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    INTRODUCTION

    Consumer durable industry is one of the most lucrative and fast growing industries. The Indian

    economy witnesses a proliferation of global companies in the National scene. Liberalization of

    Indian economy coupled with the media explosion ushered in a new era of consumerism.

    Increased purchasing power and a fluid taste led to the creation of budding consumer durable

    market. The growth rates were as high as 22% in the white goods segment compared to a merely

    2-3%growth in the European and American market.

    Consumer durable industry scenario in India is a totally different from what it was one-decade

    back. Consumer industry scenario in India is totally different from what it is in European

    countries. Demand in developed countries is many constituted by replacement demand white

    goods market in India was dominated by indigenous industrial houses like Videocon, BPL,

    Onida, Kelvinator, Goderej and many other, but the entrance of multinational in Indian market

    because of opening up of Indian economy gave these companies a big blow. MNCs that are

    gaining the good market share are Samsung, LG, Daewoo, and Electrolux.

    Indian consumer durable industry is growing and at an over all 12-13%. if we consume each

    product individually, the color television market has shown a growth rate of 25 % . Refrigerator

    market is growing at a rate of 8-10 % .the reason for high growth rate in color television market

    is the now a days TV is not used as a source of entertainment but also a source of knowledge and

    education. The entire factor, act as accelerator for the economy. If we take the case of Air

    conditioners, today air conditioner is not only refer to a cooling machine but also an air fresher.

    In portion to growing incidence of working couple, refrigerator is gaining significance, more and

    more as an instrument to store and recycled the readymade victuals. In spite of many value added

    services that are being offered by most of brand, the refrigerator market is still biting the dust.Refrigerators market stood at 2.2million in years 2003 and 2.15 in 2005.and is expected than in

    2006-2007 refrigerators market will be 2.25 million units.

    Washing machines market is showing the growth rate of 20-25%. Washing machines market of

    1.05million units in the year 2005 and in the year 2006 it is expected to be 1.34 million units,

    washing machines market is dominated by the Rs 2600 crores Videocon, Rs 792.42 crores

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    Whirlpool, Rs.2108 crores BPL and the Rs 278.24 crores IFB Electrolux, Samsung, LG, Daewoo

    are the new entrant and gaining sales very rapidly specially Electrolux.

    Electronics is the fastest growing industry in India, in the liberalized economic scenario,

    electronics has entered in every walk to of our lifes and has enchanted the quality of life that is

    enjoyed by our consumer India is no longer a country, a market where the consumer has to

    realized almost entirely on the influx of smuggled electronics items to satisfied its need. The

    Indian electronic industry has through up competitive player who are not only able to cater to the

    desires of the Indian consumer successfully, but have also emerged as very successful exporter

    of electronic woods to the rest of the world. This has all happened in the last twenty-year or so.

    A couple of decade ago, no body in his widest dreamed could have ever imagines that consumer

    goods bearing Indian brands, built up assiduously by Indian companies would come to dominate

    Indian industry. There could have been two reasons for so little faith in Indian goods. Firstly, the

    Indian pubic unhidden groups like BPL, Videocon, and Onida, that Indian brands now dominate

    the markets. These corporate houses have upset the apple chart of foreign companies by

    establishing consumer durable manufacturing companies than thane not only consistently

    produces superior products but have also aerate in a very short span, brand equities capable of

    taking on international brands. That is, the Indian consumer perception of bands originating in

    his own back yard has evolved from one of shame to one of trust pride, identification, all of

    which trance late into patronage /or achievement of a companies core business objective.

    The electronic industry is one of the bedrocks of the global industrial development. The

    electronic industry was for long the domain of first world economics. The 160s saw a shift,

    which Japan emergence. Subsequently Hong Cong, South Korea, Taiwan and Singapore, then

    Brazil, India and Mexico follow late but China, Indonesia, Malaysia, Philippines and Thailand

    had entered the fray.

