Mes indiaA

PROJECT REPORT ON

MARKET & POTENTIAL SURVEY OF BPCL

As partial fulfillment for the award of

Acknowledgement
The making of this project has been a great experience for me on BPCL (Financial Management) during partial fulfillment of my MBA course.

While making this project I have gained immense practical knowledge of how an organization works day to day and how their policy regarding Financial conditions of Shree Bharat Petro, (BPCL) marketing and sales of the products has been made and how they strive continuously in today competitive environment to maintained and enhance their position in the market.

In the end of my project, I would like to acknowledge Dr. Arpita Khare, Co-ordinator of MBA at IPEM, Ghaziabad for her immense cooperation in making this project and also I would like to give my thanks to Mrs. Sapna Rakesh, Director of IPEM, Ghaziabad whom able guidance helps me to complete this project.

Last but not least I would like to give my thanks to all BPCL family members, colleagues and dealers who helped me during my project work.

SHIVENDRA PRATAP SINGH MBA 2002-2004 IPEM Ghaziabad.

CONTENTS

Acknowledgement Introduction Objective Synopsis Company Profile Research Methodology Market Analysis Suggestions & Recommendation Conclusion Annexure Questionnaire

SYNOPSIS
OBJECTIVE : The main objective of the project is to find out the perception of dealers/ retailers regarding the sales promotion facility. TYPES OF RESEARCH : Research Approach : Survey Approach Research Instrument : Questionnaire SAMPLING PLAN : Number of Sampling Unit : 30 Sample Unit : Dealers / Retailers

DATA COLLECTION : Contact Method :

Sampling Procedure Structured Interview through questionnaire

INTRODUCTION
Topic Objective : Market Survey of BPCL : To increase the sale of BPCL Products

Bharat Petroleum Corporation Ltd. manufacturer a large range of lubricants ,liquid petroleum gas, (LPG) Petrolium diesel, Aviation fuel & solvents.

BPCL has also spreads up to Refinery plants in India Indian Oil and Castrol of the major competitors in the market against BPCL. It is important to get and idea regarding BPCL position in Ghaziabad and Meerut City.

It could not help BPCL to capitalize on existing potential but also to formulate strategic and to fill the look holes and gaps to fight the competitive situation.

Conducted the survey : Under the able guidance of Mr. Neeraj Tyagi and Mr. Suri. The researcher has tried to now about the following points :1. To find out the perception of dealers / retailers of BPCL. 2. To determine the market share

MARKET ANALYSIS
Survey is the most commonly method i.e. used in collecting primary data in market survey, and has extremely flexible.

Survey Research is the systematic gathering of data from respondent through the questionnaire. The purpose of the survey is to provide more and more information regarding it market position and sales promotion.

A questionnaire is the former list of the entire question to be answered in the survey.

I have conducted the market survey in different city e.g Meerut. Ghaziabad, Delhi and Modinagar.

I have make a survey especially on petroleum product (Sales Promotion facility).

There are a number of companies in the market. Some of them of Government companies and some of them of private companies as BPCL IBP

Indian Oil Hindustan Petroleum Castrol Shell ELF Pennzoil In our analysis, I have found that BPCL is not in a good position in the market. This company doest not provide as much sales promotion facility as it should provide in comparision to other company which exists in the market like Indian Oil, Hindustan Petroleum , Castrol, Shell, ELF, Pennzoil, bp .

Infect the quality of BPCl products its superior but its price is little big high and it also doesnt provide sale promotion scheme.

There is also a lack of proper advertisement and wall painting, print media, electronic media and distribution network, dealers meets, and mechanic meet.

BPCL not in a good position because prices so much high in comparison to other companies. It can gets its real position only by improving its faults.

A GLORIOUS COMPANY
Do take some time off for a brief interlude with the past, as we take you back in time to the evolution of Bharat Petroleum Corporation Limited. A new chapter in the history of Indian industry.

EARLY HISTORY - DAWN OF A NEW ERA Petroleum (derived from Latin Petra-rock and oleum-oil) first came up in wells drilled for salt. People found it useful as illuminating oil and the demand for it steadily increased. Samuel Kier, a Pittsburgh druggist, bottled and marketed Petroleum as medicinal cure. To market a deodorized variant, he designed the first primitive refinery in 1852, which was a huge improvised kettle, connected to a metal tank.

'Colonel' Edwin Drake and 'Uncle' Billy Smith drilled a well with the specific objective of finding oil, and on 27th August 1859, they "struck oil" at Titusvale, in North Western Pennsylvania, USA, at a depth of 69.5 ft.

