Hero Honda-Consumer Buying Behaviour

A FINAL REPORT
ON
TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

(WITH SPECIAL REFERENCE TO RETAILERS OF SURAT CITY)
DURATION OF RESEARCH
14 JULY TO 24 OCT. 2008
TH TH
PREPARED BY
JAGDISH PAREEK ENROLL NO:-7NBSU022
GUIDED BY
MRS. M. LAKHNI
SUBMITTED TO:
MRS. M.LAKHNI
ICFAI NATIONAL COLLEGE, SURAT
ACKNOWLEDGEMENT
It is a great pleasure to have this opportunity to express my regards and sense of gratitude to my guide Mrs. Mehrunisha lakhni it is due to their encouragement and proper suggestion this project work could not be finished without their help in the time limit prescribed by the university. I am also thankful to marketing faculties for its valuable advice and help .I can not miss the opportunity to acknowledge my respected Principle Mr. minocha for their help and support. I am also thankful to all staff of Icfai College for their coordination. I own my sincere thanks to Mr. Punit Agarwal (Prop. of M/S. Shivani Motors) and Mr. Amit Agarwal for their coordination & help in accomplishing my project report at this moment. I am also very much thankful to my parents & brother for their continue encouragement and moral support during the project. Last but not least I am also thankful to my friends who supported me during the deed of the project work.
Jagdish Pareek Icfai National Collage
ICFAI NATIONAL COLLEGE
DECLARATION
I hereby, declare that the project report entitled the research of Consumer Behavior on purchasing Hero Honda Motor Cycle(with special reference to Surat city ) is the result of my own research and hard work to two month during the academic year (2008-2009) I submit this Project Report to ICFAI NATION COLLEGE for the partial completion of my MBA Program and I assume that the same topic has not been presented by me at any other examination of any university. All the data presented in this dissertation are the fact.
Place:-SURAT Pareek Date: College
Jagdish Icfai National
EXECUTIVE SUMMARY
In the present business environment it is very difficult for any business to survive. For survival every business unit has to differentiate it from others and to give certain benefits to its customers keep doing business in long run. Discount is seen as promotional tool by many businesses. By giving huge discount to customer, retailers want to maintain long term relationship with them. In todays fast and developing world every person wants to try to manage their speed. Every Individual has wish to complete their work with high efficiency and beyond the certain time limits. People use many source to maintain their speed according to this era motorcycle is one of them. This project is directly relate it. The objective of my survey was to study buying behavior of Hero Honda Motorcycles. In this survey I have used personal survey method. The sample size for the research kept in mind seeing the size of Surat city, and it is 200 people for survey. And for survey I used area sampling method and judgmental method.
After demeanor the survey, I had done the analysis and finding of the buying behavior of Hero Motorcycles in Surat city.
Abbreviation
ABC - Active Body Control ABS - Antilock Brake System AC - Alternating Current A/C - Air Conditioning ACC - Adaptive Cruise Control ACC - Air Conditioning Clutch ACC - Automatic Climate Control Accel - Acceleration ACCS - Air Conditioning Cycling Switch Accum - Accumulator Accy - Accessory ACD - Air Conditioning Demand ACE - Active Cornering Enhancement ACL - Air cleaner ACM - Airbag Control Module ACM - Audio Control Module ACR4 - Air Conditioning Refrigerant, Recovery, Recycling, Recharging B+ - Battery positive (voltage) BARO - Barometric (pressure) BAS - Brake Apply Sensor batt - Battery BBV - Brake Booster Vacuum BCA - Bias Control Assembly BCM - Body Control Module BECU - Body Electronic Control Unit BFC - Body Function Controller BHP - Brake Horsepower C3I - Computer Controlled Coil Ignition
CAA - Canadian Automobile Association CAA - Clean Air Act CAB - Controller, Antilock Brake CAC - Charge Air Cooler CAFC - Company Average Fuel Consumption (Canada) CAFE - Corporate Average Fuel Economy (USA) CAMM - Computer Aided Manufacturing Measurement CAMS - Computerized Automotive Maintenance System CAN - Controlled Area Network CANP - Canister Purge (solenoid) CARB - California Air Resources Board CARS - Canadian Automotive Repair and Service Council CASE - Cranking Angle Sensing Error E4OD - Electronic 4-Speed Overdrive E85 - Ethanol 85 percent EA - Electronic Accelerator EAC - Electronic Air Control (replaced with AIR) EAIR - Electronic (secondary) Air Injection Reaction EAS - Electrically Assisted Steering EAS - Electronic Air Switching EATC - Electronic Automatic Temperature Control EBC - Electronic Brake Control EBCM - Electronic Brake Control Module EBD - Electronic Brake force Distribution EBM - Electronic Brake Module EBP - Exhaust Back Pressure EBTCM - Electronic Brake and Traction Control Module IMDX - Integrated Mini Disc Changer IMLUT - Inspection/Maintenance Look-Up Table Immo - Immobilizer IMPR - In-use Monitor Performance Ratio IMRC - Intake Manifold Runner Control IMRC F - Intake Manifold Runner Control Fault YES/NO IMRCM - Intake Manifold Runner Control Monitor Input Bank 1 VOLTS IMRCM2 - Intake Manifold Runner Control Monitor Input Bank 2 VOLTS IMS - Inductive Magnetic Saturation IMS - Instant Mobility System IMSC - Intake Manifold Swirl Control IMSC F - Intake Manifold Swirl Control Fault LSEGR - Linear Solenoid Exhaust Gas Recirculation LSP and BV - Load Sensing Proportioning and Bypass Valve
Index
Chapter No
Chapter:-1
Subject
Industrial Back ground
Page No.
1.1 1.2 1.3

Chapter:- 2
Historical Industry Development Introduction about company Introduction about Shivani Motors Pvt. Ltd.
Concept of Consumer Behaviour.
2.1 2.2 2.3 2.4 2.5 2.6 2.7
Concept. What is Consumer Behaviour? Buying Behaviour Model. A model of Consumer Behaviour. The Birth of Buying idea. Factors Influencing Consumer Behaviour. Buying Decision Process. Introduction of the Problem. Title of the Project Statement of the Problem Research Objective Important of the Study Scope of the Study
Research Methodology
Marketing Research Research design Data Collection Method

Chapter:-
3.1 3.2 3.3 3.4 3.5 Chapter:-4 4.1 4.2 4.3 4.4 4.5 4.6 4.7 Chapter:-5 5.1 Chapter:-6 6.1 6.2 Chapter:-7 Chapter:-8 8.1 8.2
Research Measuring Instrument Questionnaire Pilot Study Sample design.

