HYUNDAI ABHIJIT DEY ASWINI SAHU ATMA PATTNAIK DEBARNIK BISWAS

AGENDA  History of Hyundai  Evolution of HMIL  Positioning & Targeting  Advertising & Marketing Communication  SWOT Analysis  Analysis of Marketing Mix  Competition And its Tackling Strategies  Hypothesis  Questionnaire  Analysis  Road Ahead for Hyundai

History of Hyundai  Hyundai was found in 1967  It is the world's 4th largest car maker based on annual vehicle sales in recent years.  Hyundai came to India in  Its 1 st plant started in Irungattukottai near Chennai, India.  First car Santro came in 1998.

Evolution of HMIL  Transformation from a popularised ‘cost- saving’ brand image to ‘quality- oriented cars’  Accent and Elantra models launched to increase Brand Image  Slow but steady hike in sales helped to recover brand image significantly  Instrumental in bringing about the growth in Indian market for passenger cars

Evolution of HMIL  Hyundai Motors India Limited, the subsidiary of Hyundai Motor Company came in a market dominated by Maruti (83% market share)  Established its own manufacturing plant with proper Market Research and targeted the middle income earners who would prefer small cars  Tapped the latent demand of small cars with only MUL previously as a player in small car industry

Positioning and Targeting  Compact segment passenger cars.  HMIL – Santro competing with Maruti Suzuki Zen, Daewoo Matiz & Tata Indica. The marketing mix of Hyundai Santro, their first car was Price - Price - Pricing based on consumer perceptions Product Product - 3 versions of product with additional features Place - Elaborated process to select dealers and place of sale Promotion - Promotion - Promotion through Media advertisements by celebrities like SRK

Advertising & Marketing Communication Brand Endorsements  Reach to consumers at a point where consumers are becoming less responsive to advertisement  Negotiate with studios and production companies to get their brand into movies & television shows  First company to have employed the fame of an Indian Bollywood actor in a brand Target Group  Target the young couples who aspire to buy new cars at affordable price range

Advertising & Marketing Communication(cond.) Strategy  Repeated advertisement carrying the same message over the years for their target group  Ads based on providing better mileage along with low maintenance cost and great after sales services attracted huge popularity Crowd sourcing  A movement away from relying on advertisement-focused approaches  Creation of Ad content on the bargain of featuring in their ad with SRK

Advertising & Marketing Communication Online Advertisement  Random systematic sampling, yielding representation of the target population  The most exploited means of communication since Hyundai’s inception to popularity  Provides great medium for increasing customer involvement. A great appeal to meet the specific needs and wants of the target audience

Advertising & Marketing Communication Branding Hyundai uses various events socially & ethically for their brand marketing  Programme ‘My Daddy, My Superstar', to honour fathers on Fathers Day  Campaigns for cancer as a tool to publicise  Sponsorship in mega events like FIFA World Cup held in 2002,2006 & sponsorers in major ICC tournaments

Advertising & Marketing Communication SALES PROMOTION AND PUBLIC RELATIONS HMIL has 451 dealerships and more than 647 Hyundai Authorised Service Centres in 340 cities across India Produce one car each year and continuous re-launch of their cars with latest technological features to meet consumer aspirations Sophisticated R&D capability, state of the art production backed by aggressive marketing strategies

SWOT ANALYSIS Strength 75,000 employee around the world 6,000 showrooms around 193 countries 1.5 million vehicles were sold out every year Celebrity brand ambassadors Weakness Lack in ultra premium segment cars Opportunity Developing hybrid & fuel efficient cars Building a emerging brand by tapping global market Fast growing automobile market Threat Increase in fuel price Increase in competition Frequent change in Government Policies

ANALYSIS OF MARKETING MIX  Product  Higher driver’s seat made better visibility for driver  Collapsible steerable column, ultra high strength steel bars for protection against side collisions  Central locking, back wipers, power windows, body coloured bumper, power steering etc.  Price ( Santro-Economical car)  Santro LP was priced at Rs 2.89 lakhs  The next 2 models i.e. Santro LE were priced at Rs 3.49  Santro GS priced at Rs 3.69 lakhs

ANALYSIS OF MARKETING MIX  Place (Distribution)  Launched both in urban and rural areas  Formerly and meticulously choose dealers  Innovative marketing strategies by understanding the consumers wants reacting to sudden changes by promoting and placing their product  Promotion  Promotion concentrated on market demand  “Customer satisfaction campaign” which televised existing customer’s experiences  Repositioning Santro as a sunshine car through new TV commercials to promote the repositioned Santro  Road shows in rural areas and corporate-tie ups

COMPETITION Anything that a public use for transportation A. Common medium transport(Generic)  Cycle, Bike, Auto, Cab,Bus etc.  Quadricycle, Train, Metros etc. B. Rival companies & big brands(Non-generic)  Maruti, Mahindra, Ford, Renault, Tata, Nissan, Skoda etc Tackling the competition A. Low cost strategy  Launched Santro in the small car market B. Differentiation strategy  Launched Accent,Elantra-offered wider product line technologically

Hypothesis  HMIL is popular and sought after brand of hatchback.  HMIL is famous for its innovation and performance.  HMIL has a strong impact on Indian customers due to its ‘Word of Mouth’  HMIL has a great impact on the minds of customer through its extensive advertisement strategies & affecting the sales.

Questionnaire  Brand to be considered while one think of cars?

Questionnaire (cont.) Ranking the parameters w.r.t car brands

Questionnaire (cont.) Ranking the parameters w.r.t car brands (for Hyundai only)

Questionnaire (cont.)  Brand one would go for, while buying the first car

Questionnaire (cont.) Brands Taglines Correct Responses Maruti Suzuki You’re the Fuel 22 Ford Go Fida 31 Hyundai Catch the i 38 Honda Badle Aapki Duniya 12 TATA A Class Apart 15 Association of brand with their respective taglines(Table)

Questionnaire (cont.)  Association of brand with their respective taglines(Graph)

Questionnaire (cont.)  Car which comes to ones mind when one thinks of Hyundai

Questionnaire (cont.)  Rating Hyundai in the grounds of Advertising & Sales Promotion

Analysis  Hyundai’s Overall View (H2 proved)

Analysis(cont.)  Thinking of car brands Vs Buying first car (H1 proved)

Analysis(cont.) Thinking of car brands Vs Buying first car(cont.)

Analysis(cont.)  Effect of Advertisement & Promotion (H4 proved wrong)

Analysis(Cont.)  Effect of ‘Advertisement & Promotion’ Vs ‘Word of Mouth’(H3 proved)

Analysis(cont.)  Effect of ‘Advertisement & Promotion’ Vs ‘Word of Mouth’(cont.)

Road Ahead for Hyundai  The 2013 plans is to have modular platforms  A global portfolio of 40 vehicles out of which 33 would be based on 6 basic platforms  The aim is to gain big on economies of scale  18 different platforms for 32 products a couple of years ago  Reduce the product development time to just 24 months  Respond quicker to the change in the market trend  Double its capacity this year to 2,00,000 units per year  To increase the average selling price of Hyundai cars by introducing more premium and higher end products  To improve profitability, new products, improve the brand pull and crush the competition

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