My mba project_iocl

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Submitted to
BY
BUDDHADEV KARMAKAR
(13/MBA/06)
UNIVERSITY ROLLS NO- 17100913004
ARYABHATTA INSTITUTE OF ENGINEERING &MANAGEMENT
(Affiliated to WBUT and approved by AICTE)

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It gives me immense pleasure, to express my unfeigned and sincere thanks and
gratitude to Mr. MANIK BISWAS SENIOR MANAGER (RS) for his
invaluable guidance during the course of the project.
I am thankful to MR SUVHAM MITRA SALES MANAGER DGP and for his
inputs and constant encouragement during my internship at IOC.
Finally, I thank department of management studies ARYABHATTA INSTITUTE
OF ENGINEERING & MANAGEMENT DURGAPUR for giving me this
wonderful opportunity to pursue my internship at IOC.
The stint at IOC was very useful in terms of gaining valuable hands on sales
experience and understanding consumer behavior.
I am also very thankful to all my respondents who took time out of their busy
schedules and helped me in caring out this project.
(Buddhadev Karmakar)

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I hereby declare that this project titled a study on “MARKETING AND
PROMOTION ON XTRA POWER FLEET CARD LOYALTY PROGRAM “is
submitted for the practical fulfillment of the course MBA under WBUT.
This is an original piece of work done by me under the guidance of Mr. MANIK
BISWAS (SENIOR MANAGER RS DURGAPUR MARKETING DIVISION INDIAN OIL
CORPORATION LIMITED) and has not been submitted for the award of any other
degree elsewhere in full of part.
Date………………………… BUDDHADEV KARMAKAR
ROLL NO- 17100913004
REG NO- 131710710004

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TOPIC PAGE
NUMBER
PROJECT SYNOPSIS 5
OBJECTIVES OF THE PROJECT 6
RESEARCH METHEDOLOGY 7
IOCL-AN INTRODUCTION 8-24
SWOT ANALYSIS OF IOCL 25-26
LOYALTY PROGRAM- AN INTRODUCTION 27-28
LOYALTY PROGRAM AT INDIAN OIL 29-32
COMPARISON OF LOYALTY CARD BENEFITSWITH
OTHER OMC
33-34
LISTS OF CUSTOMERS AND THEIR FEEDBACK 35
QUESTIONNAIRE FOR RETAILER AND
DATAFROM RETAILERS
38-43
QUESTIONNAIRE FOR CUSTOMER AND
DATAFROM CUSTOMERS
44-49
FINDINGS OF PROJECT 50
CONCLUSION 51
RECOMANDATIONS 52
BIBLIOGRAPHY 53

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Project title: - “marketing and promotion of XTRA POWER FLEET
CARD loyalty program”
Introduction to the project:
In the present world where there is intense competition, it becomes very
necessary to retain loyal customers. The commercial benefits of loyal customer
are well known by the brand managers the cost of acquiring a new customer is
always more than retaining an old customer. Loyal customer are also important
because they provide the consistency of volume critical for stocking and managing
just in time inventory to maintain the consistency of customer demand during
crisis which is required to run any retail business. There are also customers.
Which are strong advocates of brand and are always willing to forgive an
occasional lapse all of these are compelling reasons that retailers are on a quest
for customer loyalty and are increasingly looking at implementing loyalty
programs or loyalty cards of some from? With increasing oil price and
competition increasing at a rapid pace, many oil- marketing companies are finding
it difficult to operate profitable in India. Indian oil corporation ltd, is no exception
to this reality, thus to reaction its existing customer, many new imitative have
been adopted by the organization. One such big idea is extra power loyalty
program.
In this project we have been assigned IOC retail outlets, which are participating in
the extra power loyalty program, our task is to promote and sell the extra power
fleet card to the customer and at the same time obtain the customer opinions
and suggestion about loyalty program. Trapping local alliances is another aspect
of this project. At the same time, we have to check whether the retails outlets are
carrying out implementation of the loyalty program in the right way.

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The major objectives of the project are:-
 TostudytheIOCLloyaltyprograminDurgapur,asansol andnearbyregions.
 Tostudytheloyaltybetweenthelocalcustomersandthecompany.
 TostudythebenefitsprovidedbyIOCLtothelocalcustomers.
 TostudyhowIOCLtaplocalalliancepartnersforxtraPowerFleetCard.
 To obtain customer opinions and suggestions at IOC retail outlets and give
recommendations to IOC to improve the implementation of Xtra POWER
loyaltyprogram.
 To study the comparative analysis between the loyalty card benefits of other
marketing company.
 To become known to real market.
 TO gain real experience of market that how corporate persons work. How we have
tobehave,howtopresent yourself,howtomakedealswithclientsetc.
 To check our theoretical knowledge with comparison to the practical market
demands.
 Itgivesusanopportunitytoapplyourthinking,idea,knowledgeinrealmarket.
 To enhanceourskillandgainexperiencetobeatrueprofessional.
 To checkourinterpersonalskills.
 Tolearnnecessarymanagerialskillsandpositiveattitudetowardsyourwork.
 To get a flavor of Teamwork, Organizational culture, Team dynamics, result
orientation, organizationalpressure,complexitiesinachievingdesireresult.
 Tounderstandthedaytodayfunctioningof andepartmentwithintheorganization.
 And at last but not the least fir sharpen our career goals for a bright career.

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Sources of Data for Marketing Strategies:
Data that I have received for making the project is a combination of both primary and
secondarydata.
PRIMARY DATA:
The data collected through questionnaire based survey from the retailers and customers
ofDurgapur. Asansol and nearby region. The name of the retail outlets of Indian
oil from where these data arecollectedare.
 Gandhimorecoco(citycenterDurgapur)
 Budbudkawaja baba fillingcentre.
 Bidhannagar coco
 Jublieoutlet(Asansol)
 Deb filling station (surulia)
 Sitaram auto (asansol)
 Jaiswalfillingcenter(Raniganj)
Secondary data:
 Company‘sannualreports
 Company‘sjournalandmagazines
 Company‘swebsite
 Company‘sleaflets
 Company‘spamphlets
 Productsandsalesreport
Samplingplan:-
Thesamplesizeforretaileris7andthatofcustomersis200ofDurgapurasansolandnearby
region.Therespondentsarechosenthroughclustersamplinguniverseelementsarechosenin
groupratherthanindividually.Whereasconveniencesamplingisbasedonopportunism.

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Vision:
A major, diversified, trans-national, integrated energy company, with national leadership and a
strong environment conscience, playing a national role in oil security & public distribution
Global Compact Principles addressed in our MISSION statement:
 To foster a culture of participation and innovation for employee growth and contribution.
 To cultivate high standards of business ethics and Total Quality Management for a strong
corporate identity and brand equity.
 To help enrich quality of life of the community and preserve ecological balance and
heritage through a strong environment conscience.

