11081_harsh Vikram Singh_Khaitan Final Report

7/31/2019 11081_harsh Vikram Singh_Khaitan Final Report

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DEALERS PERCEPTION

ABOUT Khaitan FansREPORT PREPARED BY,

Harsh Vikram singh (11081)

WORK CARRIED AT

Khaitan fans, delhi

Submitted in partial fulfillment of the requirement of

Summer Internship Program

Under the Guidance of

Mr. Manish goel

Area sales Manager,

Khaitan fans Delhi


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Khaitan Fans Page 2

Certificate of the Company

This is to certify that Mr/Ms_________________________ currently

studying Post Graduate Diploma in Management at SDM Institute for

Management Development, Mysore has satisfactorily completed

Summer Internship project titled

_____________________________________________

_________________________________________________ related

to _________________stream of Management from ____________to

________.

Signature: Date:

Name: Place:

Name & Address of Organization:

Organizational Stamp:


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Khaitan Fans Page 3

Certificate by the college

This is to certify that Roll No___________ Mr. /MS ____________________

Of PGDM Batch 2011-13 has satisfactorily completed Summer Internship

Project titled

_________________________________________________________ at

M/S_____________________________ located at ____________ from

_______________ to ______________ to partially fulfill the requirements

Of the PGDM program under my guidance.

Signature: Date:

Name:

Designation:

SDM Institute for Management Development, Mysore.

Institute Stamp:


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Khaitan Fans Page 4

EXECUTIVE SUMMARY

Dissertation Title: Dealers Perception about Khaitan Fans

Supervisor: Mr. Manish Goel

Name of the Student: Harsh Vikram Singh (11081)

Over the past five decades Khaitan elecrtical Limited, has emerged as Indias largest

electrical appliances company caring to the needs of families in the country. Khaitan

electrical Limited has the widest product portfolio covering all aspects of the

appliances making it the only brand to offer TOTAL ELECTRICAL PRODUCTS to

the customer. The product range includes ceiling fans,table fans, wall mounting fans,

pedestal fans,Air circulator fans,ventilating fans,High speed fans and many other

small electrical appliances.

The project has perormed in the marketing wing of khaitan fans. The company has a

wide distribution network in the country. Company has direct dealers, distributers

and sub dealers. The project was mainly a market research to get to know how much

the dealers are satisfied with the company. The work location assigned to me was

Delhi.To fulfil this objective, I met the main direct dealers and few sub dealers. I had

spent considerable amount of time in collecting data. I had collected the details such

as the performance of the company products, trade scheme details, after sales

service etc. All these information were really helpful to accomplish the objective.

During the study I had realised that most of the dealers were not happy with the

service provided by the company. They are finding it difficult to resolve the issues in

Electrical appliances.

The survey explored most of the problems that the dealers and company facing in

the market, and its output will help the company to overcome all these in future.

There are more opportunities in the market which the company can capture and fulfil

its dream Every House has atleast one khaitanproduct.

Signature of the student Signature of the guide

Harsh Vikram Singh Mr. Manish goel


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Khaitan Fans Page 5

ACKNOWLEDGEMENT

I take the opportunity to express my deep gratitude to Mr. Manish Goel (Area sales manager)

and Rajeev Rana(Manager) for taking me as a summer trainee & extending me his full

support & co-operation towards the completion of this project. I am really grateful for their

valuable suggestions and feedback. I am indebted to Mr. Sushil, Product Manger khaitan fans

for granting me this splendid opportunity to work for this project. I am really thankful to all

other staff working in that office in Khaitan fans Delhi for providing me the necessary

facilities and unmatched ambience that helped me in completing the project. I extend my

heartfelt thanks to all the Territory Sales Officers and dealers for their valuable suggestions.

Sincere appreciation is extended to prof. Mihir K.Mahapatra, the internal faculty guide ofSDMIMD, for providing me with timely feedback and guidance for efficient execution of the

Project. This opportunity was a great learning experience, which would not have been

possible without the support from the management of SDM-IMD and I am indebted to them.


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Table of ContentsCertificate of the Company ..................................................................................................................... 2

Certificate by the college ........................................................................................................................ 3

EXECUTIVE SUMMARY ............................................................................................................................ 4

ACKNOWLEDGEMENT ............................................................................................................................. 5

Khaitan Fans Company profile ............................................................................................................. 9

Project Overview ................................................................................................................................... 10

Objectives ............................................................................................................................................. 10

The Deliverables associated with the Project ....................................................................................... 10

Scope of the Study ................................................................................................................................ 10

Methodology ......................................................................................................................................... 11

Analysis ................................................................................................................................................. 11

MARKET SEGMENTATION ..................................................................................................................... 11

DEMOGRAPHIC SEGMENTATION:- ............................................................................................... 12

GEOGRAPHIC SEGMENTATION..................................................................................................... 12

SWOT ANALYSIS .............................................................................................................................. 12

CURRENT SITUATION ............................................................................................................................ 13

MARKETING STRATEGY ......................................................................................................................... 14

Examples of smart objectives: .............................................................................................................. 15

PRODUCT DECISIONS: ..................................................................................................................... 15

PRODUCT LIFE CYCLE .................................................................................................................... 15

FOUR PS OF MARKETING .............................................................................................................. 16

Distribution Channel ............................................................................................................................. 17

CHANNELS OF DISTRIBUTION ...................................................................................................... 17

COMPETITIVE ANALYSIS ............................................................................................................... 18

