Service Marketing Done by Automobile Companies in India

Submitted By-: Mohammad Arham

MBA CHRIST UNIVERSITY , Bangalore.

PART - 1 TWO WHEELER

INTRODUCTION TO TWO WHEELER SECTOR IN INDIA

Automobile is one of the largest industries in global market. Being the leader in product and process technologies in the manufacturing sector, it has been recognized as one of the drivers of economic growth. During the last decade, well directed efforts have been made to provide a new look to the automobile policy for realizing the sector's full potential for the economy. Aggressive marketing by the auto finance companies have also played a significant role in boosting automobile demand, especially from the population in the middle income group.

Various types of vehicles are manufactured by the Automobile Industry. Indian Automobile Industry includes the manufacturing of trucks, buses, passenger cars, defence vehicles, two-wheelers. The two-wheeler manufacturing is dominated by companies like TVS, Honda Motorcycle & Scooter India (Pvt.) Ltd., Hero Honda, Yamaha, Bajaj, etc .The automobile industry in the country is one of the key sectors of the economy in terms of the employment opportunities that it offers. The industry directly employs close to around 0.2 million people and indirectly employs around 10 million people. The prospects of the industry also has a bearing on the auto-component industry which is also a major sector in the Indian economy directly employing 0.25 million people. All is not well with the automobile industry the world over currently with the slow down that has gripped most of the major economies of the world. The gap between the manufacturing capacity volume and the assembly volume is growing by the day and has worried the manufacturers. This state of affairs has triggered a lot of cutthroat competition and consolidation in the industry. Cost reduction initiatives have come to be the in thing in the global industry today. Towards this direction, many automobile factories are being closed down.The Indian automobile industry is a stark contrast to the global industry due to many of the characteristics, which are peculiar to India. The Indian automobile industry is very small in comparison to the global industry. Except for two wheelers and tractors segments, the Indian industry cannot boast of big volumes vis--vis global numbers. No. of players in the two wheeler automobile sector (India): Hero motors TVS Motors Company Ltd Yamaha Motors India Honda Motorcycle & scooters India Bajaj Motors Royal Enfield( others).

Market share of tw o w heeler automobile sector

Hero Honda

35.60%

27.50%

Bajaj Motors TVS Motors Yamaha Motors Honda Motors Others

9.50% 4% 7%

16%

Sales of 620 billion in the year 2012-13 Volume of 15.7 million units CAGR of 14.3%

Divided into three segments - motorcycles, scooters and mopeds

Service Marketing Done by Hero Motor Corp

The Company had 100 crore rupees for its promotional activities out of which 75% is sponsored by the company 25% from Dealers. The company provides Six free services to its customers in comparison to its competitors through its Customer Service Station. Dealers Encourage its customers by giving discounts , providing 0% interest loan schemes , coupons , monthly instalment schemes etc. SOME REGULAR PROMOTIONAL ACTIVITES CONDUCTED BY DEALERS Advertisements on Newspapers , local channels etc Free Trials for the new consumers Putting stalls at trade Fairs Putting Campaigns in village at a pre decided specific date. Hero Motor Corp has about 3000 Dealers & Service Outlets all across the country. Which covers all Rural as well as Sub Rural part of the country.

Road Side Assistance Services

Your Pride Our Assistance Availability 24X7 to assist their customers. Their roadside assistance representative will be there for customer to provide fast, reliable service. For assistance, customers can call on toll free no. 1800 209 2224/ 022- 4090 1518 Roadside Assistance Program is part of the Honda Shield Program that is there to help customer in case of a flat tire, dead battery or engine breakdown. They also provide with fuel if your Honda runs out it (additional charges for the same).

Service Marketing Done by Yamaha India-:

Extended Warranty Services

Motorcycle
For 2 years or 30000 kms from the date of purchase (whichever is earlier)

Scooter
For 2 years or 24000 kms from the date of purchase (whichever is earlier)

The warranty coverage on the vehicle shall be valid only if the customer avails all free and paid and bonus services from Authorized YAMAHA dealer as per Recommended Service Schedule and only genuine spare parts are used. The customer shall ensure that each service is availed in accordance with the instructions mentioned in service and warranty handbook (especially during break-in Period).

BENEFITS

Three years protection against your expense on Engine including Carburettor , Air Induction System and Electrical Including Wiring Harness after IYM warranty

No major repair bills up to 3 years after IYM warranty. Motorcycles repairs from authorized IYM Dealership. Genuine spare parts used. Higher resale value of the vehicle through regular servicing and warranty protection .

