TVS Apache CHAPTER 1.docx

Market Potential and Brand Awareness Towards TVS ApacheRTR160

CHAPTER 1

INTRODUCTION

Marketing more than any other business function deals with customer and

standing. Creating, communicating and deriving the customer value and satisfaction are

at the very heart of marketing thinking and Practice. marketing is "delivery of customer

satisfaction at a profit". The two fold goals of marketing are to attract the new customer

by promising superior value and current customer by delivering satisfaction.

Modern marketing purpose

Marketing has been viewed as an ongoing or dynamic process involving a set of

interacting activities dealing with market offering by producers to consumer on the basis

of reliable marketing anticipations. Marketing is a matching process by which a

procedure provides a marketing mix that needs consumer demand of a target market

within the limits of the society. There buyers share a particular need or want that can be

satisfies through exchange and relationships. Thus the size of a market depends on the

number of the people who exhibit the need, have resources to engage for what they want.

Marketers are keenly interested in markets. Their goals to understand the needs and

wants of specific markets and to select the markets that they can server best. In turn they

can develop products and services that will create value. Satisfaction for customer in

these markets resulting in sales and profits for the company.

Marketing process

The concept of markets finally brings us full circle to the concept of marketing.

Marketing means managing markets to bring about exchanges and relationship for the

purpose of creating value and satisfying needs and wants. Thus we return to our

definition of need and want by creating exchanging products and value with other.

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What is brand?

The word brand is comprehensive term. To brand to name or mark indelibly as

proof of ownership. A brand is a name, term, symbol or design on a a combination of

them which is intended to identify the goods or services of one seller or group of sellers

and to differentiate them from those of competitors. “A brand identifies the product for a

buyer and gives seller a chance to earn good will and repeated patronage

Importance of branding

The marketer can build up a bright image of his organization around the brand. It

enables national advertisement of specific product and it is pre sold through

advertising. Branded product can be easily recognized by the customer in the

relationship. It offers protection to the consumer as it identifies the firm behind the

product.

Branding enables the firm assured control over the market repeat sales are

stimulated and product substitution is not possible. It creates an exclusive market

for the product.

When brands are successfully and effectively promoted. The very existence

of the middlemen depends upon a continued supply of each brand.

Branding by differentiating a product from its reveals its enable the brand owner to

establish his own price which cannot be a easily compared with prices for

competing goods price comparison is very fixing. Product differentiation is

harmful to the consumers as it emphasizes factor other than and quality.

If a firm has one or more lines of branded goods, it can add a new item to its least

easily and new item can enjoy all advantages of branding immediately

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ADVANTAGES OF BRANDING

1. When a product is distinguishable by its brand, consumer has an assurance of

quality and consistency the product attributes being offered.

2. Certain brands provide status and prestige to consumer which endow them a same,

what conspicuous psychological satisfaction otherwise not normally available.

3. There is considerable saving of time of energy in shopping for goods because a

brand renders product identification much easier. The money value of this saving is

significant in the industrial buying.

4. It is easier to lodge complaints and climes against marketer, when a branded

product fails to live up are proclaimed value of satisfaction. Thus it gives

consumers both trade and legal protection against unscrupulous trade practices.

Functions of branding

1. It helps in product identification and gives distinctiveness to a product.

2. Branded products indirectly devote the quality or standard of a product.

3. It eliminates limitation products

4. It ensures legal right of the product

5. Brand differentiated the product and facilitates advertisement to be more effective

and successful.

6. It helps or facilitates consumer shoppin

Kind of brands

1. Manufacturers brand: (capital)

A. National brand - the same brand used on a national level.

B. Regional brands - brand per a particular region level.

C. Advertising brands - brands stressing symbol.

D. Blanket brands - one brand name for all products of manufacturers. Single brands

or family brands per e.g. - godrej products.

E. Multiple brands - brand name gives per each variety of products.

F. Individual brand - e.g. various brands of Hindustan liver ltd...

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2. Distribution brands

A. Private brands

B. Store brands

C. Dealer brand

D. House brands

3. Mixed brands

A company may opt for both its own and its distributors brands in respect of its

products. It may sell some products in its own brand name and the rest may be sold to

dealers under their own brand names.

KINDS OF BRAND NAME

A. Coined name

A purposely and deliberately created name but stress more or producers identify.

E.G - the word "parker" alone is meaningless unless attached to pen or ink.

B. Arbitrary name

A name neither relating to product nor producer.

C. Suggestive name-

A name relating to neither product nor producer

D. Descriptive name

A name that describes fully the product that is glucose biscuit, coco a sweets, aspiri

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RESEARCH METHODOLOGY

a) Titles of the study

“MARKET POTENTIAL AND BRAND AWARENESS TOWARDS TVS

APACHE RTR160 IN TUMKUR CITY”

b) Statement of the problem:

The research problem selected for the analysis entitled “sales promotion

strategies towards TVS APACHE RTR160” this topic is selected to identify the

potentiality and brand awareness towards TVS APACHE RTR160 as further this study

undertaken to identify the effectiveness of those factors and the strategies adopted by the

company to create brand awareness as compared to other brands

c) Scope of the study : the study focuses on identifying the brand awareness and

market potentiality towards TVS and the study is confined to Tumkur city only.

1. Finding out the strength and weakness of the TVS APACHE RTR160, where it

can correct its faulty facts.

2. Finding the number of future purchases.

3. Finding the market potential and awareness of this motor bike.

4. Finding the position of the motor bike among the competitors.

5. Finding the perception of consumers about the motor bike.

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d) Objective of the study:

1. To determine the customers awareness towards different motor bike. .

2 . To study consumer perception towards motor bikes and specially towards TVS

to identify the influencing factors that promotes satisfaction.

3. To know the reasons and intention behind purchasing \or not purchasing TVS

APCHE RTR160 motor bike.

4. to study the effectiveness of the company in creating brand awareness

METHODOLOGY OF STUDY

I. Sampling

The sampling method used in convenience sampling, a category of non-

probability sampling since the respondents were chosen by me and were not provided by

the company. The area of sampling is in Tumkur city.

Sample size for project work

It is impossible to collect the response from the total population due to

limitation of time. The total sample size taken for survey is 100 respondents.

II Method of data collection

The primary data, that is, data collected specifically for the study and is not

published anywhere before is through a questionnaire. It is used to collect data about the

general perception of motor bike, user’s perception of TVS APCHE RTR160 motor bike.

And it’s other competitors.

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Secondary data was collected from various sources like reference books on

marketing, consumer behavior, magazines and internet. Data for project work was

collected from primary and secondary source data.

III. Designing for questionnaires:

The designing of questionnaire needs precision and classify the subject. So that

respondent easily understands the questions and will reply the answers sincerely and

correctly. The concept of sealing is used to know the satisfactory level for the TVS

APCHE RTR160 motor bike. With users.

IV. Field work for project

The field work for the project was carried on for two weeks in Tumkur city.

The field work schedule contained structured set of questions to be answered by

respondents to suit the objectives of the project. The respondents were contacted at , TVS

Company authorized service station.

The respondent’s interaction was for a time period 5-10 minutes.

III. Analysis of data

The data for analysis of project was collected from both the primary and

secondary source. The data thus collected during the interaction with respondents were

organized, processed and edited before tabulating and drawing the inference from them.

The data so got was analyzed using statistical methods and techniques like tables,

percentages, representation of data was done.

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IV. Limitations of the study:

1. Project work and study is confined to Tumkur city only.

2. The data was collected only from 100 respondents. Their feeling and views are

portrayed in a statistical and graphical manner.

3. The overall sample size is 100. Hence this is not to be a truly representative picture.

4. The duration for the survey was very less.

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CHAPTER2

REVIEW of LITERATURE

Prasad A. Naik, Ashutosh Prasad,Suresh P. Sethi states that Companies spend hundreds

of millions of dollars annually on advertising to build and maintain awareness for their

brands in competitive markets. However, awareness formation models in the marketing

literature ignore the role of competition. Consequently, we lack both the empirical

knowledge and normative understanding of building brand awareness in dynamic

oligopoly markets. To address this gap, we propose an N-brand awareness formation

model, design an Extended Kalman Filter to estimate the proposed model using market

data for five car brands over time, and derive the optimasl closed-loop Nash equilibrium

strategies for every brand. The empirical results furnish strong support for the proposed

model in terms of both goodness-of-fit in the estimation sample and cross-validation in

the out-of-sample data. In addition, the estimation method offers managers a systematic

way to estimate ad effectiveness and forecast awareness levels for their particular brands

as well as competitors’ brands. Finally, the normative analysis reveals an inverse

allocation principle that suggests contrary to the proportional-tosalesor competitive parity

heuristics ⎯ that large (small) brands should invest in advertising Proportionally less

(more) than the small (large) brands.