    The output of the global electronics is expected to reach $ 1.3 Trillion by the 2006. The Indian

    electronics industry currently accounts for approximatelly 1.1% share of the world output. More

    specifically, in the television manufacturing, which accounts for the a major chunk of all

    consumer electronics in India we account for the major 2% of the world color television

    production and 33% of the black and white television production/ with the market of the black

    and white television ordinarily witnessing a negative growth. These pails in comparison to other

    Asian countries.

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    After economic liberalization our country lowered entry barrier and brought global companies into the

    countries market place, it was realized that the core of the corporate world must change, to focus the first

    time ever in India, on the consumer and to stop chasing revenues, profit and market share, which will

    flow only from new consumer competent. Forget to, forever, the silent consumer who, before of

    alternatives, uncomplainingly bought whatever products were available .in todays and tomorrow new

    unforgiving market place it is the choice/empowered the consumer who will decide the fate of the

    corporation and competition global quality and new economic reality are comprising to limit the success

    only companies that are focused completely on their consumer. For only these companies and

    continuously monitor and meet changing consumer needs: stream line process cut costs and restructure

    form for quicker response to the consumer demands. All of which will add up to and unmatched

    competitive edge, enabiling them to conquer tomorrows market place today. However, the consumer

    and spending wisely not indiscriminately.

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    COMPANY PROFILE

    COMPANY PROFILE

    A man of ideas, man of substance, man of vision. Shri Nanalal Doot , the founder of the

    Videocon group ,completed his education in Ahmadnagar ,Pune in Maharastra India. A

    successful sugarcane and cotton grower .he boldly ventured forth and imported machinery from

    Europe setting up the Gangapur Shakkar Karkhana (Sugar mill) in 1995 at the time when the

    village had no electricity, there by unleashing an industrial revolution.

    The die was cast. Over the years, Nandalaji pioneered spirit found expression in the myriad

    ways, earning him the well-deserved reputation of the industrial activities of Maharathwada,

    India.

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    In early 80s Nandalal initiated his three sons Venugopal, Rajkumar and Pradeep into the

    business. Through a technical tie- up with Toshiba corporation of Japan, he launched Indias first

    world class color Television, Videocon Today, Videocon Ltd. Is a households name across the

    nation Indian No 1 brand of consumer electronics and home appliances, trusted by all over 50

    million people to improve their quality of life.

    Corporate OverviewThe Videocon Ltd. is committed to create a better quality of people and furthering the interest of

    societies by being a responsible corporate citizen.

    Creating happinessWe will bring the happiness into every home, offering high quality consumers durables at

    affordable price spreading the culture of convenience, entertainment and comport, far and wide.

    Achieving Progress.

    We will pursue the innovative technologies in the field of energy and electronics, create products

    and services that will improve the quality of life realize the goals of the world community and

    protect the environment.

    Sustaining growthWe will be a source of pride to our business associates by ensuring mutual prosperity and growth

    the implementation of forward looking corporate strategies, aimed at identifying the

    opportunities and responding intelligently to the dynamic of change

    Perusing excellenceWe will provide a collective environment for enabling our employees to develop their potential

    ands makes as significant contribution to the Groups success.

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    In 1985, though a technical tie- up with Toshiba Corporation of Japan, Videocon international

    limited launched Indias first world-class color television. Today, Videocon International

    limited, the flag ship company of the Videocon Group, is Indias leading manufacturer of the

    consumer durables electronics products. Fired by the passion for the innovation, Videocon has

    kept pace with the changing face of technology, constantly upgrading its manufacturing facilities

    to incorporate advance technology and high standards of quality into its product range, right

    across the spectrum.

    Technology with a HeartCommitted to giving the customer the best the world has to offer, Videocon has developed near

    zero wastage technology, which helps reduce the manufacturing cist by optimizing material

    inputs. Coupled with quality consciousness at every stage the customer benefits enormously by

    getting the premium product at the affordable price.

