GAMMA GROUP -
2/5/13
1
GAMMA GROUP -
2/5/13
2
History & background
•
Maruti Udyog Limited was established in February 1981. Joint venture of GOI and Japanese company, Suzuki Motors Corporation in Oct 1983. Was renamed as Maruti Suzuki India Ltd. In 2007. Previously GOI owned 80% of equity and Suzuki had 20%. In 1987, Suzuki raised its equity to 40% and by 1992 it increased its equity to 50%.
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•
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GAMMA GROUP -
2/5/13
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competitors
GAMMA GROUP GAMMA GROUP -
2/5/13
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Domestic market share
GAMMA GROUP -
2/5/13
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Export market share
GAMMA GROUP - 5 GAMMA GROUP -
2/5/13
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Sales volume
GAMMA GROUP -
2/5/13
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profit
Net Sales PAT (Million)
GAMMA GROUP -
2/5/13
8
Highest selling cars by volume
GAMMA GROUP -
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GAMMA GROUP -
2/5/13
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Market segmentation
CRITERIA MARUTI
Maruti 800, Omni , Alto - Std BS- IV & Lx BS-IV MID RANGE / A-star, Alto COMPACT CAR (Std,Lxi,K10,LxCng,K10 SEGMENT Vxi,LxiCng), Zen Estilo, Wagon R. LUXURY / FAMILY CAR Rits, Swift, Gypsy SEGMENT King(Vdi, Zdi) PREMIUM CAR Swift (Vdi,Zdi), Swift SEGMENT Dzire, Sx4, Ertiga Cost SUPER LUXURY CAR / Kizashi (MT , CVT), SUPER LUXURY Grand Vitara(MT, AT) SALOON SEGMENT
GAMMA GROUP 2/5/13
11
ECONOMY / BUDGET CAR SEGMENT
Psychographic factors
A1 A2 B1 B2 B3 C1 C2 C3 C4 MARUTI 800 OMNI ZEN WAGON R ALTO SWIFT DZIRE SX4 KIZASHI MARUTI 800 OMNI GYPSY, GRAND VITARA
MULTI UTILITY VEHICLE
GAMMA GROUP -
2/5/13
12
behavioral
Benefits Quality, Service Economy, Speed Non-user, Ex-user Potential user, First time user Regular user Unaware, Informed, Interested Desirous, Intending to buy Aware – Tried - Not Tried Shifting Loyal Switchers Enthusiastic, Positive GAMMA GROUP 2/5/13
13
User Status
Readiness Stage
Loyalty Status
Attitude Towards Product
demographi c Nuclear families, Joint Family Size
families Young – single Young -married
20-30 years 35-49 years
Age Factor Gender Income
Male Female High Upper Middle Midle
GAMMA GROUP 2/5/13
14
geographic
Region City Nationally, globally Class I cities Class II cities Metro cities Small town – population >50000
Semi Urban
GAMMA GROUP -
2/5/13
15 15
FULL MARKET COVERAGE DIFFERENTIATED marketing
The firm operates in several market segments and designs different products for each segment.
TARGETIN G
GAMMA GROUP -
2/5/13
16
positioning
Target Customers A consumer who wants car. A consumer who wants Small & spacious car. A consumer who wants more comfort car Lifestyle Oriented consumers. A consumer who wants car for commercial use Benefits Durability and Performance Spaciousness . Value Proposition A car which gives Durability in low cost. A spacious small car without extra cost. A car design with style and luxury.
Product
A1
A2
A3
Design, Style and Luxury.