Care for Customer ( Value Added Services )

Yamaha Service Camps (YSC) are being organized in the presence of company service engineers to interact with customers seeking their valuable feedbacks. This is also a platform to provide advice to customers from experts for best maintenance of their bike to enjoy a trouble free ride. This is a planned activity with special invitation to customers providing a festival atmosphere at a shop with some exciting bike repair offers and reward for best maintained bike etc.

 SUPER BIKES CAMPS With demand for superbikes soaring in India, this move by Yamaha is reassuring as it creates faith in prospective buyers who are worried about service and upkeep of these fast machines. Kawasaki recently launched its superbikes in India while Honda kept a small customer ride in Mumbai. Aprilia gifted John Abraham an RSV4 APRC superbike while Harley-Davidson keeps conducting rides very often. Suzuki recently launched the Intruder M1800R B.O.S.S. edition and KTM displays its RC8 superbike at its showrooms. Clearly superbike companies are increasing focus on their super fast machines.

Service Marketing Done by TVS India-:

XPRESS SERVICE

Xpress Service [ES] is a new initiative in service by TVS Motor to increase customer convenience by providing the periodic maintenance services in just 1 Hour. Here customers have to take a prior appointment for services (on phone) with Dealership where Xpress Services is offered & get their Vehicle to dealership on appointment time. Xpress Service brings down the waiting time of customers vehicle in the service centre by giving them preference. In addition to that, a team of trained technicians with automated tools and equipments work on the vehicle to carry out the service within 01 hour, without compromising the service quality. Xpress Service Comes with NO EXTRA COST & at the same time Customers Vehicles is a Priority Attention.

The Assurance {Warranty Services}

Assurance is a complete peace of mind extended Warranty Service Program aimed at enhancing the overall customer experience by adding more warranty years to the product & thus assuring hassle free riding for up to 5 years . The Customer Benefits of this service program-: 1. Peace of mind riding for upto 5 years 2. Nominal costing starts from as low as 0.58 paisa per day for a 3 year additional Warranty 3. All major parts covered under the program 4. Transfer option to the new customer thus increasing the resale value of the two wheeler 5. Guaranteed service levels from TVSM network 6. All India validity & Nation Wide Service Network 7. Genuine spare parts guaranteed

PART 2 FOUR WHEELER

Introduction to Indian four wheeler market

Market Leaders In India Maruti Udyog Limited Hyundai Honda Mahindra & Mahindra Skoda

Service Marketing done by Maruti Suzuki

Yes, you can get lost in India, but chances are there will be a Maruti Suzuki Service Station close at hand. Wherever you go, across the length and breadth of this vast nation, our service network follows It's the widest service network. It's the deepest service network. And, when you service 40,000 cars a day with an unmatched 'first-time right' score, we can say, hand on our heart, that you won't find a better, more committed service network anywhere in the world. We've even got an award for it. We've been No.1 in the J D Power Customer Satisfaction Award for a staggering 13 years in a row. It's a survey that rates the after-sales service experience, one that no other global car market leader has won even once. How do we pull this feat off? That's because across our over 3013 nationwide service outlets, the only thing our 33000 strong trained service professional have on their mind is your delight with over a set up in 1436 Cities.

On Road Support
You leave the showroom with your Maruti Suzuki, but we never leave your side. We're always there on every road, whenever you need help

Stuck in the city? Or stuck in the back of beyond, without help for miles? All you need to do is remember a number. 1800 102 1800. Call and Maruti On-Road Service will swing into action .If travelling on any of the high density highways in India, expect to find a Maruti Suzuki service workshop at a distance of 30 km or thereabouts. So remember, when you drive your Maruti Suzuki, you never drive alone

Two Year Warranty Services

Forever Yours is Marutis Extended Warranty Service program, designed to give Customers extra benefits extended peace of mind and higher resale value for their car. The standard warranty can be extended by one or two years for a nominal amount, at any time before the warranty period ends, i.e. within 2 years or 40,000 kms, whichever is earlier. The Extended Warranty is available through their dealer network, Here is a quick look at the Extended Warranty Service Options on offer-: Plan-1 3rd year or 60,000 kms (whichever comes first) from the date the first owner takes delivery 3rd and 4th year or 80,000 kms (whichever comes first) from the date the first owner takes delivery

Plan-2

Extended Warranty Service Cover Extended Warranty covers mechanical and electrical breakdown of parts like the engine, gear box, steering, brakes, electrical items etc.

