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    Siddharth Siddharth Document Transcript

    • 1 A PROJECT REPORT ON A STUDY ON CUSTOMER RELATIONSHIP MANAGEMENT WITH SPWCIAL REFERENCE TO PROPTIGER 16 KMC ARCADE, 100Ft, KORMANGALA, INNER RING RD, ASHWINI LAYOUT, EJIPURA, BANGALORE, KARNATAKA- 560047 SUBMITTED TO ALL INDIA MANAGEMENT ASSOCIASTION CENTRE FOR MANAGEMENT EDUCATION MANAGEMENT HOUSE,14INSTITUTIONAL AREA, LODHI ROAD, NEW DELHI-110003 JULY 2013 BY SIDDHARTH MOHAN REGISTRATION NO.B11120293 GUIDED BY PROF JAMUNA A.S. ASSISTANT PROFESSOR For the partial fulfillment of Post Graduate Diploma in Management
    • 2 ACKNOWLEDGEMENT I extend my special gratitude to our beloved Dean ShriSwaminathan Murthy, & Academic Head Narayanan&Programme Head Savitha Rani for inspiring me to take up this project. I wish to acknowledge my sincere gratitude and indebtedness to my project guide Mrs. Jamuna A.S.of M.S. RAMAIAH MANAGEMENTINSTITUTE, Bangalore for his valuable guidance and constructive suggestions in the preparation of project report. Siddharth Mohan
    • 3 CONTENTS Chapter Page No. 1. INDUSTRY ANALYSIS 5 1.1 Introduction 1.2Market Size/ Growth Prospects 1.3Investments 1.4 Government Initiatives 1.5India‟s Real Estate Sector 1.6 Real estate Market 1.7 Market Players 1.8 Policy Initiatives 2. COMPANY ANALYSIS 25 2.1 About PropTiger 2.2 Builder Partner 2.3 Management Team 2.4 CSR Policies 3.CUSTOMER RELATIONSHIP MANAGEMNET 34 3.1 Introduction 3.2 Customer Relationship Marketing-A broader perspective 3.3 Customer Markets
    • 4 3.4 Evolution of CRM 3.5 Customer database and database marketing 3.6 Total customer satisfaction 3.7 Level of relationship marketing 4. RESEARCH METHODOLOGY 48 4.1Title of the study 4.2 Statement of the problem 4.3 Objective of the study 4.4 Scope of the study 4.5 Research methodology 4.6 Operational definition of the concept 4.7 Reference Period 4.8 Limitations of the study 5. DATA ANALYSID AND INTERPRETATION OF THE STUDY 53 6. FINDINGS, SUGGESTIONS AND CONCLUSSION 96 ANNEXURE 101 Bibliography
    • 5 Chapter :1 INDUSTRY ANALYSIS
    • 6 1.1 Introduction: The real estate sector in India has come a long way by becoming one of the fastest growing markets in the world. It is not only successfully attracting domestic real estate developers, but foreign investors as well. The growth of the industry is attributed mainly to a large population base, rising income level, and rapid urbanization. The sector comprises of four sub-sectors- housing, retail, hospitality, and commercial. While housing contributes to five-six percent of the country‟s gross domestic product (GDP), the remaining three sub-sectors are also growing at a rapid pace, meeting the increasing infrastructural needs. The real estate sector has transformed from being unorganized to a dynamic and organized sector over the past decade. Government policies have been instrumental in providing support after recognizing the need for infrastructure development in order to ensure better standard of living for its citizens. In addition to this, adequate infrastructure forms a prerequisite for sustaining the long-term growth momentum of the economy. 1.2 Market Size/ Growth Prospects The total revenue of the real estate sector was US$ 66.8 billion during 2010-11. By 2020, the sector is expected to earn revenue of US$ 180 billion. In fact, the demand is expected to grow at a compound annual growth rate (CAGR) of 19 per cent between 2010 and 2014, with tier I metropolitan cities projected to account for about 40 per cent of this. Growing infrastructure requirements from sectors such as education, healthcare and tourism are providing numerous opportunities in the sector. Further, India is going to produce an estimated two million new graduates from various Indian universities during this year, creating demand for 100 million square feet of office and industrial space. In addition, presence of a large number of Fortune 500 and other reputed companies will
    • 7 attract more companies to initiate their operational bases in India thus, creating more demand for corporate space. 1.3 Investments India is ranked 20th in the list of world‟s top real estate investment markets with investment volume of US$ 3.4 billion in 2012, according to the latest report titled 'International Investment Atlas' by Cushman & Wakefield. The sector is set for robust inflows of US$ 4-5 billion from overseas investors in the next couple of years, with Bangalore, Delhi and Mumbai emerging as the favourites, according to Jones Lang LaSalle, a global real estate consultancy giant. Construction development sector (including townships, housing, built-up infrastructure & construction-development projects) has attracted a cumulative foreign direct investment (FDI) worth US$ 22,007.67 million from April 2000 to February 2013. FDI flows into the construction sector for the period April-February 2012-13 stood at US$ 1,260 million, according to the department of industrial policy and promotion (DIPP). Bengaluru witnessed the highest number and value of private equity investments at Rs 32.5 billion (US$ 585.57 million) in 2012, recording more than double of investment over last year, followed by Mumbai with Rs 13 billion (US$ 234.17 million) and National Capital Region (NCR) with Rs 7 billion (US$ 126.09 million) of investments. India needs to invest US$ 1.2 trillion over the next 20 years to modernise urban infrastructure and keep pace with the growing urbanisation, as per a report released by McKinsey Global Institute (MGI)-India's urban awakening.
    • 8 Some of the major investments in the Indian real estate sector are: Ashiana Housing Ltd plans to foray into Gujarat's real estate with its first project worth Rs 100 crore (US$ 18.01 million) at Halol MrAkhileshYadav, Chief Minister of Uttar Pradesh (UP) has inaugurated and laid the foundation of development projects worth Rs 3,337 crore (US$ 601.21 million) pertaining to Noida, Greater Noida and Yamuna Expressway Wave Infratech plans to invest Rs 500 crore (US$ 90.08 million) to set up its first affordable housing venture in the Delhi national capital region (NCR) area Mahindra Lifespace Developers has bought the stake of private equity Arch Capital in its joint venture residential project at Chennai. The buyout of the stake was estimated to be around Rs 70 crore (US$ 12.61 million) Godrej Properties Ltd (GPL) has signed a development management agreement with United Oxygen Company Pvt Ltd to develop residential housing project in Bengaluru. The project will offer approximately 1,000,000 sq. ft. of saleable area and will be developed as a residential housing project 1.4 Government Initiatives According to the latest reforms, FDI up to 100 per cent is allowed under the automatic route in townships, housing, built-up infrastructure and construction development projects to increase investment, generate economic activity, create new employment opportunities and add to the available housing stock and built- up infrastructure The Ministry of Housing & Urban Poverty Alleviation has planned to introduce a single-window system for clearance of all real estate projects across the country. The system could bring down the average approval time from the current 196 days to 45-60 days The Government of India has sanctioned projects worth Rs 41,723 crores (US$ 7.51 billion) for building of 1,569,000 houses/dwelling units for economically weaker/lower income group sections under the Ministry‟s flagship Jawaharlal Nehru National Urban Renewal Mission (JNNURM) programmes.
    • 9 Some of the initiatives taken in the union budget 2013-14 include: For homes and flats with a carpet area of 2,000 square feet or more or of a value of Rs 1 crore (US$ 180,213) or more, which are high-end constructions, where the component of services is greater, rate of abatement reduced from 75 to 70 percent Rs 6,000 crore (US$ 1.08 billion) were given to Rural Housing Fund National Housing Bank plans to set up Urban Housing Fund. Rs 2,000 crore (US$ 360.47 million) will be provided to the fund in the current financial year Why Invest In Indian Real Estate ? Flying high on the wings of booming real estate, property in India has become a dream for every potential investor looking forward to dig profits. All are eyeing Indian property market for a wide variety of reasons: It‟s ever growing economy which is on a continuous rise with 8.1 percent increase witnessed in the last financial year. The boom in economy increases purchasing power of its people and creates demand for real estate sector. India is going to produce an estimated 2 million new graduates from various Indian universities during this year, creating demand for 100 million square feet of office and industrial space. Presence of a large number of Fortune 500 and other reputed companies will attract more companies to initiate their operational bases in India thus creating more demand for corporate space. Real estate investments in India yield huge dividends. 70 percent of foreign investors in India are making profits and another 12 percent are breaking even.
    • 10 Apart from IT, ITES and Business Process Outsourcing (BPO) India has shown its expertise in sectors like auto-components, chemicals, apparels, pharmaceuticals and jewellery where it can match the best in the world. These positive attributes of India is definitely going to attract more foreign investors in the near future. The relaxed FDI rules implemented by India last year has invited more foreign investors and real estate in India is seemingly the most lucrative ground at present. The revised investor friendly policies allowed foreigners to own property, and dropped the minimum size for housing estates built with foreign capital to 25 acres (10 hectares) from 100 acres (40 hectares). With this sudden change in investment policies, the overseas firms can now put up commercial buildings as long as the projects surpass 50,000 square meters (538,200 square feet) of floor space. Indian real estate sector is on boom and this is the right time to invest in property in India to reap the highest rewards.
    • 11 1.5 INDIA’S REAL ESTATE SECTOR 1.5.1 Overview While India continues to be one of the fastest growing economies, this pace of growth is unlikely to sustain unless it is supported by an equally robust development of its infrastructure. Key requirements in order to achieve a GDP growth rate exceeding 8-9% include roads, power, ports as well as urban infrastructure. The last couple of budgets have taken steps in the right direction for growth of the sector. An allocation of Rs. 200 billion towards infrastructure projects under the 2011 budget is an attempt to achieve the Governments target for growth of Infrastructure under the Eleventh Plan. India will have around 27 to 30 million shortage of housing units by 2013 and for this; huge amount is required to carry on the development. Slowdown in the global economy along with consistent increase in policy rates by the Reserve Bank of India (RBI) finally seems to be impacting the domestic economy with the GDP growth cooling down since past few quarters. The GDP growth recorded during first quarter of financial year 2012 has slowed down to 7.7 per cent as against 9.3 per cent during first quarter of financial year 2011.Even the projected GDP growth for financial year 2012 has been revised downward to 7.9 per cent from 8.2 per cent by the RBI. The real estate sector in India is being recognized as an infrastructure service that is driving the economic growth engine of the country. In fact, Foreign Direct Investment (FDI) in the sector is expected to increase to US$ 25 billion in the next 10 years, from present US$ 4 billion. The country's urban population will soar to 590 million by 2030, from 340 million in 2008. India's cities could generate 70 percent of the net new jobs created by 2030, produce more than 70 percent of the country's Gross Domestic Product (GDP), and stimulate a near four-fold increase in per capita income. It also says that India needs to invest US$ 1.2 trillion over next 20years to modernize urban infrastructure and keep pace with the growing urbanization.
