International Journal of Marketing &JOURNAL

INTERNATIONAL Human Resource

OFManagement
MARKETING (IJMHRM), ISSN 0976
& HUMAN
6421(Print), ISSN 0976 643X (Online) Volume 2, Number 1, May October (2011), IAEME
RESOURCE MANAGEMENT (IJMHRM)

ISSN 0976 6421(Print), ISSN 0976 643X (Online)

Volume 2, Number 1, May-October (2011), pp. 01-06 IJMHRM
IAEME, http://www.iaeme.com/ijmhrm.html
IAEME

CUSTOMER PERCEPTION WITH MOTOR CYCLES

Dr.L.VIJAY* & B.JAYACHITRA**
* Prof & Head, Dept of Management Science, S A Engineering College, Chennai 77,
9791112070, drlvijay@gmail.com
** PhD Research Scholar, Dravidian University & Associate Professor, Dept of
Management Studies, Vels Srinivasa College of Engg & Tech, Chennai -103, 9944666389,
bjayachitra@gmail.com

ABSTRACT

This project is a study on customers perception of Hero Honda motorcycles compared to

TVS and Bajaj. The objective of this study is to understand about the customer
perception towards Hero Honda, Vs TVS and Bajaj motorcycles and to analyze the
reasons customers opt for a particular brand. The study was conducted at Southern Auto
Centre (SAC), one of the oldest and fastest growing Hero Honda authorised dealer in
Chennai. A questionnaire was prepared containing appropriate questions and was
distributed to about 300 respondents. The tools used for the study were Chi square,
ANOVA, percentage analysis and weighted average method. According to latest available
SIAM figures, Hero Honda controls almost 48% of the two-wheeler market, followed by
Bajaj with about 20% and TVS Motor at close to 17% share. So this study focuses on
customers perception towards the three major players in the market.

Key Words: Customer, Perception, Hero Honda, TVS, Bajaj, Motorcycle, SAC

1
International Journal of Marketing & Human Resource Management (IJMHRM), ISSN 0976
6421(Print), ISSN 0976 643X (Online) Volume 2, Number 1, May October (2011), IAEME

1.0 INTRODUCTION
Perception is actually more important than reality in many cases. In the world of business,
particularly marketing and advertising, perception is reality. Marketers spend great sums of
money to alter customers perception of their product. Their goal is for customers to
believe their advertising to be real and ultimately entice customers to purchase their
product, perceiving that it is right for them. In the active area of delivering superior
customer service, perception of an issue by the customer is often a very different matter
than the actual circumstances might describe. The professional customer service specialist
must actively listen in order to intelligently discern what the customer is actually saying,
regardless of want the facts of the matter are. Often, a tense situation can be diffused by
simply being sensitive to the customers' viewpoint and perception of the issues, and then
suggesting solutions based upon those perceptions. Insensitivity and indifference will fan
the flame of customer anger and possibly lead to a lost customer.According to latest
available figures, Hero Honda controls almost 48% of the two-wheeler market, followed by
Bajaj with about 20% and TVS Motor at close to 17% share. So this study focuses on the
major market players.
1.1 STATEMENT OF THE PROBLEM
In times of recession every two-wheeler company is facing severe competition with regard
to sales and customer satisfaction. So the company wants to know how to increase its
market share and improve its sales. The company also wants to know if the customer is
satisfied with its after sales service. Thus it is imperative that the company should collect
information pertaining to customer perception about the customer service, performance of
motorcycles and also after sales service. The company also wants to know about the
problems that Southern Auto Centre is facing in the current market scenario, also areas of
improvement if any can be found. Keeping in view of all the above aspects A study on
customers perception towards Hero Honda motorcycles compares to TVS and Bajaj is
conducted for Southern Auto Centre, authorised dealer for Hero Honda.

1.2 LITERATURE SURVEY

Marketing is a domain, which is dynamic i.e., involves change, an important phenomenon
not to be overlooked. We have come across a term "Unique Selling Proposition"

2
International Journal of Marketing & Human Resource Management (IJMHRM), ISSN 0976
6421(Print), ISSN 0976 643X (Online) Volume 2, Number 1, May October (2011), IAEME

(USP) which companies feel as a constant factor. Every organisation is an open system of
management, which means change, is inevitable and is associated with environmental
factors. Companies need to focus not only on USP of their products but also on the
"Unique Customer Perception"(UCP) of the final end users.
If the needs were wrongly identified then even the USPs, which are unique to the product,
would not serve the purpose. USP identifies a product/service from its competitors while
UCP is the perception or picture a customer develops from all types of promotional inputs
from the company about their product or service. It is often seen that some brands do
extremely well compared to other brands having the same resources. The reason for the
brands not to do well is probably the communications, which does not reflect the
customers perception. So it is not the USP but UCP that plays an important role. This has
lead to the concept - "Customer Perception is the Rule and not Customer Satisfaction".
Perception is not good or bad, right or wrong, it is just the way someone judges an
experience based on their value system of what they believe should happen. Since people
are unique, each of their perceptions are unique .On the other hand each situation is a
"point of contact" with an employee that will tell the customer a "truth" about the
company's idea of customer service. Each situation will create expectations of what the
next experience will probably be like.
Companies spend considerable amount on advertisement and in this world of competitive
advantage advertisement has to be repetitive in nature. Brand hammering results in brand
recall, which is a costly affair. So companies need to understand the Unique Customer
Perception to facilitate Advertising and Sales Promotional (ASP) efforts towards a better
bargain. The cost incurred on advertisement is huge i.e. if we refer to the 5 M's of
advertising, Money is a budgetary constrain for an ideal advertising campaign. Thus UCP
has to be rightly analysed for better results by the company to match performance and
expectation.
1.2.1 Methods for assessing customer perception
There are five basic categories of methods to gather customer perception information.
Surveys, Feedback Cards, Focus groups, Face to face interviews & Telephone interviews
and Customer complaint process