    The company currently manufactures Color Televisions, black and White Televisions Audio

    appliances like music systems, speakers, washing machines etc. .At its modern plant at Citegaon

    and Aurangabad, the company has also undertaken complete backward integration to

    manufactures all the critical important components of its product, such as Electronic Tuners,

    FBTs , ATDMs and Deflection yokes , there by reducing the cost , ensuring quality control andbecoming vertically integrated. It has set up a unit at Gandhinagar in Gujarat for manufacturing

    Black and White Televisions pictures tubes.

    The Sound of Excellence.

    Videocon products are of a sophisticated range of Home Audio Systems, Stereo Radio,

    Recorders and personnel Stereos, as well the contemporary international range of Kenwood

    digital Hi-Fi Systems.

    First with the best.

    Continuous up gradation and indigenous manufacturing has been and continues to be the integral

    part of the companys s philosophy. Perceived as an innovator in its field, Videocon has notched

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    up many exciting firsts, by exploring the worlds advance technologies. In color televisions.

    Videocon is the first company to introduce Picture in Picture, Turbo sound, surround sound,

    larger screen size, the full flats square tubes, Bazooka technology and the freedom series:

    affordable high quality range of the products of color Televisions for the price conscious

    customers.

    Global Ambition.

    Looking beyond India, Videocon is now a global player, acknowledged by the world .it is the

    first Indian company to win the prestigious CE approval foe exporting its televisions in Europe.

    Videocon is now entering the world market with its operations in the Middle East, Europe,

    Indonesia, and South Africa.

    Videocon Narmada Glass (VNG): a division of Videocon international Group ltd. has the

    distinction of having set up Indias first plant for the manufacturing of the Glass Shells for Color

    television Picture tubes, in technical collaboration with Techneglas Inc., USA (for mainly known

    as OI-NEG TV Products Inc., USA) world leader in manufacturing the glass Shells Technology.

    The projects in1990, when the then prime Minister of India, late Shri Rajiv Gandhi, Laid the

    foundation stone for the project. The Videocon group, with the objectives of backward

    integration, joined hands with Gujrat Narmada Valley Fertilizers Ltd., (GNFC) for the

    implementation of its 100%, import substitution project the largest investment 450 crores in the

    electronic component industry in India. The Plant with the installed annual capacity of 1.7

    million gas shells for the color picture tubes and 0,25 million gas tube bulbs for black and white

    color televisions, and Monochrome Monitor Tubes, is located at the Village Chavai, District

    Bharuch, Gujarat

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    Experience ChangeA New Brand Identity & Logo

    Videocon Group recently underwent a brand identity change.The group which has been serving the nation for nearly the past25 years, took move in tunes with the changing global scenario.Videocon as a brand has always believed in re-inventing andrevamping itself and the rationale behind Videocon's brand

    evolution comes from its constant endeavour to listen andrespond to the changing market dynamics in India andoverseas. The focus remains multi-fold while working towardsdeveloping the latest technologies with an emphasis on quality,innovation and value, the firm is aggressively expanding theirservice penetration too.The 'V' in the new Videocon logo is representative of a newidentity - an identity that is fresh, dynamic, & has been provideda life of its own. The new V is composed of two animatedgreen, lava-like shapes called Chouw and Mouw, striking achord with the young audience.Chouw and Mouw are created to present a very vibrant andinteractive image representing the change Videocon bringsinto the lives of its customers, through innovation in its productlines, by offering great value, and by delighting its customerswith superlative products and services.

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    CUSTOMER

    SATISFACTION

    CUSTOMER SATISFACTION

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    The word satisfaction comes from the Latin word satis (Enough) and faction (to do or make).

    These words suggest the true meaning of Satisfaction, which is fulfillment. Managerially,

    fulfillment usually translate to solving problem and satisfy the customer is not enough to produce

    high level of customer loyalty, business needs to move beyond more satisfaction, to customer

    delight.

