MODE OF MARKET ENTRY

AND POSITIONING OF

PIZZA HUT, NISSAN MOTORS&

VODAFONE

Presented By : Prince Garg

Rachit Gupta

Kumar kunal

Himanshu Malhi

V.Girish Kumar

Sunil Yadav

Pizza Market - India

Market Size - 2300 cr

CAGR- 25% to 30% (compounded annual growth rate)

Number one in India - Dominos- 67% Mkt Share

Pizza Hut - 27% market share

Number two - Pizza Hut

Non-Veg Offering Contribute-30%

PIZZA HUT - OVERVIEW Pizza Hut is a subsidiary of YUM! BRANDS, INC. the world's

largest restaurant company

Founded by DAN and FRANK CARNEY in the year 1958

Pizza Hut enter India in the year 1996 and opened its first restaurant in Bangalore

As of 2014 - 320 outlets of Pizza Hut in 60 cities of India

As of 2014, there were more than 6,000 Pizza Hut restaurants

in the United States, and more than 5,140 store locations in 94 other countries and territories around the world

Market Entry Strategy – Pizza Hut

The company has adopted “Franchising” as the entry strategy

Reason : Best method to establish operations without risk of operations

in an unfamiliar market

Franchising route helps in learning the buyer behaviour consumer behaviour & market realities

In countries where direct foreign investment is not allowed franchising is the easiest route to enter in these markets

cont’d

The franchise model is a great way for a franchiser to expand operations rapidly, with relatively low overheads and expenses, coupled with the local expertise that franchisees provide

Expanding business and revenues is what matters the most

Since he will have to spend less on infrastructure and processes than he would have in an independent business

Segmentation Pizza hut has used certain demographic factors. Such as -

Age – children, teenagers, adultsFamily size – family is having children, college students, young

professionalsIncome – low income, middle income and high income families

And also psychological factors such as lifestyle of the marketFor Ex : whether the customers are having busy life style

or not.

Target markets They are targeting the following market segments

Males and females 18 to 55  Families with young children, college students, and young

professionalsMiddle and high income familiesConsumers with busy lifestyles are more likely to be heavy

users of quick service products

POSITIONING

Pizza Hut has always followed ‘Single Brand Positioning’

Pizza Hut USP is dining experience

4 P’S of Marketing

MARKETING STRATEGY

PLACESTRATEGY

PRICESTRATEGY

PRODUCT STRATEGY

PROMOTION STRATEGY

PRODUCT STRATEGY Product Positioning of Pizza Hut - Pizza Hut has always

followed “Single brand positioning” called “PIZZAS”

Product Scope of Pizza Hut - Pizza Hut follows a “multiple product strategy” as pizza hut not only sell pizzas, but also deals in a variety of other product. Such as appetizers, beverages, desserts, pasta

Product Design of Pizza Hut - Pizza Hut follows the strategy of selling standardized products with modifications. Pizza Hut mainly sells 4 types of pizzas with 3 sizes, namely small, Regular and Large. Those are Pan Pizzas, Stuffed Crust Pizzas, Sausage Crust Pizzas, Thin Crust Pizzas

PRICING STRATEGY

Pizza Hut follows “Price Skimming” strategy

The high/low pricing strategy has several advantages for Pizza Hut –

Used to create excitement Set high price initially to send a signal that its products are best in

quality and service offered in excellent. Helps in segmenting the market as Pizza Hut can sell “the extreme

pizza” to the customers who wish to pay higher price as well as to the bargain hunters too

Sometimes in face of competition either from pizza players or from its substitutes, Pizza Hut has also reduced price by maintaining the same level of customer service and quality

PROMOTION STRATEGY

Advertising

Personal selling

Sales Promotion

PLACE STRATEGY Pizza Hut always follows the strategy of “THINK GLOBAL,

ACT LOCAL”

Pizza Hut conducts a survey to know about the Geographic conditions, Political conditions, Legal framework and Commercial practices

POINT OF DIFFERENCE Pizza Hut concentrates on in-restaurant dining

The ambience and décor of all pizza outlets are good and outlets are spacious

Pizza Hut also arranges Kitty parties, Birthday parties and Business meeting in their outlets

Pizza Hut quality of product is good and has a personalised service

Pizza Hut major revenue is from restaurant sales

FACTORS FOR SUCCESS

Offering value food

Moving Beyond Metros

Aggressive marketing and tie ups with local and popular brands

Developing the local supply chain

NISSAN MOTORS

Automobile Industry in India

Largest automotive markets in the world

Fastest growing markets globally

India's passenger car and commercial vehicle manufacturing industry is the sixth largest in the world

Annual production of more than 3.9 million units in 2011

CONTD.

