Theoretical background of customer satisfaction Satisfaction: It is no longer enough to satisfy customers. You must delight them. Satisfaction is a person feeling of pleasure or disappointment resulting from comparing the products to comparing products received performance is or (out come) in relation to his or her expectations. As this definition makes clear satisfaction is a function of received performance and expectations. With the performance falls sharp expectations, the customer is dissatisfied. If the performance matches the expectations the customer is satisfied. With the performance exceeds expectations, the customer is highly satisfied or delighted. Mini companies are aiming for high satisfactions because customers who are just satisfied still find it easy to switch when a better offer comes along. Those who are highly satisfied are much less ready to switch. High satisfactions are delight creates an emotional brand with the brand. Not a just rational performance the result is high customer loyalty Xeroxes senior managers believes that a very satisfied or delighted customer is worth tent times as much to the company as a satisfied customer. A very satisfied customer is likely to stay with Xerox many more years and buy more than a satisfied customer. A customer's decision to be loyal or to defect is the some of many small encounters with the company. Consulting form forum corporation says that in order for all this small encounters to add up to customers loyalty, companies need to create a" branded customer experiences" in addition to customer value expectations and satisfactions companies need to monitor their competitors performance in this areas. For example a company was pleased to find the 80% of his customers said they were satisfied. Then the CEO found out that its leading competitor attends a 90% customer satisfaction score. He was further dismayed when he learned that this competitor was aiming to reach a 95% satisfaction score.
For customer-centered companies, customer satisfaction is both goal and marketing tool. Companies that achieve high customer satisfaction ratings make sure that their target market knows it. Although the customer-centered firm seeks to create high customer satisfaction, its main goal is not to maximize customer satisfaction. If the company increases customer satisfaction by lowering its price or increasing its services, the result may be lower profits. The company might be able to increases its profitability by means other than increased satisfaction (for example, by improving manufacturing processes are investing more in r&b (also the company has many stake holders including employers, dealers, suppliers and stock holders. Spending more to increase customer satisfaction might divert funds from increasing the satisfaction of other partners. Ultimately the company must operate on philosophy that it is trying to deliver faction to other stake holders within the constraints of its total resources. Customer satisfaction service: Studies show that although customers are dissatisfied with one out of every 4 purchases. Less than 5% of dis-satisfied customers will complain. Most customers will buy less or switch suppliers. Complaint levels are thus not a good measure of customer satisfaction.
Responsive company measure customer satisfaction directly by conducting
periodic service, they sent questionnaires or make telephone calls to a random sample of recent customers. While collecting customer satisfaction data, it is also useful to ask additional questions to measure repurchase intention; this will normally be high if the customer's satisfaction is high. It is also useful to measure the likelihood or willingness to recommend the company and brand to others. A high positive word-of-mouth score indicates that the company is producing high customer satisfaction. Defining customer satisfaction Over 35 years above peter drucker observed that a companies first task is to create customers. But today's customers face a vast very of product and branch choices, prices and suppliers. We believe that customers estimate which offer will deliver the most value. Customers are very valuable maxi misers, with in the bounds of search costs and limited knowledge, mobility and income the form and expectations of value and act on it. Whether
are not the offer lives up to value expectations affects both satisfaction and repurchase prop ability. The key to customer retention is customer satisfaction. A highly satisfied customer: 1. Stays loyal longer 2. Buys more as the company introduces new products and upgrades existing products. 3. Talks favorably about the company and its products 4. Pays less attention to competing brands and advertising and is less sensitive to price. 5. Offers product or service ideas to the company 6. Costs less to serve than new customers because transactions are routinized Thus a company would be wise to measure- customer satisfaction regularly. The company could phone recent buyers and inquire how many are very satisfied, satisfied, indifferent, dissatisfied, and very dissatisfied. 100% guarantee Ah of our products are guaranteed to give 100% satisfaction in every way. Return anything purchased from us at any time if it proves otherwise. We will replace it, refund your purchase price or credit your credit card, as you wish. We do not want you to have anything from l.l.bean that is not completely satisfactory. A buyer's satisfaction is a function of the product's perceived performance and the buyer's expectations. Recognizing that high satisfaction leads to high customer loyalty, many companies today are aiming for tcs - total customer satisfaction. For such companies, customer satisfaction is both a goal and a marketing tool. Quality is the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs. Today's companies have not choice but to implement total quality management programs if they are to remain solvent and profitable. Total quality is the key to value creation and customer satisfaction.