STRENGTHS & WEAKNESSES OF COMPETITOR: ...................................................................... 18

SWOT ANALYSIS OF COMPETITORS:........................................................................................... 19

SERVICES............................................................................................................................................ 19

MARKET PENETRATION STRATEGY ........................................................................................... 19

Product Details ................................................................................................. 20

Functional Area ............................................................................................................................. 20

Aesthetic/look ............................................................................................................................... 21

Finish/ Polishing ............................................................................................................................ 22

Packaging ...................................................................................................................................... 23


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Sales man visit of the company ....................................................................... 24

Service from the Branch .................................................................................. 24

Order-time-supply ............................................................................................ 24

After Sales Service ........................................................................................... 24

1) Availability of Spares ............................................................................................................. 24

2) Imparting product knowledge by the service division .......................................................... 25

3) Regular service training......................................................................................................... 25

4) Quick response from the branch service to your issues ....................................................... 25

5) On time product replacement .............................................................................................. 25

Commercial ...................................................................................................... 26

Trade Schemes .............................................................................................................................. 26

Scheme Settlement ........................................................................................................................ 27

New product launch/ extension..................................................................................................... 28

Pricing ........................................................................................................................................... 28

Overall rating ................................................................................................... 29

Observations & Findings ...................................................................................................................... 31

Product Details ................................................................................................. 31

Functional Area ............................................................................................................................. 31

Asthetic/ Look ............................................................................................................................... 31

Finish/ Polishing ............................................................................................................................ 31

Packaging ...................................................................................................................................... 31

Salesman visit of the company ........................................................................ 31

Service from the Branch .................................................................................. 31

Ordertime- supply ........................................................................................ 32

After Sales Service ........................................................................................... 32

1) Availability of spare parts...................................................................................................... 32

2) Imparting product knowledge by the service division .......................................................... 32

3) Regular service training......................................................................................................... 32

4) Quick response from the branch service to your issues ....................................................... 32

5) On time product replacement .............................................................................................. 32

Commercial ...................................................................................................... 33

Trade schemes & Settlement ........................................................................................................ 33


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New product launch & extension ................................................................................................. 33

Pricing ............................................................................................................................................ 33

Overall Rating .................................................................................................. 33

Brand Analysis: ................................................................................................ 33

Attributes Ranking ........................................................................................... 43

Limitations of the study ........................................................................................................................ 44

Feedback from the dealers ................................................................................................................... 45

Positive Outlook & Suggestions ............................................................................................................ 45

Recommendations ................................................................................................................................ 46

Conclusion ............................................................................................................................................. 47

References48


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Khaitan Fans Page 9

Khaitan Fans Company profile

Khaitan Electrical Limited is part of Khaitan fans Group. . The Khaitan Group was started in

1975 by S K Khaitan, and is largely owned by the family. The group has revenues of over `10

billion with a presence across India and several international markets. Over the past Three

decades Khaitan electrical Limited, has emerged as Indias largest Electrical appliances

company fulfilling to the needs of families in the country. Every khaitan brand product is

built on the pillars of safety, innovation, durability and trust, making the brand the first choice

in millions of homes. Today, Khaitan Electricals Limited has the widest product portfolio

covering all aspects of the house making it the only brand offer TOTAL ELECTRICAL

RODUCTS to the customer. The product range includes ceiling fans,table fans, wall

mounting fans, pedestal fans,Air circulator fans,ventilating fans,High speed fans and

many other small electrical appliances.

. Khaitan Fans also offers latest fans with the widest range of options in terms of design,

choice of materials, accessories and hardware. It used to be the market leader in its segment

and in fact is the one of the player that covers all ranges in fans.

Khaitan fans is also the first Electrical Company in India to receive the ISO 9001:2001

Certification. Khaittan exports its products to USA, Europe, South Africa, Kenya, Australia,

Singapore, Middle East, Sri Lanka and many other countries. Products manufactured by

Khaitan fans meets every relevant global standard such as CE, GS, UL etc.

It has a wide distribution network in the country. Other than the direct dealers and sub dealers

it has retail showrooms also - khaitan fans (offering all its products & solutions).products

offered by Khaitan are Good in Quality.

Khaitan Fans has scaled many new heights in the year 2009-2010. The company has crossedthe `300 Crores mark in turn over and closed with `316 Crores for the year. In the current

year, new innovative products were launched. These products are giving Khaitan the

competitive edge in the market. Khaitan is Indias most awarded electrical appliances brand.

It got the awards such as Best Brand, Franchise, Long lastingbrand etc.


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Project Overview

The project is been performed in the marketing wing of Khaitan Fans. The objective of the

project is to find out the perception of major dealers about the brand, Khaitan fans. The

company wants to get a clear idea about how dealers think about companys products,

services and offers and how company can improve the relation with their dealers.

Objectives

The main objectives of my study are as follows:

To find out the perception of the major dealers about Khaitan fans.

To find out how much they are satisfied with the schemes Khiatan fans offers.

To know the brand preference of dealers with the competitors of Khaitan fans.

To know the performance, after sale service, pricing of the Brand.

To find out the importance of dealers satisfaction strategy.

To collect any other suggestions which is helpful to improve the relation with the

dealer

The Deliverables associated with the Project

The deliverables associated with the project are as follows:

Data Collection: The project is in marketing area. I had spent considerable amount of my

time in collecting data from major dealers of Khaitan Fans. The dealer details have been

provided from the Delhi office.