FROM NOTHING TO GOLD The 1860s saw vast industrial development. A lot of petroleum refineries also came up. An important player in the South Asian market then was the Burmah Oil Company. Though incorporated in Scotland in 1886, the company grew out of the enterprises of the Rangoon Oil Company, which had been formed in 1871 to refine crude oil produced from primitive hand dug wells in Upper Burma. The search for oil in India began in 1886, when Mr. Goodenough of McKillop Stewart Company drilled a well near Jaypore in upper Assam and struck oil. In 1889, the Assam Railway and Trading Company (ARTC) struck oil at Digboi marking the beginning of oil production in India. While discoveries were made and industries expanded, John D Rockefeller together with his business associates acquired control over numerous refineries and pipelines to later form the giant Standard Oil Trust. The largest rivals of Standard Oil - Royal Dutch, Shell, Rothschilds - came together to form a single organisation: Asiatic Petroleum to market petroleum products in South Asia.

In 1928, Asiatic Petroleum (India) joined hands with Burmah Oil Company - an active producer, refiner and distributor of petroleum products, particularly in Indian and Burmese markets. This alliance led to the formation of Burmah-Shell Oil Storage and Distributing Company of India Limited.

THE

PIONEERING

SPIRIT

BURMAH

SHELL

MARKETING

A pioneer in more ways than one, Burmah Shell began its operations with import and marketing of Kerosene. This was imported in bulk and transported in 4 gallon and 1 gallon tins through rail, road and country craft all over India.

The company took up the challenge of reaching out to the people even in the remote villages to ensure every home had its supply of kerosene. The development and promotion of efficient keroseneburning appliances for lighting and cooking was an important part of kerosene selling activity.

With motor cars, came canned Petrol, followed by service stations. In the 1930s, retail sales points were built with driveways set back from the road; service stations began to appear and became accepted as a part of road development. After the war Burmah Shell established efficient and up-to-date service and filling stations to give the customers the highest possible standard of service facilities.

On 15th October 1932, when civil aviation arrived in India, the company had the honour of fuelling J.R.D. Tata's historic solo flight in a single engined de Havillian Puss Moth from Karachi to Bombay (Juhu) via Ahmedabad. Thirty years later, i.e. in 1962, Burmah Shell again had the privilege to fuel JRD Tata's reenactment of the original flight. Burmah Shell also fuelled flying boats, which carried airmail at slightly higher rates than sea transport, at several locations. As a true pioneer would, the company introduced LPG as a cooking fuel to the Indian home in the mid-1950s. And all along, it went beyond selling petroleum, to educate the customer. Besides selling Bitumen, the company pioneered desert road construction, training road engineers. It provided free technical services to industrial customers - big and small - and it became a part of the company's culture.

ON STREAM - THE BURMAH SHELL REFINERY An agreement to build a modern refinery at Trombay, Bombay was signed between the Burmah Shell group of companies and the Government of India on 15th December 1951.

Burmah Shell Refineries Limited was incorporated as a private limited company under the Indian Companies Act on 3rd November 1952, and work began on the marshland of Trombay at Bombay. Man and machine worked relentlessly, and soon the swamps gave way to towers and tanks of steel, and miles of pipeline.

The refinery on 454 acres of land at village Mahul went on-stream on 30th January 1955, one year ahead of schedule. Dr. S. Radakrishnan, Vice President of India, declared the 2.2 MMTPA (Million Metric Tonnes Per Annum) Refinery open on 17th March 1955. It was then the largest refinery in India then. FROM BURMAH SHELL TO BHARAT PETROLEUM On 24th January 1976, the Burmah Shell Group of Companies was taken over by the Government of India to form Bharat Refineries Limited. On 1st August 1977, it was renamed Bharat Petroleum Corporation Limited. It was also the first refinery to process newly found indigenous crude (Bombay High), in the country. With this infrastructure, free India moved one step closer to selfreliance.

THE TECHNOLOGICAL EDGE

Bharat Petroleum has always been on the forefront of harnessing technology initiatives for maximising efficiency and achieving greater customer satisfaction. Bharat Petroleum is the first Public Sector Oil Company to implement Enterprisewide Resource Planning (ERP) solutions SAP. The implementation project known as ENTRANS

(Enterprisewide Transformation) has been awarded the 'SAP Star Implementation Award', with Bharat Petroleum having the distinction of executing the largest and the most ambitious SAP project in India. The challenge of SAP implementation was to ensure that all the integrated elements (of the complex multimodular integrated solutions that impact the entire workflow of the organisation) work seamlessly across the length and breadth of the country, including the remote locations. Providing online connectivity in these remote locations, given the full-fledged IT network infrastructure, was in itself a daunting task. Bharat Petroleum is reaping the benefits of the integrated system in many areas of its operations. The early gains of implementation are in the areas of tracking customer-receivables, monitoring credit-

management,

inventory

management,

besides

easing

the

operations in a large number of areas. Furthermore, Bharat Petroleum has also set up one of the biggest 'Centres of Excellence' in Asia to provide online support to the end users and also work towards continuous improvement in business processes and handle product upgrades and new generation products.

