THE INDIAN INSTITUTE OF PLANNING AND MANAGEMENT

CHENNAI

ADVERTISEMENT STRATEGIES FOR FOUR WHEELER SEGMENT

THESIS

BY

UNDER THE GUIDANCE OF

BATCH:

THESIS ID:

1
 ABSTARCT

I have great delight in submitting my thesis on “Advertisement Strategies of Four

wheeler marketing”. Kind assistance given by my external guide has encouraged me to
write the thesis.

It is well evident that work experience is an indispensable part of every professional

course. In the same manner practical training in any organization is must for each and
every individual, who is undergoing management course. Without the practical exposure
one cannot consider himself as a qualified capable manager.

Survey was made for detailed study and the collected information was analyzed and was
tabulated then interpreted accordingly conclusions and suggestions were drawn.

I am confident that this report will prove to be very useful for people whose trust and
belief have always been dear to my heart.

Suggestions for improvement are given to get a picturesque view for the readers of this
thesis.

2
 ACKNOWLEDGEMENT

I am thankful to our Dean Mr. R. Krishnan for extending the full support in
initiating this thesis and helping me to give valuable suggestion throughout the
completion of the Thesis.

I am grateful to thank ____________________who shared his prolonged

experience in the core field and also for making corrections and clarifications in the
course of my thesis which directing me towards the right path throughout the research for
successful completion.

I also thank IIPM for providing the adequate infrastructure and helping me to get the
valuable information from the corporate.

I thank the people who helped me to design the project report.

3
 SIGNATORY PAGE

TO WHOM SO EVER IT MAY CONCERN

This is to certify that, ____________ a bonafide student of IIPM, Chennai has

worked for the thesis titled “Advertisement Strategies of four wheeler Segment under
my guidance for partial fulfillment of the requirement for the award of Master of
Business Administration.

Under my direct supervision and guidance to the best of my knowledge and belief,
he had worked sincerely to bring out this thesis work from _________________

4
With Regards,

1. DETAILS OF THE STUDENT

NAME :

ROLL NO :

SECTION :

BATCH :

PHONE NO :

E-MAIL ID :

2. DESIRED AREA: Marketing-Advertisement

3. TITLE: “Advertisement Strategies for Four wheeler Segment “

4. PROBLEM DEFINITION

5
This study is intended to cover various advertising strategies of four wheeler market in
India. It also aims in studying the products and promotion strategies used by different
Cars manufacturing companies.

5. LITERATURE

Advertising has a history of being considered a one-way form of marketing

communication where the message receiver (i.e., target market) is not in position to
immediately respond to the message (e.g., seek more information). This too is changing.
For example, in the next few years technologies will be readily available to enable a
television viewer to click a button to request more details on a product seen on their
favorite TV program. In fact, it is expected that over the next 10-20 years advertising will
move away from a one-way communication model and become one that is highly
interactive.

“The advertising campaigns of Maruti included TVCs, print and radio ads, outdoor
promotions, point of sale and mobile promotions. The company also organized different
promotional events to attract prospective consumers. Maruti also offered special schemes
for specific professional and income groups. The ad campaigns of Maruti emphasized on
various aspects of its cars, including fuel efficiency, space, looks etc, to strengthen its
brand image, and to promote its widespread network and services. The case ends with a
discussion on Maruti's future expansion plans.

Maruti's advertising strategy focused both on promoting its cars and on building up its
corporate image. Maruti's campaigns emphasized different aspects of its cars, including
fuel efficiency, space, looks, etc. It also advertised its widespread network and services.
The ad campaign for the 'K' series engine was the first time that Maruti was advertising

6
specifically a technological innovation that it had pioneered.

This change in advertising strategy was probably because the company had decided to
put the new 'K' series engines into all its existing and new products. To begin with,
Maruti had the 'K' series engine only in its two new cars, A-Star and Ritz, and it had also
announced that it would incorporate the new engine in the Zen Estilo.

In an effort to fulfill its target of selling one million vehicles in the domestic market by the
fiscal 2011-12, Maruti aimed to generate sales of 0.25 million cars annually from rural
India. In May 2009, the company announced that it would increase its rural outlets from
231 to 450 over the following two years.”1

6. SCOPE

To study about the four wheeler marketing strategies in India.

• To study the type of strategy that is followed by the various companies
• To find potential market in Chennai.

7. METHODOLOGY

Sampling Segment: Customers, Company itself, Advertising agencies and Industry

experts

Sample Size: 100

1
Maruti Suzuki's Advertising Strategies

7
 Sample Techniques: Simple Random Sampling

Type of Data collection:

Primary data:

Analysis through questionnaire

Secondary Data:

Books, Business Journals, and company websites

8. JUSTIFICATION

The aim of a marketing strategy is to use advertising, along with the other tools, for
maximum impact on sales. Advertising is one of the marketing tools that is used to attract
attention of prospective customers to a business or its products or services. An effective
advertising campaign attracts more customers with greater frequency. Advertising is part
of the overall marketing strategy of a business, which includes public relations,
promotional programs, signage, incentives, newsletters, and word of mouth, among other
strategies.

BIBLIOGRAPHY

Maruti Suzuki's advertising Strategies -

http://www.icmrindia.org/casestudies/catalogue/Marketing/Maruti%20Suzuki
%20Advertising%20Strategies-Case
%20Studies.htm#The_Advertising_Campaigns

8
9. EXTERNAL GUIDE DETAILS

10. APPROVAL LETTER

TOPIC APPROVAL LETTER

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 TABLE OF CONTENT

TITLE PAGE NO
CHAPTER 1
INTRODUCTION
CHAPTER 2
RESEARCH METHODOLOGY
Research Design
Methods Of Data Collection
Limitation
CHAPTER 3
LITERATURE REVIEW
Company Profile
CHAPTER 4
DATA ANALYSIS AND INTERPRETATION
CHAPTER 5
FINDINGS
CHAPTER 6
RECOMMENDATIONS & CONCLUSION
Recommendations
Conclusion
BIBILOGRAPHY

APPENDIX

10
 LIST OF TABLES

PAGE
TITLE NO
Table 1 Table showing the bike features which were noticed while purchase 43

Table 2 Table showing type of bike preferred by customers 44

Table 3 Table showing type of bike demanded mostly 45

Table 4 Table showing preference over the brands 46

Table 5 Table showing that particular brand preference 47

Table 6 Table showing color attraction for bikes 48

Table 7 Table showing the bikes mileage expectation 49

Table 8 Table showing the exciting feature of the bikes 50

Table 9 Table showing promotional measure to attract customers 51

Table 10 Table showing longevity factor in the market 52

Table 11 Table showing the factor that should induce the customer 53

Table 12 Table showing factor to be highlighted in two wheelers advertising 54

Table 13 Table showing effective factor of advertising 55

Table 14 Table showing market supportive strategy 56

Table 15 Table showing the factor that promotes the bike 57

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 LIST OF CHART

PAGE
TITLE NO
Chart 1 Chart showing the bike features which were noticed while purchase 43

Chart 2 Chart showing type of bike preferred by customers 44

Chart 3 Chart showing type of bike demanded mostly 45

Chart 4 Chart showing preference over the brands 46

Chart 5 Chart showing that particular brand preference 47

Chart 6 Chart showing color attraction for bikes 48

Chart 7 Chart showing the bikes mileage expectation 49

Chart 8 Chart showing the exciting feature of the bikes 50

Chart 9 Chart showing promotional measure to attract customers 51

Chart 10 Chart showing longevity factor in the market 52

Chart 11 Chart showing the factor that should induce the customer 53

Chart 12 Chart showing factor to be highlighted in two wheelers advertising 54

Chart 13 Chart showing effective factor of advertising 55

Chart 14 Chart showing market supportive strategy 56

Chart 15 Chart showing the factor that promotes the bike 57

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 CHAPTER 1

INTRODUCTION

INTRODUCTION

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The Indian automobile industry is the tenth largest in the world with an annual production
of approximately 2 million units. Indian auto industry, promises to become the major
automotive industry in the upcoming years and the industry experts are hopeful that it
will touch 10 million units mark.

