Building Brand Architecture-Tata Motors Limited VS Maruti Suzuki Limited

INTRODUCTION:
COMPANY DESCRIPTION: Maruti Suzuki Limited was formerly known as Maruti Udyog
Limited and it was founded in 1981 by Mr. Sanjay Gandhi and it has its headquarters in New
Delhi. It is a subsidiary of Suzuki Motor Corporation. It is a proud owner of 294 awards till date.
It has total of around 40,000 employees.
COMPANY DESCRIPTION: Tata Motors Limited was founded in 1945 by Mr. J.R.D Tata. It
has its headquarters in Mumbai. It has a variety of products under its belt that includes passenger
cars, trucks, vans, sports cars, military cars, coaches, buses, construction equipment. It has
82,797 employees in total.
REASON BEHIND ME CHOOSING THESE TWO BRANDS: Being an engineer and
having an affinity towards vehicles and technology since an young age along with the brand
stature these two companies hold are the reasons that made me choose Maruti Suzuki and TATA
Motors for this assignment.
OBJECTIVES: This report will scan the brand architecture of two different vehicle
manufacturing companies: Tata Motors and Maruti Suzuki Limited. My main ambition is to
learn the difference in customers perception towards these two companies despite both these
companies being vehicle manufacturing companies and also being big names.

Brand Architecture ( Tata Motors Limited):

Brand core/essence:Connection of aspirations

Brand Personality: Conventional, traditional

Emotional Benefit: Comfort in driving,

staggering brand image

Product Benefits: Fuel Efficient, good

performance on different terrains, ability to
overcome impact due to strong build quality

Product Attributes:, Diesel and petrol

variants,Globally styled, sleek look to sporty
look, sturdiness, strong build quality,high
performing engine oils and rear oils.
Brand Architecture ( Maruti Suzuki Limited):

Brand essence/core: Way of life

Brand Personality: Technologically advanced,

25-35 years old,niche.

Emotional Benefit: Hassle free during repair

and maintenance, comfortable driving, ease of
owning a car due to low price of the basic
model, least impact on environment

Product Benefits: low CO2 emmission, hazard

free, wide netwrok of service centers and
dealers, wide variety, high mileage

Product Attributes: Diesel, Petrol and CNG

variant models, fuel efficient, innovative models
by using concepts like like XA alpha, R3, high
durability, recyclable

BRAND COMPARISON:
Both the companies are vehicle manufacturers holding a high value among customers.
Both Tata Motors and Maruti Suzuki have petrol and diesel variant cars available with a high
value among customers.
Within vehicles, both Tata Motors and Maruti Suzuki provide a good and similar mileage along
with a similarity in fuel tank capacity, energy per rotations, displacement etc. We can take
Maruti Suzuki Swift and TATA Tiago as a basis for comparison.
However, it is their difference in brand personalities that attract them towards different customer
segments. India is a price sensitive market and prices of vehicles matter a lot to customers. With
the availability of a Maruti Suzuki car (Alto) at a meagre price of 2.95 lakhs in India, young
entrants into a job market (with a mid range salary slab) who have the desire to own cars can
easily grab this car whereas the lowest priced model for Tata Motors is Tiago which costs 4.60
lakhs. Maruti also comes up with latest technology cars and this is highly attractive for tech-
savvy people.The price range of Maruti Suzuki cars are under the range 2.95 lakhs-11.5 lakhs.
Maruti Suzuki is highly acclaimed for giving sense of satisfaction to customers which is highly
important for people of today’s generation. With highest re-sale value, Maruti Suzuki Limited
have created a separate segment of customers too.
However, the brand name of TATA is a humongous name with the price slab of cars falling
between 4.60-20 lakhs. These cars are mainly bought by customers who are leading a stable
lifestyle. With the brand name of TATA and its association with INDIA since ages and with the
amount of CSR TATA group is involved with during moments of crisis, there is a particular
segment of customers who are highly attracted towards this brand and their involvement gives
them a sense of patriotism and internal satisfaction. The sturdiness and toughness of TATA
vehicles also gives them a different segment of customers.
SERVING COMPANY GOALS (MARUTI SUZUKI):
The goal of Maruti Suzuki Limited is to motorize India. To enable this, Maruti in partnership
with State Bank of India and associate banks took organized finance to smaller towns to enable
people buy Maruti cars. Along it uses latest technology and makes desirable cars that look luxury
at a low price to attract customers in the bigger towns.
SERVING COMPANY GOALS ( TATA MOTORS):
TATA Motors is using modular architecture, reduction in manufacturing complexity, shared
mobility, clean drivelines, autonomous vehicles to serve company goals of providing the best
vehicles and experiences to excite global customers.

BRAND VALUE:
In May 2018, it had a brand value of $ 6,375 billion. According to BrandZ, it was the the 9th most
valued auto brand across the globe in 2018. It was the only Indian Automaker company in global
top 10 list. The brand value is mainly because of the nexa chain of dealership that developed a
mass market brand perception of availability of luxury cars with a low price tag. Maruti Suzuki
has a market capital of 1, 52,414.46 cr. Around 1.7 million vehicles were sold and over 108
thousand units were imported in 2019. Last month, Maruti Swift was the most sold car with
17,039 cars being sold.
The “overall brand value of Tata group” is very high with an estimate of $19.5 billion in 2019
and is India,s most trusted brand according to Brand Finance Global. However, Tata Motors
separately has a lower brand value. However it has shown a significant improvement in
performance compared to 2018 which has led to the improvement of overall brand value of Tata
group. Tata Motors has a market capital of 22, 904.56 cr. At the end of fiscal year 2019, sales
volume of Tata motors was 2,84,000 units. In February 2019, Tata Tiago entered its name among
the top 10 selling passenger vehicles in India.
Maruti Suzuki Limited has a higher brand value than Tata motors and at the present scenario
Maruti Suzuki Limited is one of the topmost automobile brand in India on a consistent basis.
Overall, its cost efficiency compared to competitors, highest re-sale value, easiness in repairment
and servicing have taken Maruti Suzuki a notch above others.

SOURCES CONSULTED:
https://www.marutisuzuki.com/corporate/about-us/strength
https://cars.tatamotors.com/
https://www.statista.com/statistics/910972/india-maruti-suzuki-net-worth/
https://www.statista.com/statistics/316950/total-assets-of-tata-motors/
https://www.ibtimes.co.in/maruti-suzuki-brand-value-surges-breaks-into-list-global-top-10-auto-
brands-770526
https://auto.economictimes.indiatimes.com/news/passenger-vehicle/cars/tata-tiago-enters-top-10-
selling-passenger-vehicles-in-feb/68521416
https://www.business-standard.com/company/tata-motors-560/peer-
comparison/marketcap/bse/sector-by-sector
https://www.zigwheels.com/newcars/Maruti-Suzuki
https://www.campaignindia.in/article/auto-expo-2012-shashank-srivastava-on-marutis-transition-
from-count-on-us-to/415614
https://www.capitalmarket.com/Company-Information/Information/About-Company/Tata-
Motors/560
https://www.ukessays.com/essays/marketing/maruti-suzuki-india-limited.php
https://www.tata.com/newsroom/tata-only-indian-brand-among-top-100-brands-world