A

MINOR PROJECT REPORT

ON

“A STUDY ON CUSTOMER SATISFACTION OF NYKAA:

BEAUTY SHOPPING”

Submitted in partial fulfillment of the requirements

For the award degree of

Bachelor of Business Administration

(Batch: 2021-24)

UNDER THE GUIDENCE OF: SUBMITTED BY:

MS. Parul Gaba SIDHI BHOJWANI

ASSISTANT PROFESSOR Enrollment no: 01119301721

KASTURI RAM COLLEGE OF HIGHER EDUCATION

(AFFLIATED TO GURU GOBINF SINGH INDRAPRASTHA UNIVERSITY)

NARELA, DELHI -110040

 CERTIFICATE FROM GUIDE

This is to certify that the project titled "A STUDY ON CUSTOMER SATISFICATION OF
NYKAA: BEAUTY SHOPPING" is an academic work done by "SIDHI BHOJWANI"
submitted in the partial fulfillment of the requirement for the award of the degree of Bachelor
of Business Administration from KASTURI RAM COLLEGE OF HIGHER EDUCATION,
Narela, New Delhi under my guidance & direction. To the best of my knowledge and belief
the data & information presented by him in the project has not been submitted earlier.

Ms. PARUL GABA

(ASSISTANT PROFESSOR)
 ACKNOWLEDGEMENT

A project is never the work of an individual. It is moreover the combinations of suggestions,

ideas, review, guidance and contribution. The success and final outcome of this project
required a lot of guidance and assistance.

Take this opportunity to express my profound gratitude and deep regards to my faculty guide
Ms. PARUL GABA for her exemplary guidance, monitoring and constant encouragement
throughout the course of this project. The blessing, help and guidance given by her from time
to time shall carry me a long way in the journey of life on which I am about embark.

SIDHI BHOJWANI

Enrollment No: 01119301721

 STUDENT DECLARATION

The undersigned student of B.B.A (General) 6th semester at KASTURI RAM COLLEGE
OF HIGHER EDUCATION ,hereby solemnly declares that the project entitled A STUDY
ON CUSTOMER SATISFICATION OF NYKA: BEAUTY SHOPPING ‘ is the outcome of
my own research prepared by me under the guidance of my Assistant Professor Ms. PARUL
GABA.

To the best of my knowledge, any part of this context has not been submitted earlier for any
degree, diploma or certificate examination. The basic purpose to take project report was for
training practical experience of work in particular field.

SIDHI BHOJWANI

Enrollment No: 01119301721

 INDEX

CHAPTER PARTICULARS PAGE NO.

1 INTRODUCTION
1.1 Introduction
1.2 Research Objectives of the study
1.3 Research Methodology of the study
1.4 Research Design
1.5 Limitations
2 PROFILES
2.1 About the Industry
2.2 About the company
2.3 S.W.O.T Analysis
3 ANALYSIS AND INTERPRETATION

4 FINDING , CONCLUSIONS AND

SUGGESTIONS

4.1 Findings
4.2 Conclusions
4.3 Suggestions
BIBLIOGRAPHY
 1.1 INTRODUCTION:

WHAT IS CUSTOMER SATISFACTION?

Customer satisfaction is defined as a measurement that determines how happy customers are
with a company’s products, services, and capabilities. Customer satisfaction information,
including surveys and ratings, can help a company determine how to best improve or changes
its products and services.

An organization’s main focus must be to satisfy its customers. This applies to industrial
firms, retail and wholesale businesses, government bodies, service companies, nonprofit
organizations, and every subgroup within an organization.

Model of Customer Satisfaction

There are two important questions to ask when establishing customer satisfaction:

1. Who are the customers?

2. What does it take to satisfy them?
 WHO ARE THE CUSTOMERS?

Customers include anyone the organization supplies with products or services. The table
below illustrates some supplier-customer relationships.
Note: that many organizations are both customers and suppliers.

Supplier-customer relationship examples

Supplier Customer Product or Service

Automobile manufacturer Individual customers Cars

Automobile manufacturer Car dealer Sales literature

Bank Checking account holders Secure check handling

High School Students and parents Education

Hospital Patients Healthcare

Hospital Insurance company Data on patients

Insurance company Hospital Payment for services

Steel cutting department Punch press department Steel sheets

Punch press department Spot weld department Shaped parts

All departments Payroll department Data on hours worked

WHAT DOES IT TAKE TO SATISFY THE CUSTOMER?

Organizations should not assume they know what the customer wants. Instead, it is important
to understand the voice of the customer, using tools such as customer surveys, focus groups,
and polling. Using these tools, organizations can gain detailed insights as to what their
customers want and better tailor their services or products to meet or exceed customer
expectations.

Customer Satisfaction Process Improvement

CUSTOMER SATISFACTION RESOURCES

R. L. Polk & Co.: Making Every Issue the Only Issue (PDF) Annual customer surveys for
R. L. Polk & Co. identified opportunities for improvement in customer contact and issue
resolution. By following the same steps for every issue and performing full root cause
analysis for 100% of issues, Polk increased operational excellence and improved customer
satisfaction.