Maruti Dealer Network Maruti dealer network is one of its greatest strengths and it score over many manufacturers due to this strength only. It also form part of its communication strategy by giving advertisement related it its service centre coverage. Maruti service station Hai Kya This network give it a give advantage over companies like FIAT that are ailing from poor service centre coverage and has to bear huge losses due to lost sales. The company has set up a committee of directors to negotiate with the 375-odd vendors on a regular basis in order to reduce costs and improve productivity, both within and outside the company.

Service Marketing done by Hyundai India

At Hyundai we put all our efforts to provide customers with the best After Sales Services

1. HYUNDAI CARE -: A real time Service Experience at your Finger Tips.

Hyundai has launched a first of its kind integrated mobile application for service offering to its customers. Hyundai Care mobile app ensures to assist its customers with all forms of service support, service network, car service calculator and service appointment with just a few clicks. With the click of a single button the enhanced selection process takes over. This GPS enabled app also facilitate user an effortless dealer search on a real time basis with correct assistance anywhere and anytime in country. We have built a product with a mobile-first approach in order to provide features that give real- time benefits to the customer. With the Hyundai Care mobile app, the company emphasis on its core value of connecting closely with its customers and increase the transparency in its services by providing an opportunity to the users to give feedback regarding the dealer and the availed services.

Key Features of Hyundai Care Services -:

Access to vehicle service history and Maintenance schedule Online Service appointment / booking GPS enabled service network locator; now customer can search their preferred dealer and rate them on their offering also Quick Link to call Hyundai Assurance Roadside Assistance Service calculators, customer can calculated their service before giving it to the dealership Updated labor rates for transparency in its service offering GPS enabled trip meter Insurance calculator Timely service reminders Product & service offering notifications

2. SERVICE PROGRAMME OFFERED BY HYUNDAI TO CUSTOMERS -: Satisfying their Valuable Customers. Hyundai offers prudently crafted programs for its venerable customers, specifically to facilitate in their time of need. And many more that gives value for money. Some of few are listed below-

Personal Attention to customers & Total Maintenance Assurance

 Road Side Assistance

24 x 7 Call Centre

 Extended Warranty Services

Timely Completion Of all the services promised

3. Care And Maintenance Services-:

SERVICE CALCULATOR SERVICE SCHEDULAR/ REMINDER

Estimate your paid service cost with our Service Calculator. Our calculator will tell you exactly how much you would be spending next time you visit us.

Let us help you, know your next service schedule by Standard Scheduler or help yourself by choosing an appropriate date by Custom Scheduler. Also set up a Reminder to make us, alert you before the scheduled date.

INSURANCE CALCULATOR

SERVICE BOOKING

Buying an insurance but anticipate out of budget premium! Now know how much your car insurance will cost you with our Insurance Calculator.

No time to rummage through directories to book your service or mobile out of battery. Rely on our Online Service Booking to allot time exclusively for you.

4. Hyundai Service Camps -: Hyundai Service Camps and Events will unveil what
company do through out the year and why they do it Here are the fetes that keep customer smiles broad and wide. Few of companies events are listed below Hyundai Always Around you-: Always Around is a unique initiative of Hyundai to be there for its customers, always. Hyundai knows that its hard to snatch out some quality time, from busy schedules. Which is why, Hyundai serves the customer wherever they are i.e. at the location of your convenience. This is yet another opportunity for Hyundai to enhance the entire vehicle ownership experience for its customers and make them feel special.

 Free Car Care Clinic -: Free car care clinic is a nationwide activity being organized twice every year where Hyundai provide free 80 point check up to its customers. The Comprehensive 80 point check up includes an examination of the transmission, engine, electrical, under body, exterior, AC etc. This activity is organized at around 1000 locations across India checking & servicing more than 2 lacs Hyundai cars over a period of 10 days. Hyundai consider FCCC as a festival for its extended family of dealers and customers. Participating customers have a chance to win prizes and gifts during this event. Discounted parts and free consultation about vehicles are also major attractions which the customer can avail by being a part of this mega event.