    • 12 Non-resident Indians and foreign citizens who are Persons of Indian Origin (PIO) are allowed to purchase immoveable property in India. Residential property prices have stabilized now and are deemed attractive for the NRI home buyer. Industry experts feel that with attractive pricing and innovation in construction technology and variety of designs, NRIs are taking a fresh look at India as a unique market in which they can invest. 1.5.2 Introduction Real Estate business was one of the key drivers of growth before we witnessed the present economic slowdown. Now, with companies trying to consolidate their positions and finding effective means of sustaining growth, the management of real estate has emerged as one of the key challenges for the corporate sector. The largest occupier of office space in the country has been the Information Technology/ Information Technology enabled Services (IT/ ITeS) segment, which primarily serves the US and European markets. The economic slowdown in these markets have resulted in increasing pressures on the margins of companies operating out of India, which in turn has led to the companies looking to cut costs through reducing expenditure on the real estate segment. The real estate sector in India assumed greater prominence with the liberalization of the economy, as the consequent increase in business opportunities and labour migration led to rising demand for commercial and housing space. At present, the real estate and construction sectors are playing a crucial role in the overall development of India‟s core infrastructure. The real estate industry‟s growth is linked to developments in the retail, hospitality and entertainment (hotels, resorts, cinema theatres) industries, economic services (hospitals, schools) and information technology (IT)-enabled services (like call centres) etc and vice versa. The Indian real estate sector has traditionally been dominated by a number of small regional players with relatively low levels of expertise and/or financial resources. Historically, the sector has not benefited from institutional capital; instead, it has
    • 13 traditionally tapped high net-worth individuals and other informal sources of financing, which has led to low levels of transparency. This scenario underwent a change with in line with the sector‟s growth, and as of today, the real estate industry‟s dynamics reflect consumers‟ expectations of higher quality with India‟s increasing integration with the global economy. 1.5.3 Present Scenario of Real Estate Currently, about 5 per cent of India‟s GDP is contributed by the housing sector. The GDP share of the real estate sector (including ownership of dwellings) along with business services was 10.6 per cent in 2010-11. After growing at 10.4 per cent in 2008- 09, the rate of growth of this sector has decelerated to 7.8 per cent in 2009-10 and further to 6.9 per cent in 2010-11. Estimates show that for every rupee that is invested in housing and construction, 0.78 paisa gets added to GDP. Housing ranks fourth in terms of the multiplier effect on the economy and third amongst 14 major industries in terms of total linkage effect according to Economic Survey 2011-12. Demand for real estate is expected to grow at a compound annual growth rate (CAGR) of 19 per cent between 2010 and 2014 Tier 1 metropolitan cities are projected to account for about 40 per cent of this. Growing requirements of space from sectors such as education, healthcare and tourism provide opportunities in the real estate sector. With institutional credit for housing investment growing at a CAGR of about 18 to 20 per cent per annum in the next three-five years, the housing sector‟s contribution to GDP is likely to increase to 6 per cent. While India is among the top countries in terms of housing and work space needs, it ranks 181st in construction permission processes according to the World Bank‟s Doing Business 2012 report.
    • 14 1.6 REAL ESTATE MARKET 1.6.1 Real Estate Market Size 2008 2009 2010 2011 US$ Billion 50.1 53.3 55.6 66.8 Activities in the real estate sector may broadly be classified into residential, commercial and the retail segment and hotels. The size in terms of total economic value of real estate development activity of the Indian real estate market is currently US$40-45bn (5-6% of GDP) of which residential forms the major chunk with 90-95% of the market, commercial segment is distant second with 4-5% of the market and organized retail with 1% of the market. Over next 5 years, Indian real estate market is expected to grow at a CAGR of 20%, driven by 18-19% growth in residential real estate, 55-60% in retail real estate, and 20-22% in commercial real estate. 0 10 20 30 40 50 60 70 2008 2009 2010 2011
    • 15 1.6.2 Market Segment In recent years, the Industry has evolved from a highly fragmented and unorganized Market into a Semi-organized Market. Real Sector Estate Commercial Sector Retail SpaceSpecial Economic Residential Hospitality Space Space The sector can be divided into residential, commercial, retail and hospitality asset classes. Commercial Sector The commercial office space in India has evolved significantly in the past 10 years due to change in business environment. The growth of commercial real estate has been driven largely by service sectors, especially IT-ITeS. However, with the emergence of IT-ITeS, which had huge office space requirement, commercial development started moving towards city suburbs. It resulted in multifold development of city outskirts and suburbs like Gurgaon near New Delhi, Bandra and Malad in Mumbai, and the Electronic
    • 16 city in Bangaluru. In addition, over the last 10years, locations such as Bengaluru, Gurgaon, Hyderabad, Chennai, Kolkata and Pune have established themselves as emerging destinations for commercial development, which are competing with traditional business destinations such as Mumbai and Delhi. Tax sops on the profits of IT-ITeS companies also led to stupendous development of IT Parks and SEZs. However, the demand for office space is directly linked to addition in number of employees, which in turn is dependent on economic growth. When economy slows down, companies hold their expansion plans leading to lower demand for office space. Downturn in the commercial real estate market in India, which had commenced during the second half of 2008, continued during the second half of 2009. The sustained decline was largely the result of postponement of expansion plans by corporate, which adversely impacted demand for office space. IT/ITeS, which had been a major demand driver for the sector in the last 2 years, increased utilization rates of existing commercial space by increasing the number of shifts. Residential Sector in Real Estate Residential demand is the mainstay of the Indian real estate sector. The major demand drivers for the residential market include increasing disposable income levels, increase in the number of nuclear families / households, tax savings on home mortgage products as well as real estate being considered a “necessary” investment. Demand for houses increased considerably whilst supply of houses could not keep pace with demand thereby leading to a steep rise in residential capital values especially in urban areas. Broadly, residential real estate industry can be divided into four growth phases Phase I (2001-2005) was an initial growth phase with stabilizing residential real estate prices following the global recovery post the “dot com” bust and 9/11 terrorist attacks in New York. At the same time, there was steady growth in Indian economic activity, noteworthy recovery in IT/ITES industry, growing urbanization and a rising trend towards nuclear families.
    • 17 Phase II (2006-2008) was a high growth phase where high demand for residential real estate led to doubling of housing prices. Demand rapidly increased due to India‟s growing population, accentuated urbanization, rising disposable incomes, rapidly growing middle class and youth population, low interest rates, fiscal incentives on interest and principal payments for housing loans and heightened customer expectations. Phase III (2009-2010) witnessed substantial slowdown and part recovery in demand because of the global economic downturn, which led to a decline in affordability and tight liquidity. The retreat of various real estate investors, accompanied by slowdown in the capital markets, has resulted in oversupply and falling prices. Phase IV (2011-2014) is expected to remain a consolidation phase after slowdown. Demand is expected to remain strong with capital values witnessing modest rise. This period is expected to witness substantial supply of housing especially in urban areas. In spite of the stupendous growth witnessed in the past 10 years, substantial housing shortage is still prevalent in India. The housing shortage in India is estimated at 78.7 million units at the end of Phase II. The overall housing shortage in India is likely to decline to 75.5 million units by the end of Phase IV. However, housing shortage in urban areas will continue to rise owing to migration towards urban areas and increasing trend of nuclear families. Housing shortage in urban areas is estimated at 19.3 million units at the end of 2008, up from 15.1 million units at the start of 2005. Housing shortage in urban areas is likely to touch a walloping 21.7 million units by the end of 2014. Rural areas, on the other hand, will witness a reduction in housing shortage due to migration and conversion of kutcha houses into pucca houses. The government‟s continuous focus on improving the housing situation, especially for population below poverty line, under schemes like Indira AwaasYojna, Rajeev Gandhi AawaasYojna, Two Million Housing Programme, is expected to reduce housing shortage in rural areas. Rural housing shortage is expected to decline to 53.8 million units by 2013-14 from 59.4 million units at the end of 2008.
    • 18 Retail Real Estate In 2010, India witnessed the addition of more than 5 million sqft of organized retail mall space across various primary and secondary locations. This was concentrated largely in NCR, Mumbai, Bangalore and Chennai and was a consequence of the positive sentiments amongst retailers on spatial expansion and enhancing their footprints across the country. The growth of malls in India has increased to about 59 which comprises of the retail stock. The retail stock share will increase to 36 per cent in the coming years. Results found out through a survey state that the retail market is expected to grow in the coming years. There is an increaseddevelopment of retail malls which are primarily dominated by the local developers. All the 59 malls in the southern & Northern states are either in the stages of construction or are already established. Few of the active project developers in the Southern & Northern region are the Mantri Developers, The Prestige Group, DLF, RMZ Corp and so on. Indian retailers are seeking to implement their expansion plans in the prime cities as well as select Tier II and Tier III cities. FDI in multi brand real estate, when finally permitted, is expected to catalyze a lot of demand from international retailers. That said, international luxury brands will restrict their growth plans to Mumbai, Delhi and Bangalore. Hospitality Real Estate India‟s hospitality industry has enjoyed robust growth over the past few years buoyed by a benign economic and political environment. Increase in domestic, business and leisure travel has benefited hotels in India. Rising incomes, higher weekend trips and increased access to travel-related information over the Internet have propelled growth in hospitality. Premium segment hotels are more prominent in major business destinations in India and are dominant in popular tourist destinations like Goa, which attracts a lot of foreign clientele. In 2010, the industry saw only five private equity deals with a cumulative value of $ 1 56 million. By 2011, the amount grew to $299 million and during the first five months of 2012, hospitality industry has raised $121 million from private equity. A few years back the
    • 19 industry was polarized between large five star hotels and small lodges. Now, both domestic hotel chains and international brands are queuing up with several categories of hotels to cater to different travelers in the value chain and that is why the demand for real estate properties in India are increasing. Private equity players are also keen on budget, mid-sized hotels that work on an asset light model than the asset heavy models that take longer time to become profitable. The entry of several global brands to fill the demand-supply gap has triggered private equity interest in the industry. Special Economic Zone (SEZ) The Government of India introduced the SEZ Act, 2005, to generate additional economic activity, promote exports and create employment opportunities in the country. Developing an SEZ is approximately 15 to 20 percent cheaper than developing non-SEZ commercial space; given the various fiscal benefits available to SEZ developers several real estate developers have been attracted to these projects. Under the new SEZ Policy, formal approvals have been granted to 574 SEZ proposals as of March, 2010.As of March 2010, there were 350 notified SEZs and 146 have received in-principle approval. The SEZ Policy allows usage of as high as 50 percent of the SEZ area as non-processing zone, offering significant potential for residential and support infrastructure.
