABLE No.6
TABLE SHOWING- THE PURCHASING WAY OF THE
CUSTOMERS

PURCHASED BY NO. OF PERCENTAGE

RESPONDENTS
CASH 54 72%

LOAN 21 28%

TOTAL 75 100%

Analysis

From the table it clearly shows that the products of Royal Enfield are in the

acceptable price range, as we can see that purchasing way of the 72%

respondents are leading in the CASH sector and 28% on loan basis. Customers

are ready to pay for better facilities and technology and they feel that all bikes

deserves that price which Royal Enfield is offering.

Interpretation

It is clear that customers are easily affording the price of Royal Enfield bikes

and they are not feeling much problem with the amount.

58
GRAPH No.6
GRAPH SHOWING- THE PURCHASING WAY OF THE
CUSTOMERS

60

50

40

30

20

10

0 CASH LOAN
No.of Respondents 54 21

59
TABLE No.7
TABLE SHOWING- THE NO OF RESPONDENTS CONSIDERING
OTHER MOTORCYCLE WHILE PURCHASING ROYAL ENFIELD
BIKE

YES/NO NO. OF PERCENTAGE

RESPONDENTS
YES 27 36%

NO 48 64%

TOTAL 75 100%

Analysis

From the table it clearly shows that 36% of the respondents did go consider or

checked for an alternative motorcycle and 64% of them did not consider any

other motorcycle while purchasing their Royal Enfield bike.

Interpretation

It is clear that majority of the customers directly chose Royal Enfield as their

bike and dint even have a look at the nearest alternative bike and this shows the

loyalty of the customers towards the brand Royal Enfield.

60
GRAPH No.7
GRAPH SHOWING- THE NO OF RESPONDENTS CONSIDERING
OTHER MOTORCYCLE WHILE PURCHASING ROYAL ENFIELD
BIKE

64%

70%
36%
60%

50%

40%

30%

20%

10%

0%

YES

NO

No. of Respondents

61
TABLE No.8
TABLE SHOWING- THE SOURCE OF AWARENESS FOR
CUSTOMERS WHILE BUYING THEIR ROYAL ENFIELD BIKE
MEDIA NO. OF PERCENTAGE
RESPONDENTS
NEWSPAPERS 6 8%
MAGAZINES 24 32%
FRIENDS 11 14%
ROADSHOW 7 10%
TV ADDS 5 6%
WEBSITE/BLOGS 15 20%
SHOWROOM 7 10%
TOTAL 75 100%

Analysis

As we can see here the major promotional tool which is influencing the
customers is Magazines and Website which is around 32% and 20%
respectively, after that the source of awareness among customers is a mixed
response where in 14% from friends, 10% each from road shows and
showroom, finally newspapers consists 8% and 6% from Television adds which
is very poor.

Interpretation

It clearly shows that Advertisements are rarely recalled and are highly
ineffective amongst non-Bullet riders. It‘s clear that Royal Enfield should
concentrate on its advertising campaign to reach the customers.

62
GRAPH No.8
GRAPH SHOWING- THE SOURCE OF AWARENESS FOR
CUSTOMERS WHILE BUYING THEIR ROYAL ENFIELD BIKE

35%
30%
25%
20%
15%
10%
5%
0%

newspaper magazines friends and roadshow tv adds website showroom

relations
Respondents 8% 32% 14% 10% 6% 20% 10%

63
TABLE No.9
TABLE SHOWING- THE MILEAGE OF ROYAL ENFIELD AFTER
PURCHASE OF BIKE

MILEAGE NO. OF PERCENTAGE

RESPONDENTS
45km/lit & Above 5 6%

40-45 16 22%

35-40 26 34%

30-35 18 24%

Below 30 10 14%

TOTAL 75 100%

Analysis

From the above table it is clear that 56% of respondents gain mileage of 35-

45km/lit which is really good, 24% of them between 30-35km/lit, 14% below

30km/lit and 6% above 45km/lit.