With SAP as the IT backbone, Bharat Petroleum plans to take advantage of the Internet based capabilities along the entire value chain with a Customer Relationship Management solution. A large data warehouse project has also been implemented, which facilitates access to real-time accurate information on key performance indicators at all Bharat Petroleum locations. This enables the management to take strategic and business decisions, thus ensuring value-added services, better customer satisfaction and enhanced shareholder value.

THE PLANNED APPROACH

Increasing globalisation, new products and services, and innovative marketing have resulted in a very market savvy consumer. The production-based success philosophy of marketers

has now been replaced by a customer-oriented philosophy. Bharat Petroleum has taken cognisance of this situation well in time and has been taking radical steps to keep itself attuned to the changing times, realising that the future belongs to those who listen and adapt to their customers.

STRATEGY DEVELOPMENT Bharat Petroleum recognises that all strategic initiatives must conform to the overall vision ofthe Corporation and improvethe economic value. The Strategy Development effort at the corporate level achieves better focus in the new organisational structure, besides facilitating the SBUs in developing their respective strategies that lead to an integrated Corporate Strategy. A Business Planning process has been put in place that not only provides opportunities for the SBUs to pursue their visionary goals in consonance with the Corporate Vision, but also continuously monitors trends and identifies strategic opportunities for the Corporation.

BRAND MANAGEMENT

In the highly competitive scenario, it has become imperative to own dominant brands. The Brand Management team at Bharat Petroleum endeavors to build and manage a strong brand image reflecting Bharat Petroleum's core values of being 'INCARE', viz. Innovative, CAring and Reliable. Emphasis is laid on continuously understanding customer behaviour, tracking their changing needs and expectations, and meeting these needs in the most costeffective manner.

RESEARCH & DEVELOPMENT

Always on the forefront to innovate, Bharat Petroleum is making distinct efforts towards Research & Development (R&D). Besides the R&D facilities at the Refinery and the Product Application Development Centre in Sewree in Mumbai, a new state-of-the-art R&D Centre is being set up near Delhi. The R&D Centre is being organised around three core groups - Process & Technology Development, Product Application Development and

Environmental Engineering. A total outlay of Rs.3,000 million has been planned to be spent in three phases up to the year 2003-04 on this project.
.

SHAPING THE FUTURE

The core strength of Bharat Petroleum Corporation Limited has always been the ardent pursuit of qualitative excellence for maximization of customer satisfaction. Thus Bharat Petroleum, the erstwhile Burmah Shell, has today become one of the most formidable names in the petroleum industry. Bharat Petroleum produces a diverse range of products, from petrochemicals and solvents to aircraft fuel and speciality lubricants and markets them through its wide network of Petrol Stations, Kerosene Dealers, LPG Distributors, Lube Shoppes, besides supplying fuel directly to hundreds of industries, and several international and domestic airlines.

DYNAMIC GROWTH POST NATIONALISATION Following nationalisation in 1976, Bharat Petroleum changed gears and embarked upon a rapid growth path. Turnover, profitability and financial reserves grew by leaps and bounds. Massive expansion and modernisation provided a tremendous boost to the company's performance. Large-scale recruitment and training became critically important to meet the demands of expansion.

THE

WINDS

OF

CHANGE

TRANSFORMED

ORGANISATION EMERGES

Opening up of the Indian economy in the nineties brought with it more competition and challenges, kindled by the phased dismantling of the Administered Pricing Mechanism (APM) and emergence of additional capacities in the region in refining and marketing.

In 1996, Bharat Petroleum went through a process of visioning, involving people at all levels, which evolved a shared vision and a set of shared values. Based on this, the company restructured itself, in a proactive move to adapt to the emerging competitive scenario. The function-based structure was carefully dismantled and replaced with a process-based one. This made the company more responsive to its customer needs.

Bharat Petroleum realises that, in the long run, success can only come with a total reorientation and change in approach with the customer as the focal point. Today, Bharat Petroleum is restructured into a Corporate Centre, Strategic Business Units (SBUs) and Shared Services and Entities. The organisational design comprising of five customer facing SBUs, viz. Aviation,
.

Industrial & Commercial, LPG, Lubricants and Retail and one asset based SBU, viz. Refinery, is based on the philosophy of greater customer focus.

OUR COMPANY
COMMITMENT TO SOCIETY Bharat Petroleum continues its endeavours in meeting social obligations to the under privileged sections of the society through development of roads, schools, clinics and vocational training centres in rural areas. Cataract camps for villagers, vocational classes to make the rural women self-reliant, development of rural women and children, providing sanitation and drinking water in the villages, are just a few of the many contributions made by Bharat Petroleum to meet its social responsibilities.

In recognition of the outstanding work done in the area of Rural Development, FICCI awarded the 'Rural Development Award 1999-2000' to Bharat Petroleum.