Findings and Analysis: After collecting the required data, the data had been sorted and

analyzed. Proper qualitative and quantitative analysis had done which helped to find out

certain problem faced by the company.

Recommendations: Based on the results of the analysis, I refer some suggestions which the

company can adopt for better performance.

Scope of the Study

A. The study helps us to get an overview of the impression of the company in the present

working scenario.


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B. It provides a comparison of Khaitan with other brands.

C. It gives the average market share of Khaitan and competitors in different products.

D. Company get to know its strength and weakness when compared to its competitors.

E. They can improve on the fields where it lacks dealer satisfaction and try to achieve

increased sales through a satisfied dealer.

Methodology

The methodology followed:

Understood the company policies and product portfolio of the company, which helped

me while having a discussion with the dealers.

Understood company offers and discounts that offered to both dealers and the

customers.

Had a discussion about the problems faced by each dealer.

Found out what they think about other brands in the same industry.

Collected all the details required, analyze and suggest how the company can improve

the relation with its dealers.

Analysis

The questionnaire consists of 12 main questions which have divided into sub parts to get the

details of individual products. The main intention is to get the perception of dealers about the

Brand khaitan and its products.

MARKET SEGMENTATION:TARGET SEGMENT

BUSINESS CLASS

HIGHER INCOME CLASS

HIGHER MIDDLE CLASS

Market segmentation is the process in marketing of dividing a market into distinct

subsets (segments) that behave in the same way or have similar needs Variables Used for Segmentation


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DEMOGRAPHIC SEGMENTATION:-

(a)It is for all age group

(b) Income-low,middle and high end customers

(c)Occupation-all types of working and non-working people

GEOGRAPHIC SEGMENTATION:

Company has not set geographic target area. By leveraging the benefits of liberalization and

integration of the markets of the world, It will seek to serve both domestic and international

customers.

Metropolitan Cities, major cities of the states, and towns.

Density of Area: Semi-urban, Rural.

SWOT ANALYSIS:SWOT analysis is a framework for analyzing your strengths andweaknesses, and the opportunities and threats you face. This will help you to focus on your

strengths, minimize weaknesses, and take the greatest possible advantage of opportunities

available.

STRENGTH:

We are able to respond very quickly as we have no red tape, no need for higher

management approval, etc. Our biggest strength is our market segmentation.

We have low priced fans

Not only is this we also cater to the needs of the middle class consumers. Hence it

is catering to the needs of both the segments.

Thus we have reduced its risk by not targeting only one kind of the market. We

have launched many economy fans

This helped them remain loyal to their high-end customers.

We are also known for our designs and varieties.

We are able to give really good customer care, as the current small amount ofwork means we have plenty of time to devote to customers

Our lead consultant has strong reputation within the market

We can change direction quickly if we find that our marketing is not working

We have little overhead, so can offer good value to customers

WEAKNESSES:

Our company has no market presence or reputation

We have a small staff with a shallow skills base in many areas

We are vulnerable to vital staff being sick, leaving, etc. Our cash flow will be unreliable in the early stages


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Though the quality and performance of Khaitan fans has been reasonably good it

is not at par with Haavells or Compton.

OPPORTUNITIES:

Our business sector is expanding, with many future opportunities for success

Our local council wants to encourage local businesses with work where possible

Our competitors may be slow to adopt new technologies

It is expected that there will be 15% growth in demand for fans with a boom in the

real estate sector and the market is looking for different models suiting the new

pattern for decor and housing arrangements. Thus given its variety and designer

models Khaitan has great opportunity over the years to come.

Moreover Chinese influx in Indian market is likely to end with Chinese

government withdrawing manufacturing incentives and appreciating RMB by

10%. This would give Indian manufacturers a more competitive edge domesticallyas well as globally. Khaitan has a good opportunity for tapping a large percentage

of unorganized sector in which the cheap Chinese assembled fans play a major

role. It is also widening its distribution network by opening various retail outlets

in many parts of the country. In fact Khaitan is targeting 22% of the Indian market

by 2010.

THREATS:

Will developments in technology change this market beyond our ability to adapt?

A small change in focus of a large competitor might wipe out any market position

we achieve

The consultancy might therefore decide to specialize in rapid response, good value

services to local businesses. Marketing would be in selected local publications, to

get the greatest possible market presence for a set advertising budget. The

consultancy should keep up-to-date with changes in technology where possible.

A growing unorganized sector is a continual worry for HAEIR. The current share

of the organized sector is 50% and is increasing at a rapid rate. HAEIR has to be

constantly on its toes to advertise their products better at the same time keep the

prices low. Otherwise the unorganized sector may eat up its market share.Unorganized sector is a big threat to the company.

CURRENT SITUATION:

BACKGROUND:

Rapid development of industries, construction and infrastructure fields augured necessity for

various electrical devices and equipments. Electrical devices, accessories and equipments areprerequisite in every Industry and field for diverse operations.


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CORPORATE INFO:

Holding the true spirit of commitment to customer satisfaction Khaitan fans. Lmt. is

enriching lives of people with the same ingenuity and enthusiasm as they planned.

CORPORATE MISSION STATEMENT:

Our mission is to Quality without compromises second to none requires

appropriate planning, investment in most up-to-date technology and best

technical people having thorough knowledge, experience of the industry. So we

need to combine quality, innovation and style for the comfort and convenience

of your home.

CORPORATE AIM:

To serve clients with utmost dedication and integrity so that we exceed their

expectations and build enduring relationships.

To offer unparalleled quality of service through complete knowledge of products,

constant innovation in services and use of the latest technology.

