3. EXECUTIVE SUMMARY
Title:
A Market Study On SF Sonic Products Entailing Its Brand Perception and
Market Capitalization
Organization: Exide Industries Limited
Organizational Guide:
Area Manager Sales,
Standard Furukawa Division,North East Region
Exide Industries Limited
Institutional Guide:
Duration of the project: 4th May to 30th June,2013
Objectives:
1. To study about the automotive battery market in the areas where survey was
done.
2. To study the factors affecting the buying behavior in the automotive battery
market.
3. To study the customer’s perception on various brands of batteries with
special reference to SF Sonic.
Findings:
Almost all garage owners prefer Exide batteries.
Exide is maintaining a good quality and is also providing different variety and
ranges.
3
4. Exide has a faithful customer base and a good distributing channel and
network for which products are available in time.
A major setback is the high price of the batteries and the delay in
replacement.
The SF brand is yet to be recognized in certain circles. Lacks awareness.
Batteries are purchased on the basis of their brand name, followed by, their
price and availability.
The garage owners prefer more profit while recommending a battery to a
customer
The battery market is a low volume-high capital enterprise which requires
companies to keep a constant vigil and grasp on their existing customer
base.
Competition for SF Sonic product is primarily from Exide and Amaron.
Recommendations:
SF Sonic should focus towards aggressive brand promotion by putting up
hoardings over the city and posters in garages,car dealers,etc so as to grab
the attention of the masses.
SF Sonic should put up quality service centres at strategic locations so that
replacements and repairing are done as fast as possible.
The commercial vehicle market is a large one.Therefore,the company should
focus at attractive exchange offers since most of the trekker and auto
rickshaw drivers prefer to exchange their old batteries for the new ones.
The company should also put in a major effort to keep in touch with their
customer base i.e the garages,autoelctric shops,retailers by conducting
periodic surveys in order to learn their problems or grievances.
SF Sonic should also periodically reward or appraise their customer base so
as to keep them motivated and loyal.Gifts like pens,T-shirts with SF Sonic
logo,calendars,etc should be gifted on performance basis.
4
5. The company should try not to populate the market with excessive
distributors.Instead
it
should
work
hand-in-hand
with
a
handful
of
distributors at various strategic locations in that market.
SF Sonic should start making in-roads deep into the rural market as the
brand lacks awrness in those places.
The company in order to penetrate the market should initiate favourable and
attractive credit policies so that it’s product is accessible to even small time
garages,autoelectricians and retailers.
SF Sonic should look into the warranty factor and should increase warranties
on certain varieties in order to compete with their competitors.
5
6. 1. INTRODUCTION
COMPANY PROFILE
The Company was incorporated as Associated Battery Makers (Eastern) Ltd., on
31st January, 1947 under the Companies Act, 1913 to purchase all or any of the
assets of the business of manufacturers, buyers and sellers of and dealers in and
repairers of electrical and chemical appliances and goods carried on by the Chloride
Electric Storage Company (India) Ltd, in India , since 1916 with a view thereto to
enter into and carry into effect (either with or without modification) an agreement
which had already been prepared and was expressed to be made between the
Chloride Electric Storage Co (India) Ltd on the one part and the Company of the
other part. The name of the Company was changed to Chloride India Ltd on 2nd
August, 1972. The name of the Company was again changed to Chloride Industries
Ltd. vide fresh Certificate of Incorporation dated 12th October, 1988. The name of
the Company was further changed to Exide Industries Ltd. on 25th August, 1995.
The Company manufactures the widest range of storage batteries in the world
from 2.5 Ah to 20,400 Ah capacity, covering the broadest spectrum of applications.
The Company has also recently forayed into manufacture and sale of Home
UPS/Inverters.
The
Company
has
seven
battery
manufacturing
facilities
strategically located across the country – three in Maharashtra, two in West Bengal,
one in Tamil Nadu and one in Haryana. In addition, the Company also has two
Home UPS/Inverter manufacturing facilities in Uttarakhand. The Company’s
predecessor carried on their operations as import house from 1916 under the name
Chloride
Electrical
Storage
Company.
Thereafter,
the
Company
started
manufacturing storage batteries in the country and have grown to become one of
the largest manufacturer and exporter of batteries in the sub-continent today.
Exide separated from its UK-based parent, Chloride Group Plc., in 1989, after the
latter divested its ownership in favour of a group of Indian shareholders. The
Company has grown steadily, modernized its manufacturing processes and taken
initiatives on the service front. Constant innovations have helped the Company to
6
7. produce the world’s largest range of industrial batteries extending from 2.5 Ah to
15000 Ah and covering various technology configurations.
BUSINESS PROFILE
The Company’s predecessor began its operations in 1916 as an import house called
Chloride electrical Storage Company.Since then,over the years, the Company has
been steadily progressing by taking necessary initiatives to modernize its
manufacturing processes and by constantly improving its customer services.
