Neha Maruti Suzuki

1
SUMMER TRAINING REPORT
ON
SALES AND MARKETING STRATEGY OF MARUTI SUZUKI
Submitted By: Submitted To:
Neha Singh Ms.Nisha Goel
MBA II Year MBA Department
ARYA INSTITUTE OF ENGINEERING &TECHNOLOGY
KUKAS, JAIPUR
2011-2013
2
ACKNOWLEDGEMENT
The bliss and euphoria that accompany the successful completion of any task would not be complete
without the expression of appreciation of simple virtues to the people who made it possible.
I would like to thank to Dr. Manish Jain, Academic Head, Ms.Nisha goel ,Astt. Professor of MBA
Department respectively and all staff members of A.I.E.T. and also to my friends and family for their
excellence support during my work. They were the true driving force behind me throughout, constantly
encouraging me to do my best and inspiring me to aim higher.
Neha Singh
3
PREFACE
The MBA Programme is well structured and integrated course of business studies. The main objective
of practical training at MBA level is to develop skill in student by supplement to the theoretical study of
business management in general. Training helps to gain real life knowledge about the industrial
environment and business practices. The MBA Programme provides student with a fundamental
knowledge of business and organizational functions and activities, as well as an exposure to strategic
thinking of management.
In every professional course, training is an important factor. Professors give us theoretical

knowledge of various subjects in the college but we are practically exposed of such subjects when we
get the training in the organization. It is only the training through which I come to know that what an
industry is and how it works. I can learn about various departmental operations being performed in the
industry, which would, in return, help me in the future when I will enter the practical field. During this
whole training I got a lot of experience.
Training is an integral part of MBA and each and every student has to undergo the training for 2
months in a company and then prepare a project report on the same after the completion of training.
In today's globalize world, where cutthroat competition is prevailing in the market, it is true that
“Experience is best teacher”.
4
EXECUTIVE SUMMARY
Being an MBA aspirant. I was assigned the most relevant title, as regards Summer Training
project ,on “ Sales and marketing strategy of Maruti Suzuki” To executive the assigned task, I
had to know about the car segment and made my customer aware about Maruti’s product or
to convince them that they have made the right choice. To fulfil this purpose I got a detailed
about the products of Maruti Suzuki and learn about their features and specially so that I can
do my task easily.
Maruti Suzuki India Limited, a subsidiary of Suzuki Motor Corporation of japan, has been the
leader of the Indian car market for over two decades. Maruti Udyog Limited (MUL) was
established in February 1981,through the actual production commenced in 1983 with the
Maruti 800, based on the Suzuki Alto kei car which at the time was the only modern car
available in India, it’s only competitors the Hindustan Ambassador and premier padmini ware
both around 25 years out of date at the point. It is the market leader in India and on 17
September 2007, Maruti Udyog was renamed Maruti Suzuki India Limited, the company
headquarter is in GURGAON, HARYANA.
 Maruti has a network of 391 sales outlets across 230 cities all over India. The service
network covers 1220 towns and cities, bolstered by 2,628 authorised service outlets.
 The company’s change in strategy and emphasis on developing effective marketing
communication was their highlight.
 Chairman
 CEO
 The sales figure in 1993 reached up to 1,96,80 vehicles.
 The company produced one million vehicles’ in March 1994.
“the first Indian company to across this milestone”
 Maruti Suzuki has sold 1018365 vehicles in 2010-11, an increase of 28.6% Compared to
792167 vehicles sold in 2009-10. Their Sales in the domestic market during 2010 was
95123.
 Wagon R and Ritz were ranked first and thired in the premimum compact segment.
 Maruti is clearly an “Employer of choice” for automotive engineers and young manager
from across the country.
5
INTRODUCTION OF AUTOMOBILE INDUSTRY
The automotive industry designs, develops, manufactures, markets, and sells motor
vehicles, and is one of the world's most important economic sectors by revenue. The term
automotive industry usually does not include industries dedicated to automobiles after delivery
to the customer, such as repair shops and motor fuel filling stations.
About 250 million vehicles are in use in the United States. Around the world, there were about
806 million cars and light trucks on the road in 2007, consuming over 260 billion gallons of
gasoline and diesel fuel yearly. In the opinion of some, urban transport systems based around
the car have proved unsustainable, consuming excessive energy, affecting the health of
populations, and delivering a declining level of service despite increasing investments. Many of
these negative impacts fall disproportionately on those social groups who are also least likely
to own and drive cars. The sustainable transport movement focuses on solutions to these
problems.
The Detroit branch of Boston Consulting Group predicts that, by 2014, one-third of world
demand will be in the four BRIC markets (Brazil, Russia, India and China). Other potentially
powerful automotive markets are Iran and Indonesia.
In the year 1769, a French engineer by the name of Nicolas J. Cugnot invented the first
automobile to run on roads. This automobile, in fact, was a self-powered, three-wheeled,
military tractor that made the use of a steam engine. The range of the automobile, however,
was very brief and at the most, it could only run at a stretch for fifteen minutes. In addition,
these automobiles were not fit for the roads as the steam engines made them very heavy and
large, and required ample starting time. Oliver Evans was the first to design a steam engine
driven automobile in the U.S.
HISTORY OF AUTOMOBILE INDUSTRY
The first practical automobile with a petrol engine was built by Karl Benz in 1885 in Mannheim,
Germany. Benz was granted a patent for his automobile on 29 January 1886, and began the
first production of automobiles in 1888, after Bertha Benz, his wife, had proved with the first
long-distance trip in August 1888 (from Mannheim to Pforzheim and back) that the horseless
6
coach was absolutely suitable for daily use. Since 2008 a Bertha Benz Memorial Route
commemorates this event.
Soon after, Gottlieb Daimler and Wilhelm Maybach in Stuttgart in 1889 designed a vehicle from
scratch to be an automobile, rather than a horse-drawn carriage fitted with an engine. They
also are usually credited as inventors of the first motorcycle, the Daimler Reitwagen, in 1885,
but Italy's Enrico Bernardi, of the University of Padua, in 1882, patented a 0.024 horsepower
(17.9 W) 122 cc (7.4 cu in) one-cylinder petrol motor, fitting it into his son's tricycle, making it at
least a candidate for the first automobile, and first motorcycle; Bernardi enlarged the tricycle in
1892 to carry two adults.
AUTOMOBILE INDUSTRY IN INDIA
With a scintillating 2.3 million units produced in 2008 the Indian automobile industry bagged
the position of being the ninth largest in the world. Following economic liberalization, Indian
domestic automobile companies like Tata Motors Maruti Suzuki and Mahindra and Mahindra
expanded their production and export operations in and across the country and since then the
industry has only shown signs of growth. The automobile industry comprises of heavy vehicles
(trucks, buses, tempos, tractors), passenger cars, and two-wheelers.
The Indian automobile industry seems to come a long way since the first car that was
manufactured in Mumbai in 1898. The automobile sector today is one of the key sectors of the
country contributing majorly to the economy of India. It directly and indirectly provides
employment to over 10 million people in the country. The Indian automobile industry has a well
established name globally being the second largest two wheeler market in the world, fourth
largest commercial vehicle market in the world, and eleventh largest passenger car market in
the world and expected to become the third largest automobile market in the world only behind
USA and China.
The growth of the Indian middleclass along with the growth of the economy over the last few
years has resulted in a host of global auto giants setting their foot inside the Indian Territory.
Moreover India also provides trained manpower at competitive costs making the country a
manufacturing hub for many foreign automobile companies. India proves to be a potential
7
market as compared to most of the other countries which are witnessing stagnation as far as
automobile industry growth is concerned.
A recent research conducted by the global consultancy firm Deloitte says that at least one
Indian automobile company will feature among the top six automobile companies that will
dominate the car market by 2020.
Key automobile manufactures in India
 Maruti Udyog
 General Motors
 Ford India Limited
 Eicher Motors
 Bajaj Auto
 Daewoo Motors india
 Hero Motors
 Hindustan Motors
 Hyundai Motors India Limited
 Royal Enfield Motors
 Telco
 TVS Motors
 DC Designs
 Swaraj Mazda Limited
Indian Automobile Industry Growth 2009
Gaining from Government stimulus packages, more demands and lower interest rates on
automobile loans the Indian automobile industry witnessed a phenomenal growth of 26.41 per
cent in the year 2009. Segment wise cars posted a growth of 25.10 percent and two wheelers
sales grew by 26 percent. The year 2009 actually turned out to be one of the best years in the
history of the automobile industry in India. If the trend continues the same way then Indian will
soon become the second fastest growing automobile market in the world only afterChina.
8
Domestic Market Share for 2010 - 2011
Automobiles Market Share

Passenger Cars 15.86 %
Commercial Vehicles 4.32 %
Two Wheelers 3.58 %
Two Wheelers 76.23 %
Exports
India has emerged as a leading center for the manufacture of small cars. Hyundai, the biggest
exporter from the country, now ships more than 250,000 cars annually from India. Apart from
shipments to its parent Suzuki, Maruti Suzuki also manufactures small cars for Nissan, which
sells them in Europe. Nissan will also export small cars from its new Indian assembly line. Tata
Motors exports its passenger vehicles to Asian and African markets, and is in preparation to
launch electric vehicles in Europe in 2010. The firm is also planning to launch an electric
version of its low-cost car Nano in Europe and the U.S. Mahindra & Mahindra is preparing to
introduce its pickup trucks and small SUV models in the U.S. market. Bajaj Auto is designing a
low-cost car for the Renault Nissan Automotive India, which will market the product worldwide.
Renault Nissan may also join domestic commercial vehicle manufacturer Ashok Leyland in
another small car project.While the possibilities are impressive, there are challenges that could
thwart future growth of the Indian automobile industry. Since the demand for automobiles in
recent years is directly linked to overall economic expansion and rising personal incomes,
industry growth will slow if the economy weakens.
Foreign automotive companies in India

 BMW India 3 Series, 5 Series, X1.
 Fiat India (in collaboration with Tata Motors): Grande Punto, Linea.
 Ford India: Figo, Fiesta Classic, Fiesta, Endeavour.
9
 General Motors India

 Chevrolet: Spark, Beat, Aveo U-VA, Aveo, Optra, Cruze, Tavera.
 Honda Siel ; Jazz, City, Civic, Accord.
 Hyundai Motor India: Santro, i10, i20, Accent, Verna, Sonata Transform.
 Land Rover: Freelander 2
 Maruti Suzuki: 800, Alto, WagonR, Estilo, A-star, Ritz, Swift, Swift DZire, SX4, Omni,
Eeco, Gypsy.
 Mercedes-Benz India: C-Class, E-Class.
 Mitsubishi (in collaboration with Hindustan Motors):[81] Lancer, Lancer Cedia, Pajero
 Nissan Motor India: Micra.
 Renault India: Fluence
 Toyota Kirloskar: Etios Liva Etios, Corolla Altis, Innova, Fortuner.
 Volkswagen Group Sales India:
 Audi India: A4, A6, Q5.
 Škoda Auto India: Fabia, Laura, Superb, Yeti.
 Volkswagen India: Polo, Vento, Jetta, Passat.
COMMERCIAL VEHICLE MANUFACTURERS IN INDIA
Indian brands
 Force
 Hindustan Motors
 Premier
 Tata
 AMW
 Eicher Motors
 Ashok leyand
10
ELECTRIC CAR MANUFACTURERS IN INDIA
 Ajanta Group
 Mahindra
 Hero Electric
 REVA
 Tara International
 Tata
Automobile Dealers Network in India
In terms of Car dealer networks and authorized service stations, Maruti leads the pack with
Dealer networks and workshops across the country. The other leading automobile
manufactures are also trying to cope up and are opening their service stations and dealer
workshops in all the metros and major cities of the country. Dealers offer varying kind of
discount of finances who in tern pass it on to the customers in the form of reduced interest
rates
11
INTRODUCTION OF THE ROHAN MOTORS LTD
Mission
Customer comes first and everything we do is to meet our customer needs. To set up
processes and build people who are able to work in synergy to achieve the highest level of
customer satisfaction before and after sale and create a customer for lifetime.
Placing customer satisfaction first, Integrating sales with service and service parts in a single
convenient location, we contribute to speedy and efficient service, allowing customers to
experience the convience and pleasure of owning Maruti automobile.
OUR MOTTO
“Your friend for life” and we fully believe in this motto and we can assure the same to you. I
assure you that your experience with us will be fruitful and enjoyable. You will have no regret in
your mind after dealing with Rohan Motors.
Rohan Motors Ltd. was established in 1988, serving their valuable customer from 21 years
Total Strength : 1200 plus
Sales per Year : 14500 plus
Service per Year : 125000 plus
Accessories sold per month : 45 Lacs