    The Purpose Of the Business:

    Peter F. Drucker considered to be one of the leading management gurus in the world, believes

    that the purpose of business to relate and them retain the satisfied customer. Although the firm

    has to make the money, Drucker argues that making money is a necessity and does not a

    purpose. It is in fact, the end result a desirable out come of creating satisfied customer. Theodore

    Levitt, ha Harward Business professor, who explains by an analogy with human beings, express

    similar sentiment / all human have to eat to survive, but eating is not-their purpose. Further more

    making money does not provide a legitimate reason for society and to support the moneymaking

    enterprise. A society supports businesses as they survey its member by catering to their needs to

    leave them satisfy. Dissatisfying enough customer and not only will these specific customer stop

    buying from the firm, but the society at large will condemn the firm and may even panelized it

    to the point of its extinction. In repose to such messages, co part of the corporate mission and

    utilizes an understanding of the customer behavior as input to all its marketing plans and

    decision.

    Current Market Scenario

    The Indian customer market is undergoing the transformation-keeping trend with international

    market the present trend is used as under: - Indian market is value for money driven.

    A highly competitive market.

    High potential in the rural market.

    The clear economy range is emerging rural and price conscious customer.

    The market is dominated by Indian companies and MNCs are following suite

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    Technology is the key driver

    All players believe in offering sops to customer to woo them.

    Price war, schemes, discount and trade loading are the market mantra.

    Huge surplus after meeting domestic and export requirement.

    Current competitive Scenario:

    During the past six years, the market for the customer electronics grows at an average rate of

    22 % in color television 15 % in refrigerator. The MNCs like Samsung, LG, and Panasonic

    etc. enter the Indian market with wide spectrum. Even after the presence of the leading

    international brand in the consumer electronic market it is dominated by Videocon, BPL,

    Onida etc. the current market share of the top five brands in Color television are as under:

    Company Market Share

    Videocon 10.5

    BPL 18.7

    Onida 11.9

    Philips 4.0

    Samsung 7.9

    The strategies adopted by the current major player is as under:

    Videocon: - Bring home the leader

    Satisfying the customer needs across the product line and segment but under different

    brands Toshiba is at the top end, Videocon and Samsung at the middle segment and Akai

    for the lowest.

    Products: Color and Black and white televisions, audio, washing machines, Refrigerators,

    monitors and Kitchen appliances.

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    BPL: - Believe in the best

    Current brand leader offering diversified product catering to various segment under one

    umbrella brand leveraging its communicating for the diversified product as reinforcement

    product quality confidence among the customer.

    Products: Color and Black and white televisions, audio, washing machines, Refrigerators,

    monitors and micro wave ovens.

    LG: - Digitally yours

    LG is an Korean company following the site in India

    Products: Color and Black and white televisions, audio, washing machines, Refrigerators,

    monitors and micro wave ovens.

    Samsung: - challenge the limit

    Decide the umbrella bran by the Korean giant is offering customer probability scheme.

    Products: Color and Black and white televisions, audio, washing machines, Refrigerators,

    monitors and microwave, cameras, VCDs DVDs,MP3 etc.

    After Sales Services ofVideocon:

    Videoconservices mission is to support the vision the company becoming the most customer

    oriented company in the country by building the proactive service organization that

    continually strobe to create customer satisfaction by internalizing the best practices of

    customer relationship management

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    Videocon invested 6,500 man-days and Rs 2.6 million to train the employees. Today,

    Videocon has 280 executive authorized service center 48 service center, (28 direct branches

    and 20 supervisory branched) 5 call centers. Videocon services employees directly through

    exclusive franchise network approximately 2500 front line executive for attending for the

    customer requirement.

    PRODUCT RANGE

    # CONSUMER ELECTRONICS:

    (I) Television.

    X-Lent Televisions

    Phenomenal clarity and sharpness, outstanding image detail, minimal glare, perfect sound

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    reproduction and looks that inspire pure admiration. These are characteristics found only in the

    X-Lent range of televisions. Being objects of sheer desire, these televisions are truly the best in

    their league.