Interpretation

It clearly shows that mileage of the Royal Enfield bikes is economical &

mileage between 35 and 40 that too on Indian roads with heavy traffic is a great

deal.

64
GRAPH No.9
GRAPH SHOWING-THE MILEAGE OF ROYAL ENFIELD AFTER
PURCHASE OF BIKE

30

25

20

15

10

0 45km/lt 40-45 35-40 30-35 Below 30

No. of Respondents 5 16 26 18 10

65
TABLE No.10
TABLE SHOWING- THE BREAKDOWN OF BIKES SINCE
PURCHASE OF VEHICLE

FREQUENCY OF NO. OF PERCENTAGE

BREAKDOWN RESPONDENTS
VERY OFTEN 8 10%

RARELY 19 26%

NOT AT ALL 48 64%

TOTAL 75 100%

Analysis

From the above table it is clear that 64% of the respondents say that there is no

problems or breakdown of their bikes after purchase, 26% say rarely their bikes

get repaired and 10% of respondents say their bikes breakdown very often.

Interpretation

It is clear that most of the Royal Enfield bikes doesn‘t breakdown at all and it

is not problematic and not involved into repair always.

66
GRAPH No.10
GRAPH SHOWING- THE BREAKDOWN OF BIKES SINCE
PURCHASE OF VEHICLE

10%

26%

64%

Very often
Rarely
Not at all

67
TABLE No.11
TABLE SHOWING- THE PLACE OF PURCHASE OF ROYAL
ENFIELD BIKES & THEIR SATISFACTION LEVEL TOWARDS IT
PLACE OF NO. OF PERCENTAGE
PURCHASE RESPONDENTS
SHOWROOM 48 64%
DIRECT SECOND 22 30%
HAND
USED VEHICLES 5 6%
DEALERSHIP
TOTAL 75 100%

RESPONSE FOR NO. OF PERCENTAGE

SATISFACTION RESPONDENTS
YES 57 76%
NO 18 24%
TOTAL 75 100%

Analysis
64% of the Bullet riders prefer to buy their bike from showroom only and 30%
may buy it Second hand dircetly. But none of them buys the bike through
brokers which shows that reliability of an outside party is low while making the
purchase decision among the Bullet riders.Also 76% of respondents are very
much satisfied with the place of purchase of their bike and 24% are not at all
satisfied.

Interpretation
It is clear that most of the respondents prefer to buy their bike brand new
from showroom only and majority of the customers are very much satisfied
with the place of purchase of their Royal Enfield bike. This also shows there
is more demand for new bikes.

68
GRAPH No.11
GRAPH SHOWING- THE PLACE OF PURCHASE OF ROYAL
ENFIELD BIKES AND THEIR SATISFACTION RESPONSE
TOWARDS IT

48 No. pf Respondents
50
45
40
35
30 22
25
20
15 5
10
5
0
Showroom Direct second hand Used vehicles
dealership

Point of satisfaction

24%

Satisfied
Not Satisfied

76%

69
 TABLE No.12
TABLE SHOWING- THE AVAILABILITY OF SPARE PARTS IN
THE MARKET
AVAILABILITY NO.OF PERCENTAGE
RESPONDENTS
READILY 51 68%
AVAILABLE
DON‘T GET THEM 8 10%
READILY
DON‘T HAVE 12 16%
GOOD SPARES
SUPPLY
MAJOR 4 6%
HEADACHE
TOTAL 75 100%

Analysis

From the above it is clear that 68% of the respondents are satisfied with the

availability of spare parts and remaining 32% of respondents are discontent

with the availability of spare parts.

Interpretation

It is clear that majority of the respondents are satisfied with spare parts

availability and we can say that Royal Enfield has good distribution channel for

spare parts in the city.

