Adrenaline Hike

Team PhoenixSayan AdityaNiladri Saha

Rohan Engineer

Lubricant Industry in India

Industry Brief Major Players

Industry Outlook

India is the seventh largest lubricant market in the world and the sixth largest automotive lubricant market.

Market of finished lubricants in India, 1.86 million metric tons which is valued at $2.8 billion in 2009.

Three major market sectors: Automotive, Industrial and Marine & Energy applications.

Four major players(brand):1. Castrol India Limited2. Indian Oil Corporation Limited(Servo)3. Bharat Petroleum Corporation Limited (MAK)4. Hindustan Petroleum Corporation LimitedThese four contribute to 70% of the overall market. Other players like Shell make up the minor market.Servo from IOCL commands 40% of the market share.

• Market of finished lubricants in India is expected to grow at a CAGR of 3.7% till 2015.

• Automotive lubricants constitute 63% of the Indian market• The current growth in the automotive lubricant market is led

primarily by increased four stroke motorcycle and passenger car sales, recovery in agri-driven lubricant consumption and a growing, new generation, high technology, tractor segment.

Major Lubricant Brands in India

Company Lubricant Brand Positioning Brand Association Communication Strategy

•High tech products•Value added services by IOCL tech engineers

•Easily available almost everywhere•Value for money

•Strategically located modern petrol stations on highways•Television ads•Loyalty Programs

• Caters to the lower end of the market

•Value for money lubricant•Low impetus on high performance

•Television ads featuring normal actors•Ads at dhabas and highways

•High performance engine oil•Technologically advanced

•High Performance•Motorsports•Castrol Football Index

•Sponsoring motorsports•High impetus on performance enhancing for high end vehicles

•Purely functional benefits•Increase the life of your engine•Low cost•Targets youth

•Value for money lubricant

•Television ads•Participation in youth festivals•Association with car and bike rallies•Dhoni as brand ambassador

Major Lubricant Brands in International Markets

Company Lubricant Brand Positioning Brand Association Communication Strategy

•Technology Leaders in lubricants•Delivers first class lubricants

•High Quality•Highly reliable products

•Sponsoring in motorsports•Television and print ads showing technical leadership

•Technologically driven•High Performance•Low cost due to supply chain efficiencies

•Reliable•Improves performance

•Sponsoring in motorsports•Television and print ads highlighting superior performance

•Green Technology•Environment Friendly

•High Reliability•Longer Engine life•High performance

•Television and print ads highlighting green technology and environment safety

•Low cost•Good Performance

•Value for money•Not very high reliability

•Good distribution Channels•Mainly WOM marketing and referals

Brand Servo

• Tagline-“100% performance. Every time”• Servo is positioned as a brand that gives

engine life, reduces friction and optimizes performance

• Functional benefit highlighted in all forms of communication.

Brand Positioning Brand Communication

Brand Association Customer behavior

•SERVO’s main mode of promotion is through petrol pumps.•IOCL have a YouTube channel (Indianoilcorpltd) where the latest advertisements of SERVO are uploaded and shared.•‘SERVO 4T CAR in a CAN’ offer.•‘SERVO 4T ZOOM’ game (on zapak.com).

•Easily Available almost everywhere•Value for Money•High Performance•High Reliability•Better engine life

•Moderate cost with high performance, so attractive for customers•Customer tends to use Servo during servicing of automobiles.•Purchase mostly done from nearby petrol pumps.•If bought product is used over a period of 1-2 months

Brand Identity

PhysiquePerformanceMasculineLogo

PersonalitySimpleTraditionalIndian

CultureCooperativeSharing

RelationshipReliableFriendlyTrustworthy

ReflectionEconomicalConservative

Self ImageMachine userValue seekingPerformance seeking

Picture of Sender

Picture of Receiver

PhysiquePerformanceSpeedThrill

PersonalityAdventurousSportyBold

RelationshipReliableFriendlyTrustworthy

CultureCooperativeSharingOpenNext Generation

ReflectionAmbitiousConfidentIndependent

Self ImagePassionatePerformance seekingUpbeat

Present Brand identity Targeted future Brand Identity

• The hoardings of the Force India car with brand logo of Servo will entrench association

of racing, speed and modern with Servo brand.

• This hoarding will be visible from quite a distant since petrol stations are mostly on

highways.

•When a car or a bike stops for refuelling at the petrol stop, it stops on the

chequered area.• It gives a spontaneous association with racing since chequered flag is an integral

part of F1 race.