    • 20 1.7 MARKET PLAYERS India‟s real estate market is on a high growth curve. The industry is projected to grow to US$50 billion by the end of 2010 at an average rate of 20%. Looking at the bigger picture, the recession seems like a hiccup. Despite talks of price correction, the worse is definitely behind us. In this features, there are list of market leaders. Many are national players but some are purely regional players and hence it would be unfair to compare them. The idea was to identify national as well as local leaders. Of course, all such lists are subject to market dynamics. 1.7.1.DLF Ltd With a track record of 64 years, DLF is India‟s largest real estate company in terms of revenues, earnings, market capitalization and developable area. It currently has pan India presence across 30 cities with approximately 238 million sqft of completed development and 413 million sqft of planned projects, of which 56 million sqft of projects are under construction during FY10. Project Spectrum: Residential, townships, commercial complexes, IT Parks, hotels, multiplexes, etc. Quick fact: Only listed real estate Company included in the BSE Sensex, NSE Nifty, MSCI India Index and MSCI Emerging Markets Asia Index. Latest: It will take its luxury mall DLF Emporio (already operational in New Delhi) to other big cities such as Hyderabad and Chennai. 1.7.2.UNITECH Established in 1972, Unitech is India‟s leading real estate developer in India. It is the first developer to have been certified ISO 9001:2000 in North India. Project Spectrum: Unitech offers diversified projects across residential, commercial/IT parks, retail, hotels, amusement parks and SEZs segments. Unitech was the first real
    • 21 estate company to be part of the National Stock Exchange‟s NIFTY 50 Index. The company has over 600,000 shareholders. Unitech and Norway based Telenor Group came together to build Uninor - a telecommunication services company providing GSM services across India. Latest: Has ventured into the infrastructure business by launching Unitech Infra. 1.7.3.AnsalAPI Established in 1967 as a family business, Ansal API today is clearly amongst the real estate leaders of India. Having established itself very strongly in the NCR region, Ansal API is now focusing on ventures in cities like Bhatinda, Mohali, Amritsar, Ludhiana, Jalandhar, Jaipur, Jodhpur, Ajmer, Sonepat, Panipat, Karnal, Kurukshetra, Faridabad, Gurgaon, Greater Noida, and Ghaziabad, Meerut, Agra, Lucknow, to name a few. Ansal API has till date, developed and delivered more than 190 million sq ft. The company currently has a land reserve of about 9,335 acres. Project Spectrum: Integrated Townships, Condominiums, Group Housing, Malls, Shopping Complex, Hotels, SEZs, IT Parks and Infrastructure and Utility Services Latest: Raised Rs231.4 crore through private placement of shares with institutional investors for reducing its debt and execute ongoing projects. 1.7.4.SobhaDevelopersLtd The Company was founded in 1995 by PNC Menon after he returned home from the Middle East where he was acclaimed for quality interiors and construction since 1977. Today, this Rs10 billion plus company is one of the largest and only backward integrated company in the construction arena. Its IPO in 2006 was oversubscribed by 126 times that created history, being the first event of its kind in Indian capital markets. Till date, Sobha has completed 47 residential projects, 13 commercial projects and 166 contractual projects covering about 36 million sqft area in 18 cities across India (as of 31 March 2010). The company currently has 21 ongoing residential projects aggregating
    • 22 to 8.5 million sqft, while 4.24 million sqft of contractual projects are under various stages of construction. 1.7.5.ParsvnathDevelopersLtd Incorporated in July 1990 by Mr Jain in New Delhi, Parsvnath today has a substantial pan India presence in over 45 cities across 16 states. The company has emerged as one of the most progressive and multi-faceted real estate and construction entities in India. Project spectrum: Housing (premium, mid-market as well as affordable), office complexes, shopping malls & hypermarkets, hotels, multiplexes, IT Parks and SEZs. Quick fact: First real estate Company to have integrated with ISO 9001, 14001 and OHSAS 18001. Latest update: Has partnered with Red Fort Capital to execute a Concession Agreement with DMRC for development of a prime Grade A office project in New Delhi‟s Connaught Place.
    • 23 1.8. POLICYINITIATIVES 1.8.1 Investment Policy The Government has proposed one per cent TDS (tax deduction at source) on transfer of immovable property if the sale value exceeds Rs 50 lakh in urban centres and Rs 20 lakh in other areas in the Union Budget 2012-13. The Reserve Bank of India (RBI) has granted permission to foreign citizens of Indian origin to purchase property in India for residential or commercial purposes. The purchase consideration should be met either out of inward remittances in foreign exchange through normal banking channels or out of funds from NRE/FCNR accounts maintained with a bank in India. According to the latest reforms, FDI up to 100 per cent under the automatic route in townships, housing, built-up infrastructure and construction-development projects (which would include, but not be restricted to, housing, commercial premises, hotels, resorts, hospitals, educational institutions, recreational facilities, city and regional level infrastructure) is allowed subject to the following guidelines (also for investment by NRIs) The project shall conform to the norms and standards, including land use requirements and provision of community amenities and common facilities, as laid down in the applicable building control regulations, bye-laws, rules, and other regulations of the State Government/ Municipal/ Local Body concerned. The investor/ investee company shall be responsible for obtaining all necessary approvals, including those of the building/layout plans, developing internal and peripheral areas and other infrastructure facilities, payment of development, external development and other charges and complying with all other requirements as prescribed under applicable rules/ bye-laws/regulations of the State Government/ Municipal/ Local Body concerned. The State Government/ Municipal/ Local Body concerned, which approves the building/ development plans, would monitor compliance of the above conditions by the developer.
    • 24 1.8.2.Investment Opportunities Real estate emerged as the popular sector for private equity (PE) funds, which witnessed investments worth US$ 1,700 million in the sector during 2011. PE in real estate projects will fetch considerable returns by next year-end or early 2013. Limited partners (who write cheque for funds) expect 15-25% returns from real estate deals. Foreign investors are optimistic about India. All they want is prompt action and friendly policies.
    • 25 Chapter: 2 COMPANY ANALYSIS
    • 26 2.1 ABOUT PROPTIGER PropTiger is an independent real estate advisor with a pan-India presence. We aspire to be your first Partof call if you want to buy a residential property. 2.1.1 Our mission is: "To help Indian families buy their dream home." Headquartered in the National Capital Region of Delhi (NCR), PropTiger has been founded by alumni of Harvard Business School, IIT and ISB who combined have decades of experience in real estate in India and abroad. PropTiger has a specialist team of real estate experts spread across 8 cities - Noida,Gurgaon, Mumbai, Pune, Bangalore, Chennai, Kolkata and Ahmedabad. Each of our staff is well trained across different aspects of buying residential property - from helping you narrow down the various options, to selecting the optimal property for you, to completing the final paperwork related to the transaction. 2.1.2 Our Services We believe that our focused approach helps us stand out from our competitors. Therefore, PropTiger only offers the following two services:. 1. Property Advisory - Buying an apartment in original booking from a developer 2. Loan Advisory - Applying for a home loan to finance the transaction If you are a first time buyer of residential property, chances are that you might be anxious and somewhat confused about how to buy a house and how to get it financed through a loan. This is where PropTiger comes in. We recognize that there are many
    • 27 different real estate brokers, consultants and advisors. However, what sets us apart from all these worthy competitors is our unique combination of property and loan advisory. The following are sequence of steps that our experts will take you through so that you can buy your dream house: Identification of suitable properties that meet your criteria – location, size, budget, developer. Budget analysis and affordability of property - how much can you afford and what is your loan capacity. Site visits, including viewing of sample flat if available. Negotiation with developer for best price, terms of payment and location in tower. Completion of paperwork so that developer can send you allocation letter when initial installments have been paid. Thereafter, our specialist loan team can help you get the cheapest and the most credit friendly loans on the best terms. 2.1.3 Our goal: Our goal at PropTiger is to make the home-buying process easy, so that you can make the best decision for you and your family.
    • 28 2.2 Builder Partner Real Estate Developers We Work With PropTiger is very selective in choosing which real estate developers to partner with. Our in-house risk management team does extensive due diligence and research on each of our developer partners to ensure that we are not putting our client's at risk by exposing them to a developer who engages in irregular practices or has been known to defraud home-buyers. The following is a representative list of some of the developers we work with by city: Noida Gurgaon Mumbai Pune Bangalore Chennai Ahemdabad Indore
    • 29 2.3 Management Team- DhruvAgarwala, Co-founder Dhruv was the CEO of GE's Infrastructure business in India. He also led Institutional Sales for GE in the country. He has held various senior roles with GE in the US and has world-class operating and general management experience. Dhruv had previously started a highly successful iron-ore mining company in India, as well as started and exited an education business offering management training. Dhruv holds a B.S. in Materials Science from Northwestern University, an M.S. from Stanford University and an MBA from Harvard. KartikVarma, Co-founder Kartik has financial advisory and investment management experience in India, Asia, US and Europe. He invested money for the Ziff family and thereafter for Europe's leading hedge fund, TCI Fund Management, which managed money for wealthy families, institutions and endowments. Before investing, Kartik worked as a mergers and acquisitions banker at James D. Wolfensohn, Inc. in New York. Kartik managed the operations for India's largest theatre company, Stagedoor, and helped grow the troupe into a pan-India presence. He holds a B.A. from Delhi University, an LL.B. from the London School of Economics and an MBA from Harvard. During business school, he worked on starting a formula 1 racing team. PrashanAgrwal, Co-founder Prashan brings along a varied experience in Business Strategy, Operations and IT spanning over 10 Years of professional experience. He brings a wealth of experience in the Real Estate industry in India.
