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PROJECT REPORT
ON
“CONSUMER BUYING BEHAVIOUR OF HONDA ACTIVA’’

Submitted to
Rashtrasant Tukadoji Maharaj
Nagpur University, Nagpur
In Partial Fulfilment of the requirement of the
“Bachelor of Business Administration”

Submitted by
Ashish Dilip Dewalkar

Guidance by
Dr. Saket Bansod

Dr. Ambedkar Institute of Management Studies and Research, Deeksha Bhoomi,

Nagpur-440012
2021-2022
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CERTIFICATE

This is to certify that Ashish Dilip Dewalkar as satisfactorily completed the project work
entitled “Consumer buying behaviour of Honda Activa” in not less than one academic
session.

This also certify that this project work is the result of the candidate’s own work and is of
sufficiently high standard to warrant its presentation for the BBA program.

To the best of my knowledge this project or its part has not been submitted to this university
or any other university for any Degree/Diploma.

Dr. Saket Bansod

Internal Examiner

External Examiner

Place: Nagpur

Date: Director
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ACKNOWLEDGEMENT

“Words have never expressed human sentiments. This is only an attempt to express my
deep gratitude which comes from my heart.”

It is a great pleasure for me to express my deep feeling of gratitude to my respected guide

Dr. Saket Bansod (Assistant Professor, DAIMSR) for his great encouragement and
constant support which provided desired moral and confidence to carry on my work.

I am grateful to the Dr. Sudhir Fulzele, Director, Dr. Ambedkar Institute of Management
Studies & Research, Nagpur for making all facilities available for my work.

I am grateful to the Dr. Nirzar Kulkarni, Associate Director, Dr. Ambedkar Institute of
Management Studies & Research, Nagpur for making all facilities available for my work.

I am grateful to my parents for their lovable support. Last but not least I am thankful to my
friends and other faculty members for their direct and indirect help for completion of this
work.
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DECLARATION

I, Ashish Dilip Dewalkar hereby declare that the project entitled “Consumer buying
behaviour of Honda Activa ” is the outcome of my own research work based on personal
study during academic session 2020-2021 and has not been submitted previously for award
of any degree or diploma to this university or any other university.

Ashish Dilip Dewalkar

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CHAPTERAISATION

Chapter no. Particulars Page Number

1. Executive Summary 5

2. Introduction 7

3. Company profile 14

4. Research Methodology and data collection 27

5. Data Analysis and Interpretation 41

6. Findings and conclusion 51

7. Limitations and suggestions 52

8. Bibliography 54

9. Annexure 55
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EXECUTIVE SUMMARY:-

Getting past Splendor, the world's largest-selling two-wheeler between 2001 and 2015 is no
mean feat, especially if we consider that the scooter category was all but given up for dead a few
years ago and most firms decided to focus on motorbikes.

Kieta Muramatsu, the CEO and President of Honda Motorcycles and Scooters India, or
HMSI, has had a dream run. During his five years at the helm (he took over in April 2011),
HMSI has almost tripled sales, from 1.6 million a year in 2010/11 to 4.45 million in 2015/16.
But his real success lies elsewhere. Under him, HMSI has achieved what was once considered
almost impossible, if not unthinkable - its flagship scooter, Activa, has beaten Hero MotoCorp's
all-time global bestseller, the motorcycle Splendor, in sales for all six months of 2016, five years
after Hero and Honda called off their joint venture Hero Honda.

Getting past Splendor, the world's largest-selling twowheeler between 2001 and 2015 is no mean
feat, especially if we consider that the scooter category was all but given up for dead a few years
ago and most automobile companies decided to focus on motorbikes. Activa's success has given
a new life to scooters - all two-wheeler makers, including Bajaj Auto, which stopped making
scooters in 2010, are now re-looking at the category.

"The scooter strategy has gone absolutely right for us. Volumes speak for themselves. It has not
only made us the segment leader but also made our two-wheeler operations Honda's largest
globally. We believe there's still huge unutilised potential. We have just scratched the surface,"
says Muramatsu, an accomplished drummer who often plays at company gatherings. Under him,
HMSI has grown at double the industry rate.

Early this year, HMSI commissioned a 1.2-million capacity scooter plant, the world's largest, in
Gujarat. However, the demand for Activa is so high that confirmed bookings top 20,000. It is
adding a second assembly line of 600,000 units a year to its Bengalore plant. "With another line
for scooters, our cumulative capacity (including for bikes) will reach 5.4 million this year. I'm
not sure if it will be enough," Muramatsu told Business Today in the new HMSI headquarters in
Gurgaon, Haryana. But Muramatsu is aiming to sell 5.2 million twowheelers in India in 2016/17,
besides exporting another 200,000. Activa's cumulative sales have crossed the 12-million mark.
It was launched in 2001.

Activa's recent sales spurt has a lot to do with the overall stagnation in motorcycle demand.
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Scooter sales grew 12 per cent in 2015/16 while motorcycle sales fell 0.5 per cent. In the April-
June quarter, scooter sales rose 27 per cent compared to 9 per cent growth in motorcycle sales.

Honda is the world’s largest manufacturer of two wheelers, Recognized over the world
as the symbol of Honda Two Wheelers, the ‘Wings’ arrived in India as Honda Motorcycle and
Scooter India Pvt. Ltd. (HMSI), a 100% subsidiary of Honda Motor Company Ltd., Japan, in
1999. Since its establishment in 1999 at Manesar, District Gurgaon, Haryana, Honda has lived up
to its reputation of offering the highest quality products at the most reasonable price.

Despite being one of the youngest players in the Indian two-wheelers market, Honda has become
the largest two wheeler manufacturer as well as the second largest two-wheelers company in
India.

Registered Name: Honda Motorcycle & Scooter India Pvt. Ltd.

Founded in: 1999 (23 yrs old)

INTRODUCTION:-

Introduction to marketing:-

According to American marketing association marketing is define as:

“Marketing Management is process of planning and executing and

conception,pricing,promotion,and distribution of goods, ideas and service to create exchanges
that satisfy individual and organizational objectives”

According to Philip Kotler marketing is define as:

"Satisfying needs and wants through an exchange process” and a decade later defines it as “a
social and managerial process by which individuals and groups obtain what they want and need
through creating, offering and exchanging products of value with others.”
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The Chartered Institute of Marketing defines marketing as "the management process responsible
for identifying, anticipating and satisfying customer requirements profitably". A similar concept
is the value-based marketing which states the role of marketing to contribute to increasing
shareholder value. In this context, marketing can be defined as "the management process that
seeks to maximise returns to shareholders by developing relationships with valued customers and
creating a competitive advantage".

In the past, marketing practice tended to be seen as a creative industry, which included
advertising, distribution and selling. However, because the academic study of marketing makes
extensive use of social sciences, psychology, sociology, mathematics, economics, anthropology
and neuroscience, the profession is now widely recognized as a science, allowing numerous
universities to offer Master-of-Science (MSc) programs.

