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ACCURATE INSTITUTE OF MANAGEMENT & TECHNOLGY PROJECT REPORT CUSTOMER RELATIONSHIP MANAGEMENT ON Submitted By : Submitted To :

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Page 1: Final Sem Project

ACCURATE INSTITUTE OF MANAGEMENT & TECHNOLGY

PROJECT REPORT

CUSTOMER RELATIONSHIP MANAGEMENT

ON

Submitted By: Submitted To:Sourabh Biswas Mr. Keshav Singh PGDM(2008-10)Roll no.DM08096

ACKNOWLEDGEMENT

Page 2: Final Sem Project

Any endeavourer is difficult to even initiate, without the help of many souls, who are always there by grace of God. My projects too are a result of help provided by many people.

I am grateful to Mr. Keshav Singh for providing me necessary information, knowledge and last but not least his valuable time for doing a project work.

Sourabh Biswas

DECLARATION

Page 3: Final Sem Project

I am the student of P.G.D.M., ACCURATE INSTITUTE OF MANAGEMENT & TECHNOLOGY hereby declares that the project report in “CUSTOMER RELATIONSHIP MANAGEMENT” is my original work.

I have also declares that I have done my work sincerely and accurately even them if any mistake or error has kept in, I shall most humbly request the readers to point out errors in omissions and guide me for the removal of those errors in future.

Sourabh Biswas

Mr. Keshav Singh

TABLE OF CONTENTS

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Page no. 1) Executive Summary 05-09

2) Indian Cement Industry 10-17 a) ACC cement 11,12 b) Ambuja cement 13 c) Century cement 14 d) Jaypee cement 15 e) Lafarge cement 16 f) Ultratech cement 17

3) Customer Relationship Management 18-28 a) Why CRM 18 b) Business benefits of CRM 19,20 c) How to implement CRM 21,22,23,24 d) CLC & CRM 24,25 e) I.T. & CRM 25,26,27 f) Benefits of CRM 27 g) Drawbacks of CRM 27 h) CRM across brands 28 4) Dealers & Retailers 29-32 a) Types & trends of dealers 29,30 b) What is retailing 30,31 c) Price strategy 31 d) Comments of dealers & retailers 32

5) Distribution Channel 33-37 a) Push & pull strategy 33 b) Channel integration & function 34,35 c) Selecting channel member 35 d) Training & motivating 35,36 e) Channel conflict, causes & managing it 36,37 f) Contribution to trades & non-trades 37

6) Annexure 38-49

7) Conclusion 50 8) References 51

9) Glossary 52

1) Executive summary

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Myself Sourabh Biswas ,a PGDM student of AIMT,Greater Noida, have been assigned a topic “Customer Relationship Management” for my final semester project in (ACC Sales Unit Raipur). I have been guided by Mr. Keshav Singh.

Before starting my project, my project guide made me understand that what is CRM? How is it important? What is its benefit?. Then on that discussion basis I made a questionnaire for my market survey, and get it approved by my project guide with few corrections.

As my project was dealing in cement industry, so my survey was conducted with respondents being dealers & retailers from various brands like ACC, Ambuja,Century(Birla Gold), Lafarge & Ultratech, Jaypee.ompany.

I have designed questionnaire which consists of 21 questions both open and closed ended for CRM study to be conducted in Raipur & Durg Districts in Chhattisgarh, I covered various parts like(Arang,Abhanpur,Mova,Tatibandh,Telibandha,Malviya Rd.,Station Rd.,and many). I conducted 70 interviews from Raipur district out of which 50 were dealers and 20 were retailers of various brands, and 30 inerviews from Durg District, out of which 25 are dealers and 5 are retailers. I asked various questions to dealers and retailers to have an insight knowledge of their working. To know about the years they have been into this business, what is there monthly selling, are they satisfied with the distribution channel, how company support to uplift selling, what company pay you in return of your good performance,what you sells apart cement, how CRM helping you and how much.The dealers have to give certain securities like(Rs50,000-1,00,000) to earn the title(dealership) of the product to sell it. Retailers don’t have to give any securities and can also deal in multi brands for selling.On that interview basis, I made an output that which company is performing well with there customers, and which are not.What is the CRM level of various brands, how much cutomers are satisfied, and what are there expectations from the company. Every company has its own ethics. But what I feel, to improve CRM one should work on topics such as :- channel integration, value networks, selecting proper channel members, training & motivating members, managing channel conflicts, proper monetary and non-monetary benefits on time, monthly meetings with the customers. I have covered all the above written topic in my project. If a company improves its these above things, then it will help to work well for both company and customers, and even it will strengthen the relation of both the company and the customers.

Output of various interviews with dealers:

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1) ACC Dealers:Avg. monthly selling: 550-600MTDistribution channel: Good, satisfied.What Co. provide to promote sells: Banners,wall paintings,non-monetary benefit programs,Branding.What Co. pay in return of your good performance: Family events,Domestic-tours,gifts,etc.CRM helpful to you: Yes,it’s a transparent process and helps to maintain good relations.Loyalty level: Good. Do you provide any feedback: Yes,about rates of competitor’s brand and settlement in purchase rates.Officer’s visit /interaction: Yes, its frequent, and motivating, keeps updated.

2) Lafarge Dealers:Avg. monthly selling: 650-750MTDistribution channel: SatisfiedWhat Co. provide to promote sells: Banners,wall paintings,non-monetary benefit programs,Branding.What Co. pay in return of your good performance: Family events,Domestic tours with family,gifts,etc.CRM helpful to you: Yes,it’s a transparent process and helps to maintain good relations,and homely treatment.Loyalty level: Good. Do you provide any feedback: Yes,about rates of competitor’s brand,settlement in purchase rates,and customer’s demand.Officer’s visit /interaction: Average.

3) Century Dealers:Avg. monthly selling: 600-700MTDistribution channel: SatisfiedWhat Co. provide to promote sells: Banners,wall paintings,non-monetary benefit programs,Branding.What Co. pay in return of your good performance: Family events,Domestic & Foreign tours,gifts,etc.CRM helpful to you: Yes,it’s a transparent process and helps to maintain good relations and even helps in selling.Loyalty level: Good. Do you provide any feedback: Yes,about rates of competitor’s brand and settlement in purchase rates and customer’s demand. Officer’s visit /interaction: Average, not so.

4) Ultra Tech Dealers:

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Avg. monthly selling: 550-600MTDistribution channel: SatisfiedWhat Co. provide to promote sells: Banners,wall paintings,non-monetary benefit programs,Branding.What Co. pay in return of your good performance: Family events,Domestic & Foreign tours,gifts,etc.CRM helpful to you: Yes,it’s a transparent process and helps to maintain good relations,they even work according us.Loyalty level: Good. Do you provide any feedback: Yes,about rates of competitor’s brand and settlement in purchase rates.Officer’s visit /interaction: Good.