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Mission:
 To achieve international standards of excellence in all aspects of energy and
diversified business with focus on customer delight through value of
products and services, and cost reduction.
 To maximize creation of wealth, value and satisfaction for the stakeholders.
 To attain leadership in developing, adopting and assimilating state-of- the-
art technology for competitive advantage.
 To provide technology and services through sustained Research and
Development.
 To foster a culture of participation and innovation for employee growth and
contribution.
 To cultivate high standards of business ethics and Total Quality
Management for a strong corporate identity and brand equity.
 To help enrich the quality of life of the community and preserve ecological
balance and heritage through a strong environment conscience.

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Indian Oil Corporation (IOC), established in 1959, is engaged in exploration and
production and marketing of oil. It is India’s largest company sales wise with a
turnover of Rs 2,47,479 crore ($ 59.22 billion).IOC has sub diaries namely Indian
oil Technologies, Chennai Petroleum Corporation, Bongaigaon Refinery &
Petrochemicals, Indian Oil (Mauritius) and Lanka IOC.
Out 19 refineries, IOC owns and operates 10 with a combined capacity of capacity
of 60.2 million metric tones per annum (MMTPA), i.e. 1.2 million barrels per day.
It has 166 bulk storage terminals and depots, 101 aviation fuel station and 89
Indane bottling plants.
The refining major has a countrywide network of petrol and disel stations with
17,600 retail outlets. Its Indane cooking gas network has apresence in 50 million
households through its distribution network of 5,000 distributorsIt provides
spectrum of petroleum products through its retail outlets like Xtra Care (Urban),
Swagat (Highway) and Kisan Seva Kendras (Rural).
IOC provides auto gas, aviation turbine fuel, bitumen-a binder used for road
construction, high speed diesel, bulk industrial fuels like furnance oil, Indane gas,
Servo Lubricants and greases and special products like benzene and surplur.
It has created brands like Indane LPG, Servo Lubricants, Auto gas LPG, Xtra
Premium Branded Petrol, Xtra Mile Branded Diesel, and Xtra Power Fleet Card.
IOC and GAIL have signed a memorandum of understanding for cooperation in
setting up a Rs 10,000 crore petroleum plant at Barauni in Bihar.Indian Oil
launched its lubricant brand Servo in Oman. Servo has 500 different grades and
1200 varied formulations.IOC is the highest ranked Indian company In Fortune
‘Global 500’ list. It is 18th largest petroleum company in the world. It is India’s
most trusted fuel pump brand as per the survey conducted by ET brand equity
and AC Nielsen. It has received National Award for “Innovation in Implementing
Business Continuity for SAPR/3 Environment “from the Government of India.

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Overall market share:-
MARKET SHARE IN PIPE LINE:-
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
IOCL BPCL HPCL RIL OTHERS
42%
21%
19%
6%
12%
0
5
10
15
20
25
30
35
40
45
50
IOCL ONGC HPCL BPCL
47
30
18
10

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Refining Share:-
CUSTOMER PREFERANCE: -
0%
5%
10%
15%
20%
25%
30%
35%
IOCL HPCL BPCL RIL ONGC ESSAR
31%
11%
14%
28%
7%
9%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
IOCL HPCL BPCL OTHERS
45%
20%
27%
3%
CUSTOMER PREFERENCE

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Indian Oil is not only the largest commercial enterprise in the country it is the flagship
corporate of the Indian Nation. Besides having a dominant market share, Indian Oil is widely
recognized as India‘s dominant energy brand and customers perceive Indian Oil as a
reliable symbol for highquality products andservices. Benchmarking Quality, Quantity and
Service toworld-classstandards isa Philosophythat IndianOil adheres tosoas to ensurethat
customers get a trulyglobal experience in India. Our continued emphasis is on providing fuel
management solutions to customers who can then benefit from our expertise in
efficient sourcing and least cost supplies keeping in mind their usage patterns and
inventorymanagement.
The Retail Brand template of IOC consists of Xtra Care (Urban),Swagat (Highway) and Kissan
Seva Kendra‘s (Rural). These brands are widely recognized aspioneering brands in the
petroleum retail segment. Indian Oil‘s leadership extends to its energy brands - Indane LPG,
SERVO Lubricants,AutogasLPG,Xtra PremiumBrandedPetrol,XtraMile BrandedDiesel,Xtra
Power Fleet Card, Indian Oil Aviation and Xtra Rewards cash customer loyalty program
me.
1) INDANE GAS:-
Indane is today one of the largest packed-LPG brands in the world and has been
conferred the coveted ‘consumer super brand; status by the super brands council
of India.
Having launched LPG marketing in the mid-60s Indian oil has been credited with

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bringing about a kitchen revolution spreading warmth and cheer in millions of
households with the introduction of the clean and efficient cooking fuel. It has led
to a substantial improvement in the health of women, especially in rural areas by
replacing smoky and unhealthy chulha, indane is today an ideal fuel for modern
kitchens.
With the status of an exclusive business vertical within the corporation the indane
network delivers 1.2 million cylinders a day of the doorsteps of the over 53 million
households, making Indian oil the second largest markets of LPG globally, after
SHV gas of the Netherlands, indane is available in compact 5kg cylinders for rural,
hilly and inaccessible areas, 14.2kg cylinders for domestic use, and 19 kg
and47.5kg for commercial and industrial use.
2) AUTO GAS:
Auto Gas (LPG) is a clean, high octane, abundant and eco-friendly fuel. It is
obtained from natural gas through fractionation and from crude oil through
refining. It is a mixture of petroleum gases like propane and butane. The higher
energy content in this fuel results in a 10% reduction of CO2 emission as
compared to MS.
Auto Gas is a gas at atmospheric pressure and normal temperatures, but it can be
liquefied when moderate pressure is applied or when the temperature is
sufficiently reduced. This property makes the fuel an ideal energy source for a

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wide range of applications, as it can be easily condensed, packaged, stored and
utilized. When the pressure is released, the liquid makes up about 250 times its
volume as gas, so large amounts of energy can be stored and transported
compactly. The use of LPG as an automotive fuel has become legal in India with
effect from April 24, 2000, albeit within the prescribed safety terms and
conditions. Hitherto, the thousands of LPG vehicles running in various cities have
been doing so illegally by using domestic LPG cylinders, a very unsafe practice.
Using domestic LPG cylinders in automobiles is still illegal. The fuel is marketed by
Indian Oil under the brand name ‘Auto Gas’
"Indian Oil has setup 350 Auto LPG Dispensing Stations (ALDS) covering 192 cities
across India
3) Natural gas:
Drawing on its vast experience and carefully nurtured skill sets, Indian Oil has
made successful forays in diverse areas such as Natural Gas, Petrochemicals,
Exploration & Production, Renewable Energy, etc.
Over the years, Natural Gas has emerged as the 'fuel of choice' across the world.
It is steadily replacing traditional fossil fuels due to its environment friendly
characteristics which help in meeting the stipulated automobile emission norms.
Natural Gas has significant cost advantages over fuels such as Naphtha and
commercial LPG. Demand for Natural Gas in India is primarily driven by the
fertilizer and power sectors, which account for almost two-third of the country’s
gas consumption.

