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NANO DC
About The Industry
Company Profile
Introduction Competitors
Marketing Mix
Distribution
SWOT Analysis
PEST Analysis Product life cycle curve Target Segment
Marketing Strategies Financial projection Implementation control Break even analysis
In the post globalized era where India is looking at growth rates of more than 8%,
one of the main beneficiaries of India’s growth story is Automobile Industry.
Termed as “Industry of Industries” by management guru Peter Drucker,
Automobile industry has been one of the indicators of a country’s economic
prosperity. Prior to the 1991 liberalization, auto industry in India was controlled
and licensed by the government. Post 1991, the industry has grown at an average
rate of 17%. Currently contributing to around 5% of the GDP, this is expected to
rise to 10% of GDP.
In the post globalized era where India is looking at growth rates of more than 8%,
one of the main beneficiaries of India’s growth story is Automobile Industry.
Termed as “Industry of Industries” by management guru Peter Drucker,
Automobile industry has been one of the indicators of a country’s economic
prosperity. Prior to the 1991 liberalization, auto industry in India was controlled
and licensed by the government. Post 1991, the industry has grown at an average
rate of 17%. Currently contributing to around 5% of the GDP, this is expected to
rise to 10% of GDP.
Headquarters - Mumbai.
TML is currently headed by Ratan Tata.
Tata Motors manufactures HCV, LCV,
Passenger cars, MUV and Military Vehicles.
Global operations - UK, South Korea, Thailand and Spain.
TML - world's fourth largest truck manufacturer. world’s second largest bus
manufacturer.
Holding 60% of market shares in commercial vehicles.Holding 60% of market shares in commercial vehicles.
With revenue of USD 14Billion(2007-2008),Tata Motors is the largest automobile company.With revenue of USD 14Billion(2007-2008),Tata Motors is the largest automobile company.
What do we want them to THINKWhat do we want them to THINK
First Indian Company to be listed in the New York ExchangeFirst Indian Company to be listed in the New York Exchange
Dealership operating in 26countries across 4 continents.Dealership operating in 26countries across 4 continents.
SEEDS OF DREAM
I observed familiesriding on two-wheelerthe father driving thescooter, his young kidstanding in front ofhim, his wife seatedbehind him holding alittle baby. It led me towonder for such a carwhich is safe &
affordable to any middle class
family.
INTRODUCTION OF TATA NANO DC
“Dream-dream and dream, because dream gives vision, vision gives thoughts and finally thoughts lead to the action". Each letter of these motivational words said by India's former President Dr. A.P.J. Abdul Kalam goes exactly with Mr. Ratan Tata, Chairman of Tata group, who in the year 2003, introduce a affordable car for the common people. Innovatively planning to form one more series of Nano Dc.The Nano Dc has created a completely new category and continues to innovate in line with the evolution of the market.The awesome spirit of the Nano Dc - of living life on your own terms - is depicted through the colourful world of Nano Dc and the people in this world who share the brand's unique attitude - to do things bigger, better, and differently.
Competitors
o Present nearest Present nearest rivals rivals
oInternal competitor
o Future competitor
• 1. Maruti Alto 800Price: 2.44 - 3.56 lakhMileage: 22.74 Kmpl
• 2. Hyundai i10
Price: 3.69 – 6.15 lakh
Mileage: 20.36 kmpl
• 3. Hyundai EON Price: 2.73 - 3.76 lakh Mileage: 21.1 kmpl
Competitors
• 1.Tata Indica V2
Price: 3.99 - 4.33 lakh
Mileage: 17.88 kmpl
• 2.Tata Venture
Price: 4.57 - 5.34 lakh
Mileage: 15.42 kmpl
• 3.Tata Indica Vista
Price: 4.61 - 6.83 lakh
Mileage: 19.1 kmpl
o Present nearest
rivals
oInternal competitorInternal competitor
o Future competitor
Competitors
o Present nearest
rivals
oInternal competitor
o Future competitorFuture competitor
• 31 DESIGN AND TECHNOLOGY PATENTS
• Cutting edeg Cutting edeg aesthetics and aesthetics and functionalityfunctionality
• AMAZING FUEL EFFICIENT AT 60MPG
• Now fuel prices Now fuel prices won't decide won't decide where you gowhere you go
• HIGH GROUND CLEARANCE
• Tell like an SUVTell like an SUV
• 6 EXITING COLOURS
• What's your What's your pick?pick?
• New Amphistream Music System
• Best-in-class AC
• Remote keyless entry
• Best Petrol mileage of 25 Kmpl#
• Warranty for 4 years / 60,000 KM^
Marketing Mix
NANO Dc is using Hub and Spoke Model for distributionTATA has many C&F Agents (Collects Nano Dc from hubs and distribute it across nation)
NANO Dc is using Hub and Spoke Model for distributionTATA has many C&F Agents (Collects Nano Dc from hubs and distribute it across nation)
While the Nano Dc seemed tailor-made for rural drivers, Tata only has dealers in major cities.
