Presentation of Maruti 800(PLC and BCG)

1. Product Life Cycle of Maruti 800 &
BCG Matrix of Maruti
Presented By:
Prajakta Patil
Mayuri Negi
Pravita Raja
Sharan Kumar

2. MARUTI
• MARUTI UDYOG LIMITED was established in 1981
• Largest automobile company in India located at
Gurgaon, Manesar.
• Portfolio of 13 brands and 150 variants like, MARUTI
800, ALTO, WAGANOR, SWIFT, GRAND VITARA, SX4
AND SWIFT DZIRE etc.,
• Listed in BSE & NSE.
• Honored with “METI” award from Govt. of Japan for
promotion of Japanese brand in India.

3. PRODUCT LIFE CYCLE (PLC)
Like human beings, products also have an
arc. From birth to death, human beings pass
through various stages e.g. birth, growth, maturity,
decline and death.
A similar life-cycle is seen in the case of
products. The product life cycle goes through
multiple phases, involves many professional
disciplines, and requires many skills, tools and
processes.

4. STAGES OF PLC
• PRODUCT DEVELOPMENT:-
It is the stage where a company finds and develop a new product
idea. Sales are zero at this stage.
• INTRODUCTION STAGE:-
Company builds product awareness and develop market for the
product and launches the product into the market.
• GROWTH STAGE:-
Company build brand preference and increase market share.
• MATURITY STAGE:-
Competitors starts. Products come up with new features and face
new competitions.
• DECLINE STAGE:-
Sales decline. Firms either reduce cost to continue or quit from the
market.

5. 1983-86
1987-96
1997-02
2002 – UPTO
NOW

6. MARUTI 800

7. INTRODUCTION STAGE
(1983-1986)
• MARUTI UDYOG LIMITED Launched first ‘MARUTI
800’, in Indian market on December 1983.
• It’s a collaboration between INDIAN STATE
owned MARUTI and SUZUKI MOTOR JAPAN.
• Cheapest car in the Indian market.
• Also exported to countries like South Asia
and South American market.
• First car was presented to Lord Venkateswara of
Tirumala Venkateswara temple.
• First car was sold to Harpal Singh for Rs.48,000/- as a
lucky owner and received keys from Prime Minister of
India INDIRA GANDHI.

8. GROWTH STAGE
(1987-1996)
• MARUTI 800 comes up with new features like , AC
version and Music System in the car.
• Sales increased by 852 units to 20,269 units and
reached up to 31,314 units
• First export began in 1987.
• Sales soared from about 63,763 units to
about 1,89,061 units in 1996.
Strategies adopted:-
• Customer care has became a key element for Maruti,
• Increased Maruti service stations every 25 kms on a highway,
• For increasing its market share it launched new car models.

9. MATURITY STAGE
(1997-2002)
• In 1997,MARUTI introduced a new car with Jelly Bean
shape . However it was not so successful in the market.
• Launched revamped version of MARUTI 800 EX, with
new engine, shock absorber, coil spring suspension, but
this model lost their sales gradually .
• Entry of competitors like General Motors,
Ford, Tata.
• In 2002, MARUTI launched ‘ALTO’ ,
with bigger stylish version of the Maruti 800.
• Introduced LPG & CNG variables, called Maruti 800 Duo
with new face lifts like newer grille and clear lens head
lamps

10. CONT…
• Strategies adopted at this stage :
• Pricing strategy:– categorizing to all segments ,car priced at Rs.
1,87,000/- is the lowest offer on the road
• Developed different revenue streams in the form of Maruti
insurance, Maruti finance.
• Repositioning of Maruti products
• Introduced new facelifts model based on market responses or
consumer feedbacks or the competitors moves
• Customer centric approach:
call centers bring Maruti to closer to its customer.
• Committed to motorizing India
Partnership with STATE BANK OF INDIA
organized finance to small
towns enable people to buy cars in
Rs.2599/- scheme

11. DECLINING STAGE
(2002 – UPTO NOW)
• Due to heavy competition from competitors like Hyundai i10 and
Chevrolet Spark, sales of Maruti 800 was drastically decreased.
• The sales went down from 1,51,976 units in the year 2000 to about
69,553 in 2007.
• Buyers were attracted to cheap small cars like NANO.
• In 2008-2009 experienced a drastic reduction in
sales.
• Major competitor Tata Motors launched Tata Nano, which was
smaller and yet offered more space than the Maruti 800
• Sales are continued in semi urban and rural areas till today .
• Now in 2012 Maruti introduces ALTO 800 in the place of Maruti
800 .

13. REPOSITIONING THE
PRODUCT
• After a drastically decline in the sales of Maruti 800 ,
MUL had repositioned its product Maruti 800 with ALTO
800.
• Alto 800 was introduced into the market on October
16,2012.
• ALTO 800 is designed with latest features of more
space, speed acceleration, power steering etc.,
• Now ALTO 800 is available in Indian market for the price
of 2.5 lakhs(approx).

14. BCG MATRIX
(MARUTI 800)

15. BCG MATRIX
The BCG Growth-Share Matrix is a portfolio planning model
developed by Bruce Henderson of the Boston Consulting Group in
the early 1970's.
•Question marks
•Stars
•Cash cows
•Dogs

16. (1987-1996) (1983-1986)
GROWTH INTRODUCTION
MATURITY DECLINE
(1997-2002)
(2002 – UPTO NOW)

17. ANALYSIS

18. BIBLIOGRAPHY
• www.scribd.com
• www.gaadi.com
• www.slideshare.com
• www.authorstreme.com
• www.marutisuzuki.com

19. THANK YOU