Data Interpretation and analysis Demographic Analysis
Summary Finding Suggestion Conclusion Annexure Bibliography
INDUSTRY DETAIL
THE FIRST MOTORCYCLE

"Who invented the first motorcycle?" It seems like a simple question, but the answer is a bit complicated. Just as the automobile was the answer to the 19th-century dream of self-propelling the horse-drawn carriage, the invention of the motorcycle created the self-propelled bicycle. Motorcycles are descendents of the "safety" bicycle-bicycles with front and rear wheels of the same size, and with a pedal crank mechanism to drive the rear wheel. Those bicycles, in turn, were descended from high-wheel bicycles. The high-wheelers were descended from an early type of pushbike, without pedals, propelled by the rider's feet pushing against the ground. These appeared around 1800, used iron-banded wagon wheels, and were called "bone-crushers," both for their jarring ride and their tendency to toss their riders. The first commercial design was a three-wheeler built by Edward Butler in Great Britain in 1884. It employed a horizontal single-cylinder gasoline engine mounted between two steerable front wheels and connected by a drive chain to the rear wheel. However, it would perhaps be incorrect to call it a precursor of the two-wheeled genre of vehicles. The person credited with building the first motorcycle in 1885 is Gottlieb Daimler (who later teamed up with Karl Benz to form the Daimler-Benz Corporation). The gasoline-run vehicle had one wheel in the front and one in the back, with a smaller, spring-loaded outrigger wheel, on each side. Powered by a single-cylinder Otto-cycle engine, it may have had a spray-type carburetor also (since Daimler's assistant, Wilhelm Maybach was working on the invention of the spray carburetor at the time). The motorcycle was constructed mostly of wood, with the wheels being of the iron-banded. ICFAI NATIONAL COLLEGE
FUTURE DEVELOPEMENT
Most of the development during the early phase concentrated on threeand four-wheeled designs since it was complex enough to get the machines running without having to worry about them falling over. The next notable twowheeler was the Millet of 1892. It used a five-cylinder engine built as the hub of its rear wheel. The cylinders rotated with the wheel and its crankshaft constituted the rear axle. The first successful two-wheeler, though, was the Hildebrand & Wolfmueller, patented in Munich in 1894. It had a step-through frame, with its fuel tank mounted on the down tube. The engine was a parallel twin, mounted low on the frame, with its cylinders going fore-and-aft. The connecting rods linked directly to a crank on the rear axle, and instead of using heavy flywheels for energy storage between cylinder firing, it used a pair of stout elastic bands, one on each side of the cylinders, to help out on the compression strokes. It was water-cooled, and had a water tank/radiator built into the top of the rear fender.
In 1895, the French firm of DeDion-Buton built an engine that was to make the mass production and common use of motorcycles possible. It was a small, light, high Revving four-stroke single, and used battery-and-coil ignition, doing away with the troublesome hot tube. Bore and stroke figures of 50 mm by 70 mm gave a displacement of 138 cc. A total loss lubrication system was employed to drip oil into the crankcase through a metering valve, which then sloshed around to lubricate and cool components before dumping it on the ground via a breather. DeDion-Buton used this 0.5 hp power plant in road-going tricks, but the engine was copied and used by everybody, including Indian and Harley-Davidson in the U.S. Although a person named Pennington built some machines around 1895 (it's uncertain whether any of them actually ran), the first US motorcycle was the Orient-Aster, built by the Metz Company in Waltham, Massachusetts, in 1898. It used an Aster engine that was a French-built copy of the DeDionButon, and predated Indian (1901) by three years, and Harley-Davidson (1902) by four.
The Indian Motorcycle Company, Springfield, introduced the AV-Twin in 1903, updated with two- and three-speed gearboxes that were further refined with
swing arm rear suspensions. The first motorcycle with electric start and a fully modern electrical system, the Hendee Special from the same company, astounded the industry in 1913. Before World War I, IMC was the largest motorcycle manufacturer in the world producing over 20,000 bikes per year.
INCREASING POPULARITY
The popularity of the vehicle grew, especially after 1910. By 1900, many manufacturers were converting bicycles, or pedal cycles as they were sometimes called, by adding small, centrally mounted spark ignition engines. The need for reliable constructions led to road trial tests and competition between manufacturers. The original Tourist Trophy races were held on the Isle of Man in 1907 as reliability or endurance Races. Such events have been the proving ground for many new ideas-from the early two-stroke-cycle designs to the supercharged, multi-valve engines mounted on aerodynamic, carbon fiber reinforced bodywork engines. In 1916, the Indian Motorcycle Company introduced the Model H racer, and placed it on sale at the astronomical price of $350. It featured overheadvalve heads with four valves per cylinder, and was easily capable of speeds of over 120 mph. In various forms, it was raced on the dirt track as well as on the boards with very great success. It is unknown how many of the 8-valve racers
were manufactured, but production was very small indeed; most machines were ridden either by factory riders or were "loaned" to promising privateers. During World War I, all branches of the armed forces in Europe used motorcycles principally for dispatching. After the war, it enjoyed a sport vogue until the Great Depression began in 1929. After the World War II, a revival of interest in motorcycles lasted into the late 20th century, with the vehicle being used for high-speed touring and sport competitions. The more sophisticated motor scooter originated in Italy soon after World War II, led by the manufacture of a 125-cc model. Since then, an increasing number of powerful bikes have blazed the roads. During the 1950s, the practice of attaching auxiliary engines to bicycles in Western Europe and parts of the United States led to the development of a new type of light motorcycle, the moped. Originating in Germany as a 50-cc machine with simple controls and low initial cost, it was largely free of licensing and insurance regulations except in Great Britain.
THE PRESENT
Today the Japanese manufacturers, Honda, Kawasaki, Suzuki, and Yamaha dominate the large motorcycle industry, although Harley-Davidson still maintains a high degree of popularity, particularly in the United States. Recent years have seen a resurgence in the popularity around the world of many other motorcycle brands, including BMW, Triumph and Ducati, and the emergence of Victory as a second successful mass-builder of big-twin American cruisers. In November 2006, the Dutch company E.V.A. Products BV Holland announced that the first commercially available diesel-powered motorcycle, its Track T800CDI, achieved production status The Track T-800CDI uses a 800 cc threecylinder Daimler Chrysler diesel engine. However, other manufacturers, including Royal Enfield, had been producing diesel-powered bikes since at least 1965. Currently, the largest motorcycle market is the small machines market for the developing world, hence the claim from Indian Hero Honda to be the world's ICFAI NATIONAL COLLEGE
new biggest bike firm. India has also been the home to the Enfield Cycle Company's Royal Enfield, since 1995. Enfield India still makes updated versions of the 1955 Royal Enfield Bullet motorcycle. There is a large demand for small, cheap motorcycles in the "developing world", and many of the firms meeting that demand now also compete in "developed" markets, such as China's Hongdou which makes a version of Honda's venerable CG 125.
TYPES OF MOTERCYCLES
Road motorcycles: Road motorcycles are motorcycles designed for being ridden on paved roads. They feature smooth tires with a light tread pattern and engines generally in the 125 cc and over range. Most are capable of speeds up to 100 mph (160 km/h), and many of speeds in excess of 125 mph (200 km/h).
In India and Pakistan, motorcycles are more popular than cars as means of transport due to low operating and ownership cost. Typical displacements are small (50450 cc), and as a result these motorcycles give better fuel economy reportedly 1.25-2.5 l/100km (94-188 mpg) being common. Cruiser:
These motorcycles mimic the style of American machines from the 1930s to the early 1960s, such as those made by Harley-Davidson, Indian, and Excelsior-Henderson, even though they have benefited from advances in metallurgy and design. The riding position always places the feet forward. Usually the hands are up and the spine erect or leaning back slightly, which some riders find to be more comfortable for longdistance riding. The riding position of American-style Cruisers and Choppers evolved from the Western Saddle and riding position used by Western cowboys. This position allows greater long-distance comfort, with some compromise of control.
Sport bike:
Sport bikes, sometimes called performance bikes or "crotch rockets", emphasize speed, acceleration, deceleration, and maneuverability. Because of this, there are certain design elements that most motorcycles of this type will share. Sport bikes have comparatively high performance engines resting inside a lightweight frame. The combination of these help maintain structural integrity and chassis rigidity. Braking systems combine higher performance brake pads and multi-piston calipers that clamp onto oversized vented rotors. Suspension systems are advanced in terms of adjustments and materials for increased stability and durability. Front and rear tires are larger and wider than tires found on other types of motorcycles to accommodate higher cornering speeds and greater lean angles. Fairings may or may not be found on a sport bike. When used, the fairings are shaped to reduce aerodynamic drag as much as possible, and less as a wind protection for the rider. The performance of some stock sport bikes is so great they can be used on a race track right off the showroom floor. These overall design traits mean sport bikes are generally less practical for street use when compared to most other types of motorcycles. There is little in the way of extra features or creature comforts like those present on touring motorcycles, such as center stands, provisions for saddle bags, large windshields, or fairings providing protection from rain. Rider position and ergonomics are compromised in favor of weight distribution and aerodynamics. This generally means higher foot pegs that move the legs closer to the body and more of a reach to a lower set of hand controls which positions the body and weight forward and over the tank.
Touring:
Although any motorcycle can be so equipped and used to tour with, manufacturers have brought specific models designed to address the particular needs of long-distance touring and heavy commuting riders to market. Common to the touring market are usually large displacement fairings and screens (to offer a high degree of weather and wind protection), large capacity fuel tanks (for long ranges between fill-ups) and a more relaxed, more upright seating position than sport-bikes. These motorcycles can be further subdivided into multiple subcategories, which are commonly used terms within the motorcycle industry.
Naked bike:
Also known as a "standard" or "street bike" (see below), this is the basic form of the motorcycle stripped down to its fundamental parts. The emphasis is on functionality, performance, and ergonomics rather than aerodynamic body panels and exaggerated riding positions that are most common on sport bikes. Current naked bikes are usually given a modern, more-or-less sporting suspension, unless they are intended to have "retro" styling. The BMW K1200R, R1200R, and F650CS, Ducati Monster, Yamaha FZ1, Honda 919, Honda Hornet (599), Triumph Speed Triple, Triumph Speed Four,
Farm bike:
These adaptations of trail bikes were first used by dairy farmers in New Zealand from the early 1960s. They wanted a light, simple machine that could be started easily and that would negotiate particularly muddy paddocks and steep hillsides in all weathers. A range of bikes were tried by a number of farmers and they came to use a mild-off-road machine that could carry a good load (mainly a tray for their dogs, instead of a rear seat) that was easy to mount, start and ride with heavy rainwear. Large profile low-pressure tyres with knobby tread were found best for grass, mud and rocky tracks. Ultimately Japanese manufacturers developed a range of specialized bikesabout the time that the farmers came to use ATVs instead. Despite the development of the ATV, farm bikes retain certain advantages for some tasks. They are faster on uneven ground, which can be useful in rounding up livestock, and most are quicker in an onroad setting (and can be registered for on-road travel). They can also operate safely on steep terrain where ATV's have a risk of rollover. For these reasons, farm bikes are still reasonably common in some places.
Moped:
The moped used to be a hybrid of the bicycle and the motorcycle, equipped with a small engine (usually a small two-stroke engine up to 50 cc, but occasionally an electric motor) and a bicycle drivetrain, and motive power can be supplied by the engine, the rider, or both. In many localities, mopeds are subject to less stringent licensing than bikes with larger engines and are popular as very cheap motorbikes,
with the pedals seeing next to no use. Mopeds were very popular in the United States during the late 1970s and early 1980s, but their popularity has fallen off sharply since the mid 1980s
Towing: Aftermarket trailers designed to be towed by motorcycles are available. However, because of the added risk involved, no manufacturer of single-track motorcycles recommends that they be used to tow trailers. Although there are aftermarket trailers that allow motorcycles to tow, factorymade motorcycles specialized for towing are rare. The only known vehicle for towing is Retriever by a Swedish company named Coming Through, which is a modified version of Honda GL1800 Gold Wing. With the use of a high torque engine, low centre of gravity design, and retractable trailer, towing motorcycles can reduce response time for retrieving cars and light trucks on congested roads.
Concept bikes: Concept bikes are one-off motorcycles built as prototypes to test or showcase the desirability of a design, the integration of new technologies, cost effectiveness, or general design studies. Most concept bikes never see the light of day as full mass-production vehicles; those that do rarely match the original concept perfectly, instead representing a combination of some of the concepts presented in the proto-type combined with marketing realities and tooling capabilities of the manufacturer.
Examples of recent concept bikes can be see in the press release for any of the major global motorcycle exhibitions, including the Tokyo Motorcycle Show, the various primary European Motorcycle Shows (Intermot (Cologne), Paris Motorcycle Exhibit, Milan Motorcycle Show
COMPANY PROFILE
Hero Group:
Hero Group is a multi-unit, multi-product, geographically diversified Group with myriad interests. Hero, is synonymous with two-wheelers in India and Group's other ventures include product designing, IT enabled services, finance and insurance etc. Hero Group ranks amongst the Top 10 Indian Business Houses. The Group today comprises of 20 companies, 300 ancillary suppliers, over 5,000 outlets, and has employee strength of more than23,000.
The origins of Hero Group can be traced to 1956 when Hero Cycles Limited was established by Munjal brothers: Satyanand Munjal, Brijmohan Lall Munjal and O. P. Munjal. Before the establishment of Hero Cycles, which is the flagship company of the Hero Group, Munjal brothers were modest manufacturers of bicycle components. In 1961, Rockman Cycles Industries Limited established which the largest ICFAI NATIONAL COLLEGE
manufacturer of bicycle chains and hubs is today. In 1963, Hero Group forayed into the international market with bicycle exports from India. In 1971, Highway Cycles was set up to meet the demands of Hero Cycles. It is today the largest manufacturer of single speed and multi-speed freewheels. In 1975, Hero Cycles Limited became the largest manufacturer of bicycles in India. In 1978, Majestic Auto Limited was formed and the Hero Majestic Moped was introduced. In 1981, Munjal Castings was established.
In 1984, Hero Group started manufacturing motorcycles with the