    • 30 Prior to PropTiger, Prashan started one of the leading internet real estate brokerage business in India. He has worked in senior roles with GE, ITC and Sapient. He holds a B. Tech from IIT Kanpur and an MBA from Indian School of Business Hyderabad. PropTiger was set up in February 2011 by DhruvAgarwala, KartikVarma and PrashanAgarwal. Agarwala and Varma were classmates at Harvard Business School and had previously built iTrust Financial Advisors, a mass-market wealth management business, which they subsequently sold to the Karvy Group. PrashanAgarwal is an alumnus of IIT Kanpur and ISB, Hyderabad, who had previous exposure in the Internet and technology businesses. PropTiger Realty Private Limited is India's leading technology-enabled real estate marketing platform aimed at first time home buyers. For buyers, PropTiger offers end-to-end services starting from identifying apartment options, organizing site visits, budget and affordability analysis, helping with unit selection and filing of the application with the real estate developer to facilitating the cheapest housing loan. For property developers, PropTiger offers a range of services to sell their new residential apartments inventory during the initial launch. PropTiger aspires to become India's largest online real estate broker - we want to be the first port of call for Indians looking to buy a home. The PropTiger founding team is comprised of real estate professionals who have been involved in the buying of real estate for over 12 years cumulatively, and have revolutionized the buying properties through the use of the internet. PropTiger focuses on marketing new residential real estate developments, aimed at the mid-end of the market, and has a transaction run rate of 300 units a month. In a little over a year, the firm has booked transactions with gross value of property aggregating to around Rs 1,100 crore. With a typical industry margin of 2-2.5 per cent of property value, PropTiger would have clocked revenues of around Rs 22-27.5 crore. Potential customers of PropTiger leave their required property specifications online. Thereafter, the firm‟s real estate experts, all of whom are company employees, initiate contacts with these clients and offer a wide range of services including identifying
    • 31 apartment options, organising site visits, budget and affordability analysis, helping with unit selection and application filing with real estate developers to facilitate housing loans. When a client buys a property from uPropTiger, he will be given the status of a Silver Preferred Member of the club for every eligible customer he refers who buys a property from us, we will reward our client with reward points (these reward points will depend on the Basic Sale Price of the property purchased by the referred customer and the membership status of the client). These reward points can then be redeemed for various Gift Vouchers from us which the client can use to buy exciting gifts (eg., iPod, iPhone, DigiCam, Mobiles, LCD, Laptop, etc.) The company is now targeting Rs 10,000 crore of gross value of property sold by 2016, which would, thereby, take its revenues to around Rs 200 crore or more. KartikVarma, co-founder of PropTiger, said that the new funding would be used to further strengthen the technology platform and hire more people. PropTiger believes that the market is very fragmented with many small local players in this space and there is a huge opportunity to build a pan-India property marketing services firm. Although there are a few Internet-enabled real estate businesses, almost all of those are in the classified listing business, which is a media play, and none of them provides end-to-end services to home buyers. At present, PropTiger has 200 employees who are mostly on-ground sales personnel, and the company is looking to take this to 500 by mid-2013. The firm is currently operating in eight top cities but has also booked deals outside these geographies. India is in the early stages of a long cycle in residential ownership driven by rising income levels, nuclearisation of families and a 20 million shortage in housing units. Ravi Adusumalli of SAIF and PrashanthPrakash of Accel have joined PropTiger‟s board as part of the investment to help middle-class Indian families achieve their home ownership goals. For SAIF, this is the first fresh portfolio investment in 2012. Earlier this year, it joined IDG Ventures India in a $14 million series B round of investment into BrainBees
    • 32 Solutions Pvt Ltd, which owns the brands FirstCry.com and GoodLife.com. SAIF had also invested $4 million in the company in May 2011. 2.4 CSR POLICIES: With the objective of promoting the philanthropic activities, other social and environmental issues, the bank has CSR policy in place embodying the broader principles for providing donations. The donations are made within the prescribed limit of 1% of the published profits for the previous year. It focuses on economic, social, cultural and geographical backwardness of the area. 2.4.1. KEY FEATURES: The organization provides financial assistance for the benefit of handicapped person or patients suffering from serious ailments. Provide direct assistance or through prime minister‟s relief fund or chiefminister relief‟s fund or any other national level or state level calamity relief fund to needy who have suffered due to natural disaster and calamities. Helps in rehabilitation of handicapped persons belonging to depressed classes of society. Provides for procurement of devices for kidney transplantation, cardiac interventions, cancer patients, aids and other dreaded diseases, philanthropic support for people belonging to economically deprived sections of the society. Provides financial support to the orphanages. Provides scholarships to meritorious students of depressed sections of the society at various levels with focus on needy. Providing technical and financial support for the Heritage Preservation through sponsorship of awareness seminars, organizing social service camps, sponsoring arts and literary works and preservation and development of important historical, religious, tourist sites, museums, libraries, archives, scientific organizations and national properties.
    • 33 Donations are made directly to the depressed class of society including physically challenged person or through a non government organization engaged in the ameliorating of the sufferings of this class of society. The organizaton‟s CSR is rooted in its Corporate Governance philosophy, which in turn is woven around bank‟s commitment to ethical practices in the conduct of its business, while striving in the constant quest to grow with profits and enhance shareholders value and align interests of the shareholders, stakeholders and society through adoption of best international practices and standards. Managing CSR is not viewed as an extra cost or burden but is viewed not only as making good business sense but also contributing to the long term prosperity of the bank and its ultimate survival. Being a good neighbour and showing that you care on the one hand and being a successful business on the other, are the flip sides of same coin. The bank donated rs. One lakh to Maharaja Ranjit Singh Trust, New Delhi, for the upliftment of downtrodden sections of the society . During the flood inUttarakhand, food and necessity item were distributed to the victims along with medical assistance and many relief camps. Providing assistance to poor farmers of various states both financially and technically. Distributed 500 bicycles to the school going girls in the Madhepura district of Bihar along with notebooks and pens. Financial and marketing assistance to various NGOs working on social and justice cause. Launching blood donation camps with active participation from the employees and encouraging public to do the same. Protesting against killing of animals Launching tree plantation programmes and active participation in various environmental issues. Spreading knowledge on disaster management and tips on safe driving.
    • 34 Chapter: 3 CUSTOMER RELATIONSHIP MANAGEMENT
    • 35 3.1 Introduction Customer relationship management simply means managing all customer interactions. In practice, this requires using information about your customers and prospects to more effectively interact with your customers in all stages of your relationship with them. Customer relationship management is a refocusing of traditional marketing with greater emphasis being placed upon the creation of „customer value‟. Customer value is the summation of all the positive effects that a supplier has upon the customer‟s business or, in case of end users, their personal satisfaction. Creating and enhancing customer value requires a detailed understanding of the customer‟s value chain & in particular whereabouts in that chain wherein the opportunities for value enhancement lie. The importance of retaining the customer can be proven by some of the facts given below:  Acquiring new customers can cost five times more than the costs involved in satisfying and retaining current customers. It requires a great deal of effort to induce satisfied customers to switch away from current suppliers.  The average company loses ten percent of its customers each year.  A five percent reduction in the customer defection rate can increase profits by twenty five percent to eighty five percent depending on the industry.
    • 36 3.2 Customer Relationship Marketing – A Broader Perspective Traditionally marketing has been seen from the perspective of managing relationships with the customer groups. However, a much broader viewpoint is appropriate in relationship marketing. In order to provide the best value proposition in terms of both the product and the customer service it is necessary to consider a wider range of markets. The „six markets‟ model suggests that companies have a number of markets to whom they need to direct marketing activity and formulate marketing plans. In addition to formulating marketing and activity directed at existing and potential customers, a company should also consider supplier markets, employee markets , „influencer‟ and internal markets. In addition to e marketing, companies are becoming more skilful in customer relationship marketing and database marketing. Customer relationship marketing enables companies to provide excellent real-time customer service by developing a relationship with each valued customer through the effective use of individual account Information. Based upon what they know about each customer, companies can customize market offerings, services, programs, messages and media. Customer relationship management holds that a major driver of company profitability is the aggregate value of the company‟s customer base. Winning companies are more productive in acquiring, keeping and growing customers. These companies improve the value of their customer base by excelling at the following customer strategies:  Reducing the rate of customer defection.  Increasing the longevity of the customer relationship.  Enhancing the growth potential of each customer  Through share-of-wallet, cross selling and up selling.  Making low profit customers more profitable of terminating them.