5) Jaypee Dealers:Avg. monthly selling: 550-600MTDistribution channel: AverageWhat Co. provide to promote sells: Banners,wall paintings,non-monetary benefit programs,Branding.What Co. pay in return of your good performance: Family events,Domestic- tours,gifts,etc.CRM helpful to you: Yes,it’s a transparent process and helps to maintain good relations.Loyalty level: Good. Do you provide any feedback: Yes,about rates of competitor’s brand and settlement in purchase rates.Officer’s visit /interaction: Quite less.

6) Ambuja Dealers:Avg. monthly selling: 400-450MTDistribution channel: AverageWhat Co. provide to promote sells: Banners,wall paintings,non-monetary benefit programs,Branding.What Co. pay in return of your good performance: Family events,Trips/tours,gifts,etc.CRM helpful to you: Yes,it’s a transparent process and helps to maintain good relations.Loyalty level: Average. Do you provide any feedback: Yes,about rates of competitor’s brand and settlement in purchase rates.Officer’s visit /interaction: Good and frequent.

Factors which attracts dealers to be their associates:

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1. Brandpull2. Cash incentives3. Non cash incentives4. Access to credit5. Company sales force support6. Promotional support7. Tours/trips8. Gifts

To find out all the above insight details from the dealers and retailers it took me 1month 15days.And after covering the survey part, I sat with my project guide and mark out all possible points which a company required to improve, and further implement it to strengthen their relations with their dealers and retailers, so that the CRM of the company improves, and by day by day and year by year they can increase in their turnover.And on that basis I compiled my project on “Customer Relationship Management”.CRM plays a vital role in the development and expansion of any organization.It helps the company to maintain good and cordial relation with their customers (dealers/retailers).If both company and their customers work at same pace, and both work for each other, then the company will move forward at steady pace.

Format of the QUESTIONNAIRE DEALER RETAILER Q1. What is your background?

Q2. How many years you have been in this business?a) 0-1years b) 2-5years c)5-10years d) more than 10years

Q3. Have you any previous experience other than cement?

Q4. What is the average demand monthly?And in how many other brands you are dealing?a) 0-50MT b) 50-250MT c) 250-500MT d)more than 500MT

Q5. Which is the preferred brand in the market?a) Ambuja b) Lafarge c) UTCL d) ACC e) Century f) Birla+ g) Jaypee

Q6. What is the ratio of wholesale/retail at your counter?

Q7. What safety steps do you take for transportation of cement from your shop to site?

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Q8. Are you satisfied with the current distribution supply system?

Q9. Are you satisfied with company`s behaviour on account of timely service?a) receipt of bills/ledgers b) supply of cement c) customer servicesd) complaint redressel/handling e) behaviour of company`s official.1 V GOOD 3 AVERAGE2 GOOD 4 BAD

Q10. What support do company provides you to promote sells?a) branding b) banners c) advertisement d) non-monertary benefits program e) monetary benefits program

Q11. How do you tackle sells during lean season/Recession?

Q12. Do you follow the policies and norms of the company?a) yes b) somewhat c) no

Q13. What the company is paying in return of your good performances?a) trip/tour b) family events c) bonus d)others

Q14. What is the feedback of end customer about the quality of the cement that you sell?

Q15. What sort of things you sells apart cement?a) Steel b) Hardware c) Paints d) Sands e) Bricks f) Tiles g) Nothing

Q16. How you help to provide proper feedback to the company?

Q17. How customer relationship management is helpful to you in your business?

Q18. What is your loyalty level towards the company?a) very high b) high c) average d) low

Q19. How you helped to reach the target of the company?

Q20. How do you feel working with the present company?a)very good b)good c)average d)below average

2) Indian cement industry

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World wide, India is the second largest cement producing country. The cement industry is the back bone of infrastructure development in our country. At present production reaches 156 millions tones with consumption of 147 kg per capita as compared to production of 1.48 million tones with 4 kg per capita consumption in 1947. The demand is presently growing at the rate of 11% with GDP growth of around 8.5%.

Cement is a polyphased inorganic compound of a complex nature formed by burning of calcareous and argillaceous raw materials. When water added in requisite quantity to finely ground material, setting and hardening begins due to chemical reaction known as “hydration”. It is capable of binding together appropriate materials.

The following are common varieties of cement in use:

1. Ordinary Portland cement (43 grade - IS : 8112 - 1989) 2. Portland Pozzolano cement (IS : 1489 - 1991) 3. Portland Slag cement (IS : 455 - 1989)

There are various cement brands in India and are:

1. Associated Cement Company(ACC).2. Century Cement.3. Birla+ Cement.4. Ambuja Cement.5. Lafarge Cement.6. Ultra Tech Cement.7. Jaypee Cement8. J.K. White Cement.9. India cement.10. Binani cement.11. Andhra cement.12. Meghalaya cement.13. J.K. Laxmi cement.

a) Associated cement company (ACC)

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ACC is India’s foremost manufacture of cement & ready mix concrete with country wide network of factories & marketing offices. ACC established in 1936,it has been a pioneer & trend setter in cement & concrete technology. ACC’s brand name is synonymous with cement & enjoys a high level of equity in Indian market.It is the only cement company that figures in the list of Consumer Super Brands of India. First company in India to include commitment to Environment protection as a corporate objectives.It has won several prizes & accolades for eco-friendly measures taken at it’s plant & mines.It has 19 Sales Unit, 54 Area Offices, 194 ware houses, this is backed by a country wide network of over 9000 dealers, in turn,are assisted by their sub-dealers.More than 80% of sales are done through an extensive dealer network that covers every state in India.

Note: Red dots in the map shows the plant location of ACC.

Customer services

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Our Regional Offices have Customer Services Cells are manned by qualified Civil Engineers. These engineers interact with consumers and customers to assess their requirements and complaints and provide pre-sales, after-sales services and techno-promotion services including educating them on usage of cement and concrete and correct construction practices. They also provide expert advice on getting the best value from cement and offer assistance on related issues in civil construction projects.

Some specific customer-focused initiatives year include the following:

ACC Help Centers at several locations to help home builders Mobile touring vans to visit construction sites to educate users and masons at site

and provide certain specialized services like supervision during slab casting on demand.

Ask ACC – a Website for home-builders and small customers Customer friendly booklets on all aspects of construction and home-building Films and educational literature designed for masons and students

Besides this, technical books/booklets on cement, concrete and building construction and maintenance are regularly made available for the benefit of our customers.

ACC Help Center

First launched in Bangalore, this center is the first of its kind in India, to provide assistance to individual home-builders. The ACC Help Center provides basic information and guidance to customers on construction practices on various home building-related procedures - such as pre-construction worries on stamp duty, selection of architects and appropriate service providers, estimating budgets. Issues from purchasing land, budgeting to choice of material and planning of the construction process are elaborated, step-by-step.Tutorials, conveniently scheduled in the evenings, guide the customer, through the relevant steps of the house construction process. The center distributes specially designed booklets on each stage of building one’s “Dream House” These publications are available in English, Hindi and major regional languages

For any further assistance you can directly log on to www.acchelp.in and can SMS at ACC HELP to 575758.

b) AMBUJA CEMENT

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Ambuja Cements Limited was set up in the late 80s. The cement industry presented an opportunity of steady growth and ethical competition to the promoters.However, a decade later, it became one of world’s most efficient cement companies producing the finest cement in the world at the lowest cost. While adhering to the most stringent international pollution-control norms.

