CUSTOMER SATISFACTION

INTRODUCTION

Customer Satisfaction
In today’s consumer driven and challenging market, the voice of customer is one of the most important factors to understand. Rapid development of global information networks has generally impacted consumer perception and expectation aw well as their knowledge about products and services.

Customer Satisfaction is the function of entire purchase/ service experience that the customer undergoes at the dealership Customer Satisfactions directly proportional to the perceived value of the service quality/product quality delivered at the dealership his expectation. If the perceived value of the dealership performance is equal to or greater than the customer expectation, the customer will be satisfied or delighted, otherwise he will be dissatisfied.

Therefore, TKM recomendes that the dealerships must aim at achieving high Customer Satisfaction level (Customer Delight) .this will translate into the following benefits:

· Repeat purchase by the customer
· Positive word of mouth by the existing customers and hence enhance customer base and business.
· Customer loyalty to the dealership and manufacture brand.



“Customer Satisfaction” may be defined as the customer’s evaluation of service received as compared to what he had anticipated.
Evaluation of Dealership performance

Actuality > Expectation = Excellent Service

Actuality = Expectation = Good Service

Actuality < Expectation = Poor Service








Approach to Customer Satisfaction:

Customer’s evaluations and opinions are an expression of their expectations of Toyota so Toyota receives them sincerely and responds in good faith, in the belief that making use of them in its corporate activities will lead to customer satisfaction.

Toyota always tries to grasp shifts in customer demands, constantly checking for
Conformity with its standards, and acting swiftly to resolve any discrepancies.

The voice of customer is quickly relayed to all related departments and divisions in development, production and sales, where they are helpful to product planning, raising product quality and improving TOYOTA’S corporate activities.

Toyota collects customer evaluation data through wide-ranging information collection activites, including directly through consultations with customers, complaints from customers, and also through qualities reports from dealers and questionnaires given to purchasers of new cars, as well as from results of studies from third party, instituitions such as J.D.Power etc.further more, Toyota collects information’s indirectly from dealers and suppliers with the Toyota group.

Complaints: A chance to built strong customer relation

If the product and services we provide to customers are lower than their level of expectations, they will be dissatisfied. If this gap with expectation is large, they will complain. We are always striving to exceed customer’s expectations. If we are enable to do this we will know there is a problem because it will be expressed in the from of complaint.

Complaints from customers are valuable, they indicate an expectation. Once a complaint has been handled adequately and the customer is satisfied with Toyota’s action, higher loyalty (customer retention) can be achieved compared with customers who do not expressed complaints.



Manage Positive Words-of Mouth

With priced purchases like vehicles, when friends and relative talk, would –be buyers listen. WORD OF MOUTH advertising is the 1st way customers choose both the make and the dealer. It surpasses consumer reports, newspapers and TV publicity and every form of advertising. Being successful in tomorrow’s market will strongly depend on learning how to manage Words-of Mouth advertising by managing the customer’s experience at your dealership.

Avoid a Negative Experience

A customer who has a negative experience tends to influence double the no. of customer as that of a satisfied customer would do. Below graph reveals that dissatisfaction spreads more easily than satisfaction.
Satisfaction with inquiry and complaints handling helps enhance Toyota’s image Dissatisfaction with inquiry and complaint downgrades Toyota’s image, which contributes to a loss of potential customers

Relationship of complaints handling and loyalty (willingness to purchase another Toyota)


The following graph shows how complaints handling affects customer loyalty based on CS Survey. 34% of customers who are satisfied with complaints handlings show willingness to purchase another Toyota from the same dealer or bring the car into the dealer for services. It is more than 8 times as many as those who did not express a complaint and far better than 24% who did not have a complaint.

Silence is NOT Golden! Go After those Non-Complainers

Most Customers don’t tell dealers they’re unhappy, they tell friend, relatives and complete stranger about their experience.

The below graph reveals that 43% of customers who did not exceed complaints show an unwillingness to purchases another Toyota or bring the car into the dealer for services. Customer who do not express complaints shift to another shop and in such a case we have no way to notice their Dissatisfaction.