The process of marketing is that of bringing a product to market, which includes these steps:

broad market research, market targeting and market segmentation, determining distribution,
pricing and promotion strategies, developing a communications strategy, budgeting, and
visioning long-term market development goals. Many parts of the marketing process (e.g.
product design, art director, brand management, advertising, inbound marketing, copywriting
etc.) involve use of the creative arts.

Classical marketing is often described in terms of the four “P`s, which are:

Product:-

The product aspects of marketing deal with the specifications of the actual goods or services, and
how it relates to the end-user's needs and wants. The product element consists of product design,
new product innovation, branding, packaging, labelling. The scope of a product generally
includes supporting elements such as warranties, guarantees, and support. Branding, a key aspect
of the product management, refers to the various methods of communicating a brand identity for
the product, brand, or company.

Pricing:-
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This refers to the process of setting a price for a product, including discounts. The price need not
be monetary; it can simply be what is exchanged for the product or services, e.g. time, energy, or
attention or any sacrifices consumers make in order to acquire a product or service. The price is
the cost that a consumer pays for a product—monetary or not. Methods of setting prices are in
the domain of pricing science.

Place (or distribution):-

This refers to how the product gets to the customer; the distribution channels and intermediaries
such as wholesalers and retailers who enable customers to access products or services in a
convenient manner. This third P has also sometimes been called Place or Placement, referring to
the channel by which a product or service is sold (e.g. online vs. retail), which geographic region
or industry, to which segment (young adults, families, business people), etc. also referring to
how the environment in which the product is sold in can affect sales.

Promotion:-

This includes all aspects of marketing communications; advertising, sales promotion, including
promotional education, public relations, personal selling, product placement, branded
entertainment, event marketing, trade shows and exhibitions. This fourth P is focused on
providing a message to get a response from consumers. The message is designed to persuade or
tell a story to create awareness.
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Consumer Behaviour:-

Marketing is so much more than creating a catchy phrase or a jingle people will sing for days.
Understanding consumer behaviour is a vital aspect of marketing. Consumer behaviour is the
study of how people make decisions about what they buy, want, need, or act in regards to a
product, service, or company. It is critical to understand consumer behaviour to know how
potential customers will respond to a new product or service. It also helps companies identify
opportunities that are not currently met.

The Three Factors

To fully understand how consumer behaviour affects marketing, it's vital to understand the three
factors that affect consumer behaviour: psychological, personal, and social.
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Psychological Factors:-

In daily life, consumers are being affected by many issues that are unique to their thought
process. Psychological factors can include perception of a need or situation, the person's ability
to learn or understand information, and an individual's attitude. Each person will respond to a
marketing message based on their perceptions and attitudes. Therefore, marketers must take
these psychological factors into account when creating campaigns, ensuring that their campaign
will appeal to their target audience.

Personal Factors:-

Personal factors are characteristics that are specific to a person and may not relate to other people
within the same group. These characteristics may include how a person makes decisions, their
unique habits and interests, and opinions. When considering personal factors, decisions are also
influenced by age, gender, background, culture, and other personal issues.

For example, an older person will likely exhibit different consumer behaviours than a younger
person, meaning they will choose products differently and spend their money on items that may
not interest a younger generation.

Social Factors:-

The third factor that has a significant impact on consumer behaviour is social characteristics.
Social influencers are quite diverse and can include a person's family, social interaction, work or
school communities, or any group of people a person affiliate with. It can also include a person's
social class, which involves income, living conditions, and education level. The social factors are
very diverse and can be difficult to analyse when developing marketing plans.

However, it is critical to consider the social factors in consumer behaviour, as they greatly
influence how people respond to marketing messages and make purchasing decisions. For
example, how using a famous spokesperson can influence buyers.

Consumer Behaviour Models

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Through research and observation, several models have been developed that help further explain
why consumers make decisions, including the black box, personal variables and complex
models.

The black-box model is based on external stimulus-response, meaning something triggers the
consumer to make buying decisions that are influenced by many factors, including marketing
messages, sampling, product availability, promotions, and price.

When influenced by the personal-variable model, consumers make decisions based on internal
factors. These internal factors may include personal opinions, belief systems, values, traditions,
goals, or any other internal motivator.

The third consumer behaviour model is the complex model. The complex model considers both
internal and external variables.

Marketing Strategy

A marketing strategy refers to a business's overall game plan for reaching prospective consumers
and turning them into customers of the products or services the business provides. A marketing
strategy contains the company’s value proposition, key brand messaging, data on target customer
demographics, and other high-level elements.

The Creation of Marketing Strategy

A carefully-cultivated marketing strategy should be fundamentally rooted in a company’s value

proposition, which summarizes the competitive advantage a company holds over rival
businesses. For example, Walmart is widely known as a discount retailer with “everyday low
prices,” whose business operations and marketing efforts revolve around that idea. Whether it's a
print ad design, mass customization, or a social media campaign, a marketing asset can be judged
based on how effectively it communicates a company's core value proposition. Market research
can be helpful in charting the efficacy of a given campaign and can help identify untapped
audiences, in order to achieve bottom-line goals and increase sales.

Types Of Marketing Strategy:-

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There are different types of marketing strategies available. Picking up a marketing strategy
includes analyzing the needs of your business, your target audience and specifications of your
products.

The four main types of marketing strategy are:

1. Business to business (B2B) marketing

2. Business to consumer (B2C) marketing

3. Consumer to business (C2B) marketing

4. Consumer to consumer (C2C) marketing

The most common form of marketing is business to consumer (B2C) marketing. Let’s explore a
bit more.

Following are the different types of marketing strategies available.

1. Paid advertising:-

This includes multiple approaches for marketing. It includes traditional approaches like TVCs
and print media advertising. Also, one of the most well-known marketing approach is internet
marketing. It includes various methods like PPC (Pay per click) and paid advertising.

2. Cause marketing:-

Cause marketing links the services and products of a company to a social cause or issue. It is also
well known as cause related marketing.

3. Relationship marketing:-

This type of marketing is basically focused on customer building. Enhancing existing

relationships with customers and improving customer loyalty.

4. Undercover marketing:-
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This type of marketing strategy focuses on marketing the product while customers remain
unaware of the marketing strategy. It is also known as stealth marketing.

5. Word of mouth:-

It totally relies on what impression you leave on people. It is traditionally the most important
type of marketing strategy. Being heard is important in business world. When you give quality
services to customers, it is likely that they’d promote you.

6. Internet marketing:-

It is also known as cloud marketing. It usually happens over the internet. All the marketing items
are shared on the internet and promoted on various platforms via multiple approaches.

7. Transactional marketing:-

Sales is particularly the most challenging work. Even for the largest retailers, selling is always
tough especially when there are high volume targets. However with the new marketing
strategies, selling isn’t as difficult as it was. In transactional marketing the retailers encourage
customers to buy with shopping coupons, discounts and huge events. It enhances the chances of
sales and motivates the target audience to buy the promoted products.

8. Diversity marketing:-

It caters diverse audience by customizing and integrating different marketing strategies. It covers
different aspects like cultural, beliefs, attitudes, views and other specific needs.