BOARD OF DIRECTORS S. BEHURIA

Chairman & Managing Director

MUKESH ROHATGI

Director, Refineries
ASHOK SINHA

Director , Finance
S. A. Naryanan

Director, Human Resource

S. RADHAKRISHAN

Director, Marketing
S. VIJAYA RAGHWAN

Joint Sect. Ministry of Petrolium and Natural Gas

Dr. B. MOHANTY

Joint Advisor (Finance)

OUR COMPANY CORPORATE VISION

Have excellent customer carrying and customer service

Make BPCL a great place to work

Effective boundary management

Established a first class brand and corporate image

Fulfill Social responsibility

VISION
Develop cohesive corporate strategy Apply the best technology

Sound Business performance and operational efficiency

Strong and dynamic system

Be and ethical company

SOCIAL WELFARE

Social Welfare in Bharat Petroleum was initiated as a non-statutory body in the year 1984. Bharat Petroleum has been the pioneer in the oil sector to hire the services of professional social workers. Areas of work in the initial years were primarily to cater to the softer areas of employee related issues, to mention a few are:

Counselling for personal as well as emotional problems affecting work.

Assistance to quit substance abuse (like alcohol and other drugs.

Marital

Conflicts,

Divorce

Reconciliation,

Money

Management, etc. With years our focus changed from restorative to preventive as well as promotive, holistic health. Talks on various issues at plant level like addiction, HIV/AIDS, parental issues, time and finance management, family relationships were initiated, which still continues and gives considerable positive returns. For the above mentioned activities we have collaborated with various Non Government Organisations, to deliver best humane services for our employees and their family members. Eventually, their

involvement in the whole process of employee related issues were

.

taken, there by channelising their energy positively as well as encouraging prosocial behaviour.

COMMUNITY DEVELOPMENT

As a part of Society, Bharat Petroleum believes that they owe as a corporate body to give back to society their best. With this social obligation Bharat Petroleum started community work way back in 1987 by adopting Karjat (tribal area in Raigad District) and Mahul (our neighbourhood) for ameliorating lives of the deprived.

Karjat is located in Raigad District and comprises of mainly tribal population. Bharat Petroleum adopted 25 villages under Mogrej and Tembre Gram Panchayat. Some of the activities undertaken to help the tribal population are

Constructing a community hall/ Samaj Mandir Health assistance, through regular health camps, pediatric camps and cataract camps

Educational assistance through distribution of books, holding competitions

Vocational assistance by imparting training in bamboo and tailoring

Encouraging

environment

friendly

attitude

through

distribution of smokeless chulhas, solar cookers as well as educating them through folk music. Mahul being close to Refinery had different set of expectations as well as issues. The village has approximately 25,000 inhabitants who are primarily fishermen, some are migrants who work on contract as well as in salt pans. Some of Bharat Petroleum's assistance to these inhabitants so far has been

Infrastructural development, like construction of jetty, Balwadi, Homeopathic Dispensary

Vocational guidance through aptitude testing, scientific vocational need based study through Jan Shikshan Sansthan (NGO under ministry of HRD)

Exhibition for the Fishermen to equip them with latest avenues in fishing through Central Institute Of Fisheries Education(CIFE)

Bharat Petroleum's approach both for employees as well as community is to share the best to get the best. Bharat Petroleum also has in the Refinery a crche wherein employees and their children are in touch with each other.

In times of natural calamities you will always find Bharat Petroleum in the forefront, rendering aid and emergency provisions. Bharat Petroleum relief teams have worked tirelessly to provide the Gujarat Earthquake and the Orissa Flood victims with food and essential survival materials.

LIST OF 20 VILLAGES ADOPTED

Bhogalpura (Agra) Srinivasapura & Muneshwara (Bangalore) Neelgarh (Bhopal) Ramathenga (Bhubaneshwara) Brindabanpur & Farakidanga (Calcutta) Jahazpur (Calcutta) Mankara (Calcutta) Kadambankulam (Coimbatore) Basantgarh (Delhi) Jyotinagar (Goa) Nangalgovind (Jaipur) Babukhera (Lucknow) Pedawada/Manjripal (Nagpur) Laakarhawar (Patna) Kasabkhede / Pohey (Pune) Khara Bairaja (Rajkot)

Mangadih / Jaradih / Dimra / Obar (Ranchi) Bhaktachiwadi / Mogrej (Karjat) Tembre (Karjat) Mahul (Chembur)

We feel happy when we see Smiles on the faces of villagers and children. It helps us to get closer to our Corporate Philosophy. We care for you.

