Hi All
I want to bring one fact into your notice that might look to be very small. However, when seen from the broader perspective, the figures are too big.
I have seen & several others might have also noticed that whenever a customer purchases item(s) from the Reliance Fresh store/outlet. If the total amount has some non-zero paise / fractional rupee figures between 51 & 99 (like Rs 213.67), the system rounds off to lower 50 paise (in this example Rs 213.50). That is, the customer gets the discount of 1 to 49 paise (in this case 17 paise). This is done because it is difficult/not possible to pay cash in the denominations between 51 to 99 paise. I appreciate that the company is not rounding to the upper one rupee. This case is only applicable when customer wishes to pay by cash. In case of credit/debit card, the exact amount is debited because that is possible electronically which is also correct.
However, in most of the centers like in Reliance Fresh outlet at E-18, Gautam Marg, Vaishali Nagar, Jaipur, the staff never gives back the 50 paise in spite of the fact that they have the coins in their cashbox that I personally have seen several times. Most of the people don’t care for 50 paise & the staff also remains not in a mood to pay this 50 paise. They try to keep 50 paise coins hidden in the cashbox. On asking, they reply we don’t have change. One might think that why I’m crazy in illustrating on such small amount as 50 paise. The point here is that the amount taken up by the staff is unethical that they flinch from the customer’s pocket.
Let’s check the figures:
No. of Cash Transactions
Cheating Amount
Per Instance
1
Rs. 0.50
Per Day Per Store (Typical Figure on Lower Side)
200
Rs. 100
Per Day in 453 Reliance Fresh Stores
90600
Rs. 45,300
Per Month in 453 Reliance Fresh Stores
2718000
Rs. 13,59,000
Per Year in 453 Reliance Fresh Stores
32616000
Rs. 1,63,08,000
Average Employee Per Reliance Fresh Store
6
Total Employees in 453 Reliance Fresh Stores
2718
Cheating Amount Per Reliance Fresh Store Per Month
Rs. 3,000
Cheating Amount Per Reliance Fresh Store Per Year
Rs. 36,000
Share Per Employee Per Month
Rs. 500
Share Per Employee Per Year
Rs. 6,000
This also clarifies, if the rounding to the next rupee is done by the company, then how much additional revenue it gets from the customers. Now, if you all check your last telephone bills, cell-phone bills, etc., you will realize how much revenue the companies are getting from your pocket out of this rounding off!!
I therefore, believe that Reliance Fresh & other similar companies should give the discount to a lower one rupee or carry forward the fractional amount to the next bill (cycle) (if possible). E.g. this can be easily done in cases like post-paid telecom bills. This will increase customer satisfaction & company can also illustrate this as an example of being an ethical company in the competitive market.
The author is a consumer protection activist who speaks both in the mutual favour of the customer as well as the company in question.
Tanmay Agarwal
(Author of this Article)
http://www.dentistswati.com/tanmay-agarwal.php / tanmay@dentistswati.com
Tuesday, March 8, 2011
Sunday, March 28, 2010
Kotak Life Insurance: Sub-Standard Marketing Techniques
Hi All
I’m writing this blog for the public awareness & interest. I suffered from the sub-standard marketing technique(s) that were used by one of the corporate agents "Corporate Services" (IRDA-1284248 / A0005469) of Kotak Life Insurance in Jaipur.
This corporate agent makes calls on behalf of Kotak Mahindra Life Insurance. They inform that on the occasion of successful completion of three years of the company, they have selected 10 lucky BSNL numbers out of 200 numbers for a prize. So, company is awarding “Fancy Gold Set” for the promotional publicity. And for receiving the prize, one needs to reach their office by 06:45 PM. The program shall commence from 7 PM onwards for 1 hour. They emphasize multiple times to reach empty handed & also assured that they won’t be asking to take any insurance policy or any type of membership. They take assurance from the person multiple times to confirm their presence in Kotak Life Insurance office.
As the prize is quite luring & seems to be real since the call is being made from a reputed company (very wrong impression), there must be an actual celebration & the genuine gift. The person from this agency also says that there would not be any word for accepting any policy of the company.
However, when one reaches the office, in no time, one will understand that there is no celebration. It is just a shoddy marketing stunt to call the couples for presenting the life insurance plans. Himanshu, the manager there forces to take the decision there itself without giving any time to think over such an important financial investment. They insist upon signing the form & providing a cheque (without date) with identity proof documents. On the refusal, they get irritated & behave rudely while closing the discussion. They also act as if they are doing some great favour to the couple by providing an opportunity that one cannot get anywhere else. Finally, it is very disappointing & unexpected to receive a gift that is hardly worth rupees ten to fifteen (Rs.10-15) from such a reputed company (as one carries the impression).
It clearly reflects the vulnerable state of the company that is forced to use such cheap marketing tactics to lure the customers & sale its policies. The company wastes the precious & highly valuable time in the non-sense stuff that is in vain. In fact the image of the company that one might carry before going over there gets spoiled with such incident.
