BRAND HISTPORY OF KTM DUKE

In 1934, an Austrian engineer Johann (Hans) Trunkenpolz[11] set up a fitter's and car repair
shop[12] in Mattighofen. In 1937, he started selling DKWmotorcycles, and Opel cars the following
year. His shop was known as Kraftfahrzeug Trunkenpolz Mattighofen, but the name was
unregistered. During the Second World War, his wife took care of the business which was thriving
mainly on account of diesel engine repairs.[13]
After the war, demand for repair works fell sharply and Trunkenpolz started thinking about producing
his own motorcycles. The prototype of his first motorcycle, the R100, was built in 1951.[14] The
components of the motorcycle were produced in house, except for the Rotax engines which were
made by Fichtel & Sachs. Serial production of the R100 started in 1953. With just 20 employees,
motorcycles were built at the rate of three per day.[15]

KTM 1953–1991[edit]
In 1953, businessman Ernst Kronreif became a sizable shareholder of the company which was
renamed and registered as Kronreif & Trunkenpolz Mattighofen. In 1954, the R125 Tourist was
introduced,[16] followed by the Grand Tourist[17] and the scooterMirabell[18] in 1955.
The company secured its first racing title in the 1954 Austrian 125cc national championship[19]. In
1956, KTM made its appearance at the International Six Days Trials where Egon Dornauer won a
gold medal on a KTM machine[20].
In 1957, KTM built the Trophy 125cc first sports motorcycle[21]. KTM's first moped, called Mecky, was
launched in 1957, followed by Ponny I in 1960 and Ponny II in 1962 and Comet in 1963[22]. The
1960s also saw the beginning of the bicycle production in Mattighofen.
Ernst Kronreif died in 1960[23]. Two years later in 1962,[24] Hans Trunkenpolz also died of a heart
attack. His son Erich Trunkenpolz took charge of the company's management.
As the company continued to expand, the workforce totaled 400 in 1971, and forty years after it was
founded, KTM was offering 42 different models. Besides, KTM was able to produce motorcycles for
the racing industry. During the 1970s and 80s, KTM also started to develop and produce motors
and radiators. Radiators sold to European car manufacturers constituted a sizable part of the
company's business in the 1980s.[25]
In 1978,[26] US subsidiary KTM North America Inc. was founded in Lorain, Ohio.
In 1980, the company was renamed KTM Motor-Fahrzeugbau KG.[25] One year later, KTM had about
700 employees and a turnover of 750m. Schilling (about 54.5m. Euro). International business then
amounted to 76 % of the company turnover.[25]
However, scooter and moped turnover sank rapidly, and production had to be halted in 1988.[25] Erich
Trunkenpolz died in 1989. Takeover of a 51 % interest in the company by the Austrian investment
trust GIT Trust Holding controlled by Austrian politician Josef Taus in 1989 was followed by
unsuccessful attempts to turn the indebted company around,[27] and in 1991, KTM management was
transferred to a consortium of creditor banks.

KTM after 1991[edit]

In 1992, the company was split into four new entities: KTM Sportmotorcycle GmbH (motorcycles
division), KTM Fahrrad GmbH (bicycles division), KTM Kühler GmbH (radiators division) and KTM
Werkzeugbau GmbH (tooling division).
Now owned by KTM Motorradholding GmbH, which was formed by Cross Holding (a Cross
Industries daughter), and other investors, KTM Sportmotorcycle GmbH started operation in 1992
and later took over the sibling tooling division KTM Werkzeugbau. In the following years, while
steadily increasing production and turnover, investing in new production and R & D
facilities,[5][28][29] introducing new models and successfully sponsoring and taking part in various race
sport events, the company underwent a series of restructurings and stakeholder changes guided by
KTM's managing director and Cross Industries owner Stefan Pierer. In 1994, KTM started production
of the Duke series of road motorcycles, in 1996, KTM motocross machines were first decked out in
KTM's signature orange color,[30] and 1997 saw the introduction of
LC4 Supermoto and Adventure motorcycles. In 2007, the company debuted the KTM X-Bow sports
car.[31]
In 1995, KTM Motorradholding GmbH acquired Swedish motorcycle maker Husaberg AB and took
control of the Dutch company White Power Suspension.
In 2007, Indian motorcycle manufacturer Bajaj Auto bought a 14.5% stake in KTM Power Sports AG.
By 2013, Bajaj Auto held a 47.97% interest in the company.
In 2013, KTM acquired the formerly Swedish motorcycle maker Husqvarna Motorcycles from its prior
owner BMW Motorrad AG.[5] The same year, KTM re-integrated the brand Husaberg into Husqvarna
Motorcycles from which it had spun off in the 1990s when Husqvarna was sold to the Italian
company Cagiva.
As the final result of the restructuring process, KTM Motorradholding GmbH had become KTM AG in
2012. In 2015, KTM generated a turnover of over 1 billion Euro and employed 2515 people by the
end of that year.[5] Of the four separate companies left after the 1992 split, three were now again part
of the KTM Group: KTM Sportmotorcycle GmbH, KTM Werkzeugbau GmbH and KTM Kühler
GmbH (today WP Radiators). KTM Fahrrad GmbH (KTM Bike Industries) remained an independent
company and is owned by Chinese investors. KTM-Group today contains the brands KTM and
Husqvarna Motorcycles.