SUV
Rigidness, Luxury and A Vehicle that provides the Comfort . luxury and Comfort of a car. More spacious car. A big car with reasonable price 2/5/13
17
C-Class
GAMMA GROUP -
GAMMA GROUP -
2/5/13
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2,10,390 2,13,615 2,48,638 2,50,148
3,52,077 3,62,725 3,78,251
19 19
GAMMA
GAMMA GROUP 3,87,513 2/5/13
4,34,425 4,60,874 5,05,790 5,65,713
6,12,735 7,37,119 16,97,517
20 20
GAMMA GROUP -
GAMMA GROUP 2/5/13 23,63,840
2,78,838 2,93,956 3,70,492 4,80,146 5,21,022
6,41,500 12,68,492 18,79,134
21 21GAMMA GROUP -
GAMMA GROUP -
2/5/13 22,69,514
Value added services
GAMMA GROUP -
2/5/13
22
place
GAMMA GROUP -
2/5/13
23
Chart Title
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GAMMA GROUP -
Chart Title
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GAMMA GROUP -
promotions
GAMMA GROUP -
2/5/13
26
promotions
GAMMA GROUP - 5
GAMMA GROUP GAMMA GROUP - -
2/5/13
27
promotions
GAMMA GROUP - 5
GAMMA GROUP -
2/5/13
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GAMMA GROUP -
2/5/13
29
strengths
HYUNDAI Largest car exporter in the Asian market. Largest network of dealers and Largest number of showrooms after sales service centers in the and service stations next to country Maruti. Highest number of domestic Domestic sales is increasing at sales. an average rate of 19.1 % 10 million domestic sales mark. Brand Loyalty and Brand Image. Has such a brand equity that it is almost assumed as an Indian Brand. Experience player in Indian Has known for quality products Market which has better performance Good product lines with good fuel Never fail to win laurels in each GAMMA GROUP 2/5/13 30 efficiency. segment from various automobile MARUTI Leadership in position
weaknes s MARUTI HYUNDAI
Higher rates of exchange rate fluctuations. Younger generations started Took long time to gain the market getting a great affinity towards share. new foreign brands. Maruti hasn’t proved itself in SUV In SUV segment both Tucson segment like other players. and Sante Fe didn’t make a major impact. No online presence and Not GAMMA GROUP -match to compete No product 2/5/13 31 Low interior quality when compared to quality players like Hyundai, Volkswagen, Nissan etc. Labor Union issues. Most of its product are in premium category in each segment.
opportunities
MARUTI HYUNDAI Acquisitions and takeovers. Asset leverage Can start R&D on electric cars for Export market growth is 22.30 % a much better substitute of the as compared to last year. fuel. Cervo 600 has huge potential in More scope of HMIL to enter into tapping the middle class small car segment. segment. New Dzire has captured the Has very good opportunity in market share and expected to entering into commercial vehicles create the same magic as Maruti and recreational vehicles. Esteem. Export capacity is giving new hopes in USA and UK markets. GAMMA GROUP - 2/5/13 32
THREAT S MARUTI HYUNDAI
Has lost its share due to many small players. Good competition from China. Hyundai H800 may result in decline of Alto sales. Has lost its share due to many small players. Good competition from China. Many manufacturers have started to concentrate on small car segment. External Changes
External Changes Jump in interest rates of financial institutions. FDI flowing in Indian Automobile FDI flowing in Indian Automobile sector. sector. GAMMA GROUP 2/5/13 33
Thank you
GAMMA GROUP 2/5/13 34
doc_911157092.pptx
2/5/13
1
GAMMA GROUP -
2/5/13
2
History & background
•
Maruti Udyog Limited was established in February 1981. Joint venture of GOI and Japanese company, Suzuki Motors Corporation in Oct 1983. Was renamed as Maruti Suzuki India Ltd. In 2007. Previously GOI owned 80% of equity and Suzuki had 20%. In 1987, Suzuki raised its equity to 40% and by 1992 it increased its equity to 50%.
•
•
•
•
GAMMA GROUP -
2/5/13
3
competitors
GAMMA GROUP GAMMA GROUP -
2/5/13
4
Domestic market share
GAMMA GROUP -
2/5/13
5
Export market share
GAMMA GROUP - 5 GAMMA GROUP -
2/5/13
6
Sales volume
GAMMA GROUP -
2/5/13
7
profit
Net Sales PAT (Million)
GAMMA GROUP -
2/5/13
8
Highest selling cars by volume
GAMMA GROUP -
2/5/13
9
GAMMA GROUP -
2/5/13
10
Market segmentation
CRITERIA MARUTI
Maruti 800, Omni , Alto - Std BS- IV & Lx BS-IV MID RANGE / A-star, Alto COMPACT CAR (Std,Lxi,K10,LxCng,K10 SEGMENT Vxi,LxiCng), Zen Estilo, Wagon R. LUXURY / FAMILY CAR Rits, Swift, Gypsy SEGMENT King(Vdi, Zdi) PREMIUM CAR Swift (Vdi,Zdi), Swift SEGMENT Dzire, Sx4, Ertiga Cost SUPER LUXURY CAR / Kizashi (MT , CVT), SUPER LUXURY Grand Vitara(MT, AT) SALOON SEGMENT
GAMMA GROUP 2/5/13
11
ECONOMY / BUDGET CAR SEGMENT
Psychographic factors
A1 A2 B1 B2 B3 C1 C2 C3 C4 MARUTI 800 OMNI ZEN WAGON R ALTO SWIFT DZIRE SX4 KIZASHI MARUTI 800 OMNI GYPSY, GRAND VITARA
MULTI UTILITY VEHICLE
GAMMA GROUP -
2/5/13
12
behavioral
Benefits Quality, Service Economy, Speed Non-user, Ex-user Potential user, First time user Regular user Unaware, Informed, Interested Desirous, Intending to buy Aware – Tried - Not Tried Shifting Loyal Switchers Enthusiastic, Positive GAMMA GROUP 2/5/13
13
User Status
Readiness Stage
Loyalty Status
Attitude Towards Product
demographi c Nuclear families, Joint Family Size
families Young – single Young -married
20-30 years 35-49 years
Age Factor Gender Income
Male Female High Upper Middle Midle
GAMMA GROUP 2/5/13
14
geographic
Region City Nationally, globally Class I cities Class II cities Metro cities Small town – population >50000
Semi Urban
GAMMA GROUP -
2/5/13
15 15
FULL MARKET COVERAGE DIFFERENTIATED marketing
The firm operates in several market segments and designs different products for each segment.