establishment of Hero Honda Motors Limited in joint venture with Honda Motors of Japan. In 1985, Munjal Showa Limited was established to manufacture shock absorbers and struts. In 1986, Hero Cycles Limited entered the Guinness Book of Records as the largest bicycle manufacturer in the World. In 1987, Hero Motors, a division of Majestic Auto Limited was set up in collaboration with Steyr Daimler Puch of Austria. In 1987, Gujarat Cycles Limited, presently known as Munjal Auto Industries Limited was established to manufacture and export state-of-the-art bicycles and allied products. In 1993, Hero Exports was established as the International Trading Division for Group and nonGroup products. In 1995, Hero Corporate Services Limited was established as the service segment for the Hero Group Companies, ancillaries, suppliers, dealers and other associates. In 1998, Munjal Auto Components was established to manufacture gear shafts and gear blanks for motorcycles. In 2000, Hero Group diversified into IT and IT enabled services through its service segment - Hero Corporate Services Limited. In 2001, Hero Global Design established to offer engineering services in CAD/CAM/CAE related to New Product ICFAI NATIONAL COLLEGE
Development, Design, Engineering and Manufacturing. In 2002, Easy Bill was established to offer utility bill collection & retail services. In 2004, Hero Group forayed into retail insurance business with the establishment of NsurePlus. Today, Hero Group enjoys leadership position in all the business segments it has entered. Major Achievements of Hero Group