Indian automobile industry is involved in design, development, manufacture, marketing,

and sale of motor vehicles. There are a number of global automotive giants that are
upbeat about the expansion plans and collaboration with domestic companies to produce
automobiles in India.

The major car manufacturers in India are Maruti Udyog, Hyundai Motors India Ltd.,
General Motors India Pvt. Ltd., Honda Siel Cars India Ltd., Toyota Kirloskar Motor Ltd.,
Hindustan Motors etc.

In India automobile industry is one of the largest industries in the global presence. Since
it is the leader in the products and process technologies in the manufacturing sector, it has
been one of the reason to drive the economy 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.

India is well known for its transport system. For instant and rapid growth in economy, a
well-developed and well-networked transportation system is essential. As India's
transport network is developing at a fast pace, Indian Automobile Industry is growing
too. Also, the Automobile industry has strong backward and forward linkages and hence
provides employment to a large section of the population. Thus the role of Automobile
Industry is very essential in Indian economy. Various types of vehicles are manufactured

14
by the Automobile Industry. Indian Automobile Industry includes the manufacturing of
trucks, buses, passenger cars, defence vehicles, two-wheelers.

It is one of the industries in India which provides employment in large extent. 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 slowdown
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.

Advertisement

15
According to the Philip Kotlar, 2"Advertising is any paid form of non personal
presentation of ideas, goods and services by an identified sponsor."

Advertising is a form of communication that typically attempts to persuade potential

customers to purchase or to consume more of a particular brand of product or service.
Many advertisements are designed to generate increased consumption of products and
services through the creation and reinvention of the "brand image”. For these purposes,
advertisements sometimes embed their persuasive message with factual information.
Every major medium is used to deliver these messages, including television, radio,
cinema, magazines, newspapers, video games, the Internet, carrier bags and billboards.
Advertising is often placed by an advertising agency on behalf of a company or other
organization

Types of Advertisements

Persuasive Advertising:

In this type the advertiser tries to persuade the public to buy his product, by explaining
the various good qualities that the product possesses over other products.

Competitive Advertising:

This is carried out by different producers of different brands of the same product. Each
producer tries to compete with other producers in trying to capture the market. The
advertiser uses techniques that are persuasive and aggressive to achieve his target.
Example, the advertiser claims that his product is best in terms of quality, performance
and durability. Example: Biggs Butter is best.

Informative Advertising:

2
Advertising & Integrated Brand Promotion by O’Guinn.Allen.Semenik

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In this type information is passed on to the consumers about availability of products,
changes in fashion and how to use the products. Under informative advertising the
following goods and services are advertised:

Advertising in Trade and Technical Journals: These advertisements contain technical

information about goods.

Advertising of Particular Events: Trade fairs, exhibitions, concerts and sporting activities
are examples of such advertising. In this type people are informed about such events and
are persuaded to attend such events.

Advertising of Employment Opportunities: In this type people come to know about the
various employment opportunities available.

Generic Advertising (Collective):

When all the producers in one industry combine to advertise their product, it is called
generic advertising. These advertisements are usually sponsored by trade associations.
The producers group together to share the costs and to promote the product hoping to
increase the overall sales of the product. Example: Drink more tea.

INDIAN ADVERTISING INDUSTRY

In the recent days the Indian advertising industry is one of the talking business today. It
has evolved from being a small-scale business to a large scale industry or full-fledged

17
industry. It has emerged as one of the major industries and tertiary sectors and has
broadened its horizons be it the creative aspect, the capital employed or the number of
personnel involved. Indian advertising industry in very little time has carved a niche for
itself and placed itself on the global map.

3
‘Indian advertising industry with an estimated value of 13, 200-crore has made jaws
drop and set eyeballs gazing with some astonishing pieces of work that it has given in the
recent past. The creative minds that the Indian advertising industry incorporates have
come up with some mind-boggling concepts and work that can be termed as masterpieces
in the field of advertising”.

“Advertising agencies in the country too have taken a leap. They have come a long way
from being small and medium sized industries to becoming well known brands in the
business. Mudra, Ogilvy and Mathew (O&M), Mccann Ericsonn, Rediffussion, Leo
Burnett are some of the top agencies of the country”

Indian economy is on a boom and the market is on a continuous trail of expansion. With
the market gaining grounds Indian advertising has every reason to celebrate. Businesses
are looking up to advertising as a tool to cash in on lucrative business opportunities.
Growth in business has lead to a consecutive boom in the advertising industry as well.

The Indian advertising today handles both national and international projects. This is
primarily because of the reason that the industry offers a host of functions to its clients
that include everything from start to finish that include client servicing, media planning,
media buying, creative conceptualization, pre and post campaign analysis, market
research, marketing, branding, and public relation services.

Keeping in mind the current pace at which the Indian advertising industry is moving the
industry is expected to witness a major boom in the times ahead. If the experts are to be
believed then the industry in the coming times will form a major contribution to the GDP.
3
http://www.exchange4media.com/e4m/bottombarfiles/Indian-advertising-industry.asp

18
With al this there is definitely no looking back for the Indian advertising industry that is
all set to win accolades from the world over. Therefore for more information on Indian
advertising, advertising agencies, marketing and advertising or any related information

Market Share

At present major Indian, European, Korean, Japanese automobile companies are holding
significant market shares. In commercial vehicle, Tata Motors dominates over 60% of the
Indian commercial vehicle market. Tata Motors is the largest medium and heavy
commercial vehicle manufacturer.

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Car manufacturers in India dominate the vehicle market by 79%. Maruti Suzuki is the
largest car producer in India and has 39% share in passenger cars and is a complete
monopoly in multi purpose vehicles and we can see the second and third position is hold
by Hyundai and Ford, followed by others and we have separate sets for niche market in
luxury segments cars like BMW, Audi etc have around 9% share on the whole segment.

“Market share of four wheelers sectors”

http://www.automobileindia.com/automobile-industry/

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 CHAPTER 2

RESEARCH METHODOLOGY

21
 RESEARCH METHODOLOGY

Research Design

A research design is the arrangement of conditions for collection and analysis of

data in a manner that aims to combine relevance to the research purpose with economy in
procedure. It is the conceptual procedure with in which research is conducted. The
objective of this project is to gain a better insight into the various strategies adopted by
various four wheeler manufacturers.

The system is evaluated and steps for improvements are suggested. Information
that was already available and collected through questionnaire is used to make a critical
evaluation of the system. Therefore descriptive research was selected.

The descriptive research describes a behavior or condition. It attempts to obtain a

complete and an accurate description of the characteristics of a particular individual or a
group or a situation.

Sampling Segment

The respondent of the study are part of population of CHENNAI city.

Sample Size

The size of the sample is 100 out of the total population

Sample Techniques

Non-Probability –convenience sampling is used in the survey.

I have used chi square test as a statistical tool in this thesis

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Data Collection:

Data is the basis for all statistical analysis and collection of data is the important stage in
the research. The data could be classified as Primary data and Secondary data.

Primary data:

Primary data are the data which can be collected afresh and for the first time and thus
happen to be original in character. The primary data used for this study was collected
through questionnaire.

Secondary data:

Secondary data means data that are already available (i.e.) they refer to the data which
have already been collected and analyzed by someone else. For this study the secondary
data was collected from Company manuals, Websites, annual reports, Journals, etc.

Research Instrument:

The research instrument for this study is questionnaire. Questionnaire is a set of questions
prepared in order to collect the required information from the employees. The
questionnaire contains the following type of questions.

Statistical tools:

The data collected was analyzed using the following statistical tools.

 Percentage Analysis

This is a unvaried analysis (i.e. considering just one factor) where the percentage of a
particular factor, with different categories are calculated in order to help one get a fair
idea regarding a sample and thereby that of population.

Percentage = (Number of respondents/Total no of respondents)*100

23
 The ease of simplicity of calculation, the general understanding of its purpose and
the near universal application of the percentage have made it the most widely used
statistical tool.

LIMITATION OF THE STUDY

Temporal:

The period of the current research is limited. Hence all the data would be limited to the
stipulated period only.

Geographical:

The study is limited to only to Chennai. We cannot render exact information based on this
survey.