70
GRAPH No.12

GRAPH SHOWING- THE AVAILABILITY OF SPARE PARTS IN

THE MARKET

6%

16%

10%

68%

Readily Available
Don't get them readily
Don't have good spares supply
Major headache

71
TABLE No.13
TABLE SHOWING- THE MAJOR PROBLEMS AFTER
PURCHASING ROYAL ENFIELD BIKE
PROBLEMS NO. OF PERCENTAGE
RESPONDENTS
HIGH 11 14%
MAINTENANCE
POOR AFTER SALES 7 10%
SERVICE
HIGH PRICE 15 20%

LOW MILEAGE 8 10%

NOISY VEHICLE 3 4%

NO PROBLEM 31 42%

TOTAL 75 100%

Analysis

Maximum number of people (42%) described that there is no problem with the
bike after purchase, 20% had an issue with the price range, third biggest
problem was 14% of them felt high maintenance was required for the bike, only
4% of them felt it was noisy vehicle and while 10% of respondents each
refrained because of the low mileage and the poor after sales service of Bullet.

Interpretation
It is clear that majority of the people who choose Royal Enfield as their
bike don‘t have any problems or issues with their bike‘s performance.

72
GRAPH No.13
GRAPH SHOWING-THE MAJOR PROBLEMS AFTER
PURCHASING ROYAL ENFIELD BIKE

14%

10%
42%

20%
High maintainance

Poor after sales

service
High Price

4% Low mileage
10%
Noisy vehicle

73
TABLE NO.14
TABLE SHOWING- THE RATING BY THE RESPONDENTS FOR
THEIR SATISFACTION LEVEL WITH RESPECT TO POWER AND
PICK UP
RATING NO. OF PERCENTAGE
RESPONDENTS
POOR 4 6%

AVERAGE 8 10%

GOOD 20 26%

EXCELLENT 43 58%

TOTAL 75 100%

Analysis

From the above table it is clear that 6% of the respondents rated very poor and
they were not at all satisfied, 10% of them rated average, 26% of them rated
good and maximum number of respondents i.e. 58% rated excellent and these
respondents were very much satisfied with their bikes power and pick up.

Interpretation

It is clear that majority of the respondents are satisfied with their bikes power
and pick up. This shows Royal Enfield has an excellent satisfaction level within
the customer.

74
GRAPH No.14

GRAPH SHOWING- THE RATING BY THE RESPONDENTS FOR

THEIR SATISFACTION LEVEL WITH RESPECT TO POWER AND
PICK UP

45

40

35

30
Excellent
25
20 Good

15
Average
10
5
Poor
0

No. of Respondents
No. of Respondents
Poor 4
Average 8
Good 20
Excellent 43

75
TABLE No.15
TABLE SHOWING-THE RATING BY THE RESPONDENTS FOR
THEIR SATISFACTION LEVEL WITH RESPECT TO COMFORT
AND SAFETY
RATING NO. OF PERCENTAGE
RESPONDENTS
POOR 7 9%

AVERAGE 12 16%

GOOD 24 32%

EXCELLENT 32 43%

TOTAL 75 100%

Analysis

From the above table it is clear that 9% of the respondents rated very poor and
they were not at all satisfied, 16% of them rated average, 32% of them rated
good and maximum number of respondents i.e. 43% rated excellent and these
respondents were very much satisfied with their bikes comfort and safety.

Interpretation

It is clear that majority of the respondents are satisfied with their bikes comfort
and safety. This shows Royal Enfield has an excellent satisfaction level within
the customers.

76
GRAPH No.15
GRAPH SHOWING-THE RATING BY THE RESPONDENTS FOR
THEIR SATISFACTION LEVEL WITH RESPECT TO COMFORT
AND SAFETY

9%

16%

43%

Poor

Average

32% Good

Exellent

77
TABLE No.16
TABLE SHOWING- THE RATING BY THE RESPONDENTS FOR
THEIR SATISFACTION LEVEL WITH RESPECT TO AFTER
SALES SERVICE
RATING NO. OF PERCENTAGE
RESPONDENTS
POOR 11 14%

AVERAGE 13 18%

GOOD 27 36%

EXCELLENT 24 32%

TOTAL 75 100%

Analysis

From the above table it is clear that 14% of the respondents rated very poor and
they were not at all satisfied, 18% of them rated average, 36% of them rated
good and maximum number of respondents i.e. 32% rated excellent and these
respondents were very much satisfied with the after sales service.

