Customer Satisfaction Towards the Farmer Producer Companies’ Products/ Services in Telangana and Andhra Pradesh, India

Abstract

The present study assessed the customer satisfaction towards the products and services of Farmer Producer Companies (FPCs) in the states of Telangana and Andhra Pradesh, India. A total of 8 FPCs were selected purposively from both crop (4 nos.) and dairy sectors (4 nos.) of both the states. A customer satisfaction index was developed using SERVQUAL (Service Quality) framework for the present study. Data were collected using structured interview schedule from a total sample of 160 customers associated with direct purchase from the FPCs. Findings of the study revealed that, among the crop sector FPCs, AttaluruPalem FPC (APOFPCL) obtained highest mean scores for the components- reliability, responsiveness and empathy, while Indervelly FPC (IFPCL) scored highest on tangibles and assurance components. Conversely, Shreeja MPC (SMMPCL) outperformed other dairy FPCs scoring highest mean scores on majority of the components due to better customer engagement practices, quality control, brand value and trust. While significant difference in the customer satisfaction levels were observed among the crop sector FPCs, no such significant variations was observed among the dairy FPCs. A majority (55.00%) of customers reported low satisfaction with crop sector FPC products/services, followed by 33.75% expressing medium satisfaction level. In contrast, more than three-fourth of the customers expressed medium level of satisfaction towards the products/ services of the dairy FPCs. The findings highlight the need for enhanced focus on weak areas, especially by crop sector FPCs to strategically improve the customer satisfaction through reliability in quality, steady supply, market research and after-sales support.