Corporate structure[edit]
Ownership[edit]
KTM AG is presently owned by CROSS KraftFahrZeug Holding GmbH[32] (51,28 %) and Bajaj Auto
Limited International Holdings B.V. (47,99 %).[33][5] CROSS KraftFahrZeug Holding GmbH is a
subsidiary of KTM Industries AG (prior to 2016 CROSS Industries AG),[34] founded by KTM AG’s
current CEO Stefan Pierer. KTM Industries AG is owned by Pierer Industrie AG (74,89 %).[35]

Subsidiaries[edit]
As of 2017, KTM AG has the following subsidiaries:

 KTM-Racing AG (Switzerland, 100 %)

 KTM-Sportmotorcycle India Private Ltd. (India, 100 %)
 KTM Sportmotorcycle GmbH (100 %, distribution of motorcycles and parts)
 Husqvarna Motorcycles GmbH (100 %, distribution of motorcycles and parts)
 KTM Sportcar GmbH (100 %, production and distribution of the KTM X-Bow)
 KTM Technologies GmbH (74 %, R&D services)
 KTM Immobilien GmbH (99 %, owner of all property and buildings of the KTM Group)
 WP AG (25 %, former White Power suspension GmbH, production of motorcycle components)
 Kiska GmbH (26 %, design company for the KTM Group)
Furthermore, KTM Sportmotorcycle GmbH and Husqvarna Motorcycles GmbH operate 24
respectively 7 distribution subsidiaries worldwide, most of them in European and Asian countries and
in the US.

Joint ventures[edit]
KTM started exporting their GS model to USA in 1968 through an American importer, John
Penton under the Penton brand. This Joint Venture lasted until KTM established KTM America
Inc. in Ohio in 1978.[36]
In 2005, KTM-Sportmotocycle began a partnership with ATV manufacturer Polaris Industries with the
goal of shared R&D, and more importantly shared distribution networks. This partnership was a two-
year trial arrangement, at the end of which both parties had the option of merging the two companies
into one. In 2006, KTM announced that the partnership with Polaris had been downgraded, and
would instead only supply their 450cc and 510cc RFS engines to Polaris.[37]
In January 2008, Bajaj announced that it would jointly develop two new 125cc and 200cc bikes for
Europe and the Far East. The bikes would be badged KTM.[38] In January 2012, Bajaj launched the
Duke 200 model in India.[39]
KTM operates distribution joint ventures in Dubai (KTM UAE), New Zealand (KTM New Zealand),
and the Philippines (KTM Philippines).