Procedural:

All data collected are generally limited by the method adopted. In the current research,
the method of data collection being a questionnaire, data is limited to the extent of data
generation available through this method. Findings of the study are based in assumption
that respondents have given correct information.

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 CHAPTER 3

LITERATURE SURVEY

25
 LITERATURE SURVEY

Advertisements become gimmicks if not right products are showcased. In recent years the
lifecycle of motorcycles has dropped sharply. In the view of Munjal, customers are
becoming more demanding nowadays.

The reason behind the immense growth of the India Car Industry can be attributed to
the availability of car loans, affordable rates of interest, smooth repayment facilities and
the deductions offered to the customers by the retailers.

The constant changes in the existing car models with regard to design, innovation,
technology, and colors, have led to a fiercely competitive market. Now that technology
and innovation are not alien concepts for Indian car makers, Indian cars are becoming
increasingly sleek, stylish, and luxurious.

Major players in the Indian Car Industry:

Fierce competition among the major car players can be witnessed in the Indian Car
industry. The India car industry is being dominated by the following major players:

The below are the companies who plays a major role in Indian roads and who has a large
market share in the present market condition.

 Maruti Udyog
 Ford India Ltd
 General Motors India
 Honda Siel Cars India Ltd
 Hyundai Motors India Ltd
 Toyota Kirloskar Motor Ltd
 Tata Motors
 Chevrolet

There is a separate market for luxury cars and they place niche market role in
Indian and they have a separate set up customers who can opt of the luxury cars.
26
  Skoda Auto India Private Ltd
 Audi Ag
 BMW
 Force Motors
 Nissan Motor Co. Ltd
 Porsche
 Rolls-Royce Motor

The below two manufacturing companies as lost their large amount of share, during the
past they were holding around 70% of market share and now they are minor players

 Fiat India Private Ltd

 Hindustan Motors

“The advertising campaigns of Maruti included TVCs, print and radio ads, outdoor
promotions, point of sale and mobile promotions. The company also organized different
promotional events to attract prospective consumers. Maruti also offered special schemes
for specific professional and income groups. The ad campaigns of Maruti emphasized on
various aspects of its cars, including fuel efficiency, space, looks etc, to strengthen its
brand image, and to promote its widespread network and services. The case ends with a
discussion on Maruti's future expansion plans.

Maruti's advertising strategy focused both on promoting its cars and on building up its
corporate image. Maruti's campaigns emphasized different aspects of its cars, including
fuel efficiency, space, looks, etc. It also advertised its widespread network and services.
The ad campaign for the 'K' series engine was the first time that Maruti was advertising
specifically a technological innovation that it had pioneered.

This change in advertising strategy was probably because the company had decided to
put the new 'K' series engines into all its existing and new products. To begin with,

27
Maruti had the 'K' series engine only in its two new cars, A-Star and Ritz, and it had also
announced that it would incorporate the new engine in the Zen Estilo.

In an effort to fulfill its target of selling one million vehicles in the domestic market by the
fiscal 2011-12, Maruti aimed to generate sales of 0.25 million cars annually from rural
India. In May 2009, the company announced that it would increase its rural outlets from
231 to 450 over the following two years.”4

COMPANY PROFILE

4
Maruti Suzuki's Advertising Strategies

28
More than half the number of cars sold in India wear a Maruti Suzuki badge. They are a
subsidiary of Suzuki Motor Corporation Japan and they offer full range of cars- from
entry level Maruti 800 & Alto to stylish hatchback Ritz, A star, Swift, Wagon R, Estillo
and sedans DZire, SX4 and Sports Utility vehicle Grand Vitara.

Since inception, they have produced and sold over 7.5 million vehicles in India and
exported over 500,000 units to Europe and other countries.

Their turnover for the fiscal 2008-09 stood at Rs. 203,583 Million & Profit After Tax at
Rs. 12,187 Million.

We were born as a government company, with Suzuki as a minor partner, to make a

people's car for middle class India. Over the years, our product range has widened,
ownership has changed hands and the customer has evolved. What remains unchanged,
then and now, is our mission to motorise India. Our parent company, Suzuki Motor
Corporation, has been a global leader in mini and compact cars for three decades.
Suzuki's technical superiority lies in its ability to pack power and performance into a
compact, lightweight engine that is clean and fuel efficient. The same characteristics
make our cars extremely relevant to Indian customers and Indian conditions. Product
quality, safety and cost consciousness are embedded into our manufacturing process,
which we have inherited from our parent company.

Right from inception, Maruti brought to India, a very simple yet powerful Japanese
philosophy 'smaller, fewer, lighter, shorter and neater'

From the Japanese work culture we imbibed simple practices like an open office, a
common uniform and common canteen for everyone from the Managing Director to the
workman, daily morning exercise, and quality circle teams.

In these competitive times the challenge is to keep inventing newer ways of doing things
to keep the customers in your fold. Over the last few years, the company strengthened the

29
existing practices and experimented with many new initiatives by way of kaizens
(continuous improvements) to delight its customers. These initiatives ranged from
product design and quality to network expansion, and included new service programs to
meet unsaid needs of customers.

The company has retained its competitive edge by offering high quality products.

In the field, the products are supported by rapidly expanding networks. The company has
diverse networks for new cars, spares, service, pre owned cars and so on, and all of them
were in expansion mode last year to enable the company get closer to the customer.
Servicing customers 24X7 ..... 365 days.... The company takes great pride in sharing that
customers have rated Maruti Suzuki first once again in Customer Satisfaction Survey
conducted by independent body, J.D.Power Asia Pacific. It is 10th time in a row.

The award mirrors the company's commitment towards "Customer Obsession".

http://www.marutisuzuki.com/customer-delight.aspx

Advertising Strategies of Maruti Suzuki

The advertising strategies of Maruti Suzuki India Limited (Maruti), a subsidiary of Japan
based automobile major Suzuki Motors. Maruti, India's leading passenger car
manufacturer was founded in 1981. The liberalization of the Indian economy in 1991
resulted in the entry of several foreign automobile companies in the Indian passenger car

30
market beginning from the mid 1990s. To prevent the continuous decline of its market
share, Maruti started a restructuring exercise in the year 2001.

As part of the restructuring exercise, Maruti also laid emphasis on its advertising strategy
to help maintain its position as a market leader.

The company launched several new products and their variants. The advertising
campaigns of Maruti included TVCs, print and radio ads, outdoor promotions, point of
sale and mobile promotions. The company also organized different promotional events to
attract prospective consumers. Maruti also offered special schemes for specific
professional and income groups. The ad campaigns of Maruti emphasized on various
aspects of its cars, including fuel efficiency, space, looks etc, to strengthen its brand
image, and to promote its widespread network and services. The case ends with a
discussion on Maruti's future expansion plans.

In July 2009, Maruti Suzuki India Limited (Maruti), a subsidiary of Japan based
automobile major Suzuki Motors, launched a new ad campaign highlighting its K-series
engines.. The ad campaign highlighted the technical improvement in the engines of
certain select Maruti cars which simultaneously increased their power and their fuel
efficiency.

The television commercial (TVC) showed a race where a sprinter started running and
finished first. Then, he went on to join a marathon and won that also. The sprinter
continued running after finishing the marathon. The commercial then brought into focus
the machine which kept the sprinter going - a K series engine.

he ad campaign including the TV commercial was developed by Capital Advertising and

also included print ads, outdoor campaigns, and internet ads (Refer Exhibit I for a Print
Ad of Maruti's K Series Engine).

Maruti was founded in 1981. The company has been the market leader in the passenger
car industry in India. The liberalization of the Indian economy in 1991 allowed the entry
31
of foreign automobile companies in the Indian passenger car market from the mid 1990s.
To prevent the erosion of its market share by competitors, the company started a
restructuring exercise in 2001. Along with restructuring, Maruti also adopted a new
marketing strategy to help maintain its position as market leader.

New products were launched with great fanfare to build the brand image of the company.
Advertising campaigns included TVCs, print and radio ads, outdoor promotions, point of
sale and mobile promotions. The company also organized different promotional events to
attract prospective consumers. Maruti also offered special schemes for specific
professional and income groups.

