TVS Motors

HISTORY

The TVS group was established in 1911 by Shri. T. V.Sundaran Iyengar

The TVS group is today leading player in Automobile and Automotive Industry

The group has 30 companies and employs more than 40,000 people

TVS motor company is the largest among the group companies in terms of size and turnover

It is India’s third largest two-wheeler manufacturer and one among the top ten in the world

It has 15% market share in the two wheeler market in India

More than 15 million customersProduct offerings in all segment of the two

wheeler and three wheeler segment in India Its products are exported to more than 50

countries

TVS Motor Company LimitedType PublicIndustry AutomotiveFounded 1978Founder(s) SundaramHeadquarters Chennai, IndiaKey people Venu Srinivasan

(Chairman & MD)Products Motorcycles, scooters, three-

wheeler vehicles and spare parts

Revenue 74.34 billion (US$1.2 billion) (2012)

Profit 13.2 billion (US$220 million) (2012)

Parent Sundaram - Clayton LimitedWebsite www.tvsmotor.in

Global plants of TVS:1)Hosur in Tamilnadu2)Mysore in Karnataka3)Himachal Pradesh4)Indonesia

From Chennai they export 47 countries. They are manufacturing nearly 1,00,000 – three wheelers per annum in Chennai

TVS has 500 dealers and 20000 authorized service centers across India

TVS has 5000 employees with more than 15 million customers with passion and commitment

TAGLINE AND LOGO

Inspiration in Motion

PRODUCTS

MISSIONWe 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.

VISION“Total customer satisfaction

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

”Sustain its cutting edge of technology by constant benchmarking against international leaders.”

• August 2001 – launched TVS Victor

Analysts – Although 6000 Victors were sold in November and December 2001

Aggressive marketing strategies were used

Special attention to skill development of managers, sales officers and service engineers were given

April 2000 – 1rst Indian company to launch 150cc four stroke motor cycle (Suzuki Fiero) Successfully

STRATEGYConsolidation is the current theme of TVS

Motors Before new models are rolled out the

company seem to be refocus and offer potential customers more choice with the launch of new variants under the existing budgets (attempt to offer more value to customers)

The new variant has been fined tuned based on the Customer feedback

110cc Victor GX 125 cc Victor Edge(8.1bhp) (9.2bhp)

STP for TVS Motors

Segment

Middle income and lower income people who want a bike that is stylish and gives

a good mileage

Target GroupMiddle class youth from the age bracket

of 25-35

Positioning

Bikes which will bring a smile in the lives of customers with all benefits within

budget.

1. Huge brand equity and one of the biggest players in the two wheelers Indian market2. Excellent R&D, and wide variety of products in every segment3. Excellent distribution and good number of service centers4. TVS Group has over 40,000 employees and a customer reach of over 15 million5. Associating itself with celebrity brand ambassadors6. ‘Scooty’ as a brand has become a second name for the scooterrate segment

Weakness 1. Absence in the premium  bike segment

Opportunity

1.Two-wheeler segment is one of the most growing industries2.Export of bikes is limited i.e. untapped international markets

Threats

1. Strong competition from Indian as well as international brands2. Dependence on government policies and rising fuel prices3. Better public transport will affect two-wheeler sales

Strength

SWOT Analysis

PESTEL AnalysisPolitical

1)Since its operating in different countries they pay close attention to the political climate(law and regulation)

2)It also pays attention to regional governing bodies at local perspective

3)It strictly controls and regulates operation in all dealership and subsidiaries

• Economic1)Focus on each individual market and also inflation rates2)Domestic and International economy trends3)Consumer and end user drivers

• Social1)Lifestyle trends2)Consumer attitudes and opinion3)Consumer buying patterns 4)Marketing , advertising and publicity

Technological1)Competing technological developments2)R&D activity3)Replacement technology and solution4)Technological access, licensing and patents

Environmental

Legal1)Tax policies2)Consumer law

1)Environment protection law

GENERIC STRATEGYDifferentiation strategy

Technological development and innovation. The deliver products and services with high quality within minimum

budget accordance with the targeted segment. Effective sales and marketing strategy which helps people to access

the product with better offers.

Cost leadership:

Economical (Medium priced)

Focus

Targeting the middle segment of the society Understanding the consumer needs and giving value to consumers Less attractive when compared to competitors but with high quality

and medium priced.

GRAND STRATEGYGROWTHIntegration Forward and backward integrationDiversification Three wheelers and Two

wheelersSTABILITY More stabilized with its Two wheeler Segment rather when compared with three wheelers RETRENCHMENTCutting down the low moving vehicles which are replaced with cutting edge technologies as per consumer feedback

Thank youFrancis Rebisha E

Yashodha MRohini A R