COMPANY PROFILE:-

The Honda Activa is a motor scooter made by Honda Motorcycle and Scooter India (HMSI). It
was launched in India in May 1999. Production in Mexico began in 2004.TVS Jupiter scooter of
TVS Motors gives a tough competition to Honda Activa in India. It is a 109/125 cc, 7 bhp (5.2
kW) scooter. The vehicle has the option of kick- and self-start.
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Manufacturer:- Honda Motorcycle and Scooter India

Honda de México

Predecessor:- Kinetic Honda

Successor:- Activa 125

Engine:- 125 cc (7.6 cu in) or 109 cc (6.7 cu in), air-cooled, OHC, four stroke, single

Power:- 7 or 8 bhp (5.2 or 6.0 kW) in 2009 model

Torque:- 8.74 Nm

Transmission:- CVT

Suspension:- Bottom link with spring-loaded hydraulic damper (front), unit swing with spring-
loaded hydraulic damper (rear)[1]

Brakes:- Drum, 130mm (front & rear) with CBS (only in 2009 model)

Tires:- 297 90/100-10 53J

Wheelbase:- 1,238 mm (48.7 in)

Dimensions:- L: 1,761 mm (69.3 in)

W: 710 mm (28 in)

H: 1,147 mm (45.2 in)

Seat height:- 765 mm (30.1 in)

Fuel capacity:- 5.75 l (1.26 imp gal; 1.52 US gal) or 5.3 l (1.2 imp gal; 1.4 US gal) in 2009
model

Industrial Background:-

Indian automobile industry is full of big names such as Maruti, Kawasaki, Tata, TVS, Suzuki,
Yamaha, Hero Honda, and many others have swept away the automobile market with high
quality 2 and 4 wheelers. When we shift our attention to manufacturers of bikes in India such as
Hero Honda, Yamaha, TVS-Suzuki, Bullet and many others occupy pre-dominant positions in
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our eyes. These have been gained big status to their entity with liberalization opening gates of
conservative Indian economy, many multinational companies are collaborating with Indian
companies to market share for their vehicles at international level.

HONDA

Honda is the world's largest manufacturer of 2-wheelers. Its symbol, the Wings, represents the
company's unwavering dedication in achieving goals that are unique and above all, conforming
to international norms. These wings are now in India as Honda Motorcycle & Scooter India Pvt.
Ltd. (HMSI), a wholly owned subsidiary of Honda Motor Company Ltd., Japan. These wings are
here to initiate a change and make a difference in the Indian 2-wheeler industry. Honda's dream
for India is to not only manufacture 2-wheelers of global quality, but also meet and exceed the
expectations of Indian customers with outstanding after sales support.
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Origin Of The Organization

Honda Activa is the first scooter model of HMSI for the Indian market.It has revitalized the
Indian scooter market after its launch in the year 2009. Within the 1st year of its launch it has
been awarded the 'Scooter of the Year' by Overdrive magazine and also the 'Readers Choice
Award' for the best scooter by Auto India Magazine.

The Honda Activa has set a new standard for new era of scooters in India. It has been developed
exclusively for the Indian market after closely examining the changing lifestyles, wants and
needs of the consumers.

The Honda Activa has been designed to cater people who believe:

• The conventional Indian scooter is too big and difficult to handle

• The scooterette is too small and similar to mopeds

The Honda Activa is equipped with a number of new functions and mechanisms, introduced for
the first time in India. It is designed to offer greater functionality, performance, economy, and
ease of handling and maintenance to a wide cross-section of the Indian society.

As responsible members of society and industry, we Honda Motorcycle and Scooters India Pvt.
Ltd. (HMSI), Manesar manufacturer of two wheelers, recognize that well being of humans and
conservation of earth's environment is important. By adopting environmental management
system, HMSI is moving towards realization of Honda's green factory concept.

We shall endeavor to continually monitor, improve and conserve the environment in which we
operate. HMSI is committed to achieve,environmental excellence in all its industrial activities, in
the following ways:

• Conserving environment through preventing pollution at its source of generation and

strengthening our existing pollution control system.

• Promoting conservation of resources such as energy, water, oil and grease and other raw
materials, by reusing, recycling and minimizing the waste generation.

• Complying with all applicable legal/regulatory requirements and strive to go beyond wherever
possible.

• Regular monitoring and reviewing of environmental objectives and targets.

• Increasing environment awareness and competence amongst our employees and encourage
vendors & dealers to adopt EMS.
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HMSI will establish its environmental management system following PDCA cycle and
continuously work to make it more effective. The policy will be well disseminated to our
employees as well as to public at large.

The Three Joys

In line with Honda's Philosophy, HMSI conducts all its daily activities in pursuit of the
following joys:

The Joy of Buying The Joy of Selling The Joy of

Manufacturing

The joy of using world The joy of selling world The joy of
class products class products producing high
quality products

Honda is the world's largest manufacturer of 2-wheelers. Its symbol, the

Wings, represents the company's unwavering dedication in achieving

goals that are unique and above all, conforming to international norms.

ADDRESSES:

• Official Name:- Honda Motorcycle & Scooter India Pvt. Ltd.

• Established:- 20th FIB.MARCH 2010

• Place:- New Delhi, India

• Capital:- Rs. 300 Crore

•Representative:- Mr. Haruo Takiguchi, President & CEO

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•Factory Location:- Manesar, District Gurgaon, Haryana, India

•Production Capacity:- 200,000 units per year

Racing

Honda has always played an important role in motor sports, believing it to be the springboard for
technological advancement. Honda has made its mark in the 500cc class Motorcycle Racing
World Championship and more.

Technology

Our fundamental design philosophy seeks to maximize space and comfort for people, while
minimizing the space required for mechanical components. With this aim in mind, Honda's R&D
activities include product-specific development and research.

Safety

At Honda, we use a three-prong approach, based on preventing accidents, minimizing injury in

the unlikely event of an accident and our Driving Safety Promotion operations. Honda's safety
philosophy emphasizes the development of appropriate technologies for its products, so as to
ultimately achieve maximum riding comfort for its customers. Honda was the first manufacturer
in Japan and India to develop and apply the anti-lock brake system for the two wheelers.

Environment

Honda is unrivalled in making a conscious effort to lower the emissions of every one of its
vehicles, 2 and 4-wheelers. It is actively pursuing the development of a 4-stroke engine in all 2-
wheelers by 2009.

PRODUCT PROFILE.

HONDA ACTIVA

Technical Specifications
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Engine:

Type 4-stroke, single cylinder, air cooled,

OHC

Displacement 102 CC

Maximum Power 7 Bhp at 7000 rpm

Maximum Torque 0.8 Kg-m at 5500 rpm

Transmission V-matic

Ignition Self and Kick

Electricals:

Battery 12 V, 5 Ah

Battery 35 W

Chassis:

Frame High rigidity under bone type

Dimensions (l*b*h): 1765*715*1130 mm

Wheel Base 1235 mm

Seat Height 760 mm

Ground Clearance 145 mm

Fuel Tank Capacity:

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Tank capacity 6 litres

Brakes:

Front Drum, 130 mm dia

Rear Drum, 130 mm dia

Tyre size:

Front 3.50-10, 4 PR

Rear 3.50-10, 4 PR

Suspension:

Front Bottom link with spring loaded

hydraulic damper

Rear Unit swing with spring loaded

hydraulic damper

Colors:

● Strand silver metallic

● Black
● Laser red
● Precious gold metallic
● Azure blue metallic

Features:

Aerodynamic Design:

The Honda Activa has an aerodynamic body that helps cool the engine through smoother
airflow. It also helps to lower fuel consumption by lowering air resistance.
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Tuffup Tube:

The Tyres of the Honda Activa have double layered tubes with fluid in between. This seals the
air leakage in case of a puncture to ensure that the rider enjoys a hassle-free ride.