To always give honest and unbiased financial advice and earn our clients'

everlasting trust.

To serve the community by educating individuals on the merits of financial

planning and in turn help shape a financially strong society.

To create value for all stake holders by ensuring profitable growth. To build an amicable environment that accords respect to every individual and

permits their personal growth.

To utilize the power of team work to function as a family and build a seamless

organization.

CORPORATE VISION STATEMENT:

To be the most admired brand in India providing innovative, state of the art, user friendly

products of lasting value to our customers, to make their today better than yesterday.

MARKETING STRATEGY- We would be specific towards our goal and try our level best toachieve it.

Specific- We would be specific towards our goal and try our level best to achieve it.

Measurable-we would try to achieve the desired goal.

Achievable- The objective is achievable with all the available resorces and through

dedication of work.

Timed- we would achieve our targets by one year of launch.

Realistic-we have all resources like men, money,material to achieve our objective. We

have all the men, money, material to achieve our objective


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Examples of smart objectives:1.Profitability Objective-To achieve a 30% return on capital employed within a year of

launching a product.

2.Market share objective-To gain 30% of the market share within a year of launching.

3.Promotional Objective-To promote our product to the fullest through all types of mass

communication.

4.Objective for survival-To survive the current double-dip depression.

1. Profitability objective: To achieve a 30% return on capital employed within a

PRODUCT DECISIONS:

FEATURES:

Features of all the Khaitan fans are different. But these are some a prominent feature for

which Khaitan is well known:

Cost effective

Large variety

Less powerconsumption

Nice all round performance

Strong regulators

Effective air movement to suit exact requirement for ventilation

Low temperature rise leading to longer bearing life

Specially designed blades for better performance and non-overloading characteristics

Stable speed voltage motor characteristics leading to excellent low voltage performance

Designed to comply with abnormal test conditions as per international safety standards

Higher Air Delivery Power Ratio (ADPR) for ultimate performance.

PRODUCT LIFE CYCLE

Our product lies in introduction stage.

Slow sales

Products are non existent

Heavy expenses incurred with product introduction


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High costs per customer

Profits are negative

Less competitors

Customers are innovative

FOUR PS OF MARKETING

.PRODUCT

The prices of all kinds of product differ. The prices differ on the bases of size, features,

and looks.

PRODUCT LINE EXTENSION:

Khaitan has extensive range of product line. Khaitan manufactures different types of

ceiling fans with improved features being added to the product line. The very recent

addition is the companies low priced fan PAWAN. Khaitan not only offers ceilingfans but also ceiling fans accessories such as Resistance type Regulators, CAPCON

capacitor type regulator, CHANDY (four way light attachment), PRETTY (single dome

light attachment).

Khaitan manufactures fans of various sizes to meet the consumer and the room

requirements.

Ceiling fans:

The Ceiling fans are available in the following sweep sizes:

1600mm, 1400mm, 1350mm are suitable for large Room size.

1100mm is suitable for medium room size.500mm is the smallest size Khaitan offers.

.PLACE:-

Every part of India-Urban and Rural which includes all small and large cities of the

country. part of India-Rural and urban which includes all small and large cities of the

country.


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PROMOTION:

Mass advertisingTV

Trade promotionsin store display, samples

Hoardings

Campaigning activities

Sponsorship activities

Road shows

Banner and hoardings with a tag line Sirf naam hi kafi hai

.PRICE:

It would be different from model to model like more would be the price of

high class of models and less of low class of model. Designer fans would be

costlier of all.

Distribution Channel0 Level: Khaitan Customers (Through its own showrooms)

1 Level: Khaitan Retailer Customer

2 Level: Khaitan distributor Retailer Customers

3 Level: KhaitanWholesaledistributor Retailer Customers

CHANNELS OF DISTRIBUTION:

As a company, dealers and distributors play a major role in serving customers, while growing

and sustaining markets. Khaitan has a network of strong and dedicated distributors and

dealers. A network that has helped Khaitans name and its promise of reliable quality to every

part of the country. The power of this highly efficient and motivated network goes a long way

to create goodwill for khaitan brand among countless consumers besides creating availability

and after sales services.

There are 2 channels of distribution one among them is a direct dealer network. A direct

dealer is a dealer who is authorized to purchase the product directly from the company and

sell. They have yearly targets given to them by the company .If they succeed in achievingthose targets then there is a certain discount, which is offered to them. They are also rewarded


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on the basis of per fan sold. New plans launch ideas and sales strategies are shared with them

at frequent meetings. The same goes with the distributors. The distributor has many dealers

under him the distributor commands his margin on sales. Hence the price is likely to be

slightly high.

COMPETITIVE ANALYSIS:

Identification Of Competitors

PLAYERS IN THE MARKET

STRENGTHS & WEAKNESSES OF COMPETITOR:

COMPETITORS:

Khaitan has many competitors in the organized as well as the unorganized sector as

unorganized sector supplies fans very cheap rates. Khaitans three major competitors in theindustry are CROMPTON, USHA and Havells. There are also other product competitor like

Padmini, and Bajaj. But they are not so much threat to us like those three. Crompton and

Usha command the highest market share in the Indian fan industry i.e. 20% each. Followed

by havells, which commands 18% in the industry. First in the league is khaitan with a market

share of 24%.

