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MARKET STARTEGIES OF MARUTI UDYOG
Presented by:
ANURAG
ANKIT
MOHIT
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In 1982, Government of India entered into a joint venture with Suzuki motor corporation of JapanPlant was established at Gurgaon in Haryana
A BRIEF INTRODUCTION TO MARUTI UDYOG
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Maruti Suzuki India Limited is a publicly listed automaker in India. It is a leading four-wheeler automobile manufacture in South Asia.
Suzuki Motor corporation of Japan holds a majority stake in the company.
It was the first company in India to mass-produce and sell more than a million cars.
Its manufacturing plant, located some 25 km south of New Delhi in Gurgaon, has an installed capacity of 3,50,000 units per annum, with a capability to produce about half a million vehicles.
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Maruti Suzuki is one of the India's leading automobile manufacturers and the market leader in the car segment. Until recently, 18.28% of the company was
owned by the Indian government, and 54.2% by Suzuki of Japan.
The company annually exports more than 50,000 cars and has an extremely large domestic market in India selling over 730,000 cars annually.
Maruti 800 till 2004, was the India's largest selling compact car ever since it was launched in 1983.
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INTRODUCTION
PRODUCTSMaruti 800Maruti AltoMaruti Grand Vitara XL-7Maruti Gypsy KingMaruti OmniMaruti Suzuki SX4Maruti SwiftMaruti VersaMaruti VitaraMaruti Wagon-RMaruti Zen
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Organization
Chairman- Mr. R. C. BhargavaManaging Director and CEO- Mr. Shinzo NakanishiDirectors-
Mr. Manvinder Singh BangaMr. Amal Ganguli
Director and Managing Executive Officer (Production) - Mr. Tsuneo OhashiOver more than 8000 employees work under MSIL
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VENDORS OF MARUTI SUZUKI PVT LTDMaruti Suzuki has 200-odd vendors
BIMETAL BEARINGS LTD., COIMBATORE They manufacture Engine Bearings, Bushes and Thrust Washers.
AMALGAMATION VALEO CLUTCH LTD., CHENNAI Leading manufacturer of Clutch Assemblies
in India for the new generation vehicles.
I.P. REPCO LTD., CHENNAI A member of Amalgamations Group. Manufacturing Flywheel Ring Gears for entire range of vehicle
KALYANI BRAKES LTD, PUNE Manufacturers of complete brake systems for
automotive applications
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CONT.....LUMAX INDUSTRIES LTDBiggest manufacturers of Automotive Lights in India
PRICOL LTD, COIMBATORE automotive instruments & speedometer cables in India.
FENNER INDIA LTD, CHENNAI Largest manufacturer of Belts and Oil Seals in India
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4 P’S OF COMPANY
MARKETING MIX
PRODUCT PRICE PLACE PROMOTION
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PRODUCT
There are number of products ( models ) Of Maruti are in the market. Some of the models are given below:-
M – 800, Zen, Esteem, Omni, Alto, Gypsy, Wagonr,Grand Vitara etc. These products are divided on the basis of product quality, variety, design, features etc.
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They define different factors:
The quality of product. The product variety from different
categories. The size of the car according to current
or future market conditions. The car features to the customer like, car looking very good.
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PRICE
The price of the Maruti car is between Rs. 210000 to Rs. 1500000. Maruti – 800 is the lowest price car of this company. Alto, Omni, Wagonr, are also the low price car of the company, Zen & Esteem are the mid price car of the company. But Grand Vitara is the high price model of the company . The price of car are decided according to its product Varity, quality, design etc.