Maruti's advertising strategy focused both on promoting its cars and on building up its
corporate image. Maruti's campaigns emphasized different aspects of its cars, including
fuel efficiency, space, looks, etc. It also advertised its widespread network and services.
The ad campaign for the 'K' series engine was the first time that Maruti was advertising
specifically a technological innovation that it had pioneered.

This change in advertising strategy was probably because the company had decided to put
the new 'K' series engines into all its existing and new products. To begin with, Maruti
had the 'K' series engine only in its two new cars, A-Star and Ritz, and it had also
announced that it would incorporate the new engine in the Zen Estilo

Keys factors in advertising strategies of Maruti Suzuki India Limited (Maruti):

 Service after sales (they always focus on Maruti Service Station)

 Focus on family
 Celebrations
 Mileage factor - for Certain Cars like Alto
32
Advertisement Samples

Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor
Company (HMC), South Korea and is the largest passenger car exporter and the second

33
largest car manufacturer in India. HMIL presently markets 6 models of passenger cars
across segments. The A2 segment includes the Santro, i10 and the i20, the A3 segment
includes the Accent and the Verna, the A5 segment includes the Sonata Transform.

HMIL’s fully integrated state-of-the-art manufacturing plant near Chennai boasts of the
most advanced production, quality and testing capabilities in the country. To cater to
rising demand, HMIL commissioned its second plant in February 2008, which produces
an additional 300,000 units per annum, raising HMIL’s total production capacity to
600,000 units per annum.

In continuation with its commitment to providing Indian customers with cutting-edge

global technology, HMIL has set up a modern multi-million dollar research and
development facility in the cyber city of Hyderabad. It aims to become a centre of
excellence for automobile engineering and ensure quick turnaround time to changing
consumer needs.

As HMC’s global export hub for compact cars, HMIL is the first automotive company in
India to achieve the export of 10 lakh cars in just over a decade. HMIL currently exports
cars to more than 110 countries across EU, Africa, Middle East, Latin America, Asia and
Australia. It has been the number one exporter of passenger car of the country for the
sixth year in a row.

To support its growth and expansion plans, HMIL currently has a 290 strong dealer
network and 540 strong service points across India, which will see further expansion in
2010.

Since inception, HMIL has dominated the automobile market with the reputation of being
the fastest growing automobile manufacturer in India. HMIL's growth has been driven by
volume-oriented revenues coupled with technological soundness and superior designs.

34
A major force in the Indian automobile scenario, HMIL is the second largest
manufacturer in India. Focusing on the latest technologies and innovative marketing
strategies, HMIL has carved out a niche for itself in the market today with most of its
models leading in their respective segments. It’s been a long journey from just 8,447
units in 1998, till today when HMIL has become a key player in driving the industry
growth year after year.

HMIL, continuing its tradition of being the fastest growing passenger car manufacturer,
registered a total sales of 559,870 vehicles in the calendar year (CY) 2009, an increase
of 14.4 percent over CY 2008. In the domestic market it clocked a growth of 18.1 percent
as compared to 2008 with 289,863 units, while overseas sales grew by 10.7 percent, with
export of 270,007 units.

http://www.hyundai.com/in/en/CompanyInfomation/AboutHMIL/Profile/HMILSales/HMI
LSales.aspx

Advertising Strategies of Hyundai

Hyundai’s Advertising Strategy: Wait for the Fire Sales

Late last year, Chris Perry, marketing communication director India, got a call he’d
been waiting years to receive. A rep in Hyundai’s media-buying agency reported that an
exclusive multiyear advertising sponsorship for the Academy Awards broadcast was up
for grabs. Hyundai, which once ran ads reminding consumers its name rhymed with
“Sunday,” was eager to boost its profile among Indian car buyers, so Perry and his team
leapt into action.

35
Less than two months before the February broadcast, Hyundai signed a deal to be the
show’s exclusive automotive sponsor for the next three years, giving the automaker a
high-visibility opportunity to build brand awareness in a hurry. It also provided a terrific
platform to introduce consumers to its innovative Assurance plan, whereby Hyundai
promises to buy back cars from its customers if they lose their job or become unable to
work.

It’s an ad deal that wouldn’t have happened in a robust economy. Facing double-digit
sales declines and the possibility of bankruptcy, longtime Oscar sponsor General Motors
pulled out of the broadcast at the last minute, leaving ABC scrambling for a replacement.
Beauty manufacturer L’Oreal also dropped out this year, and American Express,
traditionally one of the biggest advertisers at the Oscars, purchased only one TV spot,
making ABC increasingly desperate for advertisers, and willing to negotiate prices.

Hyundai’s Genesis

The eight Oscar ads that Hyundai ultimately aired are part of a bold advertising and
marketing initiative that’s helped boost the South Korean company’s fortunes during one
of the worst sales slumps automakers have ever seen. While Hyundai’s sales through the
first seven months of 2009 were down close to 10 percent compared with the same period
last year, that performance bucks the trend of an industrywide decline of 30 percent,
according to Todd Turner, president of Car Concepts, a brand-image and auto-research
consultancy in Thousand Oaks, Calif. And Hyundai is one of the few car companies that
has lured customers away from other brands.

Through August of this year its market share has risen more than a full percentage point,
making the company the seventh-largest seller of cars in the United States. At a time
when General Motors and Chrysler are paring down to a mere handful of models,
Hyundai will introduce three new ones in 2010 and four in 2011, a risky move in today’s
economy. To continue to generate sales for those cars, Hyundai needs to evolve its image
beyond the Assurance plan and keep its brand foremost in the minds of consumers. That
will be no small chore if other automakers start to increase their advertising.

Joel Ewanick, vice president of marketing for Hyundai Motor America, says Hyundai
needs to take the risks associated with going big and bold now because the recession has
presented the company with an unprecedented opportunity. “The last time a company

36
like Hyundai could build brand and steal market share was almost 40 years ago,” says
Ewanick. “And before that, you had to go back to 1930, when General Motors stole the
leadership position away from Ford.”

Chris Perry won’t divulge what sort of price reductions Hyundai was able to negotiate
for the Oscars, but Turner from Car Concepts says the company likely saved somewhere
on the order of 30 percent. Rather than spend less, however, Hyundai decided to buy
more. Hyundai ran two ads during the Super Bowl, sponsored a pre-game kickoff show,
and last November signed a deal with Fox to have its cars featured on the network’s top
rated show 24. It took over that spot from Ford, which, like GM, has scaled back on
advertising.

“Hyundai has been very effective in getting their marketing message out there,” Turner
says. “They’ve given people confidence in the brand and made it a respectable brand.
That’s something they didn’t have before.”

And Hyundai’s advertising moves may pay off for years to come. According to a
McGraw-Hill study of 600 companies from 1980 to 1985, companies that spend as much
or more on advertising during recessions perform better in the long run than those that
don’t.

http://www.bnet.com/2403-13240_23-346169.html

Keys factors in advertising strategies Hyundai Motor India Limited (HMIL)

 Style and Power

 Goes along with Sports (Mainly Football World cup)
 Concentrate on brand Ambassadors

37
38
Tata Motors Limited is India's largest automobile company, with consolidated revenues
of Rs.70,938.85 crores (USD 14 billion) in 2008-09. It is the leader in commercial
vehicles in each segment, and among the top three in passenger vehicles with winning
products in the compact, midsize car and utility vehicle segments. The company is the
world's fourth largest truck manufacturer, and the world's second largest bus
manufacturer.

The company's 24,000 employees are guided by the vision to be "best in the manner in
which we operate, best in the products we deliver, and best in our value system and
ethics."

Established in 1945, Tata Motors' presence indeed cuts across the length and breadth of
India. Over 5.9 million Tata vehicles ply on Indian roads, since the first rolled out in
1954. The company's manufacturing base in India is spread across Jamshedpur
(Jharkhand), Pune (Maharashtra), Lucknow (Uttar Pradesh), Pantnagar (Uttarakhand) and
Dharwad (Karnataka). Following a strategic alliance with Fiat in 2005, it has set up an
industrial joint venture with Fiat Group Automobiles at Ranjangaon (Maharashtra) to
produce both Fiat and Tata cars and Fiat powertrains. The company is establishing a new
plant at Sanand (Gujarat). The company's dealership, sales, services and spare parts
network comprises over 3500 touch points; Tata Motors also distributes and markets Fiat
branded cars in India.