Usha

23%

Crompton

24%

Ortem8%

Havells

21%

Khaitan

24%

Padmini

6% market share


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SWOT ANALYSIS OF COMPETITORS:

CROMPTON

STRENGTH:

Crompton has acquired super brand status. Super brand is a unique International recognitionthat is bestowed on brands that have emerged as icons in their category. In India, a council

comprising eminent professionals from the fields of advertising, marketing, research and

media was formed to determine India's most respected brands. Crompton is in d list of 134

selected brands. Thus, as a brand Crompton is much stronger than Khaitan. Crompton is a

market leader with twenty percent of the market share in organized sector. Crompton enjoys a

greatbrandloyalty.

WEAKNESS:

Crompton fans are the costliest ones as compared to the other brands.

OPPORTUNITIES:

Crompton has an excellent brand recall. Considering their market image and market share,

there are great opportunities for Crompton as compared to khaitan. Crompton has a good

opportunity for tapping a large percentage of unorganized sectors which contributes almost

fifty percent of the total fan sales.

THREATS:

A growing unorganized sector is a continual worry for Khaitan. The current share of the

organized sector is 50% and is increasing at a rapid rate. Khaitan has to be constantly on its

toes to advertise their products better at the same time keep the prices low. Otherwise the

unorganized sector may eat up its market share. Unorganized sector is a big threat to the

company.

SERVICES

Khaitan believes in quality without compromise. Khaitan has always offered excellent qualityand service. Their products are testaments to the belief in excellence and are duly subject to

the most stringent quality standards in the world. And as proof of their mettle and faith in

quality, they took what may be regarded as the boldest-ever step in the fan industry: the

introduction of the Replacement Bond. The Replacement Bond ensures that the customer

always comes first. It is a bond signed by the Chairman of the Company, promising to replace

any Khaitan fan with a manufacturing defect, discovered within one year of its purchase, with

a new one. Till today, the idea goes unmatched by any competitor. This confidence in the

fans is a result of dedicated service, commitment to quality and careful attention to detail.

MARKET PENETRATION STRATEGY:


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Finding place in various retail outlets.

Opening khaitan exclusive stores.

Trying to get more customers through a intensive distribution.

Product Details

Functional Area

This part helps to know the dealers perception about the functionality/ performance of

different products. It has further sub divided into nine referring to nine products. The

statistical analysis and graphs are provided in Annexure- 1(a).

(d)Zolta Fan

The mean rating for this product was 6.58, which indicates a Satisfactory rating

from the dealers.

(e)ECR fans:


from the dealers.

(f) Vento Fans:


from the dealers.

(g)Sona Typhoon Pedestal fan:


from the dealers.

(h)Platino pedestal fan:

The mean rating for this product was 3.94, which indicates a Below Average rating

from the dealers.

(i) Merlin Monroe fan:

The mean rating for this product was 4.14, which indicates a Below Average rating

from the dealers.

(j) Freshair marathon fan:

The mean rating for this product was 3.66, which indicates a BelowAverage rating

from the dealers.

(k)ADPR ceiling fan:

The mean rating for this product was 4.8, which indicates a BelowAverage ratingfrom the dealers.


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(l) Charmy Hi-speed Wall fan:

The mean rating for this product was 4.34, which indicates an Average rating from

the dealers.

Aesthetic/look

This part helps to know the dealers perception about the Aesthetical/look of different

products. It has further sub divided into nine referring to nine products. The statistical

analysis and graphs are provided in Annexure- 1(b).

(a)Zolta Fan


from the dealers.

(b)ECR fans:


from the dealers.

(c)Vento Fans


from the dealers.

(d)Sona Typhoon Pedestal fan

The mean rating for this product was 6.78, which indicates a Satisfactory rating from

the dealers.

(e)Platino pedestal fan:

The mean rating for this product was 5.18, which indicates an Above Average rating

from the dealers.

(f)Merlin Monroe fan:

The mean rating for this product was 5.34, which indicates an Above Average rating

from the dealers.


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(g)Freshair marathon fan:

:The mean rating for this product was 4.52, which indicates an Average rating from the

dealers.

(h)ADPR ceiling fan:

The mean rating for this product was 6.1, which indicates a Satisfactory rating from

the dealers.

(i)Charmy Hi-speed Wall fan:

The mean rating for this product was 4.84, which indicates an Average rating from the

dealers.

Finish/ Polishing

This part helps to know the dealers perception about the Finish/Polishing of different

products. It has further sub divided into nine referring to nine products. The statistical

analysis and graphs are provided in Annexure- 1(c).

(a)Zolta fans:

The mean rating for this product was 5.7, which indicates a Above Average rating

from the dealers.

(b)ECR fans:


from the dealers.

(c)Vento fans:


from the dealers.

(d)Sona Typhoon fans:


from the dealers.

(e)Platino pedestal fans:


the dealers.

(f) Merlin Monroe fans:


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the dealers.

(g)Freshair marathon fans:

The mean rating for this product was 3.96, which indicates an Below Average

rating from the dealers.

(h)ADPR ceiling fans:


from the dealers.

(i) Charmy Hi-speed wall fan:


the dealers.

Packaging

This part helps to know the dealers perception about the packaging of different products. It

has further sub divided into nine referring to nine products. The statistical analysis and graphs

are provided in Annexure- 1(d).

(a)Zolta fans:


from the dealers.

(b)ECR fans:


from the dealers.

(c)Vento fans:


from the dealers.



from the dealers.


The mean rating for this product was 5.72, which indicates an Above Average




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the dealers.

(h)ADPR celing fans:


from the dealers.

(i) Charmy Hi-speed wall fans:


the dealers.

