Activa joy ON & ON

Submitted by: Std: Mayank Agrawal BBA.LLB(Hons.) 2nd year(4th sem) Subject: Submitted to: BRANDING PANKAJ ARORA SIR

MATS LAW SCHOOL MATS UNIVERSITY Raipur (C.G)

INTRODUCTION: The two wheeler segment in the automobile industry plays a vital role in India. The present day market is such that a two wheeler is affordable by middle class people in urban areas. It is also more convenient for travelling short distance within the city and for individual, over, the years the sales figured of the two wheelers has increased to a very large extent. The sales of the two wheeler in 1950 were merely 900 units, whereas now the sales have gone up to millions. The two wheeler market mainly consists of scooterette and motorcycles. The motorcycles segment forms 65% of whole of two wheeler segment. Whereas earlier the motorcycles had a very small share in the two wheeler segment but with the collaboration of Indian and Japanese companies (Honda, Suzuki, and of Kawasaki) the share has increased tremendously with reason being that two wheelers had a superior engine, better pick-up, good mileage, improved designs and large options to choose from. The two wheeler segment is divided into two stroke and four stroke categories. The two strokes consists of kinetic Honda, Nova, Yamaha Rx135, etc. the four strokes category consists of Honda Activa, TVS Scooty, Kinetic Style, etc. Most of the officials or some persons generally prefer these two wheelers, such as Honda Activa, Kinetic Honda, Scooty, etc, as they are more concerned with mileage. They are also concerned with these two wheelers, as they prefer unguarded vehicles, so that it would be easy to ride the two wheelers in the cities where there is much traffic. The scooterette segment will continue to lead the demand for two wheeler in the coming years. The Indian two wheeler industries produced and sold about 3.4 million units in the year 2009-10. Like any other Indian industry, the policy environment guided and controlled this segment of the industry as well. Licensing horns ruled day till the mid 80s access to foreign technology inputs and foreign investment were strictly government controlled. Since mid 80s, the Indian automobile industry was administered select doses of liberalization, foreign collaboration coupled with Indian market potential, attracted world major companies like, Honda, Yamaha, Suzuki, etc.

INDIAN AUTOMOBILE MARKET: In India basically the people are composed of middle and lower income people. For them economical and reasonable comfortable bike or scooter with less maintenance was the priority. Honda noticed this and their efforts paid dividends when Activa and Dio were launched. The two wheeler age revolutionized Indian automobile market. The customers attitudes too changed with preference for looks, low cost, maintenance, fuel efficiency. Power engine, availability of spare parts, comfortable riding and good after sales service. Consumers long list of preference was carefully kept in mind and a new era of market segmentation began. The market now segregates high income and middle income from rich class of customers. Bikes and scooterettes for everyone has become a motto for automobile industry. Rich and high-income group of customers usually goes for: Looks Maintenance Power The middle and low-income people goes for: Fuel efficient Power Economical c

INDUSTRIAL BACKGROUND: Indian automobile industry is full of big names such as Maruti, Kawasaki, Tata, TVS, Suzuki, Yamaha, Hero Honda, and many others have swept away the automobile market with high quality 2 and 4 wheelers. When we shift our attention to manufacturers of bikes in India such as Hero Honda, Yamaha, TVS-Suzuki, Bullet and many othersoccupy pre-dominant positions in our eyes. These have been gained big status to their entity with liberalization opening gates of conservative Indian economy, many multinational companies are collaborating with Indian companies to market share for their vehicles at international level. HONDA: Honda is the world's largest manufacturer of 2-wheelers. Its symbol, the Wings, represents the company's unwavering dedication in achieving goals that are unique and above all, conforming to international norms. These wings are now in India as Honda Motorcycle & Scooter India Pvt. Ltd. (HMSI), a wholly owned subsidiary of Honda Motor Company Ltd., Japan. These wings are here to initiate a change and make a difference in the Indian 2 wheeler industry. Honda's dream for India is to not only manufacture 2-wheelers of global quality, but also meet and exceed the expectations of Indian customers with outstanding after sales support.

BREIF OF HONDA ACTIVA: Launched in 2001, Honda Activa was the first scooter model of HMSI for the Indian market. A 102 cc scooter, Activa was specially designed keeping in view the needs and preferences of Indian consumers who expressed that the conventional Indian scooter was too big and difficult to handle and that the scooterette was too small and similar to a moped. It has revitalized the Indian scooter market after its relaunch in the year 2009. Within the 1st year of its launch it has been awarded the 'Scooter of the Year' by Overdrive magazine and also the 'Readers Choice Award' for the best scooter by Auto India Magazine. The Honda Activa has set a new standard for new era of scooters in India. It has been developed exclusively for the Indian market after closely examining the changing lifestyles, wants and needs of the consumers. The Honda Activa has been designed to cater people who believe: The conventional Indian scooter is too big and difficult to handle The scooterette is too small and similar to mopeds The Honda Activa is equipped with a number of new functions and mechanisms, introduced for the first time in India. It is designed to offer greater functionality, performance, economy, and ease of handling and maintenance to a wide cross-section of the Indian society.