Under Seat Box:

Neatly hidden beneath the seat of the Honda Activa is space that can comfortably hold a helmet
or any other thing you wish to put away.

Clic:

The „Convenient Lift-up Independent Cover‟ enables one to easily lift-up the Honda Activa‟s
body cover, like the bonnet of a car. This makes routine maintenance easier and faster.

Multi-Reflector headlamp:

Honda Activa has a powerful and very stylish multi-reflector headlamp that increases road
visibility to make night driving a safe experience.

Honda Activa History | The National Scooter of India:-

Start the engine. Engage a gear while pressing the clutch. Then release the clutch while giving
some throttle. After attaining a speed of let’s say 20kmph, again press the clutch, increase the
gear ratio and release the clutch again while simultaneously accelerating. And not to forget, same
goes while slowing down, engage the clutch, and downshift while braking. Or you can simply
buy a Honda Activa and leave the gear shifting on the CVT transmission. This is what has made
Honda Activa best selling two-wheeler in the country. But when did it all start? When were the
people able to get freedom from the continuous gear shifting? Let’s take a look!

Honda began selling a new version of the Activa in the Indian market on 8 May 2009, with a
new 109 cc (6.7 cu in) engine. Honda said the Fuel economy was improved by 15%.

In April 2014, Honda began an upgraded model of Activa with a 125 cc (7.6 cu in) engine and
rebranded the model as Activa 125. Currently, both Activa-i and Activa 125 are sold in India
along with traditional Honda Activa.

Honda began selling the Activa-i in India, a cheaper and lighte

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2001 – Honda Activa 1st Generation

How many of you remember the heavy Honda Eterno? It was a scooter with gears. The 1st
generation of Honda Activa was based on the Eterno in terms of looks. It was powered by a
102cc engine that was capable of churning out 7hp of power and a peak torque of 8Nm. The
engine was paired to a CVT transmission so that there was no hassle of shifting the gears. This
setup allowed the Honda Activa to reach a top speed of around 80 kmph.

Talking about the design, it was pretty basic with a whole metal body. It is said that this
generation of Activa can be considered to be the most durable one, even more than the current
ones. The foot area of the Activa was spacious and so was the seat.

This scooter became an instant hit in the market posing a great competition to motorcycles like
Hero Honda Splendor.

2009 – Activa 2G –

A due upgrade after 8 years since the launch, Honda decided to upgrade the Activa. 2nd
generation of the Activa was rolled out. It was the first one to get the combi-brake system which
added to the safety of the scooter. The engine was a more powerful 109.2cc 4-stroke unit capable
of churning out 7.68hp of power and 8.79Nm of torque.

The Honda Activa 2G had a new instrument cluster. It also had a new design with a better-
looking taillamp and headlight. Honda’s designers took their time and made a scooter that still
can be seen running on the roads as this generation was running up till 2015.

2015 – Honda Activa 3G

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Honda was facing tough competition from the likes of Hero Motocorp in the Indian market. Hero
Motocorp was able to sustain their spot in the market even after the JV of Hero and Honda came
to an end. Honda had to come up with something better to sustain too.

So they came up with the Activa 3G. This generation of Activa is known to be the generation
when the company perfected in terms of design and there has been no major change since then.
Honda also introduced tubeless tyres to the Activa in this generation. Under the hood (Activa’s
seat panel is actually a hood for the engine), Activa now had the Honda’s Eco Technology
(HET) which meant more fuel mileage. The 109.2cc engine was now producing 8hp of power
and a torque of 8.83Nm. This scooter with increased power could now touch a top speed of over
85 kmph.

New colours were also introduced. In terms of features, this generation was a fully loaded one
with combi-brakes, larger headlamps, cushioned seats for more comfort, low fuel indicators and
much more.

2017 – Activa 4G launched

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3G was the generation when Honda decided that they have perfected the design of Activa. So
there was no upgrade in the design department. Features-wise also, Activa 4G saw no changes.
The only change was the degradation of the engine to meet the BS4 emission norms. This
upgrade did add to the torque churning of the engine as the unit was now producing a torque of
9Nm.

The 5th and the 6th Generations

These two generations were launched in a very short interval of time. In the 5th generation,
Honda improved the build quality of the Activa and also added more colour options to offer. It
also featured new LED DRLs at the front and the rear tail light was also redesigned.
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Then the BS6 emission norms kicked in. And Honda had to upgrade the Activa in order to meet
the new norms. So Activa 6G was launched which is now equipped with a programmed FI
system. The power figures for the 109.2 cc engines are the same as that of before. Honda also
decided to give the external fuel lid to Activa, which was demanded for a long time now. The
ACG starter technology of Honda makes this scooter one of the most silently starting ones in the
market.

Honda Activa 125 – The most powerful Activa to date!

The Japanese automaker also launched a 124cc engine powered Honda Activa. In terms of
design, it resembles the 6G. In terms of power, it produces 8.18hp of power and 10.3Nm of
torque. It is also equipped with the programmed FI and ACG silent starter tech. Features-wise
also, the Honda Activa 125 shares a lot with the Activa 6G.
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RESEARCH METHODOLOGY:

To address the key research objectives, this research used both qualitative and quantitative
methods and combination of primary and secondary sources. The qualitative data supports the
quantitative data analysis and results. The result obtained is triangulated since the researcher
utilized the qualitative and quantitative data types in the data analysis. The study area, data
sources, and sampling techniques were discussed under this section.

Research may be defined as a systematic and objective analysis and recording of controlled
observation that may lead to the development of generation of principle or theories resulting in
predicting and possibly ultimate control of event.

Methodology is often used in a narrow sense to refer to methods, technology or tools employed
for the collection data well as its processing. This is also used sometimes to designate data
collection to arrive at the conclusion. Infects, it describes that what should have been done. It
provides answer to some of the major questions while search like what must done, how it will be
employed, how source of data will be analysed to arrive at the conclusion. For systematic
research scientific approach is necessary. It is therefore essential to follow systemic methodology
to arrive at a proper conclusion.

The procedures involved in the concept of research methodology are:

1. Selection of subject.

2. Selection of project title.

3. Selection of time period.

4. Collection of data.

5. Reliability of data.

6. Analysis of data.

7. Reporting.

Methodology Analysis:

Data which has been collected through various sources has to proceed and analysed the accepted
relevant scientific method are used for analysed processing is done by different graphs, which
 Page 28 of 58

clearly show the finding and half us to understand thing in more better way different table and
comparative chart also analysed and the most important ways was case study and illustration.

