Customer Relationship Management and Loyalty Program

in IOCL

1. Introduction about the Customer relationship management and loyalty

program of IOCL.
2. Literature Review
3. Research Methodology
4. Analysis
5. Findings And Recommendations
6. Conclusions
7. References
 Introduction about the customer relationship
management and loyalty programs in IOCL

Indian Oil Corporation (Indian Oil) is India's Largest Commercial

Enterprise, with a net benefit of 103.99 billion (US$1.5 billion) for the
budgetary year 2015-16.Standing consistent with its corporate vision of
being 'The Energy of India', Indian Oil has been effectively taking care of the
vitality requests of India for over five decades. Being India's lead national oil
organization, Indian Oil with a work-constrain of 33,000 productive
personalities is experiencing their vision of turning into an inclusive
respected organization'. It is the main Indian Corporate in Fortune's
prestigious 'Worldwide 500' posting of world's biggest corporates at 161st
position for the year 2016.IndianOil's business advantages over-lap the
whole hydrocarbon esteem chainfrom refining, pipeline transportation and
advertising of petroleum items to investigation and generation of unrefined
petroleum and from promoting of common gas to petrochemicals. Likewise,
Indian Oil has wandered into option vitality and globalization of downstream
operations. With auxiliaries in Sri Lanka, Mauritius and the UAE, Indian Oil is
scouting for new business openings in the vitality showcases crosswise over
Asia and Africa. It has likewise shaped around 20 joint endeavors with
presumed business accomplices from India and abroad to seek after various
business interests. Indian Oil represents about portion of India's petroleum
items piece of the overall industry, 35% national refining limit (together with
its auxiliary Chennai Petroleum Corporation Ltd., or CPCL), and 71%
downstream part pipelines through limit. The Indian Oil Group claims and
works 11 of India's 23 refineries with a consolidated refining limit of 80.7
MMTPA (million metric tons for each annum). Indian Oil's crosscountry
pipeline organize, for transportation of raw petroleum to refineries and
completed items to popularity focuses, traverses more than 11,220 km. With
a throughput limit of 80.49 MMTPA for unrefined petroleum and petroleum
items and 9.5 MMSCMD for gas, this system meets the fundamental vitality
needs of the purchasers in a proficient, prudent and environment-
accommodating way. With a portfolio that is adorned with driving vitality
brands like XTRAPREMIUM petrol, XTRAMILE diesel and PROPEL
petrochemicals, Indian Oil's SERVO ointments and Indane LPG have earned
the desired Super brand status.

Indian Oil Loyalty Programs Indian Oil's dedication projects are composed
solely to profit the extensive number of its clients who have been
disparaging the brand for more than five decades. The XTRAPOWER Fleet
Card program is an entire brilliant card-based armada administration answer
for armada administrators and corporates for cashless buy of fuel and
greases from assigned retail outlets (petrol pumps) of Indian Oil through
adaptable paid ahead of time and credit offices. The armada card
additionally offers an energizing prizes program and interesting advantages
like individual mishap protection cover and vehicle following offices. In just
shy of two years of its dispatch, it has risen as the biggest armada card in
the nation with the most stretched out retail outlet scope. Any business
element owning or working a vehicle armada can turn into an individual from
the XTRAPOWER armada card program at an ostensible yearly charge. Every
armada proprietor is issued a Fleet Control Card and vehicle-particular Fleet
Cards for each vehicle selected under the program. For upgraded security,
the armada card exchanges are approved through an extraordinary Personal
Identification Number (PIN). Additionally, the card can track every vehicle's
development crosswise over remote corners of the nation, prompting to a
change in vehicle use and course consistence. XTRAPOWER is likewise
sponsored by Indian Oil's unfathomable foundation system and online bolster
administrations. The XTRAPOWER Rural card is a first-of-its-kind faithfulness
program activity in the oil business for HSD purchasers in the hinterland.
Every country client who buy fuel for different utilize, for example, Pump set,
DG set, fisheries and so on can be given motivations through Rural card.
Literature Review

The objective of the study is to determine the importance of loyalty program

and also to know the importance of customer relationship management in
organization.
Customer Relationship Management (CRM) - CRM is a combination of
policies, processes, and strategies implemented by an organization to unify
its customer interactions and provide a means to track customer information.
It involves the use of technology in attracting new and profitable customers,
while forming tighter bonds with existing ones. Customer relationship
management is an emerging tool that enables marketers to maintain their
presence in the dynamic marketing environment. Customer relationship
management is high on the corporate agenda. Recent research carried out
by Business Intelligence reveals that six out of ten companies have already
started out on the CRM journey.

