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EXECUTIVE SUMMARY
Berger, the market leader in the Bangladesh paint market, is one of the oldest names in the global
paint industry. The company is operating in the paint industry for almost two centuries. It has its
origin in the year of 1706 and from then on the company is operating with strong adherence to
quality and social responsibility. Initially, Lewis Berger, a German national, founded dye &
pigment making business in England. Lewis Berger & Sons Limited grew rapidly with a strong
reputation for innovation and entrepreneurship culminating in perfecting the process of making
Prussian blue, a deep blue dye, a color widely used for many European armies' uniform.
Production of dyes & pigments evolved into production of paints & coatings, which till today,
remains the core business of Berger.
In this competitive market environment different companies are coming with different products
but the question is what unique thing Berger Paints had that people are always satisfied with their
product, not the others companys product. Berger Paints has done so many researches to
understand the importance of customer relationship and loyalty. They are already has a good
brand position in the consumers mind.
But this research will help to identify what CRM approaches that currently taken by the Berger
Paints to satisfy its customer. This research also investigates the level of customer satisfaction
and loyalty of among the users, and what are the different influencing them. The study will be
characterized as a qualitative research. The researcher use structured questionnaire for collecting
information. The question will be distributed via a convenience and the researcher will use
probability sampling. This research used SPSS 17.0 because it is such a statistical data analysis
tool that offers greater flexibility in data analysis and visualization.
1. INTRODUCTION
Berger Paints is one of the oldest names in the paint industry, yet, it is one of the most
technologically advanced companies in the country. It is constantly striving for innovating
superior quality products and services. With more than 250 years of rich heritage, Berger
manufactures world class paints for all kinds of substrates and also provides unparallel services.
Bergers inception was laid out in 1760 by a German national named Louis Berger, who started
dye and pigment making business in England. Louis involved his family into the business and
eventually changed the status of the company to Louis Berger and Sons Limited. The company
grew and expanded rapidly with a strong reputation for excellence in innovation and
entrepreneurship.
Berger Paints started painting Bangladesh since independence. Over the past few decades,
Berger has evolved and transformed itself in becoming the leading paint solution provider in the
country with a diversified product range that caters to all your painting needs. With its strong
distribution network, Berger has reached almost every corner of Bangladesh. Nationwide Dealer
Network, supported by 8 Sales Depots strategically located at Dhaka, Chittagong, Rajshahi,
Khulna, Bogra, Sylhet, Comilla, and Mymensingh.
Berger grew rapidly by establishing branches all over the world and through merging with other
leading paint and coating companies. Today, Berger is one of the leading companies in the
global paint industry. Berger offers all kinds of painting solutions in decorative, industrial or
marine segment for both decorative and protective purpose Berger Paints started its sailing into
the sea of Bangladesh from pre-liberation era, to be precise in 1950. The main business
flourished in the post liberation phase.
Berger's one of the prime objectives is to provide best customer support-connecting consumers to
technology through specialized services like free technical advice on surface preparation, color
consultancy, special color schemes etc. To bolster customer satisfaction, Berger offers Home
Decor Service from where one can get an array of services pertaining to painting.
Providing services and products that are exactly what your customers want
To analyze the present CRM role of Berger Paints in its overall business strategy; and
To recommend some actions plan for CRM productivity to the Berger Paints.
Most of the traders are very much afraid of disclose the information about sales.
Time and cost constraints also other limitations regarding this research.
Every organization has some rules and regulation regarding its privacy policy. So does
Berger paint Bangladesh Ltd. Moreover financial information is regarded more sensitive.
As the report is based totally on personal observation, personal bias might have hampered
the findings. It might have unintentionally missed any important point.
2. LITERATURE REVIEW
Customer relationship management (CRM) consists of the processes a company uses to track and
organize its contacts with its current and prospective customers. CRM software is used to
support these processes; information about customers and customer interactions can be entered,
stored and accessed by employees in different company departments. Typical CRM goals are to
improve services provided to customers, and to use customer contact information for targeted
marketing.