12
Spare parts used per month : 1.5 Crore
Facilities
Whether its sale, service and spares, everything is available under one roof at Rohan. Having
made a mark through five big showrooms, Rohan is pioneer in the Maruti cars. In Noida,
Greater Noida, Ghaziabad, Mathura Road, Dehradun and Palwal, Rohan has been catering to
valuable customers for last 21 years. At Rohan, we have created a working environment with a
dedicated team in sales, service and spares with the infrastructure in 3S (Sales, Service and
Spares) at all locations.
Service
In service also, Rohan is a known name with robust relationship with scores of customers.
Body shop/Workshop: We have 6 workshops and body shops which are fully furnished and
fully equipped. We have various branches across India.
Customer
It’s the faith and trust that remains for the first as well as the customer who comes at Rohan for
the next time.
Infrastructure
We have state-of-the-art infrastructure which deliver best service in the industry. Also, we have
trained and experienced manpower to fix even the tough cases.
Management team
Mukesh Tyagi
GM – Ops (Gr. Noida)
63A, Udyog Vihar, Greater Noida.
Phone: (0120) 4513700
13
Sales
 Buy online
 Finance schemes
 Accessories
Services
 Integrated Workshop
 CNG Fitment
 Insurance Offers
 True Value
 Service Support
Maruti Cares
 Troubleshooting
 Fuel Efficiency
 Road Safety
INTRODUCTION OF THE COMPANY
Maruti Suzuki is India’s number one leading automobile manufacturer and the market leader in
the car segment, both in terms of volume of vehicles sold and revenue earned. Until recently,
18.28% of the company was owned by the Indian government, and 54.2% by Suzuki of Japan.
The BJP-led government held an initial public offering of 25% of the company in June 2003. As
of 10 May 2007, Govt. of India sold its complete share to Indian financial institutions. With this,
Govt. of India no longer has stake in Maruti Udyog.
Maruti Suzuki India Limited - a partial subsidiary of Suzuki Motor Corporation of Japan, is
India's largest passenger car company, accounting for over 45% of the domestic car market.
14
The company offers a complete range of cars from entry level Maruti 800 and Alto, to
hatchback Ritz, A star, Swift, Wagon-R, Estillo and sedans DZire, SX4 and Sports Utility
vehicle Grand Vitara.
It was the first company in India to mass-produce and sell more than a million cars. It is largely
credited for having brought in an automobile revolution to India. It is the market leader in India
and on 17 September 2007, Maruti Udyog Limited was renamed Maruti Suzuki India Limited.
The company's headquarters are located in New Delhi
Maruti Udyog Limited (MUL) was established in February 1981, though the actual production
commenced in 1983 with the Maruti 800, based on the Suzuki Alto kei car which at the time
was the only modern car available in India, its only competitors- the Hindustan Ambassador
and Premier Padmini were both around 25 years out of date at that point. Through 2004,
Maruti Suzuki has produced over 5 Million vehicles. Maruti Suzukis are sold in India and
various several other countries, depending upon export orders. Models similar to Maruti
Suzukis (but not manufactured by Maruti Udyog) are sold by Suzuki Motor Corporation and
manufactured in Pakistan and other South Asian countries.
The company annually exports more than 50,000 cars and has an extremely large domestic
market in India selling over 730,000 cars annually. Maruti 800, till 2004, was the India's largest
selling compact car ever since it was launched in 1983. More than a million units of this car
have been sold worldwide so far. Currently, Maruti Suzuki Alto tops the sales charts and Maruti
Suzuki Swift is the largest selling in A2 segment.
Due to the large number of Maruti 800s sold in the Indian market, the term "Maruti" is
commonly used to refer to this compact car model ("Maruti" is another name of the Hindu god,
Hanuman).
Maruti Suzuki has been the leader of the Indian car market for over two decades.
Its manufacturing facilities are located at two facilities Gurgaon and Manesar south of Delhi.
Maruti Suzuki’s Gurgaon facility has an installed capacity of 350,000 units per annum. The
Manesar facilities, launched in February 2007 comprise a vehicle assembly plant with a
capacity of 100,000 units per year and a Diesel Engine plant with an annual capacity of
15
100,000 engines and transmissions. Manesar and Gurgaon facilities have a combined
capability to produce over 700,000 units annually.
More than half the cars sold in India are Maruti Suzuki cars. The company is a subsidiary of
Suzuki Motor Corporation, Japan, which owns 54.2 per cent of Maruti Suzuki. The rest is
owned by public and financial institutions. It is listed on the Bombay Stock Exchange and
National Stock Exchange in India.
During 2007-08, Maruti Suzuki sold 764,842 cars, of which 53,024 were exported. In all, over
six million Maruti Suzuki cars are on Indian roads since the first car was rolled out on 14
December 1983.
Maruti Suzuki offers 14 models, Maruti 800, Alto, WagonR, Estilo, A-star, Ritz, Swift, Swift
DZire, SX4, Omni, Eeco, Gypsy, Grand Vitara, Kizashi. Swift, Swift DZire, A-star and SX4 are
manufactured in Manesar, Grand Vitara and Kizashi are imported from Japan as completely
built units(CBU), remaining all models are manufactured in Maruti Suzuki's Gurgaon Plant.
Suzuki Motor Corporation, the parent company, is 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.
Nearly 75,000 people are employed directly by Maruti Suzuki and its partners. It has been
rated first in customer satisfaction among all car makers in India from 1999 to 2009 by J D
Power Asia Pacific.
16
RESEARCH METHODOLOGY
TITLE OF THE STUDY

My title of the study “ SALES AND MARKETING STRATEGY OF MARUTI SUZUKI”
DURATION OF THE PROJECT

My duration of the project was 45 days.
OBJECTIVES OF THE STUDY
The main objective of the study is to recognize the sales and marketing stategy of Maruti
Suzuki . Special challenges that must be identified and addressed:
• To know the segmentation and sales trend of Maruti Suzuki.

Along with this we are trying to assess company’s performance compared with that of the
competition..
• To know the way Maruti has segmented its cars
• To know the areas in which the dealers satisfy their customer and the areas that they do not
satisfy.
• To come out with the conclusion and recommendations based on the analysis and
interpretation.
TYPES OF RESEARCH
A Research Methodology defines the purpose of the research, h o w it

p r o c e e d s , h o w t o m e a s u r e p r o g r e s s a n d w h a t c o n s t i t u t e success
with respect to the objectives determined for carrying out the research study.The
appropriate research design formulated is detailed below.
17
Exploratory research:
T h i s k i n d o f r e s e a r c h h a s t h e p r i m a r y objective of development of
insights into the problem. It studies the m a i n a r e a w h e r e t h e p r o b l e m
l i e s a n d a l s o t r i e s t o e v a l u a t e s o m e appropriate courses of action.
 The research methodology for the present study hasb e e n a d o p t e d t o r e f l e c t

t h e s e r e a l t i e s a n d h e l p r e a c h t h e l o g i c a l conclusion in an objective and
scientific manner.The present study contemplated an exploratory research
NATURE OF DATA
 Secondary data:
secondary data that is already available and p u b l i s h e d . i t c o u l d b e i n t e r n a l a n d
e x t e r n a l s o u r c e o f d a t a . I n t e r n a l source: which originates from the specific field or
area where researchis carried out e.g. publish broachers, official reports etc.
 External source:
This originates outside the field of study like books, periodicals, journals, newspapers
and the Internet.
 DATA COLLECTION
Secondary data has been used which is collected
t h r o u g h articles, reports, journals, magazines, newspapers reports prepared byresearch
scholars, universities and internet.
18
MARKET SCENERIO (2010-2011)
mahindra, 1.8 GM, 3.2 others, 2.9

maruti suzuki
ford, 2.4
Honda, 4.2 Tata motors
maruti suzuki, Hyundai
Hyundai, 25.5 47.3
Honda
ford
mahindra
GM
Tata motors, others
12.17
The company vouches for customer satisfaction. For its since efforts it has been rated (by
customer) first in customer satisfaction among all car market in India for the ten year in row in
annual survey.
Maruti Suzuki India Limited , a subsidiary of Suzuki Motor Corporation of Japan, has been the
leader of the Indian car market for over two decades.During 2009-2010 Maruti Suzuki sold
10,18365 were export in May
MARKET SEGMENTATION OF MARUTI SUZUKI
Market segmentation is a concept in economics and marketing. A market segment is a sub-set

of a market made up of people or organizations with one or more characteristics that cause
them to demand similar product and/or services based on qualities of those products such as
price or function. A true market segment meets all of the following criteria: it is distinct from
other segments (different segments have different needs), it is homogeneous within the
segment (exhibits common needs); it responds similarly to a market stimulus, and it can be
reached by a market intervention. The term is also used when consumers with identical
product and/or service needs are divided up into groups so they can be charged different
amounts for the services. The people in a given segment are supposed to be similar in terms
of criteria by which they are segmented and different from other segments in terms of these
19
criteria. These can be broadly viewed as 'positive' and 'negative' applications of the same idea,
splitting up the market into smaller groups.
Markert segmentation
1-geographic segmentation
Geographic segmentation tries to divide markets into different geographical units: these units
include:
• Regions: e.g. in the UK these might be England, Scotland, Wales Northern Ireland or (at a
more detailed level) counties or major metropolitan areas
• Countries: perhaps categorised by size, development or membership of geographic region
• City / Town size: e.g. population within ranges or above a certain level
• Population density: e.g. urban, suburban, rural, semi-rural
• Climate: e.g. Northern, Southern
Geographic segmentation is an important process - particularly for multi-national and global

businesses and brands. Many such companies have regional and national marketing
programmes which alter their products, advertising and promotion to meet the individual needs
of geographic units.
2- Demographic segmentation consists of dividing the market into groups based on

variables such as age, gender family size, income, occupation, education, religion, race and
nationality.
As you might expect, demographic segmentation variables are amongst the most popular
bases for segmenting customer groups.
This is partly because customer wants are closely linked to variables such as income and age.
Also, for practical reasons, there is often much more data available to help with the
demographic segmentation process.
20
3- P s y c h o g r a p h i c s e g m e n t a t i o n
Psychographic segmentation is sometimes also referred to as behavioural
segmentation.This type of segmentation divides the market into groups according
to customers’lifestyles.
It considers a number of potential influences on buying behaviour, including the attitudes,
expectations and activities of consumers. If these are known, then products and marketing
campaigns can be customised so that they appeal more specifically to customer motivations .
4-Behavioural Segmentation
Refers to why people purchase a product or service. Behavioural segmentation can be broken
down into thebenefit a consumer seeks from purchasing a product. How will the product
enhance their overall lifestyle. When purchasing a computer the benefit sought maybe of
‘ease of use’ to the ‘need for speed’. Occasion is another variable. When should a product be
purchased? The demand for turkeys increases during Christmas, flowers and chocolates on
mothers day and so on. Occasion segmentation aims to increase the ‘reason to buy
factor’and thus increase sales. Usage rate divides customers into light, medium and heavy
users. Heavy users obviously contribute more to turnover then light or medium users, the
objective of an organisation should be to attract heavy users who will make a greater
contribution to company sales.
MARUTI SEGMENTATION CAR
A1 Maruti 800,Alto
A2 Zen,Wagon R,A-star
A3 Swift,Ritz,Dizire,SX4
V Eeco,Omini
Utility vehicle Gypsy king

Utility vehicle Grand Vitara
Table :2 Maruti segmentation

21
MARKETING MIX
Putting the right product in the right place, at the right price, at the right time.
It's simple! You just need to create a product that a particularly group of people want, put it on
sale some place that those same people visit regularly, and price it at a level which matches
the value they feel they get out of it; and do all that at a time they want to buy. Then you've got
it made!
There's a lot of truth in this idea. However, a lot of hard work needs to go into finding out what
customers want, and identifying where they do their shopping. Then you need to figure out
how to produce the item at a price that represents value to them, and get it all to come
together at the critical time.
But if you get just one element wrong, it can spell disaster. You could be left promoting a car
with amazing fuel-economy in a country where fuel is very cheap; or publishing a textbook
after the start of the new school year, or selling an item at a price that's too high – or too low –
to attract the people you're targeting.
The marketing mix is a good place to start when you are thinking through your plans for a
product or service, and it helps you avoid these kinds of mistake.
Understanding the Tool
The marketing mix and the 4 Ps of marketing are often used as synonyms for each other. In
fact, they are not necessarily the same thing.+
.3
"Marketing mix" is a general phrase used to describe the different kinds of choices
organizations have to make in the whole process of bringing a product or service to market.
The 4 Ps is one way – probably the best-known way – of defining the marketing mix, and was
first expressed in 1960 by E J McCarthy.
The 4Ps are:

 Product (or Service)
 Place
 Price
 Promotion
22
A good way to understand the 4 Ps is by the questions that you need to ask to define you
marketing mix. Here are some questions that will help you understand and define each of the
four elements:
Product/Service
 What does the customer want from the product/service? What needs does it satisfy?
 What features does it have to meet these needs?

 Are there any features you've missed out?
 Are you including costly features that the customer won't actually use?
 How and where will the customer use it?
 What does it look like? How will customers experience it?
 What size(s), color(s), and so on, should it be?
 What is it to be called?
 How is it branded?
 How is it differentiated versus your competitors?
 What is the most it can cost to provide, and still be sold sufficiently profitably? (See also
Price, below).
Place
 Where do buyers look for your product or service?
 If they look in a store, what kind? A specialist boutique or in a supermarket, or both? Or

online? Or direct, via a catalogue?
 How can you access the right distribution channels?
 Do you need to use a sales force? Or attend trade fairs? Or make online submissions?
Or send samples to catalogue companies?
 What do you competitors do, and how can you learn from that and/or differentiate?
23
Price
 What is the value of the product or service to the buyer?
 Are there established price points for products or services in this area?
 Is the customer price sensitive? Will a small decrease in price gain you extra market
share? Or will a small increase be indiscernible, and so gain you extra profit margin?
 What discounts should be offered to trade customers, or to other specific segments of

your market?
 How will your price compare with your competitors?
Promotion
 Where and when can you get across your marketing messages to your target market?
 Will you reach your audience by advertising in the press, or on TV, or radio, or on
billboards? By using direct marketing mailshot? Through PR? On the Internet?
 When is the best time to promote? Is there seasonality in the market? Are there any
wider environmental issues that suggest or dictate the timing of your market launch, or
the timing of subsequent promotions?
 How do your competitors do their promotions? And how does that influence your choice
of promotional activity?
MARUTI (SEDAN)
Popular Maruti sedan car prices range from cars at abit above rupese four lakhs forty thousnd
to cars at a bit below rupese five lakhs thus covering middle class and lower middle classs
segment and catring the need of these segment. These sedans include.
24
Maruti SX4 (Sedan)
This is a premier Sedan presentation from Maruti's stable in the A3 segment. This is
essentially an inline with competition car to take on the leader in this segment Honda City. With
its accentuated masculine features, Maruti boasts that it is the tallest, widest and the roomiest
car in its segment. The Sx4 with its petrol variants targets the middle class consumer with car
prices between rupees seven and eight lakhs.
Maruti (SUV)
Popular Maruti SUV car prices range from a bit above rupees five lakhs to a bit below rupees
seventeen lakhs, including
Maruti Gypsy (SUV)
The Maruti Gypsy is an all terrain Sports Utility Vehicle (SUV) that is specially designed for
Indian conditions. Available in three different versions, hard top, soft top, and ambulance, it
can take on any terrain be it the hills, desert, snow, or even congested city driving conditions. It
is the preferred vehicle of adventure seeking youth in India. At the same time, it is the standard
transportation vehicle of the police and Indian paramilitary forces. Maruti (SUV) The Gypsy
with its petrol variants targets the middle class consumer with Maruti SUVs between rupees
25
five and six lakhs. Gypsy variants include
Maruti Grand Vitara (SUV)
The Grand Vitara is Maruti's entry into the luxury SUV segment. This SUV is distinctively
designed with imposing front grills to lend a strong measure of audacity to the imposing
forward stance. Additionally the flared wheel arches take in extra strong tyres to counter any
type of terrain. The stronger R16 tyres are a useful asset during congested city drives. The
Grand Vitara with its petrol variants targets the middle class consumer with Maruti SUVs
between rupees fifteen and seventeen lakhs. Grand Vitara variants include
Maruti (VAN)
Popular van car prices range from Maruti vans at a bit above rupees two lakhs twenty five
thousand to Maruti vans at a bit above rupees two lakhs fifty thousand. van models include
Maruti Omni (VAN)

