CHAPTER NO.

1
INTRODUCTION

1
Introduction to the topic:

Consumer Behaviour is a study of when, why, how, and where people do

not buy a product. It blends elements from psychology, sociology, social and
anthropology and economics it attempts to understand the buyer decision making
process, both individually and groups. It studies characteristics of individual
Consumer such as demographic and behavioural variables in an attempt to
understand peoples wants. it is also try to assess influences on the consumer from
groups such as family, friends, reference groups, and society in general. A
consumer is the ultimate user of a product or service. The overall consumer
market consists of all buyers of goods and services for personal or family use. The
study of consumer helps firms and organisation improve their marketing strategies
We are recently watched on report on customer buying behaviour based on
democracy. In this report we are studied how people are marketing. What they
need at the time of marketing. What is the point which influenced customers?

2
 CHAPTER NO. 2
COMPANY PROFILE

3
Vision of Indane Gas:

"To be the foremost provider of safe, reliable, and environmentally sustainable

LPG solutions, enhancing the lives of our consumers and communities we serve."

Mission of Indane Gas:

• Ensure the safety and satisfaction of our customers by delivering high-

quality LPG products and services.

• Foster innovation in technology and operations to continually improve

efficiency and sustainability.

• Cultivate strong relationships with stakeholders, including customers,

employees, distributors, and regulators.

• Promote responsible consumption practices and contribute to the well-being

of society and the environment.

• Uphold the highest standards of integrity, ethics, and corporate governance

in all aspects of our business operations.

4
 Indane is a subsidiary of Indian Oil Corporation which is under the
ownership of Ministry of Petroleum and Natural Gas of the government of India.
It is the world's second largest government-owned subsidiary responsible for
manufacturing LPG. The brand was conceived in 1964 to bring modern cooking
to Indian kitchens. The first Indane LPG connection was released on 22 October
1965 at Kolkata. Indane serves more than 130 million families through a network
of 12,500 distributors. 27% of its customers reside in semi-urban or rural markets
and every second LPG cooking gas connection in India is that of Indane. The
sales network is backed by 47 Indane area offices. The brand has been awarded
the title of "Superbrand" by Superbrand India.

5
 Indian Oil Corporation (Indian Oil) is India's largest commercial enterprise
headquartered in Delhi, with a sales turnover of Rs. 4,50,756 crore (US$ 73.7
billion) and profits of Rs. 5,273 crores for the year 2014-15. It is also the leading
Indian corporate in Fortune's prestigious 'Global 500 listing of the world's largest
corporate, ranked at the 119th position for the year 2015.

As India's flagship national oil company, with a 33,000-strong work-force

currently, Indian Oil has been meeting India's energy demands for over half a
century. With a corporate vision to be 'The Energy of India' and to become 'A
globally admired company, Indian Oil's business interests straddle the entire
hydrocarbon value-chain from refining, pipeline transportation and marketing of
petroleum products to exploration & production of crude oil & gas, marketing of
natural gas and petrochemicals, besides forays into alternative energy and
globalization of downstream operations.

Having set up subsidiaries in Sri Lanka, Mauritius and the UAE, the
Corporation is simultaneously scouting for new business opportunities in the
energy markets of Asia and Africa. It has also formed about 20 joint ventures with
reputed business partners from India and abroad to pursue diverse business
interests.

6
History

The marketing operations for LPG commenced in India in 1955 at Mumbai,

under the Burmah Shell Oil Company. It was not until Indian Oil took charge that
it actually became a flourishing and recognizable industry. Brand Indane was
conceived in 1964 and had very modest beginnings. The first Indane LPG
connection was released on 22 October 1965 at Kolkata. Indane began operations
in October 1965, with two dealerships in Kolkata and Patna, and a consumer base
of around 2,000.[7] At that time the concept of a cooking gas was new to the
customers and they were apprehensive of keeping a gas cylinder in their kitchens,
perceiving it as unsafe and a potential hazard.

More than 50 years later, Indane now has a customer base of more than 130
million and its distribution network delivers more than 2 million LPG cylinders in
a day.

7
 Indane

Product LPG[1]
type
Owner Indian Oil Corporation, Ministry
of Petroleum and Natural
Gas, Government of India[2]
Country India
Introduce 1965
d
Markets India
Tagline Safe. Reliable. Convenient.
Website Indane website

8
FUTURE PLANS

Indane Gas, a prominent name in India's LPG sector, is charting a future

course focused on expansion, accessibility, and innovation. With a commitment to
reaching more households, particularly in rural and remote areas, the company
aims to ensure that clean cooking fuel is available to all. Embracing the digital
era, Indane Gas is enhancing customer experiences through online services such
as booking facilities and digital payment options. Moreover, the company is likely
to continue its emphasis on safety, investing in robust protocols and training to
safeguard both customers and employees. As the world shifts towards sustainable
practices, Indane Gas may also delve deeper into green initiatives, exploring eco-
friendly LPG options and renewable energy sources. Diversification of products
and services remains on the horizon, potentially introducing new LPG-related
products or energy-efficient appliances. Furthermore, the company's commitment
to Corporate Social Responsibility is evident through its community development
projects, healthcare initiatives, and environmental conservation efforts. Aligned
with government schemes and industry trends, Indane Gas is poised to navigate
the future with a blend of innovation, sustainability, and customer-centricity.

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 CHAPTER NO.3
OBJECTIVE OF THE STUDY

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Objectives Of The Study

1. To identify the factors which influence the selection of Indane LPG's in

Chhatrapati Sambhajinagar.

2. To study the detailed profile of IOCL and Indane LPG.

3. To analyse the service quality perceptions of the customers in Indane LPG

4. To examine the expectations and the level of satisfaction of the customers

towards the service rendered by Indane LPG.

5. To study the customers opinion with regard to after sales service of their gas
delivery.

6. To analyse the problems faced by the customer and service provided by

Indane LPG.