PRODUCTS

Refineries Petroleum Products

- PETROL & DIESEL PUMPS

Lubricants
- DISEAL ENGINE OIL MAK Multigrade MAK Gold MAK Diamond MAK Ultra Supreme MAK GE (Gas Oil) - PASSENGER CAR MAK Classic MAK Elite MAK Supreme MGO - PUMPSET OIL MAK Pump - GREASE MAK Univex-A MAK W.D. MAK MP3 ( Multipurpose)

- GEAR OIL MAK Spirol 99ep/140ep MAK Syncrol 90/140 MAK ATF-A Tello ATF

TWO STROKES OILS MAK 2T FC MAK Glide 4T (4 Stroke)

BRAKE OIL MAK BRK Flud (Heavy Duty) MAK Super Kool MAK Redi Kool Hydrol 68 Hydrol 32/46/68/100 Hydrol 150/220/320 Hydrol 460 Hydrol HLP 32/46/68/100 Sherol B FREEZOL 32/46/68/100

ORIGIN OF LUBRICANTS
LUBRICANT: Balmer Lawrie introduced modern day lubricants-greases and oils- in India, initially them from England and USA and distributing them to tea gardens and other industries. In 1937 the company pioneered the manufacture of lubricating greases in India setting up a small plant in Howrah, followed soon by the introduction of its brand 'Balmerol' for blended lubricating oils and greases.

Lubricant are the smallest and most diversified segment of the petroleum industry. The international scenario of the lubricant is as fast changing as ever. The present global lubricant market is of the order of about 38 MT. Asia Pacific region including India accounts for almost one third of this demand. The world lubricant demand is expected to grow by about 1.1% per year upto the year 2002 while in Asia the average growth rate would be around 5%.

THE INDIAN LUBRICANT INDUSTRY: The lubricant industry in India is one of the sub-sector of petroleum industry which was opened out completely to private

and foreign manufactures. The Indian lubricant industry is 6 th largest in the world. Current lubricant market in India is 1 million tones per year which has not been affected by the current recession in Asia. The major factor in favour o the Indian market is the growth rate.

The market is growing at the rate of around 5% against the global average of 2.5% more than 25 national/international oil companies are operating in India with a total market value of around Rs. 5500 crores. Automotive oils are the biggest and

largest and the most crucial segment of the lubricant sector which consumes about 60% of the lubricant in India.

LUBRICANT MARKET In 1993, the government announced a number of regulatory changes in the lubricants sector. It permitted the entry of foreign companies, decanalised imports of base oil (used for lubricants,) decontrolled prices, and progressively lowered the customs duty (from 85 per cent to 30 per cent). In 1997-98, the size of the lubricants market in India was around Rs. 55 billion with a volume of around 1.2 million tonnes, making it the sixth largest lubricants market in the world. (In 1993, the market size was Rs. 35 billion with a sales volume of 630,000
.

tonnes.) the lubricants market has grown by nearly 17 percent per annum in the past four years in terms of volume and by nearly 12 per cent annum in terms of value.

Since 1993, the number of lubricants in the market has increased. With the introduction of multi-grade oil and synthetic lubricants, the quality to lubricants had improve. Some companies have also set up state -of-the-art lube blending plants.

The number of players in the lubricants market has increased from 5 in 1993 to around 40 in 1997. The share of public sector marketing companies (LOC, HPCL, BPCL and IBP) has declined from 88 per cent in 1991-92 to around 60 per cent in 1997098 IOC is the largest player with a market share of 32 per cent, while Castrol is the second largest with a market share of nearly 18 per cent. Castrol had increased its market share from per cent in 1991 to 17.4 per cent in 1997-98.

The changes in market shares of players can be attributed mainly to the pace of new product introductions by companies, availability of the product in the market, and aggressive advertising and pricing strategies followed by companies. In general,

marketing costs account for 10 per cent of the selling price of lubricants.

The market can be segmented by end-use automotives and industrial uses, automotives accounts for about 60 per cent of the total market, while industrial account for 40 per cent of the market. The market can also segmented by end-users-individual and institutional buyers, where institutional buyers include railways, defence forces, state road transport corporations and manufacturing firms. The individual user segment accounts for about 55 per cent of the market, while the institutional user segment accounts for about 45 per cent of the market.

Automotive sales are done through two channels, retail outlets and bazaar trade, Retail outlets are petrol pump and bazaar trade comprises authorised dealers, spares and accessories shops, and road-side mechanics. The share of lubricants sold at petrol pumps has declined from 90 per cent in the late eighties to about 65 per cent in 1997-98.

Since only permitted to

public sector marketing companies, are lubricants through retail outlets,

distribute

international companies such as Mobile Exxon, Shell and Caltex, have set up joint ventures with them in order to access the distribution network of 16,950 retail outlets. A marketing company's retail outlet sells both its own lubricants and the foreign brand, which are usually priced higher.

Other international players have been forced to focus on bazaar trade. Recently, public sector marketing companies are also trying to increase sales through bazaar trade in order to improve their market share. Gulf oil is planning to set up 'quick' lube change centres' since it does not have access to petrol pump. Lubricant companies have also been targeting automobile companies for direct sales as original equipment (OE) suppliers.

Automotive Gear Oils: Automotive gear oils are one of the bulk volume lubricants after engine oils world over.

PROFILE BHARAT PETROLEUM CORPORATION LTD.

