TABLE OF CONTENTS

CHAPTER-1
 Introduction and Project Design
 Need& significance for the study
 Objectives of the study
 Methodology
 Limitations of the study
 Frame work
CHAPTER-2
 Industry Profile
 Company Profile
CHAPTER-3Theoretical Study on sales promotion
 Introduction
 Nature and scope
 Types of sale promotions
 Types of advertisements
 Promotional tools
CHAPTER-4
 Data Analysis and Interpretation
CHAPTER-5
 Summary
 Findings
 Suggestions
 Conclusion
BIBLIOGRAPHY

ANNEXURE

1
 INTRODUCTION

Every businessman wants to increase the sale of goods that he deals in. He can adopt several
ways for that purpose. You might have heard about “lakhpatibano”, “win a tour to Singapore”,
“30% extra in a pack of one kg”, “scratch the card and win a prize” etc. You might also have
seen gifts like lunch box, pencil box, pen, shampoo pouch etc. offered free with some products.
Business Studies 116 There are also exchange offers, like in exchange of existing model of
television you can get a new model at a reduced price. You may have also observed in your
neighbouring markets notices of “winter sale”, “summer sale”, “trade fairs”, “discount upto
50%” and many other schemes to attract customers to buy certain products. All these are
incentives offered by manufacturers or dealers to increase the sale of their goods. These
incentives may be in the form of free samples, gifts, discount coupons, demonstrations, shows,
contests etc. All these measures normally motivate the customers to buy more and thus, it
increases sales of the product. This approach of selling goods is known as “Sales Promotion”.
You have learnt about advertising and personal selling in the earlier lessons. Personal selling
involves face-to-face contact with specific individuals, while advertising is directed towards a
large number of potential customers. They also help in increasing sales of goods. Thus,
advertising can be used as means of communication to inform potential customers about the
incentives offered for sales promotion. Personal selling can as well include communication of the
incentives to individual customers. But, sales promotion differs from advertising and personal
selling in terms of its approach and technique. Sales promotion adopts short term, non-recurring
methods to boost up sales in different ways. These offers are not available to the customers
throughout the year. During festivals, end of the seasons, year ending and some other occasions
these schemes are generally found in the market. Thus, sales promotion consists of all activities
other than advertising and personal selling that help to increase sales of a particular commodity.

2
Need Of The Study

 The main purpose of the study is to the awareness level of the brand
 The Study will help us to know the effectiveness of advertisement & sales promotion
activities on the customers
 The study will help the company to set strategies& emphasize on their weaknesses &
threats
 To know the rivals Advertising & Sales promotion strategies
 The brand image of various competitors will be known. The company can know where
their competitors stands in the minds of the people
 It reveals the factors that influence customers to purchase the cement

Significance of Sales Promotion

The business world today is a world of competition. A business cannot survive if its
products do not sell in the market. Thus, all marketing activities are undertaken to increase sales.
Producers may spend a lot on advertising and personal selling. Still the product may not sell. So
incentives Business Studies 120 need to be offered to attract customers to buy the product. Thus,
sales promotion is important to increase the sale of any product. Let us discuss the importance of
sales promotion from the point of view of manufacturers and consumers.

From the point of view of manufacturers Sales promotion is important for manufacturers

 it helps to increase sales in a competitive market and thus, increases profits;

 it helps to introduce new products in the market by drawing the attention of potential
customers;

 when a new product is introduced or there is a change of fashion or taste of consumers,

existing stocks can be quickly disposed off;

 it stabilizes sales volume by keeping its customers with them. In the age of competition it
is quite much possible that a customer may change his/her mind and try other brands.
Various incentives under sales promotion schemes help to retain the customers.

3
From the point of view of consumers

Sales promotion is important for consumers because

 the consumer gets the product at a cheaper rate;

 . it gives financial benefit to the customers by way of providing prizes and sending them
to visit different places;

 the consumer gets all information about the quality, features and uses of different
products;

 certain schemes like money back offer creates confidence in the mind of customers about
the quality of goods; and

 it helps to raise the standard of living of people. By exchanging their old items they can
use latest items available in the market. Use of such goods improves their image in
society

4
OBJECTIVES:

 To identify the Advertisement & Sales promotion activities adopted by the SHRI DEV
WHEELS(TATA MOTORS).

 To study the brand awareness level of SHRI DEV WHEELS(TATA MOTORS).

 To study the effectiveness of Advertisement on Tata customers

 To study the rivals Advertisement & Sales promotion strategies

 The asses the factors that influencing customers to purchase the products.

 To review the rivals.

5
METHODOLOGY OF STUDY

In this survey the report has been prepared by using both primary and secondary data.

Primary data collection

Data that has been collected from first-hand-experience is known as primary data. Primary
data was collected with the help of an unstructured questionnaire. The questionnaires were
administered to 50 respondents.

Techniques of primary data collection

The questionnaire has been designed and used to collect the needed primary data.

Secondary data

Data collected from a source that has already been published in any form is called as
secondary data.The secondary data was collected from Shri Dev Wheels.

