Академический Документы
Профессиональный Документы
Культура Документы
Domestic sales of passenger vehicles 2008-09 2007-08 2006-07 2005-06 2004-05 0 1.62 1.52 1.32 1.11 1.02 0.5 1 Million Units *Source : SIAM 0.19 0.18 1.5 2 0.22 Cars Utility Vehicles 0.21 0.24
Key Insights
21%
India is primarily a small car market , with small cars constituting 75% of total market share
79%
India is estimated to become the sixth largest passenger car market in the world by 2014
Passenger Cars
Utility Vechicles
*Source : SIAM
Key Players
Maruti Suzuki is the market leader because of its dominance in the small car segment While Tata Motors and Hyundai are key players in the small car segment , Mahindra & Mahindra has been a leader in the SUV segment Premium end car manufacturers have low market shares as they cater to Niche segment Growth rate of premium car segment stands at around 25%, much higher as compared to total market growth rate
47%
40%
30% 20% 10% 0%
Maruti Suzuki Hyundai Motors Tata Motors Mahindra & Mahindra
16%
15% 7%
12%
4%
General Motors India Others
*Source : SIAM
Growth Drivers
Growth Drivers
Increasing Consumer Demand
Growth in income levels Easier financing Better infrastructure
Government Policies
Industry Growth
New Product Launches
Contemporary Designs Reduced Life Cycle New Entrants
Cost Competitiveness
Reduced cost to the consumer Export competitiveness Availability of cheap labor
Convenience
Rising individualism Peer pressure
Competition
Competition
Segment - Hatchback
Ford Figo
Volkswagen Polo
Maruti Swift
Maruti RITZ
Toyota Etios
Hyundai i20
Segment - Premium
Honda Civic
Toyota Corolla
Hyundai Sonata
Volkswagen Jetta
Chevrolet Cruze
Competition
Segment - SUV
Mitsubishi Pajero
Mahindra Scorpio
Chevrolet Captiva
Mitsubishi Outlander
Ford Endeavor
Volkswagen Passat
Nissan Teana
Toyota Camry
Honda Accord
Competition - Summary
Segment - Hatchback
Competition based on value cost trade off Fuel efficiency and product features a key product choice influencer Service and maintenance cost a key brand choice influencer
Segment - Premium
Competition level based on premium quotient of the product Brand image and luxury features a key purchase factor
Key Facts
Competition level based on product offering combined with value cost trade off Size , Product Features and Ride Handling are key purchase factors Competition level based on High Premium Factors and Luxury Quotient Comfort and Elegance a key purchase factor Brand equity a key influencer
Segment - SUV
Consumers
Consumers - Classification
The Upgraders
Age group 25 to 30
Rise in disposable income a key trigger of purchase Consumer MHI varies from 40K to 70K Peer Pressure
The Upgraders
This segment of people generally sell of their old car and upgrade to a new one. Consumer profile would resemble to a nuclear household with kids with rise in income. Upgrade could take place within the same segment or cross segment as well.
Key triggers are need for an extra vehicle, luxury travel and social image
Age group 35 to 45 Major factors driving choice are product features and image of the brand.
Task
Consumer Segmentation
Consumer Segment
Seeker and Striver Striver and Near Rich Clear Rich
Consumer Type
The First Time Buyer The Upgraders The Multiple Unit Buyers
Annual Income
5 lacs to 10 lacs 10 lacs to 20 lacs Above 20 lacs
Car segment
Hatchback Premium and SUV Super Premium and SUV
Consumer Segmentation
100% 80% 60% 40%
20%
0% Metro Deprived Seeker Tier 1 Striver Near Rich Tier 2 Clear Rich
Clear decline in the population of the deprived and poor and rise in population of all other segments
The population rise of the striver is the fastest among all growing segments.
Growth of the Indian economy a major factor for rise in seeker and striver population Our aim is to create a strategy that revolves around these segments
Focus Strategy
Consumer Segment
Consumer
Product
Area
Primary Focus
Fabia Fabia
Secondary Focus
Laura and Yeti Yeti
Upgraders
Metro Tier 1
Clear Rich
Multiple Buyer
Metro
Superb
Metro Seeker and Striver First Time Buyers Fabia Tier 1 Tier 2 Metro Cities Delhi, Mumbai, Chennai, Kolkata, Bangalore, Hyderabad Tier 1 Cities All state capitals. Tier 2 Cities All other Cities
Consumer Segment
Consumer Type
Focus
Medium
The Upgraders
Clear Rich