Therotical Perspective:

Consumer buying process can be defined as:-

Consumer buying process consists of sequential steps the consumer follows to arrive at the final
buying decisions. Mostly, consumers follow a typical buying process. Marketer must know how
consumers reach the final decision to buy the product. According to Philip Kotler, the manager
can learn about the stages in the buying process through four methods. Each method gives hint
regarding the steps in the consumer buying process.

According to Philip Kotler, the typical buying process involves five stages the consumer passes
through described as under:

1. Problem Identification:

This step is also known as recognizing of unmet need. The need is a source or force of buying
behaviour. Buying problem arises only when there is unmet need or problem is recognized. Need
or problem impels an individual to act or to the product.

Buyer senses a difference between his actual state (physical and mental) and a desired state. The
need can be triggered by internal or external stimuli. Internal stimuli include basic or normal
needs – hunger, thirst, sex, or comfort; while external stimuli include external forces, for
instance, when an individual watch a new brand car, he desires to buy it.

Marketer must identify the circumstances that trigger a particular need. He can collect
information from a number of consumers regarding how stimuli spark an interest in products.
Based on information, he can develop marketing strategies to trigger consumer interest.

2. Information Search:

Interested consumer will try to seek information. Now, he will read newspapers and magazines,
watch television, visit showroom or dealer, contact salesman, discuss with friends and relatives,
and try all the possible sources of information.Mostly, the consumer can try one or more of
following sources of information.
 Page 29 of 58

i. Personal Sources:

They may include family members, friends, package, colleagues, and relatives.

ii. Commercial Sources:

Advertising, salesmen, dealers, package, trade show, display, and exhibition are dominant
commercial sources.

iii. Public Sources:

Mass media (radio, TV, newspapers, magazines, cinema, etc.), consumer- rating agencies, etc.,
are main public sources.

iv. Experimental Sources:

They include handling, examining, testing, or using the product. Selection of sources depends
upon personal characteristics, types of products, and capacity and reliability of sources. Each
information source performs different functions in influencing buying decision. By gathering
information from relevant sources, the consumer can learn about different products and brands
available in the market.

Note that consumer will not collect detail information on all the brands available in the market.
He scrutinizes all the brands in sequence, like total (brands) set to awareness set to affordable set,
and to choice set. Consumer collects information only on limited brands, say, choice set.

Marketer must try to get his brand into the prospects’ awareness set and choice set. Moreover,
the company should identify sources and their relative importance.

Company must ask the consumers regarding types of sources they exercise. They can elicit
valuable information about sources they normally use and their relative value. On that basis,
effective communication can be prepared for the target market.

3. Evaluation of Alternatives:

In the former stage, the consumer has collected information about certain brands. Now, he
undergoes evaluation of brands. He cannot buy all of them. Normally, he selects the best one, the
brand that offers maximum satisfaction. Here, he evaluates competitive brands to judge which
 Page 30 of 58

one is the best, the most attractive. Evaluation calls for evaluating various alternatives with
certain choice criteria.

Following criteria are considered while evaluating alternatives:

i. Benefits offered by the brands

ii. Qualities, features or attributes, and performance

iii. Price changed by various brands

iv. History of brands

v. Popularity, image or reputation of brands

vi. Product-related services offered by the brands, such as after-sales services, warrantee, and
free installation

vii. Availability of brands and dealer rating.

Different criteria are used for different products. For example, if a person wants to purchase a
motorbike out of Enfield Bullet 350; TVS Victor, TVS Centra, Suzuki Ferro; Hero Honda
Spender, Ambition, and CBZ; Kawasaki Bajaj Boxer, Pulsar and Caliber; LML Freedom, etc., he
will consider following criteria:

i. Price

ii. Pick-up and performance

iii. Facilities and comfort

iv. Gear-transmission system

v. Get-up/appearance

vi. Speed per hour

vii. Average per litre petrol

viii. Maintenance costs

ix. Image, status and novelty

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x. Safety

xi. Resale value

xii. Services, guarantee, warrantee, etc.

The brand that meets most of the above conditions reasonably is more likely to be preferred.
Marketer should highlight superior features of his brand. Some companies also advertise
comparative table to help consumers evaluate various brands.

4. Purchase Decision:

This is the stage when the consumer prefers one, the most promising band, out of several brands.
The former stage helps consumers evaluate various brands in the choice set. The brand that
offers maximum benefits or satisfaction is preferred.

Simply, the most attractive brand, that can offer more benefits in relation to price paid, is
selected by comparing one brand with others. Comparison shows superiority/inferiority of the
brands.

Now, consumer makes up his mind to purchase the most preferred brand. However, three
factors further affect whether buying intension result into actual purchase. More clearly, the
consumer’ decision to avoid, modify, or postpone a purchase decision is influenced by these
factors.

The first factor is attitudes of others. The impact of other persons’ attitudes depends on degree of
their negative attitudes toward the consumer’s preferred brand, and consumer’s degree of
compliance with other persons’ wishes.

The second factor is unanticipated situational factors. Purchase intension may change due to
certain unanticipated situational factors like price hike, loss of job, family income, major medical
expenses, non-availability of the preferred brand, or such similar factors.

The third and the last factor is consumer’s perceived risk. Degree of risk depends on price,
attribute uncertainty, entry of a new superior product, and his self-confidence.

Sub-decisions in Purchase Decision:

Consumer’s buying decision involves following five sub-decisions:

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i. Brand Decision:

ii. Vender Decision:

iii. Quantity Decision:

iv. Timing Decision:

v. Payment Decision:

vi. Post-purchase Decisions:

Consumer buys the product with certain expectations. Though he decides very systematically,
there is no guarantee of a complete satisfaction. There is always possibility of variation between
the expected level of satisfaction and the actual satisfaction. His subsequent behaviour is
influenced by degree of satisfaction/dissatisfaction.

Marketer must monitor the post-purchase experience of the buyers that includes:

a. Post-purchase Satisfaction

b. Post-purchase Action

c. Post-purchase Use and Disposal

Post-purchase Satisfaction:

Actual satisfaction may not be equal to the expected one. He may find some problems or defects
in the product while using. It is the matter of interest for marketer to know whether consumer is
highly satisfied, somewhat satisfied, or dissatisfied. Consumer’s satisfaction is the function of
the relationship between expected/perceived performance (expectations) and actual performance.

The larger the gap between expectations and performance, the greater the consumer’s
dissatisfaction will be. The consumer is satisfied when product meets or exceeds all the
expectations and vice versa. If he is satisfied, he buys the product again, and talks favourably. In
order to minimize the gap between expectations and performance, the seller must not exaggerate
the product benefits; must make truthful claim of product’s likely performance.

Post-purchase Action:
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Obviously, level of the consumer’s satisfaction with the product affects his subsequent
behaviour/action. If he is satisfied reasonably, he purchases the product again, and talks
favourably to family members, friends, relatives, and co-workers.

