ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA
-
Upload
amitkumarnpg7857 -
Category
Documents
-
view
5.066 -
download
0
Transcript of ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA
![Page 1: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/1.jpg)
Product : Honda CIVICCompany : HSCI
PRESENTED BY : AMIT KUMAR MBA 2nd SEMDEPT. OF BUSINESS ADMINSTRATION UNIVERSITY OF LUCKNOW(LUMBA)
![Page 2: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/2.jpg)
HOW IT STARTED……..?• SoichiroHonda (1906-1992) was Japanese engineer and industrialist, and founder of Honda Co.,Ltd.
•In 1937, Honda began producing piston rings-used in motorcycles.
•In 1948, Honda started producing complete motorcycles.
•In 1949, Takeo Fujisawa joined the Honda ( one of the most person lead to Honda’s success )
•In 1968, Launching the Honda 1300-Honda’s first small car.
![Page 3: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/3.jpg)
Contd…..4 Main segment following….Motorcycle Business Automobile BusinessFinancial Services BusinessPower Product and other Business Stand the largest motorcycle manufacturerAnd the 7th Automobile manufacturer in The world. On the March 2008 Honda was ranked as
the best Car in US by consumer reports
![Page 4: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/4.jpg)
HONDA SIEL CARS INDIA LTD. Honda Siel Cars India Ltd., (HSCI) was incorporated in
December 1995 as a joint venture between Honda Motor Co. Ltd., Japan and Siel Limited, a Siddharth Shriram Group company
The Honda City, its first offering introduced in 1997
HSCI’s state-of-the-art manufacturing unit was set up in 1997 at Greater Noida, U.P with an investment of Rs 450 crore. The green-field project is spread across 150 acres of land (over 6,00,000 sq. m.).
Company standard presently are ISO 9001 for quality management and ISO 14001 for environment management.
![Page 5: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/5.jpg)
KEY PRODUCTSHonda City
Honda Civic
Honda Civic Hybrid
Honda Accord
Honda CR-V
![Page 6: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/6.jpg)
ABOUT PRODUCT : HONDA CIVICThe Honda Civic is a line of
subcompact/compact cars manufactured by Honda. It was introduced in July 1972 as a two-door coupe, followed by a three-door hatchback that September. The Civic is Honda’s largest selling model globally and is now sold in approximately 160 nations and regions worldwide. Having gone through several generational changes, the Civic has become larger and more upmarket, and it currently slots between the Fit and Accord.
In India HSCI launched 1.8 V Civic in July 2006
![Page 7: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/7.jpg)
First Generation (1973-1979)Second Generation (1980-1983)Third Generation (1984-1986)Fourth Generation (1987-1993)Fifth Generation (1992-1995)Sixth Generation (1996-2000)Seventh Generation (2001-2005)Eight Generation(2006-present)
![Page 8: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/8.jpg)
HONDA CIVIC IN INDIAHSCI launched the 1.8V Civic in India in July
2006 which became a runaway success. The company has also launched the 1.8V version of the Civic in June 2007. 2007 ‘Indian Car of the Year’.
The launch of the Civic Hybrid in June 2008 is the fulfillment of yet another commitment HSCI made to its customers - of bringing in latest technologies and models from Honda's global line-up.
![Page 9: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/9.jpg)
![Page 10: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/10.jpg)
TARGET MARKETOn the basis of DemographyAGE : Young , Middle , Elderly GENDER: Male and Female PROFESSION: Businessmen, Industrialists, Bureaucrats,
Politicians, Doctors, any successful professional
INCOME: Upper-middle income group, Upper income group
On the basis of PsychographicLIFESTYLE: Exciting, Trendy SOCIAL CLASS: Upper-middle , Upper class
ATTITUDES & BELIEFS: Environmentalists, Security conscious, Class-sensitive And ultimately whosoever has got the money, passion, and eyes
which appreciate the real beauty......
![Page 11: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/11.jpg)
MARKET SHARE Honda Civic comes in Lower D Segment or A
4 Executive cars. Along with Civic other cars of same segment are Toyota Corolla Altis, Skoda Octavia, Skoda Laura and Volkswagen Jetta.
According to 2007-08 sales figure Civic leads the segment by 46% market share, then comes the Skoda Octavia having 33% market share. Toyota Corolla Altis have a Market share of 19% and rest 2% is held by others.
![Page 12: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/12.jpg)
Civic outweigh its class on Power (132 PS @6300 rpm) , Best Mileage (10.6 km/lit) and best Weight-Power Ratio.
MARKET SHARE
HONDA CIVIC 46%
SKODA OCTAVIA 33%
TOYOTA COROLLA 19%
OTHERS 2%
![Page 13: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/13.jpg)
4 PsPRODUCT : PRODUCT VARIANTThere are 4 variants to Honda Civic1.8 E MT1.8 V AT1.8V MTCIVIC SPORTThus Product Depth comes to be = 4 For HSCIProduct Width = 6Product Length = 22
![Page 14: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/14.jpg)
COLOURS AVAILABLECOLOURS :Honda Civic 1.8 V AT (Automatic Transmission) and 1.8 V MT is
available in 7 colours Night Hawk Black Carbon Bronze Pearl Bluish Silver Misty Voilet Habanero Red Alabaster Silver Taffeta White Honda Civic E MT ( Base model) is available only in 4 colours: Carbon Bronze Pearl Crystal Black Albaster Silver Taffeta WhiteHonda Civic Sport is available only in Taffeta White and Civic Hybrid
in Premium Pearl White.