Sources of Secondary Data:

Secondary data is often readily available. After the expense of electronic media and internet
the availability of secondary data has become much easier.

Area of study

The study on sales promotion has been limited to customers located in Lucknow only.

Period of study

The period of study cover .30 days

10
LIMITATIONS

 Analysis is based on the information given by the customers. Sometimes the customers
may not give the exact information intentionally.

 The time given for project (only One month) has restricted me to conduct in-depth
analysis on the sales promotion.

 The scope of the study is restricted to the boundaries of the Lucknow district. So it
is difficult to generalize this study to the entire population.

11
 HISTORICAL EVALUATION OF TATA MOTORS

INDUSTRIAL PROFILE

Tata Motors was established in 1945 as Tata Engineering and Locomotive Co. Ltd. to
manufacture locomotives and other engineering products. It is India's largest automobile
company, with standalone revenues of Rs. 25,660.79 crores (USD 5.5 billion) in 2008–09. It is
the leader in commercial vehicles in each segment, and among the top three in passenger
vehicles with winning products in the compact, midsize car and utility vehicle segments. The
company is the world's fourth largest truck manufacturer, and the world's second largest bus
manufacturer.

The company's 23,000 employees are guided by the vision to be 'best in the manner in which
they operate best in the products they deliver and best in their value system and ethics.'

Tata Motors' presence indeed cuts across the length and breadth of India. Over 4 million Tata
vehicles ply on Indian roads, since the first rolled out in 1954. The company's manufacturing
base in India is spread across Jamshedpur (Jharkhand), Pune (Maharashtra), Lucknow (Uttar
Pradesh), Pantnagar (Uttarakhand) and Dharwad (Karnataka). Following a strategic alliance with
Fiat in 2005, it has set up an industrial joint venture with Fiat Group Automobiles at Ranjangaon
(Maharashtra) to produce both Fiat and Tata cars and Fiat powertrains. The company is
establishing a new plant at Sanand (Gujarat). The company's dealership, sales, services and spare
parts network comprises over 3500 touch points; Tata Motors also distributes and markets Fiat
branded cars in India.

Tata Motors, the first company from India's engineering sector to be listed in the New York
Stock Exchange (September 2004), has also emerged as an international automobile company.
Through subsidiaries and associate companies, Tata Motors has operations in the UK, South
Korea, Thailand and Spain. Among them is Jaguar Land Rover, a business comprising the two
iconic British brands that was acquired in 2008. In 2004, it acquired the Daewoo Commercial
Vehicles Company, South Korea's second largest truck maker. The rechristened Tata Daewoo
Commercial Vehicles Company has launched several new products in the Korean market, while
also exporting these products to several international markets. Today two–thirds of heavy
commercial vehicle exports out of South Korea are from Tata Daewoo. In 2005, Tata Motors

12
acquired a 21% stake in Hispano Carrocera, a reputed Spanish bus and coach manufacturer, with
an option to acquire the remaining stake as well. Hispano's presence is being expanded in other
markets. In 2006, it formed a joint venture with the Brazil–based Marcopolo, a global leader in
body–building for buses and coaches to manufacture fully–built buses and coaches for India and
select international markets. In 2006, Tata Motors entered into joint venture with Thonburi
Automotive Assembly Plant Company of Thailand to manufacture and market the company's
pickup vehicles in Thailand. The new plant of Tata Motors (Thailand) has begun production of
the Xenon pickup truck, with the Xenon having been launched in Thailand at the Bangkok Motor
Show 2008.

Tata Motors is also expanding its international footprint, established through exports since 1961.
The company's commercial and passenger vehicles are already being marketed in several
countries in Europe, Africa, the Middle East, South East Asia, South Asia and South America. It
has franchisee/joint venture assembly operations in Kenya, Bangladesh, Ukraine, Russia and
Senegal.

The foundation of the company's growth over the last 50 years is a deep understanding of
economic stimuli and customer needs, and the ability to translate them into customer–desired
offerings through leading edge R&D. With over 2,000 engineers and scientists, the company's
Engineering Research Centre, established in 1966, has enabled pioneering technologies and
products. The company today has R&D centers in Pune, Jamshedpur, Lucknow, in India, and in
South Korea, Spain, and the UK. It was Tata Motors, which developed the first indigenously
developed Light Commercial Vehicle, India's first Sports Utility Vehicle and, in 1998, the Tata
Indica, India's first fully indigenous passenger car. Within two years of launch, Tata Indica
became India's largest selling car in its segment. In 2005, Tata Motors created a new segment by
launching the Tata Ace, India's first indigenously developed mini–truck.

In January 2008, Tata Motors unveiled its People's Car, the Tata Nano, which India and the
world have been looking forward to. The Tata Nano has been subsequently launched, as planned,
in India in March 2009. A development, which signifies a first for the global automobile
industry, the Nano brings the comfort and safety of a car within the reach of thousands of
families. The standard version has been priced at Rs.100, 000 (excluding VAT and transportation
cost).