Today, Ambuja is the 3 rd largest cement company in India, with an annual plant capacity of 16 million tonnes including Ambuja Cement Eastern Ltd. and revenue in excess of Rs.3298 crores. More importantly, its plants are some of the most efficient in the world. With environment protection measures that are on par with the finest in the developed world.

Ambuja Cement exports almost 17% of its production in a very competitive international environment. For the last ten years, Ambuja Cement remains India’s highest exporter of cement. This has been possible for two reasons –

One, the quality of cement matches the best in the world.

Two, the dedicated bulk cement transportation capability at our Gujarat plant.

Recognition

National Award for commitment to quality by the Prime Minister of India. National Award for outstanding pollution control by the Prime Minister of India. Eco-Gold Star by TERI Best Export Award by CAPEXIL. Award for Corporate Social Responsibility by Business World – FICCI International AwardFor Rural Development by Asian Management Institute (AIM) ISO 9002 Quality Certification. ISO 14000 Certification for environmental systems.

Technical Details

Established – 1986.

Total Capacity – 15 million tonnes.

c) Century cement

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Century Cement produces 100% Blended Cement i.e. Portland Pozzolana Cement and Portland Slag Cement.  The motivation for the production of blended cement has been primarily with the aim of preserving limestone reserves and environment.

BIRLA GOLD A new specially developed composite cement, produced by intergrinding high quality clinker with high quality slag & gypsum in suitable proportion having high fineness and better strength properties.This unique, value added product has hydraulic binding properties which are not found in ordinary cement.Multiple uses :- Water tanks, Road,

Bridges, Dams, Sea Wall, Turbine Block & Residential or multiple storied Building work.  

CENTURY CLASSICCentury Classic is the most commonly used cement in all constructions including plain & reinforced cement concrete, brick & stone masonry, marine, dams, bridges, roads, water retaining structure etc. It surpasses BIS Specification (IS 1489-1991) by  a big margin.

CENTURY GOLDCentury Gold is a slag based blended cement that impart strength & durability to all structure.It matches 53 grade OPC strength level & has superior characteristics when compared to Ordinary Portland Cement. It surpasses BIS specification (IS 455 - 1989).

d) Jaypee cement

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Jaiprakash Associates Ltd's (JAL), a subsidiary of Jaypee Group, new cement plant in Himachal Pradesh is likely to commence operation from April 2009. The group is setting up a 3 million tonne capacity cement plant in Baga & Bagheri village of the Solan district with an investment of Rs 2,000 crore (project cost includes grinding unit at Panipat, Nalagarh and Roorkee) along with a 30 Mw captive power plant. Also, it has plans to raise the capacity by 1.5 million tonnes per annum with an investment of Rs 700 crore by 2010. Further, the company has signed MoU with the Himachal Pradesh government for setting up a 2 million tonne per annum cement plant (Phase-I) with an investment of Rs 1,000 crore in Chamba district recently. It also plans to set up a grinding unit in Pathankot (Punjab). Speaking to Business Standard, Jaiprakash Associates Ltd President Rajiv Gaur, said, "We are hopeful that the new unit with its manufacturing capacity of 3 million tonnes per annum of cement would be operational by April 2009. Further we are going to increase the capacity of the plant by 1.5 million tonnes per annum on which work would be started by third quarter of this calendar year and likley to be completed by 2010. Post expansion, the capacity of the plant would touch 4.5 million tonnes per annum."

Besides the company also plans to set up a new split unit in Madhya Pradesh and Bokaro in association with SAIL, and also a cement plant in Uttar Pradesh with a manufacturing capacity of 1.5 million tonnes per annum. The company has plans to raise the cement production capacity from 7 million tonnes per annum (present capacity) to 25 million tonnes per annum by 2012.

Also, Jaiprakash Power Venture Ltd, a group company is also planning to raise Rs 4,000 crore through IPO likely to hit the capital market this year. Further, Jaypee Group is constructing Karcham Wangtoo Hydro Electric Project (1,000 Mw) with a project cost of appoximately Rs 6,000-7,000 crore. The project is expected to be commissioned by 2011. This would be the largest hydro power station in the private sector.

Besides its industrial investment the group has been involved in the social development of the state by way of its educational initiatives comprising of the Jaypee University of Information Technology(JUIT) at Solan and the Jaypee Indusrial Training Centre at Samirpur through the Jaiprakash Sewa Sansthan — a not-for-profit trust.

e) Lafarge cement

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Lafarge is world leader in cement, now the highest selling cement in Eastern India.Lafarge India is a subsidiary of the French building materials major Lafarge.Lafarge is the world leader in building materials, with top ranking positions in all of its business cement,aggregrates,concrete,and gypsum.Lafarge entered India in 1999 with the acquisition of cement business of Tata Steel. This acquisition was followed by the purchase of Raymond cement in 2001. Lafarge currently had 3 cement plants in India, 2 plants in Chhattisgarh and 1 grinding unit in Jhadkhand. Total cement production capacity of Lafarge in the Indian market currently stands about 5.5 million tones. It produces Portland Slag cement(PSC) and Portland Pozzolana cement(PPC).

Lafarge cement is available through a large dealer network, throughout eastern India- in the states of West Bengal, Jharkhand, Bihar, Chattisgarh, Orissa and North-East States. Lafarge Cement is also available in parts of  Madhya Pradesh and Maharashtra (Vidarbha region), Part of Uttar pradesh , Andhra Pradesh & National Capital Region. 

Lafarge Homebuilding Center

Started off Calcutta, with plans to expand to other major cities in India, it is a unique resource centre with a wealth of information for home builders, architects, engineers, contractors, developers and home buyers. The first of its kind in India , it helps you to find out how to save time, money and effort, explore design options, decide on building materials and more.....

Lafarge’s strategy and culture has incorporated the three main   aspects   of   sustainable development – economic, social and environment issues.  We firmly believe that there can be no sustainable economic performance without dialog, social progress and protection of the environment and our commitment to sustainable development dates back many years.

f ) Ultra tech cement

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UltraTech Cement Limited has an annual capacity of 23.2 million tonnes. It manufactures and markets ordinary portland cement, portland blast furnace slag cement and portland pozzalana cement. It also manufactures ready mix concrete (RMC).UltraTech Cement Limited has five integrated plants, six grinding units and three terminals — two in India and one in Sri Lanka.UltraTech Cement is the country’s largest exporter of cement clinker. The export markets span countries around the Indian Ocean, Africa, Europe and the Middle East.UltraTech’s subsidiaries are Dakshin Cement Limited and UltraTech Ceylinco (P) Ltd.