26
The Omni is a multi utility van for use in business as well as in the family. The Omni is just right
vehicle to use within the city. It offers a turning radius of just 4.1 m, negotiating this vehicle in
tight lanes and congested traffic is an easy job for the driver. There is a lot of space for nearly
every family requirement. It is ideal for individuals who require travel long distances or take
their family members for a holiday. The Omni with its petrol variants targets the middle class
consumer with van car prices between rupees two and three lakhs. Omni variants include
Maruti (Hatchback)
Popular Maruti hatchback car prices range from Maruti hatchback cars at a bit above rupees
two lakhs to a bit below rupees six lakhs. Maruti hatchback models include
Maruti 800 (Hatchback)
It is the most compact car available in the Indian market. It is also dubbed as the people's car
after the efforts of erstwhile Prime Minister Rajiv Gandhi. For many years, it was India's largest
selling car. The Maruti 800 with its petrol variants targets the middle class consumer with
Maruti car prices between rupees two and two lakhs fifty thousand. Maruti 800 variants
include
27
Maruti Alto (Hatchback)
The Maruti Alto has overtaken the Maruti 800 as the most popular car in the Indian Market.
The Alto comes with great looks and a superior feel, yet with the economy and easiness of the
Maruti 800. Maruti (Hatchback) The Maruti Alto with its petrol variants targets the middle class
consumer with car prices between rupees two lakhs fifty thousand and three lakhs fifty
thousand. Alto variants include
Maruti Zen Estillo (Hatchback)
The Zen is now called the Zen Estillo, which is Spanish for style. The new Zen Estillo has a
perfect aerodynamic shape and a unique bean shaped body. The Zen with its petrol variants
targets the middle class consumer with prices between rupees three lakhs and four lakhs. Zen
variants include
28
Maruti Swift (Hatchback)
The Maruti Swift is a new kind of low slung, wide body compact car that is a bit European but a
lot more Japanese. Maruti has included a load of features on the exterior as well as the interior
to give this car a sense of flawlessness and excellence in looks and performance. The Swift
has more room and more aesthetic looks than any other car in the compact segment. The
Maruti Swift with its petrol variants targets the middle class consumer with prices between
rupees four lakhs and six lakhs. Swift variants include
Maruti (Wagon R)
Popular Maruti models range in price from a bit above rupees three lakhs to a bit below rupees
five lakhs, including
Maruti WagonR (Wagon)
The Wagon R is yet another stunning family car from Maruti's stable. Although it comes with a boxy
van-like look and posterior, the Wagon R has an exterior that makes every one stand and notice its
presence. The curves and lines of the exterior designing add to the beauty of the vehicle. The Wagon R
with its petrol and LPG variants targets the middle class consumer with prices between rupees four
lakhs and five lakhs. WagonR variants include
HEAD OFFICE OF MARUTI SUZUKI

29
Maruti Suzuki India Limited

Nelson Mandela Road,
Vasant Kunj,
New Delhi-110070
Board no.46781000
Fax : 46150275 and 4615027
PLANT OF MARUTI SUZUKI
Maruti Suzuki has two state-of-the-art manufacturing facilities in India. The first facility is at
Gurgaon spread over 300 acres and the other facility is at Manesar, spread over 600 acres in
North India
The Gurgaon Facility

30
Its manufacturing facilities are located at two facilities Gurgaon and Manesar south of Delhi.
Maruti Suzuki’s Gurgaon facility has an installed capacity of 350,000 units per annum. The
Manesar facilities, launched in February 2007 comprise a vehicle assembly plant with a
capacity of 100,000 units per year and a Diesel Engine plant with an annual capacity of
100,000 engines and transmissions. Manesar and Gurgaon facilities have a combined
capability to produce over 700,000 units annually.
Maruti Suzuki has two state-of-the-art manufacturing facilities in India. The first facility is at
Gurgaon spread over 300 acres and the other facility is at Manesar, spread over 600 acres in
North India.
Maruti Suzuki's facility in Gurgaon houses three fully integrated plants. Together the three
plant have an installed capacity of around 700,000 units.
.
K Series Plant
The Gurgaon facilities also houses the ‘K’ Engine Plant. Commissioned in 2008, the K-
series engine plant has an installed capacity of 500,000 units.
K-series engines are available in 1 litre and 1.2 litre capacities. The highly fuel efficient,
technologically advanced K series engines have been very well appreciated by our
customers for their performance.
31
Several Maruti Suzuki cars such as the A-star, Estilo, Swift, Swift Dzire, Ritz and WagonR
sport the K-series engines.
Company has announced an investment of around Rs. 12500 crores to expand engine
capacity by 250,000 units by 2010.
The Manesar Facility
The state of the art Manesar facility was inaugurated in February 2007.
At present the Manesar plant rolls out World Strategic Models Swift, A-star, SX4 and
swift DZire.
There is a high degree of automation and robotic control in the press shop, weld shop
and paint shop to help manufactur with acute precision, high quality and speed. The
Manesar plant is designed to be flexible: diverse car models can be made here
conveniently owing to automatic tool changers, centralized weld control system and
numerical control machines that ensure high Quality.
The plant at Manesar is the company's fourth car assembly plant and has a capacity
of 300,000 cars per year. Company has announced an investment of Rs.1700 crores
32
to expand its capacity by 250,000 units by 2010.
Suzuki Powertrain
Suzuki Powertrain India Limited is a joint venture of Maruti Suzuki with Suzuki
Motor Corporation, Japan.at Manesar. It manufactures world class diesel engines
and transmissions for cars.
SMC holds 70 per cent equity in SPIL the rest is held by Maruti Suzuki.
This diesel engine plant has a capacity to manufacture 300,000 diesel engines a
year.
Maruti Suzuki offers 14 models, Maruti 800, Alto, WagonR, Estilo, A-star, Ritz, Swift, Swift
DZire, SX4, Omni, Eeco, Gypsy, Grand Vitara, Kizashi. Swift, Swift DZire, A-star and SX4 are
manufactured in Manesar, Grand Vitara and Kizashi are imported from Japan as completely
built units(CBU), remaining all models are manufactured in Maruti Suzuki's Gurgaon Plant
PRODUCT AND SERVICE OF THE COMPANY AND FEATURES
Sales figure in the year 1993 has reached up to 1,96,820. Maruti comes in a variety of models
in the 800 segment. Its cars operate on Japanese technology, pliable to Indian conditions and
Indian car users. By the year 1998-99, the company has modernize the existing facilities and
expand its capacity by 1,00,000 units.
Recently to ward off the growing competition, Maruti has completed Rs. 4 billion expansion
project at the current site, which has raised the total production capacity to over 3,20,000
33
vehicles per annum. With the coming of each and every year, the total production of the
company exceed by 4,00,000 vehicles.
In the small car segment it produces the Maruti 800 and the Zen. The big car segment includes
the Maruti Esteem and the Maruti 1000. Along with them, the company also manufactures
Maruti Omni. Other models includes Wagon R and the Baleno.
Headquarter in Gurgaon, on 17 September 2007, Maruti Udyog was renamed to Maruti Suzuki
India Limited. Both in terms of volume of vehicles sold and revenue earned, the company is
India's leading automobile manufacturers and the market leader in the car segment. Sales
recorded in June 2010, is Rs.
4,753.58 crores.
A1 Maruti 800,Alto
A2 Zen,Wagon R,A-star
A3 Swift,Ritz,Dizire,SX4
V Eeco,Omini
Utility vehicle Gypsy king
Utility vehicle Grand Vitara
Product portfolio
1. 800 (Launched 1983)

2. Omni (Launched 1984)
3. Gypsy (launched 1985)
4. WagonR (Launched 2009)
5. Alto (Launched 2000)
6. Swift (Launched 2005)
7. Estilo (Launched 2009)
8. SX4 (Launched 2007)
9. Swift DZire (Launched 2008)
10. A-star (Launched 2008)
11. Ritz (Launched 2009)
12. Eeco (Launched 2010)
13. Alto K10(Launched 2010)
34
[Imported
Grand Vitara (Launched 2007)
Kizashi (Launched 2011)
FEATURES OF PRODUCT..........
Maruti Alto
Until the late 2010 introduction of the K10 Alto, it was powered by a three-cylinder 796 cc
gasoline engine with 4 valves per cylinder, MPFI and a 32bit ECM. All models have a five-
speed manual transmission. There also used to be a VX/VXi model with a 4-cylinder 1,061 cc
engine (64 bhp/80 Nm torque) launched in April 2001. This has now been discontinued,
although it is still sold in certain European countries. The VX model also featured a tachometer
not found in lesser Altos.
800 cc Alto:
 Maximum Power: 47 PS (35 kW) at 6,200 rpm

 Torque: 62 N·m (46 ft·lbf) at 3,000 rpm
 Acceleration 0–100 km/h: approximately 20 seconds
 Top Speed: 137 km/h (85 mph)
.
Maruti Alto with K Series Engine
Maruti Suzuki has launched a new version of Maruti Alto in the Indian auto market in August
2010. The new Maruti Alto K10 is equipped with the company's 1.0 L, K-series petrol engine
35
which also currently powers the A-Star and Wagon R. The K10B engine delivers 68 PS
(50 kW) of maximum power at 6,200 rpm with 90 Nm of maximum torque at 3,200 rpm. 0–
100 km/h is possible in 13.33 seconds. The company's senior official said that they have no
plans to discontinue the previous version with the launch of Maruti Alto.
Maruti SX4.......
Technical specifications of Maruti SX4
Engine details: 1.6L, In-Line Engine, DOHC, 4-cyl. Variable Valve Timing (VVT
Maximum Power: 104.68 Ps @ 5600 rpm
Maximum Torque: 145 Nm @ 4,100 rpm
No. of Cylinders: 4
Valves Per Cylinder: 4
Fuel Supply System: MPFI
Valve Configuration: DOHC
Bore x Stroke: 78 mm x 83 mm
Compression Ratio: 9.01
Transmission details: 5 speed manual and 4 speed automatic
Front Suspension: Independent suspension with McPherson strut & anti roll bar
Rear Suspension: Semi independent torsion beam
Shock Absorbers Type: Gas Filled
Steering details: Electronic Power with Tilt function and Rack & Pinion
Turning Radius (wheel base): 5.3 m
Front Brake Type: Ventilated Disc
Rear Brake Type: Self adjusting Drum
Top Speed: 178/173 kmph
Acceleration (0-100 kmph): 12.1/13.8 seconds
Mileage-City (kmpl): 11.4/10.6
36
Mileage-Highway (kmpl): 15.7/14.1

Fuel Type: Petrol
Fuel Tank Capacity (litres): 50
Emission Norm Compliance: Bharat Stage IV
Tyre Size: 205/60 R 16
Tyre Type: Tubeless Radial Tyre
Wheel Size: 16
Seating Capacity: 5
No of Doors: 4
Maruti Suzuki Wagon R CNG Vxi..............
Technical specifications of the Maruti Suzuki Wagon R CNG Vxi
Overall length x width x height: 3595 mm X 1495 mm X 1700 mm Wheelbase: 2,403 mm

Front/Rear Track: 1285/1280 mm
Ground clearance: 166 mm
Turning Radius: 4.3m
Boot Volume: 180 liters
Fuel Tank Capacity: 36 litres + 18 liter of CNG
Kerb Weight: 885 kgs
37
Engine and other specifications of the Maruti Suzuki Wagon R CNG Vxi
Engine: 998cc, 3 Cylinder K10 Engine BS IV Compliant

Power: 67 Bhp @ 6100 rpm
Torque: 90Nm @ 3500pm
Transmission: 5 speed manual cable shift
Top Speed: 146 kmph
0-100kmph: 15.37 seconds
Fuel Consumption: 16 kmpl (City), 21 kmpl (highway)
Fuel Type: Petrol
Suspension: Mcpherson Struts with coil spring (Front) & Isolated trailing link with coil spring
(Rear)
Tires: 155/65/14 (Vxi) & 145/80/13 (Lxi CNG, Lxi & Lx) Tubeless Radials
Brakes: Ventilated Disc (Front), Drums ( Rear)
Maruti Estilo...................
Specification Of Maruti Zen Estilo VXI BS IV W/ ABS
Engine details: 998 cc, In-Line Engine 3 cyl, K10B

Maximum Power: 68 PS @ 6200 rpm
38
Maximum Torque: 90 Nm @ 3500 rpm

Bore x Stroke: 68.5 x 72.2 mm
Compression Ratio: 9.2:1
Transmission details: 5 Speed manual
Rear Suspension: Coil Spring with three link rigid axle & isolated trailing arm
Front Suspension: McPherson Strut with torsion type roll control device
Steering Type: Electronic Power assisted with Rack & Pinion
ShockAbsorbers Type: Gas Filled
Rear Brake Type: Isolated Drums
Top Speed: 158 kmph
Acceleration (0-100 kmph): 15.00 seconds
Mileage-City (kmpl): 15.2
Mileage-Highway (kmpl): 186
Fuel Type: Petrol
Emission Norm Compliance: BS 4
Tyre Size: 155/65 R13
Tyre Type: Tubeless Radial
Wheel Size: 4J x 13
Seating Capacity: 5
No of Doors: 5
Maruti Suzuki Swift.....................