In the year 1994, the Company had entered into a technical collaboration with Shin
Kobe Electric Machinery Co. Ltd. of Japan, a subsidiary of the Hitachi Group.The
main objective of entering into this collaboration was accessing technology for the
new automotive vehicles entering the Indian market.Further in the year 1998,with
an objective of increasing capacity without the time lag in setting-up greenfield
project the company acquired the Industrial undertakings of Standard Batteries
Limited as a going concern. This acquisition strengthened its production base as
well as giving the Company access to technology from The Furukawa Battery
company.
On the marketing front, with an objective to get a global platform to expand its
business the Company acquired a 100% stake in Caldyne Automatics Ltd in July
2007 and 100% stake in Chloride Batteries S E Asia Pte Ltd., Singapore and 49%
stake in Associated Battery Manufacturers (Ceylon) Limited, Sri Lanka in the year
2001. The stake in Associated Battery Manufacturers (Ceylon) Limited, Sri Lanka
was
increased
to
61.5%
by
acquiring
additional
12.5%
stake
in
2004.
The company has also acquired a 51% stake in ESPEX Batteries Limited, U.K.and a
26% shareholding in Ceil Motive Power Pty Limited, Australia. The Company has
also acquired a 100% stake in Chloride Metals Ltd in October 2007. In June 2008
the company acquired a 51 per cent stake in Leadage Alloys India Ltd.
Through these continuous innovations and collaborations the Company has
gradually risen to become one of the largest manufacturers and exporters of
batteries in the sub-continent today. The Company manufactures the widest range
of storage batteries in the world from 2.5 Ah to 20400 Ah capacity, covering the
7
8. broadest spectrum of applications. As on today, the Company has a domestic
market share of 45% in Industrial, 72% in Auto OE and 73% in replacement auto .
The Company being the domestic storage major, is also one of the largest power
storage solution company in South-East Asia.On the domestic front, the Company
has six factories located across India – 2 in the states of Maharashtra, 2 in the state
of West Bengal, 1 in state of Tamil Nadu and 1 in the state of Haryana. The
Company power most of the industrial and automotive segments in the country and
the products are used in critical applications in infrastructure and defence sectors.
PRODUCTS
Automotive Batteries
In the domestic market, the Company sells its products under EXIDE, SF, SONIC and
Standard Furukawa Brands.’EXIDE’ and ‘SF” are its flagship brands. In the
international market the products are sold mainly under DYNEX, INDEX & SONIC
brands. The Company supplies batteries to almost all the car and two-wheeler
manufacturers in the country.The Company has a distribution network comprising
over 4000 dealer outlets. These outlets are supported by 4 regional offices and 28
branch offices. The Company also exports batteries to the Middle East, Japan and
CIS countries.The Company has a market share of 72% in case of Automotive OEM
and 70% in case of Organized Retail. The Company also manufactures submarine
batteries.
Industrial Batteries
The Company designs and manufacture its industrial batteries in a wide range from
2.5 Ah to 20,600 Ah in conventional flooded and Valve Regulated Lead Acid (VRLA)
design. In domestic market, the Company sell its products mainly under EXIDE,
INDEX, SF, CEIL & POWER SAFE brands and in the international markets mainly
under CEIL,CHLORIDE and INDEX brands.Industrial batteries are of three types,
Conventional lead acid batteries, VRLA (Valve regulated lead acid batteries) batteries
and Nickel-Cadmium batteries. Both organized and unorganized players compete in
8
9. the OEM and retail industrial battery markets. Industrial batteries cater mostly to the
infrastructure sector such as railways, telecom, power plants, solar cells and other
industrial segments such as uninterrupted power supply, inverters and traction
batteries. Exide’s Inva tubular batteries for Inverter applications were introduced in
2000 and Tele tubular for Telecom Sector introduced in the year 2007 has created
volume growth.. The Company also manufacture industrial batteries for niche
segments such as miners’ cap lamp batteries and submarine batteries.
Submarine Batteries
The Company also manufactures high-end submarine batteries (Type 1, 2 & 3). The
Company manufactures two to three submarine batteries a year to meet the
country’s defence requirements. The Company is one of the five companies in the
World which has the capability to make submarine batteries for both Russian and
German types. With the government’s permission, in recent years, the Company has
exported to Algeria.
9
10. VISION
Simultaneous to providing credible value addition to customers,employees and
shareholders being recognized by society as a responsible citizen.In addition
achieving operational excellence along with caring for environmental protection.
MISSION
To carefully balance the interest of all stakeholders;strive to fulfill the aspirations of
the employees and pursue excellence with passion,without deviating from our core
values.
CORE VALUES
Fundamental axioms that organizations believe in and people respect and work
towards.
Core Values:
Customer Orientation
Team Work and Mutual Support
People Development and Involvement
Personal Integrity and Commitment
Responsible Corporate Citizenship
Management by Processes and Facts
10
13. STANDARD FURUKAWA
In the year 1998,with an objective of increasing capacity without the time lag in
setting-up greenfield project the company acquired the Industrial undertakings of
Standard Batteries Limited as a going concern. This acquisition strengthened its
production base as well as giving the Company access to technology from The
Furukawa Battery company.