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4) Petrol/gasoline:
Automotive gasoline and gasoline-oxygenate blends are used in internal
combustion spark-ignition engines. These spark ignition engine fuels are primarily
used for passenger cars. They are also used in off-highway utility vans, farm
machinery and in other spark ignition engines employed in a variety of service
applications
Gasoline is a complex mixture of relatively volatile hydrocarbons that vary widely
in chemical & physical properties and are derived from fractional distillation of
crude petroleum with a further treatment mainly in terms of improvement of its
octane rating. The hundreds of individual hydrocarbons in gasoline range from c4
to c11.
5) DIESEL/GAS OIL:
Diesel is used in diesel engines, a type of internal combustion engine. Rudolf
Diesel originally designed the diesel engine to use coal dust as a fuel, but oil
proved more effective. Diesel engines are used in cars, motorcycles, boats and
locomotives. Automotive diesel fuel serves to power trains, buses, trucks, and
automobiles, to run construction, petroleum drilling and other off-road
equipment and to be the prime mover in a wide range of power generation &
pumping applications. The diesel engine is high compression, self-ignition engine.
Fuel is ignited by the heat of high compression and no spark plug is used.
6) ATF/JET FUEL:
Indian Oil Aviation Service is a leading aviation fuel solution provider in India and
the most-preferred supplier of jet fuel to major international and domestic
airlines. Between one sunrise and the next, Indian Oil Aviation Service refuels
over 1500 flights – from the bustling metros to the remote airports linking the
vast Indian landscape, from the icy heights of Led (the highest airport in the world
at 10,682 ft) to the distant islands of Andaman & Nicobar. Jet fuel is a colorless,
combustible, straight-run petroleum distillate liquid. Its principal uses are as jet
engine fuel. The most common jet fuel worldwide is a kerosene-based fuel

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classified as JET A-1.The governing specifications in India are IS 1571: 2001 (7th
Rev).
Indian Oil is India's first ISO-9002 certified oil company conforming to stringent
global quality requirements of aviation fuel storage & handling. Indian Oil Aviation
also caters to the fuel requirements of the Indian Defense Services, besides
refueling VVIP flights at all the airports and remote heli-pads/heli-bases across the
Indian subcontinent.
7) SERVO lubricants & greases
SERVO brand, from Indian Oil, is the brand leader among
lubricants and greases in India and has been conferred
the “Consumer Super brand” status by the Super brands
Council of India. Recognized for its brand leadership by the World Brand Congress
and as a Master Brand by CMO, Asia, SERVO has now carved a significant niche in
over20 countries across the globe.
With over 1000 commercial grades and over 1,500 formulations encompassing
literally every conceivable application, SERVO serves as a one-stop shop for
complete lubrication solutions in the automotive, industrial and marine segments.
Recognized for cutting-edge technology and high-quality products, SERVO is
backed by Indian Oil’s world-class R&D and an extensive blending and distribution

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network. SERVOXPRESS vehicle servicing centers are one-stop shops for quick,
easy and convenient auto care, offering a refreshing experience to motorists.
Opened in convenient locations like malls, petrol pumps or as stand-alone units,
SERVOXPRESS stations have facilities for engine oil change, tire & battery check-
ups, air-conditioner service, vacuum cleaning, perfuming, upholstery cleaning,
polishing, lamination installation, etc., besides replacement of minor parts for two
and four-wheeler vehicles.
8) MARINE FUEL AND LUBRICANTS:
Indian Oil caters to all types of bunker fuels and lubricants required by various
types of vessels operating throughout the world in the shipping industry. Bunker
supplies are made at all major ports of India; Mumbai, Kandla, Vasco, Chennai,
Tuticorin, Kakinada, Visakhapatnam, Kochi, New Mangalore, Kolkata, Paradip,
JNPT, Port Blair and Haldia. Apart from meeting 100% bunker requirement of the
Indian Navy, it also supplies bunker fuels to all major shipping and dredging
companies of India. Spot requirement of different vessels calling at Indian ports
are met through nominations received from local shipping agents and
international bunker traders/brokers.
9) KEROSENE:
Kerosene’s are distillate fractions of crude oil in the boiling range of 150-250°C.
They are treated mainly for reducing aromatic content to increase their smoke
point (height of a smokeless flame) and hydro fining to reduce sulphur content
and to improve odour, color & burning qualities (char value).

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10) BULK INDUSTRIAL FUEL:
In the large volume consumer segment, Indian Oil’s provides complete Fuel
Management Solutions to customers who require fuels in bulk and have
dedicated facilities for storage and handling. These customers benefit from Indian
Oil’s efficient sourcing and supplies matched to their usage patterns and
inventory. The optimization on and optimization of supplies is especially relevant
in the light of high-energy input costs in the recent past, which is expected to
continue in the future too.
11) BITUMEN:
Bitumen is a common binder used in road construction. It is principally obtained
as a residual product in petroleum refineries after higher fractions like gas, petrol,
kerosene and diesel, etc., are removed. Indian Standard Institution defines
Bitumen as a black or dark brown non-crystalline soil or viscous material having
adhesive properties derived from petroleum crude either by natural or by refinery
processes.
General uses of Bitumen:
 Constructions of roads, runways and platforms.
 Water proofing to prevent water seepage.
 Mastic floorings for factories and god own.
 Canal lining to prevent erosion.
 Dump-proof courses for masonry.
 Tank foundation.
 Joint filling material for mason
Industries:
 Electrical cables and junction boxes.
 In battery manufacture as sealing compound.
 Paint industries for manufacturing black paints and anti corrosive paints.
 Ceramics.
 Printing inks.