Location of unitsCapacity (March 2008)

Composite plants 23.2 million tpa

Tadipatri (Andhra Pradesh)

Hirmi (Chhattisgarh)

Jafrabad (Gujarat)

Kovaya (Gujarat)

Awarpur (Maharashtra)

Grinding units

Magdalla(Gujarat)

Ginigera (Karnataka)

Ratnagiri (Maharashtra)

Jharsuguda (Orissa)

Arakkonam (Tamil Nadu)

Durgapur (West Bengal)

Bulk terminals

Navi Mumbai (Maharashtra)

Mangalore (Karnataka)

Colombo (Sri Lanka)

Ready-mix concrete plants (22) 4.9 million cubic metres

3) Customer relationship management

Customer Relationship Management consists of a process of a company uses to track & organize it’s contact with its current & prospective customers. Better a business can manage the more successful it will become. It is not just the application of technology, but

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it is a strategy to learn more about customer’s needs and behavior in order to develop strong relationship with them.

Newspaper Article :

Newspaper Byline : Busr in Treerapongpichit MAY 31, 2009-Cementhai Sales & Marketing Company, the marketing & retail arm of the SIAM cement Groups targets 100 billon baht in Sales by 2012, driven by Customer Relationship Management(CRM), according to Krij Kulanet, the company’s MD, the operator of cementhai home mart chain predicts sales growth this year of 3-4% to 50 billion baht.

a) Why crm?

In the commercial world the importance of retaining existing customer’s and expanding business is paramount. The costs associated with finding new customer could be important.

By opening up Direct Sales or Online Sales, use of agents etc. It helps to gain an insight into the behavior of their customers and modify there business operations to ensure that customers are served in the best possible way.

1. Increase in Sales. 2. Increase in profit earning.3. Increase in market expansion.4. Increase in number of customers.5. Increase in productions.6. Increase in values of market share.7. Increase cordial relations with the customers.8. Increase distribution channel flow.9. Increase to develop responsibilities.

Increase to work more efficiently.

b) Business benefits of crm

We now consider the Business Strategy Perspective on CRM. Here, we propose a model, which is a hybrid, and typical of many of the models and diagrams of CRM that you will

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find on The Internet and in popular books on the topic of eMarketing/eCommerce. The model has three key phases and three contextual factors:

Three key phases:

1. Customer Acquisition. 2. Customer Retention. 3. Customer Extension.

Three contextual factors:

4. Marketing Orientation. 5. Value Creation. 6. Innovative IT.

1. Customer Acquisition - This is the process of attracting our customer for the first their first purchase. We have acquired our customer.

Growth - Through market orientation, innovative IT and value creation we aim to increase the number of customers that purchase from us for the first time.

2. Customer Retention - Our customer returns to us and buys for a second time. We keep them as a customer. This is most likely to be the purchase of a similar product or service, or the next level of product or service.

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Growth - Through market orientation, innovative IT and value creation we aim to increase the number of customers that purchase from us regularly.

3. Customer Extension - Our customers are regularly returning to purchase from us. We introduce products and services to our loyal customers that may not wholly relate to their original purchase. These are additional, supplementary purchases. Of course once our loyal customers have purchased them, our goal is to retain them as customers for the extended products or services.

Growth - Through market orientation, innovative IT and value creation we aim to increase the number of customers that purchase additional or supplementary products and services.

4. Marketing Orientation - means that the wholes organisation is focused upon the needs of customers. Customer needs are addressed by the Three Levels of a Product whereby the organisations not only supplies the actual, tangible product, but also the core product and its benefit, and also the augmented product such as a warranty and customer service. Marketing orientation will focus upon the needs of consumers for all three levels of a product. (N.B. 'market' orientation and 'marketing' orientation are not the same).

5. Value Creation - centres on the generation of shareholder value based upon the satisfaction of customer needs (as with marketing orientation) and the delivery of a sustainable competitive advantage.

6. Innovative IT - is exactly that - Information Technology must be up-to-date. It should be efficient, speedy and focus upon the needs of customers. Whilst IT and/or software are not the entire story for CRM, it is vital to its success. CRM software collects data on consumers and their transactions. Huge databases store data on individuals and groups of individuals. In some ways, CRM means that an organisation is dealing with a segment of one person, since every consumer displays different purchasing habits and preferences. Organisations will track individuals, and try to market products and services to them based upon similar buyer behaviour seen in other individuals (e.g. When Amazon tells you that customers that viewed/bought the same product as you, also bought another product).

c) How to implement crm

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6 steps from Customer Service :

by Susan and Derek Nash

One of the ongoing challenges successful businesses face is in optimizing customer satisfaction and developing Customer Relationship Management. So many companies "jump on the bandwagon" of improving customer service in order to impact customer retention levels. Yet, since 1994, customer satisfaction has dropped in nearly every sector of the economy according to the American Customer Satisfaction Index compiled by the University of Michigan. So why is this? Raising customer satisfaction levels requires a comprehensive systems approach.This article will cover:

1. The importance of a clear customer experience strategy 2. Selecting the correct people 3. Developing, motivating and managing your people 4. Establishing effective service delivery processes 5. Building in continuous improvement 6. Ensuring managers are the key change-

One of the ongoing challenges successful businesses face is in optimizing customer satisfaction and developing Customer Relationship Management. So many companies "jump on the bandwagon" of improving customer service in order to impact customer retention levels. Yet, since 1994, customer satisfaction has dropped in nearly every sector of the economy according to the American Customer Satisfaction Index compiled by the University of Michigan. So why is this? Raising customer satisfaction levels requires a comprehensive systems approach.This article will cover:

1. The importance of a clear customer experience strategy 2. Selecting the correct people 3. Developing, motivating and managing your people 4. Establishing effective service delivery processes 5. Building in continuous improvement

Ensuring managers are the key change-

1) Setting a Clear Customer Experience Strategy

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Often organisations confuse defining a customer experience strategy with creating a "slogan". How many companies create a slogan without any supporting initiatives, thereby disillusioning employees and creating a "flavour of the month?".To establish a good strategy certain key practices are required:

Understand the overall organisational vision and mission Define the organisation's customer service direction, slogan and values Ensure customer service is defined as a key responsibility for the

business/department Share the customer experience strategy via a comprehensive communications

program Ensure that this strategy does not conflict with other business strategies. As

consultants, it is amazing how often we hear organisations say, "Improving Customer Service is a priority, and we are also introducing stringent cost-cutting measures." This can present a tough dichotomy.