Emma Macdonald and Byron Sharp

In 1987 Rossiter and Percy wrote “Brand awareness is widely misunderstood and often

wrongly measured, even by experienced managers” (p41). Yet brand awareness is

covered in most texts on advertising measurement, it is a central part of the popular

hierarchy of-effects advertising model, and marketing managers claim it as an important

goal of their communications activities (Kelly 1991). This

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paper discusses recent theoretical developments which attempt to explain the role which

brand awareness plays and then presents empirical findings concerning how Australian

managers utilise brand awareness as a measure of marketing and advertising

effectiveness.

The Role of Brand Awareness

Rossiter and Percy (1987) describe brand awareness as being essential for the comm

unication process to occur as it precedes all other steps in the process. Without brand

awareness occurring, no other communication effects can occur. For a consumer to buy a

brand they must first be made aware of it. Brand attitude cannot be formed, and intention

to buy cannot occur unless brand awareness has occurred (Rossiter & Percy 1987;

Rossiter et al. 1991).

In memory theory, brand awareness is positioned as a vital first step in building the

“bundle” of associations which are attached to the brand in memory (Stokes 1985). The

brand is conceptualized as a node in memory which allows other information about the

brand to be “anchored” to it (Aaker 1991b). The conceptualization of a network of brand

associations in memory with the brand as a central core has been put forward by many

others (eg. Keller 1993; Holden 1993; Holden & Lutz 1992

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CHAPTER 3

Theoretical Background

Introduction to Marketing

Marketing consists of all the activities by which a company adapts itself to its

environment creativity and profitably. It is the whole business seen from the point of

view of its final result that is from customer's point of view; basically business firm’s

objective is to convert societal needs into profitable opportunities. Marketing is an

attempt to anticipate satisfies the needs and demands of the consumers of the society.

Philip Kotler has said "Marketing is the needs and wants of target markets and

slivering the desired satisfaction more effectively and efficiently than competitors". Thus

it shows that consumers are the key to the success to any company's marketing services.

Evolution of Marketing:

The development of marketing concept is evolutionary i.e. Gradual rather than

revolutionary. The evolution of marketing is one of the oldest professions of the world.

Marketing is both philosophy and a technology. As a philosophy, it guides and

directs the business thinking i.e. whether to produce or not to purchase. As a technology

it is concerned with deciding what should be produced, how and when products could be

most effectively distributed among the customers. Hence we can say that producers have

to adapt different methods to satisfying his customers due to change in customer taste and

preferences.

Distinguish between Market and Marketing

Market is an arrangement providing an opportunity to exchange goods. In the

market forces of demand and supply, they operate directly by means of communication

and they themselves determine prices. Where as marketing is sum totals of all those

activities that is related to free flow of goods from the points of production to

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consumption. Physical movements of goods are the hallmark of marketing. That is once

the price fixation is done, the journey starts from seller end to buyer.

Under the Marketing concept the different heads and concept studies are:

1. Societal concept.

2. Production concept.

3. Product concept.

4. Selling concept.

5. Want and demand concept.

The Marketing concept is a business philosophy that challenges the previous

concepts. It meets the needs profitably and helps in finding the wants to fulfill them.

1) Societal marketing concept holds that the organization's task is to determine needs,

effectively than competitors in a way that enhances all the consumer’s abd society's well

being.

2) Production concept says that consumers will favor those products that are widely

available and economical. Managers of production oriented organization concentrate on

achieving high production and wide distribution coverage.

3) Production concept holds that consumers will favor those products that offer the

mostgood quality, performance or innovative features.

4) Wants and demand concepts say that a human need is a state of felt deprivation of

some basic satisfaction? Wants are desire for satisfying needs. Demands or wants for

specific products that are backed by an ability and willingness to buy them.

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5) Marketing is a social and managerial process by which individuals and groups obtain

what they need and want through creating, offering and exchanging products of value

with others. Hence the importance of marketing arises.

Here different heads studies are:

Analyzing market opportunities.

Researching and selecting target markets and positioning the offer.

Planning market demand.

Current marketing situation.

1) A firm due to constraints on resources cannot exploit all marketing opportunities

existing in marketing environment. As opportunities should have to be diagnosed and

evaluated to choose accessible and feasible marketing opportunities.

2) A product should be designed to cater to requirements of specific market segments

known as target markets. It is required to conduct research to identify the target market

segments, which can be chosen by the firm.

3) Since marketing is consumer oriented it is necessary to assess the market demand for a

product so as to manufacture requiring quantity and supply at right time.

4) All marketing activities should be organized and implemented keeping in mind the

current marketing situations, which can be determined by analyzing the entire

environment factor affecting process of marketing.

5) Marketing function is defined as an act operation or services by which original product

and the final consumer linked together.

Concepts studies are:

1. Macro Environment

2. Buying Functions

3. Methods Of Buying

4. Estimating Current Demands

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Total Market Potential

Area Market Potential

5. Marketing Mix

6. Segment Market.

1) The macro environment of marketing consists of

I. Demography

II. Economy

III. Social and cultural

IV. Political and legal

V. Technological

I. The demographic environment of marketing studies is a scientific study of human

beings, populations and distribution. Quantitative elements such as age, sex, education,

occupation, income, etc are also studied here.

II. The people constitute only one element of a market. The second essential element of a

market is purchasing power and willingness to spend by people. Then only come the

effective demand. That is why the economic conditions play a significant role in

marketing.

V. Social and cultural forces usually influence the welfare of a business concern in the

long run. The society is ever changing. New demands are oriented and old ones are lost

in due course. Hence marketing management is called upon to mark necessary

adjustments in marketing plans in order to fulfill new social demands.

VI. Political and legal forces are important in marketing services, activities and

operation of business enterprise. Marketing systems are affected by government’s

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monetary and fiscal polices, import export duties and policies and customs duties, anti-

pollution lawn etc.

VII. Consumer’s purchases and the manner in which they are consumed reflect a

society’s life style. Technological forces help to shape changes in the style of living of

consumers. Marketing management with help of technology can create and deliver

standards, and style of life. It has the responsibility of relating, changing of life style of

patterns, values and changing technology to marketing opportunity for profitable sales to

particular market segments.

2. Buying is procurement of goods or services for eventual resale to the consumers

or industrial users:

Different functions are

(b)planning purchase of goods

(c) contractual function

(c) Assembling

(d) Negotiation

(e) Contractual

a) Planning purchases of goods implies planning of purchases for the organization or

consumers.

b) Contractual function is concerned with searching for and determining the sources of

supply and establishing and maintaining contacts with them. Establishment of

relationship is with to earn name and fame.

c) Assembling means bringing together to collecting a large amount of similar goods and

many producers for resale I a single region. Assembling and buying are not one and the

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same. Assembling brings together goods of same type from different source where as

buying involves purchase of variety of product.

d) Getting together of business buyers and suppliers with a view to discuss the contents

of contracts as the price, payments, quality can be said as negotiation.

e) Actual entering in to contract to buy is end of buying function. The provisions of sale

of goods act with which we operate the business to protect the will and interest of parties

of business. It binds both parties to that aggrieved party to get justice for breach of

contract by other.

3. Methods of buying

Buying is the basic of marketing activity. Good can be defined as buying at right price.

There are different methods of buying namely.

a) Concentrated buying

If purchases are confined to a very few sources of supply, it is concentrated buying.

b) Diversified buying

When a buyer decides to buy good required from a large number of suppliers it is know

as diversified buying.

c) Reciprocal buying

The main idea of this is that the purchases are mutual i.e. “you buy our products, and then

we buy your products”.

MARKET POTENTIAL:

Current and future demands are determined by analyzing the entire environment

factor affecting marketing process. The two ways of estimating demands are:

Total Market Potential: It is a demand that exist for products in all areas put together.

The demand may be for a product or service and the area may be for state, country and

continent or may be the whole world itself.

