MARKETING PROJECT

Maruti Suzuki is not able to provide products for the

premium end customers. Role of Positioning in the
marketing strategy.

S U B M I T T E D B Y: L E E N A D U T TA 1 3 2
LAXMI DAGDEE 20
NEHA SINHA 96
M AYU R I S A LVE 1 5 1
KUNDAN KUMAR 190

SECTOR ANALYSIS
(AUTO-MOBILES)
The automobile industry account for 22 percent of the countrys
manufacturing gross domestic product(GDP)
The automobile industry accounts for 7.1 percent of countrys GDP
The Indian auto-industry is one of the largest in the world with an annual
production of 21.48 million vehicles in FY2013-14
Production of automobile increased at a CAGR of 10.5 percent over the
financial year 2005-15
India is worlds 6th largest vehicle manufacturer globally
2

CONTD.
India is the Asias second largest two-wheeler manufacturer industry and
expected to be worlds 3rd largest by 2016
SEGMENTS
Two-wheeler

Passenger vehicles

Commercial
vehicles

Three wheeler

Mopeds

Passenger cars

Light commercial
vehicles

Passenger carriers

Scooters

Utility vehicles

Medium and heavy

commercial
vehicles

Goods carriers

Motorcycles

Multi purpose
vehicles

Electric two
wheeler
3

PRODUCTION OF VARIOUS SEGMENTS OF

VEHICLES
20
18.5
16.9
18
15.4 15.7
16
13.4
14
12
10
8
6
3.2
3.2
3.1
3.1
4 3
0.9 0.8
0.9
0.8 0.9
0.8 0.7
0.8 0.7
2 0.8
0
FY11 FY12 FY13 FY14 FY15

Passenger vehicle
Commercial
vehicle
Three wheelers
Two wheeler

SUB-SECTOR
(FOUR-WHEELER VEHICLE)
Passenger
vehicle
Hatchback

Utility
vehicl
e

Multi
purpose
vehicle

The overall passenger vehicles in India accounts for 14% of market share
By 2020 Indias share in the global passenger vehicle market to touch 8% from
4.68% in 2014
Passenger vehicle production to increase from 3.2 million in FY15 to 10 million
in FY20
The cost involved in this sector are branding,distribution network and spare parts
availability which increases the entry barriers
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COMPANY ANALYSIS
Maruti Suzuki India Limited(MSIL), formerly known as Maruti Udyog Limited was
incorporated in 1981 which is a subsidiary of Suzuki Motor Corporation of Japan
It is the largest passenger car company in India, accounting for over 50 percent of
the domestic car market
Market share is 45% at the end of the financial year 2014
Competitors are:
1. Hindustan Motors Limited
2. Honda
3. Mahindra and Mahindra
4. Volkswagen

SWOT ANALYSIS
STRENGHTS:
1.Market leader with a market
share of 48.74%
2.Largest network of dealers
and after sales services
3. Strong brand image

OPPORTUNITIES:
1.Growing small car market
2. Increase in purchasing
power of indian customer
3. Tax benefit

WEAKNESSES:
1.Employee management is
weak
2. Lower interior quality
inside the car when
compared to other brands
3.Lack of experience with
foreign market

THREATS:
1.China may give a tough
competition as they are
slowly entering the indian
market
2.Subsitute models of
public transport
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PRODUCT RANGES

Hatch-back

Sedan

Van

SUVs/MUVs

Alto 800
2.53-3.69 lacs

D Zire
5.16-7.91 lacs

Omni
2.56-2.58 lacs

Ertiga
6-9.25 lacs

Alto K10
3.20-4.02 lacs

Ciaz
7.31-10.28 lacs

Eeco
3.16-4.19 lacs

Gypsy
6.01-6.16 lacs

Wagon R
3.71-4.69 lacs

Baleno
4.992- 8.11 lacs

Celerio
3.97-5.78 lacs

S- Cross
8.34- 13.74 lacs

Stingray
4.22-4.79 lacs
Ritz
4.45-6.45 lacs
Swift
4.65-7.29 lacs
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STP FOR MARUTI SUZUKI

Segmenting:
1.Geographic: Area of interest is whole of India with special focus on TypeA and
Type
B cities
2. Age: Between 20-40 years
3. Income: Over 4 lakhs
4. Social class: Middle class, Upper class,Upper middle class

Targeting:
1.Maruti suzuki does targeting on the basis pricing
2.According to the companys resources available

CONTD.
Positioning:
Maruti Suzuki entered the Indian market with different strategy.
1.Offered a compact, modern and fuel efficient car. Maruti released its first
Maruti 800 which brought a revolution the Indian car market
2. Maruti believes in Innovative Margeting Strategies with the changing
needs,wants and requirements of customers
3. Brand Positioning strategies adopted to give more value to its customers

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REASONS FOR FAILURE IN PREMIUM

SEGMENT CARS
Maruti Suzuki maybe the undisputed leader in the Indian car market but when it comes to
premium vehicles,it is only a fringe player. Some of the reasons for its failure in the premium
car segment are as follows:
1.From the very beginning Maruti Suzuki has positioned itself as a fuel efficient car which
would only serve the middle class and it did not enter the premium segment.

2. Focused as a cost cutting and value for money company. They tried selling KIZASHI but
failed.

3. Low interior quality of the cars offered by Maruti Suzuki and thus they faced tough
competition from Toyota and Hyundai which were ruling over the premium segment.

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CONTD.
4. It became difficult for the company to manage its portfolio of cars so it did not
enter into the premium segment.
5. Swift was positioned as a taxi in the first place which lowered its brand image and
it was perceived as lower segment car.

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SOLUTION FOR THE PROBLEM

Maruti Suzuki has been trying to come up in the premium car segment and
for this they are adopting a number of strategies:
1.Separate sales network for selling premium brand cars.
2. Introduction of new showroom called NEXA.
3. Showrooms with distinctive features such as a more sophisticated and
trained workforce.
4. Providing value added services to the customers rather than giving only
functional benefit of the product.

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REFERENCES

www.mbaskool.com
www.ibef.org
www.quora.com
www.marutisuzuki.com

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THANK YOU
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