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 CHAPTER NO.5
METHODOLOGY OF THE STUDY

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METHODOLOGY OF STUDY

Methodology refers to the systematic and organized approach used to

conduct research or pursue a project. It outlines the procedures, techniques, and
tools employed to gather and analyze data, as well as the rationale behind these
choices. Methodology encompasses the overall research design, data collection
methods, sampling techniques, data analysis procedures, and considerations of
validity, reliability, and ethical principles. It serves as a roadmap that guides
researchers or practitioners in systematically investigating a problem, answering
research questions, or achieving project objectives. Methodology ensures that the
research process is transparent, rigorous, and reproducible, thereby enhancing the
credibility and trustworthiness of the findings. Additionally, it provides a
framework for evaluating the strengths, limitations, and implications of the
research or project outcomes. Ultimately, methodology serves as the foundation
upon which meaningful insights and conclusions are built.

Methods of collection of data.

1. Primary Data:-

Primary data was collected from Indane consumers through personal

interviewing techniques. The interview was conducted at the LPG distribution
point. A structured questionnaire was designed to conduct the interview. The
sample size has been decided and divided accordingly to four distributors. The
distributors are Sainik indane gas agencies, Suresh Gas Agencies, ABK Pharma
Distributers, Sony Gas Stove Service, Arunachala Gas Agency. These four
distributors are located in prominent part of the city.

Questionnaire

The researcher will collect the data from the customers by administering the
questionnaire. The questionnaire will contain 25 questions which are close ended
questions to analyse the satisfaction level of the customers in Indane Gas
Company in Madurai City.

13
2. Secondary Data:

Secondary Data was collected to get a better understanding of the following:

The research problem. Indian Oil and Indane distributors code of conduct.

Various rules and regulation regarding purchase and sale of LPG.

Rights of the distributors and consumers.

Grant of new connection and transfer of connection.

Various non fuel products sold by the Indane Distributors.

Services offered by the Indane Distributors.

Other relevant information.

The data was collected from Indane's consumers and distributor's code of conduct
manual, IOCL's magazines, journals, newspapers and websites like:

www.lock.com

www.loclbizz.com

www.petroleum.nic.in

www.google.com.

14
 CHAPTER NO.5

STUDY OF LITERATURE

15
 BRIEF INTRODUCTION OF THE TOPIC

CONSUMER Behaviour

One thing that we have in common is that we all are consumers. In fact
everybody in this world is a consumer. Every day of our life we are buying and
consuming an incredible variety of goods and services. However, we all have
different tastes, likes, dislikes, and adopt different behaviour patterns
wheelmaking purchase decisions. The term consumer behaviour refers to the
behaviour that consumers displaying searching for purchasing using evaluation
and disposing in searching for purchasing using evaluating and disposing of
products and services that they exact will satisfy o how individuals make
decisions to send their available resources (time, money and effort) on
consumption related items. It includes the study of ³What they buy´, ´Why they
buy´, ³When they buy it´, ³Where they buy it´, ³how often they buy it´ and ³how
often they use.

Nature of Consumer Behaviour In uenced by various factors

The various factors that influence the consumer behaviour are as follows:

1. Marketing factors such as product design, price, promotion, packaging,

positioning and distribution.
2. Personal factors such as age, gender, education and income level.

3. Psychological factors such as buying motives, perception of the product and

attitudes towards The product.
4. Situational factors such as physical surroundings at the time of purchase, social
surroundings And time factor.
5. Social factors such as social status, reference groups and family.

6. Cultural factors, such as religion, social class—caste and sub-castes.

16
fl
 Definition of consumer behaviour
“the study of individuals, groups, or organizations and the processes they used to
select, secure, use, and dispose of products, services, experience, or ideas to
satisfy the needs and the impacts that these processes have on the consumer and
society.”

It brings useful points:

1. Behaviour occurs either for the individual, or in the context of group (e.g., friends
influence what kind of clothes a person wears) or an organization (people on the
job make decision as to which products the firm should be use).
2. Consumer behaviour involves the use and disposal of products as well as the
study of how they are purchased. Consumer behaviour involves services and ideas
as well as tangible products.
3. The impact of Consumer behaviour on society also of revenue. For example, the
aggressive marketing of high fat foods, or aggressive marketing of easy credit,
may have serious repercussions for the national health and economy.

The study of consumer behaviour helps firms and organization

improve their marketing strategies by understanding issues such
as how
A. The psychology of how consumers think, feel, reason, and select between
different alternatives (e.g., brands, products, and retailers)
B. The psychology of consumer while shopping or marketing other decision.

C. Limitation in consumer knowledge or information processing abilities influence

decision marketing outcome.
D. How consumer motivation and decision strategies differ between products that
differ in their level of importance or interest that they entail for consumer; and
E. How marketers can adopt and improve their marketing campaigns and marketing
strategies to reach the consumer more effectively.

