Customer Perceptions about Logistics Industry in SME Sector: A Case Study

Abstract

The lower the logistics cost, the more efficient is the flow of goods and services. Successful logistics companies establish a relationship-core marketing strategy, craft strategies for customer satisfaction and loyalty, establish mutual trust among the logistics and supply chain partners and really care for employees and thereby promote employee loyalty. When such strategies are operationalised, in most of the cases, there arise a number of problems and these result into poor performance of the logistics companies. This paper attempts to critically examine the factors that lead to poor performance of a logistics company. Based on the primary data collected through a questionnaire administered on the employees of different cadres in Kaveri Logistics Limited, a medium sized logistics company, several hypotheses were tested using chi-square. The study reveals that there is relationship among the customer perceptions towards the price/charges, brand and the corporate image, the supportive services across brands, the quality of packaging, damage or loss in transit and brands, the behavior of company persons in terms of the personal attention and international credibility and issues relating to letter of credit. It concludes that by continuously updating and changing the marketing plans and strategies, the challenges in the marketing environment can be handled more effectively. Key words: Logistics, Supply Chain Management, Cargo Marketing, Perception