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12) PETROCHEMICALS:
Petrochemicals have been identified as a prime driver of future growth by Indian
Oil. The Corporation is envisaging an investment of Rs 30,000 crore in the
petrochemicals business in the next few years. These projects will utilize product
streams from the existing refineries of Indian Oil, thereby achieving better
exploitation of the hydrocarbon value chain.
13) SPECIAL PRODUCTS:
Other than the regular petroleum products like light distillates, middle distillates,
heavier products like Furnace Oil, Bitumen, etc., Indian Oil refineries also
manufacture petroleum products for specific applications. These specific
applications could be feed stock for chemical industry, raw material for specific
industries and solid fuels. The petroleum products, produced for specific
applications are called, 'Petrochemicals and Specialties (P&S) Products'.
Refinery P&S Products
Barauni Carbon Black Feedstock (CBFS), Raw Petroleum Coke (RPC), Sulphur
Digboi Paraffin Wax
Guwahati Raw Petroleum Coke (RPC)
Haldia
CBFS, Jute Batching Oil (JBO), Micro Crystalline Wax (MCW), Mineral Turpentine
Oil (MTO), Sulphur
Koyali LABFS, Mineral Turpentine Oil (MTO), Sulphur, Toluene
Mathura Propylene, Sulphur
Panipat Benzene, Mineral Turpentine Oil (MTO), Petcoke, Sulphur
14) CRUDE OIL:
Crude oil - as petroleum directly out of the ground is called - is a remarkably
varied substance, both in its use and composition. Crude oil is formed from the
preserved remains of prehistoric zooplankton and algae, which have been settled
to the sea (or lake) bottom in large quantities under anoxic conditions. It was
formed over millions of years from the remains of tiny aquatic plants and animals
that lived in ancient seas due to compression and heating of ancient organic

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materials over geological time. The oldest oil-bearing rocks date back to more
than 600 million years, the youngest being as old as about 1 million years. Crude
oil from an area in which the crude oil's molecular characteristics have been
determined and the oil has been classified are used as pricing references
throughout the world. These references are known as Crude oil benchmarks.

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Indian Oil has wide-ranging expertise in setting up and operating Greenfield
refineries and Brownfield expansions. It has pioneered pipeline transportation
know how in India, and has over four decades of experience in putting up
marketing infrastructure across the sub-continent, to reach petroleum products
to millions of people every day. Backed by cutting edge R&D that offers
innovative products, technologies and services covering the entire gamut of
downstream operations. Indian Oil has been lending its expertise for nearly two
decades to various countries in several areas of refining, marketing,
transportation, training and R&D. These include Sri Lanka, Kuwait, Bahrain, Iraq,
Abu Dhabi, Tanzania, Ethiopia, Algeria, Nigeria, Nepal, Bhutan, Maldives, Malaysia
and Zambia. Indian Oil’s capabilities in the downstream sector of operations in
the oil sector include; Technical and Consultancy Services, Operation &
Maintenance, Techno-Economic feasibility/special studies, Turnaround
Maintenance – planning, monitoring & execution, Inspection, Quality Control:
benchmarking, Shipping and Commercial, Logistics, Research & Development,
Safety and Industrial hygiene, Quality Auditing/ Management, Materials
Management, Training.
Refining
Pipelines
marketing
Technology licensing
Training

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Refining pipelines
Marketing technology licensing
Training

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Indian Oil's Retail Brand template of Xtra Care (Urban), Swagat (Highway) and
Kisan Seva Kendras(Rural) are widely recognized as pioneering brands in the
petroleum retail segment. Indian Oil's leadership extends to its energy brands -
Indane LPG, SERVO Lubricants, Autogas LPG, XtraPremium Branded Petrol, Xtra
Mile Branded Diesel, Xtra Power Fleet Card, Indian Oil Aviation and Xtra Rewards
cash customer loyalty programme.
Strengths:-
 IOC controls 10 refineries, by virtue of which it has total share of around
47% of India overall refining capacity.
 Has around 50% petroleum products
 Huge distribution network through retailing
 Accounts for a 47% share in the petroleum products market, 34.8% share in
refining capacity and 67% downstream sector pipelines capacity in India.
 Has over 35,000 employees
 Loyalty programs like XTRAPOWER Fleet Card Program is aimed at Large
Fleet Operators.
Weakness:-
The company is the market leader in the industry, but still it had many
weaknesses the list is given below.
 Legal issues
 Employee management
 Bureaucracy
 Volatility in the crude market & subsidy burden

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Opportunity:-
The IOCL has much opportunity in the present market condition. This is because the
petroleum products have become a need for everyone and still contains a lot of scope for
customization.Thevariousopportunitiesarelistedbelow.
 Increasing fuel/oil prices
 Increasing natural gas market
 More oil well discoveries
 Expand export market
Threats:-
Sincethecompanyisthemarketleaderinthefield,sohavemaximumthreatsfromtheother
playersandmanyotherissues.Thelistsofthreatsaregivenbelow.
 The foreign players with more advanced technology are the biggest threat for the
company.
 The crude oil supply is also a big issue in front of the company, because the
companycannot fix its price and so, some time had operated in loss also It is
the biggest problem because the maximum part of their crude is been
imported.
 In future the market will welcome more private players, which will eat up its market
share.
 If the Govt. Policies allow the private players to set their own price, the private player
canseriouslyharmthemarketshareofIOC.

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LOYALTY PROGRAMS- AN INTRODUCTION
Loyalty programs are structured marketing efforts that reward, and therefore encourage,
loyal buying behavior- behaviorwhichispotentiallyofbenefittothefirm.Earningcustomer
loyalty goes beyond gaining customer satisfaction. Loyal Customers evangelize the brand by
sharing their satisfactory experience with their friends and colleagues. Agreat product or
service is the starting point for customer loyalty. Great marketer’s architect
loyalty programs from day one. Loyalty programs are initiated by businesses with two
main goals. The primary goal for most loyalty programs is the acquisition of information
relating to their customers' spending habits, while the secondary goal is to actively
cultivate loyalty amongst customers to ensure they continue patronizing the business.
While some companies do reverse these priorities, the above hierarchy holds true for
most. Loyalty programs may offer benefits in a number of different ways. Many
loyalty programs offer sustained discount (such as 10%) for a period of time - perhaps a
year, perhaps for the life ofthe business. Others offer a discount once certain criteria have
beenmet.
for example, a 20%discount on a single purchase once a customer has spent Rs 2000 at the
business. Still others offer points which may then be redeemed for products which
may or may not be directly related to the business. Loyalty cards are the most
common form of loyalty programs found throughout the world today. Some of the
first loyalty programs were instituted by airlines in the 1970s in the form of frequent flyer
miles.Intheseloyaltyprograms,oneaccruespointsbyflyingontheairlineandthen’cashesin'
the points in exchange for tickets, upgrades, or even third-party benefits. In the past decade,
many nonairline businesses have combined their own loyalty programs with those of the
airlines, offering frequent flyer miles in exchange for everything from telephone usage to
purchasinggasoline.
Loyalty programs have gained in popularity immensely in the past fifteen years, in no small
part due to the development of a culture of entitlement, in which consumers feel that they
deserve special treatment. Businesses have capitalized on this when designing their loyalty
programs, often offering benefits that cost little, but carry with them an assumed prestige,
suchasaccesstofaster-movinglinesorspecialparkingspaces
Ultimately,thesuccessofloyaltyprogramsdependsonhowwellthebusinessusesthedatait
gathers to further refine its policies and loyalty programs. Many businesses find little profit in