2) Selecting the Correct PeopleIt's really hard to teach an elephant to dance! When recruiting employees to provide customer service, the process often tends to concentrate more on functional expertise, technical competence and knowledge rather than interpersonal skills. However, lack of the right attitude can drastically impact client satisfaction levels. Research has in fact shown that attitude is the most important requirement: skills and functional expertise can be taught.Therefore in selecting the right people:

Define the critical job requirements Develop scenario-based interviews/assessment centres to screen and select

candidates Involve multiple team members in the hiring process Ensure evaluation is based on objective, not the subjective "Be Like Me" criteria

3) Developing, Motivating and Managing your PeopleEven though you have hired the right people, there is still a need to orient them into the organisation's customer relationship culture and define key communication skills. In Call Centers and Technical Support departments, there is a tendency to rely on technical/functional skills and neglect interpersonal skills development. This can result in providing acceptable material service, the more tangible aspect, yet unacceptable personal service, the competitive differentiator.Therefore to build a customer relationship culture, it is important to:

Provide training in key areas required to deliver exceptional personal service

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Reinforce these skills using ongoing coaching and feedback Measure current performance levels Reward performance using a combination of monetary awards and non-monetary

recognition

4) Establishing Effective Service Delivery Processes Effective processes and procedures provide the foundation for smoothing or inhibiting the material service element of the customer interaction. Efficient service delivery systems appear transparent to the customer. Poor systems create those 'speed bumps' that necessitate personal intervention in order to satisfy the customer requirements.The critical elements in ensuring a positive material customer experience are:

Mapping the service delivery processes Evaluating critical success points in the process Defining service standards and objectives for these essential points Establishing service delivery procedures to optimise material service Creating service level agreements to smooth internal service delivery

5) Building in Continuous ImprovementNo matter how effective the service delivery processes, or well-trained the service deliverers, things go wrong. Products have faults. Customers get frustrated. Things slip through the cracks. The organisations that are built around managing the customer experience are able to resolve these issues effectively. This process known as "recovery" is an important differentiator in building customer loyalty.In order to recover effectively, it is necessary to:

Actively seek customer feedback and complaints: you cannot improve if you don't know what went wrong in the first place.

Train staff how to handle customer complaints effectively using the correct mix of empathising, apologising and resolution.

Make sure that the real problem is solved, not just the symptoms. Focus on proactive (prevention) as well as reactive (cure) problem solving.

6) Ensuring Managers are the Key Change-AgentsAs consultants, we observe that senior management often has the vision, intention and commitment to introduce a comprehensive customer relationship management system. The "make or break" element is in involving middle management in the change process, and empowering them to be the key change-agents.To do this, it is important to:

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Engage the management team early and often in the process Involve management members in articulating the customer experience strategy Teach managers coaching skills so that they are able to articulate and reinforce the

key personal service skills Use managers as facilitators when rolling out interpersonal skills training Reward managers on establishing, monitoring and updating service delivery

processes Ensure managers are able to act as an example to their teams.

d) The Customer Life Cycle (CLC) and CRM.

The Customer Life Cycle (CLC) has obvious similarities with the Product Life Cycle (PLC). However, CLC focuses upon the creation of and delivery of lifetime value to the customer i.e. looks at the products or services that customers NEED throughout their lives. It is marketing orientated rather than product orientated, and embodies the marketing concept. Essentially, CLC is a summary of the key stages in a customer's relationship with an organisation. The problem here is that every organisation's product offering is different, which makes it impossible to draw out a single Life Cycle that is the same for every organisation.

Let's consider an example from the Banking sector. HSBC has a number of products that it aims at its customers throughout their lifetime relationship with the company. Here we apply a CLC. You can start young when you want to save money. 11-15 year olds are targeted with the Livecash Account, and 16-17 year olds with the Right Track Account. Then when (or if) you begin College or University there are Student Loans, and when you qualify there are Recent Graduate

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Accounts.When you begin work there are many types of current and savings account, and you may wish to buy property, and so take out a mortgage. You could take out a car loan, to buy a vehicle to get you to work. It would also be advisable to take out a pension. As you progress through your career you begin your own family, and save for your own children's education. You embark upon a number of savings plans and schemes, and ultimately HSBC offer you pension planning (you may want to insure yourself for funeral expenses - although HSBC may not offer this!).This is how an organization such as HSBC, which is marketing orientated, can recruit and retain customers, and then extend additional products and services to them - throughout the individual's life. This is an example of a Customer Life Cycle (CLC).Another important point is that a lifetime CLC is made up many shorter CLC's. So, for example, Volkswagen Cars retains a customer for many years and one can predict the products that meet a customers needs throughout his or her family lifetime. However the purchase of each car, will in itself be a CLC with many Customer Touch Points. The consumer may need a bigger vehicle as his or her family expands - so they visit VW's website and register.The customer reviews models and books a test-drive with her or his local dealer. He or she decides to buy the car and arranges finance. The car is then delivered from the factory, and returns every year for its annual service. Then after three years, the customer decides to trade in his or her car, and the cycle begins again.

e) Information Technology (IT) and CRM

As we have discussed, CRM is more than just software. For the purposes of this introduction - Information Technology (IT) and CRM have three key elements, namely Customer Touch Points, Applications, and Data Stores. This section is based loosely upon Raisch (2001) The eMarketplace.

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Customer Touch Points: are vital since your business has a marketing orientation and focuses upon the customer and his or her current and future needs. This is the interface between your organisation and its customers. For example you buy a new car from a dealership, and you enter a showroom. The dealership is a contact point. You meet with a salesperson whom demonstrates the car. The salesperson is a contact point. You go home and look at the car manufacturer's website, and then send the company an e-mail. Both are contact points. Other contact points include 3G telephone, video conferencing, Interactive TV, telephone, and letters.

Applications: are essentially the software and programmes that support the process. Incidentally, this is what some would call CRM - but we know better. Applications serve Marketing (e.g. data mining software* and permission marketing**), Sales (e.g. monitoring Customer Touch Points), and Service (e.g. customer care).

Data Stores: contain data on every aspect of the customer, and the Customer Life Cycle (CLC). For example, an organisation keeps data on the products you buy, when you buy them, and where they are sent. Data is also kept on the web pages that you visit and the products that you consider, but then do not buy. Leads are stored here. Data on the life time value of individual customers is stored here, as well as details of how and when the customer was recruited, how - and for how long - individuals have been retained, and details of any products that have been extended to individuals are also stored. The data is analysed using Applications.

*Data Mining is where an organisation evaluates large Data Stores for patterns, or relationships between groups or individuals (or segments). Applications present 'patterns' in a format that can be used for marketing decision-making.

** Permission Marketing is where a customer elects to accept (or 'opt-in' to) marketing material from an organisation e.g. where you buy insurance and the vendor asks if you wish to receive further details from them, or similar organisations.

f) Benefits of crm Implementing CRM solution might involve considerable time and expenses. However, there are many potential benefits:Increased Sales through better timing due to anticipating needs based on historic trends, identifying needs more effectively by understanding specific customer requirements cross-selling of other products by highlighting and suggesting alternatives or enhancements identify which of your customers are profitable and which are not.This can lead to better marketing of your products or services by focusing on:- Effective targeting marketing communications aimed specifically at customer needs a more personal approach and the development of new or improved products and services in order to win more business in the future.

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Ultimately it could lead to:-Enhanced customer satisfaction and retention, ensuring that your good reputation in the market place continues to grow increased value from your existing customers and reduced cost associated with supporting and servicing them, increasing your efficiency and reducing total cost of sales. Improved profitability by focusing on the most profitable customers and dealing with the unprofitable in more cost effective ways.

g) Drawbacks of crm

1) Lack of commitment from the people with in the company to the implementation of a CRM solution. Adapting to a customer –focused approach may require a cultural change.

2) Poor communication can prevent buy in. In order to make CRM works, all the relevant people in your business must know what information you need and how to use it.