    • 37  Focusing disproportionate effort on high value customers. The below given table lists the main differences between mass marketing and one-to-one marketing. Don Peppers and Martha Rogers laid some of the groundwork for customer relationship marketing in their book, the one-to-one future. Peppers and Rogers used a four-step framework for one-to-one marketing: o Identify your prospects and customers. Do not go after everyone. Differentiate customers of the basis of their needs and their value to your company. As for customer value, companies should spend proportionately more efforts on their most valuable customers (MVCs). This Table showing mass marketing and one-to-one marketing Mass Marketing One-to-One Marketing Average customer Individual customer Customer anonymity Customer profile Standard product Customized market offering Mass production Customized production Mass distribution Individualized distribution Mass advertising Individualized message Mass promotion Individualized incentives One-way message Two-way message Economies of scale Economies of scope Share of market Share of customer All customers Profitable customers Customer attraction Customer retention
    • 38 3.3CUSTOMER MARKETS The primary focus of marketing was and remains on the customer . More recently there has Been changing emphasis in the focus of marketing from transactional marketing, that emphasis in the focus of marketing from transactional marketing, that emphasis the individual sale, to relationship marketing which emphasis on long term relationship. The greater part of most companies marketing activities are directed at seeking new customer and to ensure that the ongoing marketing activities are directed at existing customers By placing too much focus on marketing activities directed at new customer, companies often experience the “leaking bucket effect”, where customer are lost because of insufficient marketing activity generally, and customer service specifically , is been directed to them. Too many companies, having secured a customer order then turn their attention to new customers without understanding the importance of maintaining the relationship with existing customers. Table: Customer Relationship Marketing Ladder Partners Emphasis on emphasis on Advocate developing and enhancing new customers Supporter relationship (customer keeping) (customer Client catching ) Customer Prospect
    • 39 The Customer Relationship Marketing Ladder Of Customer Loyalty : The above figure shows customer relationship-marketing ladder of customer loyalty. This suggests that too many firms over emphasize the identification of customers and focus on trying to convert them into customers. By contrast little or no emphasis is laid on generating repeat customers. The objective of relationship marketing is to turn new customers into regularly purchasing customers, and progressively move them through being strong supporters of the company and its products and finally to being active and vocal advocates of company thus playingAn important role as referral source. Customer service has a pivotal role to play in achieving this progression up the ladder of customer loyalty. It should be obvious that the traditional marketing mix elements of product, price, place and promotion are the principle elements like customer service, people and process are those used to move the customer into clients, supporters and ultimately advocates for a company‟s product and services. 3.4 EVOLUTION OF CUSTOMER RELATIONSHIP MARKETING STAGE 1 : Product Focus In the early stages of the cycle, the leading supplier has products or services that are significantly better than those of its competitors. customers are happy enough to obtain them. It gains share and profitability. No matter how the other companies try to compensate for the product or service weakness by relationship management, they will lose. Stage 2 : Customer focus The high profits earned now attract competition, so several other companies begin offering a similar product or service. Competition intensifies in the areas
    • 40 of features and price. Companies try to maintain differentiation through the feature mix and through branding. In customer markets, advertising expenditure increases dramatically. Stage 3 : Full customer focus Initially, customer service focuses on aspects such as product maintenance or customer training. Eventually it moves to the area of customer care. Here the aim is to ensure that the benefits from the products or services are delivered reliably from the first point of contact. This is not quite customer relationship marketing, since the customer may still be approached by the same organisation in a different guise with an attempt to sell the same product ! Stage 4 : Full Relationship Marketing After branding and customer service the supplier must aim to manage all aspects of their relationship with customers in a co-ordinated way. It is now important to recognise that diversity in relationships the customer must be given due importance. Stage 5 : Enterprise Relationship Management The relationship management now has to permit everything that enterprise does. Observing customers closely, or working directly with them to address their needs and requirements.
    • 41 3.5 CUSTOMER DATABASE AND DATABASE MARKETING The point is to know the customer. And in order to know the customer, the company store the information in a customer database marketing: A customer database is an organized collection of comprehensive information about individual customers or prospects that is current, accessible and actionable for such marketing purposes as lead generation, lead qualification, sale of product or service, or maintenance of customer. Relationships Database marketing is the process of building, maintaining and using customer database and other database (products, suppliers and resellers) for the purpose of contacting, transacting and building relationships. Many companies confuse a customer mailing list with a customer database. A customer mailing list is simply a set of names, addresses, and telephone numbers. A customer database contains much more information; companies accumulate this information through customer transaction, telephone queries, cookie information and information from every contact with customer (a touch point). A customer database ideally would contain the customer‟s past purchase, demographics (age, income, family members, birthdays), psychographics (activities, interests and opinion),mediagraphics (preferred media), and other useful information. For example, the catalog company Fingerhut possesses some 1,400 pieces of information about each of the 30 million household in its massive customer database. The royal bank of Canada has individual data on its 9 million customers and is able to model the lifetime value of individual customers, their potential interest in different offerings. Tomer cost is too high in relation to the total customer value Caterpillar delivers. If it is, the buyer might choose the komatsu tractors. Buyer will buy from whichever source he thinks will deliver highest perceived customer value. Now let use this decision making theory to help caterpillar succeed in selling to this buyer. Caterpillar can improve its offers in 3 ways. First it can increase total customer value by improving product, services, personnel, image benefits. Second, it can reduce the buyer‟s no monetary cost by
    • 42 reducing the time, energy, and psychic. Third, it can reduce its product‟s monetary cost to the buyer. Suppose caterpillar concludes that the buyer sees its offer as worth $20,000.Further, suppose caterpillar‟s cost of producing the tractor is $14,000. This means that caterpillar‟s offer potentially generates $6,000 over the company‟s cost, so caterpillar needs to charge between $14,000 and $20,000. If it is charged less than $14,000 it won‟t cover its cost; if it is charges more than $20,000, it will price itself out of the market. The price caterpillar chargers will determine how much value will be delivered to buyer and how much will flow to caterpillar. For example, if caterpillar charges $19,000, it is creating $1,000 of customer perceived value and keeping $5,000 for itself. The lower caterpillar sets its price, higher the customer perceived value, higher customer‟s incentive to purchase. To win the sale caterpillar must offer more customers perceived value then komatsu does. Some marketers might argue that the process we have described is too rational. Suppose the customer chose komatsu tractor. How can we explain this choice? Here are three possibilities: 1. The buyer might be under orders to buy at lowest cost. The caterpillar‟s salesperson task is to convince buyer‟s manager that buying on price alone will result in lower long-term profits. 2. The buyer will retire before the company realizes that the komatsu tractor is more expensive to operate. He is maximizing personal benefits as decision will look good in short run The caterpillar salesperson‟s task is to convince other people in buyer company that caterpillar delivers greater customer value. 3. The buyer enjoys a long term friendship with komatsu sales person. In this case, caterpillar salesperson needs to show the buyer that the komatsu tractor will draw complaints from the tractor operators when they discover its high fuel cost and need for frequent repairs.The point of these examples is clear: buyers operate under different constraints and occasionally take choices which give
    • 43 more weight to their personal benefits than to company‟s benefit. However, customer perceived value is a useful framework that applies to many situationsand yields rich insights. Here are it implications: First , the seller must assess the total costumer value and customer cost associated which each customer‟s offer in order to know how his or her offer rates in buyer‟s mind . Second, the seller who is at a customer perceived value disadvantage has two alternatives: to increase total customer value or to decrease total customer cost. 3.6TOTAL CUSTOMER SATISFACTION Whether the buyer is satisfied after purchase depends on the offer‟s performance in relation to the buyer‟s expectations. In general, satisfaction is a person‟s feeling of pleasure or disappointment resulting from comparing a product‟s perceived performance (or outcome) in relation to his or her expectations. If the performance falls short of expectations. The customer is dissatisfied. It performance matches the expectation, the customer is satisfied. If the performance exceeds the expectation, the customer is highly satisfied. The link between customer satisfaction and customer loyalty is not proportional. Suppose customer satisfaction is rated on a scale from one to five. At a very low level of customer satisfaction (say one) customer will are likely to abandon the company and vice versa. Another set of bargaining tactics are responses intended to deceive, distort or otherwise influence the bargaining. What tactics should be used when other side uses a take it or leave it tactics or seats the other party on side of the table with the sun in his eyes? A negotiator should recognise the tactics, raise the issue explicitly, and question the tactic‟s legitimacy and desirability – in other words, negotiate over it. negotiating fails, the company should resort to its BANTA and terminate the negotiations until the other
    • 44 party ceases to employ these tactics. Meeting such tactics with defending principles is more productive than counterattacking with tricky tactics. CUSTOMER RELATIONSHIP MANAGEMENT (CRM): THE KEY The key aim of customer relationship management (CRM) is to produce higher customer equity. Customer equity is the total of discounted lifetime value of all the firm‟s customers. Clearly, more loyal the customers, higher the customer equity. Rust, zeithaml, and Lemon distinguished three drivers of customer equity: 1. Value equity is the customer‟s objective assessment of the utility if an offering based on perceptions of its benefits relative to its costs. The sub-drivers of value equity are quality price and convenience. Each industry has to define a specific factors underlying each sub drivers in order to find programs to improve value equity. An airline passenger might define quality as sear width; a hotel guest might define quality as room size. Value equity makes the biggest to customer equity when products are differentiated and when they are more complex and need to be evaluated. Value equity specially drive when they are more complex and need to be evaluated. Value equity especially drives customer equity in business market. 2. Brand equity is the customer‟s subjective and intangible assessment of the brand, above and beyond its objectively perceived value. The sub drivers of brand equity are customer brand awareness, attitude towards the brand and perception of brand ethics. Companies use advertising, public relations and other communication tools to affect these sub drivers. Brand equity is more important than the other drivers of customer equity where products are less differentiated and have more emotional impact. 3. Relationship equity is the customer‟s tendency to stick with the brand, above and beyond objective and subjective assessment of its worth. Sub drivers of relationship equity include loyalty programs, special recognition and treatment programs, community building programs and knowledge-building programs.
    • 45 Relationship equity is especially important where personal relationship count for a lot and where the customers tend to continue with the suppliers out of habit or inertia. This formulation integrates value management, brand management and relationship management within a customer-centred focus. Companies can decide which factors to strengthen for the best payoff. The researcher believes that they can measure and compare the financial return of alternative investments. Companies now have a better framework for choosing strategies and action based on which would provide the best returns on marketing investments. The starting point is everyone who might conceivably buy the product or service. From these the Company determines the most likely prospects, which it hopes to convert into first-time customers and then into repeat customers and then into client-people whom the company treats very specially and knowledgeably. The next challenge i to turn clients into members by starting membership programs which offer benefits to the customer who join and then into advocates, customers who enthusiastically recommend the company and its products and services and others. The ultimate challenge is to turn advocates into partners. Some customers inevitably become inactive or drop out. The challenge is to reactivate dissatisfied customers through win back strategies. It is often easier to retract ex customers (because companies know their name and history) than to find new ones. The key is to analyze the causes of customer detection through exit interviews and lost customer surveys. The aim is to win back those customers who have strong profit potential.
