foxy lady final 08032013
TRANSCRIPT
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MARKETING PLANMARUTI SUZUKI - FOXY LADY
PRESENTED BY(Group No. 13, MFM:2012-15)
Jitendra Garg - 219
Shrikar Dhamankar - 215
Parth Badiany - 203
Anil Salgaonkar - 260
Bloscher D’mello - 216
Raju Ghosh - 220
N. L. Dalmia Institute of Management Studies & Research
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Introduction
• Foxy lady is especially crafted for women
• Launch on 8th Mar’13
• Variants - Petrol only
• Hatch back car with the seating capacity of 4
• The engine capacity is 1000cc
• Initial launch only in urban India
N. L. Dalmia Institute of Management Studies & Research
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Why “Foxy Lady” car?
N. L. Dalmia Institute of Management Studies & Research
• It satisfies the female gratification
• Specially designed and customized for women
• Offers a convenient and reliable ride
• Enhanced safety features
• Compact and easy to handle with
• Offers a feel of luxury
• Driving it is simply superb
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Market scenario of passenger cars
• Market share & Total sales 2012
N. L. Dalmia Institute of Management Studies & Research
GM, 3.20%
Honda, 4.20%Ford, 2.40%
Mahindra, 1.80%
Others, 2.90%
Tata Motors, 12.70%
Hyundai, 25.50%
Maruti, 47.30%
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Growth in passenger car sales
N. L. Dalmia Institute of Management Studies & Research
0%
5%
10%
15%
20%
25%
30%
20072008
20092010
20112012
20%
10%
20%
25% 26%
24%
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India: Working population
N. L. Dalmia Institute of Management Studies & Research
790
1034
1143
400
500
600
700
800
900
1000
1100
1200
1970 1990 2010 2030 2050 2070
Millions
Year
Growing labourforce in India
+31%
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Target segment
N. L. Dalmia Institute of Management Studies & Research
282.09304.38
Total Women In India 2012 ( Mn )
Urban
Rural
57.55
224.55
Women In Urban India (Mn)
Working
non-Working
0.00
10.00
20.00
30.00
40.00
Labour force Employed in organisations
Senior mgmt in organisations
Board of directors
31.13
18.99
4.60 2.82
Working Urban Indian Women ( Mn )
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Product segmentation
• Price : Rs. 4-6 L
• Seating capacity : 4 seater
• Size : Hatchback
• Fuel type : Petrol
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• Hyundai Motors India Limited
• Tata Motors
• Mahindra & Mahindra
• Toyota
• Ford
Major expected competitors
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Threat of new entrants (Moderate)
Bargaining power of buyers (Very low)
Threat of substitutes(Low)
Bargaining power of suppliers (Medium)
Industry competitors
Rivalry among existing players
(Low)
Porter’s five forces
N. L. Dalmia Institute of Management Studies & Research
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Product life cycle
N. L. Dalmia Institute of Management Studies & Research
0
1000
2000
3000
4000
5000
6000
7000
2013 2014 2015 2016 2017
Sales
Year
Introduction Growth Maturity
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SWOT analysis
N. L. Dalmia Institute of Management Studies & Research
STRENGTH
• Well developed sales and service network
• Strong customer base and brand image
• Unique product
• Specially designed for targeted segment
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SWOT analysis
N. L. Dalmia Institute of Management Studies & Research
WEAKNESS
• Other segments can’t be served
• May affect sale of other car models
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SWOT analysis
N. L. Dalmia Institute of Management Studies & Research
OPPORTUNITY
• Untapped market available
• Enhancing the existing brand value
• Product range for entire household
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SWOT analysis
N. L. Dalmia Institute of Management Studies & Research
THREAT
• Possibility of new entrants
• Dependency on fuel prices
• Increase in traffic congestion
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STARS QUESTION MARKS
CASH COWS DOGS
Foxy LadySwiftSwift Dzire
SX4Omni
AltoWagon-R
In 2 years
BCG matrix
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Porter’s generic strategy
N. L. Dalmia Institute of Management Studies & Research
Cost leadership
• Investment in state of the art technology
• Common engine technology shared between different product lines
• Just-in-time supply logistics
• Kaizen for improving in-house capabilities
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Porter’s generic strategy
N. L. Dalmia Institute of Management Studies & Research
Differentiation
• Innovation in product features
• Unique product for a specific segment
• Use of brand name and improving it continuously
• Use of highly fuel efficient and technologically advanced engine
• Huge network of service centers for achieving “360 degrees customer experience”
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4 P’s
N. L. Dalmia Institute of Management Studies & Research
PRODUCT
• Specially designed car for ladies
• Additional safety features
• Classic feminine look with a range of vivacious interiors
• Compact and easy to handle with
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4 P’s
N. L. Dalmia Institute of Management Studies & Research
PRODUCT
• Special features in place for the lady driver –
Adjustable raised driver seat
Bluetooth connectivity
Parking guide display
Vanity box
Large boot space
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4 P’s
N. L. Dalmia Institute of Management Studies & Research
PRODUCT
• Special features …(contd.) –
Automatic gear shift
Tubeless tyres with puncture endurance
Hydraulic jack
Big rear-view mirror
Child seat and child lock
Adjustable steering
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4 P’s
N. L. Dalmia Institute of Management Studies & Research
PLACE
• Target customer in urban India
• Metro cities
• Tier-2 cities
• Target customer profile
• Working ladies
• Medium to high income group
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4 P’s
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PLACE
• Marketing channel
Manufacturer Distributor Customer
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4 P’s
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PROMOTION
• Brand ambassador
• Advertisements in newspapers
• Advertisements on television
• Hoardings at prominent places in cities
• Sponsoring women oriented events
• PR events at dealers and service centers
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4 P’s
N. L. Dalmia Institute of Management Studies & Research
PRICE• Pricing objective – to maintain cost leadership
• Pricing method – Skimming
• Price per car at launch – Rs. 5L
• Focus on small market segment to avoid competition
• Targeting customers who can support skimmed pricing
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Financial Projections
N. L. Dalmia Institute of Management Studies & Research
Amount in Rs. CroreParticular 2013-14 2014-15 2015-16
No. of units 78000 105300 147420
Price Per unit. 0.05 0.05 0.05
Sales Turnover 3,900.00 5,265.00 7,371.00
Excise Duty -390.00 -526.50 -737.10
NET SALES 3,510.00 4,738.50 6,633.90
Growth Rate 35% 40%
Expenses
Manufacturing Expenses 2,527.20 3,080.03 3,980.34
Personnel Expenses 61.43 70.64 81.23
Selling Expenses 170.20 80.00 40.00
Administrative Expenses 52.65 60.55 69.63
TOTAL EXPENDITURE 2,811.48 3,291.21 4,171.20
Operating Profit (EBIDTA) 698.53 1,447.29 2,462.70
Op. profit as % of Sales 20% 31% 37%
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Break-even Point
N. L. Dalmia Institute of Management Studies & Research
5K 10K 15K 20K 25K 30K 35K 40K 45K 50K 55K
Revenue 250 500 750 1000 1250 1500 1750 2000 2250 2500 2750
Cost 464 653 833 1013 1193 1373 1553 1733 1913 2093 2273
Fixed Cost 284 284 284 284 284 284 284 284 284 284 284
0
500
1000
1500
2000
2500
3000
Am
ou
nt
in R
s. C
rore
22562 units
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N. L. Dalmia Institute of Management Studies & Research