Section G          Bajaj Pulsar (220 DTS‐i) 

All the references are as of on 27th August, 2009  Page 1 of 5  

ICFAI BUSINESS SCHOOL, HYDERABAD

MARKETING MANAGEMENT –I PROJECT : BAJAJ PULSAR 220 DTS – I

SUBMITTED BY :

TAPAN (09BSHYD1017) KAUSHAL (09BSHYD0361) PIYUSH (09BSHYD0757)

RASHI (09BSHYD0649) CHARU (09BSHYD0223)

UNDER GUIDANCE OF DR. NITIN GUPTA (IBS-H)

MAJOR SEGMENTATION VARIABLES FOR BAJAJ PULSAR 220 DTS-I:

Geographic

Rural and Urban Segment: - Pulsar 220cc is targeted towards urban youth1.

Demographic

Age :- Pulsar 220cc is targeted towards youth2 Gender: - pulsar 220cc has got a macho look and is definitely for male3. Income: - Pulsar 220cc is positioned in the premium segment of bikes4. It is targeted to the

higher and upper middle class of society.

Psychographic

Lifestyle: - Bajaj pulsar 220cc is the fastest bike in India5, it is targeted towards the people who love speed and adventure.

Personality: - Bajaj has teamed with Fast with Furious (movie) for promotion6. This clearly shows that pulsar 220cc is targeted to aggressive people. Pulsar 220cc is banking on its “The fastest Indian “tag.7

Behavioral

Benefits: - pulsar 220cc is the leader among the performance bikes. It has got features which no other bike provides in India8.

User Status: - Pulsar has created a big hype among Indian youth. There are a lot of people who are willing to buy the product9.

Readiness Stage: - This bike has got lot of attention among Indian youth10. Attitude toward Product: - pulsar 220cc is very popular among bike enthusiasts.

                                                       1 http://www.exchange4media.com/e4m/izone1/izone_fullstory.asp?section_id=4&news_id=35536&tag=31258 2 http://www.exchange4media.com/e4m/izone1/izone_fullstory.asp?section_id=4&news_id=35536&tag=31258 3 http://lifestyle.iloveindia.com/lounge/pulsar‐220‐cc‐dts‐fi‐149.html 4 http://www.wheelsunplugged.com/ViewNews.aspx?newsid=3655 5 http://www.vicky.in/straightfrmtheheart/bajaj‐lanches‐new‐pulsar‐220cc/ 6 http://www.zimbio.com/Bajaj+Pulsar/articles/82/Bajaj+Pulsar+teams+up+Fast+Furious+4+pulsating 7 http://www.exchange4media.com/e4m/izone1/izone_fullstory.asp?section_id=4&news_id=35536&tag=31258 8 http://www.wheelsunplugged.com/ViewNews.aspx?newsid=3655 9 http://www.exchange4media.com/e4m/izone1/izone_fullstory.asp?section_id=4&news_id=35536&tag=31258 10 http://www.bikes4sale.in/wp/page/2/ 

Section G          Bajaj Pulsar (220 DTS‐i) 

All the references are as of on 27th August, 2009  Page 2 of 5  

DIFFERENTIATION STRATEGIES:

Product Differentiation:

1) Form: a) Color11: Plasma Blue, Cocktail Wine, Red Midnight, Black Misty, Grey Silver b) Pulsar 150cc, Pulsar 180cc, Pulsar 200cc and Pulsar 220cc with and without Fuel

injection. 2) Design12:

a) Digital odometer, Digital speedometer, Digital fuel gauge and two digital trip meters b) First bike in India with 33 mm front fork for better shock absorbing facility. c) Split seat for better riding and sitting comfort. d) New petrol tank flaps give petrol tank an aerodynamic looks.

3) Features13:

a) All Black styling b) 3D chiselled logo c) Vertical stack twin projector headlamps

d) Auto choke e) Clip-on handle bar f) Split seats

g) Digital Twin Spark Ignition h) Engine oil cooler i) Fuel and battery charge indicators

4) Durability: The muscular aerodynamic shape of Pulsar DTS-i and its 1350 mm of wheel base with 17" large alloy wheels give this Bajaj bike a robust presence on the road.

5) Performance quality14: a) Digital Twin spark Ignition (DTS-i) technology provides efficient fuel combustion

and better performance. b) Larger resonator and catalytic convertor improves the performance. c) Largest venturi carburetor provides high performance. d) Exhaus technology improves scavenging process and hence the performance of the

vehicle.

Service differentiation: a) 2 years /10,000 km warranty. b) Bajaj Finance for finance support15.

Channel differentiation: Exclusive Pro- biking showrooms16.

Personal differentiation: Customer Care (Toll free number)17.

Image differentiation:

                                                       11 http://www.p220thefastestindian.com/index01.php 12 http://www.p220thefastestindian.com/index01.php 13 http://burnyourfuel.com/2009/08/04/bikes/bajaj‐pulsar‐220‐dtsi‐technical‐specifications‐features‐colors‐wallpapers‐commercial‐price‐details‐unveiled/ 14 http://www.p220thefastestindian.com/index01.php 15 http://www.bajajauto.com/bajaj‐finance.asp 16 http://www.bajajauto.com/pro‐biking.asp 17 http://www.bajajauto.com/pro‐biking.asp 

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Section G          Bajaj Pulsar (220 DTS‐i) 

All the references are as of on 27th August, 2009  Page 4 of 5  

Touring22. All four are made for very distinct requirement of biking, like sports bikes are mostly made for bike races and for particular kind of people who like to enjoy sports bike ridding;

Item : Pulsar 220 DTS-i with fuel injection system, of Misty Grey Silver Color is the SKU of the product type sports bike. Thus Pulsar 220 DTS-i with fuel injection system, of Misty Grey Color Silver specifies a particular kind of bike of Bajaj Auto Ltd. that serves basic need of personal commutation. Bajaj offers Pulsar DTS-i with Fuel injection and without fuel injection system; and also offers four (4) colors, viz. Misty Grey Silver, Midnight Black, Plasma Blue and Cocktail Wine Red23. Thus Pulsar 220 DTS-i has 8 (2x4) variants. All eight (8) are different based upon their color and price. Similar is the case for Pulsar 150 DTS-i and Pulsar 180 DTS-i, with some technical differentiation.