Interpretation

It is clear that majority of the respondents are satisfied with their after sales
service and few respondents are not at all satisfied. This shows Royal Enfield
has a good satisfaction level within the customers.

78
GRAPH No.16
GRAPH SHOWING- THE RATING BY THE RESPONDENTS FOR
THEIR SATISFACTION LEVEL WITH RESPECT TO AFTER
SALES SERVICE

30 27

24

25

20

13
15 11

10

0
Poor Average Good Excellent

No. of Respondents

79
TABLE No.17
TABLE SHOWING- THE RESPONDENTS OPINION OF THE
MAJOR BARRIER FOR NOT PURCHASING ROYAL ENFIELD
BIKES BY NON-BULLET RIDERS
PROBLEMS NO. OF PERCENTAGE
RESPONDENTS
HIGH 11 14%
MAINTENANCE
POOR AFTER SALES 7 10%
SERVICE
HIGH PRICE 15 20%
LOW MILEAGE 8 10%
NOISY VEHICLE 3 4%
POOR PROMOTION 31 42%
TOTAL 75 100%

Analysis

Maximum number of people (42%) described that there is very poor promotion
for the Royal Enfield, 20% had an issue with the price range, third biggest
problem was 14% of them felt high maintenance was required for the bike, only
4% of them felt it was noisy vehicle and while 10% of respondents each
refrained because of the low mileage and the poor after sales service of Bullet.

Interpretation

It is clear that People who choose not to buy Bullets do so because of low
promotion, high price and maintenance. So Royal Enfield should concentrate on
their promotional campaigns and make sure it reaches the common man.

80
GRAPH No.17

GRAPH SHOWING- THE RESPONDENTS OPINION OF THE

MAJOR BARRIER FOR NOT PURCHASING ROYAL ENFIELD
BIKES BY NON-BULLET RIDERS

14%

42%

10%

High maintainence
20%
Poor after sales service

High price
4%

10% Low mileage

Noisy vehicle

Poor Promotion

81
TABLE No.18
TABLE SHOWING - THE PLACE OF SERVICE OF RESPONDENTS
BIKE
PLACE OF NO. OF PERCENTAGE
SERVICE RESPONDENTS
SHOWROOM 34 45%

WELL KNOWN 29 38%

BULLET
MECHANIC
NEARBY GARAGE 4 6%

SELF SERVICE 8 11%

TOTAL 75 100%

Analysis

From the above table we can say that 45% of the respondents prefer their

service of their bike in showroom, 38% of them with well known bullet

mechanic, 6% of them in nearby garage and 11% of them prefer self service to

their bike.

Interpretation

It is clear that most of the respondents service their bikes in the showrooms and

also with a well known bullet mechanic. There is no much difference but this

shows people have less trust with the showroom service.

82
GRAPH No.18
GRAPH SHOWING- THE PLACE OF SERVICE OF RESPONDENTS
BIKE

Showroom Well known bullet mechanic Nearby garage Self service

11%

6%

45%

38%

83
TABLE No.19
TABLE SHOWING- THE RESPONDENTS OPINION AND LEVEL
OF SATISFACTION ABOUT THE COMPANY TAKING ACTION
TOWARDS COMPLAINTS LODGED BY THE CUSTOMERS

YES/NO NO. OF PERCENTAGE

RESPONDENTS
YES 55 73%
NO 20 27%
TOTAL 75 100%

RESPONSE FOR NO. OF PERCENTAGE

SATISFACTION RESPONDENTS
YES 49 66%
NO 26 34%
TOTAL 75 100%

Analysis
The above table shows that 73% of the respondents accept that the company
takes action towards the complaints lodged by the customers and 27% disagree
for the same. Also the satisfaction level is 66% by the respondents and 34% are
not satisfied.