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Area Market Potential: It is demand that exist for a particular product or services in its

particular area of market say Rajajinagar or Vijaynagar in Bangalore etc....

In market planning we use marketing information to assess the situation. We

have to select specific marketing targets in form of market segments. For each segment or

division of the market formulate a combination of number of devices or types of

marketing activities that are coordinated into a single marketing program to reach a

particular target or market segment. The combination of these is marketing mix. The

basic marketing mix is blending of four inputs, which form core of marketing system.

They are:

a) Product mix: It is the thing possessing utility. It has four main components namely

product range, after sale service, brand and package.

b) Price mix: Price is the valuation placed upon products by offered. It has to cover

pricing, discounts, allowance and terms of credit. It mainly deals with price competition.

c) Distribution mix: Distribution is the delivery of product and right to consume it. It

includes channels of distribution, transportation, and ware housing and inventory control.

d) Promotion mix: Promotion is the persuasive communication about the product by

offer to the prospect. It cover advertising, personal selling, sales promotion, publicity,

price relations, and exhibition of demonstration used in promotion. Largely it deals with

non –price competition.

Market consists of buyers, and buyers differ in one or more respect. They may differ

in their wants, purchasing power, geographical location, buying attitudes and practices.

These variables are the main causes of market segmentation. Hence it is a method of

achieving maximum market response from limited marketing resources.

Concept of Market Potential:

Maximum sales opportunities for an individual company product is referred to as

sales potential, which is maximum share of Market Potential an individual company

might expect for a specific product or product line.

Potential for Planning Strategy:

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Consider a company that wishes to introduce new telecommunications service to

the business.A Market Potential defines as Total Demand of the Product during a specific

time period; estimate provides the foundation for the Planning Process.

Engineering,

Designing and

Implementation teams.

Marketing and commercial development teams; and external entities, such as potential

investors, government regulators, equipment & application suppliers and distribution

partners.

Life Cycle Potential:

Market potential is crucial for go/no-go decisions on new products for the business

market; The "size of market" has been shown to be a significant screening factor for

launching new industrial products.

The concept of “Life-Cycle market potential” as an effective way of analyzing the

market size for new industrial products.

The greatest number of product adoptions that will eventually occur in a particular

market over the product life-cycle, given expected environmental conditions and

expected aggregate effects of marketing actions by the industry.

The life cycle measure is useful because it provides realistic boundaries for total

sales over the product’s life and it is possible to make reasonable estimates of its value.

Life cycle market potential is measured by estimating total annual sales of the generic

product class (based on the number of customers and their usage of the products) and

scaling down this estimate based on concept tests with potential customers.

This total life cycle potential then serves as a bench mark to help decide whether

the new product should be introduced.

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Planning and Control of the Sales Marketing potential:

The primary application of market and sales potential information is clearly in the

planning and control of marketing strategy by market segment. Segment refers to a set of

present or potential customers who share some common characteristics that help explain

and predict how they will respond to marketing strategy, once sales potential is

determined for each segment.

The basis of potential sales volume spending hug sums of money and advertising and

personal selling as little benefit in segments where the market opportunity is low.

Expenditures would have to be based on both potential and the level of competition.

Actually sales in each segment can be also be compared with potential sales taking into

account the level of competition, in order to effectiveness of the marketing program.

The Different Segment is:

Geographic Segmentation: Geographic location is usual and popular basis for market

segmentation. Further distinction as rural and urban markets, city and suburban markets

etc also form geographic segmentation.

Demographic Segmentation: Demography is study of population. Demographically

characters such as sex, age, marital status number and age of children, place of residence,

mobility, income, education, occupation, family life cycle, social class, culture etc., make

the basis of demographic sub culture.

Psychographics Segmentation: Here buyers are divided into different groups on the

basis of social class, life style and for personality characteristics. People with in same

demographic group can exhibit very different psychographics profiles.

BRAND AWARENESS

1. BRAND

Consumer views a brand as an important part of a product and branding can add

value to a product. For example, most consumers would pensive a bottle of white linen

perfume as a high quality, expensive product. But the same perfume in an unmarked

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bottle would likely be viewed as lower in quality, even if the even if the fragrance were

identical.

Branding has become a major issue in product strategy. On the one hand,

developing a branded product required a great deal of long marketing investment,

especially for advertising promotion and packaging.

2. Branding

Perhaps the most distinctive skill of professional marketers is their ability to

create, protect and enhance brands. A brand is a name, term, sign, symbol or design or a

combination of these intended to identify the products or service of one seller in-group of

seller and to differentiate them from those of competitors.

A brand is a seller promise to deliver consistently a specific set of features, benefits

and services to buyers. The best hands convey a warranty of quality. According to one

marketing executive, a brand can deliver up to four level of meaning:-

a) Attributes

A brand first brings to mind a certain product attributes. For example Mercedes,

such attributes as “well engineered” well built.” “Durable”,” fast”, “expensive” and “high

resale value”. The company may use one or more of these attributes in its advertising for

the car. For years Mercedes being advertise engineered like no other in the world. This

provided a positioning plat form for other attributes of the car

b) Benefits

Customers do not buy attributes they buy benefits. There fore, attributes must be

translated into functional and emotional benefits. “I won’t have to buy a new car every

few years”. The attribute expensive might translate into the emotional benefits. The car

makes me feel important and admired. The attribute will might translate into the

functional and emotional benefit. I am safe in the even of an accident.

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c) Values

A brand also says about the buyer’s values. Thus, Mercedes buyers value high

performance, safety and prestige. A brand marketer must identify the specific groups of

car buyers whose values coincide with the delivered package.

d) Personality

A brand also projects a personality motivation a researcher sometimes asks. If this

brand were person, what kind of person would it be? Consumers might visualize a

Mercedes automobile as being a wealthy business executive. The brand will attract

people whose actual or desired self-image matches the brand image.

The challenge of branding is to develop a deep of meaning for the brand, given the

four levels of brands meaning marketers must decide the levels at which they will build

the brands identity. The most lasting meanings of a brand are its values are personality.

They obtained the brands essence. Thus, Mercedes stands for high achieve and success

the company must build its brand strategy around creating and protecting this brand

personality. All though Mercedes has recently yielded to marketing less expense models

might dilute the vehicle and personality that Mercedes has build up over the decade

3. Brand equity

Brands vary in the amount of power and value they have in the market place. Some

brands are largely unknown to most buyers. Others brands have a high degree of

consumer brand awareness. Still others enjoy brands preference buyers select them over

the other. Finally, some brands command a high degree of brand of brand loyalty.

Powerful brand has high brand equity. Brand have high brand equity to the extent that

they have higher brand loyalty, names awareness perceived quality, strong, brand

association and other assets such a patents trademarks, and channel relationships. A

brand with strong brand equity is valuable asset. In fact, it can even be brought or sold for

a price.

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Measuring the actual equity of a brand name is difficult. Because it is so hard

measure companies usually of a brand name is difficult. Because it is so hard measure

companies usually do not list brand equity on their balance sheets. Still, they pay

handsomely for it. For e.g. Nestle paid $4.5 billions to buy row tree, five times its book

value. According to one estimate, the brand equity of coca-cola, are $36 billions,

Marlboro, and Kodak $10 billions. The world’s top brand includes such super powers as

coca-cola, Disney, Kodak, Sony; Mercedes Benz high brand equity provided a company

with many competitive advantages. Because a powerful brand enjoys a high level of

consumer brand awareness and loyalty, the company will incur lower marketing costs

relative to revenues. because consumer expect stores to carry he brand, the company has

more leverage bargaining in beginning with resellers and become he brand name carries

high creditability, the company can more easily launch brand extensions. Above all, a

powerful brand offers the company some against price competition.

Marketers need to manage their brands carefully in order to preserve brand equity

and usefulness, and positive brand associations over time. This requires continuous R &

D investment, skillful advertising and excellent trade and consumer service.

Some companies such as Colgate–Palmolive have appointed brand equity

managers to guard their brand image, association and equity. They work to prevent brand

managers from over promoting brands in order to produce short-term profits as the

expenses of long-term brand equity.