17
 There are three main applications of consumer behaviour
• The most obvious is for marketing strategy- i.e., for marketing better marketing
campaign\ns. For example, by understanding that consumers are more receptive to
food advertising when they are hungry, we learn to schedule snack advertisement
late in the afternoon. By understanding new products are usually initially adopted
by a few consumers and only spread later, and then only gradually, to the rest of
population, we learn that
• Companies that introduced new products must be well finance so that they can
stay afloat until their products become a commercial success and
• It is important to please initial customers, since they will in turn influence many
subsequent customers brand choice
• Social marketing involves getting ideas across to consumers rather than selling
something. Many Fishbein, a marketing professor, went on sabbatical to work for
the centres for disease control trying to reduce the incidence of transmission of
diseases through illegal drug users to stop. This, however, was deemed to be
infeasible. It was also determined that the practice of sharing needles was too
ingrained in the drug culture to be stopped. As a result, using knowledge of
consumer attitude, Dr. Fishbein
created a campaign that encourage the cleaning of needles in bleach before sh
aring them, a goal that was believed to be more realistic.
• As a final benefit, studying consumer behaviour should make us better consumers.
Common sense suggests, for example that if you buy a 64 liquid ouncebottle of
laundry detergents, you should pay less per ounce than if you bought two 32-
ounce bottles. In practices however, you often pay a size premium buying the
larger quantity. In other words, in this case, knowing this fact will sensitize you to
the need to check the unit cost labels to determine if you are really getting a
bargain. Consumer behaviour study is based on consumer buying behaviour, with
the consumer plying the three distinct roles of user, payer, and buyer. Relationship
marketing is an influential asset for consumer behaviour analysis as it has taken
interest in the re-discovery of the true meaning of marketing through the
affirmation of the importance of the consumer or buyer. A greater importance is
also place on consumer retention.
•
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 Stages of the Consumer Buying Process:
Six stages to the consumer buying decision process (for complex decisions).
Actual purchasing is only one stage of the process. Not all decision process led to
purchase.

Problem recognition (awareness of need)

Difference between the desired states and the actual condition. Deficit in
assortment of products.
Hunger-Food. Hunger stimulates your need to eat.
Can be stimulated by the marketer through product information- - did not know
deficient? I.E., see a commercial for a new pair of shoes, stimulates your
recognition that you need a new pair of shoes.

Information search:
Once the consumer has recognised a problem, they search for the information on
products and services that can solve that problem.
Belch and Belch (2007) explain that consumer that undertake both an internal
(memory) and external search.
Sources of information include:
• Personal sources
• Commercial sources
• Public sources
• Personal experience
The relevant internal psychological process that is associated with information
search is perception. Perception is defined as “the process by which an individual
receives, select, organize and interprets information to create meaningful picture
of the world”.

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 The selective perception processes

Stage description

• Selective exposure consumer selects which promotional message they will expose
themselves to.
• Selective attention consumer selects which promotional message they will pay
attention to.
• Selective comprehension consumer interpret message in line with their beliefs,
attitudes, motive, and experiences.
• Selective retention consumer remember message that are more meaningful or
important to them.
The implications of this process help develop an effective promotional strategy
and select which sources of information are more effective for the brand.

Evaluation of Alternatives:

Need to establish criteria for evaluation, features the buyer wants or does not
want. Rank/weight alternatives or resume search. May decide that you want to eat
something spicy. Indian gets highest rank etc.
If not satisfied with your choice, then returns to the search phase. Can you
think another restaurant? Look in the yellow pages etc. Information from different
sources be treated differently. Marketers try to influence by “farming”
alternatives.

Purchase Decision:
Choose buying alternatives, includes product package, store, method of purchase

etc.

Purchase:
May differ from decision, time laps between 4&5, product availability.

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 Post-purchase Evaluation:
Outcome: satisfaction or dissatisfaction. Cognitive Dissonance, have you made
the right decision? This can be reduced by warranties, after sales communication
etc. After eating an Indian meal, may think really you wanted a Chinese meal
instead.

The EKB (Engel, kola, Blackwell model) model was further developed by
Rice (1993) which suggested there should be a feedback loop, fox all (2005)
further suggests the importance of the post purchase evaluation and the is key due
to influences on future purchase patterns.

Motivation and recognition of need:

The EKB model of consumer behaviour was originally designed to save as

framework for organizing the fast-growing body of knowledge concept of
consumer behaviour.

Like hard-set model it has gone through a no of reversion aimed at improving

its descriptive ability & clarifies basic relationship between component &
subcomponent.

Decision focus of model is on 5 basic decision process stage:

• Motivation and Recognition of need

• Information Search

• Evaluation alternative

• Purchase

• Outcome

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 Information search
Information from marketing source feed into information processing section of
model. It has little influence at the problem recognition stage of decision-making
process.

Evaluation of alternatives:
The information processing sect. of model consist of consumer export
attention, comprehension/ perception of extending accepting & retention of
marketer dominated & non dominated.
Purchase:
Last model of individual &environmental influence that affect all 5stage of
process

• Individual characteristic motive, value, lifestyle & personality

• Social influence is culture reference group & family

• Situation influence such as consumer financial condition influence the decision

process.

Factors influences consumer buying behaviour

• Internal Influences

Consumer behaviour is influenced by demographics, psychographics

(lifestyle), personality motivation, knowledge, attitude, beliefs and feeling.
Consumer behaviour concern with consumer need consumer action in the
direction of satisfying needs to leads to his behaviour of every individual depends
on thinking.

• External Influences

Consumer behaviour is influenced by culture, sub-culture, locality, royalty,

ethnicity, and family, social class, experience reference groups, lifestyle, and
market mix factors.

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 Types of Consumers Buying Behaviour.

Types of consumers buying behaviour are determine by:

• Level of involvement in purchase decision. Importance and intensity of interest in

a product in a particular situation.
• Buyers’ level of involvement determines why he/she is motivated to seek
information

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 The purchase of the same product does not always elicit the same buying

behaviour. Products can shift from one category to next.

For example:

Going out for dinner for one person may be extensive decision making (for
someone that does not go out often at all), but limited decision making for
someone else. The reason for the dinner, whether it is an anniversary celebration,
or a meal with a couple of friends will also determine the extent of the decision
making.
Types of Consumers Buying Behaviour are determined by:

· Level of involvement in purchase decision. Importance and intensity of interest

in a product in a particular situation.

· Buyers ‘level of involvement determines why he/she is motivated to seek

information about a certain products and brands but virtually ignore others.

The four types of consumers buying behaviours are:

• Routing response/programmed behaviour –buying low involvement
frequently purchased low-cost items; need very little search and decision effort;
purchase almost automatically. Examples include soft drinks, snack foods, milk
etc.