3
International Journal of Marketing & Human Resource Management (IJMHRM), ISSN 0976
6421(Print), ISSN 0976 643X (Online) Volume 2, Number 1, May October (2011), IAEME

2.0 OBJECTIVES OF THE STUDY

Primary objective is to study to find the customer perception towards the major three
brands Hero Honda, Bajaj and TVS motorcycles. Secondary objectives are 1.To know the
market leader among the three brands Hero Honda, Bajaj and TVS.2. To understand the
expectations of the customers. 3. To determine whether the customers are satisfied with the
performance and after- sales service of the three brands Hero Honda, Bajaj and TVS
motorcycles.4. To determine the factors influencing the choice of customers regarding
motorcycles.5. To find the areas of improvement of the motorbikes and to give
suggestions for their improvement.

2.1 SCOPE OF THE STUDY

This study mainly deals with the purpose of business is to create and keep the customers.
So the motorcycle companies identify the needs of customers and strive for customer
satisfaction. In India the major market share in motorcycle segment is occupied by Hero
Honda followed by Bajaj and TVS. Only if a company knows which features of its
products and services or which other points of contact with the customer are considered
most important by the customers, it can develop appropriate strategies. Such a strategy will
not only help the company to strengthen the emotional bond with the customer through
targeted improvements and activities. It may also have the positive side effect that the
customers whole experience leads him to the conclusion that this company really
understands his distinctive needs and really takes him seriously. Hence, the customers
perception of the whole company may improve beyond a positive attitude towards a
particular product. The study compares the performance and key features of the three
major brands of motorcycles. The pros and cons of each brand are outlined clearly in this
study and will thus enable customers to decide in favour of buying a brand. Moreover it
will also reduce cognitive dissonance in the minds of customers. This study focuses on the
customers perception regarding brand image, resale value, mileage etc towards the three
major brands Hero Honda, TVS and Bajaj.
3.0 RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problem along with the
logic behind them. The research methodology includes description about why the research

4
International Journal of Marketing & Human Resource Management (IJMHRM), ISSN 0976
6421(Print), ISSN 0976 643X (Online) Volume 2, Number 1, May October (2011), IAEME

study has been undertaken, what data have been collected and what particular method has
been adopted.
3.1 RESEARCH DESIGN
The project work is crafted on the basis of descriptive research study.
3.2 SAMPLING UNIT
It gives the target population that will be sampled. This research was carried in
Chennai. These were 300 respondents.
3.3 SAMPLING METHOD
The method of sampling used is convenience sampling as the name implies, the sample
is selected because they are convenient. This non - probability method is often used during
preliminary research efforts to get a gross estimate of the results, without incurring the cost
or time required to select a random sample.
3.4 QUESTIONNAIRE
A questionnaire is a group or sequence of questions designed to elicit information
from an informant or respondent when asked by an interviewer or completed unaided by
the respondent. A structured questionnaire, is one in which the questions asked are
precisely decided in advance. This study employed a structured questionnaire which was
pre tested with 20 respondents and wordings of few questions were improved. The types
of questions used were open ended, dichotomous, multiple choices and rating scale. Also
Likert scale and semantic differential scales were used in the questionnaire.
3.5 Method of Data Collection
Primary data is the first hand data, which are selected a fresh and thus happen to be original
in character. Primary Data was crucial to know various customers and past consumer views
about bikes and to calculate the market share of this brand in regards to other brands.
Secondary data are those which has been collected by some one else and which already
have been passed through statistical process. Secondary data has been taken from the
internet, newspaper, magazines and companies web sites.
3.6 TOOLS USED
The tools used for analysis are Weighted Average Analysis, Chi- square, and Anova

5
International Journal of Marketing & Human Resource Management (IJMHRM), ISSN 0976
6421(Print), ISSN 0976 643X (Online) Volume 2, Number 1, May October (2011), IAEME

4.0 SUGGESTIONS
Based on the findings following suggestions are made: Hero Honda should introduce eco-
friendly bikes; The Company can take steps to reduce the price of genuine spare parts in
order to facilitate customers to buy genuine spare parts. The Bajaj should concentrate on
improving the image of its two-wheeler for women. The brand should improve its mileage
and introduce safety measures for the benefit of the riders. It looks like the brand image of
TVS is poor. So steps should be taken to revive its brand image, the brand has to improve
its mileage and rope in latest technology to stay in the race with Bajaj and Hero Honda.

4.1 CONCLUSION
This project conducted at Southern Auto Centre has been an effective way of
widening my horizons of knowledge. It has helped to enhance my communication skills
and has given me a good exposure in handling customers. The experience taught me that
satisfying and delighting the customer is the first step for any company to climb the ladder
of success. This study helped the researcher to use theoretical knowledge and to gain
useful insights about the importance of customer perception

REFERENCE
C.R. KOTHARI, (2001), Research Methodology, Vishwa Publications, New Delhi
PHILIP KOTLER, Marketing Management, Prentice Hall of India Ltd, 2002 and 2003
LEON G SCHIFFMAN, LESLIN LAZER KENUK, Consumer Behavior-Prentice Hall of
India Pvt Ltd (6th Edition), pp. 111-150 Nov 2001,