13
Designed with a family in mind, it has a roomy passenger compartment with generous leg space
and head room. It can comfortably seat four persons. Its mono–volume design will set a new
benchmark among small cars. Its safety performance exceeds regulatory requirements in India.
Its tailpipe emission performance too exceeds regulatory requirements. In terms of overall
pollutants, it has a lower pollution level than two–wheelers being manufactured in India today.
The lean design strategy has helped minimise weight, which helps maximise performance per
unit of energy consumed and delivers high fuel efficiency. The high fuel efficiency also ensures
that the car has low carbon dioxide emissions, thereby providing the twin benefits of an
affordable transportation solution with a low carbon footprint.

In May 2009, Tata Motors ushered in a new era in the Indian automobile industry, in keeping
with its pioneering tradition, by unveiling its new range of world standard trucks. In their power,
speed, carrying capacity, operating economy and trims, they will introduce new benchmarks in
India and match the best in the world in performance at a lower life–cycle cost.

The years to come will see the introduction of several other innovative vehicles, all rooted in
emerging customer needs. Besides product development, R&D is also focusing on environment–
friendly technologies in emissions and alternative fuels.

Through its subsidiaries, the company is engaged in engineering and automotive solutions,
construction equipment manufacturing, automotive vehicle components manufacturing and
supply chain activities, machine tools and factory automation solutions, high–precision tooling
and plastic and electronic components for automotive and computer applications, and automotive
retailing and service operations.

True to the tradition of the Tata Group, Tata Motors is committed in letter and spirit to Corporate
Social Responsibility. It is a signatory to the United Nations Global Compact, and is engaged in
community and social initiatives on labour and environment standards in compliance with the
principles of the Global Compact. In accordance with this, it plays an active role in community
development, serving rural communities adjacent to its manufacturing locations.

Tata entered the commercial vehicle sector in 1954 after forming a joint venture with Daimler-
Benz of Germany. After years of dominating the commercial vehicle market in India, Tata
Motors entered the passenger vehicle market in 1991 by launching the Tata Sierra, a multi utility

14
vehicle. Tata subsequently launched the Tata Estate (1992; a station wagon design based on the
earlier 'Tata Mobile' (1989), a light commercial vehicle), the Tata Sumo (1994; LCV) and the
Tata Safari (1998; India's first sports utility vehicle).

Tata launched the Indica in 1998, the first fully indigenous Indian passenger car.
Although initially criticized by auto analysts, its excellent fuel economy, powerful engine, and an
aggressive marketing strategy made it one of the best-selling cars in the history of the Indian
automobile industry. A newer version of the car, named Indica V2, was a major improvement
over the previous version and quickly became a mass favorite. Tata Motors also successfully
exported large numbers of the car to South Africa. The success of the Indica played a key role in
the growth of Tata Motors.

In 2004, Tata Motors acquired Daewoo's South Korea-based truck manufacturing

unit, Daewoo Commercial Vehicles Company, later renamed Tata Daewoo.

On 27 September 2004, Tata Motors rang the opening bell at the New York
Stock Exchange to mark the listing of Tata Motors.

In 2005, Tata Motors acquired a 21% controlling stake in the Spanish bus and
coach manufacturer Hispano Carrocera. Tata Motors continued its market area expansion
through the introduction of new products such as buses (Starbus and Globus jointly developed
with subsidiary Hispano Carrocera) and trucks (Novus, jointly developed with subsidiary Tata
Daewoo).

In 2006, Tata formed a joint venture with the Brazil-based Marcopolo, Tata Marcopolo Bus, to
manufacture fully built buses and coaches.

In 2008, Tata Motors acquired the English car maker Jaguar Land Rover,
manufacturer of the Jaguar and Land Rover from Ford Motor Company.

In May 2009, Tata unveiled the Tata World Truck range jointly developed with
Tata Daewoo; the range went on sale in South Korea, South Africa, the SAARC countries, and
the Middle East at the end of 2009. Tata acquired full ownership of Hispano Carrocera in 2009.

In 2009, its Lucknow plant was awarded the "Best of All" Rajiv Gandhi National Quality Award.

15
In 2010, Tata Motors acquired an 80% stake in the Italian design and engineering company
Trilix for €1.85 million. The acquisition formed part of the company's plan to enhance its styling
and design capabilities.

In 2012, Tata Motors announced it would invest around ₹ 6 billion in the development of
Futuristic Infantry Combat Vehicles in collaboration with DRDO.

In 2013, Tata Motors announced it will sell in India, the first vehicle in the world to run on
compressed air (engines designed by the French company MDI) and dubbed "Mini CAT".

In 2014, Tata Motors introduced first Truck Racing championship in India "T1 Prima Truck
Racing Championship".

On 26 January 2014, the Managing Director Karl Slym was found dead. He fell from the 22nd
floor to the fourth floor of the Shangri-La Hotel in Bangkok, where he was to attend a meeting of
Tata Motors Thailand.