That is why marketer says:

Our best advertisement is a satisfied consumer. Quite opposite to it, dissatisfied consumer
responds differently. He may abandon product, complain to the company for compensation,
resort to the court and warn other organisations, friends, relatives and co-workers to avoid
product. The task of marketer consists of taking certain steps to minimize amount of consumer’s
post-purchase dissatisfaction.

Dissatisfaction can be reduced by:

1. Congratulating consumers for the right choice to justify their decision

2. Sending booklet to guide for effective use of the product

3. Inviting suggestions from consumers

4. Managing complaints by effective counselling and after-sales services

5. Informing about changes made in the product

6. Exchanging or returning amount, etc.

He must investigate where the product falls short. Close informal relations with
consumers can yield valuable information. Remember that a dissatisfied consumer is more
important than a satisfied one as his every problem regarding the product reveals a ready
suggestion. Marketer must welcome complaints and tackle them carefully for the bright future.

Post-purchase Use and Disposal:

Marketer should also monitor how the consumers use and dispose the product. Such information
can be a very good guideline for the marketer. Marketer can learn possible problems and
opportunities relating with the product.
 Page 34 of 58

CONSUMER BEHAVIOUR

The term consumer behaviour refers to the behaviour that consumer‟s display in searching for
purchasing, using, evaluating and disposing of products and services that they expect will satisfy
their needs. The study of consumer behavior is the study of how the individuals make decisions
to spend their available resources (time, money, effort) on consumption related items. It includes
the study of what they buy, why they buy, when they buy it, where they buy it and how they buy
it and how often they use it.

WHY WE STUDY CONSUMER BEHAVIOUR?

There are various reasons as to why people study consumer behavior. As consumers, we benefit
from insights in our own consumption related decisions: what we buy, why we buy, how we buy
and the promotional influences that persuade us to buy. The study of consumer behavior enables
us to become better and wiser consumers. As marketers and future marketers, we are able to
understand consumer behavior, then we can predict how consumers are likely to react to the
various information, which help us to shape the marketing strategies accordingly to gain a
competitive advantage in the market.

Marketers have also observed a change in the psychological behavior of the consumers.
There is an increasing awareness among the consumers to the changes taking place around them
resulting in an urge to purchase various goods and services. In other words, there is a positive
buying motive shown by the consumers. Consumer behavior was arelatively new field of study
in the mid to late 1960. This new discipline borrowed heavily from the concept enveloping other
scientific disciplines like psychology, sociology, etc. Many early theories were based on the
economic theory, on the notion that individual act rationally to maximize their benefits in the
purchase of goods and services.

The initial thrust to consumer research from a perspective here marketing managers wanted to
know the specific causes of consumer behavior. They regarded it as an applied marketing
science: if they could predict consumer behavior they could influence. This approach has come
to known, as positivism and the people concerned with predicting consumer behavior are known
as positivists.

DEFINATIONS OF CONSUMER BEHAVIOUR

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According to Walters & Paul “Consumer behaviour is the process whereby individuals decide
what, when, where, how and from whom to purchase goods and services”.

“Consumer may be defined as all the individuals and households that buy and acquire goods and
services for personal consumption.”

Consumers differ in the age, income, taste and preference and educational levels and therefore
the marketers should identify the different consumer groups and develop products and services
according to the needs of the consumers.

CONSUMER BEHAVOIUR MAY BE DEFINED AS

“The process whereby the individuals decide whether what, when, how and from whom to
purchase goods and services”.

IMPORTANCE OF CONSUMER BEHAVIOUR

1) Consumer behaviour is dynamic and changes continuously. According to the consumer tastes
and preference. Therefore a study of to analyze, monitor and understand the consumer behaviour
is very essential.

2) Only by studying consumer behaviour a businessman can solve the problems faced by the
consumers.

3) A study of consumer behaviour helps in effective marketing management.

4) Product decision regarding price, promotion and distribution can be taken after studying the
consumer behaviour and how they react to the product.

5) In an Indian market where changes take place very often, where the government keeps on
changing, it is essential to study the expectations of the consumer based on the changes.
 Page 36 of 58

6) Consumer behaviour study helps a marketer in exploiting new opportunities and meeting the
challenges and requirements of an Indian consumer.

Consumer behaviour can be said to be the melding of all those bodies of knowledge
concerning with human behaviour-behavioral sciences.

Types Of Consumer:

There are four types of consumer which are:

a. Seasonal consumer.

b. Personal consumer.

c. Organizational consumer.

d. Impulse buyers.

Seasonal Consumer:

Many consumers purchase and consume products on a seasonal basis. They shop at certain times
when the need for them arises. Cash flow for a business selling seasonal products can be very
difficult. Long periods of the year may be without sales, so it is vital to quickly and effectively
target seasonal consumers.

Examples:

• Umbrellas during the rainy season

• Cold or icy drinks during the hot seasons

• Christmas trees and decorations in December

Personal Consumer:

These types of consumers are individual consumers who purchase goods for the sole purpose of
personal, family or household use.
 Page 37 of 58

Examples:

• Purchasing a car that you intend to use personally

• Purchasing clothes for personal use from a clothing mall

• Purchasing a mobile phone for personal communication.

Organizational Consumer:

Organizational consumers purchase products for organizations, governments or businesses, They

often buy in bulk and may place long-term recurring orders. For this reason, an organizational
consumer is generally highly prized and sought after.

Impulse Buyer:

Impulse buyers are consumers who make unplanned buying decisions.Impulse buyers make swift
buying decisions and immediately purchase when they 'connect' with the product and its features.
There is often some kind of emotional appeal.

Example:

● Chocolates near the check-out counter

● Cookies at eye level on the shelf

CONSUMER BUYING PROCESS

Consumer buying process can be defined as:

The buying process consist of five stages; recognition, information search, evaluation of
alternatives, and purchase decision. Clearly, the buying process start long before the actual
purchase and continues long after. Marketing need to focus on the entire buying process rather
than on just the purchase decision.
 Page 38 of 58

1.Problem Identification:

This step is also known as recognizing of unmet need. The need is a source or force of buying
behaviour. Buying problem arises only when there is unmet need or problem is recognized. Need
or problem impels an individual to act or to the product.

2. Information Search:

Interested consumer will try to seek information. Now, he will read newspapers and magazines,
watch television, visit showroom or dealer, contact salesman, discuss with friends and relatives,
and try all the possible sources of information.

3. Evaluation of Alternatives:

In the former stage, the consumer has collected information about certain brands. Now, he
undergoes evaluation of brands. He cannot buy all of them. Normally, he selects the best one, the
brand that offers maximum satisfaction. Here, he evaluates competitive brands to judge which
one is the best, the most attractive. Evaluation calls for evaluating various alternatives with
certain choice criteria.

4. Purchase Decision:

This is the stage when the consumer prefers one, the most promising band, out of several brands.
The former stage helps consumers evaluate various brands in the choice set. The brand that
offers maximum benefits or satisfaction is preferred.