Some analysts see brand as the major enduring assets of a company. Outlasting specific

products and facilities. Yet behind every powerful brand stands set of loyal customer

therefore, the basic assets underlying brand equity is customer equity. This suggests the

marketing strategy should focus on extending loyal customer lifetime ale, with brand

management serving as a major marketing tool

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CHAPTER 4

INDUSTRY PROFILE

History of Two Wheeler Industry

India is the second largest manufacturer and producer of two wheelers in the world. It

stands next only to Japan and China in terms of the number of two wheelers produced

and domestic sales respectively. The distinction was achieved due to variety of reasons

like respective policy followed by Government of India towards the passenger car

industry, rising demand for personal transport, inefficiency in the public transportation

system etc. Invention of Two-Wheelers

History can't be stored or categorized in a water tight compartment; neither can some

things be definitely told or strictly defined. In this section a general history of two-

wheelers is being traced without trying to venture into strict classification and

differentiation. Around 1840 a Scotsman named Kirpatrick Macmillan came up with an

idea of a pedal driven bicycle, Macmillan a blacksmith by profession got the idea when

he was asked to repair a hobby horse. The first bicycle which its inventor called

velocipede slowly started catching the fancy of the people, as inquisitive minds started

thinking of faster ways of getting around the town.

In 1868 in France MIchaux-Perraux attached a small steam engine to a bicycle thus

adding a little more steam to the development. Around the same time across the Atlantic

a similar steam propelled machine was demonstrated by built by Sylvester Howard Roper

of Roxbury, Massachusetts.

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However the invention of the first motorcycle was done by the German inventorsottlieb

Daimler and Wilhelm Maybach in 1885. The first petroleum-powered vehicle, it was

essentially a motorized bicycle, although the inventors called their invention the

Reitwagen ('riding car'). This engine was prepared more for experimentation rather than

for commercial purposes.

However as early as 1894 a motorcycle was available for commercial purposes. The bike

named Hildebrand and Wolfmuller was manufactured in a small scale few hundreds to be

precise. These two wheelers died a natural death due to high cost and technical

difficulties.

Slowly the motorcycles were improved upon and soon they become faster, reliable and

more fuel efficient. For a separate history on the development of scooters check out

origin of scooters

In 1955, the Indian government needed sturdy and reliable motorcycles for its Army and

police to patrol the rugged border highways. The first batch of 350cc Bullet from the

Royal Enfield Company of UK were received and assembled at Chennai..

Bajaj Auto began trading in imported Vespa scooters and three wheelers. Finally in 1960,

it set up a shop to manufacture then in collaboration with Piaggio of Italy. The agreement

expired in 1971

In the initial stages, the scooter segment was dominated by API,it was later overtaken by

Bajaj Auto. Although various government and private enterprise entered the fray for

scooters, the only new player that has lasted till today is LML.

Under the regulated regime, foreign companies were not allowed to operate in India. It

was a complete seller market with the waiting period for getting a scooter from Bajaj

Auto being as high as 12 years

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The motorcycles segment was no different, with only three manufactures viz Enfield,

Ideal Jawa and Escorts .While Enfield bullet was a four stroke bike,Jawa and the Rajdoot

were two stroke bikes. The motorcycle segment was initially dominated by Enfield 350

cc bikes and Escorts 175 cc bike.

The two wheeler market was opened to foreign competition in the mid -80s.And then the

market leaders Escorts and Enfield were caught unaware by the onslaught of the 100 cc

bikes of the four Indo –Japanese joint ventures.

With the availability of fuel –efficient low power bike, demand swelled, resulting in Hero

then only producer for four stroke bikes (100 cc category),gaining top slot.

The first Japanese motorcycles were introduced in the early eighties. TVS Suzuki and

Hero brought in the first two stroke and four stroke engine motorcycles respectively.

These two players initially started with assembly of CKD kits, and later on progressed to

indigenous manufacturing. In the 90s the major growth of motorcycles segment was

brought in Japanese motorcycles, which grew at a rate of nearly 25% in the last five

years.

The industry had a smooth ride in the 50s,60s and 70s when the government prohibited

new entries and strictly controlled capacity expansion. The industry saw a sudden growth

in the 80s. The industry witnessed a steady growth of 14% leading to peak volume of

1.9mn vehicles in 1990

The entry of Kinetic Honda in mid –eighties with a variometric scooter helped in

providing ease of use to the scooter owners. This helped in inducing youngsters and

working women towards buying scooters, who were earlier, inclined towards moped

purchase. In the 90s , this trend was reversed with the introduction of Scooter. In the line

Page 25


with this, the scooter segment has constantly lost its part of the market share in the two

wheeler market.

In 1990s, the entire automobile industry saw a drastic fall in demand. This resulted in a

decline of 15% in 1991 and 8% in 1992,resulting in a production loss of 0.4 mn vehicles.

Barring loss due to increase rise in fuel prices, high input cost and reduced purchasing

power due to significant rise in general price level and credit crunch in consumer

financing .factors like increased production in 1992,due to new entrants coupled with the

recession in the industry resulted in companies either reporting losses or fall in profits.

Page 26


Segmental Classification and Characteristics

The three main products segments in the two wheeler category are scooters, motorcycles

and mopeds. However, in response to evolving demographics and various others factors,

other sub segment emerged, viz. scootrretess, gearless scooters, and 4 stroke

scooters .While the first two emerged as a response to demographics changes, the

introduction of 4 stroke scooters has followed the imposition of stringent pollution.

Scooter Motorcycle Moped

Price > 22,000 > 30,000 > 12,000

Stroke 2-stroke, 4-stroke Mainly 4-stroke 2-stroke

Engine Capacity (cc) 90-150 100, 125, > 125 50, 60

Ignition Kick/Electronic Kick/Electronic Kick/Electronic

Engine Power (bhp) 6.5-9 7-8 and above 2-3

Weight (kg) 90-100 > 100 60-70

Fuel Efficiency (kms per litre) 50-75 50-80+ 70-80

Load Carrying High Highest Low

Page 27


Industry volume growth expected to gear down to 8-9% in 2012-13

ICRA Ratings

Overview

The Indian two-wheeler (2 wheeler) industry recorded sales volumes of 13.4 million units

in 2011-12, a growth of 14.0% over the previous year. In a year wherein growth in other

automobile segments particularly, passenger vehicle (PV) and medium & heavy

commercial vehicle (M&HCV), slowed down to single digits - marred by demand

slowdown due to northward movement of inflation, fuel prices and interest rates - the

14% growth recorded by the 2 wheeler industry remained steady. However, the

momentum in the 2 wheeler industry's volume growth too has been losing steam lately as

evident from the relatively lower volume growth of 11.0% recorded in H2, 2011-12

against a growth of 17.1% recorded in H1, 2011-12 . The deceleration in growth is

largely attributable to the motorcycles segment which grew at a much lower rate of 7.8%

in H2, 2011-12 vis-à-vis 16.4% in H1, 2011-12; even as the scooters segment continued

to post 20%+ expansion during both halves of the last fiscal. With this, the share of the

scooters segment in the domestic 2 wheeler industry volumes increased to 19.1% in

2011-12 from 17.6% in 2010-11. Overall, ICRA expects the domestic 2 wheeler industry

to report a volume growth of 8-9% in 2012-13 as base effect catches up with the industry

that has demonstrated a strong volume expansion over the last three years at cumulative

annual growth rate (CAGR) of 21.8%. Over the medium term, the 2 wheeler industry is

expected to report a volume CAGR of 9-11% to reach a size of 24-26 million units

(domestic + exports) by 2016-17, as we believe that various structural positives

associated with the domestic 2 wheeler industry remain intact.

Page 28


Medium-Term Demand Drivers Stay Put

An analysis of the mix of Indian populace and the structure of the Indian 2 wheeler

industry brings to the fore several key attributes namely, India's demographic advantage,

moderate 2 wheeler penetration levels and shrinking of replacement cycle - factors that

have combined to propel the industry's volumes over the last 10 years from 4 million

units in 2001 to 13 million units in 2011. These growth drivers are likely to remain

relevant over the medium term and continue to provide impetus to the industry's volumes.

Page 29


Segmental Analysis of the 2 wheeler Industry

The motorcycles segment accounts for a bulk of 2 wheeler industry's sales volumes;

however, the scooters segment has grown relatively faster over the last 5 years

With sales volumes of 10.1 million units, the motorcycles segment is the largest sub-

segment of the domestic 2 wheeler industry accounting for a bulk of its volumes.