Hero Honda Motors is the World's largest manufacturer of two-wheelers. Hero Cycles Limited is a Guinness Book Record holder since 1986 as the world's largest manufacturer of bicycles. Hero Honda is ranked number one in the two-wheeler category on Environmental Performance by the Centre for Science and Environment. Group Chairman, Mr. Brijmohan Lall Munjal received the coveted "Ernst & Young Entrepreneur of the Year" award for 2001.
HERO HONDA MOTORS LTD

Hero is the brand name used by the Munjal brothers in the year 1956 with the flagship company Hero Cycles. The joint venture between India's Hero Group and Honda Motor Company, Japan has not only created the world's single largest two wheeler company but also one of the most successful joint ventures worldwide. During the 80s, Hero Honda became the first company in India to prove that it was possible to drive a vehicle without polluting the roads. The company introduced new generation motorcycles that set industry benchmarks for fuel thrift and low emission. A legendary 'Fill it - Shut it - Forget it' campaign captured the imagination of commuters across India, and Hero Honda sold millions of bikes purely on the commitment of increased mileage
Over 19 million Hero Honda two wheelers tread Indian roads today. These are almost as many as the number of people in Finland, Ireland and Sweden put together! Hero Honda has consistently grown at double digits since inception; and today, every second motorcycle sold in the country is a Hero Honda. Every 30 seconds, someone in India buys Hero Honda's top -selling motorcycle Splendor. This festive season, the company sold half a million two wheelers in a single month-a feat unparalleled in global automotive history. Hero Honda bikes currently roll out from two globally benchmarked manufacturing facilities based at Dharuhera and Gurgaon in Haryana. These plants together are capable of churning out 3.9 million bikes per year. A third state of the art manufacturing facility at Hardwar in Uttaranchal will soon be commissioned to cope with sustained customer demand.
Hero Honda's extensive sales and service network now spans over 3000 customer touch points. These comprise a mix of dealerships, service and spare points, spare parts stockiest and authorized representatives of dealers located across different geographies. Hero Honda values its relationship with customers. Its unique CRM initiative Hero Honda Passport Program, one of the largest programs of this kind in the world, has over 3 million members on its roster. The program has not only helped Hero Honda understand its customers and deliver value at different price points, but has also created a loyal community of brand ambassadors.
Having reached an unassailable pole position in the Indian two wheeler market, Hero Honda is constantly working towards consolidating its position in the market place. The company believes that changing demographic profile of India , increasing urbanization and the empowerment of rural India will add millions of new families to the economic mainstream. This would provide the growth ballast that would sustain Hero Honda in the years to come. As Brijmohan Lall Munjal, the Chairman, Hero Honda Motors succinctly points out, "We pioneered India 's motorcycle industry, and it's our responsibility now to take the industry to the next level. We'll do all it takes to reach there. Growth Hero Honda experienced great growth throughout its early days. The Munjal family started a modest business of bicycle components. By 2002 Hero Group had sold 86 million bicycles producing 16000 bicycles a day. Today Hero Honda has an assembly line of nine different models of motorcycles available. It holds the record for most popular bike in the world by sales for Its Splendor model. Hero Honda Motors Limited was established in joint venture with Honda Motors of Japan in 1984, to manufacture motorcycles. It is currently the largest producer of Two Wheelers in the world. It sold 3 million bikes in the year 20052006. Recently it has also entered in scooter manufacturing, with its model PLEASURE mainly aimed at girls. HUNK is the latest offering from the HHML stable. Just-in-Time Manufacturing The Hero Group through the Hero Cycles Division was the first to introduce the concept of just-in-time manufacturing. The Group boasts of superb operational efficiencies. Every assembly line worker operates two machines simultaneously to save time and improve productivity. The fact that most of the machines are either developed or fabricated in-house, has resulted in low inventory levels. In Hero Cycles Limited, the just-in-time inventory principle has been working since the beginning of production in the unit. This is the Japanese style of
production. In India, Hero is probably the only company to have mastered the art of the just-in-time inventory principle. Labor relations In Hero Group there is no organized labor union and family members of employees find ready employment within Hero. The philosophy with regard to labor management is "Hero is growing, grow with Hero." Hero workers receive a uniform allowance, as well as House Rent Allowance (HRA) and Leave Travel Allowance (LTA). Extra benefits include medical check-ups not just for workers, but also for the immediate family members. For the majority of the production workers, who are hired through contractors, these benefits are out of reach. This and other problems lead to a strike and factory occupation by 4,000 temp workers in the Gurgaon plant in spring 2006. Diversification Throughout the years of enormous growth , the Group Chairman, Mr. Lall has actively looked at diversification. A considerable level of vertical integration in its manufacturing activities has been ample in the Group's growth and led to the establishment of the Hero Cycles Cold Rolling Division, Munjal and Sunbeam Castings, Munjal Auto Components and Munjal Showa Limited amongst other component-manufacturing units. .
AWARDS
1. National Safety Award:Hero Honda got national safety award for the Year 2000-01. 2. National Productivity Award:-
Hero Honda got the National Productivity award for the best performance in automobile sector even in the very sluggish condition of economy for the year 2000-01. 3. Best Slogan Award:Hero Honda got the Best Slogan Award for its touching Slogan DESH
DHADKAN KI
for the year 2000-01.
These are some decent awards which are collected by the Hero Honda Customer satisfaction is the biggest award for any company this can be the Hero Hondas biggest strength that it has more than 35,00,000 satisfied customers.
Future of the Company:Being a master of the automobiles sector HH is consistent with its amazing performance. Hero Honda has been a successful story in an otherwise dull market. Positing a over 1 million sales in the financial year 2001-02 the company has out ridden all the players. The company signed two of most popular celebrities. Hritik Roshan and Sourav Ganguly to be brand ambassadors. That should further help the (Both its) company in maintaining its following. Both its duly launched models, the CBZ and Passion have received
highly positive response and created new segment for the company so the future of two company seems very good and profitable.
List of group companies: Hero Motors Hero Exports ICFAI NATIONAL COLLEGE
Hero Cycles Majestic auto Ltd. Munjal Showa Ltd. Gujarat Cycle Ltd. Hero Honda Motors Ltd. Hero Cycle Ltd. (Unit 2) Munjal and Sunbeam Castings High way cycle Industries.
IN PURSUIT OF EXCELLENCE "We, at Hero Honda, are continuously striving for synergy between technology,
systems, and human resources to provide products and services that meet the quality, performance, and price aspirations of our customers. While doing so, we maintain the highest standards of ethics and societal responsibilities, constantly innovate products and processes, and develop teams that keep the momentum going to take the company to excellence in the new millennium".
SHIVANI MOTORS PVT.LTD.
Mr.Vijay Bhai Agarwal started his business career 1968 in Patna in the textile trade . By the year 1975, he along with his Brothers Mr.Ajay Bhai Agarwal & Mr.Sanjay Bhai Agarwal had diversified in the promising distribution and logistical support business. In natural progression, Automobile giants like HMT (1976), Kinectic Honda (1980), Bajaj Tempo (1980), Maruti Udhyog (1981), LML (1982), Kinetic Engineering (1980) and various others joined association with M/S Vijay Agricultural Implements and established long term relationship. Even Today the firm in Bihar and its branches in Gujarat are growing at a tremendous rate and its presence is being felt in the Surat area with the newly acquired Dealership of the prestigious HERO HONDA Dealership for Surat.
OUTSTANDING PERFORMANCE AND ACHIEVEMENTS