Types Of Bike Buyer's:

1. Cruiser

The cruiser is perhaps the most romantic of the motorcycle types in this list. It’s cool, looks
beautiful, sounds tough, and is a favorite of both actual biker types and millions of other riders.
And, a cruiser could be a good first bike for a beginner. Why? Two reasons: You sit low and in
control, and it is easy to ride, with smooth power delivery and more of a penchant for, well,
cruising, than outright speeding antics.
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2. Sport

On the other end of the spectrum from cruisers lie sport bikes. These bikes are built for speed
and aren’t shy about it, with top-end machines clearing 200 horsepower and 200mph capabilities.
Most can easily outrun even the most exotic of supercars. Great fun, but obviously, sport bikes
are likely not the best choice for a beginner.

3. Standard

There was a time when most all motorcycles were just do-it-all “motorcycles” and not the super-
specialized machines that require us to write lengthy buying guides, because most bikes now
have a more specific focus.

4. Dual- Sport/ ADV

What do you get when you cross a dirt bike with a street bike? A bike that can be ridden on or
off the pavement, and legally at that. Where riders used to add DIY light kits to dirt bikes and
then get them licensed at the DMV (the first true “dual-sports”), today nearly every bike maker
makes specifically designed dual-sport models. Dual-sport bikes are also often referred to as
“adventure bikes” or “ADV bikes.”

5. Touring

Want a bike but still want the comforts of a car? You need to check out touring bikes, often
called “dressers” because they are “dressed up” with a lot of options, like stereos, GPS, heated
seats, windscreens, lots of carrying capacity, automatic transmissions, and more.

6. Dirt

A pure dirt bike is the ideal solution for anyone who is interested in off-road riding. Unlike their
dual-sport cousins, dirt bikes are not street legal, but if you live near some wide-open spaces (or
can get to them), you can really have fun.
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7. Electric

As with cars, non-gasoline electric motors are coming to motorcycles. If you plan to do most of
your riding in an urban setting, there really is no better way to carve up traffic than on a modern
electric motorcycle. It’s fast, fun, and simple — a perfect beginner’s bike.

8. Scooters

Scooters used to be dangerous rattletraps with spotty brakes, buzzy engines, and little wheels that
made for a skittish ride. No longer: The modern scooter is more powerful, safer, more
comfortable, and packed with tech, making them a great choice for getting around town. They
can still have small wheels, but scooter makers have mastered the art of rider control on these
lightweight machines, so after some practice, you will be riding like a pro.

STATEMENT OF THE PROBLEM

With the recent influx of different brands in today‟s four wheel auto segment each striving to
satisfy customer with the end results of maintaining loyalty, at present cars as such have become
necessity but not a nicety.

With this outlook of today‟s market it is even a layman‟s perceptive that Honda has stood
against all odds this indicates that Honda, by itself reflects a satisfied customer.Keeping in mind
curriculum requirement and organizational requirement the study has been conducted to find out
consumer buying behaviour and customer satisfaction towards Honda Activa. However, due to
time constraint an in depth study could not be undertaken.

SCOPE OF THE STUDY

1. It helps to know that which publicity media gives maximum retention to the customers.
 Page 41 of 58

2. The study also helps the company to improve their standard of service & handle the
competition in the near future.

3. It also helps in putting in possible improvements, additions, and new strategies and offers the
customers.

4. It also puts a detailed insight into the different aspects of the company, such as manufacturing,
marketing sales, production and finance etc.

OBJECTIVES:

1) To know the concept of consumer buying process.

2) To know the different stages of buying process.

3) To study in detail the buying process of Honda Activa.

4) To find out various factors influencing consumer buying behaviour.

5) To explain why consumer behaviour is a central topic in marketing.

6) To have practical knowledge of marketing.

7) To have a basic understanding of STP strategy of Honda Activa.

8) To understand the consumer buying process for two-wheeler.

DATA ANALYSIS AND DATA INTERPRETATION :-

Q1} Which age group respondent belong to?

Age No. of respondents

18-25 39
 Page 42 of 58

25-32 18

32-39 11

39 & above 32

45
40
35
30
25
20
15
10
5
0
18-25 25-32 32-39 39 & above

Series1

Interpretation:

Age is the very important factor in the purchase decisions of the customers. People of different
age group prefer different types of two wheelers. Out of the surveyed 100 respondents, 39 %
respondents belong to the age group 18-25 years; 18 % respondents belong to the age group of
25-32 years; and 11 % respondents belong to the age group of 32-39; 32 % of them belong to 39
& Above.

Q2) Sex of the respondents?

Sex No. of respondents

Male 76

Female 24
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80
70
60
50
40
30
20
10
0
male female

Series1

Interpretation:-

Sex is also an important consideration for the marketers so as to know which of the sex prefer to
buy their products. The above study shows that out of the surveyed 100 respondents of Honda
Activa 76% of the users were male and the rest 24% of them were female. This reveals that male
users are more in number but there are also females who too use Activa.

Q3) Occupation of the Respondents?

Occupation No. Of respondents

Students 34

Service 21

Business 6

Professional 39
 Page 44 of 58

45
40
35
30
25
20
15
10
5
0
student service business professional

Series1

Interpretation:-

Occupation is very important factor or consideration in purchasing a two wheeler. People prefer
to buy a two wheeler for the sake of their status and the kind of work they do. Out of the
surveyed 100 respondents, 6 % or 6 respondents were doing business; 39 % or 39 respondents
were doing professional; 21 % or 21 respondents were doing service; and 34 % or 34
respondents were student.

Q4) Monthly Income of the Respondents?

Monthly Income No.of respondents

5,000-1,0000 7

10,000-15,000 47

15,000-20,000 19

20,000 & above 27

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50

40

30

20

10

0
5000-10000 10000-15000 15000-20000 20000 & above

Series1 Series2

Interpretation:-

Income is the important consideration in the purchase of a two wheeler. Depending on his
income the person will go for the type of two wheeler, which he can afford for. Out the surveyed
100 respondents; 7 % or 7 respondents belong to 5000-10,000; 47 % or 47 respondents belong to
10,000-15,000; 19 % or 19 respondents belong to 15,000-20,000; and rest 7 % or 7 respondents
belong to 20,000 and Above.

Q5) Ownership status of the Activa?

Ownership status No. Of respondents

Self owned 99

Company owned 1

Company leased 0
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120

100

80

60

40

20

0
self owned company owned company leased

Series1 Series2

Interpretation:-

The study shows that out of the 100 surveyed respondents 99% of them owning Activa were self-
owned, 1% was company owned and none of them were using company leased.

Q6) Recommendation of Activa to others?

Recommendation No. Of respondents

Yes 87

No 13
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100

80

60

40

20

0
yes no

Series1

Interpretation:-

The above study reveals that the 87% of the respondents would like to recommend Honda Activa
to others, such as their friends and relatives. And 13% of the respondents told that they would
not recommend Activa, as they would get a bike for the same cost.

Q7) Ratings for Ride, Handling?

Ratings No. Of respondents

Excellent 48

Good 26

Average 16

Poor 10
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60

50

40

30

20

10

0
excellent good average poor

Series1

Interpretation:-

The study shows that the respondents ratings for Ride & Handling. 48% of them told that it was
excellent, 26% told that it was good, 16% told that it was average and 10% of them told that it
was poor.