According to Pacific Business Review - Products are easy to copy, services are
harder to copy but the learned relationship that a customer has with or his
supplier is nearly impossible to reproduce. It increases profitability of the
retail business in many ways:
- Customer information allows companies to target profitable customers.
- Customer loyalty extends products life cycle.
- Customer loyalty reduces advertising and marketing cost.
Retailer's views about the importance of CRM in sales: Total 77% of the
organized retailers strongly agreed that CRM is very important in
maximization of sales. This point of view of retailers about CRM's role in sales
generation reflects that without effective CRM implementation in the retail
store the retailers would not be able to achieve their target goals and they
will remain illusive.

According to V. Ramanathan (2008), Customer Relationship Management is

an emerging tool that enables retail marketers to maintain their presence in
the dynamic market environment. In early days CRM was the tool preferred
by the manufacturers in order to motivate and retain retailers. Now retailers
are applying this very same tool in order to retain customers.

According to Sreekumar P (2009), for implementing any CRM initiative or

special loyalty offers, Lifetime Customer Value is the most important criteria.

According to International Journal of Science and Research (IJSR) role of CRM

in improving customer relationship:-
- Tracking of Customer Interests, needs and buying habits, like, dislike, tastes
and preference on a continuous basis and formulations of dynamic
marketing strategies.
- CRM ushers in improvements in customer service to facilitate long term
sustained customer satisfaction.
- CRM establishes an in depth understanding between the firm and its
customer.
- Enabling the firm to attain a higher rate of repeat Purchase.
- CRM helps the organizations to identify customer need and refocus its
strategy to serve him better.

LOYALTY PROGRAMS:- Loyalty programs are a great way to entice

customers to keep returning to your stores as they seek to gain rewards on
routine purchases. Finding the right fit when it comes to a loyalty program
will help store operators differentiate their offering and could generate a
steady stream of repeat customers. The main purpose of a loyalty program is
to retain regular customers, to increase commitment from occasional
customers and to acquire new ones.
Loyalty programs are initiated by businesses with two main goals:
Primary goal: Acquisition of information relating to their customers'
spending habits
Secondary goal: Actively cultivate loyalty amongst customers to ensure
they continue patronizing the business.

There are many key advantages and reasons to choose the fuel loyalty card:
Fuel cost savings
Security & controls
Easy to check your daily fuel transactions and spending!
Exception monitoring
Flexible billing options

Forbes fortune 500 list the following were the backlogs of IOCL

1. There was no Customers view on present price difference between MS

and XP.
2. There was no Strength in the branded MS which makes the customer
to use the same.
3. There was no Study of customer loyalty in ROs
4. The incentive strategy for XP users were not up to the mark.
5. Petrol pump attendants were not that active

RESEARCH OBJECTIVES
 1. To provide the effectiveness of loyalty program adopted by iocl retail
outlets.
2. To understand and identify the Customer Relationship Management
Practices followed by the iocl retail outlets.
3. To study the benefits of CRM to the retailers and customers.
4. To analyze the importance of CRM from the retailers & customers point
of view.

RESEARCH METHODOLOGY

Research design

Research Methodology Conducted here is descriptive technique in nature.

The research done on the sampling unit retail outlet. The technique of
sampling used Judgmental sampling and Questionnaire designed with help of
secondary data and retailer interview and opinions based on. The primary
data collected from retailer (retail outlets) and consumers would be
quantified & collecting Questionnaire 5 retail outlets & 100 customers . The
sampling technique used in the survey is non - probabilistic judgmental
sampling using a structured questionnaire, interviews and observation
methods to collect data from the customers.

Research Phases

Phase I Primary data collection

Sources of Data

1. Primary Data: The Primary data will be collected using survey as a

mode of data collection. To conduct surveys separate sets of structured
questionnaire would be prepared for Retailer respondents and retail outlet
customer respondents.
2. Secondary Data: The secondary data shall be collected from various
Publications of Retailer and Brand shall be explored through Books,
companies catalogues, Magazines, Journals, Periodicals business review.

Findings and Recommendations

1. To find out why the fuel attendants as well the managers of the
retail outlets are not giving importance to the customer.
2. To go briefly about the customer relationship as well as loyalty
programs of IOCL.

Recommendations

1. To ratify the process of customer relationship management of IOCL

2. To conduct surveys on regular bases regarding the loyalty
programs offered by the organization.

Conclusions

With the help of this project I could know about more briefly about
the customer
relationship of the IOCL and also its major backlogs. And I can
learn from the mistakes of IOCL and I can improve on that.
References
www.iocl.in
www.hubpages.com
www.tech-story.com