The Standard Furukawa range of batteries,designed in technical collaboration with
the leading Japanese battery manufacturer-The Furukawa Battery Co Ltd combines
advance
grid
alloys,improved
formulations
in
process
technology
and
is
manufactured using modern assembly line machines.Standard Furukawa automotive
batteries are available in wide range of capacitoes in hard rubber and polypropylene
containers to meet diverses heavy duty applications. They are supplied as original
equipment to a host of car,truck,tractor and genset manufacturers in India.
Over the years, SF Sonic batteries have become synonymous with abundant power
and raw courage. Undaunted by the challenge of the Indian roads, they have
redefined durability and longevity. SF SONIC batteries stay strong throughout their
long lifespan. The power never wanes, come what may. As the brand’s equity grew,
so did the ambitions. And a new, bold and powerful SF SONIC was born. It is
vibrant,
dynamic
and
represented
what
we
wanted
to
be.
The dynamic sweep of the mnemonic represents a continuous cycle of POWER
while the arrowhead captures our desire to move ahead.
The outer sweeps encapsulates the radiating, pulsating kinetic energy that
lies at the core of our batteries, throbbing with power.
While the well-rounded yet bold typography captures the power that SF
SONIC epitomizes, the arrowhead mnemonic adds dynamism to it, creating
an illusion of a powerful force
13
14. These are high performance polypropylene batteries with unique glass fibre-mat
cushioned polyethylene envelope separator.Special featuresUnique glass fibre mat cushioned polyethylene envelope separator
Thicker plates comparable to the hard rubber tyres
Through partition inter cell welding
Rugged handle
Substantial savings in weight and floor area
High cranking power
Ultra low maintenance characteristics
Extremely low self discharge
Factory charged and wet shipped
TECHNOLOGY
Grid Alloy Technology
To better withstand the high temperatures in India every SF Sonic battery
is based on the grid alloy technology according to specifications.The grid
construction is of central lug type with semi radial construction,a good
balance between excellent high rate performance and long life.
Separators
The separators employed are PVC for the low cost versions and
polyethylene with glass mat reinforcement for the medium and high end.
14
15. PRESENT CORPORATE HIERARCHY
At the helm of affairs is Mr.P.K.KATAKY,the Managing Director and CEO
Non Executive Directors
Directors
R.G.KAPADIA
(Chairman)
G.CHATTERJEE
(Automotive)
R.B.RAHEJA
(Vice
Chairman)
SUBIR CHAKRABORTY
(Industrial)
W.WONG
A.K.MUKHERJEE
MONA N DESAI
(Finance and CFO)
D.S.PAREKH
NADEEM KAZIM
(HR Personnel)
H.M.KOTHARI
BHASKAR
MITTER
S.B.RAHEJA
15
16. STANDARD FURUKAWA SONIC PRODUCTS
SUPER SONIC
SONIC RODEO
SONIC POWER BOX
SONIC TURBO
SONIC JET
SONIC POWER HOUSE
16
17. EXIDE INDUSTRIES CHRONOLOGY
1916
Chloride Electric Storage Co. (CESCO) UK sets up trading operations in
India as an import house.
1946
First factory set up in Shamnagar, West Bengal.
1947
Incorporated as Associated Battery Makers (Eastern) Limited on 31
January 1947 under the Companies Act.
1947
Incorporated Chloride International Limited (previously Exide Products
Limited)
1969
Second factory at Chinchwad, Pune
1972
The name of the Company was changed to Chloride India Limited
1976
R&D Centre established at Kolkata
1981
Third factory at Haldia, West Bengal
1988
The name of the Company was changed to Chloride Industries Limited
1994
Technical collaboration with Shin Kobe Electric Machinery Co. Ltd. of
Japan, a subsidiary of the Hitachi Group.
1995
Chloride Industries Limited renamed Exide Industries Limited
1997
Fourth factory at Hosur, Tamil Nadu
1998
Acquisition of industrial/manufacturing units of Standard Batteries Ltd
located at Taloja & Kanjurmarg (Maharashtra), Gundy (Tamilnadu) and
plant at Ahmednagar (Maharashtra) from Cosepa Fiscal Industries
Limited as a going concern.
1999
Acquired 51% Shareholding in Caldyne Automatics Ltd
2000
Acquisition of 100% stake in Chloride Batteries S E Asia Pte Ltd.,
Singapore and 49% stake in Associated Battery Manufacturers (Ceylon)
Limited, Sri Lanka.
2003
Commissioned plant at Bawal, Haryana
2003
New joint venture in UK, ESPEX, with 51% holding.
2004
Associated Battery Manufacturers (Ceylon) Limited, Sri Lanka became a
subsidiary consequent to acquiring further 12.50% Equity holding.
2005
Investment in 50% shareholding of ING Vysya Life Insurance Company
17
18. Limited
2007
Caldyne Automatics Ltd becomes 100% subsidiary consequent to
acquiring the balance 49% shareholding.
2007
Investment with 26% shareholding.in CEIL Motive Power Pty Ltd. A Joint
Venture in Australia.
2007
Acquired 100% stake in Tandon Metals Ltd.
2008
Acquired 51% stake in Lead Age Alloys India Ltd .
2009
Divestment of shareholding in CEIL Motive Power Pty Limited.
2012
Acquisition of Inverter manufacturing facility at Roorkee, Uttarakhand.