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Maruti 800
• Specifications Transmission TypeManual Fuel TypePetrol Seating Capacity4 Gearbox4 Speed Engine Description0.8L 37bhp 4-stroke cycle, water cooled Engine Displacement796 ccMileage-City15.7 kmplMileage-Highway19.9 kmplMaximum Power37.5@5,000 (PS@rpm)Maximum Torque6@2,500 (kgm@rpm)
• Ex-Showroom Price :Rs. 2,02,505 to Rs. 2,33,236
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ALTO
Specifications Transmission TypeManual Fuel TypePetrol Seating Capacity5 Gearbox5 Speed Engine Description0.8L 47bhp FC engine Engine Displacement796 ccMileage-City14.6 kmplMileage-Highway18.9 kmplMaximum Power47@6,200 (PS@rpm)Maximum Torque6.32@3,000 (kgm@rpm)
:Rs. 2,37,372 to Rs. 2,88,512
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Zen-estilo
Specifications Transmission Type Manual Fuel TypePetrol Seating Capacity5 Gearbox5 Speed Engine Description1.1L 64bhp 32x4 hypertech engine Engine Displacement1,061 ccMileage-City12.5 kmplMileage-Highway16.9 kmplMaximum Power64@6,200 (PS@rpm)Maximum Torque8.5@3,500 (kgm@rpm)
Ex-Showroom Price :Rs. 3,14,254 to Rs. 3,39,783
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ESTEEM
• Specifications Transmission Type Manual Fuel Type Petrol Seating Capacity5 Gearbox5 Speed Engine Description1.3L 85bhp 4-stroke cycle, all-aluminum water cooled Engine Displacement1,298 ccMileage-City11.5 kmplMileage-Highway14.5 kmplMaximum Power86.18@6,000 (PS@rpm)Maximum Torque11.21@4,500 () kgm@rpm
• Rs. 4,15,629 to Rs. 4,93,850
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Wagon-R
• Specifications Transmission Type Manual Fuel Type Petrol Seating Capacity5 Gearbox5 Speed Engine Description1.1L 64bhp 4 cal. In-line, FC engine Engine Displacement1,061 ccMileage-City13.9 kmplMileage-Highway17.3 kemp Maximum Power64@6,200 (PS@rpm)Maximum Torque8.6@3,500 (kgm@rpm)
• Ex-Showroom Price :Rs. 3,21,137 to Rs. 4,49,138
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SWIFT
• Specifications Transmission Type Manual Fuel Type Petrol Seating Capacity5 Gearbox5 Speed Engine Description1.3L 87bhp AlTec32 engine Engine Displacement1,298 ccMileage-City12.2 kmplMileage-Highway16.1 kmpl Maximum Power88.2@6000 (PS@rpm) Maximum Torque11.5@4,500 (kgm@rpm)
• Ex-Showroom Price :Rs. 3,94,466 to Rs. 4,20,974
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Grand-Vitara
• Specifications Transmission Type Automatic Fuel TypePetrol Seating Capacity5 Gearbox4 Speed Engine Description2.0L 120bhp Series engine w/ Variable Induction & Drive by Wire technology Engine Displacement1,995 ccMaximum Power121.16@5,500 (PS@rpm)Maximum Torque17.33@3,500 (kgm@rpm)
• Ex-Showroom Price :Rs. 14,80,000 to Rs. 15,28,711
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MARUTI
The place of the car is in the whole world.
Maruti Udyog Limited decides its distribution channels for selling car, like use some time one level or some time two level marketing channels. They decide areas in which they deal with customers. They show the permanent location for selling the car. They provide the many useful inventory. they define the transport facility of the company for company to market and market to consumers. Many showroom of Maruti udyog limited is in our India.
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MARUTI
Main promotion of car is done by the
Advertising. The advertising is mainly done in the form of different T.V. channels, different newspaper, holdings etc. Now days the main promotion is done by the brand ambassadors such as film stars, celebrities, sportsmen, etc. And in this case they decide his actual or required sales forces for selling its car. And they maintain customer relationship. And they do direct marketing.
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SWOT Analysis of Maruti Udyog
STRENTHSContemporary technology
Japanese Management practices
After sale services
Distribution
Diversification & R&D
WEAKNESSStill depends upon SUZUKI COPORATION
10% components are manufactured outside India
Still considered as poor man’s brand
Unaccustomed to international standards or keen competition.