    • 46 How much a company should invest in building loyalty so that the costs do not exceeds the gain? We need to distinguish five different levels of investmentIncustomer relationship building: 1. Basic marketing:the salesperson simply sells the products. 2. Reactive marketing: the salesperson sells the product and encourages the customer to call if he or she has questions, comments or complaints. 3. Accountable marketing: the salesperson phones the customer to check whether the product is meeting the expectation. The salesperson also asks the customer for any product improvement suggestion and any specific disappointments. 4. Proactive marketing: the salesperson contacts the customer from time to time with suggestion about improved product uses or new products. 5. Partnership marketing: the company works continuously with its large customers to help improve their performance. More company practise only basic marketing when their markets contain many customers and their unit profit margins are small. Whirlpool is not going to phone each buyer to express appreciation. At best, it may set up a customer hot line. At the other extreme, in markets with few customers and high profit margins, most sellers will move towards partnership marketing. Sellers may also use proactive marketing when it need to suggest customers about their new and improved product through the salesperson. When the number of buyer is less, the seller may also go for accountable marketing which is more personalised. In accountable marketing the salesperson phones the buyer to check whether the product is meeting their expectation and they also take suggestion from buyer for the improvement.
    • 47 3.7 LEVELS OF RELATIONSHIP MARKETING LEVELS high margin medium margin low margin Many customers / accountable reactive basic or Distributors reactive Medium no. of proactive accountable reactive Customers/distributors few customers / partnership proactive accountable Distributors As the figure shows, the likely level of relationship marketing depends upon the number of customers and the profit margin level The best relationship marketing going on today is driven by technology. GE plastics could not target its e-mail effectively to different customers if it were not for advances in database software. Dell computer could not customize computer ordering for its global corporate customers without advances in web technology. Companies are using e-mail, websites, call centres, database software to foster continuous contact person what to do. It would list the kind of documents needed by police and by the hospital, suggest the name of reliable medical and legal professionals and list reputable care rental firms and repair shops in customer‟s area. Claims form would be available to full out on the website. The claims adjuster, when he visits the driver, can use handheld mobile computing device and digital camera to photograph the damage, send a
    • 48 streaming video back to headquarters, get approval and print out a cheque for repairing the car on the spot. Chapter: 4 Research Methodology
    • 49 RESEARCH DESIGN 4.1 TITLE OF THE STUDY “A study on customer relationship management with special reference to PropTiger”. 4.2 STATEMENT OF THE PROBLEM Real estate is relatively a large concept and thus involves colonial volumes in terms of customer and fund. To successfully cater to such large spectrum of customers it is essential that this product is handled with utmost professionalism and essentially within a well define set of guidelines. So the present study is made to know how efficiently PropTiger is managing to cater to the needs of the potential customer of the real estate customer. 4.3 OBJECTIVES OF THE STUDY Objectives of the study undertaken are :- 1. To know CRM in real estate sector. 2. To understand how organizations can manage to play a healthy competition. 3. To know whether CRM techniques are employed or not at PropTiger. 4. To know how CRM plays a vital role for overall improvement and efficiency at operations in the organization (PropTiger). 5. To know whether CRM improve organisation profitability or not.
    • 50 4.4 SCOPE OF THE STUDY The study is limited to customer of PropTiger only. The study pertains to the PropTiger real estate service. The study was conducted to analyse the customer satisfaction towards PropTiger real estate services. 4.5 RESEARCH METHODOLOGY 4.5.1 TYPE OF RESEARCH The type of research used here is exploratory research. Structured close ended and open ended questionnaire were used as a search instrument. 4.5.2 SOURCES OF DATA Data was collected from two sources namely primary source and secondary source. PRIMARY DATA: Primary data was collected by doing interviews with the customers of PropTiger at in Bangalore. SECONDARY DATA: Secondary data was collected by web-sites, call centre leads etc. working on the existing database of the organization. 4.5.3 TOOLS AND TECHNIQUES OF DATA COLLECTION All the question in the questionnaire were according to the objectives of the research. In the questionnaire the open-ended question and multiple choice questions were used.
    • 51 4.5.4 SAMPLE DESIGN In this research study , the population comprise of the customers of PropTiger, Bangalore. The numbers of customer surveyed were 100 in total. 4.6 operational definitions of the concept 1. CRM: Customer Relationship Management “it is comprehensive set of process and technology for managing the relationship with potential and current customers and business partners across marketing, sales and service regardless of the communication channel”. “customer relationship management is a comprehensive strategy and process of acquiring, retaining and partnering with selective customers to create superior value for the customer.” 2. Satisfaction- Satisfaction is a personal feeling of pleasure or disappointment resulting from comparing a product perceived performance in relation to his/her outcome. 3. Consumer Behaviour-All psychological, social and physical behaviour of potential customers as they become aware of purchase, consumes and tells others about the product. 4. Product-Product is anything that can be offered to the market for attention, acquisition, use or consumption that may satisfy needs or want. A product can be physical product like automobile, a service like hotel etc. 5. Value-A customer value is bundle of benefits customer expects from a given product or service. 6. HNI-High network individual account.
    • 52 4.7 REFERENCE PERIOD The study period covered in this research is for 2 months 4.8 LIMITATIONS OF THE STUDY: 1. The study was restricted to PropTiger customers only. 2. Sample size was restricted due to time constraint. 3. Some customers were reluctant to give detailed information about their purchase. 4. Data given by respondents are limited to their own attitude, perceptions, knowledge, feeling and awareness.
    • 53 CHAPTER :5 DATA ANALYSIS AND INTERETATION OF THE STUDY
    • 54 5.0 DATA ANALYSIS AND INTERPRETATION TABLE 5.1 TABLE SHOWING WHAT TYPE OF USE THE CUSTOMER OF PROPTIGER IS INTERESTED IN (n = 100) Types of no. of Percentage Accounts respondents Personal or End Use 80 80.00% Investment 20 20.00% (source: primary data) ANALYSIS From the above table it can be analysed that majority i.e. 80.00% of the respondents purchase property for end use whereas 20.00% of the respondents purchase property for the purpose of investment.
    • 55 GRAPH – 4.1 GRAPH SHOWING TYPE OF USE THE CUSTOMER OF PROPTIGER IS INTERESTED IN. Inference From the above table and analysis it can be inferred that the majority of the respondents buys property for end use from PropTiger. 0% 10% 20% 30% 40% 50% 60% 70% 80% end use investment 80% 20% percentage types of use
    • 56 TABLE 4.2 TABLE SHOWING THE LAST TIME WHEN CUSTOMER GOT ENGAGED IN BUSINESS WITH PROPTIGER. ( n = 100 ) Time Span No. Of Respondents Percentage 0 - 6 Months 50 50% 6 – 12 Months 30 30% Greater than 12 Months 20 20% TOTAL 100 100% (source : primary data ) ANALYSIS The above table shows that 50% of the respondents did last business with PropTiger within 6 months, 30% of the respondents did last business with PropTiger in the time span of 6 – 12 months whereas 20% of the respondents did business with PropTiger more than a year ago.
    • 57 GRAPH – 4.2 GRAPH SHOWING THE LAST TIME WHEN CUSTOMER GOT ENGAGED IN BUSINESS WITH PROPTIGER INFERENCE From the above table and analysis it can be inferred that half of the respondents did business with PropTiger within the time span of 6 months. 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 0 - 6 months 6 - 12 months greater than 12 months 50% 30% 20% percentage last business
    • 58 TABLE 4.3 TABLE SHOWING NUMBER OF TIMES THE RESPONDENT HAS DONE BUSINESS WITH PROPTIGER. ( n = 100 ) Number of Business Deals No. Of Respondents Percentage Single 40 40% Twice – Thrice 45 45% Greater Than Thrice 15 15% TOTAL 100 100% (source : primary data ) ANALYSIS The above table shows that 45% of the respondents have done business with PropTiger more than once but less than four times. 35% of them did single business deal with PropTiger and the remaining 15% of them did business four times or more with PropTiger.
    • 59 GRAPH – 4.3 GRAPH SHOWING NUMBER OF TIMES THE RESPONDENT HAS DONE BUSINESS WITH PROPTIGER. INFERENCE From the above table and analysis it can be inferred that more than half of the respondents did business with PropTiger more than once. 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% single twice to thrice greater than thrice 40% 45% 15% percentage frequency
    • 60 TABLE 4.4 TABLE SHOWING BARRIERS FACED WHILE DOING BUSINESS WITH PROPTIGER. (N = 100) PROBLEMS NO. OF RESPONDETNS PERCENTAGE Negligence By Staffs 02 02% High Charges 08 08% Lack of Additional Services 05 05% I Was Satisfied 80 80% Other 05 05 % Total 100 100% (SOURCE: PRIMARY DATA) ANALYSIS: From the above table it can be analyzed that 80% of the respondents are satisfied with the services of PropTiger. 08% faced the problem of high charges, 05% of the respondents think there is lack of additional services, another 05% faced other problems, while 02% of the respondents faced problems relating to negligence by staffs.
    • 61 GRAPH 4.4 GRAPH SHOWING BARRIERS FACED WHILE DOING BUSINESS WITH PROPTIGER. INFERENCE: from the above table it can be analyzed that most of the respondents didn‟t face any problem as such and were satisfied by the offerings of PropTiger. 0% 10% 20% 30% 40% 50% 60% 70% 80% negligence by staff high charges lack of additional services I was satisfied other 2% 8% 5% 80% 5% percentage problems
    • 62 TABLE 4.5 TABLE SHOWING THE AWARENESS OF THE RESPONDENTS REGARDING OTHER SERVICES OF PROPTIGER. ( n = 100 ) Awareness Of Services No. Of Respondents Percentage Resales Services 50 50% NRI Services 30 30% Not Aware 20 20% TOTAL 100 100% ( source : primary data ) ANALYSIS From the above table and analysis it can be analysed that 50% of the respondents were aware of the resales services of PropTiger whereas 30% of the respondents were aware of the NRI services and 20% of the respondents were not aware of any of the services.
    • 63 GRAPH –4.5 GRAPH SHOWING THE AWARENESS OF THE RESPONDENTS REGARDING OTHER SERVICES OF PROPTIGER. INFERENCE From the above table and analysis it can be inferred that majority of the respondent were aware of the services i.e. resales services & NRI services but few of the respondents were not at all aware of the service offered by PropTiger. 0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 30.00% 35.00% 40.00% 45.00% 50.00% resales services NRI services None 50.00% 30% 20% percentage type of services
    • 64 TABLE 4.6 TABLE SHOWING PERCEPTION OF CUSTOMER WITH RESPECT TO PROPTIGER’S TIE-UP WITH BUILDERS & FINANCIAL INSTITUTIONS. . ( n = 100 ) Proper Tie-Up No. Of Respondents Percentage Yes 90 90% No 10 10% TOTAL 100 100% ( source : primary data ) ANALYSIS The above table shows that a majority i.e. 90% of the respondents feels that PropTiger has satisfactory level of tie-up with builders and other financial institutions whereas 10% respondent believe that the level of tie-up is not up to the mark.