Incorporation Year Registered

1976 Bharat Bhavan 4 &6 Currimbhoy Rd Ballard Est. Bombay 400001 Maharastra 91-22-2618281/8061/1705 91-22-2616793 Refineries Govt. of India S. Behuria D.M. Naik Bengre M/s RSM & Co. M/s Mehra Goel & Co. 10 1 Bombay Calcutta Madras Delhi NSE Bharat Petroleum Corpn. Ltd. Bharat Bhavan 4 & 6 Cruimhoy Rd Ballard Estate Bombay -400001

Telephone Fax Industry House Chairman Company Secretary Auditor Face Value Market Lot Listing

Registrar

BPCLs CONEPTS
COCO

The Company Owned Company Operated Retail Outlets (COCOs) are of significant importance to the Corporation. There is a lot of value seen by all concerned in these Retail Outlets. One of the major problems the Oil Industry is facing, as of today, is to ensure availability of right quantity and right quality of fuel to the general public through Dealer run Outlets. From the consumers' point of view, COCOs are favourite because of the right quality and quantity of fuel delivered to them. There are a number of examples of COCOs being patronized very heavily by the public because of their reputation of supplying right quality and quality fuels. The Company Owned Company Controlled Retail Outlets represent the face of the corporation to the public at large. These Outlets are an excellent gateway for the Oil Companies to build their brand through visual manifestation and customer service. They give a first hand opportunity to interact with the customers directly. COCOs are a very valuable platform for acquiring retailing skills, which will go a long way in preparing the Corporation for de-regulation. These Retail Outlets provide an opportunity to get a hand on experience on retailing fuels and allied products. Some of these Retail Outlets are being used as
.

Training Center for the staff. Further, COCOs serve as a fall back to the Oil Industry to ensure supply of petroleum products to the general public, in case of strike by the dealers or threat of "No Purchase" campaign which is happening quite often in the recent past.

An opportunity was given to the Oil Industry to construct and operate Retail Outlets on COCO basis under the Jubilee Retail Outlets scheme on major important National and State Highways. These outlets have become instant success with the customers because of high standards of customer services including the right quality and quantity of fuels being dispensed from these Retail Outlets which is one of the major concerns in the mind of the vehicle owners.

PURE FOR SURE

PURE FOR SURE - The Sign of a New Revolution Bharat Petroleum recognises that one of the basic needs of the customers is pure quality and correct quantity of fuels. Bharat Petroleum is passionately committed to making this need a reality at its Retail Outlets. As one of the major initiatives in this direction, Bharat Petroleum has launched an 'Enhanced Fuel Proposition' (EFP) programme - A nation-wide effort a dispensing pure quality and correct quantity of fuel, and at the same time delivering courteous, fast and efficient service. The retail outlets covered under this program display the 'Pure for Sure' sign - an outturned palm forming a circle with the thumb and the first finger - also imprinted on the dispensing units and on the back of the blue uniform sported by DSMs, and TUV's certificate displayed at the outlet. At such Retail Outlets, Bharat Petroleum guarantees that the correct quality and quantity are dispensed. In order to be able to do so, strict quality control and tracking measures have been put in place at every point from the Supply Point (Depot) to the customer's fuel tank.

Special locks have been provided in tank lorries and comprehensive sealing has been undertaken at the dispensing units. Before certification, the Retail Outlets are subjected to stringent tests by TUV SUDDEUTSCHLAND - INDIA, a renowned international agency, to ensure that all parameters of the program are complied with. Mystery audits and extensive inspections are carried out at these Retail Outlets to ensure that they continue to comply with the requirements of the EFP program.

EXPECTATIONS OF THE CUSTOMERS OUT OF THIS PROGRAM: Value for money from "Pure for Sure" outlets as these outlets dispense right Quantity of pure fuel. Better mileage and lower maintenance expenses on their motor vehicles. Efficient fuelling and courteous service resulting in saving of time. Reduced pollution due to the use of pure fuel. During the last 3 years Bharat Petroleum has implemented a set of Customer Service Standards, which has been well appreciated by customers. The 'Pure for Sure' program is an even more focussed,

and intense effort towards ensuring Quality and Quantity, courteous and quick service. STATUS OF THE PROGRAM Bharat Petroleum Dealers have responded voluntarily to join the "Pure for Sure" program. This has made a joint initiative between the Company and the dealers possible to provide courteous service, assured Quality and Quantity and efficient fuelling at the retail outlet. This program is a continuous effort and involves systematic certification and therefore, interested Dealers are able to join the program only in phases. This program is being launched in phases. The first phase of Retail Outlets that have been certified recently covered the 4 Metros Bangalore & Hyderabad, at 108 sites. Another 600-700 sites are to follow, in 2 more phases in various cities. More customers across wider geographical areas would therefore be in a position to access retail outlets sporting the "Pure for Sure" logo easily.

RESEARCH METHODOLOGY
Research Methodology always provides guidelines tools and techniques for any study, research, training. Without research methodology we can draft for any subject so before starting a study we used a proper resource, which fulfill the requirement of any research and training.