On 2 November 2015, Tata Motors announced Lionel Messi as global brand ambassador at New
Delhi, to promote and endorse passenger vehicles globally

VISION:

As a high performance organization, we are, by FY 2019

 Among the top 3 in Global CV and Domestic PV.

 Achieving sustainable financial performance.

 Delivering exciting innovations.

MISSION:

“We innovate, with passion, mobility solutions to enhance quality of life.”

VALUES:

 Integrity.

 Teamwork.

16
  Accountability.

 Customer focus.

 Excellence.

 Speed.

CORPORATE GOVERNANCE

POLICIES

Tata Motors has several policies in place that documents relevant guidelines for different areas of
operation, whereby rules are stated through which conformation to norms may also be
monitored.

COMMERCIAL VEHICLES

For decades, Tata Motors has led India’s commercial vehicle market from the
front. Through our deep understanding of the customer’s needs, we have consistently brought
innovation to this industry — with new product segments such as the sub-tonne mini truck Tata
Ace as the ideal last mile delivery vehicle and the Winger mini bus for short distance passenger
travel — to revolutionize the trucking landscape in the country with market-leading products,
applications and services.

In our role as a game changer, we have introduced best-in-class automotive technologies in India
– the globally benchmarked Prima and Ultra enabling a world-class trucking experience, in terms
of performance as well as user comfort and convenience. As the fourth largest bus manufacturer
globally, we provide innovatively designed and technologically superior buses for the smart
cities of tomorrow. The new buses personify safety and comfort, reliability and profitability. Our
global subsidiaries — Daewoo Commercial Vehicles Company and Marcopolo — have only
strengthened our portfolio.

17
As strategic partner to the Indian Armed Forces since 1958, we provide defense, paramilitary and
police mobility solutions through our portfolio of light-to-heavy defense vehicles, including
armored troop carriers and high-mobility vehicles’.

DELIGHTING CUSTOMERS:

Our focus on customer satisfaction has been the driving force behind the channel expansion
strategy over the past year.

2011-12 witnessed a surge in terms of pan-India Tata Motors Service Centres. Workshops have
been added across the nation to improve customer reach. We have also connected with customers
through various contact programmesorganised at channel partners to improve customer
satisfaction. Additionally, Tata Service Centres are located every 50-70 km along major
highways. Continued commitment to the customers has resulted in the establishment of Tata
Alert, a 24x7 call centre. This allows us to provide spot service within one hour of a call from a
stranded Tata customer. The ‘EXCEED’ (Exceeding Customer Expectations through Enablement
of Distribution Network) programme has a three-step strategy to engage dealers, who in turn
impact customer delight. The first step is to promote a partnership with the dealer. Tata Motors
then works to ensure dealer profitability. Customer feedback is continuously fed back into the
process, while a dealer scorecard highlights areas of excellence and addresses areas of concern in
the dealer-customer engagement process. Together, these initiatives create a robust process and
ensure enduring customer delight.

SWOT ANALYSIS

STRENGTHS

1. One of the most established company in automobile sector

2. Wide & extensive distribution and service network

3. Good market penetration in the taxi & rental segment

4. Expert service professionals available

18
5. Many associations like Jaguar Land Rover, Hispanso, Macropoloetc which increases
international presence

6. Dedicated engineering and R&D department

7. More than 60,000 employees

8. Highly diversified product portfolio

WEAKNESS

1. Limited international presence

2. Sometimes faces alleged quality and durability issues

3. Not much customer engagement programs and activities

OPPORTUNITIES

1. Expanding automobile market and available space for competitors

2. Increasing per capita income and purchasing capability of potential customer base

3. Leveraging customer engagement experience to acquire new customers

4. Leveraging mergers and acquisitions to acquire newer technology

5. Augmenting the distribution and service network in various countries.

THREATS:

1. Increasing fuel costs

2. Competition from other big automobile giants

3. Competitive products offering same level features at a lesser price

4. Product innovations and frugal engineering by competitors

19
Segment

Hatchback, sedan & SUV segment

Target Group

Targeted towards upper middle class customers

Positioning

Positioned as a leader in automobile market inculcating innovative technologies to deliver value

to customers

MAJOR COMPETITORS:

1. Ford
2.Toyato
3. Hyundai Motors
4. Maruti Suzuki
5. Honda
6. Chevrolet
7. Fiat

20
 ORGANISATION STRUCTURE

Achievements/ recognition:

 Tata Motors among India’s most Trusted Brand in cars

 Tata Motors wins award at the Bangkok International Motor Expo

 Tata Motors – Investor Relations ranked first in India

 Nirmal Gram Puraskar awarded to Potkapanchayat.

 Tata Motors bags the NDTV Profit Business Leadership Award 2008

21
 Tata Motors awarded the Top Exporter Trophy by EEPC

 CVBU Pune wins Rajiv Gandhi National Quality Award for 2007.

 PCBU bags Handa Golden Key Award.

 Tata Motors receives Uptime Champion Award 2007

 Aggregates Business, CVBU, bags 'Best Supplier Award' from ECEL

 'NDTV Profit' Business Leadership Award

 Tata Motors bags National Award for Excellence in Cost Management.