1) Shivani Motors Pvt Ltd, Varachha Road, Surat Opened its gates on the 26th Sept, 2002 and has been in the forefront of HERO HONDA sales & service ever since. 2) The sales figure for the first Three Months for a newly eastablished dealership is a new record at HERO HONDA & is quoted as mark of outstanding sales effort from Shivani Team. 3) The Genuine Spares sales reached a record 3 lacs in the first month itself and promises to grow from the retail counter at the location workshop. 4) The design of the entire showroom and in built workshop/warehouse & further construction was done at a seemingly impossible time frame of 4 months flat. Its a vision and dedication to this exercise that realized this goal & The shivani team is looking forward to grow in near future.
Market players
Bajaj Auto: The company registered a 32% growth in the sales of motorcycles much above the industry average of 19%. Bajaj Auto has emerged as a market leader in the entry level or price segment motorcycle with the Bajaj CT 100 accounting for nearly 40% of the market share. It also commands a 62% market share in the premium segment of motorcycles with products like the Bajaj Pulsar DTSI TVS : It stand out from all other two wheeler company in the country is that it is without any foreign collaboration. The company was established by T.V Sundaram Iyengar in the year 1911 and was primarily into the production of mopeds. TVS Motor Company Limited, the flagship company of the USD 2.2 billion TVS Group, is the third largest twowheeler manufacturer in India and among the top ten in the world, with an annual turnover of over USD 650 million. The company has many first to its credit like the introduction of the first indigenous moped and a 100 cc motorcycle in collaboration with Japanese auto giant Suzuki. Kinetic Motor: Kinetic has launched India's first motoscooter in the form of Kinetic Blaze. Kinetic Blaze is a 165 cc scooter which seeks to revolutionize the diminishing scooter market in the country. The product is a first of the seven series of vehicles which Kinetic want to acquire from the Italian two wheeler giant Italjet Spa. Suzuki Motor: The company has started its India operation with three mass market motorcycles and is also expected to come up with a 150 cc high performance set of two wheelers soon. The company has a manufacturing capacity in Gurgaon to churn out over one lakh motorcycles annually. The company employs around two hundred ICFAI NATIONAL COLLEGE
people and will step up its production capabilities as and when required. Some higher end models are also expected to be rolled out of the Suzuki factory soon.
Honda Motors: Honda Motors Co. Ltd. is a renowned Japanese engine manufacturer and engineering corporation. Although Honda is known all over for its motorcycles and automobiles, it also manufactures products such as scooters, trucks, aeronautical, robots, electric generators, jets, jet engines, water crafts, ATV beside others. The best-known Honda luxurious cars are acknowledged as Acura in North America and China. Recently, Honda came up with mountain bikes called Honda RN-01 G-cross. The Power of Dreams- is the motto of Honda . True to its slogan, Honda definitely turns dreams into reality
Royal Enfield: The new age biking concept was ushered into the country with the advent of first batch of Enfield bikes which were manufactured indigenously, since then these bikes have become as much a part of the Sergeant stable of Kolkata to the business minded milkman in Uttar Pradesh. However it's only the beginning of the contrast, these bikes are also a prized possession of the rebellious college student in any part of the country. The bikes are a part of the domain of the hardcore bike enthusiast who wants to stretch the limits of biking.
OBJECTIVE
Primary objective The primary objective of my research is To Know Consumer Buying Behavior of Hero Honda motorcycle
Secondary objective To find out brand awareness of hero Honda and its competitor. To study consumer behavior about purchasing of Hero Honda Motorcycle. To find out the consumer buying pattern. To study which sources of media really reach to consumer or which highly nearer to consumer To study the buying of consumer financial schemes. To find out consumer buying pattern. To find out in term of improvement in promotional tools.
Important of the Study:The study helpful for the manufacturing in formulating the strategies and suitable marketing mix to improve the sales of Hero Honda two wheeler Vehicle and taking note of important required in some of the product. Because at the study is based on the consumer survey if will help the company to understand the consumer need and wants properly and in acceptable will get the concerned product more & more of their choice. The study will also provide basic data help in the research organization for future study and research in area of two-wheeler vehicles industries. At automobiles industries.
RESEARCH METHODOLOGY
Research methodology is a systematic design collection of analysis, reporting of data and finding relevant to specific marketing situation that is faced by the company. Properly conduct of market survey is a required tool for top management in decision making in order to conduct a useful and objective market research. A research methodology only then the studies conduct can be properly elaborated and commented on so I have conduct research and it include some sub-point and it is given below.
1. Formulating the research problem:According to the marketing research process, the first step is the identification of the problem or defining the objective. My objective of the project is to study The Research Work of Consumer Buying Behavior of Hero
Honda motorcycle. After the objective is defined, next I have to formulate that objective, for that great effort is required. 2. Choice of research design:A research design specifies the idea about sampling methods, sources of data and method of data collection for conducting a particular study. I will use descriptive research design. 3. Determining the source of data:I will use two types of data basically for my survey, those are as follows: (1) Primary data:Primary data is the data which can collect by the researcher at the first hand when the needed data is not exist or are dated inaccurate, incomplete and unreliable, the researcher has to collect the primary data will be collected through observation, personal interview and questionnaire. I will get primary data in terms of personal interview by filling the questionnaire. (2) Secondary data:Secondary data which have been gathered earlier for some purpose. I will use secondary data as which available in company site www.gujaratsrtc.com for company details. I will also use secondary data for industry details, from the different web sites which will mention in to bibliography. 4. Designing the data collection forms:The data collection phase of marketing research is generally the most expensive and most prone error. I will use primary data collection method as the data collection method. For that purpose I have decided to go for survey method. The personal survey will used by me. I will prepare the questionnaire for collecting the data by personal survey.
5. Personal interview:Personal interview is the most versatile method of primary data collection method. I will conduct a personal interview because the respondents would easy to contact and get response. For this I will conducted the survey for collecting the reposes from the respondents.
6. Determine the sampling design and sample size:Sample design:I will decide to go for sample survey because the population survey is out of reach. The population survey consumes more time and money, and therefore the sampling survey was better for my project. Sample size involved the questions like How many people should be surveyed?
Sample size: The statistical formula for sample size is: n = p * q (z / e) 2 Where, n = Sample Size p = Probably of Future Buyer q = 1-p e = Tolerable Error z = The z score associated with the degree of confidence selected.
Here, p = 0.40, q = 0.60, e = 0.10, z = 1.00, n =? n = p * q (z / e) 2 n = 0.40 * 0.60 (1.96 / 0.10) 2 n = 0.24 * (19.6) 2 n = 0.24 * 384.16 n = 92.20 So I have taken approximately 100 samples as sample size. 7. ORGANIZING AND CONDUCTING THE FIELD SURVEY: Having prepared the questionnaires and selected the sample design and size of sample, I will go for conducting a field survey. For field work I personally meet various retailers for filling up my questionnaires. I will also take help of y some of the friends for filling up my questionnaires. I will take care that they give better understanding to persons from whom they filling my questionnaires.
8. PROCESSING AND ANALYSING THE COLLECTED DATA: When I am complete my field survey, I will process the collected data and analyze it in a systematic manner so as I can derive results from it. In order to derive meaningful outcomes from the data, I will form the data in a tabular and graphical representation and then use various statistical tools to interpret the data to derive meaningful findings from the data. 9. PREPARING THE RESEARCH REPORT:
After data had been tabulated, interpreted and analyzed, I will prepare my report embodying the findings of my research study and my recommendations. I will prepare my report in several parts to make it easy to understand to others. I will divide my report into chapters such asI. Executive summary II. Introduction of industry III. Introduction of companies IV. Objective of project V. Methodology of the project VI. Limitation of the project VII. Findings and analysis of research VIII. Conclusions and suggestions
CONCEPT Knowledge of the buying behaviour of consumer is essential for a market. The consumers bring the changes in the market. It is essential task for marketing behaviour of target Market. The Consumer market consist the individual and household the buy goods and Services for personal consumption. It is attempted to understand and predict
