distibution channel project
TRANSCRIPT
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TYRE SEGMENT SURVEY REPORT
PIAGGIO
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INTRODUCTION
Sample survey carriedas apart of captive research was
implemented inpune city focusing on various tyre
distributors/dealers.
The sample survey was carried out in order to understandthe transportationmodeexercised inmarket andalso to
understand thedistributionmodelas wellas to measure
the cost benefit analysis.
Primaryas wellas secondary research process wereimplied for the same.
Questionnairemodel was preparedand was tested over
the sample
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INDUSTRY
COSWARE
HOUSE
C/F
Central
WH
COSDEALER
TYRE DEALERS
RETAIL
END CUSTOMERS
LTV/407,709
LTV/407,709
LTV
HTVHTV
WARE
HOUSE
&C/FS
HTV
Regional warehouse
Counter selling
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UNDERSTANDING SUPPLY CHAIN
Tyres after manufacturedare stored in the warehouse owned by thecompany.
Hencedispatched to various regional ware house and C&F agents
Themode of transportationadoptedat this stage is through
HTVFrom the ware house use of htv is processed in order to supply to local
godowns anddistributors.
Approach towards dealers anddistributors are built usingltv
Direct supply from localgodowns for retail business is also witnessed,medium beingltv
Direct purchase by theend customer ,use ofltv are veryless at this
stage.
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FIELD ANALYSIS
SEGEMENT TYRE AREA COVERED PUNE
CITY,FURSANGI,CHAKHAN,WAGOLI,SASWAD ,BHOSARI ,LONI,
HADAPSAR ,KHADKI .
PRODUCTS STUDIED GOODYEAR,BRIDGESTONE,MRF,JKTYRE,APOLLO ,MICHELLIN ,TVS,
GT.
MET DEALERS, DISTRIBUTORS, RETAIL
STORES,COMPANY WAREHOUSE
VEHICLESOBSERVED APE3W,APETRUK,TATA
ACE,BAJAJ,MINIDOR,407.
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TYRE SIZE STUDY & LOADING PATTERN
TYRE SIZE APE3W TATA ACE
1000*200(trucks) 13 26
900*20(bus) 13 26
825*16(709TATA) 30 74
750*20(407TATA) 40 80
600*16(Jeep)) 52 100
700*15( Minidor) 60 1255.90*15(minibus) 48 120
450*10(omni,6seater) 90 2200
185/R16,R15(sumo) 50 100
215/R15,R14(tempo) 50 ---------
165/R13 (Indica) 66 100
145/70(Passenger cars) 60 110
TRACTOR&JCB(12*4*28,13*6-
28,13*24)3 8
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Tyre pattern
Rad
ial
:
1000*200(trucks)
900*20(bus)
825*16(709TATA)
750*20(407TATA)
600*16(Jeep))
700*15( Minidor)
5.90*15(minibus)
450*10(omni,6seater)
185/R16,R15(sumo)
215/R15,R14(tempo)
165/R13(Indica) 145/70(Passenger cars)
TRACTOR&JCB(12*4*28,13*6-28,13*24)
825*16
750*20
Tata 407,709
165/r13
Indica
900*20
Bus tyres
145/70(passengercar)
HigherSales ratio:
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Stacking pattern Since the orders vary the supply had to be in random order the
vehicles have to carry tyres ofdifferent patternall together.
Tyres areplaced verticallyas wellas horizontally to occupyminimum space.
Depending upon theareaand order vehicles are used. For smallorders three wheelers are used.
For tyre size :
5.90*15(minibus)450*10(omni,6seater)
185/R16,R15(sumo)
215/R15,R14(tempo)
1
65/R1
3(Indica)145/70(Passenger cars)
for tyre ofabove size 3wheeler vehicles areused very often.