Interpretation
It is clear that most of the respondents agree that the company takes action
towards the complaints lodged by the customers and also the satisfaction level
of the customers is very high. This shows Royal Enfield checks at the
complaints registered by their customers on regular basis to maintain its brand
value.

84
GRAPH No.19
GRAPH SHOWING- THE RESPONDENTS OPINION AND LEVEL
OF SATISFACTION ABOUT THE COMPANY TAKING ACTION
TOWARDS COMPLAINTS LODGED BY THE CUSTOMERS

55

60

40
20

20

Yes

No

No. of Respondents

Point of satisfaction

No
34%

Yes
66%

85
TABLE No.20
TABLE SHOWING- THE RESPONDENTS OPINION ABOUT
PARTICIPATING IN THE RIDER MANIA ORGANIZED BY THE
ROYAL ENFIELD CLUB

YES/NO NO. OF PERCENTAGE

RESPONDENTS
YES 62 82%
NO 13 18%

TOTAL 75 100%

Analysis

The above table shows that 82% of the respondents are wants to participate in

the Rider Mania and 18% of them are not interested.

Interpretation

It clearly shows that majority of the respondents are very much interested in

Rider Mania and also shows that respondents are very passionate Enfield fans.

86
GRAPH NO.20
GRAPH SHOWING- RESPONDENTS OPINION ABOUT
PARTICIPATING IN THE RIDER MANIA ORGANIZED BY THE
ROYAL ENFIELD CLUB

18%

82%

Yes
No

87
 CHAPTER 5
FINDINGS AND CONCLUSION

88
FINDINGS

1. It is revealed that majority of users are between 20 to 29 years. From this

we can conclude younger generation and middle age are more

interested in Royal Enfield may be because this is the age

where they start earning.

2. It is clear that most of the users of Royal Enfield are males mostly

because of the manly look of the bikes.

3. Users are mostly Professional males, 20-35 years of age including some

students because of the looks and power of the bike.

4. Royal Enfield is placing their products in the appropriate price range. As

the people of this income bracket less than 1,20,000 can easily

afford this Bike.

5. Customers are not attracted to only one particular model due to the

variants available and because the Classic 500/350 is the newly released

models they are fast moving now.

6. Customers are easily affording the price of Royal Enfield bikes and they

are not feeling much problem with the amount and purchasing way of

most of the customers is leading in cash sector.

7. Majority of the customers directly chose Royal Enfield as their bike and

dint even have a look at the nearest alternative bike and this

shows the loyalty of the customers towards the brand Royal Enfield.

89
8. Advertisements are rarely recalled and are highly ineffective amongst non-

Bullet riders. It‘s clear that Royal Enfield should concentrate on its

advertising campaign to reach the customers.

9. It clearly shows that mileage of the Royal Enfield bikes is economical &

mileage between 35 and 40 that too on Indian roads with heavy traffic is a

great deal.

10.Most of the Royal Enfield bikes doesn‘t breakdown at all, it is not

problematic and not involved into repair always.

11. It is clear that most of the respondents prefer to buy their bike brand new

from showroom only and majority of the customers are very much

satisfied with the place of purchase of their Royal Enfield bike. This also

shows there is more demand for new bikes.

12.It is clear that majority of the respondents are satisfied with spare parts

availability and we can say that Royal Enfield has good distribution

channel for spare parts in the city.

13.It is clear that majority of the people who choose Royal Enfield as their

bike doesn‘t have any problems or issues with their bike‘s performance.

14.Majority of the respondents are satisfied with their bikes power and pick

up. This shows Royal Enfield has an excellent satisfaction level within the

customer

90
15. Majority of the respondents are satisfied with their bikes comfort and

safety. This shows Royal Enfield has an excellent satisfaction level within

the customers.

16. Majority of the respondents are satisfied with their after sales service and

few respondents are not at all satisfied. This shows Royal Enfield has a

good satisfaction level within the customers.