However, over the last five years, the motorcycles segment has seen its volume share in

the domestic 2 wheeler industry slide down to 75.1 % in 2011 -12 from the highs of

83.5% recorded in 2006-07. Although domestic motorcycle volumes grew at 9.0%

CAGR during the last five years, both the scooters segment as well as the mopeds

segment grew at a much faster CAGR of 22.2% and 17.0%, respectively, contributing to

reduction in the motorcycle segment's volume share.

The three 2 wheeler sub-segments are targeted at distinct consumer categories. The

motorcycles are targeted at the male population in both rural areas as well as urban areas

(with further segmentation based on usage pattern -family bike or individual bike,

Page 30


consumer profile - commuter Vs performance seeker etc); the scooters are more of an

urban phenomenon targeted at the female population (TVS Scooty, Hero Pleasure), male

population (Hero Maestro) as well as unisex offerings (Honda Activa, TVS Wego)

mopeds are targeted at the lower middle-class segment and derive a large part of their

volume share from the rural sector where they are used as a utility vehicle bearing heavy

loads on rough village roads. While each of the three sub-segments has distinctive growth

drivers, we expect the scooters segment to maintain its pace of growth faster than that of

the 2 wheeler industry as a whole. The faster volume growth of the scooters segment is

expected to be driven by (a) growing acceptability of gearless scooters, particularly by

women; (b) rising urbanization and increasing proportion of working women; (c)

expanding product offerings in the scooters segment; and (d) comparatively lower base.

Accordingly, ICRA expects the scooters segment to gradually increase its share in the

domestic 2 wheeler market from 19.1 % in 2011 -12 to -27% by 2016-17.With this, the

volumes in the domestic scooters market are estimated to get doubled by 2016-17 over

the current levels.

Trend in Sales Volumes and Market Share in Motorcycles

Sales Volumes Analysis – Motorcycles

Based on SIAM data, around 70% of the motorcycles sold in India in 2011-12 belonged

to the 75-125cc (engine capacity) segment, bikes which are positioned for the mass

commuter segment where better fuel economy and low price are the prime customer

considerations. However, the volume share of this segment has been coming down over

the years with the share gradually being taken away by bikes in the 125cc and 150cc

segments. While the domestic motorcycles segment recorded a volume growth of 11.9%,

the >125cc sub-segment grew at a relatively faster rate of 17.4% in 2011-12. With this,

the contribution of the >125 cc segment to the total motorcycle segment volumes

increased from 26.0% in 2009-10 to 29.7% in 2011-12.

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Market Share Trends

The Indian motorcycles segment continues to be dominated by Hero Moto Corp, which

has maintained its market share at -55% in the domestic motorcycles segment over the

last several years, despite intensifying competition. The top three players accounted for

89.0% of the industry's volumes in 2011-12 (92.0% in 2007-08), with Honda emerging as

the third largest player, having overtaken TVS since 2010-11. In the 75-125cc segment of

motorcycles (that represented 70.3% of total motorcycles sales volumes in 2011-12),

Hero Moto Corp continues to be a strong market leader with a share of 75.0% in 2011-12

(71.0% in 2010-11). In the >125cc segment of motorcycles, while Bajaj Auto continues

to account for nearly half the segment's volumes (48.0% in 2011-12), it has been ceding

market share to Honda and Yamaha, whose volumes in the >125cc segment grew

significantly by 27.9% and 38.8%, respectively in 2011 -12.

Medium Term Outlook

▪ ICRA expects the entry segment (bikes having price less than Rs. 40,000) volumes in

the domestic market to grow at a much slower pace than the overall 2 wheeler industry

and volume growth in this segment to be driven mainly by exports. This is because the

segment is no longer a key focus area of OEMs due to limited scope for margin

expansion.

▪ While the executive segment (bikes in the Rs. 40,000-50,000 price range) is expected to

maintain its steady growth, competition is likely to intensify following aggressive

model refurbishment and new model launch plans of most OEMs.

▪ The premium segment (bikes having price greater than Rs. 50,000) is expected to

remain the fastest growing over the medium term, given the strong growth in

purchasing power in the hands of middle-class urbanites, especially, in the age group of

Page 32


20-30 years. This should also translate into superior profit margins for players that are

stronger in the premium segment.

Trend in Sales Volumes and Market Share in Scooters

Sales Volumes Analysis – Scooters

Barring Q1,2011-12, the growth in scooter segment's sales volumes has generally

outperformed that of the motorcycles segment, partly due to the former's smaller base. In

2011-12, the sales volumes of the domestic scooters segment at 2.6 million units recorded

a growth of 23.6%, higher than the 11.9% growth in motorcycle sales.

Market Share Trends

Overall, Honda continues to maintain its leadership position in the scooters segment

through its flagship brand Activa (besides Aviator and D/'o) enjoying a market share of

47.8% in 2011-12 (43.1% in 2010-11). While capacity shortfall at the company's plant at

Manesar (Haryana) had restricted its volume growth in the recent past, the company

began commercial production at its new plant at Tapukara (Rajasthan) in July 2011. This

allowed the company to consolidate its market position during the last three quarters of

Page 33


2011 -12. However, Hero MotoCorp's demonstrated success in improving market share

(through its sole brand Pleasure) coupled with new scooter models launched by Hero

MotoCorp (Maestro), TVS (Wego), Suzuki (Swish) in the recent past could imply

shrinkage of market share gap between the market leader and others overtime.

Medium Term Outlook

ICRA expects the scooters segment to gradually increase its share in the domestic 2

wheeler market from 19.1 % in 2011 -12 to -27% by 2016-17, growing at 16% CAGR

during this period. With this, the domestic scooters market is estimated to nearly double

in size by 2016-17 over the current levels. Thus, even as a multitude of brands already

dot the segment's landscape and more are expected to follow, the likely expansion in the

pie should offer sufficient volumes for the industry to grow profitably.

Market Segmentation

150-220cc Motorcycle Segment

Characterized by high model clutter and high degree of market segmentation

Monthly Sales Volumes (150-220cc)

The 150cc segment of motorcycles accounted for 17% of total motorcycle sales volumes

in April 2012. These premium segment bikes are characterized by greater visual appeal,

higher speeds, heady acceleration and superior ride, handling and braking attributes. The

price point of these bikes starts from Rs. 60,000 (although there are few exceptions) and

runs into lakhs of rupees as one goes up the engine capacity, power rating and technology

ladder. This category is the most segmented and includes:

Page 34


▪ Performance bikes, ranging from 150cc to 220 cc, and consisting of Bajaj Auto's Pulsar

family, Hero Moto Corp's Achiever, CBZ Extreme, Hunk, Impulse and Karizma;,

Honda's Unicorn, and TVS' Apache RTR, besides models from the stable of Suzuki and

Yamaha

▪ Leisure bikes such as Royal Enfield's Bullet, Thunderbird

▪ Super bike range consisting of Bajaj Auto's Kawasaki Ninja, Honda's CB 1000R,

Suzuki's Hayabusa, Yamaha's YZF-R1 and bikes introduced by Hyosung, Ducati.

The discussion in this section, however, is restricted to bikes in the 150-220cc segment.

Overall, this segment is expected to remain the fastest growing one over the medium

term, given the rising purchasing power of middle-class urbanites, especially in the age

group of 20-30 years. This should also translate into superior profit margins for players

that are stronger in the premium segment.

Page 35


COMPANY PROFILE

Background and inception of the company

TrichurVengaramSundaramIyengar, 1877 - 1955 was the founder of TVS Group.

The TVS group was established in 1911 by Shri. T. V. SundaramIyengar. As one of

India’s largest industrial entities it epitomizes Trust, Value and Service. It all began way

back in 1984 when Sundaram Clayton Limited (A TVS Group Company) introduced its

50 CC mopeds in the arena of road racing, notching up unbelievable speeds of 105 kmph.

Since then, there has been no looking back for TVS Motor Company. TVS Racing was

established in 1987 with the objective of improving the performance of its bikes. Over

the years it has provided valuable data, design inputs, development of reliable motorcycle

models, excellent vehicle

Dynamics & handling etc. The true evidence of it is seen in today's TVS Victor and TVS

Fiero.

Page 36

http://en.wikipedia.org/wiki/T._V._Sundaram_Iyengar


Today, there are over thirty companies in the TVS Group, employing more than 40,000

people worldwide and with a turnover in excess of USD 2.2 billion.