2012
Technical Collaboration with East Penn Manufacturing Co., USA.
2012
Acquisition of second Inverter manufacturing facility at Haridwar,
Uttarakhand.
2012
Acquisition of balance 49% shares in ESPEX Batteries Limited, UK.
18
19. 2. SUMMER INTERNSHIP PROJECT
ABOUT THE PROJECT
The project was primarily conceived to study and understand the dynamics related
with the SF Sonic batteries in the market.Market research was extensively done to
achieve this objective.A questionnaire was formulated wherein various questions
about and related to SF Sonic was designed.The completion of this project took a
stipulated time of two months during which each and every aspect of the objective
was duly touched upon and fulfilled.
The following areas in the city of Guwahati was surveyed for the Exide
organization:-Bharalumukh to Adabari,Jalukbari to Beharbari and Noonmati to
Guwahati
Club.On
the
event
of
this
extensive
field
trip
various
garage
owners,autoelectricians, battery retailers have been personally interviewed and
were asked for their views in order to get a complete picture of the battery market
situation prevailing in the respective areas.Also,it was a vast learning experience as
is the situation in such projects,knowing about the problems related with the SF
Sonic batteries,its competition and also about the region in which the customers
would like the battery to better itself.
After the surveying was done successfully, an in-depth analysis was done in
SPSS.The whole project took two months till completion.
19
20. SUBJECT, OBJECTIVES, SCOPE & LIMITATION OF
THE PROJECT
SUBJECT: A
Market Study On SF Sonic Batteries Entailing Its Brand Perception
And Market Capitalization
OBJECTIVES:
1. To study about the automotive battery market in the areas where survey was
done.
2. To study the factors affecting the buying behavior in the automotive battery
market.
3. To study the customer’s perception on various brands of batteries with
special reference to SF Sonic.
SCOPE:
1. The project provides us with information about the market share of various
competitors of SF Sonic
2. It has also shed some light on how the customers perceives about the brand.
3. This project has provided with information whether there is a brand
awareness regarding the product in all the surveyed areas.
4. The project has helped in obtaining customers feedback about the product
and suggestions which can be later used for further improvement.
LIMITATION:
1. The time period was short to carry out this extensive study.
2. The survey was limited to certain specific areas.
20
21. 3. Most of the time garage owners are busy with other customers making it
difficult to get information within a short time.
4. Garage owners were not aware that SF Sonic is the other brand of Exide,
thus consuming time in convincing them.
5. Garage owners were mostly reluctant to reveal their percentage profit or
actual sales or part with information privy to them.
6. Getting information on other brands was next to impossible as most garages
have only been using a certain brand for many years.
21
22. RESEARCH METHODOLOGY
METHODOLOGY
The project uses qualitative research technique which is based on the exploratory
research method.This kind of method helps us to get an insight into the
problems,identify relevant courses of action and presents us with options before an
approach can be developed.Quantitative and descriptive research technique has
also been used as because, the behavior of the product in the market and its
perception among society has been systematically analysed.
DATA SOURCE
1.Primary Data:
It is the initial data collected for the first time for the purpose of fulfillment of the
primary objective.This data ws collected with the help of a questionnaire and
personal interview.
2.Seconday Data:
This are those type of data which have already been collected and serialized.The
internet,past research studies in this field,magazines are treasure trove of
secondary data.
SAMPLING PLAN
Sample design is one of the integral part of market research. The sampling
techniques are selected and implemented so as to proceed conveniently and the
data collected can be inferred in a correct manner. In this project, Judgemental
Sampling and Convenience Sampling techniques are used.
22
23. Sample Size: 73
Sample Unit: Garages/Autoelectricians
Research Area: 1. Bharalumukh-to-Adabari
2. Jalukbari-to-Beharbari
3. Noonmati-to-Guwahati Club
RESEARCH INSTRUMENT
In order to collect the primary data for the research,the questionnaire was chosen
as the primary research instrument.Also,interview with each of the garage
owners/autoelectrician
provided
some
light
towards
the
objective
of
the
project.Therefore,interview can also be termed as one of the research instrument.
DATA ANALYSIS AND INTERPRETATION
The data analysis for this project has been done with the help of SPSS.Various
pictorial charts like bar diagram, column charts have been used to interpret the
results of the survey.
23
24. 4. ANALYSIS AND INTERPRETATION
1. Number of garages surveyed.
Surveyed Area
Frequency
Areas
Percent
Valid Percent
Cumulative
Percent
Bharalu-Adabari
42
57.5
57.5
57.5
Jalukbari-Beharbari
23
31.5
31.5
89.0
8
11.0
11.0
100.0
73
100.0
100.0
Noonmati-Guwahati club
Total
Frequency of Visits
45
40
35
30
25
20
15
10
5
0
Bharalu-Adabari
Jalukbari-Beharbari
Noonmati-Guwahati Club
Frequency of Visits
The bar diagram interprets that maximum respondents were from Bharalu-Adabari
area.
The Jalukbari-Beharbari area comes in second with 23 respondents.
24
25. 2.Number of vehicles attended by the garages per month.