Tata Motors is also expanding its international footprint, established through exports
since 1961. The company's commercial and passenger vehicles are already being
marketed in several countries in Europe, Africa, the Middle East, South East Asia, South
Asia and South America. It has franchisee/joint venture assembly operations in Kenya,
Bangladesh, Ukraine, Russia, Senegal and South Africa.

The foundation of the company's growth over the last 50 years is a deep understanding of
economic stimuli and customer needs, and the ability to translate them into customer-
desired offerings through leading edge R&D. With over 3,000 engineers and scientists,
the company's Engineering Research Centre, established in 1966, has enabled pioneering
39
technologies and products. The company today has R&D centres in Pune, Jamshedpur,
Lucknow, Dharwad in India, and in South Korea, Spain, and the UK. It was Tata Motors,
which developed the first indigenously developed Light Commercial Vehicle, India's first
Sports Utility Vehicle and, in 1998, the Tata Indica, India's first fully indigenous
passenger car. Within two years of launch, Tata Indica became India's largest selling car
in its segment. In 2005, Tata Motors created a new segment by launching the Tata Ace,
India's first indigenously developed mini-truck.

In January 2008, Tata Motors unveiled its People's Car, the Tata Nano, which India and
the world have been looking forward to. The Tata Nano has been subsequently launched,
as planned, in India in March 2009. A development, which signifies a first for the global
automobile industry, the Nano brings the comfort and safety of a car within the reach of
thousands of families. The standard version has been priced at Rs.100,000 (excluding
VAT and transportation cost).

Designed with a family in mind, it has a roomy passenger compartment with generous leg
space and head room. It can comfortably seat four persons. Its mono-volume design will
set a new benchmark among small cars. Its safety performance exceeds regulatory
requirements in India. Its tailpipe emission performance too exceeds regulatory
requirements. In terms of overall pollutants, it has a lower pollution level than two-
wheelers being manufactured in India today. The lean design strategy has helped
minimize weight, which helps maximize performance per unit of energy consumed and
delivers high fuel efficiency. The high fuel efficiency also ensures that the car has low
carbon dioxide emissions, thereby providing the twin benefits of an affordable
transportation solution with a low carbon footprint.

In May 2009, Tata Motors introduced ushered in a new era in the Indian automobile
industry, in keeping with its pioneering tradition, by unveiling its new range of world
standard trucks called Prima. In their power, speed, carrying capacity, operating
economy and trims, they will introduce new benchmarks in India and match the best in
the world in performance at a lower life-cycle cost.

40
Tata Motors is equally focused on environment-friendly technologies in emissions and
alternative fuels. . It has developed electric and hybrid vehicles both for personal and
public transportation. It has also been implementing several environment-friendly
technologies in manufacturing processes, significantly enhancing resource conservation

Tata Motors is committed to improving the quality of life of communities by working on

four thrust areas – employability, education, health and environment. The activities touch
the lives of more than a million citizens. The company's support on education and
employability is focused on youth and women. They range from schools to technical
education institutes to actual facilitation of income generation. In health, our
intervention is in both preventive and curative health care. The goal of environment
protection is achieved through tree plantation, conserving water and creating new water
bodies and, last but not the least, by introducing appropriate technologies in our vehicles
and operations for constantly enhancing environment care.

http://www.tatamotors.com/our_world/profile.php

Advertising Strategies of Tata Motors

Three Emvies Awards for Tata Nano launch advertising

Innovative use of media to advertise the launch of the Tata Nano has fetched three top
awards at Emvies 2009. The Emvies Awards, organized by the Advertising Club of
Bombay, are India’s biggest media awards.

41
Tata Nano''s launch campaign won gold medals for the Best Media Innovation in Print
and in Ambient Media/Out-of-Home categories. It also won the silver medal for the best
media strategy in Consumer Durables (there were no gold medals this year).

There were 59 shortlisted entries for the Emvies this year.

Earlier in the year, Cannes 2009 - the world’s most coveted advertising awards - had
conferred the Bronze Lion for Best Use of Mixed Media to the Tata Nano''s launch
advertising.

Tata Motors’ innovative use of media to advertise the launch of the Tata Nano has won
the world’s most coveted advertising award – the Bronze Lion – at this year’s edition of
the world’s biggest advertising awards festival at Cannes.

The jury of Cannes 2009 conferred the Bronze Lion for Best Use of Mixed Media –
print, TV, radio, Internet – to the Tata Nano’s advertising in the days ahead of the launch.
The innovative use of media, for example, included newspapers branding their news-
briefs as ‘Nano news’, radio jockeys taking ‘Nano break’, popular serials on TV sporting
Nano pop-ups, extensive use of Internet as medium, exclusive home pages by many
websites with countdowns, Nano online games and many other such eye-catchers.

The award came in the face of stiff competition from some of the savviest advertisers of
the world, like P&G, Nestle, Toyota, Adidas, BMW, Ford, among others. Cannes 2009
received 22,652 entries from 86 countries.

Nano, India’s most eagerly-awaited car, might be launched without much fanfare. Blame
it on inflation as Tata Motors and other carmakers are slashing or are in the process of
reducing spending on publicity and advertising.

According to two industry experts ET spoke to, many manufacturers are reducing their
expenditure on advertising as part of their strategy to hold on to the price of the product,
which would directly affect customers.

42
Says Edelweiss auto analyst Ashutosh Goel, “Manufacturing costs are increasing and
OEMs can do little about it, so cutting overheads is the logical thing. It is not happening
for the first time, even in the past auto manufacturers have cut down on advertising and
marketing costs whenever there have been price pressures.”

When asked about reducing advertising expenditure to cushion the selling price of Nano,
Tata Motors official spokesperson said: “We would not like to comment on this,” before
adding, “It is too early to comment on advertising cost of a product in July, which would
be rolled out by end of this year.”

Nano, which is slated for launch in October this year, is initially expected be priced at Rs
1 lakh, as promised by Group chairman Ratan Tata, despite pressure from vendors who
are facing rising costs because of soaring prices of inputs such as steel.

Competition is hotting up in the sports utility vehicle segment (SUV) in India once again.
Even as Mahindra & Mahindra Ltd is in the process of rolling out an integrated marketing
plan to announce the relaunch of Scorpio, Tata Motors is drawing up an aggressive
marketing strategy to popularise its recently-launched petrol variant of Tata Safari.

For starters, Mahindra & Mahindra Ltd has launched a multi-media ad campaign to
promote the new avatar of Scorpio. Created by Interface Communications, the mass
media campaign includes a series of press advertisements and a television commercial.

As for the rationale behind the relaunch of Scorpio, says Mahindra & Mahindra Ltd
executive vice-president (marketing & sales) Rajesh Jejurikar: “After conducting an
extensive market research (with AC Nielson), we upgraded our existing model with new
features. However, the positioning of the brand will remain the same so the adline will
continue to be the same—‘Nothing Else Will Do.’”

The company plans to focus on press ads to highlight the new features and improved fuel
efficiency of the upgraded version of Scorpio. “To support mass media advertising, we’ll
be hosting roadshows and ground promos. Till now we have sold over 20,000 Scorpios
43
since we launched this brand. With this improved version, we will phase out the old
brand,” he adds.

In addition, Mahindra & Mahindra has recently launched a nationwide talent search
programme titled ‘Scorpio Speedster With Timex’ in 10 cities across the country.
Through this initiative, the company plans to strengthen Scorpio’s brand positioning of
being a youthful and sporty SUV, says Mr Jejurikar.

Tata Motors is gearing up to launch a new multi-media ad campaign to announce the new
variant of Tata Safari, the petrol version. On Tata Motors new marketing strategy, says
Ogilvy & Mather India clients service director Sharmila Malekar: “To announce the
launch of Tata Safari (petrol variant), we will be launching a multi-media ad campaign
within a month. The new campaign will include, press ads, TVCs and radio advertising.
There will be a new adline too.”