    Features: Model No: Plasma TV 42X-PZ

    y 107cm Plasma TVy 16.77Million Colorsy SRS-WOW Technologyy 3000:1 Contrast Ratioy Progressive Scanningy Wide Viewing Angley Auto Pixel Shift

    Features: Model No: 21X-50P X-Lent

    y 54cm Pure Flat TVy 1800W PMPO Sound Outputy Surround Bass Technologyy 6 Speakers

    21''Conventional Series - 5438QST Feature:

    y 54cm Screen

    y 1000W PMPO Sound Output

    y Double Bazoomba Woofers

    y Surround Sound

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    y Digital Super Scene Control

    y Digital Black Stretch

    y Channel On Demand

    y Favorite Mode

    y Built-In Game

    y Personal Message Service

    y Child/TV/Panel Lock

    y Quick View

    y Program Directory

    Technical Specification

    Picture Tube 54cm FFST

    Receiving System PAL B/G, CCIR, CATV, NTSC Playback (3.58 & 4.43)

    Power Source 110-240V, AC, 50~60Hz

    Audio Output (PMPO) 1000W PMPO

    Antenna Input 75 Ohm Unbalanced

    Unit Dimension (L x W x H) 63.0cm x 49.0cm x 48.0cm

    Weight (NET/GROSS) 24.5 Kg / 27.5 Kg

    (II) DVD Players

    Videocon lets set up very own personal theatre, all in the comfort of peoples own home. The

    technologically advanced 5.1 channel DVD players ensure that the movies play can be heard

    exactly in the way they were meant to be heard in a movie hall. Videocon DVD Players are

    DVD/ MPEG-4/ MP3/ SVCD/VCD/ DVD-R/ DVD-RW/ CD-R/CD-RW/ KODAK Picture CD

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    compatible, ensuring that people can Play anything, watch anything. Happen to find a disc

    lying around, just play it on Videocon DVD Player and Home Theatre System. Plus with other

    great features like the Multiple Resume Functions, the Videocon DVD players ensure that the

    viewing process is totally free of any hassles. If the viewer is interrupted for any reason while

    watching a movie on his DVD Player, the multiple Resume functions allow him to restart at the

    very same point where he left off. Plus, problems like image freezing and distortion take place

    because of scratched or damaged discs will not trouble you, thanks to Superior Error Correction,

    a technology that recovers damaged areas so smoothly that they wont even notice the damage of

    the disc.

    Model No: DVD 33SA/ 33SS

    y DVD/MPEG-4/VCD/MP3/SVCD/ACD/ DVD-R/DVD-RW/CD-R/CD-RW/ KODAK

    CD Compatible

    y Power/ Standby/ Off/ Open-Close Resume Functions

    y Auto Play

    y Progressive Scanning & Anemographic Sampling

    y Superior Error Correction

    y Dolby Digital Ac-3, 5.1 Channel

    y DTS Digital Output

    y Built In Amplifier (Only in DVD 33SA)

    Model No: DVD 88AS4G

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    y DVD/MPEG-4/ MP3/ VCD/ SVCD/ ACD/ DVD-R/ DVD-RW/CD-R/ CD-RW/

    KODAK CD Compatible

    y In-Built Amplifier

    y Superior Error Correction

    y Dolby Digital AC-3, 5.1 Channel

    y Auto Play

    y Built-In Graphic Equalizer with User Option

    y Composite/ Component/ S-Video Output

    y Built-In Game

    (III) Home Theaters Systems:

    Recline in your plush leather couch. Play classic favorite movie on a Videocon DVD Home

    Theatre System. And experience the grandest audio-visual show on earth. With invincible

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    technology and majestic looks, this world-class home theatre system allows the customer to bask

    in the glory of owning one of the world's finest, most exquisite private theatres.

    Model No: DS505

    y AC-3, 5.1 Channel

    y 4000W PMPO Sound Output

    y 2.1/5.1 Channel Selector Switch

    y Bass Control

    Individual Channel Volume Adjustment

    # HOME APPLIANCES:

    (I) Refrigerators:

    X-Lent Refrigerators

    Class, style and technology are three very different entities. But they've been fused together to

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    give you the unbeatable, state-of-the-art X-LENT range of refrigerators. Designed to fit into the

    classy interiors of people kitchen, these exquisite pieces of technology are pleasure to look at.