17. It is clear that People who choose not to buy Bullets do so because of low

promotion, high price and maintenance. So Royal Enfield should

concentrate on their promotional campaigns and make sure it reaches the

common man.

18. It is clear that most of the respondents service their bikes in the

showrooms and also with a well known bullet mechanic. There is no much

difference but this shows people have less trust with the showroom

service.

19. Most of the respondents agree that the company takes action towards the

complaints lodged by the customers and also the satisfaction level of the

customers is very high. This shows Royal Enfield checks at the

complaints

registered by their customers on regular basis to maintain its brand value.

20. Majority of the respondents are very much interested in Rider Mania and

also shows that respondents are very passionate Enfield fans.

91
CONCLUSION

The study has helped Royal Enfield dealers to understand whether

the customers are satisfied or not. If not what are main reasons for
dissatisfaction of customer towards the dealer and what are the ways of
improving the satisfaction level of customer towards dealer.

We can conclude younger generation and middle age are more

interested in Royal Enfield, the buying behavior is governed predominantly by
the need for Power and respect for the iconic Brand and users are mostly
Professional Males, 20-35 years of age, including some students. Most of the
customers are attracted to newly released Classic 350/500, also customers are
easily affording the price of Royal Enfield bikes and customers are very loyal
towards the brand Royal Enfield.

Royal Enfield should concentrate on its advertising campaign to reach

the customers, mileage of the Royal Enfield bikes is very economical and most
of them prefer to buy their bike brand new from showroom with the spare parts
available in market easily.

Royal Enfield has an excellent satisfaction level within the customer

for its power, pick up, comfort, safety and with after sales service.

It is clear that Royal Enfield checks at the complaints registered by their

customers on regular basis to maintain its brand value and entire Royal Enfield
owner are passionate Royal Enfield fans.

92
 CHAPTER 6
SUGGESTIONS

93
SUGGESTIONS

 Aggressive selling- The Company should follow an aggressive selling

concept. A non-aggressive selling concept which is clearly visible in

its advertising campaign which does not hit on the customer rather

aims to provide information in a subtle manner.

 Promotional campaign- The Royal Enfield ads seen on electronic and

print media are absolutely out of touch with the Indian culture and

thought process. An Indian consumer irrespective of their income level

has a soft corner for traditions and culture of India. Hence, all

companies including market leaders like Hero Honda and Bajaj

capitalize on this behavior of customers and design their ad campaigns

keeping India in mind.

 Weak follow up from dealerships- It was observed during the study

that Royal Enfield was quite weak in following up with prospective

customers.

 Measures should be taken to improve its dealership- Showrooms are

very small in size and do not reflect the quality and scale of Royal

Enfield in the market.

 Should improve the after sales service- During the survey it was found

that Royal Enfield is not satisfying all their customers in after sales

services, employees at dealership sometimes use harsh words and

become
94
 rude to the customers, parts of the bike are not easily available in the

market. This is the major drawback in capturing the market share so

Royal Enfield should take some better steps to satisfy and retain

their customers.

 Increase in customer query response- During the study it was found

that dealers are not satisfying the queries of customers and so

suggested to increase customer query response by dealers.

 Youth oriented promotion- Company should focus more on

younger generation as it can increase sales and market share in

Bangalore.

 Purchasing way of customers- Customers are easily affording the price

of Royal Enfield bikes and they are not feeling much problem with the

amount. But the company should also take some steps towards making

purchase easier through bank loans and EMI‘s.

 Marketing communication- It should focus on satisfying the needs

for Respect, Power, Safety and Comfort.

 Brand ambassador- A non-flamboyant well-built brand ambassador may

be chosen to represent the Brand. It is necessary for Royal Enfield to

have a brand ambassador from India to connect with the Indian customer.

 Build iconic status- Royal Enfield should concentrate on building around

the iconic status it already enjoys if it plans to attract customers

migrating to other manufacturers.