39
Technical Specifications Of the Maruti Swift Zxi
Engine details: 1197cc In-Line Engine KB Series

No. of Cylinders: 4
Maximum Torque: 113 Nm @ 4,500 rpm
Maximum Power: 85 Bhp @ 6,000 rpm
Bore x Stroke: 74.2 x 75.6 mm
Compression Ratio: 9.0:5
Transmission Details: 5 Speed Manual
Front Suspension: McPherson strut & coil spring
Rear Suspension: Torsion beam & coil spring
Steering Details: Speed sensitive electronic Power assisted with Rack & Pinion
Front Brake Type: Ventilated Discs
Rear Brake Type: Self adjusting Drums
Top Speed: 156 kmph
Acceleration (0-100 kmph): 13.2 seconds
Mileage-City (kmpl): 13.3
Mileage-Highway (kmpl): 16.5
Fuel Type: Petrol
Emission Norm Compliance: Bharat Stage 4
40
Tyre Type: Tubeless Radial Tyre

Alloy Wheel Size: 14 inches
Seating Capacity: 5
No of Doors: 5
Cargo Volume: 232 litres
Maruti Suzuki Grand Vitara..............
Technical specifications of Maruti Suzuki Grand Vitara
Engine details: 2.4L In-Line 4 cylinder engine with VVT, DOHC and MPFI
Maximum Power: 163.5 Bhp @ 6000 rpm
No. of Cylinders: 4
Bore x Stroke: 92mm x 90mm
Fuel Supply System: Direct Injection
Compression Ratio: 10:0.2
41
Transmission details: 5-Speed manual or 4 speed automatic

Front Suspension: McPherson Strut
Rear Suspension: Multi Link
ShockAbsorbers Type: Gas Filled
Steering details: Hydraulic power assisted, tilt adjustable with rack & pinion
Turning Radius (wheel base): 5.5 mtrs
Rear Brake Type: Solid Disc
Mileage-City (kmpl): 8.1 (manual) , 7.3 (automatic)
Mileage-Highway (kmpl): 14.3 (manual) , 13.7 (automatic)
Fuel Type: Petrol
Emission Norm Compliance: Bharat Stage 4
Tyre Type: Tubeless Radial
Seating Capacity: 5
No of Doors: 5
Cargo Volume: 398 litres
Maruti Suzuki Gypsy.......
Maruti Suzuki India limited has always been known for producing cars which are high on fuel
economy and reliable save for one, the Maruti Suzuki Gypsy. Although it was reliable enough,
42
to be later on adopted by the police forces in many states of India, but it was markedly poor on
fuel economy. The car has been amongst us for the past two decade and a half and is still
deemed by purists as the decisive 4×4 vehicle in the country. Ever since the launch of the
Maruti Suzuki Gypsy in 1985 it became an instant hit among the fraternity obsessed with
rallying. The Gypsy enthusiasts rolled over the combination of awesome 4×4 wheel drive and
bullet proof built quality and that too under the toughest of conditions. At present it is among
the very few petrol-only 4×4 vehicle in the country on account of its robustness and ability to
absorb abuses thrown at it. Comparing a Maruti Suzuki Gypsy with any of its kind is a
daunting task as such models are miniscule in numbers.
OMINI........................
The Maruti Omni is a microvan manufactured by Indian automaker Maruti Suzuki. The first
version of Maruti Omni had 796 cc engine, same as theMaruti 800 city car.
This was the second vehicle to be launched by Maruti, one year after the 800, in 1984. Later
version of the Omni includes the:
 Omni (E), released in 1996, 796 cc engine, 8 seater capacity vehicle

 Omni XL - 1999, same engine, modified with a higher roof.
 Omni Cargo LPG - 2004, created to answer the growing popularity of this car being used
as an inter-city cargo vehicle.[16]
 Omni LPG - 2003, same 796 cc engine, added with a factory fitted LPG Kit, authorised by
the Indian RTOs (Regional Transport Offices). This makes it the most economic 4 wheeler
in India, as far as the driving costs are concerned.
 Omni Ambulance - A Modified E version into an ambulance vehicle. This is the most
common type of ambulances found in Indian cities.
43
Maruti Ritz................
Maruti Ritz : The Maruti Ritz in India is as sparsely equipped with features as the other
Maruti cars. This car, come to think of it, doesn’t come with a music system. The airconditioner
makes a whole lot of effort to keep the cabin cool however it fails in front of the Figo’s AC. The
seats however are comfortable both in the front and at the rear, even with the front seats
pushed back. head room as also leg room is terrific. The shoulder room however is a bit
lacking. The Figo sits squatter than the Ritz and also has more of shoulder room. With its airy
cabin, the Ritz however feels more comfortable of the two. Boot space is also comparable with
the Figo, though its a bit more deeper. The build quality however is an equal in both with the
Figo’s feeling better finished.
MARUTI 800.............
44
Used Maruti 800: Now you may find used Maruti 800s with different engine configuration and
states of tune. This is because over its life cycle the car has seen a 1000 cc engine and also
an 800 cc one. It also has got 4 speed and also 5 speed transmission. I would prefer the 4
speed one. Since the 1000 cc engine was a limited edition, I would concentrate more on
the 800 cc one. It produced 37 Bhp and 51 Nm of torque. This combined with weight of 680
kgs made this car a good performer as it could do speeds in excess of 130 kph. The gear box
was a bit vague though. The brakes were front discs and rear drums. Safety was unheard of in
a Maruti 800 and hence I would rather omit this topic. It was always Bhagwan Bharose in
a Maruti 800. Fuel efficiency was the talking point in a Maruti 800 until the Tata Nano stepped
in. Fuel efficiency would hover around the overall mark of 18 kmpl
Maruti Suzuki A-star................
Technical specifications of the Maruti Suzuki A-star automatic
Displacement: 3 cylinder, 998cc, KB10, MPFi

Engine Type: Petrol
Maximum Power: 66 Bhp @ 6000 rpm
Length: 3400 mm
Width: 1600 mm
Height: 1490 mm
Tyre Size: 155/80 R13
Suspension:
Rear: Isolated Trailing-link
Front: MacPherson Strut
45
Steering: Electronic Power assisted speed sensitive

Brakes: Front Disc, Rear drums
Gears: 4 speed automatic
Turning Circle: 4.40 mtrs.
Ground Clearance: 170.00 mm
Boot Space: 129.00 ltrs.
Kerb Weight: 860.00 kgs
Fuel Tank: 36.00 liters
Maruti Suzuki Swift Dzire....................
Engine,Performance and fuel efficiency
Maruti Suzuki Swift Dzire: The Maruti Suzuki Swift Dzire in India is offered with two engine
options, one is a diesel engine however I chose to omit it due to the reason that the Toyota
doesn’t come with a diesel yet. The engine of choice here is the 1.2 liter K series engine which
puts out 84 Bhp of peak power and 112.7 Nm of torque. This is one of the most advanced
engine in its class. It is mated with a 5 speed transmission which is also the neatest shifting
gear mechanisms found in this class. It somehow made me think of a knife slicing through hot
butter. The kerb weight of this car is 1035 kgs however this doesn’t blunt performance with the
car racing from 0-100 kmph in only about 11.9 seconds and reaching a top speed of 170
kmph. The engine is also very silent in its operation and it really impressed me with almost a
very low level of NVH. The addition of a boot hasn’t blunted the performance of this car and it
is almost Swift like to drive. Brake pedal modulation is also good and assisting the brakes are
46
EBD and ABS. The ABS is one poorly calibrated unit and it cuts in too early. As regards safety,
there are two air bags, a collapsible steering column and three point seat belts. Fuel efficiency
as always is good with the car returning an ARAI certified 12 kmpl in the city and 17.4 kmpl on
the highway.
Even though the Maruti Dzire was an eager beaver, the Toyota Etios didn’t lagger behind. It
has got a bigger engine and oodles of torque.
Maruti Eeco
Engine, performance and fuel efficiency
Maruti Eeco – The Maruti Eeco is offered with a single engine option and it is the 1.2 liter 4
cylinder motor putting 73 Bhp at 6,000 rpm and 101 Nm of peak torque at 3000 rpm. It is
mated to a 5 speed manual transmission. Expect 0-100 kmph runs somewhere close to 17
seconds. The top speed is in the regions of 142 kmph. The engine is smooth and vibe free.
Due to the high torque, driveability is also very good in the city and the van can easily stretch
its legs on the highway as well. It is also available with a CNG option. But then the torque
seems slightly less when there is a full load of passengers. Brakes are the usual discs at front
and drums at rear. Nothing acting as braking aid here as well. Safety part is a bit better than
the Omni with a protrusion of an excuse for the front bumper, collapsible steering column, side
impact beams and 3 point seat belts for all the passengers. Fuel efficiency is as good as any
Maruti small car with the Eeco returning 13.1 kmpl in city and 19.4 kmpl on the highway.
47
Maruti Suzuki Cervo
Technical Specifications for the Maruti Cervo
 Fuel Type: Petrol

 Mileage-Highway(kmpl): 28
 Mileage-City(kmpl): 24
 Engine Description: K6A DOHC engine with VVT
 Engine Displacement(cc): 660
 Fuel Supply System: Fuel Injection
 Number Of Cylinders: 4
 Transmission Type: 4 speed automatic
 Maximum Power: 60 bhp
 Maximum Torque: 64 Nm
 Fuel Tank Capacity(litres): 38
 Number Of Doors: 5
 Top Speed: 115 kmph approximately
 Brakes: disc upfront and drums at the rear
 Seating Capacity: 5
Maruti Suzuki Kizashi...................

48
Maruti SuzukiKizashi specifications :
Technical specifications
ENGINE SPECIFICATIONS
Displacement: 2400cc, 4 Cylinder 16 valve DOHC
Engine Type: Petrol
Maximum Power: 185 Bhp
Maximum Torque: 177 Nm
DIMENSIONS
Length: 4660 mm
Width: 1910 mm
Height: 1460 mm
OTHER SPECIFICATIONS
Seating Capacity: 5
49
Tyre Size: 18″ Alloys
Suspension: Macpherson strut with coil springs at front and Multi-link suspension at the rear
Steering: Tilt and power assisted
Brakes: Front Ventilated disc and rear, solid disc
Gears: 6 Manual, CVT
MARKETING AND SALES STRATEGY
Maruti Udyog Limited (MUL) was established in Feb 1981 through an Act of Parliament, to
meet the growing demand of a personal mode of transport caused by the lack of an
efficient public transport system. It was established with the objectives of - modernizing the
Indian automobile industry, producing fuel efficient vehicles to conserve scarce resources and
producing indigenous utility cars for the growing needs of the Indian population. A license and
a Joint Venture agreement were signed with the Suzuki Motor Company of Japan in Oct 1983,
by which Suzuki acquired 26% of the equity and agreed to provide the latest technology as
well as Japanese management practices. Suzuki was preferred for the joint venture because
of its track record in manufacturing and selling small cars all over the world. There was an
option in the agreement to raise Suzuki’s equity to 40%, which it exercised in 1987. Five years
later, in 1992, Suzuki further increased its equity to 50% turning Maruti into a non-government
organization managed on the lines of Japanese management practices.
Maruti created history by going into production in a record 13 months. Maruti is the highest
volume car manufacturer in Asia, outside Japan and Korea, having produced over 5 million
vehicles by May 2005. Maruti is one of the most successful automobile joint ventures, and has
made profits every year since inception till 2000-01. In 2000-01, although Maruti generated
operating profits on an income of Rs 92.5 billion, high depreciation on new model launches
resulted in a book loss
50
KEY STRATEGIC INITIATIVES BY MARUTI
A) TURNAROUND STRATEGIES MARUTI FOLLOWED

Maruti was the undisputed leader in the automobile utility-car segment sector, controlling
about 84% of the market till 1998. With increasing competition from local players like Telco,
Hindustan Motors, Mahindra & Mahindra and foreign players like Daewoo, PAL, Toyota, Ford,
Mitsubishi, GM, the whole auto industry structure in India has changed in the last seven years
and resulted in the declining profits and market share for Maruti. At the same time the Indian
government permitted foreign car producers to invest in the automobile sector and hold
majority stakes.
In the wake of its diminishing profits and loss of market

share, Maruti initiated strategic responses to cope with India’s liberalization process and
began to redesign itself to face competition in the Indian market. Consultancy firms such as
AT Kearney & McKinsey, together with an internationally reputed OD consultant, Dr. Athreya,
have been consulted on modes of strategy and organization development during the redesign
process. The redesign process saw Maruti complete a Rs. 4000 mn expansion project which
increased the total production capacity to over 3,70,000 vehicles per annum. Maruti executed
a plan to launch new models for different segments of the market. In its redesign plan, Maruti,
launches a new model every year, reduce production costs by achieving 85-90%
indigenization for new models, revamp marketing by increasing the dealer network from 150 to
300 and focu+s on bulk institutional sales, bring down number of vendors and introduce
competitive bidding. Together with the redesign plan, there has been a shift in business focus
of Maruti. When Maruti commanded the largest market share, business focus was to “sell
what we produce”. The earlier focus of the whole organization was "production, production
and production" but now the focus has shifted to "marketing and customer focus". This can be
observed from the changes in mission statement of the organization:
1984: "Fuel efficient vehicle with latest technology".
1987: "Leader in domestic market and be among global players in the overseas market".
1997: "Creating customer delight and shareholders wealth".
51
B) CURRENT STRATEGIES FOLLOWED BY MUL

I. PRICING STRATEGY - CATERING TO ALL SEGMENTS
Maruti caters to all segment and has a product offering at all price points. It has a car priced at
Rs.1,87,000.00 which is the lowest offer on road. Maruti gets 70% business from repeat
buyers who earlier had owned a Maruti car. Their pricing strategy is to provide an option to
every customer looking for up gradation in his car. Their sole motive of having so many
product offering is to be in the consideration set of every passenger car customer in India.
Here is how every price point is covered.
II. OFFERING ONE STOP SHOP TO CUSTOMERS OR CREATING