• Limited decision making—buying product occasionally-. When you

need obtained information about unfamiliar brand in a familiar product category,
perhaps require a moderate amount of time for information gathering. Examples
include clothes—know the product class but not the brand.

• Extensive decision making: complex high involvement, unfamiliar,

expensive and/or frequently bought products. High degree of economic
performance/physiological risk. Example includes cars, homes, computers,
education. Spend a lot of time seeking information and deciding.
• Information from the companies friends and relatives, store personal etc. go
through all six stages of the buying process.

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• Impulse buying, no conscious planning.
• The purchase of the same product does not always elicit the same buying
behaviour.

Products can shift from one category to next.

For example: Going out for dinner for one person may be extensive making.

Nature of Consumer Behaviour Influenced by various factors

The various factors that influence the consumer behaviour are as follows:

7. Marketing factors such as product design, price, promotion, packaging,

positioning and distribution.
8. Personal factors such as age, gender, education and income level.
9. Psychological factors such as buying motives, perception of the product and
attitudes towards The product.
10. Situational factors such as physical surroundings at the time of purchase, social
surroundings And time factor.
11. Social factors such as social status, reference groups and family.
12. Cultural factors, such as religion, social class—caste and sub-castes.

Undergoes a constant change

Consumer behaviour is not static. It undergoes a change over a period of time
depending on the Nature of products. For example, kids prefer colorful and fancy
footwear, but as they grow up as Teenagers and young adults, they prefer trendy
footwear, and as middle-aged and senior citizens They prefer more sober
footwear. The change in buying behaviour may take place due to several Other
factors such as increase in income level, education level and marketing factors.

25
Varies from consumer to consumer
All consumers do not behave in the same manner. Different consumers behave
differently. The Differences in consumer behaviour are due to individual factors
such as the nature of the Consumers, lifestyle and culture. For example, some
consumers are technophobic. They go on a Shopping and spend beyond their
means.

Varies from region to region and country to county

The consumer behaviour varies across states, regions and countries. For
example, the behaviour Of the urban consumers is different from that of the rural
consumers. A good number of rural Consumers are conservative in their buying
behaviours.

The rich rural consumers may think twice to spend on luxuries despite having
sufficient funds, Whereas the urban consumers may even take bank loans to buy
luxury items such as cars and Household appliances. The consumer behaviour
may also varies across the states, regions and Countries. It may differ depending
on the upbringing, lifestyles and level of development.

Information on consumer behaviour is important to the marketers

Marketers need to have a good knowledge of the consumer behaviour. They

need to study the Various factors that influence the consumer behaviour of their
target customers.

What Is Consumer Behaviour, Anyway?

Consumer behaviour observes how people choose, use, and discard products
and services, encompassing their emotional, cognitive, and behavioural reactions.
Understanding consumer behaviour is key for businesses trying to orchestrate
impactful marketing tactics that shape consumer decision-making pathways.
Consumer behaviour incorporates ideas from several sciences including
psychology, biology, chemistry, and economics.

26
 Why Is Consumer Behaviour Important?
Think of it this way: if you can’t identify the catalysts for buying decisions, how
are you expected to spark a desire for your products in customers minds?
Understanding how consumers choose products reveals gaps in your product suite
or irrelevant offerings, while also highlighting the most wanted products in your
catalogue. Furthermore, by analysing consumer behaviour, you can tailor product
marketing strategies, to make irresistible offers with a lasting impact on
consumers. Basically, unravelling the mystery of consumer buying behaviour
leads to effective customer engagement and more persuasive acquisition and
retention campaigns. As you can see, the task of understanding consumer
behaviour is a high-stakes one. This is why your consumer behaviour analysis
shouldn’t end until you’ve identified:
• Consumer sentiments and preferences toward different options, including
brands and products.
• The factors that influence consumers’ choices among various options.
• Consumer behaviours during the research and shopping phases.
• The influence of consumers’ surroundings, including peers, family, and media,
on their decisions.
In many cases, brands can shape consumer behaviour within their sphere of
influence.

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Types of Consumer Behaviour

4 Types of Consumer Behaviour

A consumer’s buying decision depends on the type of products that they need
to buy. The behavior of a consumer while buying a coffee is a lot different from
while buying a car. Based on observations, it is clear that purchases that are more
complex and expensive involve higher deliberation and many more participants.
Consumer buying behaviour is determined by the level of involvement that a
consumer shows in a purchase decision. The involvement allows customers to
ensure that this product is exactly what they want or do not want.
One of the participants of 102 CX Report, Todd Clark from L'Oréal, mentioned
it explicitly - "I believe the first issue is getting the consumer to try the product/s
first. The second would be getting the consumer to understand the science of the
product and why it is the best for their needs. Answering the "need" or "pain
point" gets consumers to use/buy."
The amount of risk involved in a purchase also determines the buying
behaviour. Higher priced goods tend to high a higher risk, thereby seeking higher
involvement in buying decisions.

28
 There are four types of consumer buying behaviour:
1. Complex buying behaviour

2. Dissonance-reducing buying behaviour

3. Habitual buying behaviour

4. Variety seeking behaviour

1. Complex buying behaviour

Complex buying behaviour is encountered particularly when consumers are

buying an expensive product. In this infrequent transaction, consumers are highly
involved in the purchase decision. Consumers will research thoroughly before
committing to invest.
Consumer behaves very differently when buying an expensive product or a
product that is unfamiliar to them. When the risk of buying a product is very high,
a consumer consults friends, family, and experts before making the decision.
For example, when a consumer is buying a car for the first time, it’s a big decision
as it involves high economic risk. There is a lot of thought on how it looks, how
his friends and family will react, how will his social status change after buying the
car, and so on. In complex buying behaviour, the buyer will pass through a
learning process. He will first develop beliefs about the product, then attitudes,
and then make a thoughtful purchase choice.
For complex buying behaviour customers, marketers should have a deep
understanding of the products. It is expected that they help the consumer to
understand their product. It is important to create an advertising message in a way
that influences the buyer’s beliefs and attitudes.