Vehicles Attended/Month
No. of
Vehicles
Cumulative
Frequency
Percent
Valid Percent
Percent
0-20
14
19.2
19.2
19.2
20-50
44
60.3
60.3
79.5
50-100
14
19.2
19.2
98.6
>100
1
1.4
1.4
100.0
Total
73
100.0
100.0
Frequency
50
45
40
35
30
25
20
15
10
5
0
0-20
20-50
50-100
>100
Frequency
From
the
above
bar
diagram
it
can
be
interpreted
garages/autoelectricians dealt with 20-50 vehicles per month.
25
that
most
of
the
26. 3.Sale of batteries per month by a garage.
Battery Sale/Month
No. of
Batteries
Cumulative
Frequency
Percent
Valid Percent
Percent
<5
46
63.0
63.0
63.0
5-10
19
26.0
26.0
89.0
10-20
7
9.6
9.6
98.6
>20
1
1.4
1.4
100.0
Total
73
100.0
100.0
Frequency
50
45
40
35
30
25
20
15
10
5
0
<5
5 to 10
10 to 20
>20
Frequency
From the bar diagram it can be interpreted that the battery market is a very lowvolume market. Maximum garages deals with less than 5 units of the product.
26
27. 4.Analysis for battery brand availability in garages and autoelctric shops.
Battery Brand Available
Cumulative
Brands
Frequency
Exide
Percent
Valid Percent
Percent
23
31.5
31.5
31.5
Amaron
1
1.4
1.4
32.9
AMCO
1
1.4
1.4
34.2
Others
1
1.4
1.4
35.6
Exide,SF Sonic
3
4.1
4.1
39.7
Exide,Amaron
29
39.7
39.7
79.5
Exide,Sf Sonic Amaron
11
15.1
15.1
94.5
4
5.5
5.5
100.0
73
100.0
100.0
Exide,Amaron,Others
Total
Availability
80
70
60
50
40
30
20
10
0
Exide
Sonic
Amaron
Amco
Others
Availability
The diagram shows us that the brand Exide has dominated the market in the
surveyed areas followed by Amaron.SF Sonic is yet to catch up with the
aforementioned brands.
While the market for AMCO and Others are almost negligible.
27
28. 5.Analysis of the factor for recommending a battery to a customer.
Factors For Recommendation
Cumulative
Factors
Frequency
Percent
Valid Percent
Percent
Price
18
25.0
25.0
25.0
Availability
18
25.0
25.0
50.0
After Sales Service
9
12.0
12.0
62.0
Durability
9
12.0
12.0
74.0
Brand name
19
26.0
26.0
100.0
Total
73
100.0
100.0
Frequency
20
25%
26%
25%
15
12%
10
12%
5
0
Price
Availability
After Sales Service
Durability
Brand name
Frequency
It can be interpreted that the main factors for recommending batteries to a
customer are Price, Availability and Brand Name.The garages/autoelectrician
considers these factors before they sell batteries to their consumers.
The factors of After Sales Service and Durability are not given as much importance
as the other factors.
28
29. 6.Analysis for the main motivating factor for recommendation.
Motivating Factor For Recommendation
Cumulative
Motivating factors
Frequency
Profit Margin
Percent
Valid Percent
Percent
24
6.8
6.8
39.7
47.9
47.9
87.7
7
9.6
9.6
97.3
2
2.7
2.7
100.0
73
Gifts & Benefits from
32.9
35
Customer Satisfaction
32.9
5
Credit days
32.9
100.0
100.0
company
Others
Total
Others
2.7%
Gifts & Benefits from company
9.6%
Customer Satisfaction
47.9%
Credit days
6.8%
Profit Margin
32.9%
0
5
10
15
20
25
30
35
40
Frequency
The diagram depicts that the main motivating factor for recommending a battery to
consumers is Customer Satisfaction followed by Profit Margin.These two are the
primary motivating factors for battery recommendation to consumers.
29
30. 7.Analysis of SF Sonic brand ratings by respondents.
The question was in the form of a Semantic Differential scale-
Low 1---2---3---4---5 High
Brand Ratings SF Sonic
Cumulative
Ratings
Frequency
Percent
Valid Percent
Percent
3.00
14
19.2
19.2
19.2
4.00
46
63.0
63.0
82.2
5.00
13
17.8
17.8
100.0
Total
73
100.0
100.0
13
5
5
46
4
4
14
3
3
2
0
1
0
2
1
0
10
20
30
Frequency
40
50
Ratings
From the chart it can be deciphered that the respondents have rated SF Sonic to
almost a higher rating.But,it has to be noted that the second highest rating
received is neutral.
30
31. 8.Analysis of Exide brand ratings by respondents.
The question was in the form of a Semantic Differential scale-
Low 1---2---3---4---5 High
Brand Rating Exide
Cumulative
Rating
Frequency
Percent
Valid Percent
Percent
4.00
5
6.8
6.8
6.8
5.00
68
93.2
93.2
100.0
Total
73
100.0
100.0
30
40
5
4
3
2
1
0
10
20
Frequency
50
60
70
80
Ratings
It can be observed that the ratings for Exide batteries have been a consisitently
high.Thus,the respondents deem the Exide batteries very highly.