DIFFERENT REVENUE STREAMS
Maruti has successfully developed different revenue streams without making huge investments
in the form of MDS, N2N, Maruti Insurance and Maruti Finance. These help them in making the
customer experience hassle free and helps building customer satisfaction.
Maruti Finance:
Maruti Insurance :
True Value – Initiative to capture used car market
Another significant development is MUL's entry into the used car market in 2001, allowing
customers to bring their vehicle to a 'Maruti True Value' outlet and exchange it for a new car,
by paying the difference. They are offered loyalty discounts in return.This helps them retain the
customer. With Maruti True Value customer has a trusted name to entrust in a highly
unorganized market and where cheating is rampant and the biggest concern in biggest driver
of sale is trust. Maruti knows its strength in Indian market and has filled this gap of providing
trust in Indian used car market. Maruti has created a system where dealers pick up used cars,
recondition them, give them a fresh warranty, and sell them again. All investments for True
Value are made by dealers. Maruti has build up a strong network of 172 showrooms across the
52
nation. The used car market has a huge potential in India. The used car market in developed
markets was 2-3 times as large as the new car market.
N2N: Car maintenance is a time-consuming process, especially if you own a fleet. Maruti’s
N2N Fleet Management Solutions for companies, takes care of the A-Z of automobile
problems. Services include end-to-end backups/solutions across the vehicle’s life: Leasing,
Maintenance, Convenience services and Remarketing.
Maruti Driving School (MDS):
IV. CUSTOMER CENTRIC APPROACH
Maruti’s customer centricity is very much exemplified by the five times consecutive wins at J D
Power CSI Awards. Focus on customer satisfaction is what Maruti lives with. Maruti has
successfully shed off the public- sector laid back attitude image and has inculcated the
customer-friendly approach in its organization culture. The customer centric attitude is imbibed
in its employees. Maruti dealers and employees are answerable to even a single customer
complain. There are instances of cancellation of dealerships based on customer feedback.
Maruti has taken a number of initiatives to serve customer well. They have even changed their
showroom layout so that customer has to walk minimum in the showroom and there are norms
for service times and delivery of vehicles. The Dealer Sales Executive, who is the first
interaction medium with the Maruti customer when the customer walks in Maruti showroom, is
trained on greeting etiquettes. Maruti has proper customer complain handling cell under the
CRM department. The Maruti call center is another effort which brings Maruti closer to its
customer. Their Market Research department remains on its toes to study the changing
consumer behaviour and market needs.Maruti enjoys seventy percent repeat buyers which
further bolsters their claim of being customer friendly. Maruti is investing a lot of money and
effort in building customer loyalty programmes.
V. COMMITTED TO MOTORIZING INDIA

53
Maruti is committed to motorizing India. Maruti is right now working towards making things
simple for Indian consumers to upgrade from two-wheelers to the car. Towards this end, Maruti
partnerships with State Bank of India and its Associate Banks took organized finance to small
towns to enable people to buy Maruti cars. Rs. 2599 scheme was one of the outcomes of this
effort.
Maruti expects the compact cars, which currently constitute around 80% of the market, to be
the engine of growth in the future. Robust economic growth, favorable regulatory framework,
affordable finance and improvements in infrastructure favor growth of the passenger vehicles
segment. The low penetration levels at 7 per thousand and rising income levels will augur well
for the auto industry.
Maruti is busy fine-tuning another innovation. While researching they found that rural people
had strange notions about a car - that the EMI (equated monthly instalments) would range
between Rs 4,000 and Rs 5,000. That, plus another Rs 1,500-2,000 for monthly maintenance,
another Rs 1,000 for fuel (would be the cost of using the car). To counter that apprehension,
the company is working on a novel idea. Control over the fuel bill is in the consumer's hands.
But, maintenance need not be. Says Khattar: "What the company is doing now is saying how
much you spend on fuel is in your hands anyway. As far as the maintenance cost is
concerned, if you want it that way, we will charge a little extra in the EMI and offer free
maintenance."
VI. DISINVESTMENT AND IPO OF MARUTI UDYOG LIMITED
It was a long and tough journey, but a rewarding one at the end. A reward worth Rs 2,424
crore, making it the biggest privatization in India till date. The size of Maruti’s sell- off deal is
proof of its success. On the investment of Rs 66 crore it made in 1982, when Maruti Udyog
Limited (MUL) was formally set up, the sale represents a staggering return of 35 times The
best part of the deal is the Rs 1,000 crore control premium the Government has been able to
54
extract from Suzuki Motor Corporation for relinquishing its hold over India’s largest car
company. Now looking at the strategy point of it – for Suzuki, of course, complete control of
MUL means a lot. Maruti is its most profitable and the largest car company outside Japan.
Suzuki will now be in the driver’s seat and will not have to mind the whims and fancies of
ministers and bureaucrats. “Decisions will now become quicker. The response to changing
market conditions and technological needs will be faster,” says Jagdish Khattar, managing
director, MUL. After the disinvestment Suzuki became the decision maker at MUL. They flowed
fund in India for the major revamp in MUL. Quoting from the report that appeared in The
Economic Times, 4th April 2005, -
VII. REALISATION OF IMPORTANCE OF VEHICLE MAINTENANCE

SERVICES MARKET
In the old days, the company's operations could be boiled down to a simple three-box
flowchart. Components came from the 'vendors' to the 'factory' where they were assembled
and then sent out to the 'dealers'. In this scheme, you know where the company's revenues
come from. The new scheme is more complicated. It revolves around the total lifetime value of
a car.
Work on this began in 1999, when a MUL team, wondering about new revenue streams,
traveled across the world. Says R.S. Kalsi, general manager (new business), MUL: "While car
companies were moving from products to services, trying to capture more of the total lifetime
value of a car, MUL was just making and selling cars." If a buyer spends Rs 100 on a car
during its entire life, one-third of that is spent on its purchase. Another third went into fuel. And
the final third went into maintenance. Earlier, Maruti was getting only the first one-third of the
overall stream. As the Indian market matured, customers began to change cars faster. Says
Kalsi: "So the question was, if a car is going to see three users in, say, a life span of 10 years,
how can I make sure that it comes back to me each time it changes hands ? So Maruti has
changed gears to take a big share of this final one-third spent on maintenance. Maintenance
market has a huge market potential. Even after having fifty lakh vehicles on road Maruti is only
catering to approximately 20000 vehicles through its service stations everyday.
55
For this they are conducting free service workshops to encourage consumers to come to their
service stations. Maruti has increased its authorized service stations to 1567 across 1036
cities. Every regional office is having a separate services and maintenance department which
look after the growth of this revenue stream.
VIII. PLAYING ON COST LEADERSHIP

Maruti is the price dictator in Indian automobile industry. It’s the low cost provider of car. The
lowest car on road is from Maruti stable i.e. Maruti 800. Maruti achieves this through
continuous improvements in operational efficiency and productivity.
The company has set itself (and its vendors) the target of a 50% improvement in productivity
and a 30% reduction in costs in three years. The ability to keep lowering the prices sets Maruti
apart from other players in the league. Maruti spread the overheads over a larger base.The
impressive sales and profits were the result of major efforts within the company. Maruti also
increased focus on vendor management. Maruti consolidated its vendor base. This has
provided its vendors with higher volumes and higher efficiencies. Maruti does that by working
with vendors, assuring them that for every drop in price, volumes will go up. Maruti is now
encouraging its vendors to develop R&D capability for specialized components. Based upon
such activities, product competitiveness in the market will further increase.
Maruti also made strides in applying IT to manufacturing. A new Vehicle Tracking System
improved efficiency on the shop floor and enhanced quality control. The e Nagare system,
adopted from Suzuki Motor Corporation, smoothened Maruti’s Just In Time operations.
KEY SUCCESS FACTORS
(1)The Quality Advantage

Maruti Suzuki owners experience fewer problems with their vehicles than any other car
manufacturer in India (J.D. Power IQS Study 2004). The Alto was chosen No.1 in the premium
compact car segment and the Esteem in the entry level mid - size car segment across 9
parameters.
56
(2)A Buying Experience Like No Other

Maruti Suzuki has a sales network of 307 state-of -the-art showrooms across 189 cities, with a
workforce of over 6000 trained sales personnel to guide MUL customers in finding the right
car.
(3)Quality Service Across 1036 Cities

In the J.D. Power CSI Study 2004, Maruti Suzuki scored the highest across all 7 parameters:
least problems experienced with vehicle serviced, highest service quality, best in-service
experience, best service delivery, best service advisor experience, most user-friendly service
and best service initiation experience.
92% of Maruti Suzuki owners feel that work gets done right the first time during service. The
J.D. Power CSI study 2004 also reveals that 97% of Maruti Suzuki owners would probably
recommend the same make of vehicle, while 90% owners would probably repurchase the
same make of vehicle.
(4)One Stop Shop

At Maruti Suzuki, customers will find all car related needs met under one roof. Whether it is
easy finance, insurance, fleet management services, exchange- Maruti Suzuki is set to provide
a single-window solution for all car related needs.
(5) The Low Cost Maintenance Advantage

The acquisition cost is unfortunately not the only cost customers face when buying a car.
Although a car may be affordable to buy, it may not necessarily be affordable to maintain, as
some of its regularly used spare parts may be priced quite steeply. Not so in the case of a
Maruti Suzuki. It is in the economy segment that the affordability of spares is most competitive,
and it is here where Maruti Suzuki shines.
(6)Lowest Cost of Ownership

The highest satisfaction ratings with regard to cost of ownership among all models are all
Maruti Suzuki vehicles: Zen Estilo, Wagon R, Maruti 800, Alto and Omni.
57
(7) Technological Advantage

It has introduced the superior 16 * 4 Hypertech engines across the entire Maruti Suzuki range.
This new technology harnesses the power of a brainy 16-bit computer to a fuel-efficient 4-valve
engine to create optimum engine delivery. This means every Maruti Suzuki owner gets the
ideal combination of power and performance from his car.
COMPETITOR ANALYSIS AND STRATEGY
HYUNDAI
The beginning of Hyundai Motor Company dates to April 1946 when founder, Ju-Yung Chung
established Hyundai Auto Service in Seoul, South Korea at the age of 31 years. The name
Hyundai was chosen for its meaning which in English translates to “modern.” The Hyundai logo
is symbolic of the company's desire to expand. The oval shape represents the company's
global expansion and the stylized "H" is symbolic of two people (the company and customer)
shaking hands.
Hyundai Motor Company was founded by Ju-Yung Chung and younger brother Se-Yung
Chung in December 1967. In 1968 the company entered into a contract with Ford motor
company to assemble the Ford Cortina and Granada for the South Korean market and
continued to produce them until 1976. Hyundai completed construction of the Ulsan plant in six
months and achieved the shortest groundbreaking to first commercial production of any of
Ford’s 118 plants. The eight year journey provided Hyundai with assembly knowledge,
blueprints, technical specifications, production manuals, and trained Hyundai engineers.
PRODUCT S AVAILAVLE IN INDIA
Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor Company,
South Korea and is the second largest car manufacturer and the largest passenger car
exporter from India. HMIL presently markets 55 variants of passenger cars across segments.
The Santro in the B segment, the Getz Prime, i10 and the Premium hatchback i20 in the B+
58
segment, the Accent and the Verna in the C segment, the Sonata Embera in the E segment
and the Tucson in the SUV segment.
Hyundai hatchbacks:
The Santro Xing is Hyundai's national favourite and the country's largest selling car in its
segment. The wind tunnel designed body of the Santro presents a low drag co-efficient.
Hyundai Hatchbacks One of the most popular cars for the middle class Indian consumer, the
Hyundai Santro, with its petrol and CNG variants, offers an on-road price range between Rs. 3
lakhs and Rs. 5 lakhs. Variant models include
i10
The new i10 features a host of exterior, interior, comfort and safety features that sets the pace
for the new generation. Hyundai Hatchbacks Popular passenger car for the middle class Indian
consumer, the Hyundai i10 (Hatchback), with its petrol variants, offers an on-road price range
between Rs.3,80,000 and Rs.5,20,000. Variant models include
Hyundai i20
The i20 features a host of exterior, interior, comfort and safety features that sets the pace for
the new generation. Hyundai Hatchbacks Popular passenger car for the middle class Indian
consumer, the Hyundai i20 (Hatchback), with its petrol variants, offers an on-road price range
between Rs.4,63,000 and Rs.5,10,000. Variant models include
Hyundai Getz Prime (Hatchback)
The Hyundai Getz Prime is an idyllic combination of looks and power. This model is another
popular passenger car for the middle class Indian consumer. The Hyundai Getz Prime
(Hatchback), with its petrol and CNG variants, offers an on-road price range between
Rs.4,35,000 and Rs.5,80,000. Variant models include
Hyundai Sedans
Currently, Hyundai Motors India has four sedan models with diesel and petrol variants, the
Accent with a single variant, the Verna with eight variants, the Elantra with four variants, and
59
the Sonata Embera with six variants. Hyundai sedan car prices range from around rupees six
lakhs to around rupees eighteen lakhs.
Hyundai Accent
The Accent is a mid sized sedan that virtually offers all the facilities of a luxury sedan.
Available only in petrol version, it meets an entire array of expectations that connoisseurs have
from a sedan. The Accent GLE is quite well-known in the Indian market. It has maximum
features at a minimum price and generally perceived as a marvel of resource optimization both
for the consumer as well as for the manufacturer.
Hyundai Verna (Sedan)

The Verna comes as a mid sized sedan that has roomy interiors but presents itself with a
compact exterior. The unique features of this model are nearly equally sized doors, a relatively
short bonnet, and a stubby boot. The Verna is available in both petrol and diesel options which
target middle class consumers. Variants have road prices ranging from around rupees Seven
Lakhs to rupees Nine Lakhs Thirty Thousand. Hot models include
Hyundai Verna Fluidic (sedan)
The Verna is a premium C-Segment sedan from Hyundai Motors, which made its official debut
in India in 2006. Ever since then, it has been sold alongside the Accent. However, Globally
New Verna is actually a replacement to the Accent but the company decided to sell it as two
different models in some countries, including India where the Accent is still earning a
reasonable amount of profit for them. The earlier generation Verna was often termed as the
Hyundai rocket for its magnificent power, especially from the capable CRDi engine. Although
this car was hugely applauded for its performance, but it was neither a great handler nor a
hunk of the town. Lack of safety features further added to misery. It has been only a year since
the Verna was face lifted and re-badged as Verna 'Transform', and now recently on 11th May,
2011, Hyundai released the all new generation of it's rocket sedan popularly called 'Fluidic
Verna'. So have the dynamics, drive ability and handling improved? We tested the New Fluidic
Hyundai Verna to learn those real time facts
The Hyundai Sonata Embera (Sedan)