At present, the baseline for Tata Safari is ‘Make Your Own Roads’. In addition to mass
media advertising, the agency will continue to focus on its CRM initiatives such as the
Tata Safari Explorer Club to promote the new avatar of Tata Safari.

In the Indian automobile industry, SUVs today account for only 15 per cent of the total
market unlike western countries where it is almost 80 per cent.

http://economictimes.indiatimes.com/articleshow/articleshow/3190141.cms

http://www.financialexpress.com/news/suvs-m&m-tata-motors-gear-up-for-integrated-
marketing-strategy/93437/

Keys factors in advertising strategies Tata Motors:

 They Focus on Eco Friendly

 Focus on passengers cars (Nano)

44
  Power & Style (Scorpio)

Ford Motor Company, a global automotive industry leader based in Dearborn, Mich.,
manufactures and distributes automobiles across six continents. With approximately
176,000 employees and 80 plants worldwide, the company's automotive brands include
Ford, Lincoln, Mercury and Volvo. The company provides financial services through
Ford Motor Credit Company. Explore our global operations below

The Ford Motor Company (NYSE: F) is an American multinational corporation based

in Dearborn, Michigan, a suburb of Detroit. The automaker was founded by Henry Ford

45
and incorporated on June 16, 1903. In addition to the Ford, Lincoln, and Mercury brands,
Ford also owns Volvo Cars in Sweden, and a small stake in Mazda in Japan and Aston
Martin in the UK. Ford's former UK subsidiaries Jaguar and Land Rover were sold to
Tata Motors of India in March 2008. Ford has agreed to sell Volvo to Geely Automobile
in a deal expected to be completed in the third quarter of 2010.

Ford introduced methods for large-scale manufacturing of cars and large-scale

management of an industrial workforce using elaborately engineered manufacturing
sequences typified by moving assembly lines. Henry Ford's methods came to be known
around the world as Fordism by 1914.

Ford is currently the second largest automaker in the U.S. and the fourth-largest in the
world based on number of vehicles sold annually, directly behind Volkswagen. In 2007,
Ford fell from second to third in US annual vehicle sales for the first time in 56 years,
behind only General Motors and Toyota. However, Ford occasionally outsells Toyota in
shorter periods (most recently, during the summer months of 2009). By the end of 2009,
Ford was the third largest automaker in Europe (behind Volkswagen and PSA). Ford is
the seventh-ranked overall American-based company in the 2008 Fortune 500 list, based
on global revenues in 2008 of $146.3 billion. In 2008, Ford produced 5.532 million
automobiles and employed about 213,000 employees at around 90 plants and facilities
worldwide. Starting in 2007, Ford received more initial quality survey awards from J. D.
Power and Associates than any other automaker. Five of Ford's vehicles ranked at the
top of their categories and fourteen vehicles ranked in the top three

http://www.india.ford.com/servlet/ContentServer?
cid=1178851252772&pagename=FIPL%2FDFYPage%2FFord-
Default&c=DFYPage&site=FIPL

Advertising Strategies of Ford Motors

Times are changing at Ford. The company's marketing efforts are focusing on appealing
to those who hate them the most.
46
Their latest push to woo the public is decidedly aimed at their detractors:

At first glance, it looks like a fund - raising pitch from an environmental group: ``With
one of the worst fuel efficiency records of any car company, Ford is trying to `go green,' "
said the Internet ad, which featured a photo of an oil-well pump. ``As another oil crisis
looms on the horizon, can they turn talk into action?"
Article Tools

But when you click it, the Web browser opens a stark Internet site created by Ford Motor
Co. itself.

The site goes on to include good and bad news concerning the company, and you have to
assume it will have a great deal of things to cover in the bad category. However, the site
feels genuine and encourages users to really see the automaker as a company that, though
it screws up, is here for the long haul and maybe isn't so bad after all.

They're even discussing blogging, which would be fantastic for the carmaker. The entire
campaign looks large, with their sponsoring Kelly Clarkson's upcoming tour (perfect
choice for their bread-and-butter), print ads, TV spots and even a reality TV series,
possibly focusing on car design and production (very cool).

At least one prominent PR blogger is not impressed:

``Ford doesn't have a PR problem," said Seth Godin, author of several books on Internet
marketing. ``Ford has a `we were dependent on gas guzzling SUVs until people learned
the truth' problem. Ford has a `we don't reward great designers' problem. Ford has a
dealer problem."

I can see where Seth is coming from; an image overhaul won't make their cars more
47
popular, at least if their cars are bad. However, there is always a chance that the entire
company can 'catch' the feeling and begin to tailor their gas-guzzling cars towards user
value/world impact; their HR practices towards employee value...

I guess I'm still naive enough to hope that an auto giant can be real , selling their cars,
but not selling their soul. Of course, as I write this it already sounds hokey.

Whether you agree or not, the site has already made me see Ford in a new light, which
was what they were hoping to accomplish in the first place. The campaign was created
with the help of JWT Co.

The car manufacturer will debut the TV ad during the UEFA Champions League final
between Manchester United and Barcelona, to tie in with Ford's sponsorship of the
competition.

The clip will feature a number of models, including the Ford Focus, Mondeo, Fiesta, S-
Max and Kuga. Each stationary car is filmed in a studio to seem as though it is moving,
to emphasize the ‘kinetic' qualities of the car design. The ad, voiced by Northern Irish
actor James Nesbitt, ends with the line ‘Ford kinetic Design'.

Although UK marketing director Mark Simpson said the manufacturer will return to some
model-specific advertising, the new brand-led format will feature in the majority of future
communications.

Last year, Ford's global marketing chief Elena Ford announced that the 2010 Focus will
be backed by the marque's first global campaign.

The manufacturer's global agencies, Ogilvy London, Mindshare and Wunderman, have
been handed the work given their experience marketing Focus in recent years.

http://www.allbusiness.com/marketing-advertising/advertising/3877648-1.html
48
http://www.marketingmagazine.co.uk/news/908851/Ford-introduces-brand-led-
marketing-strategy/

Keys factors in advertising strategies Tata Motors:

 Power and Style

 Focus on Pick up (Kinetic Energy)

CHAPTER 4

DATA ANALYSIS AND INTERPRETATION

49
 DATA ANALYSIS

To the Consumers on the whole

1. What does the consumer look for when he purchases a Four-wheeler?

TABLE 1: CAR FEATURES, WHICH WERE NOTED, WHILE PURCHASE

Options No of respondent Percentage %

Mileage 39 49%
Colour 12 15%
Features 16 20%
Availability of spare parts 8 10%
Others 5 6%
Total 80 100

CHART: 1 CAR FEATURES, WHICH WERE NOTED, WHILE PURCHASE

50
Inference

In the above table 49% of the respondents told that they look into the mileage of the car
before purchase, 15% look for color, 20% go with the features, 10% on the availability of
spare parts and 6% told the mixed answer

2. Which type of Car is preferred by you?

TABLE: 2 TYPE OF CAR PREFERRED BY CUSTOMERS

Options No of respondent Percentage %

Small cars 38 47%
Luxury cars 24 30%
SUV segment 10 13%
Other 8 10%
Total 80 100%

CHART: 2 TYPE OF CAR PREFERRED BY CUSTOMERS

51
Inference:

47% of the respondents told that they prefer small cars, 30% says luxury cars, 10% says
others and the rest 13% says SUV segment.

3. Which type of Car you would mostly demand?

TABLE: 3 TYPE OF CAR DEMANDED MOSTLY

Options No of respondent Percentage %

That looks stylish 21 26%
That’s comfortable 18 23%
That’s the right size 16 20%
That’s durable 11 14%
That satisfies all the above features 12 15%
Others 2 2%
Total 80 100%

CHART: 3 TYPE OF CAR DEMANDED MOSTLY

52
Inference:

Cars that looks stylish are demanded by 26% of the respondents, that’s comfortable is
demanded by 23%, that’s right size by 20%, That’s durable by 14%, That satisfies all the
above features is demanded by 15% of the respondents and the rest 2% said mixed
answers.