31
32. 9.Analysis of Amaron brand ratings by respondents.
The question was in the form of a Semantic Differential scale-
Low 1---2---3---4---5 High
Brand Rating Amaron
Cumulative
Rating
Frequency
Percent
Valid Percent
Percent
2.00
2
2.7
2.7
2.7
3.00
7
9.6
9.6
12.3
4.00
22
30.1
30.1
42.5
5.00
42
57.5
57.5
100.0
Total
73
100.0
100.0
5
4
3
2
1
0
10
20
30
Frequency
40
50
Ratings
From the figures above it can be noticed that Amaron have a high rating of 56%
and closely followed by a rating of 30%.
32
33. 10.Analysis of all the brands price rating by respondents.
The question was in the form of a Semantic Differential scale-
Low 1---2---3---4---5 High
Ratings
1
2
3
4
5
SF Sonic
0
7
25
41
0
Exide
0
8
19
45
1
1(low)
Amaron
0
34
32
7
0
2
3
4
AMCO
9
33
18
13
0
Others
18
25
29
1
0
5(high)
45
41
34
33
32
29
25
25
19
18
18
13
8
7
0
0
SF Sonic
1
0
Exide
9
7
0
0
Amaron
0
AMCO
1 0
Others
Here,the ratings of the prices of all the brands by the respondents are analysed.It
can be concluded thatMaximum respondents perceive SF Sonic as a relatively high priced product
Maximum respondents rated Exide as a relatively highly priced product
Amaron brand has been rated as a reasonably priced and relatively low
priced product by the respondents.
33
34. 11.Analysis of all the brands availability in the surveyed market area.
The question was in the form of a Semantic Differential scale-
Low 1---2---3---4---5 High
Ratings
1
2
3
4
5
SF Sonic
0
18
29
17
9
Exide
0
0
0
4
69
1(Low)
Amaron
0
0
3
24
46
2
3
AMCO
9
9
20
23
12
4
Others
8
14
33
18
0
5(High)
69
46
33
29
18
24
20
17
9
0
0 0 0
SF Sonic
4
Exide
23
9 9
0 0
3
Amaron
12
14
18
8
0
AMCO
Others
The availability of all the brands has been portrayed in this bar diagram.It can be
observed that:
SF Sonic products are reasonably available in the garages/autoelectric shops
of the surveyed areas.
Exide batteries have the highest presence in the surveyed market areas.
Amaron also have a high presence in the market areas where survey was
done
34
35. 12.Analysis of reliability of all the brands of battery as responded by the
respondents.
The question was in the form of a Semantic Differential scale-
Low 1---2---3---4---5 High
Ratings
1
2
3
4
5
SF Sonic
0
9
26
37
1
Exide
0
1
4
38
30
1(Low)
Amaron
0
0
11
42
20
2
3
AMCO
19
8
38
8
0
4
Others
27
42
3
1
0
5(High)
42
42
38
37
38
30
27
26
20
11
9
1
0
SF Sonic
0 1
19
8
8
4
Exide
0 0
0
Amaron
AMCO
3
1 0
Others
The above bar diagram describes the reliability of all the brands:
SF Sonic is relatively highly reliable with 37 respondents rating it 4.
The Exide brand has been rated 4 by 38 respondents closely followed by 30
respondents terming it highly reliable.
The Amaron brand have had a rating of 4 from 42 repondents and 20
respondents rated that it is highly reliable.
35
36. 13.Analysis of brand availability with respect to surveyed areas.
Bharalumukh-Adabari: 42
Jalukbari-Beharbari: 23
Noonmati-Guwahati Club: 8
Total area surveyed: 73
Area
SF
Exide Amaron AMCO Others
Sonic
14
42
30
9
2
5
20
8
3
3
0
8
7
0
0
Bharalumukh-Adabari
Jalukbari-Beharbari
Noonmati-Guwahati Club
Bharalumukh-Adabari
Jalukbari-Beharbari
Noonmati-Guwahati Club
42
30
20
14
8
8
5
7
9
3
0
SF Sonic
0
Exide
Amaron
AMCO
2
3
0
Others
The above analysis states that:
SF Sonic has prime market presence in the Bharalu-Adabari area.
Exide has a major market presence in all the areas.
Amaron has the least presence in the Jalukbari-Beharbari area and a high
market presence in the other two areas.
36
37. FINDINGS
Almost all garage owners prefer Exide batteries.
Exide is maintaining a good quality and is also providing different variety and
ranges.
Exide has a faithful customer base and a good distributing channel and
network for which products are available in time.
A major setback is the high price of the batteries and the delay in
replacement.
The SF brand is yet to be recognized in certain circles. Lacks awareness.
Batteries are purchased on the basis of their brand name, followed by, their
price and availability.
The garage owners prefers profit while recommending a battery to a
customer.But,their prime concern is customer satisfaction.
The battery market is a low volume-high capital enterprise which requires
companies to keep a constant vigil and grasp on their existing customer
base.
Competition for SF Sonic product is primarily from Exide and Amaron.
Certain customers prefer better after sales service as they don’t want to
hassle with their consumers.And,it has been remarked that SF Sonic service
has been found below par in certain places.