Leveraging The distribution network of IOCL

Leveraging The distribution network of IOCL

The association with motorsports entrench the speed, sporty and contemporary association with Brand Servo. Youth in the age group 20-35 gets an instant connect.

Co Branding with Force India at petrol pumps across the country provides mutual benefits. Hence cost of co-branding comes out to be very low

As soon as the customer comes near the petrol pump the banner of “The power to transform” is seen and he gets a clear message about Brand Servo’s usage benefits

The chequered flag area near petrol filling places further differentiates the experience of the customer and gives an association of speed, race and thrill to both Indian Oil and Servo brand

Entrenching Brand

Associations

Cost: * * Reach: *

***

Servo Speed Stops @ IOCL petrol pumps

• Servo Speed Stop is the servicing block at Indian oil Petrol pumps.

• These wing will also be the place to display and educate the customers about the benefits of lubricants in automobile usage.

• This stops will focus on communicating the functional aspects of Brand Servo and demonstrate hands on performance improvement after using it

• The speed stops provide service facilities like engine clean up and other maintenance function so that “100% performance is maintained”

•Also a mode to build customer relationship in the form of interacting and providing guidance to maintain long engine life.

Cost: * * Reach: *

***

All of us have seen the MacDonald's “M” logo on high poles in Noida and in

the NCR

Co-Branding with TV shows

•Pulsar Stuntmania is a stunt biking adventure event popular amongst the age group-18-30. •It showcases thrill, speed and modern probiking stunts to generate interest about biking and racing amongst the youth surrounding the Brand pulsar

•Servo will co-brand with Pulsar as the lubricant partner. In return Servo can take up Pulsar’s model in its lubricant ad campaigns thus jointly promoting the brands.

• Association with the show will attribute the smooth functioning of bikes to usage of quality engine oils and lubricant brand like Servo.

•Lubricant Partner.• Thrill, Speed, youth and Sporty.

Cost: * * **

Reach: * ***

Stunt mania Servo

Proximity marketing during Auto Expo

• Auto Expo 2012 is one of the most covered events amongst automobile lovers.

• Servo will be the lubricant partner organizing the proximity marketing infrastructure for the expo.

• Proximity or Bluetooth marketing refers to the means of advertising or sharing product information on customer mobile phones when they are near to

the product

•Call to action banners will urge the crowd to keep on the Bluetooth.

• When near an automobile viewers would receive infos about them. The downloadable content will have logo of

Servo as the lubricant partner

• Since Servo facilitates the product specification via the proximity network hence cost of advertising Servo is low.• Association-lubricant partner of wide range of

automobiles, world class quality, contemporary

Cost: * * Reach: *

**

Expo Website

Lubricant Sponsor of Racing and Cross Country rallies

•Cross country rallies are gaining popularity as motorsport and adventure becomes a

rage in India

• Maruti Suzuki have been organizing Raid de Himalaya and desert storm since 2004.• Futura, Castrol have been associated with

various other rally events

• The recently concluded India –Bangladesh 4 day cross country rally received tremendous media support. Rugged terrain , long lasting performance and racing enthusiasm has been the main features.

• Servo can be the lubricant or co-title sponsors for major rallies across the nation. Associations : Enduring Performance, Adventure, Racing

Cost: * *

Reach: * *

Rally Poster

Servo Speed Show

• Castrol, AutoCar, Overdrive –these are some of the brands that sponsors auto shows on television. Also commands high TRP ratings in age group 18-35.

• The shows provide latest automobile launch updates, auto performance reviews and in depth analysis and tips about existent auto products

• For Servo to leverage association with modern automobiles, speed and technology which enthuses the youth , it should sponsor a news review show on a sports network

• The Cost may be high but the reach will be specific and will have long term implication. Brand recall will be very high through this mode

Cost: * * **

Reach: * **

Long term Association Medium-Buddh Intl. Circuit Seating Arena

• It’s the grand stand sitting arena which will house the Servo logo.

• Lot of promotions are done before the start of F1 race. The arena is shown on TV repeatedly. The brand will

receive lot of recognition at that time.• Those coverage typically starts a month before the race

is scheduled

Cost: * * **

Reach: * ***

Timelines of various Initiatives

0-4 months 5-8 months 9-12 months 13-16 months 17-20 months 21-24 months

Banner display, cut outs and chequered area at IOCL petrol

pumps

Auto Expo

Co branding with Pulsar

Servo Speed stops @ IOCL petrol pumps

Rallies Rallies Rallies

Banner display, cut outs and chequered area at IOCL petrol

pumps

Servo Speed Show @Ten sports

Order of O

ccurrence

Timeline

Thank You