The Sonata Embera is Hyundai's stylish corporate presentation as the 5th generation Sonata.
At the first look, it presents an elegant and refined stance with eclat and grandeur that few can
60
match. These are targeted at the upper middle-class consumer market, the Sonata Embera,
with its petrol and diesel variants, offers an on-road price range between Rs. 16.25 lakhs and
Rs. 17.6 lakhs. Popular models are
Hyundai SUVs
Currently, Hyundai Motors markets only a single SUV, the Tucson across a single variant the
Tucson 2.0 CRDi
Hyundai Tucson (SUV)
Tucson 2.0 CRDi (4X4; SUV; Petrol) The Tucson is yet another 7-seater SUV from
Hyundai's stable. The Tucson deserves repute for its wonderful engineering and well
presented aesthetics. At the heart of the Tucson is the powerful turbo charge, inter cooled 5
speed manual transmission diesel CRDi engine that guarantees the performance and silence
of a petrol engine. The Hyundai Tucson 2.0 CRDi is targeted at middle-class SUV consumers.
New cars in this series have a showroom price ranging from around Rs. 16.0 lakhs to Rs 19.6
lakhs, which inclusive of all charges like insurance.
Hyundai Santa Fe
It looks very charming and dynamic features which makes it more attractive and aggressive. It
comes at an attractive price point (between Rs 20,95,000 - Rs 22,95,000 ex-showroom,Delhi).
I want an better fuel efficient and low maintenance car for my smart and sweet family. I hope
that the new Hyundai Santa Fe will come up at par my expectation. According to some auto
website reports, the all new Hyundai Santa Fe is able to offer better fuel efficiency of up to
8.5 kmpl in city and 13.4 kmpl on highway. As per SUV cars, the mileage of new cars enough
to get excellent response from the market.
COMPETITOR STRATEGY
Competitive strategy of the three major player of the automobile industry........
HYUNDAI MOTOR INDIA LIMITED

61
Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor Company,
South Korea and is the second largest car manufacturer and the largest passenger car
exporter from India. HMIL presently markets 55 variants of passenger cars across segments.
The Santro in the B segment, the Getz Prime, i10 and the Premium hatchback i20 in the B+
segment, the Accent and the Verna in the C segment, the Sonata Embera in the E segment
and the Tucson in the SUV segment.
HYUNDAI SANTRO
We are mainly going to concentrate on the various marketing and positioning stretegise of
Hyundai santro as aginest that of maruti Zen and alto and Hyundai Getz as aginst Maruti Swift.
POSITIONING OF SANTRO
The old positioning of the Santro was that pf a ‘family car’, this positioning strategy was
changed in around 2002 and Santro was repositioned as to that of ‘a smart car for young
people.’ The target age group for the car had now shifted from 30-35 years to 25-30 years. The
repositioning followed the face-lifts the car has been getting from time to time in the form of
engine upgradation, new power steering, automatic transmission, etc, to keep the excitement
around it alive in the highly competitive small car market. The repositioning also comes ahead
of the possible launch of a new design Santro, and the super B-segment car ‘Getz’, sometime
in 2003.
The Santro was given a fresh new positioning — from a ‘complete family car’ to a ‘sunshine
car’ denoting a fresh new attitude and a ‘changing your life’ positioning.As the average age of
a car owner has declined from around 30-35 three years ago to 25-30, primarily because of
changing lifestyles, cheap and easily available finance, etc. the company thought that instead
of promoting the Santro as a family car, it should be promoted as a car that can change the life
of a young person since many of the buyers were young buyers
HYUNDAI’S PRICING STRATEGY
With the launch of Maruti Swift recently a price war was expected to kick in . Immediately
after maruti raised prices on its debutante Hyundai Motor India hit back with a Rs 16,000-
19,000 markdown on three new variants of Santro Xing.
62
The company has introduced the XK and XL variants at a lower tag of Rs 3,26,999 and Rs
.3,45,999 respectively.The new price variants are likely to give Maruti’s existing B-segment
models, Zen and WagonR a run for their money. Hyundai has also launched a new non-AC
variant of the Santro at Rs 2.79 lakh, a tad higher than what the existing non-Ac Santro costs.
The next offensive is due from Maruti. With the Santro’s new price positioning, Zen and
particularly WagonR may be due for a correction, or at least a limited-period subvention. If that
happens the domino effect will kick in across the B-segment.
Hyundai is positioning its new variants on the tech platform. Strapped with 1.1 litre engine with
eRLX Active Intelligence technology, the new variants also come with new colour-coordinated
interiors, a new front grill and a 4-speed AC blower that makes the air conditioning more
efficient.
KEY STRATEGIC INITIATIVES BY MARUTI
A) TURNAROUND STRATEGIES MARUTI FOLLOWED
Maruti was the undisputed leader in the automobile utility-car segment sector, controlling about
84% of the market till 1998. With increasing competition from local players like Telco,
Hindustan Motors, Mahindra & Mahindra and foreign players like Daewoo, PAL, Toyota, Ford,
Mitsubishi, GM, the whole auto industry structure in India has changed in the last seven years
and resulted in the declining profits and market share for Maruti. At the same time the Indian
government permitted foreign car producers to invest in the automobile sector and hold
majority stakes.
In the wake of its diminishing profits and loss of market share, Maruti initiated strategic
responses to cope with India’s liberalization process and began to redesign itself to face
competition in the Indian market. Consultancy firms such as AT Kearney & McKinsey, together
with an internationally reputed OD consultant, Dr. Athreya, have been consulted on modes of
strategy and organization development during the redesign process. The redesign process
saw Maruti complete a Rs. 4000 mn expansion project which increased the total production
capacity to over 3,70,000 vehicles per annum. Maruti executed a plan to launch new models
for different segments of the market. In its redesign plan, Maruti, launches a new model every
year, reduce production costs by achieving 85-90% indigenization for new models, revamp
63
marketing by increasing the dealer network from 150 to 300 and focus on bulk institutional
sales, bring down number of vendors and introduce competitive bidding. Together with the
redesign plan, there has been a shift in business focus of Maruti. When Maruti commanded the
largest market share, business focus was to “sell what we produce”. The earlier focus of the
whole organization was "production, production and production" but now the focus has shifted
to "marketing and customer focus". This can be observed from the changes in mission
statement of the organization:
1984: "Fuel efficient vehicle with latest technology".
1987: "Leader in domestic market and be among global players in the overseas market".
1997: "Creating customer delight and shareholders wealth".
B) CURRENT STRATEGIES FOLLOWED BY MUL
PRICING STRATEGY - CATERING TO ALL SEGMENTS
Maruti caters to all segment and has a product offering at all price points. It has a car priced at
Rs.1,87,000.00 which is the lowest offer on road. Maruti gets 70% business from repeat
buyers who earlier had owned a Maruti car. Their pricing strategy is to provide an option to
every customer looking for up gradation in his car. Their sole motive of having so many
product offering is to be in the consideration set of every passenger car customer in India.
Here is how every price point is covered.
II. OFFERING ONE STOP SHOP TO CUSTOMERS OR CREATING

DIFFERENT REVENUE STREAMS
Maruti has successfully developed different revenue streams without making huge investments
in the form of MDS, N2N, Maruti Insurance and Maruti Finance. These help them in making the
customer experience hassle free and helps building customer satisfaction.
Maruti Finance: In a market where more than 80% of cars are financed, Maruti has
strategically entered into this and has successfully created a revenue stream for Maruti. This
has been found to be a major driver in converting a Maruti car sale in certain cases. Finance is
one of the major decision drivers in car purchase. Maruti has tied up with 8 finance companies
64
to form a consortium. This consortium comprises Citicorp Maruti, Maruti Countrywide, ICICI
Bank, HDFC Bank, Kotak Mahindra, Sundaram Finance, Bank of Punjab and IndusInd Bank
Ltd.( erstwhile-Ashok Leyland Finance).
Maruti Insurance : Insurance being a major concern of car owners. Maruti has brought all car
insurance needs under one roof. Maruti has tied up with National Insurance Company, Bajaj
Allianz, New India Assurance and Royal Sundaram to bring this service for its customers.
From identifying the most suitable car coverage to virtually hassle-free claim assistance it's
your dealer who takes care of everything. Maruti Insurance is a hassle-free way for customers
to have their cars repaired and claims processed at any Maruti dealer workshop in India.
Maruti Driving School (MDS): Maruti has established this with the goal to capture the market
where there is inhibition in buying cars due to inability to drive the car. This brings that
customer to Maruti showroom and Maruti ends up creating a customer.
SALES AND ADVERTISEMENT STRATEGY OF MARUTI SUZUKI
In the wake of decline in car sales owing to rising inflation, Maruti Suzuki motors is now
amending its marketing strategies. It is working out many plans to increase the car sales and
has tied up with different car dealers across the country. Car sales in India is witnessing a dip
and the reason is rising inflation. The competition to position Strongly in the Indian car market
segment is getting very tough. Mr R.C Bhargava, stated, ”The car market is
growing increasingly competitive. This is not surprising as global manufacturers are bound to
come where they see a growing market. Maruti has a strategy for the future.”
He said that the company would capitalise on Suzuki research and development
capabilities and internal resources to finance its expansion, thereby cuhionig itself from the
higher interest rates and borrowing costs and become cost competitive.
Maruti is also betting on a faster growth in the small car market as fuel prices trend upwards
boosting demand for such models worldwide . The Indian small car market is set to witness a
plethora of compact models being launched starting from Tata Motors much awaited ‘Nano’ to
65
foreign players like Honda, Voleswagen, Toyota who are also either customising their existing
model or launching a new model to cater to this market.
Explaining the company’s plan to stay away from the ultra low-cost segment, Mr Shinzo
Nakanishi, managing director and CEO, said, ”With growing incomes and aspirations, Indian
consumers have exposure to global design. Most of them would want compact cars to be more
stylish, loaded with features and superior engines and at least as reliable and fuel efficient as
their earlier cars. We would meet the needs of these customers.”
The company’s annual report also emphasised its growing focus on export market . Maruti
Suzuki is looking to make india an exclusive base to manufacturer small cars for Europe . “ We
want to export 2 lakh units annually by 2011-12. At that time our target for the domestic
market would be to sell one million car for which we are expanding capacity .” Mr Nakanishi
said. In the fiscal 2007-08, Maruti exported 53000 units , the highest ever till date.
The company, however, painted a bleak picture on its outlook in the current financial year in
the domestic market on account of US economy slowing and high crude prices which has led
to inflationary pressure globally. It has also expressed concerns over interest rates and
tightened money supply.
“The general expectation is that industrial growth including sale of automobiles will be
adversely impacted . the company posted a12 percent increase in domestic sales in the first
quarter of the current fiscal and will continue to make all efforts to maintain a reasonable rate
of growth,” the company outlined the report.
During this period of high inflation, Indian auto leader , Maruti Suzuki motors is amending its
market strategies. The company is turning to 15-20 –years –old cars to drive new car sales .
The company is working out many plans to increase the car sales and has tied up with
different car dealers across the country . And as a part of the strategy , the car dealers have
been asked to dispose old cars that they get in exchange of new cars. The company is also
providing an exchange discount of about Rs 40000.
The old car will be placed for occasion to scrap car dealers. The company feels that this
bidding of old cars will benefit their pre- owned car business popularity known as true value.
66
The exchange offer has churned out positive results in Maruti car sales. The sales fig.
revealed a hike of 12 per cent to20 per cent , resulting in promotion of entry level car models
like Alto .
Maruti is now completely relaying on the old for new exchange scheme for the sales. May be
we would soon see other car makers joining the race.
Persuation Advertising “Ghar Aa Gaya Hindustan” “India Comes Home in Maruti

Suzuki.”
Mumbai: On its 25th anniversary, Maruti Suzuki seeks to reiterate its leadership with a new
brand film.
A black Grand Vitara pulls up in front of the airport arrival area. A young girl excitedly gets out
of the to greet her father . She hugs him tightly and opens the back door to put his luggage in.
Meanwhile, her father runs to get behind the wheel and ask his daughter to sit in the
passenger seat. The girl exasperatedly gives in placing the key in his hand they drive back
home.
The scene shift to a young couple in a red wagon r driving along the kerala backwater to meet
their parents . The parents come out of a temple procession and receive the couple and their
new born. Elsewhere an angry father waits for his daughter to come home from a late night out
. the girl is dropped home by her boyfriend in a red swift.. Infuriated, the parents wrangle with
their daughter, befor she can respond , her companion comes out of the car and introduce
himself to the girl’s parents and is welcomed into their home.
Next, an army officer gets ready to leave his base to go home . He bids his peers goodbye and
sets off in a gypsy.
From the mountainous terrain the scene shifts to a rainy afternoon. A Maruti omini pulls up
before a house and two schools kids jump from the van and into their mother’s arms.
All this while , Maruti’s catchy new signature tune plays in the background . this signature tune
will now be a part od all Maruti Suzuki commercials. The new Maruti
Information Advertising
67
BTL --Sponsorship
Ten sports has announced Marti Suzuki as their sponsors for their cricket rating property for
the next two years . The new title will be ‘Marti Suzuki cricket ratings’, the deal will break on
the channel starting with first match of the Indian oil cup tri- series on June 30, When India
takes on Sri lanka in day night encounter at Dambulla.
Expressing his delight, Rukin kizilblash, Vice president Ad sales , Taj television India said,”
We believe that the partnership will only get bigger and better in years to come. With our
superlative live cricket content coming up , I believe they will get tremendous value in
associating with us on this property.
Taj Television VP programming Peter Hutton said,”We wanted to create something that was
intresting and allowed viewers to identify with the methodology. We use an in –house system,
which is capable of calculating and updating the players and teams ranking , taking into
consideration a number of aspects such as quality of competition venue, etc. We have also
consciously made it visually exciting and have intentionally stayed away from excessive
technicalities.”
Talking about the tie up , Mayank pareek, GM, Marketing, Marti Suzuki LTD , said, “We are
thrilled to be associated with the cricket rating property on the ten sports. With there exciting
lineup of india cricket over the next couple of years, including the India tour of Pakistan and
India tour of West indies in 2006, I am confident that we will derive tremendous mileage from
this property.”
TV shows –India’s Got talent
Social gaming and social networking site Ibibo.com has partnered with Marti Suzuki to launch
an on line serial. Inviting upcoming writers , directors, and even actors to come online and
showcase their respective talents, Marti Suzuki Ibibo i-Serial star, as the contest is baptizes ,
will showcase the flair of the chosen few in this serial which will have 24 episode in it
.COLORS TV declares its grand finale winner of Marti Suzuki presents India Got Talent to
Prince Group. They got 50 lakh rupees check and a ritz car of Marti Suzuki .
Place Advertising – Bill Boards
Sales Promotions
68
Product Warranties
Premiums (gifts)
Trade shows
Marti Suzuki launched multi purpose vehicle(MPV) called Marti R3 at the 10 th Auto Expo in
new delhi on 5th January,2010 this latest launch Marti concept R3 is next generation compact
multi purpose vehicle that is designed by a team of Indian young automobile engineers.
The case examines the advertising strategies of Marti Suzuki India Limited (Marti), a subsidiary
of japan based auto mobile major Suzuki Motors . Marti , India’s number one leading
passenger car manufacturer was founded in 1981. The liberalisation of the Indian economy in
1991 resulted in the entry of several foreign automobile companies in the Indian passenger car
manufacturing market beginning from the mid 19990s. To prevent the continuous decline of its
market share, Marti started a restructuring exercise in the year of 2001.
As part of the restructuring exercise, Marti 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 organised different promotional events to attract prospective
consumers, Maruti also offered special schemes for specific professional and income groups.
The ad campaigns of Marti emphasized on brand image , and to promote its widespread
network and services. The case ends with a discussion on Marti future expansion plans.
The ad campaign including the tv commercial was developed by capital Advertising and print
ads, out door campaigns, and interest ads (refer exhibit I for a print ad of Maruti’s k series
engine).
New product were launched with the great fanfare to build the brand image of the company.
Advertising campaigns included TVCs , print and radio ads out door promotions, point of sale
and mobile promotions. The company also organised different promotional events to attract
69
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 Marti was advertising specifically a
technological innovation that it had pioneered.
This change in advertising strategy was probably because the technology had decided to put
the new ‘k’ series engines into all its existing and new products. To begin with , Marti had the
‘k’ series engines only in two new cars, A-star and Ritz, and it had also announced that it
would incorporate the new engine in the Zen Estilo.
Maruti has caught the new fancy of the people across india with their new corporate
commercial. There is a very warm feel about it, theme, The execution has all been brilliant.
This does not ean that the ad is without any defects , however, those can be forgiven !
The theme of the ad- india comes home in Marti Suzuki.....What more could you expect? As
per last month’s sales figures, Maruti holds more than 45% share in the market. More than
45%car sold are Maruti suzuki’s. True then that India does come home in Maruti Suzuki.
MY FINDINGS
No doubt that a field work or training can change one’s and behaviour. In between training
course. I have come to recognize my own potential and skills taking into mind my dream.
Which has given me a right platform to make my career in corporate sector, there?
The learning of mine from company is as follow:

70
 Planning and organizing: Planninig about the given task and complete it within the
time boundary and try to put optimum utilization resources in the work.
 Customer Focus: Understanding the customer focus planning and respomd them
appropriate and satisfactory answer for making long tern relationship with them.
 Negotiation: How to build internal commitment and external credibility, through

effective negation and suitable influencing style based on a clear understanding of
organizational decision making dynamics.
 Team effectiveness: Ability to lead the team member and ability to get the work done
from them.
 Personality Developmenat: Working under the guidance of Mr.Vikas goel has been a
regarding experience therw picking up some charismatic point from his personality I
tried to put on the customers. It enhances my confidence & presentation skills.
 Achivement Orientaion: Ambition to achievehe target within the given period

enhances my capability and helps in to overcome obstacles and give outstanding result
or outcome.
 Corporate Exposure: The achievement which i got from this training, will be helpful in
my professional life by this I learnt how I can do smart work with minimum efforts
 I have gained several experiences in the field of marketing.
 I have got opportunity to meet various people, which fluctuate in different situation and
time. This summer traning project has given me the opportunity to have first experience
in the corporate world.
 I could understand the working culture of corporate.

71
 Making plan for the next day and finding the concern person allowed me to increase my
communition ability, written as well as verbal.
 My confidence to meet people has termrndously gone up.
 I also attended the customer demonstration which gave me the knowledge about how
the customer can be convinced, how there queries are handled.
 I also learnt very small- small things in the organization which is very necessary in any
flat like photocopying, fax the documents.
 I find a complete professional environment there.Each member of the company was

having a profession and well civitized.
 I had that the employees are divided in to several team and each team is having a team
leader.
 At every morning there was a meeting of all the sales executive with manager and
assistant sales manager, and then they decide certain thing regarding their strategy and
sstart work.
 Each member was having a dress code and they were according to that dress code.
 Each team was having its own target and it’s the responsibility of the entire team
member to achieve it if they are able to achieve it a reward is given to them.
 I find that there is separate department working under a manager like true value,
customer care, administration department etc.
 There was a workshop too, for servicing of the vehicles.
 During this project I find that how to work in any organisation.
SALES ANALYSIS OF MARUTI SUZUKI

72
May 2010 proved to be a smooth ride for Indian auto makers, as their sales recorded robust
growth on year –on year comparison. Maruti Suzuki india stole the show with sales crossing
one lakh mark in a single month,its all time high. In the process, it clocked a growth of 28 per
cent y-o-y, as domestic sales jumped 27.2 per cent (90141units ) and export surged 33.5 per
cent y-o-y to 12314 units (down 6.8% m-o-m).
Skepticism towards growth by Maruti running optimal capacities and facing stiff competition
were somewhat set at rest, as the stock gained 3.3 per cent over last two days to close at
Rs1277.50 yesterday in a volatile market that lost 1.2 per cent in two trading session. Even
today the counter has moved by up by over Wednesday’s close and is trading at Rs 1291
levels.
Maruti’s numbers were outstanding looking at its growth at a higher base compared to peers
even as other auto makers excelled. Hyundai Motors, Maruti’s closest competitor sold 46808 in
May 2010( including exports) Which was 7 per cent growth y-o-y. Tata motors With extensive
product range from commercial vehicles to passenger cars sold 56779 units(up41 per cent y-o-
y)including passenger vehicles sales of 31475 units in domestic market, marking a y-o-y
growth of 36.82 per cent.
For the most companies , it is the A2 segment that comprise Maruti ‘s alto, WagonR, Estilo ,
Swift And Ritz, for instance, The A2 segment of Maruti witnessed a 16.6per cent jump in May
2010 at 62679 units compared to 53760 units in May 2009. Marti added strength to A2
segment with launch of new WagonR in a May. Car market leader Marti Suzuki sold 792,167
vehicles in 2008-09. This Marks a growth of 3.6 per cent over last year. The annual sales in
2008-09 is the higher ever by the company, in its 25 year history. The previous highest annual
sales were 764842 units in 2007-08. The company’s sales included exports of 70023 units
2008-09 , up by 32.1 per cent over sales of 53024 recorded in 2007-08. Exports numbers, the
highest ever by the company was led by A-star, The fuel efficient compact car launched in
Europe during the year. The export tally includes around 19000 units of A-star exported to
Europe including united kingdom , France , Germany , Italy Netherland , Denmark and
Switzerland.
2008-09 marked Maruti suzuki’s Sliver jubilee year in india . Over these 25 year the company
has sold over 7 million car in the domestic market . Additionally over half a million cars made
by Maruti Suzuki have been exported world –over.
73
April-June or the the first quarter of any financial year is traditionally a lag period for auto
companies, say analysts. However , sales have been good both in April and May 2010 on the
back of recently launched models, they add.
While the growth rate may be high y-o-y looking at lower volume sales in these months last
year , in coming months the demand will be strong and continue driving the sales.
These auto sales numbers have been in backdrop of rapidly expanding economy and India’s
manufacturing sector that has grown at its fastest rate over two years(16.3% in march 2010
quarter). “The concerns of surging raw material costs (up13%y-o-y in FY10) have till now been
taken care of through price hikes (6-7%) across product categories. The auto makers can,
Therefore afford to continue passing the higher costs as long as demand stays strong
,”analysis say.
Going ahead, Maruti is working on increasing its capacities to meet the demand and reduce
waiting periods for Swift, Swift Dzire and Echo. It should see enhanced capacities of 250000
vehicles by the end of current fiscal. The increase should help it grow and maintain market
share even as cut throat completion intensifies. While global majors(ford and volkswagon)eye
the Indian market which remains bright spot amidst sharp downturn in the European markets
and around the globe. Volume ramp up will take some time for them. Maruti has a strong
distribution channel of 800 outlets and 2470 service stations and that is a strong competitive
advantage . Its plans to penetrate rural markets that contribute around 16.5 per cent to its
domestic volume should further augur well.
It has also taken steps such as expanding the reach of its exports to compensate for possible
y-o-y lower volumes from Europe (on discounting the scrap page incentives ) and has been
focusing on expanding its reach into newer markets such as Poland , Norway , Australia and
Taiwan.
Analysis expect volume growth of Maruti to remain robust at 12% CAGR over FY10-12E. With
some concerns still on interest rate hikes in near term, the stock is trading at 14.7times FY10
earnings and provides a good opportunity for long term investors.
Over one lakh units – Highest ever sales in the company’s history for the first time, car market
leader Maruti Suzuki India limited has sold over one lakh units in a month. The company’s total
sales were 102175units in May 2010. This included 12134 units of exports.
74
The previous highest in total monthly sales was 96650 units, sold in February 2010. The
company had sold a total of 79872 vehicles in May 2009.
In May 2010, the company sold 90041 units inthe domestic market , up27.2 per cent over
corresponding month last year . This is the highest ever domestic sales in a month. The
previous highest monthly domestic sale was 84765 units, in February 2010.
The company registered highest ever domestic sales inA2, A3 and Csegment respectively.
The sales figures for May 2010 are given below:
APRIL 09-
SEGMENT MODELS APRIL MAR 10
2010 2009 %CHANGE
A1 M800 2258 2345 -3.70% 33028
C OMINI,ECHO 10654 7724 37.90% 101325
ALTO,WAGON R,
SWIFT,RITZ,A-
A2 STAR 56416 46817 20.50% 633190
A3 SX4,DZIRE 9994 7066 41.40% 99315
TOTAL
PASSENGER
CARS 79322 63952 24% 866858
MUV(B) GYPSY, VITARA 712 905 -21.30% 3932
DOMESTIC 80034 64857 23.40% 870790
EXPORT 13024 6891 89% 147575
TOTAL SALES 93058 71748 29.70% 1018365
Car market leader Maruti Suzuki India limited sold a total of 1018365 vehicles in 2009-10.This
is the first time in a Indian automobile market history that a car company has sold over a
million units in a financial year. This included 870790 units sold in the domestic market , the
highest ever by the company in a fiscal . the export sales of 147575 units in the year were the
highest ever annual export by the company.
75
The total sales numbers in 2009-10 mark a growth of 29 per cent over last financial year.
Maruti Suzuki’s total sale in 2008-09 was 792167 units.
The domestic sales in the fiscal, in A2 segment grew by 23.8 per cent while in the A3 segment
the sales growth was 30.8 per cent, as compared to 2008-09.
The export numbers in the year were led by A-star. This fuel efficient compact car clocked over
1.27 lakh export sales in the fiscal. A-star was exported across Europe including United
Kingdom, France , Germany, Italy etc. The major non-european export markets are Algeria,
Chile, Indonesia and neighbouring countries. South Africa Hong Kong, Australia and Norway
were new markets where Maruti Suzuki cars were exported during the year.
1March 2010 sales
During March 2010, Maruti Suzuki sold total of 95123 units, growing 11 per cent over March
2009. The March 2010 numbers include domestic sales of 79530 units and the highest ever
monthly exports of 15593 units. The previous highest monthly exports were in August 2009 at
14847 units.
The sales figure are as follows :
IN TILL
SEGMENT MODEL MARCH MARCH
2008-
2009 2010 %CHANGE 2009-10 09 %CHANGE
A1 MARUTI 800 2662 2430 13.7 33028 49383 -33.10%
OMINI,
VERSA,
C ECHO 10875 6021 80.6 101325 77948 30%
ALTO ,
RITZ,
A2 SWIFT 54763 55415 -1.2 633190 511396 23.80%
TOTAL
PASSENGER
CARS 78853 72461 8.8 866858 714655 21.30%
76
GRAND
VITARA ,
MUV GYPSY 677 1394 -51.4 3932 7489 -475%
DOMESTIC 79530 73855 7.7 870790 722144 20.60%
EXPORT 15593 11814 32 147575 70023 110.80%
TOTAL
SALES 95123 85669 11 1018365 792167 28.65
On March 23, 2010, Maruti Suzuki rolled out the one millionth car of the year 2009-10.This feat
takes the company into a very select group of global automakers with such volumes.
Maruti Suzuki is now expanding its production capacity to reach 1250000 units by 2012. In
March 2010, The company announced an investment of Rs 1700 cr. for expansion of the
production facilities by 2.5 lakh units at its Manesar plant .
A spate of new launches and product refreshments during 2009-10 helped the company to
clock sterling performance in the fiscal . these included Maruti Suzuki Ritz (May 2009), all new
Grand Vitara (July 2009) and Estilo with ‘k’ series engine(Aug 2009), new sx4 with VVT
engine.
India’s largest car manufacturer Maruti Suzuki reported a 33.3% rise in sales in January 2010
compared to the same period last year . Maruti January 2010 sales stood at 95649. Maruti
Suzuki exports stood at 14563 . For the period April- January, sales saw a healthy growth at
31.8% to 826592 units over the same period last year.
In jan 2010, Maruti ‘s once best –seller, the 800 manages to sell just 2494 units which was
55% fall over the same period last year. Clearly Marti ‘s other models and especially the alto
have taken over from this long time warrior that will be soon put to rest in the metros. Maruti’s
rest of the hatchback line up consisting of Alto, Wagon R ,Zen Swift ,Ritz and A-star grew 24.8
per cent at 58540 units over January 2009.
77
Sale of models in its mid -sized A3 segment comprising SX4 and Dzire rose 36.5 per cent to
8995 cars in January this year . Clearly, Dzire is a mega hit for Maruti while the response to
the SX4 remains lukewarm.
AFTER SALES SERVICE OF THE COMPANY
“After sales service is as important as selling a car . It helps establish a longer relationship
with the customer,”
Good after-sales service is the key to customer retention, with 77 per cent of Indian consumers
asserting that they will not make a repeat purchase or continue with a company's services in
case of a bad experience, says an American Express report.
In order to attain new customers and retain the older ones, good customer service cannot be
ignored as a majority (82 per cent) of Indian consumers value it the most while making a
purchase.
"Customers want and expect high-quality service, especially as they focus on getting good
value for their money in a difficult economic environment, and are willing to spend more with
those that deliver excellent service -- suggesting substantial growth opportunities for
businesses that get customer service right," American Express VP & GM ( World Service
India) Pradeep Kapur said.
Maruti Suzuki India Limited (MSIL) is planning to expand its service network in the country
from the current 2,700 outlets to 4,200 outlets, in keeping with its target to sell over 2 million
cars by 2015. The additional service stations will require an investment of Rs 250 crore, and
will cover more than 2,000 cities across India by 2015. MSIL officials told mediapersons that
according to a blueprint drawn up by the company, it would eventually have one service station
every 25 kilometres. This will entail expanding its service network by 55 percent, the cost of
which will be borne mainly by the company’s dealer partners.
Maruti currently employs 33,000 people in its service stations, also known as Maruti
Authorised Service Stations. This number is expected to go up to 55,000 after the expansion.
MSIL Executive Officer (Service), Mr Pankaj Narula, said that the company expected its
78
service load to increase manifold, given its plan to expand production to 1.75 million units by
2013.
Genuine Accessories
They have also entered the business of marketing car accessories under the brand name
“Maruti Genuine Accessories”, through their dealership network. They seek to provide
customers with the opportunity to customize their vehicles with accessories such as music
systems, Security systems, carcare products and utility products.
Warranty and Extended Warranty Program
They offer a two-year warranty on all their vehicles at the time of sale. Their dealers are
required to address any claim made by a customer, in accordance with practices and
procedures prescribed by them , under the provision of the warranty in force at that
time. The dealers subsequently claim the warranty cost from them . They analyse
warranty claims from dealers and either claim the cost from vendors, in the case of
defective components, or bear the cost ourselves, in the case of manufacturing defects. They
offer an extended paid warranty program marketed under the brand, “Forever Yours” for the
third and fourth year after purchase.they have entered into arrangements with insurance
companies to cover the costs of warranties offered under this program. The extended warranty
program is intended to maintain the dealer’s accessories and auto mobile related services. An
effort is made during the period of the extended warranty to encourage the customer to
exchange his existing Maruti car for a new Maruti car, or upgrade to a new Maruti car.
In May 1995, Maruti got ISO 9002 certification. The audit for this covered quality assurance
in production, installation, marketing and sales as well as after sales services. We were also
one of the first companies in the world to pioneer ISO9000 certification for our dealers.
Quality service across1036 cities In