2. Dissonance-reducing buying behaviour

In dissonance-reducing buying behaviour, consumer involvement is very high.
This might be due to high prices and infrequent purchases. In addition, there is
low availability of choices with fewer significant differences among brands. In
this type, a consumer buys a product that is easily available. Consumers will be
forced to buy goods that do not have too many choices and therefore consumers
will be left with limited decision making. Based on the products available, time

29
limitations, or budget limitations, consumers buy certain products without a lot of
research.
For example, a consumer who is looking for a new collapsible table that can be
taken for camping quickly decides on the product based on a few brands available.
The main criteria here will be the use and the feature of the collapsible table and
the budget available to him.
Marketers should run after-sale service camps that deliver focused
messaging. These campaigns should aim to support consumers and convince
them to continue with the choice of their brand. These marketing campaigns
should focus on building repeat purchases and referrals by offering discounts and
incentives.

3. Habitual buying behaviour

Habitual Buying Behaviour is depicted when a consumer has low involvement

in a purchase decision. In this case, the consumer is perceiving only a few
significant differences between brands.
When consumers are buying products that they use for their daily routine, they
do not put a lot of thought. They either buy their favorite brand or the one that
they use regularly – or the one available in the store or the one that costs the least.
For example, when a consumer buys an energy drink, he tends to buy the flavor/
taste that he likes without actually putting in a lot of research and time. Many
products fit into this category. Products such as chocolates, cakes, juices, etc., all
fit into this product category.
Consumers just go for it and buy it – there is no brand loyalty. Consumers do
not research or need information regarding the purchase of such
products. Habitual buying behaviour is influenced by radio, television, and print
media. Moreover, consumers are buying based on brand familiarity. Hence
marketers must use repetitive advertisements to build brand familiarity. Further to
initiate product trial, marketers should use tactics like price drop promotions and
sales promotions.

30
 Marketers should attract consumers using visual symbols and imagery in their
advertising. Consumers can easily remember visual advertisements and can
associate with a brand.

4. Variety seeking buying behaviour

In variety-seeking consumer behaviour, consumer involvement is low. There

are significant differences between brands. Here consumers often do a lot of brand
switching. The cost of switching products is low, and hence consumers might
want to try out new products just out of curiosity or boredom. Consumers here,
generally buy different products not because of dissatisfaction but mainly with an
urge to seek variety.
For example, a consumer likes to buy a cookie and choose a brand without
putting much thought into it. Next time, the same consumer might choose a
different brand out of a wish for a different taste. Brand switching occurs often
and without intention.
Brands have to adopt different strategies for such types of consumer behaviour.
The market leader will persuade habitual buying behaviour by influencing the
shelf space. The shelf will display a large number of related but different product
versions.
Marketers avoid out-of-stock conditions, sponsor frequent advertising, offer
lower prices, discounts, deals, coupons, and free samples to attract consumers.

Customer Satisfaction
Customer Satisfaction is the buzzword used by the business people forth
success of Organization in the present days. Due to the increases of heavy
competition in every product Line it become difficult for the companies to retain
the customers for longer time. So retain the Customer for longer time the marketer
has to do only one things i.e. Customer satisfaction. If Customer is fully satisfied
by the product it not only rub the organization successfully but also Fetch many
benefits for the company. They are less process sensitive and they remain
customer For a longer period. They buy addition products overtimes as the
company introduce related Produce related products or improved, so customer

31
 satisfactions is gaining a lot of importance In the present day. Every company is
conducting survey on customer satisfaction level on their Products. To make the
products up to the satisfaction level of customers.

The top six reasons why customer satisfaction is so important

1. It’s a leading indicator of consumer repurchase intentions and loyalty

2. It’s a point of differentiation

3. It reduces customer churn

4. It increases customer lifetime value

5. It reduces negative word of mouth

6. It’s cheaper to retain customers than acquire new ones

Customer satisfaction is a marketing term that measures how products or
services supplied by a company meet or surpass a customer’s expectation.
Customer satisfaction is important because it provides marketers and business
owners with a metric that they can use to manage and improve their businesses.
In a study of nearly 200 senior marketing managers, 71 percent responded that
they found a customer satisfaction metric very useful in managing and monitoring
their businesses. This project is also done to know the customers satisfaction on
the INDANE GAS and INDANE DISTRIBUTERS. The impact of LPG gas
industry on the rest of the economy Has been so Pervasive and momentous that is
characterized as second industrial. It played a vital role in Helping the nation to
produce higher value good and services and in the enhancing their skills And
impose tremendous demand for lpg gas, lot of car manufacturers company facing
cut Throat competition in the fields of technology and price.

32
CUSTOMER SATISFACTION STRATEGIES FOLLOWED BY
INDANE GAS:
Indane Gas is dedicated to ensuring customer satisfaction through a range of
strategic initiatives. Central to their approach is efficient customer service, where
they prioritize prompt and courteous assistance via various channels like
helplines, websites, and mobile apps. Ensuring the quality of their products and
services is another key focus, with Indane Gas maintaining high standards for
their LPG cylinders through regular safety checks and inspections. They also
strive to make the customer experience as convenient as possible, offering online
booking for cylinder refills and ensuring timely delivery to customer homes with
SMS alerts for updates. Transparency is a core value, evident in their transparent
billing and pricing policies, coupled with detailed information on products and
services. Safety remains paramount, with Indane Gas conducting safety awareness
programs and promptly addressing safety concerns. Seeking continuous
improvement, they gather customer feedback through surveys and forms, using
this input to refine their services. Embracing innovation, they introduce
technologies like mobile apps for easier booking and tracking. Additionally,
Indane Gas engages with local communities through events and sponsorships,
building a positive brand image through social responsibility initiatives. By
adhering to regulations, training their staff, and offering loyalty programs, Indane
Gas aims to exceed customer expectations and ensure a consistently satisfying
experience for all.
1. Efficient Customer Service:
Prompt and courteous customer service through various channels such as
helplines, websites, and mobile apps. Quick response to customer queries,
complaints, and service requests.
2. Quality Products and Services:
Ensuring the supply of high-quality LPG (liquefied petroleum gas) cylinders.
Regular safety checks and inspections to maintain product quality.

