Professional Documents
Culture Documents
Consumer Market
Geographically Disbursed Mass Market
Product Characteristic
Standardize
Service Characteristic
Somewhat Important
Buying Behavior
Involvement of Various functional area from both the ends Purchase Decisions are performance based and rational Technical Expertise
Purchase decisions are mostly based on Physiological /social/psychological needs Relatively less technical expertise is required
Consumer Market
Indirect Multiple layer of Intermediaries
Promotional Characteristic
Price Characteristic
SWOT
STRENGTHS
More than 70% turn over is from top 4 Companies. Well established brand names and distribution network by Existing players. High Capital Expenditure creates barriers to new entrants. Tyre and tubes Import/Export Freely allowed
WEAKNESS
Fortune depends on process of key raw material such as rubber and crude oil, any Sharpe rise can impact profitability significantly.
OPPORTUNITY
Strong Growth Infrastructure Development especially roads Shift to redialization can increase profitability in future
THREATS
Prices of raw material Prices of Diesel and Petrol are high. Imported tyres from china is a challenge for Indian manufacturers.
ENTRY BARRIERS-HIGH
Large Capital Required High Raw material cost High risk
THREAT OF SUBSTITUTE-MEDIUM
Imports from chinese market. Entry of international players.
STPD
Commercial Vehicles
Passenger Vehicles
Others
MHCV
HCV
LCV
Cars
Motorcycles
Scooters
Farm
OTR
Industrial Vehicles
- Medium Heavy Commercial Vehicles - Heavy Commercial Vehicle - Light Commercial Vehicle - Off the Road
Market Targeting
MRF : Compete Market Coverage
o MRF holds a diversified portfolio of products spanning the entire tyre market.
M1 (Cars) P1 P2 P3 Touring Tyres Sport Tyres Economy Tyres M2 (Trucks) Economy Tyres Mileage Tyres M3 (2-wheelers) High Grip Tyres Touring Tyres
Bridgestone
Market Specialization
Bridgestone India has focused on the Passenger Car Segment exclusively as it offers only radial tyres.
M1 (Cars) P1 Touring Tyres M2 (Trucks) M3 (2-wheelers)
P2
P3
Sport Tyres
Economy Tyres
High Performance, Top Quality & International standard. Punch line: Passion for Excellence. This communication is substantiated by association to F1 racing
Positioning
Superior Endurance, Strength, Sporty & Home-Grown Punch line: Tyres with Muscle Sponsors Cricket & Rally racing to position as high endurance and sporty
Differentiation
Being a homogeneous product, there is not much difference in products offered by competing tyre manufacturer. However,companies do try to differentiate themselves by outdoing one another insome (POP): Points of Parity such Quality Safety Durability Grip Economy etc. (POD):-Point Of Differentiation High Endurance Tyres High Performance Tyres
4Ps
Product
Product
Core Tyre a customer vehicle can run on Basic Tyre that fits customer vehicle Expected Quality, Safety, Durability, Mileage, Grip, Concerning to breaking, Ride Comfort
Augmented Benefits
Bridgestone
Value Proposition Quality, Comfort and Value for Money
Quality- International Standards
MRF
Value Proposition Quality and Endurance
Quality- International Standards
Two Wheelers Zapper FV(1) Zapper FM(1) Zapper FS(3) Rib Plus(6)
Trailer707(2) Supermiler 95 (1) Power Tiller(1) Fork Lift Solid(10) Superlug(1) SuperlugR(1)
Muscle rokx(4) Muscle rok(1) M-77(5) Superlug 50 plus R(1) Superlug 555(1)
Farm Service
LCV
SCV
Moto-D(4) Moto-C(3) Nylogrip - ST Plus(1) Nylogrip Plus(7) Nylogrip Plus FE(1) Zapper D (1) Nylogrip Plus(2) Nylogrip Scooter(2)
Two Wheelers
Truck-Buses
Farm Services
LCV
Legend(3)
Product Mix=304
Place
First Identify the Customer Base Replacement
OEM
Exports
Indirect Channel
Channel Length
No of intermediaries between Manufacturer and end user
Channel Management
Selection of Dealer
Pricing
Highly Raw Material Intensive Industry Mark Up pricing strategy is used - Tyre market not very Price sensitive - More concern about functionality Bridgestone Uses Price- Quality inference Dealer Discounts and allowances - Less in MRF compared to Bridgestone
Promotion
Huge Investment in Print , TV and outdoor Media by MRF Slogan Tyres with Muscles Celebrity Endorsement
The official blimp sponsor of IPL 2010 the MRF blimp at the Chinnaswamy Stadium in Bangalore.
The blimp is 19 metres long, 400 cubic metres of Helium, maximum height of 1000 feet
TATA STEEL
Amoung top 10 global steel companies Annual steel capacity over 28 mtpa Oprations in 26 countries and commertial presence in more than 50 countries Turnover of 26.13 billion US $ in FY 2011 12
CVM Benefits
Saving cost across value chain of oprations Deep insight and appreciation of customers problems Changed focus Strong bonding with customers
Industry Analysis
Industry: Internet services and technologies Major Sectors: Advertising Search engine Cloud computing
Marketing Strategy
USP: Google facilitate the efficient organisation, storage and retrieval of data/information across a wide (online) platform. The result is a convenient, customizable, co-creation approach to media sharing for the use of individuals and organisations alike. Profit formula: Mostly dependent on advertising (97%), other main areas is software licencing to businesses
Positioning Analysis
The Google company is positioned as: Solution-centric Innovative Socially responsible Vast networks, deep knowledge Google Advertising network Advertiser-friendly Traceable metrics Google Analytics Credible, tasteful advertising Rewarding for all parties (advertiser, host & viewer)
Google Advertising: Targets advertisers whose market frequent the internet Can be targeted with precision at a local or worldwide level
Competitive Advantage
Brand image Infrastructure servers, storage systems, hardware Resource abundance Scalability Wide knowledge base Ability to branch off into other areas