OPPURTUNITYfirst company to roll out suitably Designed cars before 2008 as per Govt.’s Proposal of new ethanol (renewable)
Other companies lacks economy of scale
Rising demand
Untapped rural market
THREATNumbers of new Technology driven players and manufactures are in market
Reduction in subsidies by government on petroleum products
Changing environmental and emission norms
Higher local taxes
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TOWS MATRIX• STRENGTHS
• Largest manufacturing capacity
• Distribution network• Expertise in Small cars
• OPPURTUNITIES• Untapped rural market
• Young bikers• Growth in economy
• THREATS• New entrants• New emission norms
• WEAKNEESES• Brand positioning
• Dependent upon Imported diesel engine
SO Strategy
To capture untapped rural and yongistan market
WO Strategy
To Bring new and innovative models
ST Strategy
To launch a car like CERVO
WT Strategy
To Change brand positioning
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NARROW TARGET
Cost leadership Differentiation
Cost Focus Focus Differentiation
GENERIC COMPETITIVE STRATEGIES
Broad target
Narrow target
Lower cost Differentiation
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BCG Matrix with respect to Maruti models
STARS
Swift
QUESTION MARKS
CervoKizashi
CASH COWS
AltoWagon R
DOGS
M-800
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MARUTI AND CRM
Maruti created a land-mark in CRM by launching a website for the customers in the year 1998
Maruti is investing a lot of money and effort in building customer loyalty programmes
Maruti Auto Card
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MARUTI AND CRM
Availability of easy finance
True Value Outlet
On Road Service
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Market Research Department Their Market Research department remains on its
toes to study the changing consumer behaviour and market needs. Maruti enjoys 70%repeat buyers which further bolsters their claim of being customer friendly
MARUTI AND CRM
Maruti has proper customer complain handling cell under the CRM dept. The CIC will help MSL rapidly build an information pool of over 3 million Maruti owners as well as that of its prospective customers
Maruti Call Center
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Mega Camps
MARUTI AND CRM
Sports Events
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MARUTI AND CRM
Sales Intelligence CRM
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OTHER ADVANTAGE: WHICH HELP IN CRM
A Buying Experience Like No Other Maruti Suzuki has a sales network of 307 state-of -the-art
showrooms across 189 cities, with a workforce of over 6000 trained sales personnel to guide MUL customers in finding the right car.
Quality Service Across 1036 Cities In the J.D. Power CSI Study Maruti Suzuki scored the highest
across all 7 parameters:
1.least problems experienced with vehicle serviced,
2.highest service quality,
3. best in-service experience,
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4.best service delivery,
5.best service advisor experience,
6. most user-friendly service and
7.best service initiation experience.
92% of Maruti Suzuki owners feel that work gets done right the first time during service. The J.D. Power CSI study also reveals that 97% of Maruti Suzuki owners would probably recommend the same make of vehicle, while 90% owners would probably repurchase the same make of vehicle.
OTHER ADVANTAGE: WHICH HELP IN CRM
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One Stop Shop At Maruti Suzuki, customers will find all car related needs
met under one roof. Whether it is easy finance, insurance, fleet management services, exchange- Maruti Suzuki is set to provide a single-window solution for all car related needs.
The Low Cost Maintenance Advant The acquisition cost is unfortunately not the only cost
customers face when buying a car. Not so in the case of a Maruti Suzuki. It is in the economy segment that the affordability of spares is most competitive, and it is here where Maruti Suzuki shines.
Lowest Cost of Ownership The highest satisfaction ratings with regard to cost of
ownership among all models are all Maruti Suzuki vehicles: Zen, Wagon R, Esteem, Maruti 800, Alto and Omni.
OTHER ADVANTAGE: WHICH HELP IN CRM
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CRM THROUGH SOCIAL RELATIONSHIP
In 1999 Launch of Maruti - Suzuki innovative traffic beat in Delhi and Chennai as social initiatives.
Maruti Driving School-Available in all major cities. Lady trainer for lady customer.
Institute of Driving Training and Research.
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ENQUIRYBOOKIN
GDELIVER
Y
AFTER SALES
SERVICE
Reminder Call
Positive/Negative
Water/Professional
Positive/Negative
WaterJuice
Tea & BiscuitSnacksFriendlyFlowers
ChocolatesGanesh Ji
Positive/Negative
WaterCold Drink
Tea & Biscuit
Friendly
Station 1 Station 2 Station 3 Station 4
STATIONS OF EXPERIENCE
Positive/NegativeFull technical tests
Pre Advance -BookingLaunch
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