Hyundai presents again, unbelievable offers and value for money services, plus huge prizes to be won. Organized around 1000 locations, We brings exciting advantages that can be gained by being a part of it. Following are Services Offered . Heres the list to make Customers aware of all that they could gain: 80 point check list Free car wash Assured discount on spare parts and other accessories Assured discount on Labour Special Discount on Cars , more than 4 yr old 10 Free Extended Warranties to be won, daily

NOTE- 17th Free Car Care Clinic Service Camp - 28th Feb till 09th March 2014* across India has recently being
Organised by Hyundai.

 Monsoon Service Camp-:

To develop long term trust & relations with our existing customers, Hyundai India organizes Monsoon check up camp campaign. It shows Hyundai commitment towards customer satisfaction. Monsoon check up camp is to provide preventive maintenance during monsoon for Hyundai cars. With rains a car needs its under body and wiper assembly in perfect condition. Campaign ensures trouble free performance of Hyundai cars in monsoon season. While customer enjoys the refreshments, he/ she can get his/her car checked for brake fluid lines, Tire conditions, wiper arms and its rubber conditions, power window operations, central locking operations, clutch and suspension during road test etc.

Free AC Check up Service-:

Free AC check up camps is organized by Hyundai at various locations as per regional weather conditions. It is an initiative to present Hyundai as a customer focused organization. Air condition failure of cars is a common problem in summers. By providing free AC check up camps Hyundai assures proper working of air conditioners in its cars and prevent customers from unwanted stress caused due to air conditioner break down.

 Winter Check up Service-: Similar to AC check up camp, winter check up camps are especially organized in northern part of the country. The objective of this camp is to prepare cars to face the tough winter conditions and strengthen our Always Around resolve. The campaign does not rest till check ups only but is also an initiative to educate customer so as to maximize trouble free performance of the vehicle during winter. During winter check up, points focused upon or considered are car under body such as oil leaks, shock absorber leakage, exhaust system mountings and leakage, Brake and fuel lines for leakage etc. Under hood check up includes oil level, coolant level, radiator fan operation, steering fluid, clutch and accelerator free play, breather hose connections, fuses and relays etc. and interior and Exterior checks to ensure safe drive during freezing temperatures.

5. Value Added Services-:

OILS AND CONSUMABLES ADDITIVES

Wonder which oils will renovate life in your car engine like none other! Visit Oil and Consumables space to know the recommended make and prices of the Essential Vitamins to be included in your cars diet.

Enhance the properties of the engine oil or impart new properties to the coolant of your car. Additives section is here to save you the trouble of finding the right combinations for car lubricants.

UNDERBODY COATING

OTHERS

Know about the Under body Coating recommended Suppliers, quantity applied and prices for your Car.

Go through all the Value Added Services, we have to offer our customers, and get informed about the recommended grades, quantity and benefits, that follow when you purchase these.

Service Marketing Done by TATA Motors -:Commercial Vehicles

Tata Motors Commercial Vehicles has the most widespread service network in India. It has over 1600 workshops pan India.

Highlights of Customer Service Network:

Company believe in exciting their customers by exceeding their expectation. In their constant endeavour to offer better service experience, they strive towards minimizing downtime, reducing repeat failures, decreasing the cost of service and addressing the concerns of the customers. Company provide a variety of offerings in form the of Mobile Service Vans, Re-Manufactured aggregates ( Recon Products), Wide Spread network of Dealer Workshops, Breakdown assistance on Highways(Tata Touch), Driver Trainings, Mechanics Training and Technical training.

Sampoorna Seva ( Complete Service )-:

Platinum+ : Comprehensive coverage at your door steps Onsite Service *

All the preventive maintenance services as stated in OSB. Change of lubricants, filters and other scheduled part replacement as specified in OSB. Preventive checks, minor repairs and adjustments.

Workshop Service:

All the labour as well as parts required for mechanical/Electrical repairs. All the major aggregate overhauling- engine, gearbox, differential, etc. All the servicing of ancillary parts like alternator, starter, fuel pump etc

The key benefit 1. Time saved on workshop visit- You save the valuable operating time of your vehicle spent on workshop visit. 2. Hassel Free maintenance- You can entrust the maintenance of your valuable vehicles to us and concentrate on growing your business. 3. Coverage of parts/aggregates failure risk. : Protection from sudden unforeseen expenses. 4. Cashless transaction: Secured cashless transaction eliminates your requirement for carrying cash. 5. EMI facility: Smooths out your cash flows by monthly payment mode* 6. Widest network support: We have the largest network of workshops to serve your vehicles. 7. Genuine Spares and high quality service. 8. On the road support through our toll free number- 1800 2582 589 Platinum : Comprehensive coverage