33
3. Convenient Booking and Delivery:
Online booking facilities for LPG cylinder refills. Timely delivery of cylinders
to customer homes. SMS alerts for booking confirmation, delivery status, and
updates.
4. Transparency:
Transparent billing and pricing policies. Providing detailed information about
products, services, and charges.

5. Safety Measures:
Conducting safety awareness programs for customers. Promoting safe handling
and usage of LPG cylinders. Quick response to safety-related concerns or
emergencies.
6. Customer Feedback Mechanisms:
Regularly seeking feedback from customers through surveys, feedback forms,
and reviews. Using feedback to improve services and address customer concerns.
7. Innovative Initiatives:
Introducing new technologies such as mobile apps for easier booking and
tracking. Offering loyalty programs or incentives for regular customers.
8. Training and Development:
Training staff to provide excellent customer service. Continuous improvement
of employee skills to better serve customers.
9. Community Engagement:
Engaging with local communities through events, sponsorships, or social
responsibility programs. Building a positive brand image through community
involvement.
10. Compliance and Regulations:
Ensuring compliance with safety regulations and industry standards. Keeping
customers informed about any changes in policies or regulations that might affect
them. By implementing these strategies, Indane Gas aims to not only meet but
exceed customer expectations, ensuring a positive and satisfactory experience for
its customers.

34
 MARKET ANALYSIS

Four P’s of IOCL:-

1 Product: -
Indian oil Corp. ltd. is one of the largest oil and gas companies across the
world based out of India. Indian oil accounts for the India’s half Petroleum
product market and presently they are across the hydrocarbon value chain. Indian
Oil Corporation’s product portfolio in its marketing mix includes: Indane gas,
petrol, diesel, jet fuel, Auto gas, Natural gas, lubricants & greases, kerosene,
industrial fuels, Bitumen, petrochemicals, crude oil and some other special
products. The Indian Oil offer various Petroleum and LPG product with their
famous brand name such as: -

1. Indane LPG

2. SERVO Lubricants

3. Autogas LPG

4. XtraPremium Petrol

5. XtraMile Diesel

6. PROPEL petrochemicals
All these brands have a good brand image and customer awareness and also
considered as a super brand

2 Price:-
As Indian Oil is a Public Company the price decision are taken by the central
Government of india after taking into consideration of all the taxes and subsidies
made available in its initiatives and other price are decided by the company with
market survey. The Indian Oil corporation use geographical location Pricing
strategies as there price differ from the place to place. The Price are segmented
into three major segment which are Metro Cities, State Capital, National Capital
35
 Region(NCR). The IOCL Price fluctuate and moderate by the Change in the price
of Crude Price in the World

The Price of different categories :-

1. Petrol – Rs 100 to 108 per litre

2. Diesel – Rs 90 – 100 per litre

3. AutoGas- Rs 50 – 60 per litre

4. ATF-

a. Rs 54000 – 58000 per KL for domestic

b. $557 - $602 per KL for international Airlines

5. Indane Gas -Rs 910-1000 per 14.2kg Cylinder.

6. Servo Lubricants – Can not classifies as whole.

3 Place:-
Indian oil corporation has a wide Geographical Presence. The Indian Oil
corporation presence is much higher in number as if we compare to the near
competitor of their field. The Indian oil Corporation is much concern with their
Customer reach and availability. Indian oil control over 10 refineries across the
country more than 11000KM of pipeline connecting to high demand places, 132
gas Pipelines and more than 35000 customer touch point. The company have
21,000 Retail Outlets and have registered there name as the world’s highest
Outlets point. IOCL also mark their footprint with their subsidiaries in SRI
LANKA and MAUITIUS and UAE.

4 Promotion:-
Indian oil Corporation is an Maharatna Company and particularly involved in
the Market Advertising Activity. As this Company is a Public Company they need
not to much concert about the advertising as also because there is not much heavy
Competitive Environment. The IOCL generally did not do a direct marketing. The
Company used to Collaborate with the Various Company like the Company
Collaborate with the Honda Motors to promote the Servo 4T Oil. The company
also introduce some Loyalty Programme like Fleet card in which the customer

36
earns points when every time they Refuel their Vehicle. And also some Lucky
Draw Offer for the customers. Now a days the other competitor used to slashes
their price like 1Rs per litre to attract the customer which give a positive response
to them and effecting the IOCL.

REVIEW OF LITERATURE

I. Kannan V conducted a study on the Consumer Perception for Branded

Fuels with Special Reference to LPG of Indian Oil Corporation Limited in
that they said Respondents have ranked better mileage when compared to
price as the major factor that influences the purchase of LPG Gas.
II. Anurag Duggar on 2013 conducted a study on Measuring Consumers’
Preferences and Attitudes Towards Branded Gas: An Initial
Investigation of the Branded gas Market (Volume: 1, Issue : 1 page :
04)in that they said it may be concluded that the marketing strategies have
made the consumers sit up and take notice of petrol brands and also the
strategies have been successful in the sense that consumers see value in
branded gas. The consumer sperceive that they are price sensitive as far as
petrol is concerned, but actually they are not.
III. Keerthi Anand on 2017 conducted a study on Consumer Behaviour
Towards Gas Retail Outlets in that they said The consumers perceive that
there is a Relationship between maintenance and quality of the product.
The funding to such Infrastructural elements shall not be constrained by
economics.