Lack of dealers in the target market i.e semi urban cities and rural areas. While the Nano Dc seemed tailor-made for rural drivers, Tata only has
dealers in major cities. The car’s reputation was further damaged when five of the first 30,000 cars had engine fires. Although no one was hurt in these instances, two of the cars burnt to the ground.
The final nail in the coffin is the price: Rising material costs pushed the car’s price up to Rs. 1.5 lakh the same as a used Maruti 800. Even without the social stigma, this price left many people wondering why they would choose to buy a car that didn’t even have a trunk
Marketing Strategies.
• Online Marketing
• Offline Markting
For marketing strategy Tata had use conventional media in an unconventional manner.
Nano DC isn’t big on advertising. There are no TV campaign.
Only innovative use of print, radio and other media, particularly the web.
Online Marketing
The major sections of the site are:The major sections of the site are:
a.a. Galary (both pictures and videos). Galary (both pictures and videos).
b.b. Game (rather Link to a nice virtual driving Game (rather Link to a nice virtual driving
game by Zapak). game by Zapak).
c.c. Community. Community.
d.d. Why Nano? Why Nano?
e.e. Booking DetailsBooking Details
Online Online
Social Media
Nano Game
Website: www.tatananodc.com
DC
Online Marketing
FacebookFacebook
BlogBlog
Orkut Orkut
YouTube YouTube
Online
Social MediaSocial Media
Nano Game
DC
Online Marketing
The game by The game by zapakzapak was a great move to was a great move to spread word about the car. spread word about the car.
Online
Social Media
Nano GameNano Game
Offline Marketing
OfflineOffline
Print Media
Collaborations: Tata partnered with a few banks for
releasing application forms.
Leveraging Existing Infrastructure: People can find
Nano Dc merchandise, application forms and demo cars in
Tata Indicom, Titan, Croma and Westside stores. Tata
Indicom is also offering a money-back offer with every
application form.
TV: Tata also invest heavily into TV commercials. Instead of anchors saying ‘we’ll be back after a
short break’ on TV channels, now they’re saying,
‘We’ll be back after a Nano break.’
Offline Marketing
Offline
Print MediaPrint Media
The grand Relaunching The grand Relaunching ceremony of Tata Nano DC was ceremony of Tata Nano DC was covered by all kind of media covered by all kind of media personal. It was a front page personal. It was a front page headline in many leading headline in many leading newspapers.newspapers.
International motor show at International motor show at Geneva where Mr. Tata shows Geneva where Mr. Tata shows the Nano DC in front of the Nano DC in front of international media.international media.
Business tycoon like Mr. Tata Business tycoon like Mr. Tata when delivered the New Nano when delivered the New Nano DC to a comman person, itself it DC to a comman person, itself it makes a big news.makes a big news.
Newspaper
Size(Color Ad)
Rate of 1 day
Total rate for 3 days in a week
Duration Total cost for 2 months
Times of India
Full page 14,85,000 44,55,000 2 months 3,56,40,000
Channels Timing (Slots)
1 day cost for airing Ad for 8 times(30 sec)
Total cost for 2 months
MTV 7pm – 11 pm 15 Lakh 9,00,00,000
Aaj Tak 7pm – 11 pm 18 Lakh 10,80,00,000
Star Plus 7pm – 11 pm 20 Lakh 12,00,00,000
31,80,00,000
Location
Size (cm)
Rate of 1 billboardfor2 months
Rate of 5 billboards for 2 months
Frequency
Total cost
City 400*500 12,03,960
60,19,800
20 12,03,96,000
Highways
720*2400
18,06,680
90,33,400
20 18,06,68,000
30,10,64,000
• Break even analysis indicates that 3742 unit or 65,47,04,000 will be required in monthly sales revenue to reach the break even point.
• Table: Break Even Analysis
• Break even analysis :
• Total expenses / revenue
per car
65,47,04,000/175000
= 3741.1657
So the Break even could
have been achived after
3742units of car sold.
0
10000
20000
30000
40000
50000
60000
70000
80000
90000
100000
1000 2000 3000 4000 5000 6000 7000
fixed cost
total cost
total revenue
Break even analysis
• Break even analysis indicates that 3742 unit or 65,47,04,000 will be required in monthly sales revenue to reach the break even point.
• Table: Break Even Analysis
• Break even analysis :
• Total expenses / revenue
per car
65,47,04,000/175000
= 3741.1657
So the Break even could
have been achived after
3742units of car sold.
Break even analysis