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the use of loyalty programs, while others, such as eBay, attribute much of their
financial success toawell-executeduseofsuchprograms.
An Integral part:-
The immense competition is making the loyalty programs an integral program of
business of day to day functioning of petro-retailing. Right now many such loyalty
programs are run by the petro-retailers like XTRAPOWER (IOCL), EXTRAREWARDS
(IOCL), SMART FLEET (BPCL),PETRO CARD (BPCL), and DRIVE TRACK (HPCL).
However, these programs are mainly focused at the bulk consumers. But the
small consumers are being also provided these types of facilities.
CUSTOMER RELATIONSHIP MANAGEMENT AND LOYALTY PROGRAM
Customer relationship management (CRM) can be widely defined as:
Company activates related to developing and retaining customers. It is a blend of
internal business process: sales ,marketing and customer support with technology
and data capturing techniques, customer relationship management is all about
building long term business relationship with customer loyal customer more
profitable ,any company will like its mindshare status to improve from being a
support to being an advocate, company has to invest in term of its product and
service offering to its customers, it has to innovate and meet the very needs of its
clients/customers so that they remain as advocates on loyalty curve.
With growing competition in the petro-retailing sector, today‘s consumer is becoming more
and more demanding.The emergenceofnew psychographicsegments inpetroretail market
bears the testimony to this fact. A closer look at these segments tells us what
exactly a consumer is looking for whenever he goes to a fuel station to purchase fuel. He
looks for-Quality & Quantity assurance Quick filling and efficient forecourt service Rewarding
loyaltyPremiumfuelsCashlesstransactionsNon-fuelservices.Theimmensecompetitionwill
makeloyaltyprogramsanintegralprogramoftheday-to-dayfunctioningofpetro-retailing.Of
course,rightnowmanysuchloyaltyprogramsarebeingrunbythepetro-retailerslike:

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Xtra power (IOCL) xtra reward (IOCL)
Smart Fleet (BPCL) petro card (BPCL)
drive track (HPCL)
However,theseprogramsaremainlyfocusedatthebulkconsumersandthesmallconsumers
are left unnoticed more or less. But in future, there won‘t be such differentiation and
loyaltyprogramswillbethereforeverysegmentofconsumers.
Loyalty program at INDIAN OIL
XTRAREWARDS LOYALTY PROGRAM:-
Indian Oil XTRAREWARDS is India's first online rewards programme that seeks to
inculcate the habit of redeeming points. It is currently active in Mumbai, Delhi,
Chennai, Ahmedabad, Bengaluru, Bhubaneshwar, Coimbatore, Mysore, Pune and

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Secunderabad, with plans to reach other cities soon. The loyalty programme
rewards customers paying by cash, credit and debit cards. Each transaction is
confirmed online through a charge slip and customers can earn points on
fuel/lube purchases at participating Indian Oil retail outlets. Additional points can
also be earned outside the Indian Oil network, covering prominent FMCG, Food,
Automobile, Travel, Entertainment, Apparel and Hospitality sectors. Apart from
redeeming the accumulated points instantly on fuel / SERVO lubricants at
participating retail outlets, card-holders can also redeem the points to get exciting
gift items from a catalogue. The redemption on gifts can be registered either from
the participating retail outlets or from the comfortable confines of one's home
through the 24x7 IVRS Help Line (1800 22 4111). The programme continuously
provides the cardholder with privileges, benefits and offers from a large number
of alliance partners, including restaurants, pizza companies, automobile service
stations, jewellers, and online shopping companies.
Xtra-power fleet card program:-
Indian Oil's XTRAPOWER Fleet Card Program is a complete Fleet Management
Solution for the Logistics Industry. With more than 23 lakh vehicles covered so far
by the fleet card program, XTRAPOWER is the ideal choice for large logistics
service providers, small fleet operators and corporate customers who need

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complete control over their fleet. XTRAPOWER is a smart chip based fleet card
program, where you get a smart chip fleet card for each of your vehicle. This
smart chip based fleet card comes as Pre Paid or Credit depending on your choice.
Purchase fuel through cashless transaction from the largest fuel retail network in
India. Exercise complete control of your fleet through XTRAPOWER Fleet Card.
Xtra-power fleet card advantage:
 Largest Network of Retail Outlets pan India (Including very remote and
rural locations)
 Cashless transactions
 Instant MIS
 Easy Online Fleet Management
 Easy Cash Flow Management – CCMS Recharge
 RTGS / NEFT / Online funds transfer or Pay at Pump
 SMS Alerts for transactions
 Manage fleet account by SMS
 24 X 7 Toll free Helpline
 24 X 7 XTRAPOWER Service Centers to assist your crew
 Generic Card Option
 No need to wait – Ready to use - OTC Cards available for instant fleet
management.
Fleet card other features
Easy Fleet Management:-
 Limits available in XTRAPOWER Fleet Program like Transaction, Daily and Monthly
and One Time limits on Fleet Cards help you gain total control over the fuel spend of
your fleet thereby ensuring total peace of mind.
 You can also exercise more control on Products that can be purchased through your fleet
card or Retail Outlets where your fleet should purchase.
 Should you lose your fleet card, you can instantly block the card for further transactions
giving you total security
Rewards - Free Fuel & Gifts:-
Every time you buy fuel / lubes through fleet card from select retail outlets of Indian Oil, you
earn incentives in the form of XTRA points. You can accumulate these reward points and
redeem for free fuel instantly at our retail outlets or for other gift items. Only the customer can
redeem the rewards through a special Control Card Number and PIN.

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Tracking:-
You can keep track of your fleet by logging on to our website www.iocxtrapower.com. As
XTRAPOWER member you can view the tracking report for your vehicles as well as
transactions made on each of your fleet cards for any period.
Easy Cash Flow Management:-
 XTRAPOWER offers you an excellent tool for enhancing your cash flow utilization.
 Through CCMS recharge, cash deposited at our retail outlet by your representative in any
location will be available for use for any of your vehicles instantly. For example, your
driver can deposit the cash collected at Delhi in nearest Indian Oil Retail Outlet with
Fleet Card facility, you can utilize the same funds instantly for any of your vehicle
anywhere.
Insurance Benefits:-
XTRAPOWER Fleet Program offers Insurance benefits like -
 Road Personal Accident Insurance of Rs. 50,000 per card to fleet owner up to a
maximum of Rs. 20,00,000/-; For Drivers - Rs 1,00,000; Helper - Rs. 50,000/-
 Road Accident related Medical Insurance during the period of Insurance coverage* (a)
Owner: Rs.10000/- per card subject to maximum of Rs.1, 00,000/-, (b) Driver: Rs.10000/-
, (c) Co-Driver: Rs.10000/- and (d) Helper-cum-cleaner: Rs.10000/-. This benefit is
available only for hospital expenses incurred for injuries arising from road accidents
only. (*Terms and conditions apply.)
 DRIVER CARDS: DRIVERS are insured against enrolled Driver cards. Drivers must have a
Valid Driving License and should be driving at least an LMV involved in a road accident
to be eligible for the claim.
 So far, about Rs. 2, 00, 00,000 of benefits have been settled rendering financial and social
security to the kin of truck crew. This kind of claim settlement is unique and unmatched
in the industry.
Care for your Truck Crew:-
 The Program's Driver specific initiatives like Doctor at Door step offers free health
checkup to driving members during special occasions when they come for refueling their
vehicles .
 With tie up from reputed hospitals, the program offers free health checkups at our retail
outlets for your driving members.