Sales man visit of the company

This gives the perception of dealers about the sales man visit of the company. Statistical data

is given in Annexure 1(e). Dealers are satisfied with the sales man visit. The average

satisfaction level is 6.92.

Service from the Branch

It shows how much dealers are happy with the response from the branch. Statistical data is

given in Annexure 1(e). It shows an average of 5.5. i.e. above average.

Order-time-supply

It shows the frequency match between order and supply. It gives a fair idea about whether the

dealers are satisfied with the supply from company. Statistical data is given in Annexure 1(e).

It gives a fair value of 6.14, the dealers are satisfied with the supply of the products.

After Sales Service

1) Availability of Spares

As we know, for a product based company like Khaitan fans service should be the 1st

concern. Customers are giving most priority for after sales. This part gives how much dealers

are satisfied with the company service. Statistical data is given in Annexure 1(f)

(a)Zolta fans:


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from the dealers.

(b)ECR fans:


from the dealers.

(c)Vento fans:


from the dealers.

(d)Sona typhoon fans:


from the dealers.

(e)Charmy Hi speed wall fans:



(f) Platino pedrstal fans:



(g)Merlin-monroe fans:

The mean rating for this product was 3.3, which indicates an Below Average rating

from the dealers.

(h)Fresh air marathon fans:

The mean rating for this product was 5.0, which indicates a Average rating from

the dealers.

(i) ADPR ceiling fans:



2) Imparting product knowledge by the service division

3) Regular service training

4) Quick response from the branch service to your issues

5) On time product replacement


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This gives a feedback of how much the dealers are satisfied with the details provided by the

company, service training, and branch response and product replacement. Statistical data is

given in Annexure 1(g)

The mean value for product knowledge is 3.4, i.e. Below Average.

The mean value for service training is 2.18, i.e. Poor.



Commercial

Trade Schemes

It gives the perception of dealers about company trade schemes and the scheme settlement.

Statistical data is given in Annexure 1(h)

(a)Zolta fans:


from the dealers.

(b)ECR fans:


from the dealers.

(c)Vento fans:


from the dealers.



from the dealers.









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the dealers.

(h)ADPR ceiling fans:


from the dealers.

(i) Charmy Hi speed wall fans:


the dealers.

Scheme Settlement

(a) (A) Zolta fans:


from the dealers.

(b)ECR fans:


from the dealers.

(c)Vento fans:


from the dealers.


The mean rating for this product was 5.18, which indicates a Above Average




rating from the dealers.(f) Merlin Monroe fans:





the dealers.

(h)ADPR fans:


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from the dealers.



the dealers.

New product launch/ extension

This part tries to find out the dealer satisfaction of new products launched by the company or

the new product extensions. Statistical data is given in Annexure 1(i)

(a)Zolta fans:


from the dealers.

(b)ECR fans:



(c)Vento fans:







The mean rating for this product was 4.8, which indicates a Average rating from

the dealers.

(f) Merlin Monroe fans:The mean rating for this product was 4.16, which indicates an Average rating from

the dealers.

Pricing

This part helps to know the dealers perception about the pricing of different products. It has

further sub divided into nine referring to nine products. The statistical analysis and graphs are

provided in Annexure- 1(j).


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(a)Zelto fans:


from the dealers.

(b)ECR fans:


from the dealers.

(c)Vento fans:


from the dealers.






the dealers.



the dealers.



the dealers.

(h)ADPR fans:


from the dealers.



the dealers.

Overall rating

This part helps to know the dealers perception about the brand Khaitan fans. The statistical

analysis and graphs are provided in Annexure- 1(k).


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The average overall rating of the Brand is 5.76. The company has a very good brand name.

The rating would have been above 6 or 7, if the servicing and spare parts availability is

prompt.


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Observations & Findings

Product Details

Functional Area

From the statistical analysis we can find that Zelto fans, vento fans, ECR fans and Merlin

Monroe fans are having a Below Average rating.

But this may not be necessarily because of the product performance. Almost every dealer

complained about the poor service and the non availability of spare parts for these products.

So the quality may be comparable with other brands, but servicing is not up to the mark.

Asthetic/ Look

In general, the surveyed dealers positive feedback on the Aesthetic/ look of the products.

Finish/ Polishing

In general, most of the products have a good feedback except for ADPR fans. The other

brand vento fans has better appearance and finishing. Even they are more attractive to

customers too. Also some dealers have complained about a fungal problem on the fans wings.

It fades the colour of the wings too.

Packaging

Generally, all the dealers have good opinion about the packaging. To make it more attractive

to customers, we can adopt a better packaging for Zelto fans and small appliances.

Salesman visit of the company

All the territory sales officers have a very good relation with the dealers, which is a positive

feedback for the company. Company has to extend this in the case of service person visit

which is more important.

Service from the Branch

During the data collection time, I got to know that the dealers near to the branch are really

happy with the service from Branch, but those are very far from the branch are not satisfied.

So the branch service should be better towards the northern part of delhi and some parts of

NCR. The responding time taken is not acceptable for a product based company.


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Order time- supply

Company is fairly doing well in this area. But in some places, there is shortage in supply.

After Sales Service

1) Availability of spare parts

2) Imparting product knowledge by the service division

3) Regular service training

4) Quick response from the branch service to your issues

5) On time product replacement

This is the area where the company has to give 1st

priority. Every dealer complained about

the availability of spares and service provided by the company. If we look at the statistical

data, its clear that the service and parts availability for electrical appliances is below average.