human actions in the buying role. It has assumed growing in the importance under Market Oriented or Customer Oriented working planning and Management. Consumers very tremendously in age income adulation level and Preferences. Marketer finds it useful to distinguisia different consumer groups and to develop products and services tailored to their needs. Consumer behaviour always involves choice. Buying behaviour includes acts of individual directly involves in obtaining and using economics Good and Services includes sequences of decision processes that proceed and determine these acts. Actual purchase is only a part of the decision process in buyers behaviour we consider not only why now and what people buy other factors. Such as where how offer and under in find analysis buyer is one of the most important keys to successful Marketing.
WHAT IS
CONSUMER BEHAVIOUR
The wealth and services product in a country make an economy strong. Almost all the product which are available to buyer, have a number of alternative supplies that is suitable products are available to customers. Who make a decision to buy products? There fore, a seller most of his time seeks buyers and tries to please them. In order to successful, a seller is concerned with: Who is Consumer? What do Consumers buy? When do Consumers buy? How do Consumers buy? From where do Consumers buy? Why do Consumers buy? A buyer makes a purchase of a particular product or a particular brand and this can be termed Products buying Motives and the reason behind the Purchase from particular Seller is Patronage Motives. The buyer may take a decision whether to save or spend the money. When he decision to spend them there are many problems as to what to purchase because needs are numerous. This leads to ranking the needs in terms of priority. Those the problems are consumption problems where to buy whom to buy etc. A MODEL OF CONSUMER BEHAVIOUR
In earlier times Markets could understand consumers through the daily experience of selling to them. But the growth in the size of forms and Markets has removed many Marketing decisions from direct contract with customers increasingly; numbers have had to turn to consumer research. The Company that understands how Consumer will respond to different Product features, price, advertising appeals and so on will have an enormous advantage over the competitors. Therefore business and academic marketing researching have invested much energy in researching the relationship between marketing stimuli and Consumers response. Marketing stimuli including Four P Products, Price, Place, and Promotion. Environmental stimuli consist economic technological political and cultural. All of these stimuli pass through the buyers black box and Produce the buyer Purchase decision shown. On the Product choice, brand choice, dealer choice, Purchase timing, Purchase amount. BUYING BEHAVIOUR MODEL Out Side Marketing Product Price Place Promotion Stimuli Other Economic Technological Political Cultural
Buyers Black box Buyer Buyer Characteristics Decision
Buyers Response Products Choice Brand Choice Dealer Choice Purchase Amount Purchase Timing THE BIRTH OF BUYING IDEA
Mr. Hiren owns a bike. The bike causing or dissatisfactions because of some defects or troubles in it. He decisions anticipates the idea of a troubles free and dependable bike. He decides not to buy a bike of the same make, because of dissatisfaction and lack of confidence. Thus a thought seed about a new bike is born in him, the movement he thinks. I must replace the bike the buying idea comes up with the thought in his mind, he thinks of the benefit, and this leads to future thinking what sort of a bike will give the benefit he wants. The benefits make two desires. He makes the desire. He may bike, which can give the desire benefit. He makes enquires an. Observation through talking to his friends, he selects one or two possible bike. By this he wants to confirm his decision about the make he wishes to buy. He reads advertisement about the new bike. He chooses one with all the possible advantage and which is wholly dependable. Mr. Hiren is a prospective Customer to dealer. FACTORS INFLUENCING CONSUMER BEHAVIOUR Factor influencing the consumer behaviour are internal needs, motives, perception and attitude as well as external- family, social group, cultural, economic, business influences, etc. 1. Economics Factors. An economics factor of buying behaviour is undisplinary it assumes that Consumers are economics. When are they follow the principle of maximization of utility based on the low of diminishing Managerial utility. As economic when, consumer evaluations rationally the alternative in terms of cost and value received. They try to maximize their utility or satisfactory while spending them scarce resources of time, energy and money. 2. Psychological Factors Psychology has contributed much to the markers to understand the buyers psychology explains how consumers learn about a product and how they can recall from the memory. The development of buying habits, this includes the following factors: a) Motive:A buying motive is the reason why a person buys a particular products. It is the driving force behind buying behaviour and may be based on psychological or psychological want marketers are in rested in patronage motives such as store loyalty and brand loyalty.
b) Perception:Perception causes the behaviour in a certain way perception influences this behaviour. It gives direction to the taken by the behaviour. It the meaning we have on the bases on our past dependence. c) Learning:Learning refers to changes in behaviour brought about by practice or experience. Almost every timing one does or timing is learned product features such as price quality services, brand, packing, etc. Act as hints influencing consumers response. d) Attitude:Attitude is a state of mind of fillings it includes a per disposition to behave in source way. Attitude core very important in explaining buyers behaviour. A change in attitude leads to changes purchasing attitude and modify buyer behaviour knowledge of consumer attitude can product redesigning packages and developing and evaluating promotional programs. e) Personality:In general perception attitude belief lead collectively to a consistent response by the individual to his environment. This consistent pattern or behaviour is termed as personality its primary teachers are self-concept role and level of consciousness. 3. Social Factors This includes the following factors: a) Family:Most consumers belong to a family group. The family can exert considerable influence in shaping the pattern of consumption and indicating the decision making role personal value attitude and buying habits have been shaped by family influences. b) Reference Group:The small group to which the buyer belongs influence buyer behaviour. A human being is considered as a social animal spending much of his or her life in group situation, group norms direct attention of its member to a new style of a product.
c) Social Class:As a predictor of consumption patterns marketing management is familiar with social classes consumers, buying behaviour is determined by the social class to which they cespires rather than by their income belong. Proudly speaking we have distant social classes upper, middle and lower classes usually stress rationality, exhibit sense of choice making whereas consumers of lower classes have essentially no rational purchases and show limited sense of choice making. The three social classes will have differences in the stress they patronize. The magazines they read and abutting and furniture they select social class may act as one criterion for market segmentation. d) Culture:A culture is as distinctive way of life of a group of people their complete design for living it is the man made pan or mans environment the sum total of his knowledge. Belief morals customers. Art laws etc it includes the attitude and values of a whole society and affects the ways in which we do things, see tuniy, use things and judge things in every culture. European culture, American culture etc. Marketing strategies can developed for each culture separately.
BUYING DECISION PROCESS The process consists include following step: Recognition of an unsatisfied need
Identification of alternatives
Evaluation of alternatives
Purchase Decision
Post purchase decision
1. Recognition of an unsatisfied need:When a person has an unsatisfied need the buying process begins to satisfy the needs generally the unsatisfied need leads to tension. The nature of the want indicates the speed with which a person moves to fulfill the unsatisfied want which is of high pressing need on the basis of need and its urgency forms the order of pointy. 2. Identification of Alternatives:Different alternatives are available in the market the consumer must know the brand of the product which gives maximum satisfaction and the person has to source out for relevant information of the product brand location etc. 3. Evaluation of Alternatives:This is a critical stage especially with regard to the costly items consumers have different alternatives. The attributes tastes color price durability etc. have different preference the marketers must understand this process. 4. Purchase Decision:By considering the likes and dislikes of alternatives one is about to take a decision as to buy one will consider with reference to product type price quality etc. A seller can facilitate such consumers to understand the products through advertisements. 5. Post Purchase Decision:-
Feedback information is important as for as a seller is concerned. A brand preference maturely repeats sales to a marketer. A satisfied buyer is a silent advertisement. A satisfying dependence of a buyer tends to strengthen the brand preference.
Questionnaire
THE RESEARCH FOR CONSUMER PERCEPTION ABOUT PURCHASING HERO HONDA BIKES Name:____________________________________________ Address: Gender: Age: Education: Attended school Graduate Occupation: Student House wife Professional Executive Business men Trade shop own Industrialist Service other Std 12 Post Graduate Attended college Male Female Phone no:
1) Which two wheeler motor cycle company you aware that presently available in the Market? a) d) b) e) c) f)
2) Will you /Do you want to purchase any HERO HONDA Bike? Yes No 3) If yes, than which model do you purchase? CD-Deluxe Splendor Ambition CD-Dawn Passion Glamour CBZ Karizma
4) Have you planed to purchase any other Bike? ICFAI NATIONAL COLLEGE
Yes Please Mentioned Company name No then planning for four wheeler
5) How did you come to know about this HERO HONDA Bike? News paper Advertising Showroom banner On road Hoarding Television Friend/Relative Magazine
6) On which specific occasion did you purchase HERO HONDA two-wheeler Bike? On festival On birthday Get promotion When you start job Bike required when you go married