4. Which of the following Car brands would you prefer? And mention the car
you would prefer of that brand?

TABLE: 4 PREFERENCES OVER THE BRANDS

Options No of respondent Percentage %

Maruti 21 26%
Toyota 19 24%
Ford 10 12%
Hyundai 24 30%
Honda 6 8%
Total 80 100%

CHART: 4 PREFERENCES OVER THE BRANDS

53
Inference

30% of them prefer Hyundai, 26% prefer Maruti, 24% of them prefer Toyota and 12%
prefers Ford and 8% prefers Honda.

5. Why do you prefer that particular car?

TABLE: 5 PARTICULAR BRAND PREFERENCES

Options No of respondent Percentage %

Price 36 45%
Space 18 22%
Design 15 19%
Others 11 14%
Total 80 100%

CHART: 5 PARTICULAR BRAND PREFERENCES

54
Inference:

It is clear that 45% go for a particular brand if they are satisfied with the price, 22%
because of space, 19% for design, 14% prefer for other reasons.

6. Which color is the most attractive for cars?

TABLE: 6 COLOR ATTRACTION FOR CARS

Options No of respondent Percentage %

Red 26 33%
Black 29 36%
Ash 13 16%
Electric Blue 10 13%
Other 2 2%
Total 80 100%

CHART: 6 COLOR ATTRACTION FOR CARS

55
Inference:

From the research it is known that 36% of the respondents prefer black color, 33%
preferred color, 16 % prefer ash, and 13% electric blue and the rest 2% told various
colors.

7. Please award your rating to each of the following features highlighted in an

advertisement

TABLE: 7 EXCITING FEATURE OF CAR

Options No of respondent Percentage %

Appearance 23 28%
Brand image 14 17%
Color 10 13%
Design 12 15%
Durability 6 8%
Price 15 18%
Total 80 100%

CHART: 7 EXCITING FEATURE OF CAR

56
Inference: Appearance of the car is the best feature preferred by 28% of the respondents,
brand image of car by 17%, color by 13%, design by 15%, durability by 8% and the price
by 18% of the respondents.

8. What is the mileage you expect from the Car?

TABLE: 8 CARS’ MILEAGE EXPECTATION

Options No of respondent Percentage %

0-5 kms 3 4%
0-10 kms 23 29%
0-15 kms 41 51%
Above 15 13 16%
Total 80 100%

CHART: 8 CARS’ MILEAGE EXPECTATION

57
Inference: From the research it is clear that 51% of the respondents prefer cars giving 0-
15 km mileage, 29% prefers 0-10, and 16% prefers cars with more than 15kms mileage
and the rest 4% between 0-5Kms.

To the four wheeler manufacturers

1. What type of promotional measures would you adopt, which will influence
the customers to purchase a car?

TABLE: 9 PROMOTIONAL MEASURES TO ATTRACT CUSTOMERS

Options No of respondent Percentage %

Price Discounts 2 40%
Contests 1 20%
Free gifts for customers 1 20%
Others 1 20%
Total 5 100%

CHART: 9 PROMOTIONAL MEASURES TO ATTRACT CUSTOMERS

58
Inference: 40% of the respondents feel price discounts attract customers, 20% says it is
contests, 20% says free gifts attract more and the 20%said various answers.

2. What are the major factors that exclusively help a car to stay in market for
long time?

TABLE: 10 SHOWING LONGEVITY FACTOR IN THE MARKET

Options No of respondent Percentage %

Luxury 1 20%
Style 1 20%
Fuel Efficiency 3 60%
Others 0 0
Total 5 100%

CHART: 10 LONGEVITY FACTOR IN THE MARKET

59
Inference: 20% of the respondents feel that it is Luxury that gives longevity for a car in
the market, 20% feels it is style, for 60% it is fuel efficiency.

3. What must induce a customer to buy a particular 4 wheeler brand?

TABLE: 11 FACTORS THAT SHOULD INDUCE THE CUSTOMER

Options No of respondent Percentage %

Interior space 2 40%
Features 1 20%
Mileage 1 20%
Price 1 20%
Brand 0 0
Other 0 0
Total 5 100%

CHART: 11 FACTORS THAT SHOULD INDUCE THE CUSTOMER

60
Inference: 40% of the respondents said that interior space is the major factor that induces
the customers, for 20% it is features in the car, for 20% it is the mileage, for 20% it is the
price

Ad agencies & Experts

1. What are the important factors to be highlighted in four wheeler

advertising?

TABLE: 12 FACTORS TO BE HIGHLIGHTED IN FOUR -WHEELER

ADVERTISING

Options No of respondent Percentage %

Clarity 2 13%
Creative 5 33%
Passionate 3 20%
Attractiveness 4 27%
Others 1 7%
Total 15 100%

CHART: 12 FACTORS TO BE HIGHLIGHTED IN FOUR - WHEELER

ADVERTISING
61
Inference: 13% of the total respondents’ feels that the advertisement of a four wheeler
should have clarity, 33% feels it should have creativity, for 20% it should be passionate,
for 27% it should be attractive and for the rest 7% said mixed answers.

2. What are the factors which must be considered for effective advertising?

TABLE: 13 SHOWING EFFECTIVE FACTOR OF ADVERTISING

Options No of respondent Percentage %

Brand ambassadors 5 33%
Frequency 4 27%
Message 3 20%
Type of Media 1 7%
other 2 13%
Total 15 100%

CHART: 13 EFFECTIVE FACTOR OF ADVERTISING

62
Inference: 33% of the respondents feel that brand ambassadors are the effective factor of
advertisement, for 27% it is the frequency of the advertisement, for 20% it is the message,
for 7% it is the media type selected, and the rest 13% said various responses

3. What strategy must be followed to maintain good support over the market?

TABLE: 14 MARKET SUPPORTING STRATEGY

Options No of respondent Percentage %

Excellent after sales service 9 60%
Update about new brands 2 13%
Providing extra features 3 20%
Other 1 7%
Total 15 100%

CHART: 14 SHOWING MARKET SUPPORTING STRATEGY

63
Inference: 60% feels that after sales service should be excellent, 13% feels there should
be market update about new brands, 20% feels that it is providing extra features, and the
rest 7% says mixed responses.

4. What, as per you should be the main strategy while promoting Cars?

TABLE: 15 PROMOTIONS OF CARS

Options No of respondent Percentage %

Drafting market plans 8 53%
Timely introduction of vehicles 4 27%

Extra features 2 13%

Others 1 7%

Total 15 100%

64
 CHART: 15 PROMOTIONS OF CARS

Inference: 53% of the respondents feel that drafting of marketing plan is the key
promotion factor, 27% feels that it is the timely introduction of the vehicles, 13% feel that
it is the extra features, 7% responded various other answers.

CHAPTER 5
65
 FINDINGS

FINDINGS

To the manufacturers

 In the above table 49% of the respondents told that they look into the mileage of
the car before purchase, 15% look for color, 20% go with the features, 10% on the
availability of spare parts and 6% told the mixed answer
 47% of the respondents told that they prefer small cars, 30% says luxury cars,
10% says others and the rest 13% says SUV segment.
 Cars that looks stylish are demanded by 26% of the respondents, that’s
comfortable is demanded by 23%, that’s right size by 20%, That’s durable by
14%, That satisfies all the above features is demanded by 15% of the respondents
and the rest 2% said mixed answers.
 30% of them prefer Hyundai, 26% prefer Maruti, 24% of them prefer Toyota and
12% prefers Ford and 8% prefers Honda.

66
  It is clear that 45% go for a particular brand if they are satisfied with the price,
22% because of space, 19% for design, 14% prefer for other reasons.
 From the research it is known that 36% of the respondents prefer black color, 33%
preferred color, 16 % prefer ash, and 13% electric blue and the rest 2% told
various colors.
 Appearance of the car is the best feature preferred by 28% of the respondents,
brand image of car by 17%, color by 13%, design by 15%, durability by 8% and
the price by 18% of the respondents.
 From the research it is clear that 51% of the respondents prefer cars giving 0-15
km mileage, 29% prefers 0-10, and 16% prefers cars with more than 15kms
mileage and the rest 4% between 0-5Kms.