With steady growth, expansion and diversification, TVS commands a strong presence in

manufacturing of two-wheelers, auto components and computer peripherals. We also

have vibrant businesses in the distribution of heavy commercial vehicles passenger cars,

finance and insurance.

TVS Motor Company Limited, the flagship company of the USD 2.2 billion TVS Group,

is the third largest two-wheeler manufacturer in India and among the top ten in the world,

with an annual turnover of over USD 650 million.

The year 1980 is one to be remembered for the Indian two-wheeler industry, with the roll

out of TVS 50, India's first two-seater moped that ushered in an era of affordable

personal transportation. For the Indian Automobile sector, it was a breakthrough to be

etched in history. TVS Motor Company is the first two-wheeler manufacturer in the

world to be honored with the hallmark of Japanese Quality – The Deming Prize for Total

Quality Management.

Founder T V SundaramIyengar

Country India

Year of Establishment August 1980 (TVS Group in 1911)

Page 37


Industry Manufacturing of two-wheelers and auto componentsMopeds,Ungeared scooters,

Business Group TVS Group

Employees 9,633 (2010)

Listings & its codes NSETVS -Suzuki Ltd: TVSSUZUKI TVS Motor Company Limited: TVSMOTORTVS Motor Company Limited: TVS-SUZUKI BSETVS Motor Company Ltd.: 532343

Head Office TVS Motor Company Jayalakshmi Estates V Floor 8, Haddows Road, Chennai - 600006 Tel.: +(91)-(44)-28272233Fax: +(91)-(44)-28257121

Factory Post Box No. 4 Harita, Hosur - 635 109Tel.: +(91)-(4344)-276780 Fax: +(91)-(4344)-276878

Post Box No.1 Byathahalli Village, Kadakola Post Mysore - 571 311Tel.: +(91)-(821)-2596561 Fax: +(91)-(821)-2596550/ 2596553

Website http://www.TVSmotor.in

Page 38

TV SundaramIyengar and Sons Limited (TVSs) is the holding company for the

TVS Group of companies engaged in the manufacturing of almost all kinds of

automotive components, best two wheelers and a few other industrial products. They

are also into the financial services sector. The turnover of the entire group was close

to $2 billion in 2003.TVS was founded by T. V. SundaramIyengar in 1911.

It is the only automotive manufacturer in India to get the prestigious Deming Prize.

One of its subsidiaries Sundaram Clayton was the first company in India to receive

the Deming allowed by Sundaram Brake Linings also getting the Deming Prize. This

prize is "given to organizations or divisions of organizations that have achieved

distinctive performance improvement through the application of TQM in a designated

year." Sundaram Clayton went on to be awarded the Japan Quality Medal.

The TVS group of companies is mainly situated in Padi, Tamil Nadu, in the outskirts

of Chennai (formerly Madras).

TVS MOTORS

TVS Motor Company has its origin in SUndaramCLayton Limited, Moped Division,

started in 1980. The factory was started in Hosur, Tamilnadu in southern India. The

first product launched was a 50 cc moped, which appealed to the masses because of

its capability to carry two people. In the same location, the same promoters started

another company in 1984, in collaboration with Suzuki Motor Corporation of Japan,

for the manufacture of 100 cc motorcycles under the brand name of Ind-Suzuki

Motorcycles. Subsequently in the moped division was bought by Ind Suzuki

Motorcycles in 1987 and the company changed its name to TVS Suzuki Ltd.

Even though the company started producing all kinds of two wheelers like mopeds,

scooters and motorcycles, the collaboration with Suzuki continued for the

motorcycles only. The collaboration with Suzuki Motor Corporation ended in 2001

and since then the name of the company changed to TVS Motor Company. The

company now develops all types of two-wheelers through its own in house R&D

facility and manufactures in three locations in India, Hosur in Tamilnadu, Mysore in

Karnataka and Baddi in Himachal Pradesh. It has recently started a new

manufacturing plant in Indonesia to cater to the South east Asian market. The

Chairman and Managing Director of the Company is Mr. VenuSrinivasan who is the

grandson of TV SundaramIyengar.


ORGANISATION STRUCTURE

Chairmen

Board of directors

Vice preside vice president vice president vice president Mktg.-sales Operations Service & HRD Finance

Gm Gm Gm Purchase General Manager Sales Manufacturing Manager Manager Finance Mktg. HRD personnel

AGM General Production & Manager Planning Purchase General Manager Manager Finance Service

AGM AGM AGM Sales Publicity Mktg. Purchase

Officers Accounts Dept Personnel General General Manager Manager Area Production & Technical Manager

General Manager Planning

Assistant Manager JR Level Field service Officers JR Level Production Planning Officers Engineer

Sales officers

Shop Floor Workers

PRODUCT PROFILE

Page 39


Page 40


DIFFERENT STYLES OF THE APACHE 160 RTR

Page 41


Technical Specification

ENGINE & TRANSMISSION

Type 4 Stroke, 159.7 cc, SingleMax. Power 11.19 Kw (15.2 Bhp) @ 8500 rpmMax. Torque 13.1 Nm @ 6000 rpmBore & Stroke 62mm X 52.9 mmCompression Ratio 9.5:1Carburettor Mikuni BS-26Valve Train 2 Valves, Single CamValves Per Cylinder 2 Valves Power to weight ratio 111.76 Bhp / TonStarting Electric & Kick StartIgnition IDI-Dual mode digital ignition TRANSMISSION

Clutch Wet, Multi-PlateGear 5 Speed

Page 42


CHASSIS

Type Double Cradle SUSPENSION

Front Telescopic Forks, 105mm StrokeRear Monotube Inverted Gas filled shox

(MIG) With Spring Aid BRAKES

Front 270 mm Petal Disc Rear 130 mm Drum WHEELS AND TYRES

Rim size (Front) 1.85 x 17”Rim size (Rear) 2.15 x 18” Tyre size (Front) 90/90 x 17”Tyre size (Rear) 100/80 x 18” ELECTRICAL

Head lamp 35/35W Halogen HS1, Clear lens with MFR

Tail lamp 5 WStop lamp 21 WTurn signal lamp 10 W DIMENSIONS & CAPACITY

Length 2020 mmWidth 730 mmHeight 1050 mmWheelbase 1300 mmSaddle Height 790 mmGround Clearance 180 mmFuel tank capacity 16.0 litReserve capacity 2.5 litUseable Reserve 1.7 lit

Page 43


A BRIEF PROFILE ON BRIDGESTONE TVS

BRIDGESTONE TVS was established in the year 1987 in Rajajinagar, Bangalore. It is

one of the most popular and full fledge dealers in the automobile section in Bangalore,

and is placed second position in terms of sales and Services in Karnataka.

BRIDGESTONE TVS is operated and managed by Mr. N.S. RAVI who is the General

Manger of the company there are 33 people working in the service department and the

total people working is almost 77, who creatively work for the welfare and growth of the

company. The BRIDGESTONE TVS has strongly made a very strong and vital

impression among the people for the two-wheeler section in Bangalore city.

BRIDGESTONE TVS has caused an inevitable position for itself in the TVS family by

virtue of being one of TVS most successful dealers and for the quality which they are

providing there was an recognition and have been rewarded with the “DEMING

AWARD” form JAPAN in the year 2000.

The objectives of the company are as follows

Satisfaction of the customers

Better quality service to its customer

Satisfaction of the employees

Good response to its customers

Sales

The record of the sales in BRIDGESTONE TVS is incomparable.

The sales of the vehicles in BRIDGESTONE TVS are 20 to 25 vehicles in a Day and

out of those 3 vehicles are TVS ApacheRTR160 and the rest is other TVS vehicles.

However the size of sales is expanding every year.

Page 44


SERVICE

However BRIDGESTONE TVS enjoys he distinctive features and reputation of

leading their expertise in service of repairs of two-wheelers of all makes. There after

sales service has been absolutely commendable in their efforts at keeping respect

complaints in check. The commitment and case shown to the product and the consumers

is explained and has drawn quite a few accordance from corporate clients and individuals

alike.

BRIDGESTONE TVS has manpower strength of 33 experience and skilled

personnel.