India overtook Brazil to become the sixth largest passenger vehicle producer in the world (beating such old and new auto makers as Belgium, United Kingdom, Italy, Canada, Mexico, Russia, Spain, France, Brazil)

Throughout the course of 2011 and 2012, the industry grew 16-18%, selling around three million units

India emerged as Asia's fourth largest exporter of passenger cars, behind Japan, South Korea, and Thailand

INTRODUCTION

• Nissan Motors Co. Ltd. Japan

• Established in 1933

• Started with a paid up capital of 6,05,813 million yen• Ranked 61 in Fortune global 500 companies of 2014

• Among top 6 automobile companies in the world

NISSAN IN INDIA Nissan Motors India Private Ltd.(NMIPL)

Company was incorporated in 2005

Invested INR 45 Billion for a period of 7 years

In February 2008, Nissan, together with its global alliance partner Renault signed a MoU with government of Tamil Nadu

Nissan in India has a portfolio of two brands, Nissan and Datsun

Set up a manufacturing plant at Oragadam, near Chennai

Strengths

Spends 4.5% of its revenue in R&D

Value rose by 30% to nearly 5 billion dollar

Alliance with Renault and Daimler AG

Nissan performance worldwide

Marketing strategy

Targets to reach middle class people

Present market share is 1.6% & to expand it to 10%

95 outlets across India and to open 300 outlets by 2016

Aims 1 lakh consumers by next fiscal year

To reach new towns where there is no presence

Competitors

Maruti Suzuki

Hyundai

Mahindra & Mahindra Motors

Honda

Toyota

Market Share

VODAFONE INDIA

Vodafone

Vodafone Group is a British multinational telecommunications company headquartered in London

Is the world's 2nd-largest mobile telecommunications company

Chairman - John Southam CEO - Vittorio Colao 

As of 31 March 2014 - Had 434 million subscribers

Vodafone owns and operates networks in 21 countries

Revenue £43.65 billion (2014)

Competitors in Market

Entered in India

Vodafone in INDIA came with acquiring Hutchison Essar limited

Vodafone was launched officially on 21st September 2007

Than on hutch was rebranded as Vodafone

STP Analysis

Segmentation -• Age• Service usage• Life of service• Geographical condition• Nature of customer • Institutional• Sole

Targeting

Vodafone is adopting multi-segment approach .they are offering a series of differentiated products to their respective markets

Home calling cards for the families of those professional who use to work abroad

Rs. 10 recharge for small user

Cheap SMS facility for youth

Facilities for circle users

Positioning

“Where you go the network follows you”

Hutch , as a brand, always tried to connect with consumers in simple, honest and real manner, while vodafone is more young and fun brand. So consumer will see a shift reflecting a more vibrant brand

The “pug” and actor Irfan Khan will be retained for the brand position

They are talking about the exclusivity of the network and the service they are offering to the customer

MARKETING STRATEGY

Vodafone strategic objective is

- Innovate and deliver on customer’s

total communications needs

Vodafone too, needed to educate consumers about cellular telephony :-

-Can I call std?

-Can I use my phone in a lift?

-What is airtime?

Commercial Strategy Rebranding

- Stores

- Mass media coverage Innovative distribution to reach the customer

- Exclusive shops

- Hub and spoke

- Associate distributions Customer service

- Shops and call centers

- Vans

- Help desks

4 Ps

Product: A product with many different features provides customers

with opportunities to - Chat Play games Send and receive pictures Change ring tones Receive information about travel and sporting events Obtain billing information And soon view video clips and send video messages

  Vodafone live! provides on-the-move information services

Place Vodafone UK operates over 300 of its own stores

It also sells through independent retailers e.g. Carphone Warehouse

Customers are able to see and handle products they are considering buying

People are on hand to ensure customers’ needs are matched with the right product

Price Vodafone wants to make its services accessible to as

many people as possible: from the young, through apprentices and high powered business executives, to the more mature users

It offers various pricing structures to suit different customer groups

Monthly price plans are available as well as prepay options. Phone users can top up their phone on line

Vodafone UK gives NECTAR reward points for every £1 spent on calls, text messages, picture messages and ring tones

Promotion

Vodafone works with icons such as Zoozoos & Pug to

communicate its brand values

Above the line

Below the line

Public relations

THANK YOU