Description
rural marketing strategies followed by Hero (then Hero Honda) to make inroads into rural markets.
Rural Marketing
About Hero Honda
• “Hero” - Munjal brothers (1956) - Hero Cycles • Joint venture between India's Hero Group and Honda Motor Company • Established in 1984 as the Hero Honda company, India • World's largest manufacturer of two wheelers, based in India
About Hero Honda
• Three manufacturing facilities based at Dharuhera and Gurgaon in Haryana and Haridwar in Uttarakhand • Coming up with a new plant in Ludhiana • Vision is to see mobile and empowered India • Mission is to become a global enterprise fulfilling its customers' needs and aspirations for mobility, setting benchmarks in technology, styling and quality
Har Gaon, Har Aangan
• Started in Dec 07 • Penetration in Rural Market- 10%
• 500 Sales Representatives to meet potential customer (local people as sales executives) given work tasks rather than sales targets
• Average of 16000 bikes per month ( sales )
Har Gaon, Har Aangan (cntd..)
• • • • • Free service and check-up camps Consultations for obtaining driving licenses Safe riding educational programs Health check- ups and awareness camp "Sikhao Baliye"
Rural vertical
• Rural vertical in 2007 to focus on
?Product development ?Consumer understanding ?Marketing ?Distribution ?After-sales service
Collection of data
• Under the rural vertical, they started collecting a lot of data at rural touch points • Many of their dealers are now meeting
?SARPANCHES ?HEADMASTERS ?AANGANWADI ?WORKERS ?Opinion makers to understand the rural consumer better.
Suitable products
• The most successful product is SPLENDOR in rural market and the company kept on focusing on upgrading the models so, then they later came up with SPLENDOR PLUS and SPLENDOR NXG, which provided extra features and the consumers were satisfied.
Brand Hero
• Hero Honda has been accepted by people because its strong brand image and product
quality
• The punch line of Hero Honda gives a emotional touch to customers “DESH KI DADKHAN” • Now “Hum Mein Hain Hero”
4 A’s of Hero
• Availability
?3 plants ?3000 customer touch points ?5000 dealership plus sales service outlets
• Affordability
?Cheapest motorcycles in India ?Easy installments and loan facilities
4 A’s of Hero
• Awareness
?500 sales rep for “Har Gaon Har Aangan” ?Free service camps every year ?Advertisements in TV, newspapers, magazines etc
• Acceptability
?Strong brand image and product quality ?Most fuel efficient bike on Indian roads ?Preferred by daily users (utility as well as looks)
Promotion
• Skits and dramas • To give some social message and attract the crowd and Advertise its products………..! • Heavy promotion of products during festive season
CSR for Rural areas
• Integrated Rural Development Centre • Adopted villages within vicinity of factory at Dharuhera and worked on
?Roads ?Clean water ?Education facilities
CSR cntd..
• RAMAN MUNJAL VIDYA MANDIR
?Senior secondary CBSE affiliated ?1200 students and 61 teachers
• RAMAN MUNJAL MEMORIAL HOSPITAL
?Accident and Trauma victims driving along the Delhi-Jaipur highway
• RAMAN MUNJAL SPORTS COMPLEX
Conclusion
• Hero has generated over 40 percent of sales from rural areas • Increase in the share in the coming years • Focus will be on maintenance cost and fuel efficiency
Thank-You
doc_804382030.pptx
rural marketing strategies followed by Hero (then Hero Honda) to make inroads into rural markets.
Rural Marketing
About Hero Honda
• “Hero” - Munjal brothers (1956) - Hero Cycles • Joint venture between India's Hero Group and Honda Motor Company • Established in 1984 as the Hero Honda company, India • World's largest manufacturer of two wheelers, based in India
About Hero Honda
• Three manufacturing facilities based at Dharuhera and Gurgaon in Haryana and Haridwar in Uttarakhand • Coming up with a new plant in Ludhiana • Vision is to see mobile and empowered India • Mission is to become a global enterprise fulfilling its customers' needs and aspirations for mobility, setting benchmarks in technology, styling and quality
Har Gaon, Har Aangan
• Started in Dec 07 • Penetration in Rural Market- 10%
• 500 Sales Representatives to meet potential customer (local people as sales executives) given work tasks rather than sales targets
• Average of 16000 bikes per month ( sales )
Har Gaon, Har Aangan (cntd..)
• • • • • Free service and check-up camps Consultations for obtaining driving licenses Safe riding educational programs Health check- ups and awareness camp "Sikhao Baliye"
Rural vertical
• Rural vertical in 2007 to focus on
?Product development ?Consumer understanding ?Marketing ?Distribution ?After-sales service
Collection of data
• Under the rural vertical, they started collecting a lot of data at rural touch points • Many of their dealers are now meeting
?SARPANCHES ?HEADMASTERS ?AANGANWADI ?WORKERS ?Opinion makers to understand the rural consumer better.
Suitable products
• The most successful product is SPLENDOR in rural market and the company kept on focusing on upgrading the models so, then they later came up with SPLENDOR PLUS and SPLENDOR NXG, which provided extra features and the consumers were satisfied.
Brand Hero
• Hero Honda has been accepted by people because its strong brand image and product
quality
• The punch line of Hero Honda gives a emotional touch to customers “DESH KI DADKHAN” • Now “Hum Mein Hain Hero”
4 A’s of Hero
• Availability
?3 plants ?3000 customer touch points ?5000 dealership plus sales service outlets
• Affordability
?Cheapest motorcycles in India ?Easy installments and loan facilities
4 A’s of Hero
• Awareness
?500 sales rep for “Har Gaon Har Aangan” ?Free service camps every year ?Advertisements in TV, newspapers, magazines etc
• Acceptability
?Strong brand image and product quality ?Most fuel efficient bike on Indian roads ?Preferred by daily users (utility as well as looks)
Promotion
• Skits and dramas • To give some social message and attract the crowd and Advertise its products………..! • Heavy promotion of products during festive season
CSR for Rural areas
• Integrated Rural Development Centre • Adopted villages within vicinity of factory at Dharuhera and worked on
?Roads ?Clean water ?Education facilities
CSR cntd..
• RAMAN MUNJAL VIDYA MANDIR
?Senior secondary CBSE affiliated ?1200 students and 61 teachers
• RAMAN MUNJAL MEMORIAL HOSPITAL
?Accident and Trauma victims driving along the Delhi-Jaipur highway
• RAMAN MUNJAL SPORTS COMPLEX
Conclusion
• Hero has generated over 40 percent of sales from rural areas • Increase in the share in the coming years • Focus will be on maintenance cost and fuel efficiency
Thank-You
doc_804382030.pptx