    • 65 GRAPH – 4.6 GRAPH SHOWING PERCEPTION OF CUSTOMER WITH RESPECT TO PROPTIGER’S TIE-UP WITH BUILDERS & FINANCIAL INSTITUTIONS. INFERENCE From the above table and analysis it can be inferred that majority of the respondents feels that PropTiger has satisfactory level of tie-up with builders and other financial institutions. 0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00% 70.00% 80.00% 90.00% yes no 90.00% 10% percentage proper tie-up
    • 66 TABLE - 4.7 TABLE SHOWING SATISFACTION LEVEL OF RESPONDENTS TOWARDS THE SERVICES OFFERED BY PROPTIGER. ( n = 100 ) Satisfaction Level No. Of Respondents Percentage Excellent 14 14% Good 56 56% Satisfactory 28 28% Average 02 2% Below Average 00 0% TOTAL 100 100% ( source : primary data) ANALYSIS From the above table it can be analyzed that an majority i.e. 56% of the respondents have an good overview regarding the services offered by PropTiger. 28% of the respondents have a satisfactory review and 14% of them have an excellent review about the services offered by PropTiger. 2 % of them revealed that it is average and none of them said that it is below average.
    • 67 GRAPH - 4.7 GRAPH SHOWING SATISFACTION LEVEL OF RESPONDENTS TOWARDS THE SERVICES OFFERED BY PROPTIGER. ( n = 50 ) ( source : primary data ) INFERENCE From the above table and analysis it can be inferred that more than half of the respondents were satisfied with the services offered byPropTiger. Only some of the respondents felt that the services should be improved. 0% 10% 20% 30% 40% 50% 60% Excellent Good Satisfactory Average Below Average 14% 56% 28% 2% 0% percentage satisfaction level
    • 68 TABLE – 4.8 TABLE SHOWING FACTORS WHICH IMPRESSED THE RESPONDENTS ABOUT PROPTIGER. ( n = 100 ) FACTORS NO. OF RESPONSES PERCENTAGE Staff 20 20% Services 25 25% Quality of Inventory 30 30% Post Sales Services 20 20% Other 05 05% Total 50 100% ( Source : primary data ) ANALYSIS From the above table it can be analyzed that most of the respondents i.e. 30% of them were impressed about the quality of inventory of PropTiger whereas 25% were impressed by the service of PropTiger and 20% of the respondents were impressed by the staff members & post sales services of PropTiger. 5% of them were impressed with other services of PropTiger.
    • 69 GRAPH - 4.8 GRAPH SHOWING FACTORS WHICH IMPRESSED THE RESPONDENTS ABOUT PROPTIGER. INFERENCE From the above table and analysis it can be inferred that most of the respondents were impressed about the quality of inventory provided by PropTiger. 0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 30.00% staff services quality of inventory post sales services other 20.00% 25.00% 30% 20.00% 5% percentage features
    • 70 TABLE – 4.9 TABLE SHOWING SOURCES THROUGH WHICH THE CUSTOMER CAME TO KNOW ABOUT THE SERVICES OF PROPTIGER. ( N = 100 ) SOURCE NO. OF RESPONDENTS PERCENTAGE PRINT MEDIA 40 40% ELECTRONIC MEDIA 30 30% FRIENDS AND RELATIVES 20 20% OTHERS 10 10% TOTAL 50 100% (source : primary data) ANALYSIS From the above table it can be analyzed that most of the respondents, i.e. 40% of them came to know about the services of PropTiger through print media. 30% of the respondents got the knowledge of the services of PropTiger through electronic media. 20% of the respondents got the information of services of PropTiger through their friends and relatives. 10% of the respondents got to know about the services of PropTiger through other sources.
    • 71 GRAPH – 4.9 GRAPH SHOWING SOURCES THROUGH WHICH THE CUSTOMER CAME TO KNOW ABOUT THE SERVICES OF PROPTIGER. INFERENCE From the above table it can be analyzed that most of the customer came to know about the services of PropTiger through Print Media. 0% 5% 10% 15% 20% 25% 30% 35% 40% Print Media Electronic Media Friends And Relatives Others 40% 30% 20% 10% percentage source
    • 72 TABLE – 4.10 TABLE SOWING WHETHER THE RESPONDENTS WOULD SUGGEST PROPTIGER TO THEIR FRIENDS AND RELATIVES. ( N = 100 ) SUGGESTION NO. OF RESPONDENTS PERCENTAGE YES 90 90% NO 04 4% MAYBE 06 6% TOTAL 100 100% ( SOURCES : PRIMARY DATA ) ANALYSIS From the above table it can be analyzed that most that most of respondents, i.e. 90% of the respondents would suggest PropTiger to their friends and relatives. 6% of the respondents may or may not suggest PropTiger to their friends and relatives. 4% of the respondents will not recommend PropTiger to their friends and relatives.
    • 73 GRAPH – 4.10 GRAPHG SOWING WHETHER THE RESPONDENTS WOULD SUGGEST PROPTIGER TO THEIR FRIENDS AND RELATIVES. INFERENCE From the above table it can be analyzed that most of the respondents would recommend PropTiger to their friends and relatives. 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% Yes No Maybe 90% 4% 6% percentage suggestion
    • 74 TABLE – 4.11 TABLE SHOWING SATISFACTION OF THE CUSTOMER WITH RESPECT TO THE QUALITY AND BEHAVIOUR OF THE STAFF MEMBERS OF PROPTIGER. (N=100) SATISFACTION LEVEL NO. OF RESPONEDENTS PERCENTAGE HIGHLY SATISFIED 60 60% SATISFIED 34 34% NOT SATISFIED 06 6% TOTAL 100 100% ( SOURCE: PRIMARY DATA) ANALYSIS From the above table it can be analyzed that most of the respondents, i.e. 60% of the respondents were highly satisfied with the staff members of PropTiger. 34% of the customers are satisfied with the staff member of PropTiger. 6% of the respondents were not satisfied with the staff member of PropTiger.
    • 75 GRAPH - 4.11 GRAPH SHOWING SATISFACTION OF THE CUSTOMER WITH RESPECT TO THE QUALITY AND BEHAVIOUR OF THE STAFF MEMBERS OF PROPTIGER. INFERENCE From the table it can be analyzed that most of the respondents were highly satisfied with the staff members of PropTiger. 0% 10% 20% 30% 40% 50% 60% 70% HIGHLY SATISFIED SATISFIED NOT SATISFIED 60% 34% 6% percentage satisfaction level
    • 76 TABLE – 4.12 TABLE SHOWING SATISFACTION LEVEL WITH RESPECT TO DOCUMENTATION & PAPERWORK OF PROPERTY IS TAKEN CARE BY PROPTIGER. ( N = 100 ) Satisfaction level no. of respondents percentage Excellent 60 60% Good 20 20% Average 16 16% Poor 04 4% Total 100 100% ( source : primary data ) ANALYSIS From the above table it can be analysed that 60% of the respondents rated the documentation and paperwork handling of the PropTiger as excellent. 20% rated it as good. 16% rated the documentation and paperwork handling of PropTiger as average whereas 2% rated it as poor.
    • 77 GRAPH – 4.12 GRAPH SHOWING SATISFACTION LEVEL WITH RESPECT TO DOCUMENTATION & PAPERWORK OF PROPERTY IS TAKEN CARE BY PROPTIGER. ANALYSIS From the above table it can be analyzed that most of the respondents rated the paperwork and documentation handling service of PropTiger with respect to property as excellent. 0% 10% 20% 30% 40% 50% 60% 70% Excellent Good Average Poor 60% 20% 16% 4% percentage satisfaction level
    • 78 TABLE - 4.13 TABLE SHOWING SATISFACTION LEVEL OF RESPONDENTS WITH RESPECT TO SPEED OF THE OPERATION AT PROPTIGER. ( N = 100 ) SATISFACTION LEVEL NO. OF RESPONDETS PERCENTAGE HIGHLY SATISFIED 56 56% SATISFIED 40 40% NOT SATISFIED 04 4% TOTAL 100 100% ( source : primary data ) ANALYSIS From the above table it can be analyzed that most of the respondents, i.e. 56% of the respondents are highly satisfied with the speed of operation at PropTiger. 40% of the respondents were satisfied with the speed of the operation and 4% of the respondents were not satisfied by the speed of operation.
    • 79 GRAPH - 4.13 GRAPH SHOWING SATISFACTION LEVEL OF RESPONDENTS WITH RESPECT TO SPEED OF THE OPERATION AT PROPTIGER INFERENCE From the above table it can be analyzed that most of the respondents were highly satisfied with the speed of operation at PropTiger. 0% 10% 20% 30% 40% 50% 60% Highly Satisfied Satisfied Not Satisfied 56% 40% 4% percentage satisfaction level
    • 80 TABLE - 4.14 TABLE SHOWING SATISFACTION LEVEL OF RESPONDENTS WITH RESPECT TO DISCHARGE OF SOCIAL OBLIGATION BY PROPTIGER. ( N = 100 ) SATISFACTION LEVEL NO. OF RESPONDENTS PERCENTAGE HIGHLY SATISFIED 60 60% SATISFIED 32 32% NOT SATISFIED 08 8% TOTAL 100 100% ( SOURCE : PRIMARY DATA) ANALYSIS From the above table it can be analyzed that 60% of the respondents were highly satisfied by the way PropTiger discharges its social obligation. 32% of the respondents were satisfied by the way PropTiger discharged its social obligation and 8% of respondents were not satisfied by the way PropTiger discharged its social obligation.