Because of the poor performance in this, many dealers are not taking the electrical appliances

these days. What they told is company has a very good product range, but the service is still

applies to fans. More details are given in the below parts.

From the discussion, its clearly understood the dealers are not satisfied with the product

knowledge provided by the company. The after sales from the company are not up to the

level when compared with any of the competitors. There should be demonstration of new

products during its launching. All the doubts should be clarified by the service division, and

then only the dealers can manage the customers properly.

Likewise company doesnt provide any service training. At the same time, most of the

competitors are providing service training. Its a big advantage for them. To compete in suchan industry, service training is most crucial part. If company provides training, the dealers

themselves can handle the issues.

The response of the branch to these issues is below average satisfaction level. The product

replacement time is high for the company. Sometimes it goes to 5-6 months delay. So the

company and the dealers are losing their customers. Since there is a delay in replacement,

dealers give new products to customers and bearing loss for that. It is one of the crucial areas

where company has to concentrate.


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Commercial

Trade schemes & Settlement

Most of the dealers are satisfied with the trade schemes that the company offers. Settlement is

also proper with most of the dealers. But in certain places, the settlement takes time. There

are delays with more than 6 months. Company should try to settle the schemes in the same

bill.

New product launch & extension

The dealers are satisfied with the new launches of fans and other products. But they are not

appreciating new products of company. Its because of the scarcity of the parts and poor

service provided.

Pricing

The findings show that most of the dealers didnt find any difficulty of fans pricing. At the

same time the pricing of another appliances are costlier. Its not only the price, the quality

and the service provided by the company is also a reason for this. The price and the quality

are not matching.

Overall Rating

Most of the dealers have given above average ranking for this. People are asking for the

brand Khaitan while purchasing because of its tradition and advertisement. But the company

lacks satisfied remark from the dealers due to inefficiency in after sales service and spare

parts availability. Company can make lots of improvement in this.

Brand Analysis:

This part of the questionnaire tried to analyse the market share of Khaitan products compared

to major competing brands. But most of the dealers are not ready to reveal the exact sales

figures. So it was difficult to find out how competitive Khaitan is. The dealers have given the

names of brands which sells more products in each category. A weight was assigned to each

position and the cumulative total was calculated. These cumulative totals were used to arrive

at an approximate market share of each brand for each product. The findings of this study are

presented below in pie-charts.


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Sona typhoon:

69%-Khaitan

16%-Havells

10%-USHA

5%-Padmini

69%

16%

10% 5%

Sona typhoon


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ADPR fans:

70%-Khaitan

8%-USHA

5%-Havells

5%-Padmini

6%-Crampton

6%-Bajaj

ECR fans:

70%

8%

5%

5%6% 6%

ADPR fans

25%

32%

33%

10%

ECR fans


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25%-khiatan

32%-Havells

33%-USHA

10%-Bajaj

Charmy Hi speed wall fans:

70%-Havells

8%-khaitan

5%-Bajaj

12%-Crampton

4%-USHA

1%-Padmini

70%

8%

5%12%

4%

1%

Charmy Hi speed wall fans


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Platino pedestal fans:

25%-Khaitan

28%-USHA

22%-Havells

13%-Padmini

7%-Crampton

5%-Bajaj

28%

22%13%

25%

5%

7%

Platino pedestal fans


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Freshair marathon fans:

24%-Havells

25%-Crampton

43%-Bajaj

8%-khaitan

Merlin Monroe fans:

25%

24%

43%

8%

Freshair Marathon fans

25%

35%

18%

16%6%

Merlin Monroe fans


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35%-crampton

25%-Khaitan

18%-Bajaj

16%-USHA

6%-Padmini

Zolta fans:

63%-Khaitan

26%-Havells

11%-PAdmini

Merlin Pedestal:

63%

26%

11%

Zolta fans


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56%-Khaitan

21%-Havells

18%-Crampton

5%-USHA

Tycoon Rainbow pedestal:

56%

21%

18%

5%

Merlin pedestal fans

40%

30.00%

23.00%

7%

Tycoon Rainboe Pedestal


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40%-Crampton

30%-Khaitan

23%-Havells

7%-Padmini

Flora Pedestal:

60%-Crampton

165-Havells

10%-Khaitan

8%-USHA

6%-Padmini

60%

8%

16%

10%6%


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Sona pedestal:

42%-Crampton

35%-Havells

16%-Khaitan

7%-USHA

Merlin Mini:

42%

35%

16%

7%

32%

34%

14%

20%


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34%-Khaitan

32%-Havells

20%-Bajaj

14%-USHA

Freshairr deluxe:

52%-Khaitan

30%-Havells

18%-USHA

Attributes Ranking

This part of the questionnaire asked the dealer to rank the different brands on the following

attributes:

Product Innovation

Transparency in Deals

Dealer Relationship

Margin

30%

52%

18%

Freshair Deluxe


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Consumer Pull

Product Range

New Products

The result has shown below

Havells Crampto

n

USHA Bajaj Khaitan Padmini

Product Innovation 2 3 0 5 28 12

Transparency in deals 4 10 2 10 10 14

Dealer Relationship 3 10 5 10 10 12

Margin 0 13 4 13 8 12

Consumer Pull 5 10 0 7 20 8

Product Range 0 2 3 2 42 1New products 0 2 2 1 43 2

The most favoured brand for the different attributes is given below:

Product Innovation: Khaitan (56%)

Transparency in Deals: Padmini(28%). Khaitan had only 20% preference.