To the ad agencies and industry experts:

 40% of the respondents feel price discounts attract customers, 20% says it is
contests, 20% says free gifts attract more and the 20%said various answers.
 20% of the respondents feel that it is Luxury that gives longevity for a car in the
market, 20% feels it is style, for 60% it is fuel efficiency.
 40% of the respondents said that interior space is the major factor that induces the
customers, for 20% it is features in the car, for 20% it is the mileage, for 20% it is
the price
 13% of the total respondents’ feels that the advertisement of a four wheeler should
have clarity, 33% feels it should have creativity, for 20% it should be passionate,
for 27% it should be attractive and for the rest 7% said mixed answers.
 33% of the respondents feel that brand ambassadors are the effective factor of
advertisement, for 27% it is the frequency of the advertisement, for 20% it is the

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 message, for 7% it is the media type selected, and the rest 13% said various
responses
 60% feels that after sales service should be excellent, 13% feels there should be
market update about new brands, 20% feels that it is providing extra features, and
the rest 7% says mixed responses.
 53% of the respondents feel that drafting of marketing plan is the key promotion
factor, 27% feels that it is the timely introduction of the vehicles, 13% feel that it
is the extra features, 7% responded various other answers

Customer Delight:

 Servicing Customers 24*7

 Express Service Bays
 Mega Camps
 Car Safety device
 Service at your Door stop

CHAPTER 6

RECOMMENDATIONS & CONCLUSION

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 RECOMMENDATIONS

In recent days the most of the customers feels that style and the cars which is small and
having large inner space will be the first choice for the customers likewise Maruti
shouldn’t change their approach as they play a major role in Indian market as they should
always focus on the after sales service and also for other like SX4 they should opt for the
Power and style, similarly Chevrolet should always focus on the after sale service and
they always involve family and couple and other manufacturing companies like Hyundai
focus the ads with brand ambassadors they shouldn’t change or opt for any other type of
ads and Tata motors should come out with an innovative ads for Tata Nano

The other major factors are,

After sales service

This is one of the major factor which can make the customers feel the value for their
money. Companies should make sure that they provide good after sale service to their
customers and there problems are rectified as soon as possible. The turnaround time
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should be very less that customers don’t have to wait too long for their problems so to be
solved.

Price

Price also plays a major role. Companies need to place their products in such a way that it
can differentiate itself from others by its price. If price of bike is kept low and more
features are provided to customers than company can create market for itself.

Availability

Products need to be available easily. The cars should be delivered soon at it shouldn’t
take much time otherwise there are plenty of other manufacturing who will take your
share so all the car manufacturing shoes by at their toes because customers doesn’t like
to wait too long for the car. Customers don’t like to travel much to buy cars. They prefer
to get their cars from nearest showrooms so in order to be market leader companies
should make sure that there products are easily available to customers.

Quality

The quality of products should be very good. Today’s customers want value for money if
that is not provided than company will find it difficult to position itself in the market.

 Maruti should start introducing small cars like Maruti Swift in order to
cover the market share of the small and passengers cars and also focus on
the SUV models

 Hyundai should focus with ads with brand ambassadors and also introduce
the luxury vehicles at a affordable price

 More service centers should be opened for all the brands, there are very
few service station

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  Maintenance cost and the availability of the spare parts should also be
given due importance and they should be made available throughout India

 The price should be economic.

 Tata Motors should concentrate on promoting the Tata Nano with

different ad strategy

CONCLUSION

After doing extensive research on two wheelers’ advertising strategies, I would like to
conclude has follows

The major factors which make the customer buy the Car after seeing the advertisement
are:

 Primary factors: After Sales Service and Style & Power

 Secondary factors: Price and other features

In the recent days most of the car manufacturing companies primary factors which they
focus in their advertisements are the Power & Style and also After sales Service they do
not divert from their focus like Maruti always focus on the service station as their primary
objective with few ads which they focus on the power and style like SX4 which shows
their objective as “Men are back” if you see the Hyundai Strategy focus mainly through
sponsorship during the world Cups mainly during the Football World cup and they use
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the brand ambassador like Sharuk Khan for the ads for i10 and Santro Zing in the past
where they primarily focus on the Car style and spin turn where it involves Sharuk Khan
and Preeti Zinta

Other Automobile Industry like Chevrolet always focus on the passengers cars and the
family involvement like they always have the couple in their ads or they focus on the
after sales service which involves the children in their ads and other manufacturing
companies like Ford focus on speed

There is separate ads for the niche market for Volkswagen were they have recently have
made the ads for Indian market

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 BIBLIOGRAPHY

Advertising & Integrated Brand Promotion by O’Guinn.Allen.Semenik

Auto Magazine

WEB:

Source: http://www.business-standard.com/india/news/full-throttle/358471/

http://www.exchange4media.com/e4m/bottombarfiles/Indian-advertising-industry.asp

www.herohonda.com

www.bajaj.com

www.twowheeler.com

www.extrememachines.com

www.tvsmotor.in

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 ANNEXURE

Questionnaire

ADVERTISING STRATEGY OF FOUR WHEELERS

QUESTIONNAIRE

To the Consumers on the whole

1. What does the consumer look for when he purchases a Four-wheeler?

a. Mileage
b. Color
c. Features
d. Price
e. Availability of spare parts
f. Any other (please specify) _______________

2. Which type of Car is preferred by you?

a. Small Car (Family car)

b. Luxury Segment
c. SUV Segment
d. Other (please specify) __________________

3. Which type of Car you would mostly demand?

a. That looks Stylish

b. That’s Luxury
c. That’s Sporty.
d. That’s Durable
e. That satisfies all of the above features

74
 f. Any other (please specify)
g.

4. Which of the following Car brands would you prefer? And mention the car
you would prefer of that brand?

a. Ford b. Hyundai

c. Maruti d. Toyota

e. Honda

5. Why do you prefer that particular car?

a. Price
b. Interior Space
c. Design & Comfort
d. Family Car & Parking space

6. Which color is the most attractive for cars?

a. Red
b. Black
c. White
d. Blue
e. Grey
f. Any other (please specify) ______
g.

7. Please award your rating to each of the following features highlighted in an

advertisement on a scale of one to seven based on which a customer would choose
a particular BRAND. Please SPECIFY THE CAR Brand TOO (1 being the
minimum and 5 being the maximum)

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 Criteria Rank
Appearance
Brand image
Color
Design
Durability
Price
Quality
Safety
Style
Luxury

8. What is the mileage you expect from the Car?

a. 0 to 5 Km
b. 0 to 10 Km
c. 0 to 15Km
d. Above 15

9. How do you rate the following strategies or factors which help four wheelers?

(1 being the minimum and 5 being the maximum)

Factors Rank
Luxury
Maintenance
Look/Shape
Brand Image
Performance
Safety

10. What is the most exciting thing about the Car which comes to your mind and
which will prompt you to recommend it to others?

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 a. Pride of riding b. Status
Symbol

c. Brand Name d.
Others………….

To the Four Wheeler Manufacturer

1. What type of promotional measures would you adopt, which will influence the
customers to purchase a car?

a. Price discounts b. Contests

c. Free gifts for Customers d. Brand Ambassadors

e. Others (Please Specify) ______________

2. What are the major factors that exclusively help a car to stay in market for long
time?

a. Luxury b. Style

c. Safety d. Others (Please Specify)

______________

3. What must induce a customer to buy a particular 4 wheeler brand?

a. Interior Space
b. Features (Comfort & Safety)
c. Mileage
d. Price
e. Brand
f. Any other (Please specify) __________________
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To the Advertising Agency and Industry Experts

1. What are the important factors to be highlighted in four wheeler advertising?

a. Clarity b. Creative

c. Passionate d.
Attractiveness

e. Any Other (Please specify) ____________

2. What are the factors which must be considered for effective advertising?

a. Brand ambassadors b.
Frequency

c. Message d. Type of
Media.

e. Any Other ____________

3. What strategy must be followed to maintain good support over the market?

a. Excellent after sales service b. Update about new brands

c. Providing extra features d. Any Other (Please specify)

____________

4. What, as per you should be the main strategy while promoting Cars?

a. Drafting Marketing Plans b. Timely Introduction of vehicle

78
c. Extra Features d. Any Other (Please specify)
____________

79