BRIDGESTONE TVS sprit of acknowledging, rewarding and encouraging

outstanding performance, they have instituted best performance awards in various areas

of criteria like skill initiative, attitude, attendance, quality, personal presentation,

cooperation, friendliness etc.

They work on philosophy that “we finally believe in the culture that it requires a

great office.

Page 45


TVS Motor Company – Mission

We are committed to being a highly profitable, socially responsible, and leading

manufacturer of high value for money, environmentally friendly, lifetime personal

transportation products under the TVS brand, for customers predominantly in Asian

markets and to provide fulfillment and prosperity for employees, dealers and suppliers.

TVS Motor Company-Vision

TVS Motor will be responsive to customer requirements consonant with its core

competence and profitability. TVS Motor will provide total customer satisfaction by

giving the customer the right product, at the right price, at the right time.

Page 46

SWOT

Strength

1. Finances backed by TVS motors 2. Good servicing 3. A good technical team 4. Large no. of dealers in the country

Weakness1. Inability to connect to the larger audience of bike riders who want style 2. Limited advertising as compared to other leading brands

Opportunity1. Expansion in the rural market 2. Image makeover to compete with bikes in the high price segment 3. Use of new technology to give maximum benefit and derive more profit

Threats1. New entrants 2. Competitors


CHAPTER 5

DATA ANALYSIS AND INTREPRETATION

TABLE: 1

CLASSIFICATION OF RESPONDENTS ON THE BASIS OF AGE

Age No. of respondents Percentage

Below-20 20 20%20-30 51 51%30-40 19 19%Above-40 10 10%

Total 100 100%

Concept of the table

The above table shows the classification of respondents on the basis of age

Analysis

Majority of the respondents belongs to the age group “between” 20-30 (51%). The

next highest number of respondents belongs to the age group of 30 and 40 (19%), 20% of

the respondents are below 20 years of age just 10% respondents are above 40 years of

age

GRAPH-1

Page 47


CLASSIFICATION OF RESPONDENTS ON THE BASIS OF AGE

Inference

Hence it can be inferred that majority respondents are between age group of 20-30

years.

Page 48

Below-20 20-30 30-40 Above-400%

10%

20%

30%

40%

50%

60%


TABLE: 2

CLASSIFICATION OF RESPONDENTS ON THE BASIS OF OCCUPATION


The above table shows classification of respondents on the basis of occupation.

Analysis

Maximum of 28 % of the respondents belong to study category. Another 25 % are

professional. Businessman occupies 20 % share of the respondents.10 % of the govt.

employees. Private employees occupy 17 % of the total sample survey

Page 49

Occupation No. ofrespondents

Percentage

Business 20 20%

Student 28 28%

Govt.employee 10 10%

Professional 25 25%

Pvt.employee 17 17%

Total 100 100%


GRAPH-2

CLASSIFICATION OF RESPONDENTS ON THE BASIS OF OCCUPATION

Inference

Hence it can be inferred that majority respondents are students.

Page 50

Business Student govt. employee professional pvt. Employee0%

5%

10%

15%

20%

25%

30%


TABLE: 3

CLASSIFICATION OF RESPONDENTS ON THE BASIS OF INCOME

Income No. ofRespondents

Percentage

50-000-100000 39 39%100001-150000 21 21%150001-200000 10 10%Above-200000 7 7%Nil 23 23%

Total 100 100%


The above table shows classification of respondents on the basis of income

Analysis

39 % of the respondents have an annul income between Rs 50000-100000, 21 %

earns between 100001-150000 in a year, 10% earn between Rs. 15001-200000.

Respondents whose annul income in above Rs. 200000 one just 7 % of the total, 23 %

have no income at all.

Page 51


GRAPH-3

CLASSIFICATION OF RESPONDENTS ON THE BASIS OF INCOME

Inference

Hence it can be inferred that majority respondents belongs to an income group of

50000-100000.

TABLE: 4

Page 52

50-000-100000 100001-150000 150001-200000 Above-200000 Nil0

5

10

15

20

25

30

35

40

45


CLASSIFICATION OF RESPONDENTS ON THE BASIS OF AWARENESS OF VARIOUS BRANDS OF TWO-WHEELERS


The

above table

shows

classifications of respondents on the basis of awareness of various brands of two-

wheelers

Analysis

The survey depicts that the respondents are aware of the Bike TVS Apachee

RTR160 is 80% compare to other products like Bajaj Pulsar is 75%, Honda Unicorn is

85%, Yamaha RX is 45% and Suzuki is 50%.

GRAPH-4

CLASSIFICATION OF RESPONDENTS ON THE BASIS OF AWARENESS OF VARIOUS BRANDS OF TWO-WHEELERS

Page 53

Brand name No. ofrespondents

Percentage

TVS APACHE RTR160

80 80%

BAJAJ PULSAR 75 75%

HONDA UNICON 85 85%YAMAHA RX 45 45%

SUZUKI 50 50%


Inference

Hence it can be inferred that Brand awareness of TVS Apachee RTR160 is low

compared to Honda Unicorn. But it is high when compared to other Brands.

TABLE-5

SHOWING MARKS GIVEN BY RESPONDENTS TO VARIOUS ATTRIBUTESOF MOTOR BIKE

Page 54

TVS APACHE RTR160

BAJAJ PULSAR HONDA UNICON YAMAHA RX SUZUKI0

10

20

30

40

50

60

70

80

90

Series1



The above table shows marks given by respondents to various attributes of MOTOR BIKE

Analysis

According to the survey 73 % respondent have given maximum importance to

power and pick. The next most important attribute respondents look for in a Motor bike is

mileage according to 72 % respondent. Technology and engineering is also one of the

most important attribute people look for in Motor bike according 66% respondent.

During comfort, road grip, availability of spares and maintenance are among the next

essential attributes in a Motor bike are the other important attributes.

Page 55

ATTRIBUTES 1-4 5-7 8-10 TotalAesthetics 14 30 56 100Mileage 18 20 72 100Price 4 36 60 100Riding Comfort 7 36 57 100Maintenance 5 32 63 100Power & Pick up 1 26 73 100After Sale Service 5 45 50 100Availability of spares 7 32 61 100Road grip 6 31 63 100Electronical &lighting 12 31 49 100Technology & Engineering

3 39 66 100

Resale value 12 33 55 100


GRAPH-5

SHOWING MARKS GIVEN BY RESPONDENTS TO VARIOUS ATTRIBUTESOF MOTOR BIKE

Inference

Hence it can be inferred that majority respondents prefer power and pick up

followed by maintenance.

Page 56

0

10

20

30

40

50

60

70

80

Aesthetics Mileage Power & Pickup

Riding Comfort Maintenance Price

Series1

Series2

Series3

After Sale Service

Availability of spares

Road grip Electronical &lighting

Technology & Engineer-

ing

Resale value0

10

20

30

40

50

60

70

Series1

Series2

Series3


TABLE-6

SHOWING PREFERENCE IN CHOICE OF BRAND OF MOTOR BIKE


The above table shows preference in choice of brand of motor bike.

Analysis

A maximum of 44% of the nonuser respondents wanted to buy TVS APACHE

RTR160. The other brand names preferred are YAMAHA RX by 21%, BAJAJ PULSAR

by 20% and HONDA UNICON by 15 % of the respondents.

Page 57

Brands No. of Respondents

Percentage

TVS APACHE RTR160

44 44%

BAJAJ PULSAR 20 20%HONDA UNICON 15 15%YAMAHA RX 21 21%

Total 100 100


GRAPH-6

SHOWING PREFERENCE IN CHOICE OF BRAND OF MOTOR BIKE

Inference

Hence it can be inferred that majority respondents prefer TVS APACHE RTR160

and followed by various other of two-wheelers.

Page 58

TVS APACHE RTR160 BAJAJ PULSAR HONDA UNICON YAMAHA RX0

5

10

15

20

25

30

35

40

45

50

Series1


TABLE-7

SHOWING WHETHER THE USER USING TWO WHEELER BEFORE PURCHASE OF TVS APACHE RTR160

Responses No. ofRespondents

Percentage

Yes 73 73%No 27 27%

Total 100 100%


The above table shows whether the user possessed two wheeler prior to the

purchase of TVS APACHE RTR160.

Analysis

Among the total number of users 73% had a vehicle before buying TVS APACHE

RTR160. Just 27% of the users did not have a vehicle before.