PRODUCT LINE STRATEGY : -

Line stretching :- Bajaj launched Pulsar 150 and Pulsar 180 models in the year of 2001, and subsequently they introduced DTSi (Digital Twin Spark Ignition) models of both earlier models, Pulsar 150 DTS-i and Pulsar 180 DTS-i. By 2007 they introduced Pulsar 200 DTS-I model (which was drawn back by Oct 200824). Thereafter, they introduced Pulsar 220 DTS-Fi and Pulsar DTS-i models. Sensing the room in 180 cc and 200 cc range, for new entrant and growing interest of youth, Bajaj Auto introduced these new variants, i.e. Pulsar 200 DTS-i and Pulsar 220 DTS-i. This shows Up-Stretching of the existing product line.

Line filling :- When Bajaj Auto introduced Pulsar 150, there was no other automobile company in Indian market that was offering any bike of more than 150 cc engine capacity, except Royal Enfield that was of 225 cc. So, subsequently introduction of Pulsar 180, Pulsar 180 DTS-I were the efforts of the company towards filling the gap in the “Product Line” between the 150 cc engine bikes and 225 cc engine bikes.

Line Modernization, Featuring and Pruning :-

Line Modernization : a. Bajaj Auto Introduced Pulsar 150 and Pulsar 180 models in 2001. b. Bajaj (JV with Tokyo R & D25) devised Digital Twin Spark ignition (DTS-i) Technology

by 2002 and introduced this in their then existing variants of Pulsar 150 and Pulsar 18026. This technology improved engine power by 1 bhp (Brake Horse Power).

c. The 2005 series of the Pulsar featured 17" alloy wheels, lower stance, 15 litre fuel tank capacity and Nitrox filled gas shock absorbers27.

d. The 2006 series included key changes in the looks and styling, which includes a range of features like self-cancelling turn indicator switch, flush LCD screen with digital read out of important vehicular data, pilot lamps, new design turn indicators, new LED tail light

                                                       22 http://en.wikipedia.org/wiki/Touring_motorcycle 23 http://www.p220thefastestindian.com/index01.php 24 We could not find particular and specific reasons for this action of Bajaj Auto Ltd.  25 http://www.financialexpress.com/old/fe/daily/20000115/fco15050.html 26 http://www.infibeam.com/static/bajaj‐pulsar.html & http://www.ehow.com/about_5145373_bajaj‐pulsar‐history.html 27 http://www.infibeam.com/static/bajaj‐pulsar.html 

Section G          Bajaj Pulsar (220 DTS‐i) 

All the references are as of on 27th August, 2009  Page 5 of 5  

assembly, better engine torque, reduced engine and body vibrations, and improved gear shift28.

Line featuring : Advertisement of Bajaj Pulsar: Bajaj always features their latest Pulsar Model exhaustively and put lesser efforts on the other Pulsar variants and other bikes29. This is the case of “Line Featuring”. Line pruning :

Bajaj Auto withdrew their model Pulsar 200 DTS-i within a very short span of its launch.

PRODUCT MIX PRICING STRATEGIES:-

Product line pricing30: - Bajaj has four variants under its product line of Bajaj Pulsar, as follows31:

PULSAR MODEL PRICE Bajaj Pulsar 150 ES DTS-i UG Rs. 62,000 Bajaj Pulsar 180 DTS-i UG Rs. 66,000 Bajaj Pulsar 220 DTS-fi Rs. 70,000 Bajaj Pulsar 220 DTS-i Rs. 89,265

Bajaj Pulsar 220 DTS-i competes with only Hero Honda Karizma in Indian market, with following price matrix32:

Model Price Model Price Bajaj Pulsar 220 DTS-fi Rs. 70,000 Hero Honda

Karizma Rs. 86,000

Bajaj Pulsar 220 DTS-i Rs. 89,265 Optional feature pricing: -

The Bajaj Pulsar DTSi-220 does not have any optional feature in it. It comes in four colors having same price33.

Captive pricing34:- In a Bajaj Pulsar bike if any part(s) (certain special parts like engines, piston, silencer, accessories, fuel injector, etc.) is not functioning properly, due to any reason(s), customer requires to buy that particular part from the parent company only35.

Two part pricing:- There is no two-part pricing. By product pricing:- It has no by-product pricing. Product bundling: - Company offers no product bundling for Pulsar brand.

                                                       28 http://www.infibeam.com/static/bajaj‐pulsar.html 29 This has no particular evidence based upon survey, but we found this during extensive search on the project work. 30 http://www.more‐for‐small‐business.com/product‐line‐pricing.html 31 http://www.naaptol.com/buy‐online/WO‐shopping‐best‐deals‐137O/automobiles/motor_bikes.html 

32 http://www.naaptol.com/buy‐online/WO‐shopping‐best‐deals‐W137O/automobiles/motor_bikes.html 33 http://www.p220thefastestindian.com/index01.php (www.bajajauto.com) 34 http://marketingteacher.com/Lessons/lesson_pricing.htm 35 To analyze the prices of spare parts provided by Bajaj or from other companies, is beyond the scope of this report.i