3) Weak leadership could cause problems for any CRM implementation plan. 4) Avoid rigid rules which cannot be changed.Rules should be flexible to allow the needs of individual customers to be met. 5) Not having regular basis meeting with dealers and retailers (monthly basis).

Special note :

1. Ultratech has setup a separate department for non-trade sells called ‘KAMP’.

Lafarge & Ultratech are also in ready-mix concrete for big projects.

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h) Customer relationship management across brands RATINGS

CRM-Parameters ACC(dealers)AMBUJA(dealers)

CENTURY(dealers)

supply of cement Good Avg. Goodreceipt of bills/ledgers Good Avg. Goodcomplaint handling Good Avg. AvgMonthly meeting with officers Good Good Avgdistribution channel Good Avg. Goodpromoting sells Good Good Goodsupply of cement Good Avg. Goodfollow company policies Yes Somewhat Yeswant to change brand No No No

tour/tripsDomestic tours with family- foreign tour for

500-600MT=goa tour

If they meet target sells, foreign tour to

dealers having sells

800-1000MT=dubai tour

the dealers. 800-1000MT/month

1000+MT=Singapore tour

Giftsshirt,travel bag,wrist watch

travel bag,tiffin box

crockery set,travel bag

Tiffin box,umbrella,TV Umbrella

Wrist watch,umbrella

CRM-Parameters

LAFARGE(dealers)

ULTRATECH(dealers)

JAYPEE(dealers)

supply of cement Good Good Avgreceipt of bills/ledgers Good Avg Goodcomplaint handling Avg Good Avgmonthly meeting with officers Good Good AvgDistribution channel Good Good Goodpromoting sells Good Good Goodsupply of cement Good Good Goodfollow company policies Yes Yes Yeswant to change brand No No No

tour/trips domestic tour- domestic tour-domestic & foreign tour

with family with family

Gifts crockery set,AC crockery set,bagsTV,insurance for dealer

wrist watch,bags umbrella,watchesupto 10 lacs,AC,bags,

insurance for dvd player,mobiles

Masons upto 1 lac

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NOTE:- PICTORIAL REPRESENTATION OF ABOVE TABLE IS MENTIONED AT PAGE NO.38-49.

4) Dealers and retailers

Dealers:

Dealers are also known as wholesalers, dealers are those people who owns the TITLE of the product from the company, who gets the license to sell the product of the company to the end-customer. Dealers have to deposit certain securities like (Rs50,000-1,00,000) to the company, so that they cannot switch to sell any other brand’s product.

Dealers add value for producers by performing one or more channel distribution. They can sell products directly to the end-customers , or appoint some sub-dealers/retailers under them he can sell the products o the end-customers.

A) Types of dealers

It is classified in 2(two) categories:

1) Merchant dealers: Largest group of wholesalers/dealers account for 50% of wholesaling. a) Full service dealers:

Carry stock, maintain a sales force, offer credit, make deliveries, provide management assistance.

Sell primarily to retailers: some carry several merchandise lines, some carry one or two lines, other carry only one line.

Industrial distributors sell to manufacturer & also provide services such as credits and delivery.

b) Limited dealers: Cash and carry dealers, sell a limited line of fast moving goods to small

retailers for cash. Rack jobbers, serve retailers in non-food items. Producer’s cooperatives, assemble farm produce to sell in local markets.

Mail-order dealers, send catalogs to retail, industrial and institutional customers, orders are filled and sent by mails, rails, plane,etc.

2) Specialized dealers: Agriculture assemblers(buy the agricultural output of many farms).

Petroleum bulk plants and terminals.

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c) Functions provided by Dealers:

1) Selling & promotions.2) Buying and assortment building.3) Bulk-breaking.4) Warehousing.5) Transportation.6) Financing.7) Risk breaking.8) Market information.Management services & advice.

retailer

Retailers are those persons who sales multi-brand products in the market, without owning their TITLE. They serves as the middle-man between the dealers and the end-customers. They give proper feedback to the dealers about the liking and disliking of the products, and more over tell them which brand is doing how much business in the market. And further, the dealers give these information to the Companies, and Company do R&D according to the information received.

d) What is retailing?

Retailing includes all the activities involved in selling products or services directly to final consumer for their personal or non-business use.

Retailer or retail store is any business enterprise whose sales volume comes primarily from retailing.

Any organization selling to final consumers whether manufacturer, wholesaler or retailer is doing retailing.

It doesnot matter how and where the goods or services are sold.

e) Pricing strategy:Sample study in Raipur & durg district, week no. 21,22,23,24,25,26.From top to bottom: ACC (Rs 216/-), Ambuja(Rs 215/-), Ultratech(Rs 213/-), Century(Rs 211/-),Jaypee(Rs 210/-), Lafarge(Rs 208/-).

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ACC216/-

AMBUJA215/-

ULTRATECH213/-

CENTURY211/-

JAYPEE210/-

LAFARGE208/-

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f) Comments of dealers & retailers :

Comments of dealers ACC dealers

Ambuja Dealers

Century dealers

Jaypee dealers

Lafarge dealers

Ultratech dealers

Comments Working with ACC is great. It’s a brand.

Good coordination & support.

Good network & availability.

Creating a brand, good market.

Good market hold, and loving the work.

Enjoying the work.

Comments of retailersACC retailers

Ambuja retailers

Century retailers

Jaypee retailers

Lafarge retailers

Ultratech retailer

Comments Good experience & regular visit by the company’s officers.

Supporting & regular visit.

Strong network and good distribution channel.

Workholic environment. Proper feedback.

Enjoying the job.

Good relations maintained in every aspect of business.

5) Distribution channel

Distribution is about getting the products or services to the customers as conveniently as possible; it deals with access and availability. Marketing channels are sets of interdependent organizations involved in the process of making a products or services available for use or consumptions.

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Marketing channels/distribution players:

Dealers Agents Facilitators

Importance of channels:

1) Decision about the marketing channel system are among the most critical facing management.

2) In the US, channel members earn margins that accounts for 30-50% of the ultimate selling price.

3) Marketing channel must not just serves markets, they must also make markets.

4) Channels chosen affect all other marketing decisions. Like pricing depends on whether it uses wholesaling or retailing.

a) Push & Pull strategy:

Push strategy: Company use sales force and trade promotion money to induce intermediaries to carry, promote and sell products to end-users. Company uses this strategy when there is low brand loyalty in a category, brand choice is made in stores, product is an impulse item, and product benefits are well understood.

Pull strategy: Company uses advertising and promotion to induce consumers to ask intermediaries for the product, thus inducing the intermediaries to order it. Company uses this strategy, when there is high brand loyalty in the category, when people perceives differences between brands, and when people choose the brand before they go to the market.

Few points which company works to improve crm

1) Channel integration.2) Value networks.3) Proper channel functions.

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4) Selecting channel members.5) Training and motivating channel members.6) Channel conflicts.

Horizontal conflicts Vertical conflicts Multi channel conflicts

7) Causes of conflict.8) Managing channel conflicts.

b) Channel integation :

Customers expect channel integration, characterized by the following points;

The ability to order a product online and pick it up at a convenient retail locations.

The ability to return an online ordered product to a nearby stores of the retailers.

