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Dynamic

Marketing Team

Working together as a team to achieve our goal.

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Carpenters Motors Marketing Team

 Shalendra Andrew  Johnney Singh : : Introduction & Situation Analysis Situation Analysis & Marketing Strategy Marketing Financial Analysis, Monitoring & Evaluation

 Shalvindra Narayan :  Sanjai Singh :

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 Established in 1921  Largest and most respected automotive dealer.  Nissan, Honda, Hyundai, Holden and Isuzu

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Carpenters Motors Executive Summary

 Launch a new low-cost car, the Tata Nano, in Fijian markets. (Proposed Launch date 1st week of January 2012)  Compete with existing companies by offering a vehicle with better amenities while keeping the price affordable.  Target the rapidly growing middle class customers.  Target businesses who desire to add low-cost cars to their current fleets.  Objective is to capture between 4 6 % of the Fijian market share with first year sales of 144 cars.  Our financial objective is to achieve $0.5 million in revenue the first year after expense.

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Situation Analysis Where are we now

 Performance - Last 3 Years:     2008 2009 2010 2011 Total Units Sold Total Units Sold Total Units Sold Expected Sales 225 208 189 235

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Market Analysis
Current Market Share
26%
34%
Carpenters Motors

40%

Asco Motors Niranjans Automotive

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Aim: Increase Market Share

26%

Carpenters Motors Asco Motors

40% + 15%

Niranjans Automotive

34%

 Increase Market Share by 15% - next 3 years

   4% by 2012 5% by 2013 6% by 2014

New Product Tata Nano Car

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About New Product

 Tata Nano was founded in 2008 in India  Tata is India s leading vehicle maker.  Size and buying power of middle class is rapidly increasing, but price still remains the main driver when purchasing a vehicle.  Market with their recent introduction of the Tata Nano in Fiji . . . a sub-compact car costing appox. Fjd $9,290.00 (inclusive of Tax) Sold at approx. Fjd $14,000.00  Carpenters will be targeting customers who may want a low-cost car that is a notch above the Tata Nano.  We also plan to offer optional features that are highly valued by potential customers.

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World s Cheapest Car- Tata Nano - the people s car

Mr. Ratan Tata

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Specifications of Tata Nano.

Cheapest car in the world. 4-door car that can seat 4 - 5 passengers. 33-hp (horse power) car with a 624 cc engine. Provide a mileage of 23 km/litre. Have 2 variants - a Standard and two Deluxe
(Air Conditioned) versions. No power steering.

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Design

Engine

Fuel efficiency.

Safety and comfort

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What makes it so cheap !

        Uses plastics and adhesives rather than welding. Uses inexpensive polymers instead of a full metal-body. No AC, no power steering and no power windows. Boot does not open - rear seats can be folded down to access the boot space. Single windscreen wiper instead of the usual pair. Door opening lever was simplified. 3 nuts on the wheels instead of the statutory 4 nuts. 1 side view mirror

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Market Summary
Carpenters market :  Consists of customers who are looking for a low-cost car but want something a little better than what the price leader offers.  Consists of customers looking for options that allow them to customize their vehicle to some degree.  To add low-cost cars to their fleets and concentrating on filling all orders in a timely manner.  Intends to differentiate ourselves by offering options above and beyond the norm . . . options such as sunroofs, air bags and MP3 players.

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Target Market
Corresponding Feature/Benefit Airbags, tubeless tires  Seating for 5, large trunk space


Targeted Segment Middle Class (Teachers and Retired)

Customer Need
 

Safety Space

Young Middle Class (Tertiary Students) Business

 

To be in style Network with tech toys Safety Desirable Rental Car Fuel Efficient

Spoiler, sunroof, multiple color schemes  MP3 player

   

  

Airbags, tubeless tires Spoiler, sunroof High kpl, LPG, CNG options kpl,

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Market Trends
12

10

1200 1400 1600 1800 2400

0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

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Johnny Singh

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Marketing Strategy
Mission Statement

Provides a unique car buying experience. Focus on customer satisfaction first. Provide the customer with an enjoyable, honest service by satisfying individual customers practical transportation needs with a quality product.