Some monopoly Features:

Aerodynamic Design: The Honda Activa has an aerodynamic body that helps cool the engine through smoother airflow. It also helps to lower fuel consumption by lowering air resistance. Tuffup Tube: The Tyres of the Honda Activa have double layered tubes with fluid in between. This seals the air leakage in case of a puncture to ensure that the rider enjoys a hassle-free ride. Under Seat Box: Neatly hidden beneath the seat of the Honda Activa is space that can comfortably hold a helmet or any other thing you wish to put away (as we call it as DICKKI). CLIC: The Convenient Lift-up Independent Cover enables one to easily lift-up the Honda Activas body cover, like the bonnet of a car. This makes routine maintenance easier and faster. Multi-Reflector headlamp: Honda Activa has a powerful and very stylish multi-reflector headlamp that increases road visibility to make night driving a safe experience.

Honda Activa Colours:

The flagship scooter of Honda comes in various attracting hues. These are candy lucid red, geny grey metallic, black, force silver metallic, wild purple metallic and pearl sunbeam white. The body colour is painted on front fairing and body panels of the machine. Body panels are impact resistant ABS plastic panels. Rear grab rails and rear view mirrors are in different colours.

Honda Activa Acceleration:

The top speed of the Honda Activa is 80 kmph. New revamped engine is there to give the scooter more power and pick-up thereby increase the acceleration.

Honda Activa Brakes:

Honda Activa houses drum brakes at both end. Yes, these are conventional braking system but smart enough to give instant braking to this kind of compact machine. The diameter is 130mm for both the brakes. The new Honda Activa is incorporated with combi brakes (in deluxe version) which promises shorter braking distance. One More effective safety system is also there in the Honda Activa that is called CBS. It comes in act when rear brake is activated. In other words, it applies front braking force when rear one is activated.

Honda Activa Fuel Efficiency:

This family scooter is one of the best scooter exit in India. The Honda Activa is also liked due to its fine mileage figures. The company's engineers also did a fine job to increase its mileage by 15 per cent. It gives around 52 kmpl, as per HMSI test conditions. Nevertheless, Honda Activa owners reported it around 45 in city and around 50 kmpl on highway. Fuel filling system is remained the same that is by lifting seat. The petrol tank maximum capacity is 5.3 liters.

Pricing of Honda Activa:

Honda Activa is available across India via the large dealership network of Honda. Honda Activa Price varies from location to location in the country. Honda Activa Ex Showroom Price* in Delhi is Rs.43,148.

SWOT ANALYSIS OF HONDA:-

STRENGTHS

Quality and customer satisfaction

The Honda was merged with hero group so there is not high demand for branding. The pricing strategy of Honda was good according to the product quality
High R&D like Hybrid Technology Innovation Market share leadership Strong brand equity Unique products

WEAKNESSES

High Price (latest technology being used in Honda products it is difficult to keep the prices low.)

Honda was the new company for the Indian market. The leading two wheeler manufacturing companies HERO HONDA, BAJAJ,TVS are having good marketing policy and product
Reputation for being underpowered.

OPPORTUNITIES

Progressing low emission vehicles and alternative power sources. Mid segment economical small Cars.

THREATS

Too many competitors in automotive industry. Lower cost competitors Economic slowdown Expanding market size of compact cars ( currently it is around 76% ) Regaining the lead of low emissions is a risky proposition as other companies are coming out with new and cost effective ideas of producing low emission vehicles. External changes (government, politics, taxes, Steel Prices etc)

COMPARISON BETWEEN HONDA ACTIVA AND SUZUKI ACCESS:

It was always confusing for every person to decide between two different product with similarities between them, so it was needed to cross cheak with comapny manuals and consumer reviews for accuracy.
Specification Size Power (Bhp) Torque (Nm) Pickup Mileage Honda Activa DLX Slimer than Suzuki Access 8 bhp* 8.8 Nm* 60 km in 10.79 sec 53.5 kmpl Suzuki Access Little more bulky 8.58 bhp* 9.8Nm* 60 km in 7 sec 44.7 kmpl 42,850** 45 days Normal Normal 4 Stroke, single cylinder 90/100 Drum 160 mm 780 mm 6.0 L 20 L 115

Price (Ex-showroom price, New Delhi) 41,097 ** Waiting Period Maintenance Availability of spares Engine Tyre Size Breaks Ground Clearance Seat height Fuel Tank Storage Kerb Weight (Kg) NA Normal Easy 4 Stroke, single cylinder 90/100 Drum 145 mm 765 mm 5.3 L 18 L 111

CONCLUSION

Since its launch in 2001 the Honda Activa has become a hit with both men and women as it caters to the needs of both genders. Practical, comfortable, convenient, reliable, durable, maintenance and stress free, workhorse, family carrier etc are some of the adjectives associated with the Activa. The Activa is the best bike for those crowded rush hour traffic and nothing even comes close, With the best mileage available in existing non-gear 2wheelers yet. You can out maneuver anything else with this bike and I think we should call it traffic buster. The bike is in my opinion the easiest 2 wheeler to drive. No gears, no clutch, self-start for easy starts. One in any word we can say that Honda Activa is a pleasure to drive with joy ON & ON.