The right to receive discounts based on total online and offline purchases.

Value networks:

A supply chain view of a firm sees markets as destination points and amounts to linear view of the flow. The Company should first think of the target market, and then design the supply chain backward from that point.Value network a system of partnerships and alliances that a firm creates to source, augment, and deliver its offering. A value network includes a firm’s suppliers, its suppliers’ suppliers, its immediate customers and also their end-customers.

Channel functions:

There are 8 main functions for proper channel distribution functions:

Information : gathering and distributing marketing research.

Promotion : developing and communicating offers.

Contact : communicating with prospective buyers.

Matching: fitting the offer to the buyer’s needs. Negotiating : reaching agreement on price and terms.

Physical distribution : transporting and storing the goods.

Financing : getting and using funds to cover the costs of channel work.

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Risk taking : assuming the risks the channel work.

c) Selecting channel member:

Selecting channel members by keeping certain points in mind:

Number of years experience.

Other any side business.

Growth and profit record.

Financial strength.

Service reputations.

Cooperativeness.

Location of the shops.

Future growth potential.

Payement of bills on time.

Loyalty level should be maintained.

d) Training and motivating channel members

Stimulating channel members to top performance starts with understanding their needs and wants.

The Company should provide training programs and market research programs to improve intermediaries performance.

The Company must constantly communicate its view that the intermediaries are partners in a joint effort to satisfy and users of the products.

Most producers see gaining intermediaries cooperation as a huge challenge.

Company’s that are more sophisticated try to forge a long-term partnership with dealers and retailers.

e) Channel Conflicts:

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Vertical conflicts : it means conflicts between different levels within the same channels.

Horizontal conflicts : it involves conflicts between members at the same level within the channel.

Multi channel conflicts : this conflicts exists when the Company has established two or more channels that sells to the same market. This conflicts take place when, it is likely to be especially intense when the members of one channels get a lower price(based on larger volume purchase) or work with a lower margin.

Causes of channel conflicts:

1) Goal incompatibility : when Company wants to achieve rapid market penetration through a low price policy, and dealers, in contrast may prefer to work with high margins and short run profitability.

2) Unclear roles and rights : company sells personal will try to sell products (large amount) and dealers may also be trying to sell to large amount conflicts of territory boundaries.

3) Differences in perception : company may be optimistic about the short-term economic outlook and want dealers to carry higher inventory. But dealers may be pessimistic.

4) Intermediaries dependence on the company : exclusive dealers such as cement, auto dealers are profoundly affected by the Company’s product and pricing decisions.

Managing channel conflicts:

As Companies add channels to grow sales, they run the risk of creating channel conflicts.

Adoption of superordinate goals : channel members come to an agreement on the fundamental goal they are jointly seeking.

Exchange of employees : A useful step is to exchange persons between two or more channel levels.

Co-optation : co-optation is an effort by one company to win the supports of the leaders of another company by including them in advisory councils, and the like.

Joint membership in trade association : cooperation leads to the development of the universal product code.

Diplomacy, mediation, arbitration : each side sends a person or group to meet with its counterpart to resolve the conflict.

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Mediation : resolving to a neutral third party skilled in conciliation the two parties interests.

Arbitration : occurs when the two parties agree to present their arguments to one or more arbitration and accept the arbitration decision.

Legal recourse : when none of the methods proves effective, a company or a channel partner may choose to file a lawsuit.

f) Contribution to trade & non trade Trade & non trade/company

IHB(trade) Buyer(non-trade) ACC 96% 4%

AMBUJA 60% 40%

CENTURY 45% 55%

JAYPEE 40% 60%

LAFARGE 50% 50%

ULTRATECH 50% 50%

Note:- IHB is Individual Home Building, person building home for himself.Non-trade is when company provides cement for projects(like building flats, flyovers, highways, etc).

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6) annexure Total surveys covered in Raipur & Durg district by me is 100, and out of which 75 are dealers and 25 are retailers.

survey

25%

75%

dealers

retailers

1) associated cement company a) Dealers and retailers years of experience in ACC

experience in this business

0%

37%

38%

25%

0-1years

2-5years

5-10years

10+years

b) average monthly demand of dealers and retailers of ACC

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avg monthly demand

0%

32%

36%

32%>50MT

50-250MT

250-500MT

500<MT

c) products what they sells apart cement(dealers & retailers)

sells apart cement

15%

25%

10%10%

30%

10%

steel & iron

hardw are

paints

sand & bricks

nothing

tiles

d) company’s behaviour on timely service

co.'s behavoir on timely basis service

10%

10%

12%

11%

11%9%

8%

8%

7%

7%7% supply of cement(avg)

customer service(avg)

complaint redressel(avg)

behavior of co.'s off icers(avg)

distribution channel(avg)

receipt of bills/ledgers(good)

supply of cement(good)

customer service(good)

complaint redressel(good)

behavior of co.'s off icers(good)

distribution channel(good)

e) what co. provide to uplift/promote sells

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co. provide to promote sells

17%

28%

19%

13%

23%

branding

banners

advertisement

w all painting

non-monetary benefits

2) Ambuja cement

a) dealers and retailers years of experience in Ambuja cement

experience in this business

10%

40%

30%

20%

0-1years

2-5 years

5-10 years

10+ years

b) average monthly demand of dealers and retailers

avg monthly demand

0%

30%

40%

30%

>50MT

50-250MT

250-500MT

500<MT

Page 41: Final Sem Project

c) product what they sells apart cement(dealers & retailers)

sells apart cement

41%

17%

25%

17%

steel & iron

hadw are

sand & bricks

nothing

d) company’s behavior on timely service

co.'s behavior on timely service

12%

13%

12%

12%13%

12%

5%

3%

5%

5%

3%

5%

receipt of bills/ledgers(avg)

supply of cement(avg)

customer service(avg)

complaint redressel(avg)

behavior of co.'s off icers(avg)

distribution channel(avg)

receipt of bills/ledgers(good)

supply of cement(good)

customer service(good)

complaint redressel(good)

behavior of co.'s off icers(good)

distribution channel(good)

e) what company provide to promote sells

w hat co. provide to promote sells

20%

27%

13%

20%

20%

branding

banners

advertisement

non-monetary benefits

w all painting

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3) Century cement

a) dealers & retailers years of experience in century cement

experience in this business

0%

48%

26%

26%

0-1 years

2-5 years

5-10 years

10+ years

b) average monthly demand of dealers & retailers

avg monthly demand

0%25%

25%

50%

>50MT

50-250MT

250-500MT

500<MT

c) products dealers & retailers sells apart cement

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sells apart cement

21%

21%

10%

27%

21%

steel & iron

hardw are

paints

sand & bricks

nothing

d) company’s behavior on timely service

co.'s behavior on timely service

10%

6%

10%

10%

10%6%

7%

10%

7%

6%

7%

11%receipt of bills/ledgers(avg)

supply of cement(avg)

cutomer service(avg)

complaint redressel(avg)

behavior of company’s off icers(avg)

distribution channel(avg)

receipt of bills/ledgers(good)

supply of cement(good)