So it is essential that we should describe some tools and techniques that helps me research period.

RESEARCH DESIGN : The research design which has been used in the Project report is descriptive researc design in particular.

This is rigid in nature and focuses attention on followings. 1. Formulating the objective of the study 2. Designing the method of data collection 3. Selecting the sample 4. Collecting the sample 5. Processing and analyzing the data 6. Reporting and findings 7. Suggestions and modification if any. 8. Conclusion

SAMPLE DESIGN : Type of universe : This is the first step in developing any sample design is to clearly define the set of objects technically, called the universe, to be studied. Hear, finite, universe has been used for the research purpose.

SAMPLING UNIT :
A decision has to taken concerning a sampling unit before selecting a number of sample. It may be geographical as well as individual. Here Ghaziabad, Meeeut and Modinagar city has been taken as a geographical and dealers / retailers as an individual unit.

SOURCE LIST : It is also known has sampling frame from the sample is to be drawn . No sampling frame was available there except dealers list, we had generated an idea regarding of sample unit on the basis of dealers list. SIZE OF SAMPLE : This referee to the number of items ( Outlets) to be selected from the finite universe to constitute a sample size. The survey was conducted of 30 outlets. NATURE OF DATA : In this project report the data is collected through primary source DATA COLLECTION

Type

of

Data Method Adopted

Mode Communication

of

collection Primary Questionnaire

Personal Interview

QUESTIONNAIRE
1. Which companys product are you using? BPCL IBP Indian Oil Castrol 7 4 9 10

Castrol 34%

BPCL 23% IBP 13%

Indian Oil 30%

2. How do you come to know about this company? Through Advertisement Through Dealer Any Other 15 10 5

Any Other 17% Through Advertisement 50%

Through Dealer 33%

3. Have you got any sales promotion facility ? Yes No 19 11

No 37%

Yes 63%

4. Which types of sales promotion facility have you got from the company? Sample Purchase Discount Occasional Gift If any, other 5 8 10 7

If any, other 23% Occasional Gift 33%

Sample 17% Purchase Discount 27%

5. Which types of sale promotion facility have more attraction? Sample Purchase Discount Occasional Gifts Replacement Facility Others 3 10 10 5 2

Others 7% Replacement Facility 17% Occasional Gifts 33% Sample 10% Purchase Discount 33%

6. Is there any competition among the companies related to sales promotion ?

Yes No

25 5

NO 17%

Yes 83%

7. What do you think about BPCLs company product? Excellent Very Good Good Average No Information 2 13 7 5 3

No Information 10% Average 17% Good 23%

Excellent 7%

Very Good 43%

8. Please specify which company has much better sales promotion facility? BPCl IBP Indian Oil Others 5 10 12 3

Others 10%

BPCl 17%

Indian Oil 40%

IBP 33%

9. Are you using product of BPCL? Yes No 11 19

Yes 37%

No 63%

10.

What criteria are you consider for using product of

BPCL company? Price Quality Sales Promotion Facility Any Other 8 12 7 3

Any Other 10% Sales Promotion Facility 23% Quality 40% Price 27%

11.

Have you got sale promotion facility from BPCL? Yes No 10 20

Yes 33%

NO 67%

FINDINGS

The number of petroleum is available in the market of various companies.

The company doesnt provide the replacement facility of spoiled products to retailers / dealers.

The company is not given any promotional incentive to the dealers / retailers.

There is unfrequent visit from the company representative through the dealers/ retailers.

The price of petroleum products so much high. The company has capture only 20% share in lubricants market.

Company distributors do all their business in frequently cash only.

Competitive information can be obtained. 100% mail survey is not effective. This survey was relatively and expensive way to be obtained.

SUGGESTION

The should call a meting of dealers time to time. Company should go for replacement facility. Company should provide tour and traveling package. New avenues of advertising should be launched like glow sign board etc. Company should offer free gifts or incentive to dealers and retailers to increase their motivation level. New appointments should be done for increasing visiting at market places. Prices should be kept low in comparison to competitors products prices, so that company can earn more profit by selling large volumes. IN present scenario, credit plays, and important roles in business sales so it should do its dealing in credit also. Their should be sales promotion point scheme. Company should collect necessary information regarding market position The companies products has a high quality and value product of sophisticated nature for future to market, it should concentrate on indigenous & export market.

CONCLUSION
The project survey of sales promotion BPCL, that mostly manufacturers Lubricants, petroleum products and refineries.

In our survey, we found that 20% customers of petroleum products used BPCLs products. Mostly users are satisfied but dealers are not satisfied with the promotional policy of company.

Dealers / retailers complaints about its price sales promotion facilities, distribution network, advertisement, and occasional gifts packages.

We can suggest that if BPCL cares the above mention complaints and other promotional policies; it can improve it market share and dealers/customer satisfaction.