    So, if customer looking for beauty with brains, then you needn't look beyond an X-Lent

    Refrigerator.

    Model No: 625X FF

    y 625 L Frost Free Technology CD Compatibley Stainless Steel finishy 4 Star Coolingy Multi Air Flow Systemy Twist Ice Trayy Platinum Auto Deodorizery Vertical Handle

    Dual Tone FinishTechnical Specification: Model No: 625X FF

    Door Finish Stain Steel Finish

    Door Handle Vertical

    Freezer Transparent

    Vegetable Tray Yes

    Deodorizer Platinum Auto Deodorizer

    Germ Free Yes

    Dimensions in mm (W*D*H) 754* 755 * 1828

    Weight (In Kg) 95

    (II) Washing Machines:

    X-Lent Washing Machine

    This washing machine is created with new age technology to give the clothes the kind of

    cleansing that no other washing machine can. Its elegant exterior and world class features assure

    that once you own an X-Lent Washing Machine, washing clothes will be more of a joy than a

    chore.

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    y

    8 Kg Top Loading Agitator Washy Stainless Steel Finishy Fuzzy Logic/Digital Sensi logicy Memory Controly Stainless Steel Drumy Delay Starty Hot Wash Inlety Anti Rodent Basey Cursor Control

    Wash Capacity 8 KgPower Supply 240V / 50Hz AC

    Water Level 117 L - 225 L

    Rated Power Consumption Wash - 670watt / Spin - 350wtt

    Deodorizer Platinum Auto Deodorizer

    Weight 53 Kg

    Dimension 610 L * 610 W * 1010 H

    (III) Microwave Ovens:

    360 Reflection Technology in Ovens:

    Consumer health has always been on top of Videocon's priority list. One of their latest

    innovations meant to enhance well-being is the 360 degree reflection Technology in their Germ

    Free Microwave Ovens. This revolutionary feature unites and distributes heavy-duty heat rays

    inside the oven, causing thermal destruction of germs. Along with the Digital Sensi Wave, this

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    superior technology gives the food items consistency in colors, feel and texture, no matter how

    many times you reheat it.

    Specifications:

    y 20 Liter capacity

    y Feather touch control panel

    y 10 power levels

    y Express cooking

    y Memory function

    y

    Pre-set functiony Clock / timer function

    y Jet & weight defrost

    y Child safe lock

    (IV) A/c Air conditioners:

    X Lent Air-Conditioners

    Tame the scorching heat with an exceptionally superior air-conditioner from the X-Lent range.

    Its futuristic technology allows the customer to enjoy the cool pristine, snow-capped mountain

    air in the comfort of their home and office. Allowing them to keep cool even when mercury

    levels hit 44 degrees.

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    The air we breathe is not what it used to be. Every bit of smoke, dust and pollution, which has

    been released into our fragile ionosphere, remains there. And negative ions are nature's way of

    getting rid of them. Since dust, smoke and polluting chemicals are all positively charged atoms,

    any source that generates negatively charged atoms can neutralized them An oxy-ioniser helps

    by replenishing negative ions, which reduced pollutions and other impurities, thereby recharging

    the air. Negative Ions The Key

    Ever wondered why you feel charged and refreshed in a hill resort next to a waterfall or near a

    beach? These are places that are high in negative ions and therefore low in pollution. Negative

    ions in the air give it a rich, crackling quality that our body seeks.

    Videocon Air-Conditioner With Oxy-Ionisers

    From India's No. 1 Home Appliance and Consumer Electronic Company, comes the new range

    of air conditioners equipped with ion recharge. Designed to help air-borne pollution and improve

    the quality of air in our homes and offices. These state-of-the-art machines have advanced oxy-

    ion generators that produce negative oxy-ions to help cut down air pollution and help you feel

    relaxed, refreshed energized and recharge