the J.D.Power CSI Study 2004, Maruti Suzuki scored the highest across all 7parameters:
Least problem experienced with vehicle serviced, highest service quality, best in service
experience, best service delivery, best service advisor experience, most user friendly service
and best service initiation experience. 92% of Maruti Suzuki owners feel that work gets done
right the first time during service .The J.D.Power CSI Study 2004 also reveals that 97% of
79
Maruti Suzuki owners would probably recommend the same make of vehicle, while 90%
owners would probably repurchase the same make of vehicle.
The facility in Chennai has covered area of 6300 sq.m and will offer service and repairs,
accident repairs, genuine Maruti parts, extended warranty sales, buying and selling of true
value cars, Maruti insurance and Maruti finance. It has been set up at a cost of Rs 12 crore. It
has been 35 service bays and can handle about 100 cars in a single shift per day.
KEY INITAITIVE TAKEN BY THE COMPANY
Servicing customers 24X7.....365 days.......
The company takes great pride in sharing that customer 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 Obession”.
Car pickup & delivery facility for women car owners
“The study finds that vehicle pickup and delivery before and after service has a strong
impact on customer satisfaction. In particular, customers who say that their vehicle was
picked up from their doorstep before service and delivered to the same point after
service are notably more delighted with their after –sales service experience, compared
with customers who do not receive this service.............”
Setting up “Express Service Bays”& “2-Technician Bays”
As the name suggests the company set out to delight its customers by offering them faster car
service by introducing new concepts such as express service bays 2 – technicians bays.
These are done for customers who are hard pressed for time.
Both the initiatives undertaken in this direction, have helped improve customer interface and
also helped increase the productivity and capacity of existing workshops.
Mega Camps
80
The company aggressively conducts ‘Mega Camps’ throughout the country round the year.
Activities undertaken during a mega camp include complimentary car wash, AC& Pollution
check up, oil and fuel top ups, Wheel alignments etc.
Apart from mega camps workshop camps like A/C checkup camps, PUC and general Check-
up camps, Locality camps, pre monsoon camps etc are also regularly conducted as part of
customer connect initiatives.
Service at your door step though Maruti mobile support
Another unique initiative is the door step service facility through Maruti mobile support. Maruti
mobile support is a first of it’s kind initiative and is expected not only to help the company
reach out customers in metro cities but also as a mean to reach semi urban/rural areas where
setting up of new workshop may not be viable.
Car Safety Device: Immobilizer
The company used technology to meet customer needs and even delight them. Following
feedback that the company’s cars were more prone to theft owing to their resale value, the
company worked on an antitheft immobilizer or “I-Cats” system for all its new cars.
Complete car needs
The company’s effort of providing all car-related needs—from learning to drive a car at Maruti
driving schools to car insurance, extended warranty and eventually exchanging the existing car
for a new one under one roof at dealership also enhance customer satisfaction.
ANOTHER UNBEATABLE PRIDE FOR MARTI SUZUKI FOR AFTER SALES

SERVICES......................
Maruti Suzuki wins Customer Satisfaction ten times in a row...
For a ten consecutive year, Maruti Suzuki ranks highest in customer satisfaction with
authorized dealership services, according to the J.D.Power Asia Pacific. The study measures
the overall satisfaction of vehicle owners who visited their authorised dealer/service center for
maintenance or repair work during the first 12 to 18 months of ownership. Overall satisfaction
is determined by utilizing seven measures. They are (in order of importance):
81
problems experienced, service quality, user interface, service advisor, service initiation, service
delivery , and in service experience.
The study also finds that customers who service their vehicles only at authorized service
centers report higher overall service satisfaction, compared with those who have also used
non- authorized service centers in the past. In 2007 , just 13 percent of customers report
visiting a non authorized service center, a figure that has steadily declined in the past two
years.
MARKET POSITION OF MARTI SUZUKI
Maruti cars needs no introduction. Maruti Udyog limited, established in1981 by an Act of
parliament holds a major share of the Indian market and caters to almost every market
segment with economic models. Cars from Maruti ........
Maruti SX4(sedan)
MarutiGypsy(SUV)
MarutiGrand Vitara(SUV)
Marutiomni(VAN)
Maruti800(hatchback)
MarutiAlto(Hatchback)
Maruti Swift(Hatchback)
MarutiWagon R(Hatchback)
Maruti Zen estilo (Hatchback)
Maruti Ritz(Hatchback)
Maruti Swift dzire(SUV)
MarutiA-Star(Hatchback)
Maruti kizashi(SUV)
Maruti Suzuki has a sales network of 600 state of the art showrooms across 393 citis, with a
work force of over 7000 trained sales personnel to guide our customers in finding the right car.
Our high sales and customer care standards led us to achieve the no.1 nameplate in the
J.D.Power SSI study 2004. The SSI study measures sales satisfaction across 6 parameter:
deal received, paperwork, dealer facility, sales person, delivery timing and delivery process.
Maruti Suzuki has not only got the no.1 nameplate in the J.D.Power SSI study 2004, but also
82
ranked way above the industry average (Maruti Suzuki was at 784 while industry average was
at760).What is the significant is that it was ranked above Skoda, Ford, Chevrolet, Mitsubishi
and Hyundai.
Network
The record sales performance was affected through the company’s vast dealership network.
Including the extension counters, total new car sales outlet increased to600 covering 393
cities. The company plans to increase the network size to 1000 outlets in the next three years.
In addition to this , there are 265 Maruti true value outlets across the 161 cities , which
engaged in the sale., purchase, and exchange of pre –owned cars. Maruti true value is the
largest organised pre- owned car sales network in India. The service network had a total of
2628 service outlets including dealer workshop as well as Maruti Authorised service stations,
covering 1220 cities. The company plans to expand it by 45 percent in the next three year.
Manufacturing and expansion facility
The company’s new car manufacturing plant at manesar started operations in September 2006
with an initial capacity of 100000 units. At the end of the year , it achieved an expanded
installed capacity of 170000 units.
maruti suzuki wins on customer satisfaction ten time in a row
The company vouches for customer satisfaction. For its sincere efforts it has been rated (by
customers)first in customer satisfaction among all car makers in India for seven years in a row
in annual survey. Maruti Suzuki India Limited, a subsidiary of Suzuki Motor Corporation of
Japan, has been the leader of the Indian car market for over two decades.
Hence Maruti Suzuki Limited has captured over all share 55% in the Indian car market
83
BCG MATRIX OF MARUTI SUZUKI
STAR: The Company has long run opportunity for growth and profitability. They have high
relative market share and high
Growth rate. SWIFT, SWIFT DESIRE AND ZEN ESTILO is the fast growing and has potential
to gain substantial profit in the market.
QUESTION MARK: there are also called as wild cats that are new products with potential for
success but there cash needs are high
And cash generation is low. In auto industry of MARUTI SX4, GRAND VITARA, ASTAR there
has been improve the organization reputationAs they want successful not only in Indian market
but as well as in global market.
CASH COW: It has high relative market share but compete in low growth rate as they generate
cash in excess of their needs.
MARUTI 800, ALTO AND WAGNOR have fallen to ladder 3 & 4 due to introduction of ZEN
ESTALIO and A STAR.
DOG: The dogs have no market share and do not have potential to bring in much
cash.BALENO, OMINI, VERSA There business have liquidated and trim down thus
The strategies adopted are that are harvest, divest and drop
SWOT ANALYSIS OF MARUTI SUZUKI
swot analysis show the strength, weakness, opportunity and the threat of the company. the
SWOT analysis of maruti suzuki is.................
Strengths............
what strengths does the company has
1- Brand Image
2- Reliable and cheap. Established brand in Indian market.
84
3- Great service and nationwide penetration.

4- Experience in Indian market
5- Very old player in Indian market.First major player.
6- Established distribution & after sales networks

7- product for many segment of market
Opportunities.............
1. Acquisitions
2. Innovation
3. Online
4. Product and services expansion
5. Takeovers
6. Targeting Higher Middle Class requirements
Weaknesses............
1. Diseconomies to scale
2. No online presence
3. Not diversified
Threats..............
1. Competition
2. Cheaper technology
3. External changes (government, politics, taxes, etc)
4. Lower cost competitors or imports
5. Price wars
6. Product substitution
7. Increase in fuel prices
85
RECOMMENDATIONS AND CONCLUSION
 P r o v i d e a u s e r - f r i e n d l y m e c h a n i s m f o r r e g i s t e r i n g c u s t o m e r complaints
(complaints that are not registered with the companyc a n n o t b e r e s o l v e d , a n d
a r e a m a j o r s o u r c e o f c u s t o m e r dissatisfaction).
 Provide a fast mechanism for handling problems and complaints( c o m p l a i n t s t h a t a r e

r e s o l v e d q u i c k l y c a n i n c r e a s e c u s t o m e r satisfaction).
 Provide a fast mechanism for correcting service deficiencies(correct

t h e p r o b l e m b e f o r e o t h e r c u s t o m e r s e x p e r i e n c e t h e same dissatisfaction).
 Use internet cookies to track customer interests and personalizeproduct offerings

accordingly.
 U s e t h e I n t e r n e t t o e n g a g e i n c o l l a b o r a t i v e c u s t o m i z a t i o n o r real-time
customization.
 Provide a fast mechanism for managing and

scheduling maintenance, repair, and on-going support (improve
efficiencyand effectiveness).

Neha Maruti Suzuki

Hochgeladen von

Dokumentinformationen

Copyright

Verfügbare Formate

Dieses Dokument teilen

Dokument teilen oder einbetten

Freigabeoptionen

Stufen Sie dieses Dokument als nützlich ein?

Sind diese Inhalte unangemessen?

Copyright:

Verfügbare Formate

Neha Maruti Suzuki

Hochgeladen von

Copyright:

Verfügbare Formate

1

SUMMER TRAINING REPORT

SALES AND MARKETING STRATEGY OF MARUTI SUZUKI

Submitted By: Submitted To:

Neha Singh Ms.Nisha Goel

MBA II Year MBA Department

ARYA INSTITUTE OF ENGINEERING &TECHNOLOGY

In every professional course, training is an important factor. Professors give us theoretical

INTRODUCTION OF AUTOMOBILE INDUSTRY

HISTORY OF AUTOMOBILE INDUSTRY

AUTOMOBILE INDUSTRY IN INDIA

Key automobile manufactures in India

Indian Automobile Industry Growth 2009

Domestic Market Share for 2010 - 2011

Automobiles Market Share

Foreign automotive companies in India

 General Motors India

COMMERCIAL VEHICLE MANUFACTURERS IN INDIA

ELECTRIC CAR MANUFACTURERS IN INDIA

Automobile Dealers Network in India

INTRODUCTION OF THE ROHAN MOTORS LTD

Total Strength : 1200 plus

Sales per Year : 14500 plus

Service per Year : 125000 plus

Accessories sold per month : 45 Lacs

Spare parts used per month : 1.5 Crore

INTRODUCTION OF THE COMPANY

TITLE OF THE STUDY

DURATION OF THE PROJECT

OBJECTIVES OF THE STUDY

• To know the segmentation and sales trend of Maruti Suzuki.

• To know the way Maruti has segmented its cars

A Research Methodology defines the purpose of the research, h o w it

 The research methodology for the present study hasb e e n a d o p t e d t o r e f l e c t

MARKET SCENERIO (2010-2011)

mahindra, 1.8 GM, 3.2 others, 2.9

MARKET SEGMENTATION OF MARUTI SUZUKI

Market segmentation is a concept in economics and marketing. A market segment is a sub-set

• Countries: perhaps categorised by size, development or membership of geographic region

• Population density: e.g. urban, suburban, rural, semi-rural

• Climate: e.g. Northern, Southern

Geographic segmentation is an important process - particularly for multi-national and global

2- Demographic segmentation consists of dividing the market into groups based on

MARUTI SEGMENTATION CAR

Utility vehicle Gypsy king

Table :2 Maruti segmentation

The 4Ps are:

 What features does it have to meet these needs?

 How and where will the customer use it?

 What does it look like? How will customers experience it?

 What size(s), color(s), and so on, should it be?

 How is it differentiated versus your competitors?

 Where do buyers look for your product or service?

 If they look in a store, what kind? A specialist boutique or in a supermarket, or both? Or

 How can you access the right distribution channels?

 What discounts should be offered to trade customers, or to other specific segments of

 How will your price compare with your competitors?

Maruti SX4 (Sedan)

Maruti Gypsy (SUV)

five and six lakhs. Gypsy variants include

Maruti Grand Vitara (SUV)

Maruti Omni (VAN)

Maruti 800 (Hatchback)

Maruti Alto (Hatchback)