All the preventive maintenance services as stated in OSB. Change of lubricants, filters and other scheduled part replacement as specified in OSB All the labour as well as parts required for mechanical/Electrical repairs. All the major aggregate overhauling- engine, gearbox, differential, etc. All the servicing of ancillary parts like alternator, starter, fuel pump etc. The key benefit 1. Hassel Free maintenance- You can entrust the maintenance of your valuable vehicles to us and concentrate on growing your business. 2. Coverage of parts/aggregates failure risk. : Protection from sudden unforeseen expences. 3. Cashless transaction: Secured cashless transaction eliminates your requirement for carrying cash. 4. EMI facility: Smooths out your cash flows by monthly payment mode* 5. Widest network support: We have the largest network of workshops to serve your vehicles. 6. Genuine Spares and high quality service. 7. On the road support through our toll free number- 1800 2582 589 Gold : Preventive maintenance + Labour on other repairs

All the preventive maintenance services as stated in OSB Change of lubricants, filters and other scheduled part replacement as specified in OSB All the labour charges for servicing and mechanical/Electrical repairs. All the Labour charges for major aggregate overhauling- engine, gearbox, differential, etc. Servicing of ancillary parts like alternator, starter, fuel pump etc.

Key Benefit: 1. Hassel Free maintenance- You can entrust the maintenance of your valuable vehicles to us and concentrate on growing your business. 2. Cashless transaction: Secured cashless transaction eliminates your requirement for carrying cash. 3. EMI facility: Smoothens your cash flows by monthly payment mode* 4. Widest network support: We have the largest network of workshops to serve your vehicles. 5. Genuine Spares and high quality service. 6. On the road support through our toll free number- 1800 2582 589 Silver : Preventive Maintenance coverage.

All the preventive maintenance services as stated in OSB Change of lubricants, filters and other scheduled part replacement as specified in OSB Key Benefit: 1. Hassel Free maintenance- You can entrust the preventive maintenance of your valuable vehicles to us and concentrate on growing your business. 2. Cashless transaction: Secured cashless transaction eliminates your requirement for carrying cash. 3. EMI facility: Smoothens your cash flows by monthly payment mode* 4. Widest network support: We have the largest network of workshops to serve your vehicles. 5. Genuine Spares and high quality service. 6. On the road support through our toll free number- 1800 2582 589 Bronze: Labour charges coverage.

Labour charges for the scheduled preventive maintenance as specified in OSB. Labour charges for servicing and mechanical/Electrical repairs. Labour charges for major aggregate overhauling- engine, gearbox, differential etc. Servicing of ancillary parts like alternator, starter, fuel pump etc. Key Benefit: 1. 2. 3. 4. EMI facility: Smoothens your cash flows by monthly payment mode* Widest network support: We have the largest network of workshops to serve your vehicles. Genuine Spares and high quality service. On the road support through our toll free number- 1800 2582 589

 Value Added Services

TASS- TATA Motors Authorised Service Station

In order to meet the ever increasing growth in vehicle population Tata Motors has endeavoured to increase its reach manifold to ensure a faster response to its customers. Their TASS (Tata Motors Authorised Service Station) fills this objective and ensures that we are there where our customer wants from them.

Services Offered-:

Suggestions to Service Marketers

Be nice. It pays. Can you abandon clich phrases like "have a nice day Every member of the company is part of the company's marketing strategy. A personalized service implies that you have to give a service that tries to create loyal customers, but to a variety of individual persons. Customer service is important, so have your employees greet and smile, establish polices aimed at customer satisfaction. Help your customers a little more than you should and they will be happier. Don't forget this: Everybody thinks he is right. Have you thought how are your employees going to manage complaints? Don't wait to call an interested customer. Don't focus to much in what you are when speaking. Focus in the benefit the clients can get with your service. In a few words, if you do not differentiate, you will die.

References
http://www.yamaha-motor-india.com/service/care http://www.heromotocorp.com/en-in/ http://www.tvsmotor.in/xpress-service.asp Economics Times http://www.marutisuzuki.com/ http://www.hyundai.com/in/en/Service/HyundaiService/Customer Promise/index.html http://www.customercare-cv.tatamotors.com/