Analysing Customer Satisfaction- a study with special reference to Birla Cement

Ashish SaxenaMBA III SEM

Introduction of Cement Industry

• Cement is the most essential raw material in any kind of construction Activity.

• The first cement industry in India was set up at Porbundar, by the India Cement Company Ltd in Gujarat in 1914

• China produces 1400 million tones per year and India produces a mere 257 million tones.

• Indian Cement Industry is now the second largest cement producer in the world, next only to China.

• India’s share in the world’s cement production is around 6%.

• This industry is mainly concentrated in Andhra Pradesh (16%), Rajasthan (15.5%), Madhya Pradesh (9%), Gujarat (9%), Tamil Nadu (13%), Maharashtra (6%), Karnataka (7%) and Chhattisgarh (5%).

About Cement

• Cement basic raw material is limestone (calcium carbonate). The limestone used in manufacturing on Cement should have at least 80% purity. The purest form of limestone is marble.

• Major Manufacturing process :-

11. Mining

2. Crushing

3. Grinding

4. Blending

5. Burning/ Baking

6. Grinding

7.Packing

As per the Report of the Working Group on Cement Industry for the XI Five Year Plan (2007-2012), the projected demand of cement for three Years is as given below:

Year Demand of

Cement

2010-11 231.66

2011-2012 257.61

2012-13 290.00

(In Million Tones)

The actual cost of sales, including interest and commission per bag

Details Rs/per bag (50 kg)

OPC 185

PPC 125

Source:- The Ministry of Commerce and Industry ltd.

Top 10 Cement Companies in India

BIRLA CORPORATION LIMITED

Ghanshyam Das Birla set up the first Indians-owned jute mill in Kolkata. Brand Name The cement is marketed under the brand names of Birla Cement KHAJURAHO,

Birla Cement SAMRAT and Birla Cement DURGAPUR.Cement Division• Chittorgarh Birla units / Chanderia Cement Works share is around Rs.865

Crores, which is 33.2% of the companies turnovers. These plants manufacturing the variety of cement like:

1. Ordinary Portland Cement (OPC) 2. Pozzolana Portland Cement (PPC).

The main Marketing areas are Rajasthan, Haryana, Punjab, Delhi, Gujarat, Western U.P. and Maharashtra.

Objective of Research

• To identify the key attributes that configure perception about cement brand.

• To analyse the customer perception about the Birla cement brand on the identified attributes.

Research MethodologyProject Research type Exploratory research

Data Sources Primary Data

Research Approach Survey Method

Research Instrument Questionnaire

Data Analysis Descriptive statistics

Sampling Technique Random Sampling

Sample Size 100 Respondents

Universe Of Study Chittorgarh Region

Duration of the survey 45 days

Awareness about brand Birla

Analysis:- Almost all the consumers are aware about the brand.

Yes No0

5

10

15

20

25

30

35

4036

2

Birla cement being used for construction

Analysis:- The major part of the sample have used Birla cement for their house hold construction or other.

Yes No0

5

10

15

20

25

30

35

4035

4

Feature of Birla cement is more enjoyed by consumers

Analysis: Customers evenly enjoy consuming Birla Cement and as per the analysis Fast setting of the cement is the most attractive feature followed by colour, Packing and Technical support by the company.

Color packaging fast setting Technical support2.25

2.30

2.35

2.40

2.45

2.50

2.55

2.60

2.53

2.44

2.58

2.38

Area must be taken into consideration for raising the goodwill of an organisations

Analysis:- As per survey consumers preferred the cost to be looked upon for raising Goodwill and later followed by on time supply ,home delivery ,advertisement and dealers goodwill.

Low Cost On Time Home delivery ADS. Goodwill0.00

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00 3.76

3.02 3.13

2.602.24

Whose advice you prefer more before the purchase of cement

Analysis:-Mason was ranked at the top by the consumers followed by contractor, Engineers advice being the third choice of the consumer and ranking friend and relatives on fourth and dealer on fifth.

Mason Contractor Friend/Family Engineer Dealer No One0.00

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50

5.004.42

4.00 3.913.56

2.60 2.56

Most frequent source for advertisement and visibility of brand ads

Analysis:-As per consumer response we found that Tractor is the most prominent source of advertisement and Wall painting very close to it but the second choice of the consumers, Newspaper the third preference.

Hordings Wall painting Tractor Newspaper T.V Diary/ring0.00

0.50

1.00

1.50

2.00

2.50

3.00

3.50

4.00

4.50

2.93

4.044.27

3.69

2.49 2.47

Birla cement Ranking in relation with others cement brands

Analysis:- Dealer ranked Birla cement best in comparison with other cement brands. Some even ranked it good

Best Good Average Poor02468

101214161820

18

15

5

2

On time supply of Birla cement

Analysis:- All most all the dealers respond positive for delivery on time aspect

Yes No05

1015202530354045

40

0

Technical help provided by company

Analysis:- All responses where in favour for the company’s technical support.

Yes No05

1015202530354045

40

0

CONCLUSIONS • Customers are well aware about the brand

• The most of the market of Dist –Chittorgarh is covered by Birla cement, ultratech, J.k and Ambuja.

• Mainly consumer prefer Dark colour of cement followed by Fast Setting, Packing and Technical support.

• Mason, Contractor and Engineer play the major role in purchasing of cement.

• Wall painting are found to be the most effective media of advertisement.

• Dealer ranked Birla cement best in comparison with other cement brands

SUGGESTIONS

• To increase the brand image of company should focus on Low price and on-time availability supported by home delivery and ad's.

• Company should provide training to retailers and provide them with general knowledge about various aspects of Birla cement.

• Company’s sales executives should meet retailers time to time. Organise meetings, and conferences with contractors .

.• TV Ads must also be given importance apart from wall painting and

hoardings.