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GRAPH-7

SHOWING WHETHER THE USER USING TWO WHEELER BEFORE PURCHASE OF TVS APACHE RTR160

Inference

Hence it can be inferred that majority respondents had a vehicle before buying

TVS APACHE RTR160.

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73%

27%

Yes No


TABLE -8

SHOWING SOURCES OF INFORMATION ABOUT TVS APACHE RTR160

Media No. of Respondents

Percentage

Print media 33 33%Electronic media 17 17%Family and friends 42 42%Other’s 8 8%

Total 100 100%

Note: Respondents have given multiple answer choices


The above table shows sources of information about TVS APACHE RTR160.

Analysis

The major source of information through which people got to know more about

TVS APACHE RTR160 are family and friends 42%, print media 33% and electronic

media17% others 8% are also effective source of information to the public.

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GRAPH-8

SHOWING SOURCES OF INFORMATION ABOUT TVS APACHE RTR160

Inference

Hence it can be inferred that majority of respondents received the information by

family and friends.

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Print media Electronic media Family and friends Other’s0

5

10

15

20

25

30

35

40

45


TABLE-9

SHOWING WHETHER THE USER FACED ANY PROBLEM WITH TVS APACHE RTR160


The above table shows whether the users faced any problem with TVS APACHE

RTR160.

Analysis

Among the total number of users 93% did not face any problem with the Bike and

its performance. A minority of 7% respondents faced a few problems.

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Responses No. of Respondents

Percentage

Yes 7 7%No 93 93%

Total 100 100%


GRAPH-9

SHOWING WHETHER THE USER FACED ANY PROBLEM WITH TVS APACHE RTR160

Inference

Hence it can be inferred that majority respondents did not faced any problems with

TVS APACHE RTR160.

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7%

93%

Yes

No


TABLE-10

SHOWING VARIOUS SUGGESTIONS GIVEN BY RESPONDENTS TO OVERCOME THE PROBLEMS FACED.

No. ofRespondents

percentage

Increase mileage 25 25%Colors 25 25%Increase Adds 25 25%Lower maintenance 25 25%

Total 100 100%


The above table shows various suggestions given by respondent to overcome the

problems faced.

Analysis

To overcome the problems with the scooter the respondents suggest that there

should be increase mileage, its maintenance should be low, the vehicle should be left

with some more new colours, proper guidance regarding the care and maintenance of the

scooter should be given to the customers.

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GRAPH-10

SHOWING VARIOUS SUGGESTIONS GIVEN BY RESPONDENTS TO OVERCOME THE PROBLEMS FACED

Inference

Hence it can be inferred that majority respondents suggested various aspects like,

increase in mileage, its maintenance should be low, the vehicle should be left with some

more new colors etc.

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25%

25%25%

25%

Increase mileage

Colours

Increase Adds

Lower maintenance


CHAPTER-6

FINDINGS AND SUGGESTIONS

FINDINGS

1. 51 % of the respondents in the age group of 30-40 are aware of the bikes promoted by the competitors

2. 28 % of the respondents are the students who have a passion towards the bike with high engine capacity and mileage.

3. 39% of the respondents belongs to level of Income between50,000-100000 the people purchase the vehicle highly.

4. The company Brand awareness is low compared to Honda Unicorn but when compared with the other Brands it is aware to customers.

5. The majority of respondents prefer the Power & Pick up, Mileage even though Road Grip also has its effective feature.

6. 44% of respondents prefer TVS APACHE RTR160 followed by 20% of the BAJAJ PULSAR and 15% other Brands of the two-wheelers.

7. The 60% of the respondents prefers TVS APACHE RTR160 and followed by various other Brands of the two wheelers.

8. The 50% of the respondents had a two wheeler before buying TVS APACHE RTR160.

9. The majority of the 42% respondents received the information by Family & Friends.

10.93% of the majority of the respondents did not face any problems with TVS APACHE RTR160.

11.The majority of the respondents suggested the various aspects like increase in Mileage, its maintenance should be low, the vehicle should be left with some more new colors etc.

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SUGGESTIONS

1. The company has to take initiative and further stages to improve the all aged persons not only can use the Bike but also they can influence to others like promotional activities.

2. The company has to enhance the motivation activities through media or other activities to influence the Business man’s, Govt and Private Employees to buy this product.

3. The company has to take promotional activities to cover all the level of income people.

4. The company has to increase sustainable competitive advertisement with respective products to enhance the company Brand awareness.

5. The Brand penetrate into the Market with respected other new designs and features to enhance the sales.

6. It reveals that the company products highly competitive compared with other products.

7. The company has to provide or make aware of the loan schemes and easy installment schemes and other Financial Benefits to remaining 40% of customers

8. The company has to deliver the product as soon as possible to customer demands and Market Demands.

9. The company fulfilled of product demand and it has to increase its Brand lines.

10.The company to increase the sales and Brand awareness vital important is customer loyalty, branches effective service and other promotional activities.

11.The company has to constantly maintain the good service, mileage, road grip, design and other activities.

12.Overall finding concludes that the product would not have faced the problem but remaining activities enhance it to keep good and effective Marketing Strategy and Flexibility of the Product.

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CONCLUSION

TVS Motors company is one of the top company in the global level with regarding

all competitive advertisements and features. The analysis concludes that potential of this

product is very keen in sales activities and good server of customers in the society.

The company has to come out with according to Marketing Potentiality with

products Brand awareness and react with Marketing flexibility and customers wants,

needs and Demands with companies all resources.

Hence company also took place in Market with sustainable competitive sales also

acquired with regarding new features and this product also moving in Market effectively

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BIBLIOGRAPHY

BOOKS :

Principles of Marketing : Philip Kotler

Marketing Management : S.A.Sherlekar, Reddy, Appannaiah Modern Marketing : R.N.S.Pillai and Bagavati

Journals and magazines :

Indian express

The times of India

Auto India

Car and bike international

overdriveWEBSITE: www.google.comwww.interbrand.comwww.businessweek.com

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http://www.interbrand.com/

http://www.google.com/


Questionnaires

Dear Sir

I am DURGESH.C the student of MBA 3rd semester studying in Department of MBA in

Tumkur University. I am conducting a survey to prepare a report on “MARKET

POTENTIAL AND BRAND AWARENESS TOWARDS TVS APACHE RTR160

I assure you that the information provided by you will be kept confidential and strictly restricted only for academic purpose.

(PLEASE PUT TICK MARK WHERE EVER NECESSARY)

1. NAME :

2. ADDRESS :

3. AGE : BELOW 20 ( ) 20-30 ( ) 30-40 ( )

40 & ABOVE ( )

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5. OCCUPATION : BUSINESS ( ) GOVERNMENT

EMLOYEE ( ) PVT.EMPLOYEE ( )

STUDENT ( ) PROFESSIONAL ( )

OTHERS, PLEASE SPECIFY,

6. Income (PA) Less than: 50,000-1, 00,000 ( ) 1, 00,001-1, 50,000 ( )

1, 50,001-2, 00,000 ( ) Above 2, 00,000 ( )

7. Do you know that different brand of two wheelers?

BRAND AWARENESSTVS APACHE RTR160 Yes ( ) No ( )BAJAJ PULSAR Yes ( ) No ( )HONDA UNICON Yes ( ) No ( )

YAMAHA FAZER Yes ( ) No ( )SUZUKI Yes ( ) No ( )

8. Please rate the following attributes of a two wheeler according to your degree of importance (1-10).

ATTRIBUTES RANKINGBrand LoyaltyMileagePower & Pick upRiding ComfortMaintenancePriceAfter Sale ServiceAvailability of sparesRoad grip

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9. What was your intention behind deciding for TVS APACHE RTR160?

10. Were you using a two wheeler before using TVS APACHE?

Yes [ ]No [ ]

11. What was your source of information & inspection?

Print Media [ ] Electronic media [ ]

Family & Friends [ ] Demo or display [ ] Others (Specify)

12. Have you faced & problems with your vehicle?

Yes [ ] No [ ] If yes state them…..

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1 More power [ ]2 Mileage [ ]3 Good aesthetics [ ]4 Technology/Engineering [ ]

5 Brand Loyalty [ ]6 Others specify [ ]


13. Your Suggestions for Improving TVS APACHE RTR160.

DATE :PLACE : SIGNATURE

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