Relationship between Customer Satisfaction and Parameter of Segmentation in Automobile Industries in India

Document Type: Research Paper


Assistant Professor, Department of Management, University of Sistan and Baluchistan, Zahedan


The purpose of this study is to find out if there is a relationship between parameter of
segmentation and customer satisfaction, in order to find out the current parameter of segmentation
in automobile industries In India researcher has gone through several published journal, books,
magazines and companies data. The result shows that the most important factor for segmentation of
automobile industries in India in the segmentation process is done largely on the bases of the product
type or the price range the product fits into. Considering this researcher did pilot study in order to
find out the real parameter of segmentation , the result shows that 13 parameters of segmentation has
most effect on customer satisfaction ,they are :fuel efficiency, Convenience, After sale service,
Durability, Value for Money, Style, Number of seats, Brand Name, Recommended, Previous
experience , Parking(size of vehicle), Advertising (TV, radio, newspaper etc) and Price. Based on the
purpose of this study researcher gone to find out whether there is any relationship between these 13
parameter of segmentation and their effect on customer satisfaction, considering this, Sample has
been collected from 100 managers and 200 customers of automobile industries in Pune, during the
month of February 2012 to June 2012. The result shows that there is a significant relationship
between most of the parameter of segmentation and customer satisfaction, however the test further
shows some of the parameters on the segmentation does not have effective relationship with customer
satisfaction. Managerial implications of these findings are briefly discussed.