 Tata Motors' TRAKIT bags silver award for 'Excellence in Design'

 Tata Motors Pune – CVBU has bagged the 'Golden Peacock National Quality Award

 Tata Motors was awarded four prestigious honours, at the 'CNBC TV18– Autocar.

 Tata Motors chosen as India's Most Trusted Brand in Cars.

 Business today selects Mr. P.P. Kadle as India's Best CFO in 2005.

 Pune Foundry Division bags prestigious Green Foundry Award.

 Tata Motors is 'Commercial Vehicle Manufacturer of the Year'.

 ACE bags 'Best Commercial Vehicle Design' at the BBC–Top Gear Awards.

 Jamshedpur bags National Energy Conservation Award for the fourth consecutive year. Tata
Motors bags the prestigious' CII–EXIM Bank award' for business excellence.

 Tata Motors receives JRD QV awards for Business Excellence.

 'Car Maker of the Year' Award for Tata Motors.

 Tata Motors is 'Commercial Vehicle Manufacturer of the Year'.

 TNS Voice of the Customer Award for Indica Diesel.

 'CFO of the Year Award 2004' awarded to Mr. Praveen P Kadle, Executive Director

22
 Tata Motors wins the prestigious 'Corporate Platinum' Award Tata Motors wins 'Golden Peacock
Award' for Corporate Social Responsibility.

 Tata Motors CVBU Pune wins National Energy Award.

 Tata Motors – Jamshedpur wins 'Energy Efficient Unit Award'.

 Tata Motors wins the first CSIR Diamond Jubilee Technology Award.

 Tata Motors Training Division Wins 'Golden Peacock National Training Award 2004'.

 Tata Motors case study wins first prize in iiie productivity contest.

 Tata Motors wins award for fair business practices.

 Tata Indica and Tata Safari EXi win awards.

 Tata Motors–Car plant gets two ISO certifications.

 Tata Motors bags awards at 14th National Convention of INSAAN

 Indica and Safari win accolades

 Tata Motors pune awarded second place in national level competition in energy co.

 Tata Motors Receives 'India's Best Employer' Award from the Employee.

 Tata Motors, CVBU, Pune has won the prestigious Handa Golden Key award institute

 CVBU receives commendation certificate for 'strong commitment to TQM'.

 Tata Motors team wins The Runners up Position at The Asian Business Simulation

 The Prestigious Balanced Scorecard Collaborative Hall Of Fame Award

 Tata Motors receives all India trophies for Top Exporters

 Tata Indigo ad campaign wins Effie award

 Golden Peacock Environment Management Award – 2003

 Industry and Technology Award, 2002

23
Tata Motors Commercial Vehicles:

The wide array commercial vehicles from Tata motors are designed to take care of almost every business
needs, big and small. From rigid trucks to tractor trailers, from light commercial vehicles to specialized
defense carriers, from luxury buses to compact city carriers.

Medium and Heavy Vehicles:

Rigid Trucks Tractor Trailers Tippers

Light Vehicles:

Rigid Trucks Tippers

Small Vehicles:

AceWinger207 DI EXTelcolineXenon

Buses:

Public Transport Intercity Transportation Charter Buses

Porters Five Force Analysis for TATA Motors:

1. Marketing Channel:

TATA Motors being a big company the process of appointment a dealership at the remote places is a very
difficult process, as investment on the dealership is very high. As in case of Mahindra & Force Motors
investment cost is less &they have dealerships in every district place, which help then to get the rural
market coverage. M&M has got a market share of 31% in 4 ton Bus market.

2. Large Product Range:

TATA Motors is having a large product range of vehicles, due to the same supply chain of the products
become tedious & time consuming. Products are made on order with the delivery commitment of at least
3 months. Whether in case of Swaraj Mazda, they can do customization within 10 days as the range of
products is very less. Most of the mobile homes are set up in Swaraj Mazda Buses only.

24
3. Price Competition:

TATA Motors have to face a price competition with products of other companies which have low
qualities. First time user / captive customer who are unknown to the products & industry will get into
the trap of these low-cost options.

4. Changing Scenario of Industry:

From Oligopoly market CV industry in India will become a prefect competition market. As many of
Indian companies are now entering into the market place with JV with foreign experts in CV. Mahindra &
Mahindra is coming up with Navistar (Mahindra Navistar in India) for Heavy CV. Ashok Leyland is
coming up with Nissan for Light Commercial Vehicles (LCV). Similarly other player niche players
of world CV markets are coming up in Indian market like Volvo, Mercedes Benz &Scania.

5. Upgrading Products:

As in the changing scenario the needs of people are changing at very fast pace. Now the time Indian
market place is very demanding, there is extreme demand for AC Buses & construction equipments for
building better infrastructure for India. The company which come up with the customer satisfaction will
be the market leader. For that TATA Motors need to understand the market dynamics.

Suggestions for adopting the Strategy according to the Segmentation

1. TATA Motors should increase the dealerships / channel partners for the rural marketing. In case of non-
viability should force the old dealerships to open a branch& increase the market share in that
market.