Q8) Ratings for Comfort?

Ratings No. of respondents

Excellent 52

Good 24

Average 23

Poor 1
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60

50

40

30

20

10

0
excellent good average poor

Series1

Interpretation:-

The study shows that the respondents ratings for Comfort. 52% of them told that it was excellent,
24% told that it was good, 23% told that it was average and 1% of them told that it was poor.

Q9) Ratings for Road Grip?

Ratings No. Of respondents

Excellent 17

Good 21

Average 37

Poor 25
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40
35
30
25
20
15
10
5
0
excellent good average poor

Series1

Interpretation:-

The study shows that the respondents ratings for Road Grip. 17% of them told that it was
excellent, 21% told that it was good, 37% told that it was average and 25% of them told that it
was poor.

Q10) Ratings for Engine Performance?

Ratings No. Of respondents

Excellent 47

Good 15

Average 31

Poor 7
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50
45
40
35
30
25
20
15
10
5
0
excellent good average poor

Series1

Interpretation:-

The study shows that the respondents ratings for Engine Performance. 47% of them told that it
was excellent, 15% told that it was good, 31% told that it was average and 7% of them told that it
was poor.

FINDINGS

1. Silicon Honda Pvt. Ltd. Occupy prime position with 52% of sample size recommending the
dealers for Honda Activa two wheelers.

2. 27% of the respondents told that the service given by the Honda was excellent.

3. Advertisements have popularized other dealers with friends of the customers with 42% of
them indicating for it.

4. Delivery instruments are given properly by all the dealers.

5. All the customers say that they prefer to service their vehicles at the authorized service centers
only.
 Page 52 of 58

6. 33% of the customers told that they would purchase another Honda Activa in future for their
family members or for their relatives.

7. 29% of the customers say that they purchased Activa for its travelling comfort.

8. 22% told that Activa is easy to ride.

9. 26% told that Activa is a fuel efficient two wheeler.

10. 99% of the customer‟s ownership status of Activa is self-owned.

11. 12% purchased Activa as they felt it was a trend for it.

12. Indian market is full of middle class customers and most of the customers owning Activa
belonged to middle class category.

13. The customers got aware of Honda Activa largely through magazines and newspapers.

14. 34% of the customers were students and 39% of them were professionals.

15. 76% of the customers were male and 24% of them were female.

LIMITATIONS:

1. Any study on consumer buying behaviour and customer satisfaction of a section of the society
essentially attempts to probe the respondents mind. Such studies rely heavily on the
understanding of question by the respondents, the time that they invest to respond and the
correctness of their responses.

2. Only people from urban and semi-urban area were considered for the survey. Rural people
were omitted for its wide geographical spread, practical difficulties, as also widening of the
scope of the study.

3. The sample size of 100 was selected to represent the customers of Nagpur district. Since the
number of respondents surveyed had to be limited considering the time and cost involved, a
larger sample size was not possible. Hence the limitation attributed to sample sizes in any survey
involving statistical analysis would be applicable to this study also.

4. As the respondents were spread over throughout Nagpur district, it was not possible for the
researcher to contact the respondents personally to rectify some omissions and commissions.
 Page 53 of 58

CONCLUSION

The study has helped Honda Activa dealers to understand whether the customers are satisfied
or not. If not what are main reasons for dissatisfaction of customer towards the
dealer and what are the ways of improving the consumer buying and satisfaction level of
customer towards dealer.

We can conclude younger generation and middle age and aged one's are more interested in
Honda Activa, the buying behavior is governed predominantly by the need for Power,
comfortability and respect for the iconic Brand. Most of the customers are attracted to newly
released Honda Activa 6G also customers areeasily affording the price of Honda Activa and
customers are very loyal towards the brand.

Honda Activa should concentrate on its advertising campaign to reach the customers, mileage
of the scooter is very good and most of them prefer to buy their brand new scooters from
showroom.

Honda Activa has an excellent consumer buying behaviour and satisfaction level within the
customer forits power, pick up, comfort, safety and with after sales service.It is clear that Honda
Activa checks at the complaints registered by their customers on regular basis to maintain its
brand value.

SUGGESTIONS:

This study is aimed at analyzing consumer buying behaviour and customer satisfaction with
sample of 100 members, which has helped in getting an overall view of customer satisfaction
towards Honda Activa considering different criteria.Base on the study following suggestions can
be considered

1. Providing more techno-driven, sophisticated exteriors keeping track of present situation.

2. To increase the mileage efficiency

3. To provide mobile servicing a should be able to reach the spot in case of any breakdown

4. To bring down the cost of spares and to improve genuinely.

 Page 54 of 58

5. To change shape or body design of Omni so as to increase road safety especially during swift
turns.

6. To give more ads on to drive slowly and safely.

7. Sales executives should constantly review the present, the past and the future objectives and
there by evaluate their performance.

8. Gathering and processing data through electronic data processing system there by time spent
on information evaluation feed back can be reduced.

9. Building satisfaction: sales person should reassure the customer regarding decision taken by
him while ordering product/service.

10. They should constantly provide adequate solutions for purchasing a product.

11. Final buyer relation: sales personnel who are in contact with final buyer should be courteous,
friendly and competent in their jobs.

12. Customer care is best way to build long-term relation, because they also have emotional and
psychological needs when they purchase a car.

BIBLIOGRAPHY:

Books:

1. Principles of Marketing Management By Philip Kotler.

2. Research Methodology By C.R.Kothari.

Magazines:

1. Auto World.

2. Over drive.

3. Auto India.
 Page 55 of 58

News Papers:

1. Times of India.

2. Economic Times.

Web Sites:

www.honda2wheelersindia.com

www.activa.com

www.hondabick.com

ANNEXTURE

QUESTIONNAIRE

1. What is the owner ship status of Honda Activa?

A) Self owned

B) Company owned

C) Company leased

2.Age group of the respondents

A) 18-25

B) 25-32

C) 32-39
 Page 56 of 58

D) 39 & above

3. sex of the respondents

A) Male

B) Female

4. If you were to recommend a scooter would you recommend anyone Honda Activa?

A) Yes B) No

5. Where did you buy your scooter? Dealers Name:

A) Silicon Honda B) City Honda

C) Haiku Honda D) Planet Honda

6. Reason for above dealers?

A) Service performance facilities

B) Friends

C) Advertisement D) Others

7. Where do you usually go for service?

A) Authorized selling dealer

B) Other authorized service center

C) Private shop

8. Are you planning to buy another Activa in the near future?

A) Yes B)No
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9. What mode of do you prefer?

A) Cash B) Finance schemes

C) Company loan D) Others

10. What are the sources the create awareness?

A) News papers B) Television

C) Magazines D) Show-room display

E) Exhibition F) Postal catalogue

11. Occupation of the respondents

A) Student

B) Service

C) Business

D) Professional

12. Ratings for comfort

A) Excellent

B) Good

C) Average

D) Poor

13. Ratings for road grip

A) Excellent

B) Good
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C) Average

D) Poor

14.ratings for engine performance

A) Excellent

B) Good

C) Average

D) Poor