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Keys to Success
 Team of experienced professionals.  Secure an excellent high-traffic location.  Establish a network of suppliers - highest reliability and quality, at a competitive price.  Customer satisfaction - important values, honor and integrity.  Create high morale by rewarding employee success with monetary compensation.

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Marketing Objectives
Creating demand Competitive advantage is low fuel consumption 23Km/Litre Cheapest brand new car by far in Fiji Focus on customers Needs & Wants Offer variety of options To provide a Car 4 All , which is affordable To capture between 4 and 6% of the Fijian market. First year sales of 144 cars. Second (288) or third year (576) - to enter the markets in Island Countries in the South Pacific.  Add value to our current product - upgrade product         

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Financial Objectives
 Achieve approximately $0.5 million in revenue the first year and to keep losses to a minimum.  Net Profit of $3.2 million by 2014 (Higher return on invested capital)  Increase Market Share by 15% (Growth in earning) in 3 years time. (Actual Share calculated by marketing team was 20%)  At Fjd $14,000 the Tata Nano would still be far cheaper than any compact vehicle in these markets.

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Target Markets
 Primary Consumer Market: 4-person family who cannot afford a car today.  Secondary Consumer Market: Consumer who may have already purchased their first car and is looking for a similar low-cost car.  Primary Business Market: Sales Executives, Wholesale and retail companies & Rental car companies in Fiji.

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Market Positioning
5 Branches are located in:  Suva, Raiwaqa, Namaka Nadi and  Lautoka in Viti Levu , Labasa in Vanua Levu.  Our reputation  Being the Industry Leader  Efficiency in Service

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Marketing Mix & Strategy the 4 P s

Product: Nissan, Honda, Hyundai, Holden and Isuzu. Price: Varies on model of vehicle, but usually more expensive or the same as their Toyota counterparts. Tata Nano $13,000.00 to $15,000.00 Place Available in Carpenter Motors Lautoka , Nadi, Suva, Raiwaqa Labasa. Promotion Uses print, TV ads, Media, Radio & Websites

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Marketing Strategies
Our marketing team will strategize cost effectively as follows:  Nano news in papers,  Nano breaks on radio,  Nano appearing in the form of messages or ticker news on TV,  Online Nano games,  Nano pop-ups on major websites and  Nano conversation on Facebook and blog spaces

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Promotional Tag line.

Have Fun, Pay Less, get more with Tata Nano

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Online Marketing.

Website: www.carpenters.com

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Social Media


Facebook YouTube

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Print media.


The grand launching ceremony of Tata Nano will covered by all kind of media personal and some famous personal. personal. International motor show at Geneva where Mr. Tata shows Mr. the Nano in front of international media. media. Business tycoon like Mr. Tata Mr. when delivered the first Nano to a comman person, itself it makes a big news. news.

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Word of Mouth / Pamphlets

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Billboard advertisements along main street

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Direct mail

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More TV commercials

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Shalvin Narayan

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SWOT Analysis of Carpenters Motors

Strengths
 Skilled & Experienced Staff  Wide geographic presence  Strong brand image based on quality, environmental friendly, customized range.  Strong portfolio of quality Cars and is the Industry leader.  Targets surrounding community  Financially secured  Excellent penetration in key markets (Fiji ,PNG (Baroco Motors) & Vanuatu Carpenter Motors)  Provides incentives for employees award is given to employees demonstrating high personal commitment to their customers and community.

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SWOT cont d
Weakness
    Political Instability Product recall Declining operation margin Declining share market in the sector

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SWOT Cont d
Opportunities
         Large growth potential Increased SUV s (Sports Utility Vehicle ) Market Rising Demand for Hybrid Vehicles Innovation Increasing demand for fuel efficient Current Economy climate Intense competition Shifts in the exchange rates Increase in Government tarrifs

Threats

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Competition Analysis
Competitive Comparison
 Quality inventory  Competitive price to uncompetitive price as our price for brand new car is low.  Highly- experienced staff  Efficient after sales service

Main Competitors
 Asco Motor, Niranjan Autoport,

Others
Pala s Autoport, Chanel Motors & Automart Limited.