Mônica Cavalcanti Sá De Abreu and Jonatan César Lins (2010), in their article
titled “A Demographic Analysis of Consumer Environmental Attitudes about
Liquefied Petroleum Gas in Brazil” concluded that consumers think
environmental and safety issues related to LPG are important but lack information
on whether or not companies are taking action on these issues. LPG distributors
have an opportunity to strengthen consumer relationships by disseminate practical
information to the customer on the handling of LPG. It is of importance for

37
companies to provide optimistic feedback on a regular basis in order to show
costumers that they really are making a difference. Businesses which critically
consider environmental issues may create a sustainable competitive advantage.

A. Vinayagamoorthy, C. Sankar and M.Sangeetha (2013), in their article titled

“A Study on Service Quality Perception of Domestic LPG” concluded that in this
the competitive environment, service quality has become the success mantra in all
service sector. Keeping this in mind, this study has conducted at Salem city to
discover the service quality of Indane gas. The results indicate that customers are
not highly satisfied with the service provided by the Indane gas. So the company
took some severe action to improve the service quality.

M. Dhanabhakyam and T. Sumathi (2014), in their article titled “A Study on

Customers Attitude and Satisfaction towards IOC LPG in House Hold,
Coimbatore” concluded that by seeing the overall customer service and the
performance of the company, the results show that the consumers have positive
attitude towards referring others to buy the IOC LPG. This study emphasizes that
the company wants to improve in customer care area, proper communication
while booking and delivery through short message service (SMS). IOC Gas
Company should recognize the importance and needs of the customers.

38
 CHAPTER NO
DATA ANALYSIS AND INTERPRETATION

39
 DATA ANALYSIS AND INTERPRETATION
Table No. 1- How do you use to cook the food before purchasing a gas?

Alternatives Frequency Percentage

Electric coil 42 42%
Wood 35 35%
Kerosene 23 23%
Total 100 100%

60
Percentage

50

42
40
35

30
23
20

10

0
Electric coil Wood Kerosene

Graph no. 1: Alternatives used before purchasing a gas

Interpretation: From the above bag graph we can deduce that 42% of the
respondents were using the electrical coil for cooking before purchasing the gas.
35%of the respondents were using the wood for cooking and remaining 23% of
them were using the kerosene for the cooking before they purchasing the gas.

40
Table no. 2- Which Company Gas do you use?

Company No. Of respondents Percentage

IOC 91 91%
BPC 5 5%
HPC 4 4%
Total 100 100%

100 percentage
91

75

50

25

5 4
0
IOC BPC HPC

Graph no. 2: which company gas are preferred by the consumers.

Interpretation: From the above bar graph we can deduce that 91% of the
respondents are using the IOC gas. 5% of the respondents are using the BPC gas
and remaining 4% for the HPC gas.

41
Table no. 3- How many Cylinders do you have?

No. Of cylinders No. Of respondents Percentage

One 69 69%

Two 31 31%

Total 100 100%

80
percentage

69

60

40

31

20

0
One Two
Graph no. 3: No. Of cylinders respondents have.

Interpretation: From the above bar graph we can deduce that 69% of the
respondents are using single cylinder connection and while 31% of them are using
double cylinder connection.

42
Table no. 4 - How often you Refill your Cylinder?

No. Of Days No. Of respondets Percentage

20-30 days 26 26%
30-50 days 14 14%
50-60 days 50 50%
Above 60 days 10 10%
Total 100 100%

60 Percentage

50

45

30
26

15 14
10

0
20-30 days 30-50 days 50-60 days Above 60 days

Graph no. 4: Interval between cylinder refill.

Interpretation: From the above bar graph we can deduce that 26% of the
respondents say that they refill the cylinder in 20-30 days.14% of the respondents
say that they refill the cylinder in 30-50 days.50% of the respondents say that they
refill the cylinder in 50-60 days and While 10% of them say that they refill the
cylinder above 60 days

43
Table no. 5 - Does Delivery men Confirms the Weight of Cylinder?

Attribute No. Of Respondent Percentage

Yes 74 74%

No 26 26%

Total 100 100%

Percentage
80
74

60

40

26

20

0
Yes May
Graph no. 5: Does delivery man confirms the weight of cylinder?

Interpretation: From the above bar graph we can deduce that 74% of the
respondents are says that the delivery men confirms the weight of cylinder
and Nearly 36% of them are says that the delivery men does not confirms
the weight of cylinder

44
Table no. 6 - Does Cylinders which you get is adequate in quantity

Attribute No. Of Respondents Percentage

Yes 90 90%
No 10 10%
Total 100 100%

Percentage
100
90

75

50

25

10

0
Yes May
Graph no. 6: Does cylinder which you get is adequate in quality

Interpretation: From the above bar graph we can deduce that 90% of the
respondents are says that the cylinder is adequate in quantity and Remaining 10%
of the respondents are says that the cylinder is not adequate in quantity.

45
Table no. 7 - How do you rate the behaviour of counter staff/Deliverymen and
Mechanic.
Attribute No. Of Respondents Percentage
Very good 60 60%
Good 10 10%
Average 20 20%
Poor 6 6%
Very bad 0 0%
Total 100 100%

80 Percentage

60
60

40

20
20

10
6
0
0
Very good Good Average Poor Very bad
Graph no 7: rate the behaviour of counter staff/Deliverymen and mechanic

Interpretation: From the above bar graph we can deduce that 60% of the
respondents are in favour of very good behaviour from the counter staff/
deliverymen and mechanic of INDANE gas agency, 14% of them are in favour of
good behaviour and from the analysis 20% of them are in favour of average. and
While 6% of them are in favour of poor behaviour of the counter staff/delivery
men and mechanic staff.

46
Table no. 8 - How often does agency conduct mandatory inspection?

Time No. Of Respondents Percentage

1 year 66 66%
2 year 20 20%
3 year 4 4%
4 year 10 10%
Total 100 100%

80 Percentage

66

60

40

20
20

10
4

0
1 year 2 year 3 year 4 year
Graph no. 8: How often does agency conduct Mandatory Inspection.

