case study of TATA NANO- BIMHRD,PUNE by DHIRENDRA SUMAN

1. THE PEOPLE’S CAR PRESENTED BY : DHIRENDRA SUMAN MONIKA THACKAR DEEPESH SETHI GAGAN BAZWA

4. The People’s Car

5. VISION

8. Car delivery to customers started in July, 2009.

9. Tata Nano is made for medium class family, it is Small, affordable and Stylish Car.

11. 1. GEOGRAPHYICAL2. FAMILY SIZE3. DEMOGRAPHICAL4. INFRASTRUCTURE

12. MARKET India's car market is a huge draw because car penetration is just seven per 1,000 people, compared to 550 per 1,000 in such countries as Germany or 476 in France, according to the Society of Indian Automobiles.

13. MARKET REPORT

14. CONCENTRATE ON TIER II & TIER III CITIES Source : MGI report

15. Source : MGI report

16. Source : MGI report

17. Source : MGI report

18. The middle class segment in boomtowns by 2016 Source: Marketing White Book ‘09

19. More than half of the households will be middle class by 2016 Source: Marketing White Book ‘09

20. Automotive Component Manufacturers Association of India (ACMA)

21. Automotive Component Manufacturers Association of India (ACMA)

22. Automotive Component Manufacturers Association of India (ACMA)

23. Automotive Component Manufacturers Association of India (ACMA)

24. Automotive Component Manufacturers Association of India (ACMA)

25. JD POWER Report - 23rd SEPTEMBER,2010

26. ‘ROADS’ TO SUCCESS » » » » (SOURCE: GOVERNMENT OF INDIA, MINISTRY OF ROAD TRANSPORT & HIGHWAYS,2008-09)

27. ‘ROADS’ TO SUCCESS » » » » (SOURCE: GOVERNMENT OF INDIA, MINISTRY OF ROAD TRANSPORT & HIGHWAYS,2008-09)

28. SWOT ANALYSIS

30. High fuel efficiency

31. Space-Internal-21% more than Maruti- 800 External-8% less than M-800

32. Tested successfully

33. Less Boot space

34. No Headlight levellers

35. Not fit for hilly terrain

36. Small Tyre

38. Diesel & Electric variant

39. Royalty

40. Developing low price engine

41. Auto Finance

42. Create Employment

43. New competitor – Bajaj, Cheery, Honda Siel, GM etc.

44. REVA an electric car.

45. Traffic congestion.

46. Government may increase taxes in metros.

47. Rising cost of raw material.

48. Reducing Parking Space.Opportunity Threat

49. STRATEGIC FRAMEWORK

51. WHAT MAKES IT SO CHEAP

52. PERSONALIZATION Tata launched two special editions of Nano at Auto Expo 2010 Called “Nano for him” & “Nano for her”.

53. “Nano for her" comes with decorated interiors – cocktail red spilled over dashboard, seats and central console. Exteriors too get floral pattern to lure the fair sex.

54. “Nano for him" is available in an exclusive wild lime colour shade. It also gets leather seats and door pads.

55. TARGET MARKET SEGMENT

57. Second car user.

59. SEC-BWhich Which Is Shown In This Table:-

60. SEGMENTATION CONTINUED………… Segmentation In Different SEC’S is Shown in this Graph:-

61. URBAN INDIAN CONSUMER PYRAMID

62. Contd…………… Target Area is sec-a & sec-b (a) More people in between income 12500-25000 (b)SPENDING ON PUBLIC CONVEYENCE: (i) sec-a=13% (ii) sec-b=12%

63. DEMOGRAPHIC ANALYSIS PROFESSION BASIS AGE BASIS GENDER BASIS

64. PROFESSION BASIS

65. AGE BASIS

66. GENDER BASIS

69. Maruti Alto(std):2.60lakh and 1 year warranty and 3 free service. Under true value initiative you can get your old car exchanged.

71. TECHNICAL SPECIFICATION

72. Nearest Domestic Car Rival: Maruti 800, Reva, Oreva Super

73. Nearest International Rival: China's Cherry QQ which retails for 3,600 dollars.

74. Engine Options – Petrol, Diesel, Electric.

76. Creating and sourcing new capabilities Various companies reached out for making the world’s cheapest car: Germany’s Bosch – new engine management system Italy’s I.DE.A. – styling n interior deign India’s Sona Koyo – light weight steering shaft Japan’s Toyo – engine cooling module Germany’s Behr – heating, ventilating & air – conditioning system. India’s Madras rubber factory – tougher than normal rear tires

77. SAFETY Car exceeds current regulatory requirements with a strong passenger compartment, crumple zones, intrusion resistant doors, seat belts, strong seats and anchorage.

78. CRASH TEST OF ‘NANO’

79. CRASH TEST OF ‘CHERRY’

80. SALES PROMOTIONS

81. PROMOTIONS * Enough use of one of the most important element of promotion mix , publicity reduces the necessity of other promotional devices for nano. Nano got publicity in the following ways:- * Publicity as “One lakh car” by word of mouth. * Auto expo 2008,New Delhi & Geneva. * Publicity through print & electronic media. * Internet will be a major media for advertising.

82. PROMOTIONS Online buzz:-Nano has gone beyond the traditional methods of advertising and promotion online . Social Media communities:- Official Orkut community Members – 11,448 Official Facebook Group Fans – 9,191 Highest View Count on You Tube- 303,006 (it was just under 3,00,000 when I began writing this post) No. of Blog Posts - 61,664 TATA has a blog on the official website where they have been discussing quite interesting topics and generally maintaining an active community

83. Website of ‘nano’

84. NANO - GEARS

85. PROMOTIONS

86. PROMOTIONS

87. SOCIAL MEDIA

91. Hence it has large number of showrooms in India & outside of India.

94. Persuasive advertisement justifying switching over to 4 wheeler from 2 wheeler (considering safety at a low cost and non affordable medical expenses in case of an accident i.e. 2wheeler are more prone to accident).

97. Parents can be encouraged to provide their children with nano instead of 2- wheelers, to ensure safety.

98. Project Nano as pollution free & environment friendly

100. REACTIONS ABOUT NANO "It's a good historic moment for the Indian auto industry and also a proud one indeed that an Indian company took a step forward on this road. Its an up gradation for an auto wheeler rider to by a car now.“ Rajesh Jejurikar, Managing Director, Mahindra and Renault's. "It's good product but it's still too early to say whether it will overtake the 800 because it caters to a totally new market segment.” Said Jagdish Khattar, Former MD of Maruti Udyog Limited

101. REACTIONS ABOUT NANO "Meeting the proper quality standards and safety is not feasible at all in such a model.Andreas Prinz, Managing Director (Passenger Cars), Volkswagen Group Sales India. "I think it is a great thing for India because mobility is giving new opportunities. I hope Tata drives to great success with the Rs one lakh car, but it is not included in our plan.“ Thomas Kuehl, Board Member, Skoda Auto India.

102. AWARDS

103. THANK YOU