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 During such health checkup programs, General Health Check Ups like free identification
of blood group, blood pressure, blood sugar levels, General counseling by expert doctors
with provision of free medicines are administered.
 Eye Check Ups are also conducted in association with reputed Eye Hospitals and provide
free spectacles and also free cataract operations wherever required.
 In the last two financial years alone, more than 70,000 truck crew members have been
benefited through 705 such Health Check up Camps that have been conducted across
India; Another 40,000 driving members are expected to reap the benefit during the
current financial year.
COMPARISONBETWEENLOYALTYCARDBENEFITSWITHOTHEROMC
Loyalty card
Benefits
IOCL BPCL HPCL
HIGHEST
VALUEREWARDPOINT
ONDISELANDPETRO
4-6% 5% 4%
CASHLOADING MANUALANDBYCENTAL
CASHMANAGEMENT
(FREE)
MANUALAND
BYCENTALCASH
MANAGEMENT(FREE
MANUALAND
BYCENTALCASH
MANAGEMENT(FREE
ONLINEPINUNLOCKING YES(FREEOFCOST) YES(FREEOFCOST) YES(FREEOFCOST)
INSTANTFUEL
REDEMPTION
YES YES YES
Prepaid and Credit facility YES YES YES
INSURANCEFOROWNER Rs. 10000/- per card,
maximum up to
Rs.2000000/-
No insurance No insurance
INSURANCEFORDRIVER
ANDCLEANER
Driver: Rs. 50000/- ,
Co driver:
Rs. 25000/- and
Cleaner: Rs. 25000/-
No insurance for
driver and cleaner
Rs. 100000/- for
Driver and
Cleaner separately
Medical Insurance (Rs.10,000/-percard):
Owner: Rs.2500/- per
card subjected to
maximum of
Rs.50,000/-,
Driver:Rs.2500/-,Co-
Driver:Rs.2500/-and
Helper-cum-cleaner:
Rs.2500/-.
No Medical
Insurance
No Medical
Insurance

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Lost Card Liability
Insurance
Maximum up to
Rs.16,000/-
per card subjected to
misuse of the card within
24
hours from lodging the
loss
complain with
XTRAPOWER
24 HOUR
CUSTOMERHELPLINE
No such benefit No such benefit
LOSTCARDLIABILITY Areplacementcardis issue
to the cardholder after
due verification the
prepaid amount balance
of the lost cardis
transferred with a fee of Rs
100percard
Areplacementcardis
issue to the
cardholder after
prepaid amount
balance of the lost
card is transferred
after verification
Areplacementcardis
issue to the
cardholder after
prepaid
amount balance of
the lost cardis
transferred after
verification
VEHICLETRACKING Card-insert based offline
trackingatnoextracost.
Card insert based online
trackingatanominal cost
of Rs.2/
Card-insert based
offline tracking at no
extracost.Card insert
based online tracking
atanominalcost.Vehicle
trackingThrough
SMS(feeonlyfor blue
card holder)
Card-insert based
offlinetrackingatno
extracost.AtanyHP
Fleetcardoutlet, the
driver has to place
the card on the
reader and enter his
PINNumber.Thisis
regardlessofwhether
or not your Driver
fuels the vehicle at
the outlet.
Card insert based
onlinetrackingat
nominal cost.
SMARTCARDPREPAID
CREDIT
Yes Yes yes
RELOADINGFACILITY Yes Yes yes
ENORLMENTFEEAND
RENWALFEE
YES,RS100PRECARD
YES, RS 250
PER CARD
NA

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From this comparison it is clear that benefits provided by IOCL is better than its
competitor inspireofthistogetmorecustomerthecompanycanconsiderforbenefitssuch
as,
 FreeSMSalertasprovidedbyBPCLforbalancecheckandvehicletracking.
 Extrabenefitschemeforcustomerwithmoretransaction.
 Multiplecreditpartnersforcustomers.
 Redemption at any point of time with increased point validity from 1 year.
 Fleetcardvehicleforsmallervehicle.
LIST OF SOME CUSTOMER AND THEIR FEEDBACK
NAMEOFCUSTOMERS
ANDTRANSPORTAGENCY
LOCATIONOF
BUSINESS
TOTALNO
OF VEHICLES
/NUMBEROF
CARDS
CONTACT NO FEEDBACK
SHYAMTRANSPORT
(SHAM MISHRA)
DURGAPUR 80/ 73 9434062255 POSITIVE
ASHUTOSH GOURAI RAJBANDH 36/34 03432520389 POSITIVE
UNITEDTRANSPORT DURGAPUR 40/10
CORPORATE
CARD
0343-2544855 POSITIVE
ALI ROAD LINE
(MR ALI)
ASANSOL / UP 25/25 09279083003 POSITIVE
BURNPUR TAILOR
SERVICE (BARUN
NANDI)
ASANSOL 10/8 8768324271
9333116698
POSTIVE
RAJA TRANSPORT
(ABHIJEET
MUKHERJEE)
ASANSOL 30/30 9832139394 POSITIVE
MRINMOY TRANING
& MOVERS PVT LTD
ASANSOL 15/15 9800880301 POSITIVE
UNIT TRANSPORT
SOUTH INDIA
TRANSPORT (MR
BANKETESH)
KOLKATA
ASANSOL
80/NOT
SPECIFIDE
6/4
9830345678
9434312629
NEGATIVE
(DON’T KNOW
HOW TO USE
CARD)
POSITIVE

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Mapex infrastature pvt
ltd(jaydeb das)
Kolkata 20/15
corporate card
9830796876 Positive
New ajad hind
transport (j roy)
Durgapur 12/6 9830171357 Positive
Bandana logistic Raniganj 10/ 9434003803 Negative not
interested in
card and dont
know how to
use
Vhanu transport
agency (mr vhanu)
Durgapur 6/2 9333900481 Negative
(don’t kanow
hou to use)
Assan transport
company (vivek shukla)
Burnpur 10/10 9734255477 Positive
Sanjay Sharma Asansol 6/0 8170040454 Negative
Rabikanth transport Borakor 12/10 7209425300 Positive
Belhi engg(subhas
biswas)
Asansol 20/12 9231027115 Positive
z.r.l transport (mangu
sing)
Jharkhand 14/5 8809987556 Positive
Nehara transport &
roadline(banti sing)
Dhanbad 6/3 09985028977 Negative
(don’t know
how to use)
Mintu ghosh Gandhimore 6/0 9434036123 Negative (not
interested
card)
d.m.c (shantamoy
mukherjee)
Durgapur 10/10 9832798287 Positive
Kiran playwood
(madan sing)
Asansol 5/3 9434711814 Positive
ALOKENDUADHIKARI Murshidabad 30/30 9434315104 Positive
BIRENDERROY Duragpur 4/4 9748679867 Positive (don’t
know how to
use want help
very much
interested)
Suchata ghosh Durgapur 6/1 9434036123 Negative
better to give
cash than using
card

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These are the list of customers to whom I talk and also meet with some of them their
responses are very encouraging and most of them are interested and satisfied with this
program.Someofthecustomerdoesnotshowinterestthemainreasonbehindthisis.
 Problemwithoperationofcard.
 Small amount of transaction.
 UnawareofthebenefitprovidedbytheXtrapowerfleetcard.
 Less number of outlets with such facility.
 Prefers to give cash instead of transaction through card.