Interpretation: From the above bar graph we can deduce that 66% of the
respondents are in favour that the agency conduct mandatory in inspection once in
a year, 20% of the respondents are in favour that the agency conduct mandatory in
inspection once in a two year, 4% of the respondents are in favour that the agency
conduct mandatory in inspection once in a three year and While remaining 10% of
of the respondents are in favour that the agency conduct mandatory in inspection
once in a four.

47
 Table no. 9 - Do you want to migrate if new gas agency is allotted in this
town?
Attribute No. Of Respondents Percentage
Yes 6 6%
No 94 94%
Don’t know 0 0%
Total 100 100%

100
94

75

50

25

6
0
0
Yes No Don't know

Percentage

Graph no. 9: Do you want to migrate if new agency is allotted in this town

Interpretation: From the above bar graph we can deduce thatAcc. to survey only
6% of the respondents are in favour of that they will migrate if new gas agency is
allotted in the town. and While 96% of them are in favour of that they don‘t want
migrate if new gas agency is allotted in the town.

48
 CHAPTER NO
FINDINGS & SUGGESTIONS

49
 The Findings that are mentioned below are the deduced from all the
observations, surveys, questionnaires, etc . The findings for a different agency
(Distributor) may be different based on the location of the agency and the people
and the tire of the place as the behaviour of consumers in different location can be
different as it is one of the factors affecting behaviour of the consumers. The
following are the findings based on the research.

1. Most of the IOC customers were used wood for cooking before getting the gas
connection.

2. Majority of IOCL customers have one cylinder and some have two cylinders.

3. Majority of IOCL and customers refill their cylinder in between 3-4 months and
customers done it within 1-2 months.

4. Most of the IOCL customers are using phone for booking their cylinder.

5. IOCL customers get their gas cylinder within one week but HPC customers get
it above 6 weeks.

6. Most of the IOCL customers are 10-15 km far from the dealer’s office and HP
customers are situated more than 15 km far from office.

7. Majority of delivery man deliver the cylinder to IOCL customers are in

somewhere out. But HPC and BPC get the cylinder from outdoor.

8. Most of the BPC, IPC and HPC dealer does not weight the cylinder before
delivery.

9. Most of the IOCL customers get adequate quantity of cylinder

50
SUGGESTION

1. Agencies can make delivery with speed.

2. Reduce the extra charges remitted from the customers in rural area that increase

the satisfaction.

3. Customers should ensure the weight of cylinder before delivery.

4. All agencies can provide after sale support to their customers.

5. Make mandatory inspection of their cylinders delivered to their customers.

6. The company can increase their agencies existing in the rural area that will reduce
the problem of delayed delivery.

51
 CHAPTER NO.

SCOPE & LIMITATIONS

52
SCOPE OF THE STUDY:

LPG's domestic uses can never be ignored. It has played a revolutionary role
when it comes to changing the face of domestic fuels used for heating and
cooking. LPG for household consumption is nearly 89% of total LPG off-take in
India. Previous research studies have focused on consumers perception and
expectation of service quality dimensions in different sector and few research
studies has focused on consumer satisfaction level towards domestic LPG. Hence
the current study explores service quality of Indane domestic LPG from customer
point of view in Chhatrapati Sambhajinagar city. This study enables the company
to find out the impact of service in developing new Consumers and also to make
proper marketing strategy for their weaker areas.

53
LIMITATION OF THE STUDY

The company can not use the study to change their whole market strategy on
bases of this study.
• May be the respond of the customer is have some biases.

• Only the limited area Customer behaviour has been taken.

• There has been an time constraint.

• The amount of samples collected can’t justify all the peoples of the nation.

• This study may be useful to the specific distributor.

• The study was conducted at a village or tire 3 city.

54
CHAPTER NO

CONCLUSION

55
CONCLUSION OF THE STUDY

Less than anticipated growth in the face of intensifying competition and

rising costs can hardly be expected to get the company foaming. INDANE gas
agency is exclusive showroom and it is a well-known service provider for
INDANE gas and they are well established in providing satisfactory after sales
services to its customers. By seeing the observations most of the customers are
having positive perception towards INDANE gas agency and are satisfied with its
services such as Availability of Timely and safe delivery, Staff support, Trained
Mechanics etc.

56
BIBLIOGRAPHY

57
Books and Articles :

1.Priyanka Singh (2014):

what are the merits and demerits of DBT in Indane context, Indane Express, New
Delhi.

2.Daniel Kweku Baah Inkoom & Beatrice Sakyibea Biney (2010):

“The Potential of Liquefied Petroleum Gas (LPG) as a Viable Energy Option for
the Industrial Sector in Ghana”, journal of sustainable development in Africa,
vol.12, no.6

Websites:

www.iocl.com

www.indane.com

www.cx.indianoil.in

www.wikipedia.com

58
ANNEXURE
Questionnaire:

1. How do you use to cook the food before purchasing a gas? 1.

a) electrical coil

b) Wood

c) kerosene

2. Which Company Gas do you own?

a) BPC

b) HPC

c) IOCL

3. How many cylinders do you have?

a) One

b) Two

4. How often you Refill your Cylinder?

c) 20-30 days

d) 30-50 days

e) 50-60 days

5. Does Delivery men Confirms the Weight of Cylinder?

a) Yes

b) No
6. Does Cylinders which you get is adequate in quantity?

a) Yes

b) No

7. How do you rate the behaviour of counter staff/Deliverymen and Mechanic?

a) Very Good

b) Good

c) Average

d) Poor

e) Very Bad

8. How often does agency conduct mandatory inspection ?

a) 1 year

b) 2 year

c) 3 Year

d) 4year

9. Do you want to migrate if new gas agency is allotted in this town?

a) Yes

b) No

c) Don‘t Know