Service Marketing

Service Delivery Process at Sharekhan Ltd.

Industry Analysis Company Profile Service Encounters Service Blueprint Gaps Model Questionnaire Analysis

Contents

The share of service sector in India’s GDP for the

fiscal year 2009-2010 stood at 56%. The Indian broking industry is one of the oldest

trading industries that has been around even before the establishment of the BSE in 1875.

Trading, IPOs and Mututal Funds are the top three products offered with 90% firms offering trading, 67% IPOs and 53% firms offering mutual fund transactions.

The Indian retail brokerage market is going through a wonderful phase with high growth rate. It is expected to reach US$ 6535.7 billion by the year 2015.

Industry Analysis

SHAREKHAN LIMITED VISION: - “To be the best retail broking brand

in the Indian equity markets.” India’s leading stock broker firm of SSKI group. Sharekhan.com was launched in 2000. More than 175 broking firms in over 80 cities.

Into broking industry since 80 years.

Company Profile

Equity and Derivatives trading. Depository services. Mutual Funds. Commodities trading. DIAL-N-TRADE. Portfolio Management. Fundamental Research. Technical Research.

Service’s of Sharekhan

The service encounter or Moment of Truth is

Generally there are three types of service encounters:-1)Remote encounter(Website/Emails)2)Phone encounter3)Face-to-Face encounter

Service Encounter

Sales CallMeet the client &

Convince himGet the Form

signed up

Service blueprint of Sharekhan Ltd

The Blueprint will have 5 components Physical Evidence Customer Actions( Line of Interaction) Onstage Contact Employee Actions (Line of

visibility) Backstage Employee Actions (Line of internal

interaction) Support Processes

Service Blueprint

Gap1:- The Promotional Gap:-The origin of the problem lies in the company’s marketing communications.In the bid to get new customers by selling the benefits of their product or service companies can very easily create expectations in the minds of customers that will be difficult to fulfill. Gap2:- The Understanding Gap:-Another problem area is that the organizations do not have a proper understanding of customers’ needs and priorities. If they don’t realize what is important to customers, it is quite possible that customer will not be satisfied despite good quality of service.

Gaps Model

Gap3:- The Procedural Gap:-Despite the organization having proper understanding of what matters most to the customers it may still fail to deliver customer satisfaction if it cannot translate customers’ expectations into appropriate operating procedures and systems. Gap4:- The Behavioral Gap:-Sometimes organizations establish clear procedures which can match with the customers’ needs and priorities but still fail to achieve a consistently high level of customer satisfaction because staff may not be sufficiently trained or disciplined to follow the proper procedures at all times.

Gap5:- The Perception Gap:-It is possible that above mentioned gaps do not exist still some customers may be dissatisfied. This is because of the customers’ perception of the performance of organization which may differ from reality.

The sample size for this was 50 A Likert Scale was used, where customers were asked to

rate the given parameters on the scale of one to five. These parameters were clubbed together to get a clear

understanding of the satisfaction of the customers with sharekhan. All the levels of scale were given different weight as follows:

Highly dissatisfied (high dis)-1, dissatisfied (dis)-2, neutral (neut)-3,satisfied-4, highly satisfied(high sat)-5. These values are shown in bracket besides the categories under a bracket.

Questionnaire Analysis

high dis(1)

dis(2)

neut(3)

sat(4)

high sat(5)

calls made 10 7 10 20 3Behavior 0 0 5 40 5knowledge of executive 0 5 3 29 13reply of executive 1 7 10 26 6Brokerage 10 5 5 23 7trading screen & browser speed 0 0 2 31 17account opening duration 13 17 0 18 2meeting before activation 3 17 6 19 2Response time 3 7 2 29 9

The number of respondents in each category

for every parameter was multiplied with their respective weight and then the values for there parameter were added.

The sum was then divided by the number of respondents.

This way the average was calculated for each parameter.

high dis(1)

Dis(2)

Neut(3)

Sat (4)

high sat(5) Total Score

Max Score

calls made 10 14 30 80 15 149 2.98 5

Behavior 0 0 15160 25 200 4 5

Knowledge of executive 0 10 9

116 65 200 4 5

reply of executive 1 14 30

104 30 179 3.58 5

brokerage 10 10 15 92 35 162 3.24 5trading screen & browser speed 0 0 6

124 85 215 4.3 5

account opening duration 13 34 0 72 10 129 2.58 5meeting before activation 3 34 18 76 10 141 2.82 5

Response time 3 14 6

116 45 184 3.68 5

 3.464444

Telephone encounters, related to toll-free number

also create a higher level of satisfaction. Customers are highly satisfied with the knowledge

and behavior of the executives. The time taken to activate the account is

dissatisfactory as there exists a promotional gap. The company promises to activate the account in 10-12 working days, but in many cases this stretches to 16-18 working days.

Generally, the customers are satisfied with the demonstration, yet there is scope for improvement.

Findings

The customers have, generally, been found to be

satisfied with the reply of the executives to their query. This can be inferred from the average of the query which is 3.58 and is very close to satisfaction level.

The response time of the executives has also played an important role in the satisfaction level of the customers, as is clear from the average of 3.68.

Brokerage charged by the company is one area where the company should work on. The satisfaction index shows the level of satisfaction in this regard to have an average of 3.24 only.

Training to the employees to minimize deficiencies and

fasten the process of account activation. Account activation duration should be decreased from

the present level of 16-18 working days to the promised duration of 10-12 working days.

Brokerage charged by the company should also be brought down to compete with other players. (especially in intra-day trading.)

Mock demonstration should be conducted by the employees in the office itself by the onstage contact employees among themselves and they should try to assess their weakness and strengths in the presentation.

Suggestions

The research was an opportunity to

understand the service delivery process of a major financial institution of the country.

The concept of service blueprint was used to understand customer needs and as a tool of service improvement through which all service encounters were analyzed and classified.

Conclusion

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