The biggest management challenge in the new millennium of liberalization and globalization for
a business is to serve and maintain good relationship with the king the customer. In the past
producers took their customers for granted, because at that time the customers were not
demanding nor had alternative source of supply or suppliers. But today there is a radical
transformation. The changing business environment is characterized by economic liberalization,
increasing competition, high consumer choice, demanding customer, more emphasis on quality
and value of purchase etc. All these changes have made todays producer shift from traditional
marketing to modern marketing. Modern marketing calls for more than developing a product,
pricing it, promoting it and making it accessible to target customer. It demands building trust, a
binding force and value added relationship with the customers. The process of developing a
cooperative and collaborative relationship between the buyer and seller is called customer
relationship management shortly called CRM. This study can be used by BPBL to convert more
customers into dedicated Berger paints customers and also analyze the requirements of the
competitor contractors and devise strategies of new market penetration. It also makes research
and analysis of the effectiveness of the CRM of Berger Paints.
information directly from the customer. Reaching to the customer at right time at right place is
preferable. Operational CRM processes customer data for a variety of purposes:
Analytical CRM
Analytical CRM helps BPBL analyzes customer data for a variety of purposes:
Designing and executing campaigns, e.g. customer acquisition, cross-selling, upselling, add on-selling
BPBL generally makes heavy use of data mining and other techniques to produce useful results
for decision-making. They use sophisticated CRM software for collecting, storing and
integrating valuable information of customers.
Sales Intelligence CRM
BPBL use sales intelligence CRM for following activities:
Cross-selling/Up-selling/Switch-selling opportunities
Customer drift
Sales performance
Customer trends
Customer margins
Customer alignment
Campaign Management
Campaign Management helps BPBL combines elements of Operational and Analytical CRM for
the functions includes:
Target groups formed from the client base according to selected criteria
Tracking, storing, and analyzing campaign statistics, including tracking responses and
analyzing trends
Collaborative CRM
Collaborative CRM covers aspects of a BPBLs dealings with customers that are handled by
various departments within BPBL, such as sales, technical support and marketing. Staff members
from different departments of BPBL can share information collected when interacting with
customers. For example, feedback received by customer support agents can provide other staff
members with information on the services and features requested by customers. Collaborative
CRM's ultimate goal is to use information collected by all departments to improve the quality of
services provided by BPBL.
Consumer Relationship CRM
Consumer Relationship System (CRS) covers aspects for BPBL to deal with customers handled
by the Consumer Affairs and Customer Relations contact centers within BPBL. Representatives
of BPBL handle in-bound contact from anonymous consumers and customers. Early warnings
can be issued regarding product issues (e.g. item recalls) and current consumer sentiment can be
tracked (voice of the customer).
Privacy and data security System
One of the primary functions of CRM software is to collect information about customers. When
gathering data as part of a CRM solution, BPBL considers the desire for customer privacy and
data security, as well as the legislative and cultural norms. Some customers prefer assurances
that their data will not be shared with third parties without their prior consent and that safeguards
are in place to prevent illegal access by third parties.
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Interpretation:
Most competition i.e. 50% of the contractors work with Asian Paints
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Interpretation:
23% contractors are not enrolled in any scheme and 8% of contractors are unaware of
loyalty program. So Berger Paints can convert these competitor contractors into Berger
painter with lucrative loyalty scheme.
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Interpretation:
Among the enrolled various contractors majority of the contractors enrolled are in Asian
Paints Master Stroke with a majority of 62% from its rivals.
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Interpretation:
45% of the competitor painters are using Berger Paints as their secondary product. They
may increase uses of Berger Paints according to their needs and satisfaction.
2% of contractors are not interest at all in Berger products. They are using their
respecting brands with great satisfaction.
20% of the contractors used work with Berger Paints but for some dissatisfying reasons
they are not using Berger paints anymore.
31% of the contractors want to use Berger paints for their new and improved product
rand if they get some lucrative offers.
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Interpretation:
18% of the competitor contractors do not use Berger paints due to product quality.
21% of the competitor contractors do not use Berger paints due to Berger dealer
behavior.
17% of the competitor contractors do not use Berger paints due to availability of product
in their area.
44% of the competitor contractors do not use Berger paints because they are not
interested at all in Berger paints they are happy with their respective brand.
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Interpretation:
20% of the contractors depend on their respective dealers as they believe their dealers or
they think it is a complicated process.
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Interpretation:
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Interpretation:
13 % of contractors are facing language barrier i.e. the operators at call centre greets
them in language which is uncomfortable for them.
30 % of the contractors fail to give the exact product details at the time of uploading
points.
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Interpretation:
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Most of the contractors are satisfied with the paint quality of Berger, mostly the primer.
Majority of competitor contractor are working with Berger Paints as they are satisfied
with the product quality and loyalty scheme.
On the basis of the survey conducted its found that major section of the revenue of
Berger Paints comes from Interior and Exterior paints.
The contractors have a complaint that there is a communication gap between the
representatives or executives of Berger and the contractors. Many contractors left Berger
for the communication gap.