Dealer Relationship: Padmini has 24%. Khaitan, Pigeon and Butterfly (20% each).

Margin: Havells and USHA (26%). Khaitan had only 16% preference.

Consumer Pull: Khaitan (40%). In the case of Vento fans, there is no competition for

Padmini

Product Range: Khiatan (86%).

New Products: Khiatan (86%)

Limitations of the study

We cant expect positive response from every dealer due to lack of interest or because

of their busy work. So some data may vary from the real fact.

Customers perception or expectation may vary across the country.

In the case of Consumer pull, for Fans, the first name comes is khaitan. For Cooler its

Havells. In the case of small appliances Bajaj. So the comparison is difficult for certain

questions. Also in the case of margin, different products will have different margin.


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Feedback from the dealers

Servicing is not proper from company side. There is a big delay in servicing of

electrical appliances.

Big shortage of spares of electrical appliances, it makes the servicing more difficult.

Service person is not even bother to attend the telephone calls

Some fans has low quality. Its has frequent problems. Most of the dealers are facing

the quality issue for this product. Some quality issues with some products.

Similar complaints are coming due to lack of quality and proper service.

ADPR fans is a lower quality product. Its board and panel have complaints. Also the

replacing amount is high for the panels.

Lack of proper communication from the company. Sometimes the offer details are

coming to the dealer after long time.

Response from the service manager is poor.

No service training or product demonstration.

Lack of service centres and technicians.

Wings of fans have no problembut it fades the colour of Wings.

ECR fans brand has lower quality

In very few cases, the wings are not of equal size. It may look like a small problem,

but it reveals the carelessness.

Delay in replacements and bill settlement. Sometimes the replacement takes a time of

5-6 months which is not acceptable

Delay in settlement. The settlements should not happen in the same billing.

There is no clarity in the billing. Quantity discount dates are not mentioned in the bill.

Sales man visits are not frequent

Some products finishing is average

The sounds may come many times in fanstt.

Service division shouldnt be dealt by the distributors

The quality of the MRP sticker is poor, it fades easily

Positive Outlook & Suggestions

Company has a very good brand name among the customers. The advertisements are

effective so that there is lots of enquiry about all the products. Customers trust the Brand


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khaitan fans. This is the competitive advantage of Khaitan over other brands. Company has

a very good product range and now company has all the electrical products required in home.

Now thinking about the current situation,

Sales department of the company is not facing any threaten but the service department lacks

everything. Servicing is the crucial part of any product based company. After sales is the

main concern for any consumer. If the company cant give prompt service for its consumers,

its a big mistake.

Companys Fans division goes very well. Not many, but there are complaints about the

service or spare availability.

Recommendations

Proper quality assurance/checking is mandatory for outsourcing products such as ECR

fans etc. the company has a very repute in its tradition and quality, so it is the

responsibility of the company to check the quality of outsourced products.

More spares should be supplied to dealers, so that there wont be any shortage. Keep

its billing as separate so that it will be easy for both the company and dealer.

The competitors have service centres in major towns. So it is necessary for the

company to start more service centres in major towns to assure timely service to every

customer.

More man power is required in the technician side. Skilled technicians are necessary.

So company can give training for them

There should be service training given to the dealers. Either company can offer

training in the head quarters, or it should arrange service training in major cities. The

company should insist the dealer to attend these training sessions. Certified training isthe best option, so that the issues can be handled by the dealer itself and there wont

be any delay in servicing.

It will be good for the company to settle the schemes in the same bill that will

increase the reputation of the company. It will reduce the paper works.

Trade schemes should be held in such a way that the dealers will get enough time to

sell the entire stock. A minimum of 2 months gap between the schemes. It will be

helpful for the company too. Else people will think that the products will be availablein discount price all the time.


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Proper communication is necessary about the schemes. Offer leaflets should reach the

dealer at time. It will help them to handle the schemes easily

New product demonstration is a very good initiative for the company. Company can

either demonstrate it to the dealer or in an extended version; it can be done in publicplaces or in shopping malls/Big bazaar etc. This will attract the consumers to the new

products.

The guarantee details should be given in local language too (in guarantee card) so that

there wont be any miscommunication.

Conclusion

The company has a bright future ahead. Electrical appliances are a big market. Company can

penetrate into the market with more aggressive market strategies and advertisement. More

over it should provide better quality products and after sales service. Thats what ultimately

the customer wants.The company has very good staff and mostly skilled labours are working

so company can easily bring back her reputation.khaitan just needs to work on after sale

service area and should try to maintain good relationships with dealers so that there sales get

increase.The company needs to become more innovative and must focus on advertisements

so that they can get back their position in the market.Khaitan NAAM HI KAFI HAI will

defiantly become best in electrical appliances.

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References

KRISHNA K HAVALDAR, VASANT M CAVALE, 2007, "Sales and DistributionManagement: Text and Cases", Tata Mc Graw Hill Education Private Ltd.

2004, Sales and Distribution Management, ICFAI Publishing House

Lawrence J. GITMAN, 2008, Principles of Managerial Finance"DorligKindersley (India) Pvt. Ltd., Eleventh Edition

PHILIP KOTLER, KEVIN LANE KELLER, ABRAHAMKOSHY,MITHILESHWAR JHA, 2009,"Marketing Management A South Asian

Perspective ", Dorlig Kindersley (India) Pvt. Ltd., Thirteenth Edition

Documents

11081_harsh Vikram Singh_Khaitan Final Report