2. Large range of products is increasing the gap b/w supply & demand. TATA Motors should
standardize the products. Product should be available at the time of demand; sales & marketing
should be pro active& should plan before the demand by estimations.

3. After sales service, not satisfactory: Almost every customer complained of the unsatisfactory after
sales service being provided by the service stations of the company. Either these people do not deliver
the vehicle on time or they hesitate to provide on-route service. This type of behavior causes a feeling
of being ignored inside the customer’s mind. On the other hand, Customers are very satisfied with the
after sales service being offered by Ashok Leyland. Leyland is very good in providing On-Route
service which is very important for customer satisfaction. TATA Motors should make 24X7 service
point one in each district.

25
4. Territory Infringement: division of the territories of the dealership is not properly done and also the
company does not take any action against the practice of territory infringement. Hence it becomes
difficult for some dealers to manage the customers in their territory and also it de-motivates them.
This affects the sales of the product in a major way. The Territory Infringement should imposed on
dealership strongly.

5. Lack of spare parts: certain bus fleet operators complained of paucity of spare parts with the sales
office. The spare parts how so ever small they may be were not available at certain times which led to
the loss of revenue being generated by the bus on daily basis.

6. Non- availability of product: Bus fleet operators are not getting delivery of the product asked by them
because of the non-availability of the products with the dealer. In that case after waiting for some
time customers moved to competitor’s product. This comes as a cause of major concern because the
actual sales of that particular product suffered leading to loss of revenue for the organization.

7. Product Improvements: Till now only few models are coming with radial tyresasstandard fitments.
Need to work on automatic transmissions, Common railEngines& many more technology
advancement

Shri Dev Wheels Private Limited is a Private incorporated on 05 March 2008. It is classified as Non-
government Company and is registered at Registrar of Companies, Hyderabad. Its authorized share
capital is Rs. 30,000,000 and its paid up capital is Rs. 22,964,100. It is involve in manufacture of
vehicles.

Shri Dev Wheels Private Limited's Annual General Meeting (AGM) was last held on 30 September 2015
and as per records from Ministry of Corporate Affairs (MCA), its balance sheet was last filed on 31
March 2015.

Directors of Shri Dev Wheels Private Limited are Chandra SekharYarlagadda, Bhanu Prasad
Lingamaneni,

26
COMPANY PROFILE:

Year of foundation 5th march 2008

Line of business manufacture of motor cars

Parent line of business manufacturer of motor vehicles

Top line of business manufacture of motor vehicles

Principle business activity manufacturing (machinery & equipment)

Company category company limited by shares

Company sub category Indian non-government company

Authorized capital (in Rs.) 30000000

Paid up capital (in Rs.) 22964100

Date of incorporation 03/05/2008

3CI SCORE SRI RANGA TATA MOTORS:

 3Ci Score for Shri Dev Wheels Private Limited is 49 out of 100 which is considered Average in
Industry.

 Shri Dev Wheels Private Limited is 119th best company in India which is involved in
Manufacture of motor cars, while there are 161 companies rated inferior than Shri Dev Wheels
Private Limited.

 Shri Dev Wheels Private Limited is 4th best company in Andhra Pradesh which is involved in
Manufacture of motor cars, while there are 9 companies rated inferior than Shri Dev Wheels
Private Limited.

 This company is ranked 679 out of 1530 in India for its parent line of business (Manufacture of
motor vehicles).

27
  This company is ranked 679 out of 1551 in India for its top line of business (Manufacture of
motor vehicles).

 Score calculated using the 3CiScore 1.0 model, this score ranges from 0 to 100 and measures
overall strength of corporation. Scores are calculated using customer satisfaction index,
popularity and various publicly available data.

AGE ANALYSIS:

 Shri Dev Wheels Private Limited started in 2008 i.e., company is 7-year-old.

 Average age for main line of business (Manufacture of motor cars) is 23 years i.e., this company
is 16 year younger than its main industry.

 Average age for parent line of business (Manufacture of motor vehicles) is 19 years i.e., this
company is 12 year younger than its parent industry.

 Average age for top line of business (Manufacture of motor vehicles) is 19 years i.e., this
company is 12 year younger than its top level industry.

 Out of 280 companies, Shri Dev Wheels Private Limited is 199th oldest company which is
primarily involved in Manufacture of motor cars in India.

 Out of 13 companies, Shri Dev Wheels Private Limited is 9th oldest company which is primarily
involved in Manufacture of motor cars in Andhra Pradesh.

CAPITAL ANALYSIS:

 Authorized capital and paid up capital for Shri Dev Wheels Private Limited is 30000000 and
22964100 respectively i.e., for 76.547% of authorized capital company has received payment.

 Average authorized capital and paid up capital for main line of business (Manufacture of motor
cars) is 289049469 and 147640420 respectively i.e., this company has 10% authorized and 16%
paid up capital in compare to its main industry.