LAUNCHING STATERGY OF KTM

Ktm duke 390 - marketing presentation

1. 1. KTM 390 MAKE WAY !!
2. 2. TEAM - 9
3. 3. KTM Brand History • Founded in 1934 by Hans Trukenpolz in Mattighofen, Austria. • Started as a
car and motorcycle repair shop dealing primarily in metal workings. • Started bike manufacturing due
to low business in the metal workshop. • The company expanded throughout Austria • Once Ernst
Kronreif becames partner in the Trukenpolz company, the name is changed to KTM.
4. 4. KTM LEGACY • High Performance motorcycle company from Austria • Produce Mini-bikes ,Dirt
Bikes, Sports Bikes, and Dual Sport Bikes • They are the only non-Japanese bike that is part of the big
5. • Podium Domination - Massive gold medal collection in the across the world.
5. 5. KTM MODELS IN PRODUCTION
6. 6. MARKET DEMOGRAPHICSINDIAN 2-WHEELER SEGMENT IN INDIA • TOTAL
PRODUCTION - 34,02,897 units / year. • MOTORBIKE SHARE – 25,56,782 units / year (75%) •
GROWTH RATE - 7-8% / year In the last few quarters, there is a steep climb in growth observed in
the 150cc+ segment. Growing at almost 29%. Unlike the lower segment where the growth has been
roughly 9.2%. An indication that the market is shifting towards the performance segment.
7. 7. KTM IN INDIA • KTM entered the Indian market via Bajaj in January 2012 by launching the Duke
200 (A 200cc “naked” street bike). • Instant hit among the biking fraternity. • KTM organizes official
events all over the country to promote safe riding. Eg. ORANGE DAY – Track event and ORANGE
RIDE – Street legal rides.
8. 8. MARKET DEMOGRAPHICS (Continued) Hero 55% Bajaj 27% TVS 7% others 11% Sales
9. 9. KTM DUKE 390 • The elder brother of the Duke 200. The Duke 390 is double as powerful but
weight just as much as its younger sibling. • Practical and affordable. • All terrain motorcycle. •
Superior handling capabilities • State of the art technology • Front runner in the 400cc segment in
INDIA.
10. 10. KTM DUKE 390 SPECIFICATIONS
11. 11. MARKET TREND • Indian Market looking for upscale bikes. • Serious riders want to buy
powerful bikes that are affordable. • Consumers are ready to pay a premium for the “Luxury 2-
Wheeler Segment”. • Increase Social presence.
12. 12. SWOT Analysis STRENGHTS • A Global brand name. • Known for durability and performance. •
Highest BHP in segment. • Cost effective. • Low maintenance. • Higher gas mileage. WEAKNESS •
Low market presence. • Will take time to be accepted. • Primarily meant for single rider comfort. • A
misnomer to be a very expensive motorcycle.
13. 13. SWOT AnalysisOPPORTUNITIE S • INDIA - a potential market as it was an untapped market for
performance bikes. • No direct competition in the cost and performance segment. • Front runners to
conduct organized races for KTM Duke owners. THREATS • New entrants from competitors who
have higher market presence. • Traffic congestions and bad city roads. • Rise in fuel prices. • Primary
2 wheeler segment is dominated by high mileage motorcycles or scooters.
14. 14. COMPETITION
15. 15. BIKE COMPARISON NAME OF BIKE ENGINE CAPACITY PRICE * (INR) COMMENTS
KAWASAKI NINJA 300 300 cc 3,50,000/- • Higher maintenance • Premium fuel required. (22 kmpl)
• Not ideal for all terrain HYOSUNG GTR 600 600 cc 4,50,000/- • Bike underpowered for the engine
capacity provided. Low gas mileage. (16 kmpl) • Not ideal for all terrain HONDA CBR 500 ABS 500
cc 5,00,000/- • High maintenance. • Low gas mileage. (17 kmpl) • Not ideal for all terrain KTM
DUKE 390 390 cc 2,00,000/- • Ideal for all terrain • Light weight. • Cost effective • Self maintain
training provided. • Good gas mileage. (30 kmpl) Ex-showroonNewDelhi
16. 16. WHAT IS THE TARGET MARKET?The people aspiring to have powerful and really fast bikes.
Demographic Higher disposable income of consumers has become a key factor in driving the markets
and development of the products. Socio-Cultural There has been a drift in the mindset, taste and
lifestyle of the people. The experiential rider has become very demanding and looks for thrill more
than just a normal commute.
17. 17. Segmentation >Young Men >Highly fashion oriented people >Men wanting to live on the edge.
>Men who want the KTM DUKE 390. High Disposable Income Strivers Potential Market
18. 18. WHO DO WE SELL TO? • Frequent long distance riders – Experiential riders. • Those who are
interested in performing stunts • Those who want to portray a Macho image. • Those who lay
emphasis on sheer riding quality in a bike. • Those who wish to get noticed, trying to portray an
unstoppable image. • Urban lifestyle. The wannabes.
19. 19. Advertisement s!!
20. 20. MARKETING PITCH : PRINT Stunt rider doing a “Stoppie” in a KTM Duke with the following
quote : “THE ONLY THING STOPPING YOU IS YOU.” The pitch is primarily meant for ardent
riders who would be interested to push the bike to its limits and perform stunts on their own.
21. 21. MARKETING PITCH : VIDEO An individual who recalls riding his KTM Duke 390 whenever
he closes his eyes. Followed by quote : “CANT GET IT OUT OF YOUR MIND. EVEN IF YOU
WANT IT TO.” Again, meant for ardent riders who are interested in a thrilling riding experience.
22. 22. LETS STOP FOR QUESTIO NS