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Personal details:-
Name…………………………………………..
Address………………………………………..
Organization………………………………..
Date of visit………………………………….
1)HowmanylitersoffueldoyousellinaweekthroughXtraPowerfleetcardinamonth?
a. 1000-20000ltr
b. 20000-40000ltr
c. 40000-60000ltr
d. More than 60000ltr
2) Whatistheaveragesaleoffollowingbrandsatyouroutletinaweek?
BRANDS XTRA MILE
SUPER DISEL
XTRA
PREMEIUM
PETROL
SERVO
LUBRICANTS
UNLEDEAD
PETROL
UNLEDEAD
DIESEL
Maximun
Minimum
3)Whatpricedoyougetthefollowingbrandsat?
BRANDS XTRA MILE
SUPER DISEL
XTRA
PREMEIUM
PETROL
SERVO
LUBRICANTS
UNLEDEAD
PETROL
UNLEDEAD
DIESEL
price

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4)Whatisyourmarginforthefollowingbrands?
BRANDS XTRA MILE
SUPER DISEL
XTRA
PREMEIUM
PETROL
SERVO
LUBRICANTS
UNLEDEAD
PETROL
UNLEDEAD
DIESEL
price
5)Whatistheaveragesaleoffuel/lubricantsthroughXtraPowerFleetcardfromyouroutlet?
……………………………………………………………………………………………………………
…………………………………………………………………………………………………………….
6)Doyoutellthecustomer/fleetowner/driverabouttheXtraPowerfleetcardloyaltyprogramof IOCL?
o Yes
o No
o Sometimes
7)Dothestaff/attendantsknowhowtooperatethemachineofXtraPowerfleetcard?
o Yes
o No
8) What is the usual mode of payment made by the customer?
o Cash
o Credit/debit card
o Xtra power fleet card
9)IstheoutletwellequippedwithmachinesofXtraPowerfleetcard?
o Yes
o No

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DAT FROM RETAILERS :
TotalpercentageoffuelsoldbyXtrapowerfleetcard:
Percentageofsaleofdifferentproductsinaweek:
35%
25%
29%
40%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
1000-20000LTR 20000-40000LTR 40000-60000LTR MORE THAN
60000LTR
40%
10%
8%
19%
23%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
xtra mile
super disal
xtra
premium
petrol
survo
lubricants
unledead
petrol
unledead
disal

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Percentageofpricecollectedbydifferentbrands:
Percentage of sale through Xtra power fleet card:
40%
10%
8%
19%
23%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
xtra mile
super disal
xtra
premium
petrol
survo
lubricants
unledead
petrol
unledead
disal
0
10
20
30
40
50
60
70
80
sale through xtra
power fleet card
sale without using
card
26.5
73.5

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Doyoutellthecustomer/fleetowner/driverabouttheXtraPowerfleetcard?
Dothestaff/attendantsknowhowtooperatethemachineofXtraPowerfleetcard?
75%
8%
17%
0%
10%
20%
30%
40%
50%
60%
70%
80%
yes no sometimes
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
yes no
96%yes
4%no

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What is the usual mode of payment made by the customer?
IstheoutletwellequippedwithmachinesofXtraPowerfleetcard?
0%
10%
20%
30%
40%
50%
60%
70%
cash xtra power
fleet card
credit/debit
card
65%
26%
9%
96%yes
4%no
yes
no

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Questionnaire for the Customers:-
Customer name………………………………………….
Address………………………………………………………
Ph no………………………………………………………….
Date of visit………………………………………………..
1) DoyouvisittheIOCLfuelstationregularly?
o Yes
o No
o Sometimes
2) What is the usual mode of payment?
o Cash
o Xtra power fleet card
o Credit/debit card
3) Do you know about the Xtra Power fleet card?
o Yes
o No
4) From where did you come to know about the fleet card program?
o Advertisement
o Newspaper
o IOCL retail outlet
o Magazine
o Others……..
5) Howmanyvehicles/trucksdoyouhave?
………………………………….
6) Areyousatisfiedwiththeserviceoffleetcard?
o Yes
o No
o Partly satisfied
7) Doyouuseyourfleetcardregularly?
o Yes
o No
o Sometimes

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8) Whatimprovementsdoyouwantinthefleetcardloyaltyprogram?
o Betterservicestothecardholders
o More attractive offers
o Others…………….
9) DoyouredeemyourXtrapointsregularly?
o Yes
o No
o Sometimes
10)AnysuggestionsabouttheXtraPowerFleetCardprogram?
………………………………………………………………………………………………
………………………………………………………………………………………………
………………………………………………………………………………………………
………………………………………………………………………………………………
……………………………………………………

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DoyouvisittheIOCLfuelstationregularly?
What is the usual mode of payment?
0% 10% 20% 30% 40% 50%
YES
NO
SOMETIMES
50%
10%
40%
65%CASH
6%DEBIT OR
CREDIT CARD
29%XTRA
POWER FLEET
CARD
CASH
DEBIT/CREDIT CARD
XTRA POWER FLEET
CARD

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DoyouknowabouttheXtraPowerfleetcard?
Fromwheredidyoucometoknowaboutthefleetcardprogram?
0
10
20
30
40
50
60
70
80
90
YES NO
87% YES
13%NO
9% 6% 3%
70%
12%
0%
10%
20%
30%
40%
50%
60%
70%
80%

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Areyousatisfiedwiththeserviceoffleetcard?
Doyouuseyourfleetcardregularly?
60%15%
25%
yes
no
partly satisfide
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
yes no sometimes
50%
19%
31%

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Whatimprovementsdoyouwantinthefleetcardloyaltyprogram?
DoyouredeemyourXtrapointsregularly?
0%
10%
20%
30%
40%
50%
60%
70%
better
service
more offers others
60%
29%
11%
85%
2% 13%
yes
no
sometimes