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Product Offering Stages of life cycle

Level of Customer Satisfaction

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Extremely High  Excellent Service - Sales satisfaction  Product quality  Vehicle performance and design  After-sales service  Brand image  Cost-of-ownership  Loyalty

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Marketing Research
 Conduct surveys that will aid us in recognizing the consumer s desires and needs from a low-cost car.  Plan on forming focus groups that will help push our designers in a specific direction regarding options and amenities for the car.  Conduct brand awareness surveys that will help us measure the effectiveness of our marketing mix.  Conduct customer satisfaction surveys that will enable us to make adjustments to our product as we go.

Transport Distribution of Vehicles Registered in Fiji

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[As at 31 December as per Fiji Bureau of Statistics report]

Period Private Cars Taxis Rental and Hire Cabs Goods Vehicles* Buses Tractors Motor Cycles All Other Vehicles** Total

2007 82,912 5,113 6,362 42,112 2,213 5,893 4,917 7,186 156,708

2008 85,186 5,153 6,519 42,677 2,244 5,983 5,013 7,497 160,272

2009 87,249 5,331 6,705 43,103 2,265 6,048 5,043 7,736 163,480

2010 89,422 5,440 6,991 43,722 2,279 6,161 5,127 7,943 167,085

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Marketing Teams Controls - Implementation

 Developed routine audits that will monitor product quality.  Surveys to measure customer satisfaction.  Reporting system - to track maintenance issues with our vehicles.  Closely track monthly sales and expenses.

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Sanjai Singh

Financial Analysis, Monitoring & Evaluation

Cash Flow Budgets Outflow

Pro Forma Cash Flow Income From Carpenters Motors Cash Sales Total Sales Expenditures Expenditures from Operations Sales & Marketing Expensesl Advertising/Promotion Web Page Maintenance Vehicle Purchase Marketing Expenses 2012 Year 1

Inflow &
2014 Year 3 $0 $8,064,000.00 $8,064,000.00 Year 3 $125,000.00

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$1000,000.00
$2,016,000.00 $3,016,000.00 Year 1 $ 50,000.00

2013 Year 2 $1,000,000.00 $4,032,000.00 $5032,000.00 Year 2 $100,000.00

$ 100,000.00 $ 20,000.00 $ 1338,000.00 $ 100,000.00 $1000,000.00 $508,000.00

$200,000.00 $ 15,000,00 $2,657,000.00 $320,000.00 1,000,000.00 $1,740,000.00

$100,000.00 $ 10,000.00 $5,351,000.00 $145,000.00

Net Cash Flow

$2,333,000.00

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Sales Forecast by Month

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Sales Forecast by year

Projected Yearly Profit ( based on every quarter)

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$325 x 4 = $1.3m

$415 x 4 = $1.6m

$605 x 4 = $2.4m

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Key Milestones Reached

 Leader in the Industry enjoys substantial Market Share of 40%  Branches are located in Suva, Raiwaqa, Namaka, Lautoka, Ba in Viti Levu and in Labasa and Savusavu in Vanua Levu.  Has over 500 - experienced staff  Staff are well trained & its engineers are extensively trained both locally and overseas, particularly in New Zealand and Japan.

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Carpenters Motors
Controls Marketing Organization
The chief marketing officer is responsible for all marketing related activities. See the organizational chart below for the corporate marketing structure. We have outsourced much of our frontline marketing operations to Market Tata Nano in order to achieve better results and cost savings.

Chief Marketing Officer

Dir. of Marketing Communications

Dir. of Sales

Dir. of Marketing Strategy

Dir. of Customer Service

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Contingency Planning s
 Restructure (Cost Cutting)  Reduce Staff  Concentrate on existing product  Add Value to our Product & Service

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Risk Analysis
 Political Situation  New product entering the market  Failure to market new product  Government Regulations  Train staff - for new Product

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Whats the best car deal?

    Fits your needs Fits your budget You control the process - not pressured Priced a little over dealers true new - car cost, or  Priced at reasonable - new or used-car price

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Questions ??? Nano a car of the future.