The concept “Marketing” is newly emerging in the field of services sector in India. For the first time in the country amongst the sixty and odd State Transport Undertakings, Marketing Department was established in APSRTC during the year 1994 with a view to take stock of the services rendered to its customers and to improve the same besides implementing various marketing strategies. The application of marketing concepts would enable to develop various passenger friendly schemes to help retain the customers in its fold as well as attract new clientele. This study not only helps APSRTC, but also other State Road Transport Organizations existing across the nation for rendering effective and efficient friendly transport services. The study is undertaken to understand the present marketing practices of APSRTC and chronicle them to enable the enthusiastic sister organizations working in the same/similar industry to make use of them so that the wheel need not be reinvented. The study also endeavors to find gaps, if any, in the organization and to make required recommendations. APSRTC is the largest public transport organization in the world with over 19,000 buses plying on the road every day. It has been recognized by the Guinness book of world as well, since 1996, there has been a continuous drop of occupation in the buses i.e., less number of passengers traveling on APSRTC buses, leading to less revenue resulting in mounting losses. In the year 2005, certain marketing initiatives were launched educating every single employee in the Corporation about the status of the Corporation and need for a change to attract passenger community to get back to APSRTC buses. The main emphasis was to make the crew proactive in attracting the passengers, make the crew more responsible, well behaved with the passengers to improve the image and thereby occupancy of buses. After implementation of these initiatives, there is a significant growth in occupancy in the Corporation, like-wise in Warangal District where the survey has been conducted.
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