Move from Product to Customer Centric (Quality Progress) "Customer centricity" is

about listening to your customers, with a focus on collecting, understanding, and acting on
customer feedback and providing tools for easy access to this information.

Don’t Measure Customer Satisfaction (Quality Progress) Customer perceived value is a

better alternative to traditional customer satisfaction measurements.

Linking Customer Satisfaction to Product Design: A Key to Success for Volvo (Quality
Management Journal) A framework for bridging the quality satisfaction gap at Volvo
integrates quality function deployment and customer-satisfaction modeling.

PURPOSE:
Farris et al. wrote that "customer satisfaction provides a leading indicator of
consumer purchase intentions and loyalty." The authors also wrote that "customer satisfaction
data are among the most frequently collected indicators of market perceptions. Their
principal use is twofold:"

1. "Within organizations, the collection, analysis and dissemination of these data send a
message about the importance of tending to customers and ensuring that they have a
positive experience with the company's goods and services."
2. "Although sales or market share can indicate how well a firm is performing currently,
satisfaction is perhaps the best indicator of how likely it is that the firm’s customers
will make further purchases in the future. Much research has focused on the
relationship between customer satisfaction and retention. Studies indicate that the
ramifications of satisfaction are most strongly realized at the extremes."
On a five-point scale, "individuals who rate their satisfaction level as '5' are likely to become
return customers and might even evangelize for the firm. A second important metric related
to satisfaction is willingness to recommend. This metric is defined as "[t]he percentage of
surveyed customers who indicate that they would recommend a brand to friends." A previous
study about customer satisfaction stated that when a customer is satisfied with a product, he
or she might recommend it to friends, relatives and colleagues.] This can be a powerful
marketing advantage. According to Faris et al., "individuals who rate their satisfaction level
as '1,' by contrast, are unlikely to return. Further, they can hurt the firm by making negative
comments about it to prospective customers. Willingness to recommend is a key metric
relating to customer satisfaction."
METHODOLOGIES:

American Customer Satisfaction Index (ACSI) is a scientific standard of customer

satisfaction. Academic research has shown that the national ACSI score is a strong predictor
of Gross Domestic Product (GDP) growth, and an even stronger predictor of Personal
Consumption Expenditure (PCE) growth. On the microeconomic level, academic studies
have shown that ACSI data is related to a firm's financial performance in terms of return on
investment (ROI), sales, long-term firm value (Tobin's q), cash flow, cash flow
volatility, human capital performance, portfolio returns, debt financing, risk, and consumer
spending. Increasing ACSI scores have been shown to predict loyalty, word-of-mouth
recommendations, and purchase behavior. The ACSI measures customer satisfaction annually
for more than 200 companies in 43 industries and 10 economic sectors. In addition to
quarterly reports, the ACSI methodology can be applied to private sector companies and
government agencies in order to improve loyalty and purchase intent.
The Kano model is a theory of product development and customer satisfaction developed in
the 1980s by Professor Noriaki Kano that classifies customer preferences into five categories:
Attractive, One-Dimensional, Must-Be, Indifferent, Reverse. The Kano model offers some
insight into the product attributes which are perceived to be important to customers.
SERVQUAL or RATER is a service-quality framework that has been incorporated into
customer-satisfaction surveys (e.g., the revised Norwegian Customer Satisfaction Barometer)
to indicate the gap between customer expectations and experience.
J.D. Power and Associates provides another measure of customer satisfaction, known for its
top-box approach and automotive industry rankings. J.D. Power and Associates' marketing
research consists primarily of consumer surveys and is publicly known for the value of its
product awards.
Other research and consulting firms have customer satisfaction solutions as well. These
include A.T. Kearney's Customer Satisfaction Audit process,which incorporates the Stages of
Excellence framework and which helps define a company’s status against eight critically
identified dimensions.
The Net Promoter Score (NPS) is also used to measure customer satisfaction. On a scale of 0
to 10, this score measures the willingness of customers to recommend a company to others.
Despite many points of criticism from a scientific point of view, the NPS is widely used in
practice. Its popularity and broad use have been attributed to its simplicity and its openly
available methodology.
For B2B customer satisfaction surveys, where there is a small customer base, a high response
rate to the survey is desirable. The American Customer Satisfaction Index (2012) found that
response rates for paper-based surveys were around 10% and the response rates for e-surveys
(web, wap and e-mail) were averaging between 5% and 15% - which can only provide a
straw poll of the customers' opinions.
In the European Union member states, many methods for measuring impact and satisfaction
of e-government services are in use, which the eGovMoNet project sought to compare and
harmonize.
These customer satisfaction methodologies have not been independently audited by
the Marketing Accountability Standards Board (MASB) according to MMAP (Marketing
Metric Audit Protocol).
There are many operational strategies for improving customer satisfaction but at the most
fundamental level you need to understand customer expectations.
Recently there has been a growing interest in predicting customer satisfaction using big data
and machine learning methods (with behavioral and demographic features as predictors) to
take targeted preventive actions aimed at avoiding churn, complaints and dissatisfaction.
1.2 OBJECTIVES OF STUDY:

✓ To study the company's business strategy.

✓ To identify NYKAA's competitors, products, and services.

✓ To investigate the company's SWOC and financial situation.

✓ Research the company's marketing strategy.