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VEHICLE OBSERVATION
LOADING PATTERN
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Dealer profile: Goodyear Tyres
Number
ofstoresSales/orderperday
Modeoftransport
ation
Deliverycost
Number of
vehiclesVehicle status Area
coverageVehicle
brandMax sales
Max Min Owned Hired Retail Distribu
tor/WH
4 14 3 3w,4w 8rs/km 5 5 60kms Tata
(407,709)
,ace,ape3wheeler,
minidor,
mahindr
a,
8/day 280/da
y
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CEAT TYRES
Number
ofstoresSales/orderperday
Modeoftransport
ation
Deliverycost
Number of
vehiclesVehicle status Area
coverageVehicle
brandMax sales
Max Min Owned Hired Retail Distributor
4 12 3 3w,4w,tr
uck
8rs/km 8 - 8 70km Tata
407,709,a
ce,ape3wheeler,mi
nidor,tru
ck
6170
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MRF TYRES
Number
ofstoresSales/orderperday
Modeof
transport
ation
Delivery
costNumber of
vehiclesVehicle status Area
coverageVehicle
brandMax sales
Max Min Owned Hired Retail Distributor
7 16 2 4w 10rs/km 14 14 80kms Tata
407,709,t
rucks
10 300
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APOLLO TYRES
Number
ofstoresSales/orderperday
Modeof
transport
ation
Delivery
cost
Number
of
vehicles
Vehicle status Areacoverage
Vehicle
brandMax sales
Max Min Owned Hired Retail Distributor
4 14 2 3w,4w 8rs/km 8 - 8 70kms Tata
ace,407,
709,ape3w,minid
or
14 400
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MICHELLIN TYRES
Number
ofstoresSales/orderperday
Modeof
transpor
tation
Delivery
costNumber
of
vehicles
Vehicle status Areacoverage
Vehicle
brandMax sales
max Min Owned Hired Retail Distributor
3 12 0 3w,4w 6rs/km 6 - 6 50kms Tata 407
709,ape,
mahindra
6 150
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General Tyre Stores
Number
ofstoresSales/orderperday
Modeof
transport
ation
Delivery
costNumber
ofvehiclesVehicle status Area
coverageVehicle
brandMax sales
Max Min Owned Hired Retail Distribu
tor
8 7 2 3w,4w 5rs/km 4 - 4 40kms Minidor,
ape,mah
indra
23 ---
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COST BENEFIT ANALYSIS
APE3WDRIVERS PAY 4500
EMI 3000
INSURANCE 300
TYRE COST 300MAINTENANCE COST 400
FIXEDCOST 8500
MILEAGE 28
KMS/DAY 90
DIESEL RATE 34
FUEL COST 2800
VARIABLECOST 2800
TOTAL OPERATING COST 11300
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DRIVERS PAY 6000
EMI 5000
INSURANCE 500
TYRE COST 400
MAINTENANCE COST 800
FIXEDCOST 12700
MILEAGE 20
KMS/D
AY120
DIESEL RATE 34
FUEL COST
VARIABLE COST 5300
TOTAL OPERATING COST 18000
APETRUK
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DRIVERS PAY 7000
EMI 6000
INSURANCE 700
TYRE COST 600
MAINTENANCE COST 1200
FIXEDCOST 15500
MILEAGE 17
KMS/DAY 120
DIESEL RATE 34
FUEL COST 6000
VARIABLE COST 6000
TOTAL OPERATING COST 21500
TATA ACE
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OPERATING COST PER KMS
APE3W
4.8RS/KM
APETRUK
5.7RS/KM
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ADVANTAGE
APE3W OPERATING
COST IS 30% LESS
THAN TATAACE
APE3W OPERATING
COST IS 30% LESS
THAN TATAACE
APETRUK OPERATING
COST IS17% LESS
THAN TATAACE
APETRUK OPERATING
COST IS17% LESS
THAN TATAACE
TATA ACE OPERATING
COST IS6.8RS/KM
TATA ACE OPERATING
COST IS6.8RS/KM
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NOTE:
Operating cost has been calculated through summing up
total fixed cost and variable cost.
Operating cost per km has been obtained by calculating
the total operating cost and workingdays inmonth andnumber of kms runper day.
Toatalnumber of workingdays has been takenas 26 ina
month.
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OBSERVATIONS
It was observed that themode of transportationbyltv was mostlypracticed in secondary stage.
Among threewheelers ape3wheeler hadlarge share compared toother threewheeler s like Bajaj ,Mahindra ,Atul shakti
Use of HTV &TATA 407,709 was more compared to other vehicles as
orders used to be in bulk and in order tomeet theneed ofdealers/distributors.
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STANDING IN TYRE MARKET
APE3W
APETRUKTATAACE
BAJAJ
MAHINDRA
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CONCLUSION
Through the sample survey it was observed that the ape 3w wasleadingamong threewheelers inproviding service for supply of tyre.
Among4wheelers Tataacewas thepreferred one
Minidor and407 as wellas 709 werealso used very often andprovidingagood competition to apeandTata.
In case of 407 the vehiclewas not being fully utilizedas the truckswherenot fullyloaded, theywere carrying theload same as of Tata
ace . Hencewas observed that the operating cost per km ofape 3 wheeler
andape truk was lesser than theTataace
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THANKYOU