Customer satisfaction:
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Today in the customer driven economy, ail firms are engaged in a rat race to attract customers and build) a long term relationship with their loyal customer. The key to customer loyalty is through customer satisfaction. A satisfied customer will act as a spoke person of the company's product, and bring in more buyers. There is the pareto orincioal or the 80/20 rule, it says 80 % of one thing comes from 20% of another. That is to say a small percentage of loyal customers will lend a large weight to the company's sales. So marketers have to ensure customers value satisfaction. For this they have to ensure. 1. Products are developed to meet customer requirements. 2. Brands are positioned so as to convey distinctiveness. 3. Relationships are built to offer lifetime customer value to enable the customer to experience value satisfaction. All the efforts of the marketers at trying to understand buying motives. Organizing buying behaviour and working out suitable promotional strategy to suit the customer behaviour is to ensure customer satisfaction. In today’s competitive environment, where companies are adopting various methods to whom the prospective customers, marketers have to make all efforts to understand all the complexities which go into the behaviour and frame marketing programmes suitable to the target market.
FINDINGS 1. It is found that majority of customers prefer colour and camera model
handsets.
2. It is found that majority of customers prefer sony due to its quality.
3. It is found that majority of customers are satisfied with sony.
4. It is found that the influencing factor for customers to purchase sony is
through advertisements.
5. It is found that customers are satisfied with value added features of sony.
SUGGESTIONS 1. The company should come up with new handset models compared to
samsung and lg.
2. The customers feel that the prices of sony should be reduced.
3. The company needs to improve the sales promotional activities.
4. According to the survey the customers prefer more models with different
price levels. So the company has to concentrate on these in order to attain
more market share.
5. Though the company is leading the market, it should beware of competitors
like motorola, which is also trying to compete with sony by offering better
quality products at economical prices.
RESEARCH METHODOLOGY “To manage the business well is to manage its future and to manage the future is to manage information”. To collect the information, marketing research is to be done. Marketing research has been defined as “the systematic gathering, recording and analyzing of data about problems relating to marketing of goods and services from producer to customer”. -By American Marketing Association Research Methodology refers to the various methods and techniques involved in the process of research. The information required for the preparation of the report is collected through two Sources viz; 1. Primary Data 2. Secondary Data
1. PRIMARY DATA: The data collected for a purpose for a particular problem in original is known as “Primary Data”. It consists of all the answers in first hand. Sources of primary data: The sources are divided into basically two types internal and external. Internal source analysis is referred to as sales analyses. The external sources include the sales man, dealers and customers.
On the basis of requirement the information is collected
from anyone or all of the sources.
Methods of collecting Primary data: The collection of information is referred to as primary method. There are various methods in which primary data can be adopted and thus can be broadly classified as survey methods and experimental methods.
Survey methods: The survey is a complex operation, which requires some technical Knowledge. Survey methods are of personal character and depending on the information required there are six major types of surveys. Facts Survey - Collects only facts. Opinion Survey – Opinions in various problems are collected. Attitude Survey – Determines the attitudes of the customers. Future inventions Survey – Used to find on discover future trends. The Reason why Survey – Seeks to determine why a person has done something to do something in future. Ones survey may contain several types since it may give several
and better
kinds of information. The various kinds of surveys are carried out through different methods. Usually three general methods are used to conduct a survey.
2. SECONDARY DATA: The data collected from the public sources i.e., not originally
Collected for
the first time is called secondary data. Suppose we want to know the population of the city, we need not go house to house to collect the same but can referred to the census report. SAMPLING UNITS 1) Sampling unit
: Professionals, Common people and students are surveyed
2) Sampling Size
: 100
3) Sampling procedure : Stratified random sampling is used
Limitations A part from the need and importance of the study, they are limitations also. The limitations are studies are: 1. The study is combined to only kurnool city. So we cannot say the over all information 2. The survey was carried about to 15 to 20 days only, which was a constraint. 3. Time factor is the main limitation for the study. 4. The methods used in this project are random sampling methods & results obtained may not be fully accurate & believable. 5. The research has been centered to only 100 customers rather than millions. Customers around the world. 6. Some of the customers are not interested to give the accurate information about their sony . The conclusions drawn are subjected to the information provided by the various buyers contacted. Objectives are: 1. To know up to what extent the sony handycams has satisfied the customers. 2. To know the mode of purchase by the customers. 3. To know the type of usage made by the customers. 4. To know about the services rendered by the dealer. 5. To know the customers changing attitude. 6. To know the problem faced by the sony handycams customers. 7. To study the price, trends 8. To understand the advantages and limitations of the product. 9. To know the sales promotional activities done by sony 10. To know whether customers are satisfied with value added feature of sony.
11. To know whether the customers are aware of all the products released by the company.