    • 81 GRAPH - 4.14 GRAPH SHOWING SATISFACTION LEVEL OF RESPONDENTS WITH RESPECT TO DISCHARGE OF SOCIAL OBLIGATION BY PROPTIGER. INFERENCE From the above table it can be analyzed that most of the respondents were highly satisfied by the way PropTiger discharges its social obligation. 0% 10% 20% 30% 40% 50% 60% 70% Highly Satisfied Satisfied Not Satisfied 60% 32% 8% percentage satisfaction level
    • 82 TABLE - 4.15 TABLE SHOWING SATISFACTION LEVEL OF RESPONDENTS TOWARDS COMPLAINT REDRESSAL AGENCY OF PROPTIGER. ( N = 100 ) SATISFACTION LEVEL NO. OF RESPONDENTS PERCENTAGE EXCELLENT 40 40% GOOD 36 36% AVERAGE 16 16% BELOW AVERAGE 08 8% TOTAL 100 100% ( SOURCE : PRIMARY DATA ) ANALYSIS From the above table it can be analyzed that most of the respondents, i.e. 40% rated complaint redressal agency of PropTiger as excellent, 36% of the respondents rated redressal methods of PropTiger as good. 16% of the respondents rated it as average and 8% of the respondents rated the complaint redressal agency of PropTiger as below average.
    • 83 GRAPH - 4.15 GRAPH SHOWING SATISFACTION LEVEL OF RESPONDENTS TOWARDS COMPLAINT REDRESSAL AGENCY OF PROPTIGER. INFERENCE From the above table it can be analyzed that most of the respondents rated the complaint redressal agency of PropTiger as excellent. 0% 5% 10% 15% 20% 25% 30% 35% 40% excellent good average below average 40% 36% 16% 8% percentage satisfaction level
    • 84 TABLE - 4.16 TABLE SHOWING WHETHER THE QUERIES OF RESPONDETS WERE ENTERTAINED PROPERLY. (N = 100) TOLL FREE NUMBER NO. OF RESPONDENT PERCENTAGE YES 95 95% NO 05 05% TOTAL 100 100% (SOURCE: PRIMARY DATA) ANALYSIS From the above table it can be analyzed that most of the respondents, i.e. 95% of the respondents were satisfied by the way in which their queries were addressed whereas 05% of the respondents did not feel that their queries were addressed efficiently at PropTiger.
    • 85 GRAPH - 4.16 GRAPH SHOWING WHETHER THE QUERIES OF RESPONDETS WERE ENTERTAINED PROPERLY. ANALYSIS From the above table it can be analysed that most of the respondents were satisfied by the way in which their queries were handled. 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% YES NO 95% 5% PERCENTAGE REPONSE
    • 86 TABLE - 4.17 TABLE SHOWING WHETHER RESPONDENTS HAVE BRAND LOYALTY TOWARDS PROPTIGER. (N=100) BRAND LOYALTY NO. OF RESPONDENTS PERCENTAGE YES 96 96% NO 04 4% OTHERS 100 100% (source: primary data) ANALYSIS: From the above table it can be analyzed that most of the respondents, i.e. 96% of them have a brand loyalty towards services rendered by PropTiger. Whereas 4% of them do not have brand loyalty towards services of PropTiger.
    • 87 GRAPH - 4.17 GRAPH SHOWING WHETHER RESPONDENTS HAVE BRAND LOYALTY TOWARDS PROPTIGER. INFERENCE: From the above table it can be analyzed that most of the respondents have brand loyalty towards services of PropTiger. 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% YES NO 96% 4% PERCENTAGE RESPONSE
    • 88 TABLE - 4.18 TABLE SHOWING WHETHER RESPONDENTS ARE INFORMED ABOUT CHANGE IN SERVICES OR ABOUT NEW SERVICES ON TIME. (N=100) BRAND LOYALTY NO. OF RESPONDENTS PERCENTAGE YES 90 90% NO 10 10% OTHERS 100 100% (source: primary data) ANALYSIS: From the above table it can be analysed that most of the respondents, i.e. 90% of them have information regarding change in services or new services by PropTiger. Whereas 10% of them do not have brand loyalty towards services of PropTiger.
    • 89 GRAPH - 4.18 GRAPH SHOWING WHETHER RESPONDENTS HAVE BRAND LOYALTY TOWARDS PROPTIGER. INFERENCE: From the above table it can be analysed that most of the respondents are aware of new or change in services of PropTiger. 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% YES NO 90% 4% PERCENTAGE RESPONSE
    • 90 TABLE - 4.19 TABLE SHOWING WHETHER RESPONDENTS GET PROPER DISCOUNT IF THEY GO FOR BULK BOOKING. (N=100) BRAND LOYALTY NO. OF RESPONDENTS PERCENTAGE YES 80 80% NO 20 20% OTHERS 100 100% (source: primary data) ANALYSIS: From the above table it can be analysed that most of the respondents, i.e. 80% of them think that the discount is attractive if they go for bulk booking by PropTiger. Whereas 20% of them do not think the discount is attractive if they go for bulk booking by PropTiger.
    • 91 GRAPH - 4.19 GRAPH SHOWING WHETHER RESPONDENTS GET PROPER DISCOUNT IF THEY GO FOR BULK BOOKING. INFERENCE: From the above table it can be analysed that most of the respondent think they get proper discount if they go for bulk purchase by PropTiger. 0% 10% 20% 30% 40% 50% 60% 70% 80% YES NO 80% 10% PERCENTAGE RESPONSE
    • 92 TABLE - 4.20 TABLE SHOWING WHETHERTHE CHARGES OF PROPTIGER IS NOMINAL WHEN COMPARED TO THE COMPETITORS PRICE. (N=100) BRAND LOYALTY NO. OF RESPONDENTS PERCENTAGE YES 70 70% NO 30 30% OTHERS 100 100% (source: primary data) ANALYSIS: From the above table it can be analysed that most of the respondents, i.e. 70% of them think that the Charges of PropTiger is nominal when compared to its competitors. Whereas 30% of them do not think the charges of PropTiger is nominal compared to its competitors.
    • 93 GRAPH - 4.20 GRAPH SHOWING WHETHER THE CHARGES OF PROPTIGER IS NOMINAL WHEN COMPARED TO THE COMPETITORS PRICE. INFERENCE: From the above table it can be analysed that most of the respondents think that the Charges of PropTiger is nominal when compared to its competitors. 0% 10% 20% 30% 40% 50% 60% 70% YES NO 70% 30% PERCENTAGE RESPONSE
    • 94 TABLE - 4.21 TABLE SHOWING WHETHER THE RESPONDENTS PREFER TOLL FREE NUMBER WITH PROPTIGER. (N=100) BRAND LOYALTY NO. OF RESPONDENTS PERCENTAGE YES 90 90% NO 10 10% OTHERS 100 100% (source: primary data) ANALYSIS: From the above table it can be analysed that most of the respondents, i.e. 90% of them feels the need for toll free number with PropTiger. Whereas 10% of them do not think there is a need for toll free number with PropTiger.
    • 95 GRAPH - 4.21 GRAPH SHOWING WHETHER THE RESPONDENTS PREFER TOLL FREE NUMBER WITH PROPTIGER. INFERENCE: From the above table it can be analysed that most of the respondents prefer to have a toll free number with PropTiger. 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% YES NO 90% 10% PERCENTAGE RESPONSE
    • 96 Chapter 6: FINDINGS, SUGGESTIONS AND CONCLUSION
    • 97 6.1 SUMMARY OF FINDINGS The findings are based on the interaction with the present customer i.e. HNI customer held during the study. 1. It was found that majority of the respondents bought property for end use from PropTiger. 2. Majority of the respondents engaged in business with PropTiger more than once. . 3. Most of respondents are aware of the other services of PropTiger like Re-Sales and NRI Services. 4. Most of the respondents feel that PropTiger has good network tie-ups with builders & financial institutes. 5. Most of the respondents have a good review regarding the services offered by PropTiger. 6. Most of the respondents would suggest Andhra Bank to their friends and relatives. 7. Most of the customers think that the speed of operation is speedy and easy at PropTiger 8. Most of the respondents think that PropTiger is discharging its social obligation in a proper way. 9. Most of the customer are with the complaint redressal agency of PropTiger. 10. Most of the customer has brand loyalty towards PropTiger.
    • 98 11. Most of the customer think that the charges of PropTiger is nominal compared to that of its competitors. 12. Most of the customer prefer toll free number with PropTiger. 6.2 SUGGESTIONS AND CONCLUSION 1. PropTiger is leading the target market with higher market share but the necessity arises in the stiff competition to stick and improve from the present position to the delight of customers. 2. The frequency of the transactions with customer are more than once but still It is the challenge to serve better compare to all other competitive real estate channel partners to increase the number of customer visit for transacting. 3. Here the market share analysis shows there is a tough competition in the market, so the need is to retain the present customer from hopping to those firms. 4. The organization can target revenue and profit centre like re-sales and NRI Sales to enhance the customer base. 5. Most of the customers are happy with the services provided and the importance of bank specially staff and quality of inventory. It is the bonding of the organization to delight them through the best possible services in a least available time.
    • 99 6.3 GENERAL RECOMMENDATIONS 1. The service should offer extra benefits to the customers. 2. The organization can think on cutting the charges slightly in order capitalize the market in a more efficient way. 3. Promotional campaign can be started area wise. 4. Clear boards and posters can be put inside the premises of some society and projects so that potential customers can be made aware of the services of PropTiger. 5. An extension mailer activity can be carried on. 6. Follow up has to be made mandatory, because regular follow up will bring in new reference from the existing relationship. 7. The organization should provide toll free numbers.
    • 100 6.4CONCLUSION PropTiger has been ranked first in the study undertaken in the purview of other competing real estate firms. This gives us a clear idea that the organization is the best in its area of service but the stress is on the expansion of customer base and increasing the number of deals by providing the best services in a least time available at economic charges. The study results show that the organization is the leader in its area but has to remain at the same position with higher revenues by expanding the customer base with new and feasible service plans which delight the customers and more important is retaining the existing customers.
    • 101 ANNEXURE BIBLIOGRAPHY 1. C.R. KOTHARI, “ RESEARCH METHODOLOGY ( Methods and techniques ) ” , 1995, WishwaPrakashan. 2. DONALD R. COOPER and PAMELA S. SCHINDLER , “ Research Methodology ” , 1999, Tata McGraw Hill. 3. SCHIFFMAN , “ CONSUMER BEHAVIOUR ” , 2000 , TATA McGraw Hill. 4. PHILIP KOTLER , “ MARKETING MANAGEMENT ” 5. COMPANY JOURNALS. INTERNET: 1. GOOGLE.COM 2. SCRIBD.COM