95
LIMITATIONS OF THE STUDY
 This research is geographically restricted to Bangalore city only. Hence
the result cannot be extrapolated to other places.
 The study is restricted only to the organized sector of two
wheeler industry.
 Sample size was confined to 75 respondents keeping in view of time
and cost constraints.
 Findings are based on sample survey. The information executed by
respondents may or may not be true because some respondents may not
be serious. However all possible has been made to collect the
information as authentically as possible.
 All interview questions are undisguised or direct. Hence there is a
scope for the respondents to be biased or pretentious.
 This project has been taken up at the undergraduate level and the
knowledge and experience of the student is limited and hence may not
be professional enough.

96
BIBLIOGRAPHY

97
 BIBLIOGRAPHY

Books Referred

 Marketing Management, 13th edition - Philip

Kotler
 Survey Research Methods - Charles
Babbie

Magazines Referred

 The Bullet-In, The Magazine For All Royal Enfield

Bullet Enthusiasts.

 Royal Enfield Magazine, The BEAT.

Websites Referred

 www.google.com

 www.royalenfield.com

 www.wikipedia.org

 www.enfieldmotorcycles.com

98
ANNEXURE

99
QUESTIONNAIRE
I am Venu S, a final year BBM student from Presidency College.
This information is required for successful completion of my project ‗A
Study on Customer Satisfaction towards Royal Enfield bikes, Bangalore.‘ I
request you to kindly spare some of your time and fill the questionnaire
below. Thank you.

RESPONDENT INFORMATION

Name:

1. Age:

2. Gender : Male Female

3. Occupation:

Student Government service

Professional Self employed other

4. Annual
Income:
Less than 1, 20,000 1, 20,001-3, 60,000

3, 60,001-7, 20,000 Above 7, 20,000

5. Which model of Royal Enfield do you presently

own?
Bullet 500 Thunder Bird

Bullet Electra Machismo 500 Bullet 350

Classic 500/350 others

6. How did u purchase the bike?

Cash Loan

100
7. Did u consider other motorcycle while buying the Royal Enfield bike?

Yes No

- If yes which bike did you

compare with? Bike cc

8. Please specify your source of awareness of Royal Enfield while

buying your bike?
Newspapers Magazines Friends

Road shows TV Adds Website/blogs

Showroom Others

9. Please specify your bike‘s mileage?

45km/lit & above

40-45 35-40 30-35 Below 30

- Are you satisfied with the bikes

mileage?
Yes No

10. Frequency of breakdown of your bike?

Very often rarely Not at all

11. Which place did you prefer to purchase your Royal Enfield
bike?

Showroom Direct second

hand Used vehicles dealership

Are you satisfied purchasing there? YES

NO

101
12. How about the availability of spare
parts?
Readily available don‘t get them readily

Don‘t have good spares Major headache

supply

13. Any major problems after purchasing Royal Enfield

bike?

No problem
High maintenance Poor after sales service

High price Low mileage Noisy

vehicle

14. How many stars will u rate for your satisfaction level with respect
to power and pick up of your Royal Enfield bike? Poor Average
Good Excellent

15.How many stars will u rate for your satisfaction level with respect
to comfort and safety of your Royal Enfield bike?

16.How many stars will u rate for your satisfaction level with respect to
after sales service of your Royal Enfield bike?

17. How does your friend say to your Royal Enfield

bike?
102
 Trendy Macho

High Cost Low mileage

Expensive spare parts

Others- If any

18. What do you think is the major barrier for not purchasing Royal
Enfield bikes by non-bullet riders?

High Maintenance Poor after sales service

High price Low mileage

Poor promotion Noisy vehicle

19. Where do you service your Royal Enfield bike?

Showroom Well known bullet mechanic

Nearby garage self service

20. Do you agree that company takes action towards the complaints lodged
by the customers?

YES NO

Are you satisfied with their replies?

YES NO

21. How many times have you suggested your friends or relatives to
purchase of Royal Enfield bikes?

1-2 3-4 More than 5

103
22. Would you like to participate in the Rider Mania organized by the
Royal Enfield club?

YES NO

23. Any suggestions

104