Annexure

QUESTIONNAIRE
Q. Which companys product are you using? a. BPCL b. IBP c. Indian Oil d. Castrol

Q. How do you come to know about this company? a. Through Advertisement b. Through Dealer c. Through any other sales per motion facility, please specify ----------------------------------------

Q. Have you got any sales promotion facility ? a. Yes b. No Q. Which types of sales promotion facility have you got from the company? a. Sample b. Purchase Discount

c. Occasional Gift d. If any, other please specify

Q. Which types of sale promotion facility have more attraction? a. Sample b. Purchase Discount c. Occasional Gifts d. Replacement Facility e. If any other please specify ---------------------Q. Is there any competition among the companies related to sales promotion ? a. Yes b. No Q. What do you think about BPCLs company product? a. Excellent b. Very Good c. Good d. Average e. No Information

Q. Please specify which company has much better sales promotion facility ? a. BPCl b. IBP c. Indian Oil d. Others Q. Are you using product of BPCL? a. Yes b. No

Q. What criteria are you consider for using product of BPCL company? a. Price b. Quality c. Sales Promotion Facility d. Any Other please specify --------------------Q. Have you got sale promotion facility from BPCL Company ? a. Yes b. No

Please give your suggestion about the sales promotion facilities. ___________________________________________________ ___________________________________________________ ___________________________________________________

Response Form Name of firm ______________________________________ Address ___________________________________________ Tel Number ________________________________________

Date:

Signature

LIST OF RESPONDENTS NAME & ADDRESS

NAME OF FIRM

ADDRESS

DEALING PH. NUMBER IN

Jai Bharat Enterprises Shivam Oil Traders Auth. Dealer Auto Emporium Pal Auto Stores Bajaj & Co. Bhawani Oil Co. Avon Oil Agency Auth. Dealer Bawa Motor Jai Shankar

Jawahar Chowk , Meerut

BPCL

0121-53359 0121-526630 9412205179

227, Murti Complex, Kesarganj, BPCL Meerut 178 /2, Hanuman Chowk, Meerut Hanuman Chowk, Meerut Sadar Bazar, Meerut Kesarganj, Meerut Opp. PNB. Modi Nagar Indian Oil Castrol Castrol Indian Oil Castrol

0121- 660832 0121-2660564 0121-2660375 0121-520188 01232-47117

Gaylord Building, Modi Nagar Oil Govind Pur, Modi Nagar

IBP Indian Oil

01232-50071 01232-500634

Company Driwll Service Station Victory Service Station Dashmesh Oil Traders Exclusive Lube Shoppe K.B. Malhotra Auth. Dealer Arvind Gupta Auth. Dealer Japline Traders E/3, New Arya Nagar, Ghaziabad. BPCL U.P. 0120-2733929 G.T. Road, Shahdara, Delhi G.T. Road, Shahdara, Delhi 35, OM Market, Sahibabad, Ghaziabad OM Market, Mohan Nagar, Castrol 0120-4636346 Castrol Castrol 011-22583113 011-22580259 0120-2634504

OM Nagar, BPCL

Ghaziabad. Lohia Nagar, Ghaziabad. ELF 0120-2706188

Mahalaxmi Company Aggarwal Traders Ambay Motors

Oil 85, New Arya Nagar, Ghaziabad.

Indian Oil

0120-2730654

85, New Arya Nagar, Ghaziabad. Shop No.1, Shatyam

Indian Oil

0120-2730754 0120-2862057

Enclave, Castrol

Ghaziabad. EssKay Enterprises Satyam Motors Shri Balaji Motor 85, New Arya Nagar, Ghaziabad. 237, Ambadkar Road, Ghaziabad. Castrol Indian Oil 0120-2211401 9811259483 2851678

E/3, New Arya Nagar, Ghaziabad. BPCl U.P.

Shivam Oil Company Shakti Motor Parts Chaudhary Station G.K. Auto Mobiles Saurabh Auto Mobile Prashant Dubey Arihant Enterprises

Bhatia Chowk, Ghaziabad. 54, Model Town, Ghaziabad

SHELL Indian Oil Indian Oil

0120-860120 0120-2861473 0120-2866212 0120-2866211

Service Near Lal Qua, Ghaziabad.

Lohia Nagar, Ghaziabad. Shahadra, Delhi C-19, Lohia Nagar, Ghaziabad

BPCL Castrol Castrol

0120-2036346 011-2211378 0120-2706188 0120-2721729

C-20, Lohia Nagar, Ghaziabad. IBP U.P.

Agarwal Automobile & A/187, Hapur Road, Ghaziabad. IBP Sandeep Oil Traders Gupta Oil Company U.P. Hapur Road, Ghaziabad. IBP

9811625049 0120- 2736994 0120-2736920

BIBLIOGRAPHY

Resource Methodology C.R. Kothari Company Profile www.bharatpetroleum.com

Questionnaire

Magazines & Newspaper