 Average authorized capital and paid up capital for parent line of business (Manufacture of
motor vehicles) is 188757260 and 123950087 respectively i.e., this company has 16%
authorized and 19% paid up capital in compare to its parent industry.

28
  Average authorized capital and Paid up capital for top line of business (Manufacture of motor
vehicles) is 186527543 and 122473886 respectively i.e., this company has 16% authorized and
19% paid up capital in compare to its top industry.

Products

Tiago

The new zippy car, Tiago from Tata Motors. Innovative & fresh design language with cutting
edge driving dynamics. It's #Fantastico

Bolt

The Bolt is the perfect fusion of sporty design and thrilling performance. This ultimate
hatch is designed to make heads turn and engineered to set your pulse racing.

29
GenX Nano

Designed for the next generation, the GenX Nano Easy Shift (AMT) will take ease of driving to
the next level with all of its technologically advanced features.

30
Tiago
Introducing the Tata Tigor Styleback. The latest offering from Tata Motors that features an
unbeatable combination of style and substance.

Zest

Loaded with state-of-the-art features to help you power through the week and be at ease through
the weekend, the Zest isn't just a car. It's an extension of you.

31
Harrier
With the stunning IMPACT Design 2.0, Cutting-edge Kryotec engine & robust OMEGARC that
is built on Land Rover's D8 Architecture, the Tata Harrier is here to set the new benchmark of
SUVs.

Nexon
Designed for the future, this lifestyle SUV is hyper-loaded with features for a premium
driving experience with an unmatchable style statement.

32
Hexa

Engineered to be a class apart & built to do 'Whatever It Takes', the TATA Hexa brings luxury
with dynamic performance that makes every drive indulgent.

Safari Storme

Generating tremors across the surface as its engine roars to life, it exudes class & finesse
conquering every terrain. Pray to the new power.

33
INTRODUCTION

“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”.

- Philip Kotler.

Marketing includes all those activities having to do with effecting changes in the ownership and
possession of goods and services. It is that part of economics which deals with the creation of
time, place and possession utilities and that phase of business activity through which human
wants are satisfied, by the exchange of goods and services for some valuable consideration.

- American Marketing Association.

“Marketing is the process of discovering and translating consumer wants into product and
service specifications and then in turn helping to make it possible for more and more of
consumers to enjoy more and more of these products and services”.

Marketing consists of analyzing marketing opportunities, researching and selecting target

markets, designing marketing strategies, planning marketing programs and organizing,
implementing and controlling marketing effort.

Companies have to identify long and short term marketing opportunities and research the
selected market by measuring and forecasting attractiveness of the given market. Having selected
the market, the companies need to develop a differentiating and positioning strategy for the
target market. The marketing strategy must be transformed into marketing programs by deciding
on marketing expenditures and the marketing mix. The final step is organizing the marketing
resources and implementing and controlling the marketing plan.

MARKETING CONCEPT:

Marketing is an activity, set of institutions, and processes for creating, communicating, and
delivering and exchanges offerings to that have value for customers, clients, partners, and society
at large- American marketing association

34
Other definitions:

 Meeting the needs in a profitable manner

 Marketing is about understanding customers and finding ways to provide products or

services which customers demand.

 Marketing management is the art and science of choosing target markets and getting,
keeping, and growing customers through creating, delivering, and communicating
superior customer value.

Marketing concept and orientation

 It is a fundamental idea of marketing that organizations survive and prosper through

meeting the needs and wants of customers. This important perspective is commonly
known the marketing concept.

 The marketing concept is about matching a company’s capabilities with customer wants.
This matching process takes place in what is called the marketing environment.

Nature and scope of marketing:

Marketing is a total integrated system developed by a marketer to approach the target market. It
involves several activities right from product design to distribution planning. The entire system
needs to be customer oriented and market driven. It should be able to differentiate marketing
with selling which focuses entirely on sales volume. Marketing insists that a firm needs to
develop wants satisfying products and services on the basis of research. Marketing
intermediaries (dealers, distributors, retailers, agents etc.,) consultancy and research agencies,
government regulatory authorities, environmental groups and customer unions play a vital role in
marketing process.

Marketing activities:

 Buying

 Selling

35
  Transporting

 Storing

 Financing

 Researching

 Risk taking

Marketing mix:

The major marketing management decisions can be classified in one of the following 4
categories.

 Product

 Price

 Place

 Promotion

These variables are known as the marketing mix or the 4 p’s of marketing. They are the
variables that marketing can control in order to best satisfy customer in the target market.

Product: The product is the physical product or service offered to the consumer. In the case of
physical products, it also refers to any service or conveniences that are part of offering. Product
decisions include aspects such as function, appearance, packaging, service, warranty etc.

Price: Pricing decisions should take into account profit margins and the probable pricing
response of competitors. Pricing includes not only the lit price, but also discounts, financing,
other positions such as leasing.

Place: Place decisions are those associated with channels of distribution that serves as the means
for getting the product to the target customers. The distribution system performs transactional,
logistical, and facilitating functions.

