brand positioning decision- m&m- urvashi and team (1)
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7/22/2019 Brand Positioning Decision- M&M- Urvashi and Team (1)
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Brand Positioning Decision- Mah
Team Members-
Urvashi Chandna Pranav Datt Gaurav
Sambeet Mishra Siddharth Setia
Abhishek Nagre
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Closed market
Five players
Long waiting
periods and
outdated models
Sellers market
Joint venture (JV):
Indian government and
Suzuki formed Maruti
Udyog; commenced
production in 1983
Component
manufacturers entered
the market via JV
Buyers market
Sector de-licensed in
1993
Major original
equipment
manufacturers (OEMs)
started assembly
operations in India
Imports permitted from
April 2001
Introduction of value-
added tax in 2005
More than 35 market
players
Removal of most import
controls
Indian companies
gaining acceptance on a
global scale
Setting up of National
Automotive Board to act
as facilitator between
the government and
industry
0.4 millionunits (1982)
0.6 million
units
11 million units(2007)
Before 1982
2008 onwards
198392
19932007
20.7 million units
(FY13)
Evolution of the Indian Automotive Sector
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Indian Automobile Sector (2000 2013)
Favourable Indian market conditions are acting as a catalyst for luxurypremium carmakers impetus from new launches
Emerging as an export hub for sports utility vehicles (SUVs).
Global automobile majors are looking to leverage India's cost-compemanufacturing practices and are assessing opportunities to export SUVs.
Key marketfor hybrid and electric medium-heavy-duty trucks and buses.
Production of passenger vehicles in India was recorded at 3.23 million in 2012
Expected to grow at a compound annual growth rate (CAGR) of 13 per cent d2012-2021
Passenger car sales stood at 1.89 million units in 2012-13
Total number of passenger cars in India is likely to touch around 8 million units by
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Major Developments
Daimler is developing its Indian commercial vehicle operations as an export h
Japan-based automobile manufacturer Isuzu Motors' local subsidiary IMotors India has entered into an agreement with Hindustan Motors (HM)contract manufacturing of Isuzu SUVs and pickup trucks
Luxury car maker BMW has started local production of 'MINI Countryman' afacility in Chennai
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PoPs And PoDs MUV Segment
Upgraded/uptown version of a jeep, forthe urban market, large family carrier
Number of added features
Mahindra Bolero-POPs
Family car, rugged and tough
Feasible for outdoorTATA Sumo-
POPs
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Same Model over different Platforms (BoleroCamper, Bolero Load king)
Jeep with modern technology
Cheaper as compared to Tata SumoFirst attempt from Mahindra to entre the urban market
Mahindra Bolero-PODs
Noisy engine, dated technology used
Well established brand even in the commercialcarriage market
Tatas earlier experience in the urban market
TATA Sumo-
PODs
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LOGAN- VERITOInitial: Mahindra Renault JV : Logan
At launch, Mahindra Logan was positioned at the entry level A3 segment, witpricing and space as the primary selling factors. This is clear from the initialpositioning of Logan as:
First wide body car in India
Largest boot space in its category
Widest cabin room space in its category
Later, the company went in for a repositioning strategy by turning to emotiondriven advertising by highlighting the value-for-money, mileage, ride quality trouble-free ownership
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Reason for brand disappearance
Sales decline from 2009 to 2010 by 60 %
The segment in which it is places is A3 segmentas defined by SIAM
Logan faced the following problems because ofits ambitious positioning:
Renault talks with Nissan and other automakersgave a differnt message to the consumers. the
perception of the indian consumer is ofacceptance of those who stay for long in themarket.
Taxi operators began to buy the logan in largenumbers
Mahindra Logan is an average performer on priceand mileage aspects with serious issues oninteriors and style dimensions. this brought downthe consumers perception about the car, as
against the way it positioned (snake plot analysisof Logan vs other cars)
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Mahindra Verito Repositioning
Repositioned with rational + personality : "mature man's sedan"
Introduction of the Verito man
Tag line : Grow up to Verito
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What did Mahindra gain from the JV
Growth in sales by 79% in the 11 months period
Exclusive rights to the manufacturing of Logan model in india The engine &Transmission parts would be supplied by Renault { by paying royalty fee}
Mahindra can modify and refurbish the car their way even making smaller
versions of the same sedan Mahindra is even manufacturing cars for the Renault company by the Renau
badge for exporting to countries like Africa etc.
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Thank You !
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