7) Who promotes you to purchase this HERO HONDA Bike? Family member Friend Relative For other
8) Do you considered any consumer incentive before purchasing HERO HONDA Bike? Yes No
9) What important criteria you considered while purchasing the HERO HONDA Bike? (Multi tick mark) Price Design CC of engine Average Company image Pick up Maintenance
10) Main reason for you to selecting this particular model? (Rank any five in ascending order) Good looks/ stylish Low maintenance cost Fuel efficiency Pick up 11) You had to purchase your Bike on? ICFAI NATIONAL COLLEGE Reasonable price Auto Start Engine capacity
Cash basis Loan from bank
Corporate buying Loan from financial institute
12) From where you will purchase your Bike? Shivani motors Siddhi automobiles Dhru motors
13) You will use this Bike mainly for? (Multiple Tick mark) Going with family Travelling for field work 14) Any comments or suggestion. Going to college Community work
________________________________________________
Que: 1 Objective: To know Brand Awareness of Hero Honda Motorcycles.
BRAND AWARENESS Brand No. of Respondent Hero Honda 100 Bajaj 100 Suzuki/Tvs 95 LML 92 Escort 85 Other 90
% 100% 100% 95% 92% 85% 90%
Interpretation: Bran awareness is an important factor now days. Hero Honda and Bajaj have a 100% brand awareness which is become competitive advantage for them. Other Bike manufacturer has slight less brand awareness which they can increase by promotional activities and quality service.
Que: 2 Objective: To Know Future Purchaser of Hero Honda Motorcycles.
Detail Yes No Total
No. of Respondents 65 45 100
Percentage 65% 45% 100%
Interpretation: 65% of respondents want to purchase Hero Honda Bikes in future. It means Hero Honda has a good future aspects and can sell more bikes than competitors mainly Bajaj. 45% of respondents dont want to Hero Honda Bikes, and they prefer other bikes. Hero Honda can attract those customers by providing them other benefits.
Que: 3 Objective: To know which model of Hero Honda bikes, he/she wants to purchase.
Model CD-Deluxe CD-Down Splendor
% 10.76% 4.61% 27.69%
Glamour Passion CBZ Karizma Ambition Total
7 19 8 2 1 65
10.77% 29.23% 12.31% 3.07% 1.54% 100.00%
Interpretation: From the above chart, we conclude that consumer purchase passion and splendor bikes. After, that CBZ comes which is stylish and powerful bike, more preferred by youngsters. Other Bikes have not much demand because CDDeluxe and CD-Dawn are for lower middle class and Karizma is for Higher Upper class bikes. Glamour and Ambition fails in Market and have not much demand and company introduce new model of glamour which increase the glamour demand to around 11%.
Que: 4 Objective: To know future demand for other bikes manufacturer.
Brand
No. of Respondent
Bajaj Suzuki/Tvs LML Escort Other Total
27 8 3 2 5 45
60% 17.78% 6.66% 4.44% 11.11% 100%
Interpretation: In other companys Bike purchaser, most share (60%) is covered by Bajaj Auto which has also 100% brand awareness and a major competitor of Hero Honda. Other bike manufacturers are having very less percent of future prospects and they have to come with good quality consumer preferred bikes to compete in the market.
Que: 5 Objective: To know the media by which consumer come to know about bikes.
Media Preferred by Respondents Media No. of Respondents News Paper 19 Hoarding 6 Magazine 3 Television 22 Showroom Banner 7 On Road 18 Friend/Relative 25 Total 100
% 19% 6% 3% 22% 7% 18% 25% 100%
Interpretation: Most important media by which consumers come to know about Bikes are television and News Papers with 22% and 19% respectively. They are most effective source to advertise and promote new and existing models of bikes for Hero Honda and other Bike Manufacturer.
Que: 6
Objective: To aware about the time which customer uses to purchase Bike.
Time On Festival Get Promotion Bike Required On Birthday When you start job When you go married Total
No. of Respondents 18 11 41 6 16 8 100
% 18% 11% 41% 6% 16% 8% 100%
Interpretation: Most peoples purchase bikes when they have needed to purchase Bike. Many people purchase bikes when they start job (16%) or get promotion in job (11%). On festival also many consumer purchase bikes to take advantages of promotional offers.
Que: 7 Objective: To know that who affects the most while taking the purchase decision.
Detail Family Member Friends Relatives Show Room/ Dealer Past Users Total
No of Respondents 30 25 15 10 20 100
Percentage 30% 25% 15% 10% 20% 100%
Interpretation: In purchasing decisions many peoples take part especially in the cases of costly and durable product like Bike. Many people affect the consumers decision of purchase. In those family members (30%), friends (25%), Past Users (20%), Dealers (10%), and relatives (15%) affect the consumers decision.
Que: 8 Objective: To aware about the effect of promotional scheme on consumer.
Affect by Incentives Yes No Total
Percentage 85% 15% 100%
Interpretation: As per above chart, consumers are purchases bikes when they get promotion incentives for purchasing Bikes. 85% of consumers affect by the promotional schemes and incentives and purchase bike when they get more incentives. 15% of consumers are not wait for incentive scheme and make purchase of Bike without any incentive expectation.
Que: 9 Objective: To aware about the purchasing criteria for purchasing Hero Honda Bike.
Criteria Prices Average Pickup Design Company image Maintenance CC of Engine Total
No. of Respondents 14 23 18 9 17 12 7 100
Percentage 14% 23% 18% 9% 17% 12% 7% 100%
Interpretation:
While purchasing bike, consumers considers a number of criterias such as price, average, company image, maintenance cost, etc. Average is most important criteria for purchase bike with 23%, after that comes company image (17%), Pick up (18%) and price (14%).
Que: 10 Objective: To know the reason for purchasing Hero Honda Bike.
Reasons Good looks/ stylish Reasonable price Low maintenance cost Fuel efficiency Auto Start Engine capacity Pick up Total
No. of Respondents 13 26 11 19 15 9 7 100
Percentage 13% 26% 11% 19% 15% 9% 7% 100%
Interpretation: As above mentioned consumer looks for many things before purchasing Bike. 26% of consumer looks for reasonable price bike, while 19% of consumer looks for fuel efficient bike. 15% want Auto start bike and !3% want stylish bike. 11% have low maintenance cost is important whereas 9% shows engine capacity and 7% shows pick up of Bike. Que: 11 Objective: To aware purchase pattern of consumer of hero Honda Bikes.
Detail Cash Basis Loan from Bank Loan from financial Institute Corporate Buying Total
No. of Respondents 54 26 15 5 100
Percentage 54% 26% 15% 5% 100%
Interpretation: Purchase pattern is important factor for bike dealers as many people wants purchase bike with cash whereas many purchase with loan from bank or
financial institute and take advantage of installment payment. Here more respondents want to purchase with cash (54%).
Que: 12 Objective: To know the location from which consumer purchase Hero Honda Bikes.
Show Rooms Shivani Motors DhruAuto Siddhi Auto Total
No. of Bike Purchased 24 47 29 100
Percentage 24% 47% 29% 100%
Interpretation: Consumer purchase from the location which is more benefited to him such as near to house or more quality after sales provides. 47% of Hero Honda Bike consumer of Surat City purchases bikes from the DhruAuto whereas 29% from Siddhi Auto and 24% from Shivani motors.
Que: 13 Objective: To aware about the purpose of Bike purchased by the consumer of Hero Honda.
Detail Going with Family Going to College Traveling for field work Community work Total
No. of Respondents 24 17 47 55 143
Percentrage 16.78% 11.89% 32.87% 38.46% 100.00%
Interpretation: Bikes are useful for many purposes such as for go to office, college and other places. Hero Honda purchaser use bikes most frequently for community work (38%) and office use (32%). Consumer purchase bike for college going use is 17%.
Finding:1. About 22%, 19%, 25%, Respondents are come to know about the Hero Honda from Television, News Paper and Friend/Relatives. 2. The Criteria of Select the Hero Honda Motorcycle the Most of the Service man Trade shop Owner and Business man the give the importance of the Average Pick up and Price and also maintenance consideration. ICFAI NATIONAL COLLEGE
3. About 28%, 30%, 12%, respondents will purchase splendor, Passion and CBZ respectively produced by the Hero Honda Company. 4. About 60%, respondents will Purchase a Bajaj Motorcycle, 18% respondents will purchase a Suzuki / TVS Motorcycle and 11% respondents will Purchase other Bikes if they wont purchase Hero Honda. 5. Most of Respondents Purchase a Motorcycle on bike required and festival and students preferred it to buy when they start Job.
Suggestions
1. Hero Honda co. is suggested to make improvement in their vehicle considering the C.C. and Maintenance cost occur after sales.
2. Company and dealer are suggested to concentrate on advertising print Media like Hoarding, Magazines, and adverting Banner. So it can help both them to increases their sales. 3. No. of Competitors entered in the market so Consumers are sifting towards others. So, company is suggested to more concentrate on consumer by creating more dealers in city. Dealers are advise to provide better quality after sales service to retain consumer and for mouth publicity. 4. The company should come out with its own financial company and provide attractive finance like Low down payment, low rate of interest to attract customers.
Conclusion
After the completing my research on the topic of The research of consumer Perception About purchasing Hero Honda Bike it concluder that Customer ICFAI NATIONAL COLLEGE
satisfaction is the one major part of the buying behaviour consumer needs arise time to time and its changes time to time. Company has to Build strong brand awareness and credibility among its customers. It is good for Hero Honda that majorities of people are aware about its brand that Hero Honda has earned enough to keep conditions contact with customer market and to constantly carry out R & D in production of two wheeler and marketing the same to the different destination. They try to produces such vehicles that attract the customer.
BIBLIOGRAPHY
WEBSITES
www.wikipedia.com www.researchandmerkets.com www.hero honda.com www.google.com
BOOKS
Marketing Management - J.C. Berry
MAGAZINES
Business Today