TARGETIN G
GAMMA GROUP -
2/5/13
16
positioning
Target Customers A consumer who wants car. A consumer who wants Small & spacious car. A consumer who wants more comfort car Lifestyle Oriented consumers. A consumer who wants car for commercial use Benefits Durability and Performance Spaciousness . Value Proposition A car which gives Durability in low cost. A spacious small car without extra cost. A car design with style and luxury.
Product
A1
A2
A3
Design, Style and Luxury.
SUV
Rigidness, Luxury and A Vehicle that provides the Comfort . luxury and Comfort of a car. More spacious car. A big car with reasonable price 2/5/13
17
C-Class
GAMMA GROUP -
GAMMA GROUP -
2/5/13
18
2,10,390 2,13,615 2,48,638 2,50,148
3,52,077 3,62,725 3,78,251
19 19
GAMMA
GAMMA GROUP 3,87,513 2/5/13
4,34,425 4,60,874 5,05,790 5,65,713
6,12,735 7,37,119 16,97,517
20 20
GAMMA GROUP -
GAMMA GROUP 2/5/13 23,63,840
2,78,838 2,93,956 3,70,492 4,80,146 5,21,022
6,41,500 12,68,492 18,79,134
21 21GAMMA GROUP -
GAMMA GROUP -
2/5/13 22,69,514
Value added services
GAMMA GROUP -
2/5/13
22
place
GAMMA GROUP -
2/5/13
23
Chart Title
0
2
4
6
8
10 2/5/13
12
24
GAMMA GROUP -
Chart Title
0
2
4
6
8
10 2/5/13
12
25
GAMMA GROUP -
promotions
GAMMA GROUP -
2/5/13
26
promotions
GAMMA GROUP - 5
GAMMA GROUP GAMMA GROUP - -
2/5/13
27
promotions
GAMMA GROUP - 5
GAMMA GROUP -
2/5/13
28
GAMMA GROUP -
2/5/13
29
strengths
HYUNDAI Largest car exporter in the Asian market. Largest network of dealers and Largest number of showrooms after sales service centers in the and service stations next to country Maruti. Highest number of domestic Domestic sales is increasing at sales. an average rate of 19.1 % 10 million domestic sales mark. Brand Loyalty and Brand Image. Has such a brand equity that it is almost assumed as an Indian Brand. Experience player in Indian Has known for quality products Market which has better performance Good product lines with good fuel Never fail to win laurels in each GAMMA GROUP 2/5/13 30 efficiency. segment from various automobile MARUTI Leadership in position
weaknes s MARUTI HYUNDAI
Higher rates of exchange rate fluctuations. Younger generations started Took long time to gain the market getting a great affinity towards share. new foreign brands. Maruti hasn’t proved itself in SUV In SUV segment both Tucson segment like other players. and Sante Fe didn’t make a major impact. No online presence and Not GAMMA GROUP -match to compete No product 2/5/13 31 Low interior quality when compared to quality players like Hyundai, Volkswagen, Nissan etc. Labor Union issues. Most of its product are in premium category in each segment.
opportunities
MARUTI HYUNDAI Acquisitions and takeovers. Asset leverage Can start R&D on electric cars for Export market growth is 22.30 % a much better substitute of the as compared to last year. fuel. Cervo 600 has huge potential in More scope of HMIL to enter into tapping the middle class small car segment. segment. New Dzire has captured the Has very good opportunity in market share and expected to entering into commercial vehicles create the same magic as Maruti and recreational vehicles. Esteem. Export capacity is giving new hopes in USA and UK markets. GAMMA GROUP - 2/5/13 32
THREAT S MARUTI HYUNDAI
Has lost its share due to many small players. Good competition from China. Hyundai H800 may result in decline of Alto sales. Has lost its share due to many small players. Good competition from China. Many manufacturers have started to concentrate on small car segment. External Changes
External Changes Jump in interest rates of financial institutions. FDI flowing in Indian Automobile FDI flowing in Indian Automobile sector. sector. GAMMA GROUP 2/5/13 33
Thank you
GAMMA GROUP 2/5/13 34
doc_911157092.pptx