The company does not have any personal communication with its customer
base i.e periodic surveys or assessments as is done by its competitors.
37
38. SWOT ANALYSIS
STRENGTH:
SF Sonic is a product based on Japanese technology.
SF Sonic is a brand of the reputed Exide Industries Limited.
SF Sonic has only distributors,thus increasing profit margin.
SF Sonic has a wide range of products.
WEAKNESS:
It has a low brand awareness among the masses.
Proper brand promotion has not been done yet.
Distributorship
has
been
awarded
in
a
very
haphazard
and
unstructured manner.
Services of the batteries have been graded as poor by the market.
OPPORTUNITIES:
This is a developing
market,thus,SF Sonic have
an enormous
opportunity here.
The vehicle market is booming in this region.
This is an oligopolistic market in this region,therefore,lots of avenues
to improve.
THREATS:
Exide and Amaron are way ahead in the market
Unwillingness of the consumers to try out new products.
Cheap products by Amaron
38
39. 5. RECOMMENDATION AND CONCLUSION
RECOMMENDATION:
SF Sonic should focus towards aggressive brand promotion by putting up
hoardings over the city and posters in garages,car dealers,etc so as to grab
the attention of the masses.
SF Sonic should put up quality service centres at strategic locations so that
replacements and repairing are done as fast as possible.
The commercial vehicle market is a large one.Therefore,the company should
focus at attractive exchange offers since most of the trekker and auto
rickshaw drivers prefer to exchange their old batteries for the new ones.
The company should also put in a major effort to keep in touch with their
customer base i.e the garages,autoelctric shops,retailers by conducting
periodic surveys in order to learn their problems or grievances.
SF Sonic should also periodically reward or appraise their customer base so
as to keep them motivated and loyal.Gifts like pens,T-shirts with SF Sonic
logo,calendars,etc should be gifted on performance basis.
The company should try not to populate the market with excessive
distributors.Instead
it
should
work
hand-in-hand
with
a
handful
of
distributors at various strategic locations in that market.
SF Sonic should start making in-roads deep into the rural market as the
brand lacks awareness in those places.
The company in order to penetrate the market should initiate favourable and
attractive credit policies so that it’s product is accessible to even small time
garages,autoelectricians and retailers.
SF Sonic should look into the warranty factor and should increase warranties
on in order to compete with their competitors.
Proper marketing communication should be done through popular medium
like radio,local magazines and newspapers.
39
40. CONCLUSION:
This project has been an enlightening experience.Extensive field work,research
and analysis has been done in order to attain this stage.It can be concluded that
SF Sonic products are yet to reach its pinnacle in this region as it is lacking
punch
in
the
areas
of
brand
awareness,market
penetration
and
service.However,it must be mentioned that SF Sonic is a very reputed brand
with high-end Japanese technology embedded in its products and in order to
gain foothold in this region it must come up with definitive solution on how it will
deal with its marketing communication predicament.SF Sonic must also come up
with ideas to outwit Amaron and Exide as these are its major competitors.
Recommendations has been provided on how to tackle all the problem,increase
the sales and cement its name as one of the leading automotive battery maker
of the region.
40
41. BIBLIOGRAPHY
BOOKS:
Marketing Research:An Applied Orientation
Naresh K.Malhotra, Satyabhushan Dash
Marketing Management:A South Asian perspective
Philip Kotler,Kelvin Lane Keller,Abraham Koshy,Mithileshwar Jha
WEBSITES:
www.exideindustries.com
www.sfsonicpower.com
www.scribd.com
www.slideshare.net
41
42. ANNEXURE-I: WEEKLY PROGRESS REPORT
Name: Himangshu Patwari
Roll No: 23/D/2011
Company: Exide Industries Limited
Project Title: A Market Study on SF Sonic Batteries Entailing Its Brand Perception and
Market Capitalization
Faculty Guide: Dr.Pratul Ch. Kalita
Work assigned
Briefing
Week1
Surveying
Week2
Company Guide: Mr.Dhrubajit Mahanta
Work Done
REMARKS (If any)
Mr.Dhrubajit Mahanta briefed me
on the project I was to work
upon. I was provided with a
questionnaire, catalogues, pens
and key rings for distribution.
I
started
surveying
from
Bharalumukh
and
ended
at
Maligaon..
Surveying
Again continued from Maligaon till
Jalukbari.Finished
the
first
assigned area.
Surveying
Started the second assigned area
from
Jalukbari
to
Beharbari.Finished it.
Surveying
Completed the third assigned
area from Noonmati to Guwahati
Club.
Reported to Dhrubajit Mahanta Sir
and briefed about the findings of
the survey.Contacted institution
guide,gave
insights
into
preparation for the report.
Have
begun
to
make
report.Visited institution guide for
assistance.
After lunch people
do not prefer to
respond.
Week3
Week4
Week5
Briefing
Week6
Report
Preparation
Week7
Finished Reprt
Very tedious.Had to
walk all the way.
Institutional guide was
very helpful and
inspiring.
Gave final touch to report.
Week8
Date:
Signature of Student.
