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SERVICE MARKETING OF
AUTOMOBILE INDUSTRY
Presented By-Patel DilipRanjit KumarRupjyoti BhuyanSuman VasishtaTapas Talukdar
INTRODUCTION The automotive industry designs,
develops, manufactures, markets, and
sells motor vehicles, and is one of the world's
most important economic sectors
by revenue.
• Presence of niche market
• Presence of global leaders
HISTORY
• 1769- French engineer Nicholas J Cugnot• Oliver Evans- Steam Engine automobile in
US• Karl Benz- Inventor of modern automobiles• Modern Era- Standardization, computer
aided design
TOP 10 AUTOMOBILE COMPANIES OF THE WORLD-2009
1. Toyota
2. General Motors
3. Volkswagen
4. Ford
5. Hyundai Kia
6. PSA
7. Honda
8. Nissan
9. Fiat
10.Suzuki
AUTOMOBILE INDUSTRY IN INDIA
Turnover of Automobile Manufacturers(In USD Million)
Year In USD Million
2002-03 14,880
2003-04 16,544
2004-05 20,896
2005-06 27,011
2006-07 34,285
• Seventh largest in the world
• First car- 1897
• Chennai- Detroit Of India-
60% of India’s exports
• Tata Motors, Maruti Suzuki,
Mahindra and Mahindra
• Entry of Japanese companies
• Export to UK, Italy, Germany,
Netherlands & South Africa
AUTOMOBILE MANUFACTURERS
INDIAN BRANDS
Force Hindustan Motors Tata Motors Premier AMW
FOREIGN BRANDS
Volvo Mercedes Benz Hino Tatra
ECONOMIC SIGNIFICANCE
Optimum utilization of
steel and rubber output
Largest single consumer
of machine tools.
Technological advances
Highway construction
Growth of truck
transportation
SOCIAL SIGNIFICANCE
• Mobility
• Changing in individual’s
lifestyle
• Impact on social customs
• Growth of shopping malls
• Credit installment buying
• Purchase of consumer
goods
TASK
Interview Service marketing
department to understand-
a) What services are they offering to
the customers?
b) How are they trying to differentiate
their service offer from their
competitors?
MARUTI SUZUKIPratham Motors Pvt Ltd--
Division of Maruti SuzukiSubsidiary of Suzuki Motor
Corporation of Japan India's largest passenger car
companyAccounting for majority of the
domestic car market.14 brands150 variants Importance to customer
delight48 % market share24 hours services- toll free
number
SERVICES RENDERED TO CUSTOMERS
• Sales service• After sales service–Quick reply– Insurance claim
• Driving facility to all dealers• Presence of 9 dealers in
Bangalore
REASONS FOR CUSTOMER PREFERENCE
• No. 1 Company among Fortune
500 in India.
• World wide 7/8 position.
• Tied up with Wipro, Infosys,
IBM, Microsoft.
• Maruti has some special
discount scheme which are
categorized into 3 types
– Diamond
– Ruby
– Emerald
• Special Schemes
PRODUCT DIFFERENTIATION
• Liener ---(Low maintenance)• Minier ---(More mileage)• Fitter ----(Cost of ownership is less)
BAJAJ AUTO LIMITED SS Motors-Service outlet of Bajaj Auto Limited
Started by a Rajasthani merchant on
November 29th 1945
M/s Bachraj Trading Corporation Pvt Ltd
Forbes Global 2000 list for the year
2005 ranked Bajaj Auto at 1946.
Company worth- more than US$ 1.5billion
Headed by Rahul Bajaj
Operations in 50 countries
LIST OF BAJAJ AUTO PRODUCTS
Current production-• XCD • Platina • Discover • Pulsar • Avenger
Motorcycles for other manufacturers-• Kawasaki Ninja 250R• Yamaha YZF-R15 (Unsure), • New for 2011- the KTM Duke 125,
Cars- Bajaj ULC ultra-low-cost car.
SERVICES RENDERED InsuranceAfter sales servicesRepairs and spare partsServicing for all types of bikesWash and Polish bikes
REASONS FOR CUSTOMER PREFERENCE
Skilled mechanicsKnowledgeable workforceHygienic workplaceEasily accessibleTechnically soundFriendly behaviorAuthorized servicesFully automated service
PRODUCT DIFFERENTIATION
• Completely automated• Call Breakdown services- 9.00 am-
9.00 pm• Deals in all sorts of two wheeler
services
FUTURE GROWTH PROSPECTS
• India, sourcing base for global auto majors.
• Passenger car and motorcycle segment is set to grow by 8-9%.
• The two-wheeler segment will clock 11.5% rise by 2014.
• Commercial vehicle to grow by 5.2 per cent.
• Estimated component market size is US$ 6.7 bn.
• Rise in Income levels
CONCLUSION It has been estimated
that by 2022, India will overtake Japan in the automobile industry
The automotive industry currently faces huge challenges.
o Technological paradigm o Volume productiono Increasing regulatory and
social pressures • Sustainability of its
products • Methods of production.
QUESTIONS