![Page 15: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/15.jpg)
PRICE : PRICELIST On-Road price-list for Lucknow is MODEL EX-SHOW
ROOM PRICE
RTO INSURANCE
ON ROAD PRICE
1.8 E MT 10,03,900 33,098 38,703 10,75,701
1.8 V AT 12,61,000 39,525 47,868 13,48,393
1.8 V MT 11,93,000 37,825 45,444 12,76,269
Sport 12,12,862 38,322 46,152 12,97,336
![Page 16: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/16.jpg)
CREDIT TERMSEMI FACILITY:One can avail the Honda’s credit facility , which
gives credit at 13% interest rate for a period ranging from 12 to 60 months.
CORPORATE SALES: Honda also gives certain benefits to select
organiation and customers. Their corporate sales cover the following areas:
1. Sales to Corporate Houses2. Canteen Store Department for Indian Defence
Forces3. Government Departments4. Special Excise Duty Exemption Sales
![Page 17: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/17.jpg)
AUTO-TERRACE:
Under Auto-Terrace Honda provides its customer with exchange facility. Its like an Up-gradation facility , a customer can exchange his old Honda for new one and get compensated as per the situation of the car.
![Page 18: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/18.jpg)
PLACESALES AND DISTRIBUTION NETWORKHonda Siel Cars India has a strong sales and
distribution network spread across the country. The network includes 100 facilities in 59 cities. HSCI dealerships are based on the “3S Facility” (Sales, Service, Spares) format, offering complete range of services to its customers.
The City is manufactured with 74% indigenisation level. Honda has plans to expand its dealership network in view of its launch of new B-segment car JAZZ/FIT in later part of 2009.
![Page 19: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/19.jpg)
PROMOTION DIRECT TOOLSADVERTISING: Through TV Commercials, Print Media (Mainline Newspaper, Magazines-
auto and lifestyle, general), Placing Hoardings and On-line Advertisement. By giving Sponsored Links on popular social networking websites and
through banners etc
INDIRECT TOOLS SPONSORSHIPS: Through sponsorship of various environmental and Sport events(like
recently held cricket series against England , Man of the Series : Ishant Sharma got it)
WORDS OF MOUTH: Honda’s cars particularly CIVIC are very much appreciated for their
superb performance and stylish aerodynamic looks among general public. Among motorsport lovers worldwide and amateur racer CIVIC is extremely popular as it has the compatibility with huge no. of add-on racing gadgets as was featured in the Vin Diesel starrer movie ‘THE FAST AND THE FURIOUS’.
![Page 20: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/20.jpg)
APPLYING HOLISTIC CONCEPT TO HONDA CIVIC
CUSTOMER FOCUS CORE COMPETENCY
COLLABORATIVE NETWORK
VALUE EXPLORATION
Gap between C and Luxury segment
Technical expertise through racing experience
Joint venture with Hero group provided with consumer behaviour knowledge
VALUE CREATION A balance of style , aerodynamics, power and mileage
Through Indigenising more of the processes to cut cost
Collaboration with Siel Ltd. A Siddhartha Shriram Group Company
VALUE DELIEVERY HONDA CIVIC Expansion of plant capacity by doubling the shift (55,000 to 90,000)
Expansion plans of plant and dealership network.
![Page 21: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/21.jpg)
PRODUCT HIERARCHYNEED FAMILY : TransportPRODUCT FAMILY : AutomobilePRODUCT CLASS : Passenger VehiclePRODUCT LINE : Cars PRODUCT TYPE : SedanPRODUCT : Honda Civic
![Page 22: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/22.jpg)
BOSTON CONSULTING GROUPS GROWTH SHARE MATRIXMODELS YEAR-2006 YEAR-2007 MARKET
SHARE (06)
MARKET GROWTH (07)
ACCORD 3000 3000 5.45% 5%
CITY 41,000 38,000 74.54% 63.33%
CIVIC 10,000 17,000 18.18% 28.33%
CR-V 1000 2000 1.82% 3.33%
TOTAL 55,000 60,000 100% 100%
![Page 23: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/23.jpg)
-20% -10% 0% 10% 20% 30% 40% 50% 60% 70% 80%0%
10%
20%
30%
40%
50%
60%
70%
Series1; 5%
63%
28%
3%
Y-Values
![Page 24: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/24.jpg)
SWOT ANALYSIS INTERNALSTRENGTHS1. Technical Know-how through racing
experience and varied market exposure2. Reliable3. Performance oriented4. Has a history of its own WEAKNESS1. Weaker Brand image , less aggressive
marketing2. No Brand endorsements3. Declining operating margins
![Page 25: ANALYSIS OF MARKETING MIX OF HONDA CARS IN INDIA](https://reader034.fdocuments.net/reader034/viewer/2022050720/5468b1fab4af9f0e518b482c/html5/thumbnails/25.jpg)
EXTERNALOPPORTUNITIES1. Can capitalize on existing brand2. Interest in environment friendly vehicles3. Cost reduction through R & D 4. Increasing purchasing power of Indian
middle class.
THREATS1. Rising oil and raw material prices World
over2. Maruti , Hyundai and other players are
planning to enter D-segment so competition is going to be tough.
3. Existing all new Honda City