The complaints we don’t hear are usually those that are the easiest to resolve, they are the opportunities for us to change the customer’s experience from negative to positive quickly & easily. More Customers should have opportunities to express complaints. By changing dissatisfaction into satisfaction, customer loyalty is enhanced. In other words, it is an opportunity to create lifetime customers.














CHAPTER – 2
TOYOTA PHILOSOPHY
FOR
CUSTOMER HANDLING

Philosophy of Toyota CR Activities

CR activities are operational activities

Customer first is Toyota’s corner stone principal. Raising customer satisfaction is the most important theme to be adopted as the basis of constant and stable growth.

The responsibility for increase customer satisfaction lies with every department, including sales, service and parts.

C R activities are operational activities to prevent damaging Toyotas image and win more Toyotas fans by checking the escalation of trouble through swift, accurate and, sincere handling of customer enquiries and complaints.


BUSINESS
OPERATIONS
CUSTOMER RELATION
SALES
PARTS
SERVICES















Toyota Customer Relation Activity Ideals

Toyota customer relation activity ideals are to create corporate trust based on integrity and fair handling of inquiry and complaints.

Toyota recommends conducting CR activities by implementing the following four ideas.

1. Opening a large window for customer i.e. only one dedicated department should receive all enquiries and complaints as the company representative for effective and consistent customer handling.

2. Swift and sure handling of enquiries and complaints


3. Making the voice of the Customer the basis for corporate renewal

4. Improving corporate image and better informing customer to support sales and service activities.
















GRASSROOTS PHILOSOPHY (SNOWBALL EFFECT)

Complaints, like a snowball rolling downhill, become larger and difficult to handle if not resolved.

The most effective means for resolving a complaint is for the dealer. Who knows the customer best, to quickly handle it in the initial stage?

By the time complaints are received at Toyota, they will become numerous.

The idea that the customers will forget about complaints if they are left untouched is wrong. TKM and dealers should actively resolve customer’s inquiries and complaints






TKM Customer Relations Department:

TKM is committed to provide its customer a quality ownership experience. CR Department at TKM is a step in this direction. The CR Dept. is the Dept. within the company in direct contact with customer needs. The members place an emphasis on the voices of individual customer, through consulting with them and handling their complaints. This section deals with the structure and working of CR department at TKM.


TKM CR Vision and Mission

TKM’s vision and mission statement clearly underline its basic philosophy of treating the customer with utmost care and keeping them satisfied. These statements are meant to guide TKM dealership people to achieve high level of customer satisfaction all the times

TKM VISION:

Understanding – The fastest way to customer’s heart
TKM MISSION:

To Achieve Customer Satisfaction NO.1 at all Times.


MISSION OF CR DEPARTMENT


To Our Customers :

To provide swift and sure handling and sure handling of inquiries and complaints, and educate them on the proper use of Toyota products.

To Our Dealers :

To supports them in establishing a system for handling inquiries and complaints.

Within the Company :

To provide suggestion and information based on the Voice of the Customer.

To Outside Agencies :

To collect information through communication with government offices in charges of consumer administration and various consumer groups, and conduct in-house feedback.








TKM CR Departments Organization Structure

Given below is the organization structure of the CR Department of TKM and the role it is ensured with

Dealer CR
Training
Feedback to
Management
Customer
Related
Issues
Group Head -1
Customer
Operations

Head Customer
Relation
Deputy
Managing
Director
Managing
Director
Handling of
Serious Complaints
Customer Assistance Centre
Group Head -2
Customer
Operations

CS Survey
Related issues









CR OBJECTIVES:

Implementing CR activities to raise dealership & organization Inquiry & complaint handling, and prevent complaints and their recurrence.

Direct TKM’s customer relation activities and strategies.

· The customer Relation team at Bangalore to be committed to customer satisfaction and still corporate mind-set of being No-1












































CHAPTER – 3
CUSTOMER SATISFACTION
METHODS
& MANAGEMENT
CUSTOMER SATISFACTION MANAGEMENT

In today’s consumer driven and challenging market, the voice of customer is one of the most important factors to understand .Rapid development of global information networks has greatly impacted consumer perception and expectation as well as their knowledge about products and services.