I wrote to Mr. Gaurang Shah (Managing Director – Kotak Life Insurance) that it was my humbly suggestion that while marketing, wrong statements should not be used by the staff to lure the prospective customer because that creates a bad image in the mind of the customer & it replicates exponentially with time through word of mouth. I believe this aspect should get percolated to the staff below, if the management also believes in the same.
So, kindly take care from this insurance company.
Reviewer: Tanmay Agarwal, Jaipur (tanmay@dentistswati.com)
I’m writing this blog for the public awareness & interest. I suffered from the sub-standard marketing technique(s) that were used by one of the corporate agents "Corporate Services" (IRDA-1284248 / A0005469) of Kotak Life Insurance in Jaipur.
This corporate agent makes calls on behalf of Kotak Mahindra Life Insurance. They inform that on the occasion of successful completion of three years of the company, they have selected 10 lucky BSNL numbers out of 200 numbers for a prize. So, company is awarding “Fancy Gold Set” for the promotional publicity. And for receiving the prize, one needs to reach their office by 06:45 PM. The program shall commence from 7 PM onwards for 1 hour. They emphasize multiple times to reach empty handed & also assured that they won’t be asking to take any insurance policy or any type of membership. They take assurance from the person multiple times to confirm their presence in Kotak Life Insurance office.
As the prize is quite luring & seems to be real since the call is being made from a reputed company (very wrong impression), there must be an actual celebration & the genuine gift. The person from this agency also says that there would not be any word for accepting any policy of the company.
However, when one reaches the office, in no time, one will understand that there is no celebration. It is just a shoddy marketing stunt to call the couples for presenting the life insurance plans. Himanshu, the manager there forces to take the decision there itself without giving any time to think over such an important financial investment. They insist upon signing the form & providing a cheque (without date) with identity proof documents. On the refusal, they get irritated & behave rudely while closing the discussion. They also act as if they are doing some great favour to the couple by providing an opportunity that one cannot get anywhere else. Finally, it is very disappointing & unexpected to receive a gift that is hardly worth rupees ten to fifteen (Rs.10-15) from such a reputed company (as one carries the impression).
It clearly reflects the vulnerable state of the company that is forced to use such cheap marketing tactics to lure the customers & sale its policies. The company wastes the precious & highly valuable time in the non-sense stuff that is in vain. In fact the image of the company that one might carry before going over there gets spoiled with such incident.
I wrote to Mr. Gaurang Shah (Managing Director – Kotak Life Insurance) that it was my humbly suggestion that while marketing, wrong statements should not be used by the staff to lure the prospective customer because that creates a bad image in the mind of the customer & it replicates exponentially with time through word of mouth. I believe this aspect should get percolated to the staff below, if the management also believes in the same.
So, kindly take care from this insurance company.
Reviewer: Tanmay Agarwal, Jaipur (tanmay@dentistswati.com)
Madan Aircons: Sub-Standard After Sales Service
Hi All
This is a caution notice in the public interest that this firm is running on fake commitments. I purchased a window based 1.5 ton Electrolux AC from this shop "Madan Aircons" Jayanti Market, Jaipur on 18-May-2009. Mr. Lokesh Madan informed me that there will be THREE free services whose cost is included at the time of purchase of AC & the service will be done by their firm. Since 18-Mar-2010, I was trying almost every day for getting the first free service.
However, some lady picks up on the numbers given on the bill at the Raja Park, Jaipur service centre & informs that the service person will come next day. But the fact is nobody turned up. I personally visited the shop in Jayanti market, Jaipur on 27-Mar-2010 & got the complaint noted. I also informed that all the family members are in service so send the person on Saturday/Sunday. I was assured that the service person will come by tomorrow (Sunday, March 28, 2010) positively.
However, nobody has turned up till date. This is very bad!! This was not at all expected from this firm. Mr. Lokesh Madan owner of this firm do not want any loyal customer for their shop & just want to lure the new customers by fake/false commitments.
He is not aware that the Voice of Customer may either make or break any company.
Reviewer: Tanmay Agarwal, Jaipur (tanmay@dentistswati.com)
This is a caution notice in the public interest that this firm is running on fake commitments. I purchased a window based 1.5 ton Electrolux AC from this shop "Madan Aircons" Jayanti Market, Jaipur on 18-May-2009. Mr. Lokesh Madan informed me that there will be THREE free services whose cost is included at the time of purchase of AC & the service will be done by their firm. Since 18-Mar-2010, I was trying almost every day for getting the first free service.
However, some lady picks up on the numbers given on the bill at the Raja Park, Jaipur service centre & informs that the service person will come next day. But the fact is nobody turned up. I personally visited the shop in Jayanti market, Jaipur on 27-Mar-2010 & got the complaint noted. I also informed that all the family members are in service so send the person on Saturday/Sunday. I was assured that the service person will come by tomorrow (Sunday, March 28, 2010) positively.
However, nobody has turned up till date. This is very bad!! This was not at all expected from this firm. Mr. Lokesh Madan owner of this firm do not want any loyal customer for their shop & just want to lure the new customers by fake/false commitments.
He is not aware that the Voice of Customer may either make or break any company.
Reviewer: Tanmay Agarwal, Jaipur (tanmay@dentistswati.com)
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