Few dissatisfy contractors had a complaint that the coverage of paints of Berger is less as
compared to what it had been previously. This has led to the loss of many dedicated
contractors of Berger who are now shifting towards other company.
According to the survey most of the competitors contractors do not use Berger because
they are unsatisfied with the behavior of their local area Berger dealers.
Survey shows that another section of competitor contractors do not use Berger Paints due
to non availability of Berger Paints dealer in their area.
As most of the contractors are not used to call centre process they feel uncomfortable
uploading points at call centre.
Most of the contractors are less educated and they do not show their interest towards
scheme as they feel it is a complicated process.
Loyalty comes in after sales services, as dealer provides these services to customers so
there is necessary for dealer to provide the services at the promised time because it makes
the relationship better with the customers.
There should be good relation between customer and dealer because it helps to increase
the sales of company and also helpful for making the customer relationship management.
There is important to know the after sales services of the company it shows the customers
satisfaction and also shows the customer relationship management.
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7. RECOMMENDATIONS
Berger Paints is a preferred brand in Bangladesh but on the basis of the survey there are some
fields that are yet to be more emphasized which can improve the sales volume in the near future
are stated as follows :
Berger Paints should maintain the quality of the paint to satisfy the existing and new
customers. Versatility of the designs should be increased and lucrative schemes should be
offered to attract new customers.
Sales promotion committee should be formed to formulate and implement new market
strategies to compete with competitors and to extent the market share.
Company must increase their dealership network so that desirable contractor and
consumers who wants to buy or use Berger paints can be reached easily.
Both Dealers and Contractors who have been interviewed have a common complain that
there is not much interactions from the company. So, Sales Officers and Demand
Generators should be in a regular touch with their customers.
Regular interactions are necessary as a part of after sales service which can bring more
sales later.
Efforts should be made so that the applicators are made aware of the various new
schemes and new product launches and these must be completely entertained by the
company by the help of personal meeting as most of the contractors are less educated to
understand the procedure.
Painters meet should take place on regular interval to help the painters as it helps to
promote brand as well as it maintain company goodwill.
Berger Paints should introduce card system for uploading points as it is easy and most
preferred medium among the contractors.
Effective and fast reward collection mechanism should be there to keep the contractors
engage in the loyalty programs
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8. CONCLUSION
This report is an attempt to make a clear picture of paints industries of Bangladesh. The paints
market is very much competitive although Berger paints holds the major market share. But the
growth rate of the competitors is great challenges for Berger. It is true that Berger paints is very
prominent in the market because of its high quality products, competitive price rate etc .The first
choice of consumers is Berger because they can rely on it and its long lasting capabilities .Its also
able to provide the consumers option of choosing variety of colors; 5000 shades within 5 minutes
through its color bank. Berger paints is very much restricts in credit policy. It provides credit
only some selected dealers where as other competitors are very much liberal in credit. Paints
traders, wholesalers or retailers, are naturally very much found of huge credit. Thus they key
competitors gradually grow up in the market through their vast credit policy. With world class
range and durability, Berger is always ready to answer to all weather condition and try to satisfy
every corner of the country.
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10. APPENDIX
10.1 APPENDIX I
NAME: ..
ADDRESS: ...........
MOBILE NO: ...
DEALER: TERR: DEPOT:
1) WHICH PRODUCT DO YOU DEAL WITH?
i) Asian Paints ii) Nerolac iii) ICI iv) Navana
2) PURCHASE OF PAINTS P.A.? ...
3) ARE YOU ENROLLED WITH ANY LOYALTY PROGRAM?
i) Yes ii) No
4) WHICH LOYALTY PROGRAM YOU ARE ENROLLED WITH?
i) Master Stroke ii) Color Merchant iii) Other
5) NO OF PERMANENT APPLICATORS WORKING UNDER YOU: ...
6) YOUR PERCEPTION ABOUT BERGER PAINTS.
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10.2 APPENDIX-II
NAME: ..
ADDRESS: ............
MOBILE NO: ...
DEALER: TERR: DEPOT:
1) WHATS YOUR PREFERABLE MODE OF UPLOADING POINT?
i) By Self ii) By dealer
2) HOW FREQUENT DO YOU UPLOAD YOUR POINTS?
3) WHAT DIFFICULTIES FACED IN UPLOADING POINTS AT CALL CENTRE.
I. ................
II.
III. ....
4) WHICH BENEFIT YOU PREFER MOST IN LOYALTY PROGRAM?
i) Quantity discount ii) Price discount iii) Assured gifts
5) YOUR PERCEPTION ABOUT BERGER PAINTS LOYALTY PROGRAM.
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