Hero Honda-Consumer Buying Behaviour

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A FINAL REPORT

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

ICFAI NATIONAL COLLEGE, SURAT

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

Jagdish Pareek Icfai National Collage

ICFAI NATIONAL COLLEGE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

Place:-SURAT Pareek Date: College

Jagdish Icfai National

ICFAI NATIONAL COLLEGE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

ICFAI NATIONAL COLLEGE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

ICFAI NATIONAL COLLEGE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

1.1 1.2 1.3

2.1 2.2 2.3 2.4 2.5 2.6 2.7

Marketing Research Research design Data Collection Method

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

Research Measuring Instrument Questionnaire Pilot Study Sample design.

Summary Finding Suggestion Conclusion Annexure Bibliography

ICFAI NATIONAL COLLEGE

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THE FIRST MOTORCYCLE

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TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

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TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

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TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

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TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

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TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

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TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

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TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

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TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

ICFAI NATIONAL COLLEGE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

In 1984, Hero Group started manufacturing motorcycles with the

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

HERO HONDA MOTORS LTD

ICFAI NATIONAL COLLEGE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

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TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

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TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

ICFAI NATIONAL COLLEGE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

for the year 2000-01.

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE

ICFAI NATIONAL COLLEGE

TO KNOW CONSUMER BUYING BEHAVIOR OF HERO HONDA MOTORCYCLE