Customer Satisfaction is the function of entire purchase/ service experience that the customer undergoes at the dealership Customer Satisfaction is directly proportional to the perceived value of the service quality/product quality delivered at the dealership at the dealership vis-à-vis his expectation.

Therefore, TKM recommends that the dealership must aim at achieving high customer satisfaction levels (Customer Delight). This will translate into the following benefits:


Repeat purchase by the customer.


Positive word of mouth by the existing customer and hence enhanced customer base and business.


3. Customer loyalty to the dealership and manufacturer brand.











CUSTOMER SATISFACTION SURVEYS

Customer Satisfaction can be measured by capturing by the customer’s responses about the dealership performance through various means such as survey and then analyzing and quantifying the same. Some of the methods employed by TKM for doing this are:


SSI / CSI Self Tracking


External Agency Survey


Mystery Shopping


SSI / CSI Self Tracking:

SSI Tracking is a simple software application developed by Toyota Kirloskar Motor to facilitate the tracking of Sales Satisfaction Index at this dealership. It is an effective tool to continuously monitor the Customer Sales Satisfaction based on feedbacks received from every customer who has purchased the vehicle.

CSI Tracker is a simple kind of software application CSI Tracker would be made available for tracking the service experience of the customer at the dealership.

External Agency Survey

Understanding consumer today is more difficult than ever before. Companies cannot succeed in this goal marketplace without accurately understanding the needs and behavior of their customer. It is the voice of customer (VOC) input that can lead a company to market.




Mystery Shopping

TKM regularly initiates mystery-shopping activity to track the sales and services experienced at the dealership. This activity is designed to measure the variance in the Standard Operating Procedure at dealership based on a one time practical of a professional who visits the dealership in person.


Comparison of Customer Satisfaction Survey Method

Activity
Parameter
External Agency
Survey
Mystery Shopping
Self Tracker
Evaluation by
External Agency

External Agency
( In person)
Internal
Activity period
Quarterly
Quarterly
Continuous
Target
Customer
Few (Approx:50)
NA
All Customer associated with dealer
Cost implication
Very High
High
Minimal
Evaluation
Parameters
Universal
Standardized
Customized
Evaluation
Reports
Available as and when activity is conducted
Available as and when activity is conducted
Available (Immediate, for any specific period)
Specific
Reports
NA
NA
Available
Ownership
Age

Predefined based on Survey conducted
NA
Latest
Recommendations

A Directional Tool
A Diagnostic Tool
Most Effective Tool







How to Improve Customer Satisfaction?

Customer Satisfaction can be improved by:

Providing an Excellent Purchase Experienced to the customer

Providing a Delightful Service Experience to the customer

Resolving customer complaints up to their satisfaction

Focusing on the Process, People and Facility and continuously upgrading them can achieve this.




























CHAPTER – 4

RESEARCH METHODOLOGY
RESEARCH METHODOLOGY

Objective of the study:
· To ensure the Importance of customer Delight (satisfaction) in Toyota Company

· To ensure the methods behind developing Customer Satisfaction in Toyota

· To analyze the different method of meeting out Customer Satisfaction

Methodology:

Nature of database:

Primary data: Collected through questionnaire filled by Customer of Chandra Toyota

· Secondary data: Company profile, internet, brochures.






Sample size:

The sample size taken for the study was the data of last three months of vehicle purchased from Chandra Toyota

Scope of the study:
Chandra Toyota – Udaipur

Duration of the study:

The time frame under which the study was to be completed was 90 days.

Structural constraint:

The study was carried out in the Udaipur city. The researcher feel that the large number of data coverage could have ensured a refinement in the study .but nevertheless the coverage of the customer in the city is also adequate enough so as to provide significant analysis into the study.









CHAPTER – 5

ANALYSIS & INTERPRETATION





CHAPTER - 6
BIBLIOGRAPHY
BIBLIOGRAPHY

Ø Customer Relation Reference Manual – Toyota Kirloskar Motor
Ø Google.com
Ø Humanassets.comHuman Resource Management – ICRAI Modules.