cutomer service(good)

complaint redressel(good)

behavior of company’s off icers(good)

distribution channel(good)

e) what co. provide to promote sells

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to promote sells

20%

23%

20%

16%

21%

branding

banners

advertisement

w all painting

non-monetary benefits

4) Jaypee cement

a) dealers & retailers experience in this business

experience in this business

0%

80%

20%

0%

0-1 years

2-5 years

5-10 years

10+ years

b) average monthly demand of dealers & retailers

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avg monthly demand

0%20%

20%60%

>50MT

50-250MT

250-500MT

500<MT

c) dealers & retailers sells products apart cement

products sells apart cement

40%

0%0%0%

60%

steel & iron

hardw are

paints

sand & bricks

nothing

d) company’s behavior on timely service

co. timely service

7%7%

3%

3%

7%

3%

10%

10%15%

14%

7%

14%

receipt of bills/ledgers(avg)

supply of cement(avg)

customer service(avg)

complaint redressel(avg)

behavior of co.'s officers(avg)

distribution channel(avg)

receipt of bills/ledgers(good)

supply of cement(good)

customer service(good)

complaint redressel(good)

behavior of co.'s officers(good)

distribution channel(good)

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e) what company provide to promote sells

to promote sells

22%

17%

22%

17%

22%branding

banners

advertisement

w all painting

non-monetary benefits

5) Lafarge cement

a) dealers & retailers years of experience in this company

experience in this business

5%

32%

27%

36%0-1 years

2-5 years

5-10 years

10+ years

b) average monthly demand of dealers & retailers

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avg monthly demand

0%

32%

27%

41%>50MT

50-250MT

250-500MT

500<MT

c) what dealers & retailers sells apart cement

sells apart cement

33%

13%8%

25%

21%steel & iron

hardw are

paints

sand & bricks

nothing

d) company’s behavior on timely service

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co.'s timely service

9%

8%

10%

11%

11%6%8%

9%

7%

5%

5%

11%

receipt of bills/ledgers(avg)

supply of cement(avg)

customer service(avg)

complaint redressel(avg)

behavior of co.'s off icers(avg)

distribution channel(avg)

receipt of bills/ledgers(good)

supply of cement(good)

customer service(good)

complaint redressel(good)

behavior of co.'s off icers(good)

distribution channel(good)

e) what company provide to promote sells

co. provide to promote sells

16%

26%

16%

23%

19%

branding

banners

advertisement

w all painting

non-monetary benefits

6) Ultra tech cement

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a) dealers & retailers years of experience in this company

years of experience

0%

36%

32%

32%0-1 years

2-5 years

5-10 years

10+ years

b) average monthly demand of dealers & retailers

avg monthly demand

0%

32%

32%

36%>50MT

50-250MT

250-500MT

500<MT

c) what dealers & retailers sells apart cement

sells apart cement

29%

21%7%

25%

18%steel & iron

hardw are

paints

sand & bricks

nothing

d) company’s behavior on timely service

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co.'s timely service

10%

8%

11%

12%

12%9%

7%

8%

6%

5%

4%8% receipt of bills/ledgers(avg)

supply of cement(avg)

customer service(avg)

complaint redressel(avg)

behavior of co.'s off icers(avg)

distribution channel(avg)

receipt of bills/ledgers(good)

supply of cement(good)

customer service(good)

complaint redressel(good)

behavior of co.'s off icers(good)

distribution channel(good)

e) what company provide to promote sells

co. to promote sells

19%

25%

17%

23%

16%

branding

banners

advertisement

wall painting

non-monetary benefits

7) CONCLUSION

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Customer Relationship Management(CRM) is the most vital and discussed topic in today’s business world. But still there are few unfolded(undiscussed) parts related to it, which has not been covered. I have tried to give light on it, with all the necessary details towards this topic(CRM).

Customer Relationship Management is a better part of business of the Company, which a company tries to maintain good relation with their customers, more the successful this relation develops more the profit company earns. By applying this strategy, company learns more about customer’s needs and behavior in order to develop strong relationship with them, and even the customers understand what company wants out of them, and they even perform there duties on that expectation demanded. If coordination is maintained from both sides then CRM is fruitful, and if any company lacks in CRM, they tries to improve their relations, and improve sells, and market hold.I have covered 100 interviews with various dealers & retailers of various brands. I collected several informations regarding, which company is good in maintaining CRM with their dealers & retailers.ACC Co. is the first Indian cement company to implement CRM effectively. ACC Co. has a good CRM network with their dealers & retailers, and even they update their dealers and retailers in every aspect. ACC Co. is the only cement company that figures in the list of Consumer Super Brands of India. They trained them and motivate them according to the market structure. Even the company entertain the views of dealers & retailers if they find it sensible. Many company’s don’t entertain their dealers & retailers, they just ask them to follow the policies of the company, and do your job. ACC entertains informations from dealers. There is monthly meeting of dealers with company’s officers, they discuss about the demand supply ratio, distribution channel. ACC Co. creates and maintain a very friendly environment with dealers and retailers. Co. provides banners, wall painting, branding to promote sells. Co. provides gifts, non-monetary benefits, and even domestic and foreign trips to dealers & retailers in return of there excellent sells of cement.ACC Co. is a major player in trade(IHB)section, and contributes only 5% in non-trade. ACC Co. has a high price range compare to all other brands. Overall ACC Co. has a brandname, and it is built with confidence. ACC Co. has a strong distribution channel all over India. It has 19 Sales Unit, 54 Area Offices, 194 warehouses, backed up by a strong network of over 9000 dealers in India. It is the most famous and trusted brand across the nation. ACC Co. also provide help to there customers by launching ACC HELP CENTERS

1) Help Centers are made in the construction sites.2) To guide you in your construction, engineers are available at sites.3) Every details regarding construction, is in the website. (www.acchelp.in).

ACC have 17 Help Centers across the country.

8) References

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1. www.google.com .

2. www.crm.co.in .

3. Human Resource Management by A.K.Saxena.

4. Magazines.

5. Newspapers.

6. www.marketingteacher.com .

9) Glossary

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Associated cement company(ACC) -11,12, 28,37,38,39Ambuja cement -13,28,37,40,41Benefits of CRM -27Business benefits of CRM -19,20Century cement -14,28,37,42,43Customer life cycle & CRM -24,25CRM -18CRM across brands -28Channel integration & function -34,35Channel conflict & causes of channel conflict -36Comments of dealers & retailers -32Conclusion-50Distribution channel -33,34,35,36,37Drawbacks of CRM -27Dealers -29,30Executive summary -5,6,7,8,9How to implement CRM -21,22,23,24Indian cement industry -10I.T. & CRM -25,26,27Jaypee cement -16,28,37,44,45Lafarge cement -16,28,37,46,47Managing channel conflict -36,37Output of interviews of dealers -6,7Pictorial charts(of various brands) -38,39,40,41,42,43,44,45,46,47,48,49Pricing strategy -31Questionnaire -8,9Reference-51Selecting channel members -35Training & motivating -35,36Ultratech cement -17,28,37,48,49Value networks -34