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 Mostofthecustomerswereverysupportingandwelcoming.TheyhadGoodwillforIOC.
 Customerswhoshowed interest appreciatedtheofferprovided and were eagerto continue talkswith
IOC.Theywerealsowantedtoknowmoreabouttheprogram.
 Some of the prospective customers were not aware of India Oil Xtra Power Fleet Card loyalty
Program. Hence they were not interested. Also due to the increase in the oil prices they
wereapprehensivealittlebit.
 Some of the customers facing technical difficulties while using the card since they are
notabletounderstanditsoperationsclearly
 Somecustomershavenoclearideaaboutitsbenefitandtheyarehappytousetheiroldtraditionalway
ofpurchasingoilandlubricant.
 Someofthecustomerconsidersitasverycomplexandthebenefitisnotsohigh.
 Customersmost of them are smalltransporter are not very keen for thisprogram some of them have
purchasethecardbutthecardremainsasidleastheyhaveverylesstransactionandlackofinformation
aboutthebenefits.
 Xtra power scheme is not available at all the retail outlet of Indian oil in so at a time it creates
problem.
 The card swiping machines are not properly maintained at some places leading to manycustomer
complaints. Some of the machines are very old and they are need replacement with the
newone.
 Atsomeplacespumpattendantsarealsonotinterestedinprovidingthisservice.
 There are no pamphlets available at pumps, which could give a brief idea about the
loyalty program.
 Pamphlet and booklets are in English; hence most of the people are not able to
understand.
 Thereisnodedicatedpersonforcollectingtheforms.So,thereisalargebacklogofforms.
 ThereisLackofinternetfacilityatsomeoftheoutletsandalsoproblemwithpoornetworkservice.
 WebsiteofXtrapower(www.iocxtrapower.com)isnotregularlyupdated.
 There is no facility of SMS for vehicle tracking and to know detail about existing balancewhere other
majoroilproducingcompany(BPCL)providesthisservicetotheircustomers.
 Sundaramfinanceistheonlypartnerforprovidingcredittothecardowner.
 Therearenoanyspecialbenefitsforcustomershavinglargertransaction.
 Thereisnoanybenefitforcustomerswithsmallvehicle.
 Corporatecustomersarenotveryinterestedasthereisnoanyspecialbenefitforthem.

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“Customerloyaltycomesinthreephases.Thefirstderivesfromlocation.Thenextphaseis
Meeting the needs of your customer profile. The third phase down is retailer's
loyaltyprogrammers. Most consumers are multi- Loyal”
The key to a successful business is a steady customer base. After all, successful businesses
typically see 80 percent of their business come from 20 percent of their customers.
(PARETO ANALYSIS).
Xtra power is a step of IOC towards building loyalty among the existing customers.
Loyaltyprogram works only when the customer is emotionally attached to the brand. The
best way to keep customers loyal is to provide a good product or service that provides
goodvalue for money. Branding alone will not make customers loyal, but back up a good
product and customer service with branding and loyalty will develop quicker. Offers and
loyaltyschemescanincreaseloyalty,buttheyarenosubstitutefor(andwillnotworkwithout)
a good product, good customer service, and friendly customer relationships. We need to
enroll the right customers. We can recognize the highest value customer’s to
recognize and reward their value to our organization; we can cultivate high
potential customers whocurrentlysplittheirpurchasesbetweenusandourcompetitorsor
reach out to those most at risk of churning. Knowing which customer groups are most
important to us allows crafting recognition and rewarding strategy that piques their interest.
Customers should be involved in the program by constant communication to make them
understandwhatisinforthem.Comprehensivesurveysshouldbeconductedtofindoutwhat
should be the ideal way to reward the loyal customers and retain them for the lifetime.
Activities like checking point balances online, responding to targeted offers, using kiosks,
bidding on auction items, entering sweepstakes and so on. Such participation is a sure signof
increasing value to the customers.

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 MostofthepeoplearenotawareregardingtheXtrapowerscheme,IOCshouldtrytocreateawareness
regardingtheprogrambymeansofmoreaggressiveadvertising.
 The customers facing any kind of difficulties must be assisted promptly and their problem must be
consideredwithduecare.
 Xtra power fleet card banners should be put at proper location with easy visibility
 Information centers especially in remote areas must be setup so that people have access to this
programandtheycanhavedetailinformationaboutitsbenefits.
 Thefacilitiesshouldbemadeavailabletomoreretailoutlet.
 The card swiping machine must be carefully maintained and provide quick service for anytechnical
difficulties. The old machines must be replaced by the new one without any delay.
 Mostofthepumpattendantisnotsoeducatedhenceatrainingprogramforthemtoprovidetheuseof
swipingmachineanditsvarioustechnicalaspects.
 Regularvisittopumpshouldbemadeandpumpownerandattendantsareencouragedtoprovidethe
servicefortheirownbenefitandbenefittothecustomers.Ifpossiblesomerewardsshouldbegivento
thepumpwithhighestsaleinmonthbycardtransaction.
 Pamphlets must be available at pump so that customers get a brief idea about the
program.
 All the pamphlets and booklets are in English, hence most of the customer not able to understand. It
shouldbeinregionallanguage(Bengali)andHindiforeasyunderstanding.
 Theremustbeafixedpersonforcollectingformsandapplicationforthecard.
 The website for Xtra powerneeds regular update with more user friendlyaccessand detailsof newas
wellasupcomingoffers.
 The poor network service at retail outlet need to improve urgently.
 Target new vehicle/fleet owner by tie up with the vehicles companies and give XTRAPOWER FLEET
CARDwitheverynewvehicle/truck.
 Ifacardisnotusedforaspecifiedperiodthenamessageshouldbegivenasareminderandifpossible
tocontactthepersonastheremaybesomeotherreason.
 Xtrarewardprogramshouldbestartedatallotherlocationsasearlyaspossible.
 Facility for vehicle tracking and to know the detail of existing balance by customer
should alsomadeavailablethroughSMSservice.
 Need for more credit partner to provide wide credit service to the customers.
 Special benefit must be provided to customers with larger transaction and it is better to divide the
customers in groups as per their total transaction.
 NeedforLocalalliancepartners.

P a g e | 53
13/MBA/06
Website’s URLs:
https://www.iocl.com/
http://en.wikipedia.org/wiki/Indian_Oil_Corporation
http://www.iocxtrapower.com/
https://www.iocl.com/Services/MarketingLoyaltyPrograms.aspx
https://www.iocl.com/Products/Indanegas.aspx
https://www.xtrarewards.com/ExtraRewards/site/About_XTRAREWARDS.
aspx
https://www.google.co.in/
http://www.moneycontrol.com/india/stockpricequote/refineries/indianoilcor
poration/IOC
Books:
1. N. G. Das, Statistical Methods: McGraw Hill
2. P. Kotler, Marketing Management: PEARSON Education- 13th Edition
3. S.P.GUPTA,STATISTICAL METHODS

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