42
43. ANNEXURE-III:SURVEY SAMPLE
GARAGE
Eryx Engg. Works
Devi Automobile
Karuna Motor Works
Amit Motor Works
Mono Motor Works*
B.K.Automobile
Singh Automobile
Perfect Auto Works*
India Automobile Works
Choudhury Works
Ammajan Automobiles
M.K.Motorcycle Workshop
Sonu Automobiles
Alam Auto Electrical Works
Rhino Automobiles
Pawan Putra Body Garage
Bajrang L.P
Bharat Auto Electric Works
Maa Kamakhya
Shabbir Auto Electric*
G.B.Motors
M.K.Dynamo
Maa Kali Scooter Works
Asian Auto Electric Works
Bharati Auto Electric Works
Pradip Motor Works
Maa Electronics*
Jay Baba Loknath
General Motors*
Noor Motors
Bhai Bhai Maruti Workshop
Mona Motors
Maa Scooter Works
Singh Electrical Works
Om Motor Works
Nani Motors
Goswami Maruti Service
Maramy Motor Works
Address
Bamunimaidam
Last Gate,Noonmati
Guwhati College
Guwhati College
Noonmati
Noonmati
Guwahati College
Bamunimaidam
Beharbari
Beharbari
Beharbari
Beharbari
Beharbari
Beharbari
Nalapara
Nalapara
Nalapara
Goralia
Tetelia
Lokhra
Lokhra
Lokhra
Lokhra
ISBT,Lokhra
Lokhra
Lokhra
Gorchuk
Gorchuk
Jalukbari
Jalukbari
Jalukbari
Kabrastan,Athgaon
Kumarpara
Petrol Pump,Kamakhya
Kalipur
Kalipur
Kamakhya
Kamakhya
43
CONTACT
NAME
PHONE No.
Sarat Das
Pulen
Karuna
Amit
Anuj Deka
B.K.Ghosh
943519227
9678349284
9085395657
9706960902
3612550115
8857184951
Hari Sarkar
Aniket
Umesh Choudhury
Babu
Amrit Kachari
9859121158
9864090856
8254002811
9884149520
9864014856
9954621304
9706073173
9435107261
9864816025
9435019276
9859464647
9854332235
Alam
Ram Sharma
Rajesh Sharma
Das
Nandalal Kumar
Shabbir
Jhantu Dey
Ali
Jatan
Dinesh Bharti
Pradip
Ksukan
Ashuruddin
Shankar Sarkar
Raju
Naba
Meen
9954347599
9085040775
9706016523
9954729197
9864129065
9864170187
9435111873
9864235750
9864129536
9854989589
9954738500
9864850814
9954758798
9864198104
9864354244
9864428264
9864043714
44. Maa Shardha Works
Haloi Engg. Works
Grand Auto Engg. Works
Barua Motor Works
B.Maruti Motor Works
B.Barua Motor Works
Ali Motorcycle Workshop
Rahul Motor Works
New Maruti Works
Tinku Motor Works
Deep Maruti Engg. Works
Guwahati Maruti Motor
Works
Usha Auto Electrical Works
Maa Tara Motor Works
Basanti Motor Works
Maa Kiran Auto Electrical
Works
Maa Kamakhya Motor Works
Nilachal Auto Electric Motors
City Maruti Works
B.Battery
Maa Auto Electrical Works
Ghosh Garage
Sarkar Auto *
Anil Motor Works
Raju Auto Works
Maruti Friends Auto
Chakraborty Electrical Works
J.B Electrical Works
Joy Guru Automobile
Dey Auto Electric Works
City Motor Works
A.S.Auto Electric Work
Ganesh Electrical Works
A.R Maruti Works*
Kamakhya
Santipur
Kalipur
Kamakhya
Kamakhya Gate
Kamakhya Gate
Santipur
Bharalumukh
Bharalumukh
Bharalumukh
Bharalumukh
Ali
Rahul
Bhuttu Ali
Pradip Chetri
Chiranjeev
9085684003
9957638116
9613689371
9435103841
9864801559
9435147727
9864021828
9508532288
9706762698
9707022771
9854875867
Santipur
Santipur
Santipur
Santipur
Kalita
Bipul Sarkar
Naren Sarkar
Pradip Sarkar
9957763089
9954279337
9435113642
8011490770
Santipur
Kamkhya
Kamakhya
Adabari
Adabari
Adabari
Boripara
Boripara
Adabari
Adabari
Adabari
Sarabhati
Sarabhati
Kumarpara
Chabipool
Kabrastan,Athgaon
Fatasil
Chabipool
Kabrastan,Athgaon
Balaram Mirjya
Sitaram Thakur
Nimay
Raju
Bijoy Roy
Abhay Kalita
Amar Ghosh
Sukumar Sarkar
Anil
Raju Chetri
Bappon Roy
Chakraborty
Joy Bhattacharya
Chandan Pal
Ratan Dey
Md.Ataur Rahman
9864160539
44
Haloi
Peepli Singh
Pradip Barua
Hassan Ali
9864610579
9864074644
8011103945
7399457065
8822488883
9954845071
9864084241
9854155789
9435045002
9864850711
9957210035
9954715502
9435145914
9954145137
9864128138
9864096430
9435198066