36
Promotion: Promotion decisions are those related to communicating and selling to potential
consumers. Since the coasts can be large in proportion to the product price, a break even analysis
should be performed when making promotion decisions. It is useful to know the value of a
customer on order to determine whether additional customers are worth the cost of acquiring
them.

Sales promotion comprises a range of tactical marketing techniques designed within a strategic
marketing framework to add value to a product or service in order to achieve specific sales and
marketing objective.”Sales promotion is a technique which has significant potential to improve
short term sales and like direct response work; its effectiveness can be tightly measured.
Although its strategic value is the subject of considerable debate, nevertheless, it is an important
tool of marketing. There are few markets or products where it cannot be used and few brands to
which it cannot be applied.

Types of sales promotion:

(i) Consumer oriented sales promotions: Targeted to the ultimate users of a product or service.
Coupons, sampling, premiums, rebates, contests, sweep stakes, and POP materials are induced
the sales.

(ii) Trade oriented sales promotions: Targeted toward marketing intermediaries such as
retailers, wholesalers, or distributors. Promotion allowances, merchandise allowances, price
deals, sales contest and trade shows.

The traditional business world suggests that there are three different types of sales promotion
techniques: the push, the pull, and the combination.

(iii) Business buyer sales promotion: Business buyer sales promotion is designed to cultivate
buyer in large corporations who are making purchase decision about a wide range of products
including computers, office supplies and consulting service. Techniques used for business buyers
are similar to the trade market techniques and include trade shows, premiums, incentives, and
loyalty/ frequency programs.

37
(I) The push theory

Of sales promotion techniques supports that we promote our goods to a retailer, who will then
pass the wares along to their consumers. A “push” promotional strategy makes use of a
company's sales force and trade promotion activities to create consumer demand For a product.
The producer promotes the product to wholesalers, the wholesalers promote it to retailers, and
the retailers promote it to consumers. A good example of "push" selling is mobile phones, where
the major handset manufacturers such as Nokia promote their products via retailers such as Car
phone Warehouse. Personal selling and

Trade promotions are often the most effective promotional tools for companies such as Nokia -
for example offering subsidies on the handsets to encourage retailers to sell higher volumes. A
“push" strategy tries to sell directly to the consumer, bypassing other distribution channels (e.g.
selling insurance or holidays directly). With this type of strategy, consumer promotions and
advertising are the most likely promotional tools.

II) The pull theory

A “pull” selling strategy is one that requires high spending on advertising and consumer
promotion to build up consumer demand for a product. If the strategy is successful, consumers
will ask their retailers for the product, the retailers will ask the wholesalers, and the wholesalers
will ask the producers. A good example of a pull is the heavy advertising and promotion of
children's’ toys – mainly on television. Consider the recent BBC promotional campaign for its
new pre-school program – the Fimbles. Aimed at two to four-year-olds, 130 episodes of Fumbles
have been made and are featured everyday on digital children's channel. As part of the
promotional campaign, the BBC has agreed a deal with toy maker Fisher-Price to market
products based on the show, which it hopes will emulate the popularity of the Twenties. Under
the terms of the deal, Fisher-Price will develop, manufacture and distribute arrange of Fimbles
products including soft, plastic and electronic learning toys for the UK and Ireland.

III) The combination theory

This strategy is usually used if the distributor is hesitant to carry a product, since it gets its
required consumers without having to go to retail outlets. “Car dealers often provide a good

38
example of a combination strategy. If we pay attention to car dealers’ advertising, we will often
hear them speak of cash-back offers and dealer incentives.”Because sales promotion is an
initiative carried out by an organization to promote a product to ensure increase in sales so it has
varied methods of promotion. Most of the time, sales promotions are creative and original
therefore providing a comprehensive list of all methods is not possible,

However some examples of the regularly used sales promotions activities are as follows:

• Buy-One-Get-One-Free

• New Media

• Merchandising

• CRM (customer relationship management)

• Free gifts

• Discounted prices

• Free samples

• Vouchers & coupons

• Joint promotions

• Competitions and prize draws

Sales promotion is directed at sales staff, customers and distribution channel members
which may include wholesalers, retailers etc. When targeted at consumers it is called consumer
sales promotion, when it is targeted at wholesalers and retailers it is called trade sales
promotions. However by many it is considered as ‘gimmick’ because of the unusual methods
some marketers use for sales promotion. All of these sales promotion strategies can be
victorious. Our business may choose to use one or all of them when trading our products. When
working to implement our technique, we may also want to utilize some other methods. Allow
people to try samples of our goods. Engage the free advertising of in-store demonstrations and
exhibitions. All of these can be wonderful sales advancement strategies for our business.

39
 Sales promotion is giving the customer something extra, rewarding them for their
behavior on this particular purchasing occasion. There are several theories which support the
concept of reward as a motivator. The conditions of sales promotion are classical and operant
conditioning. Whereas classical conditioning is largely associated with advertising operant
conditioning is seen as an explanation for consumer behavior in relation to sales promotion.
Operant conditioning suggests the response of the individual is likely to be affected by positive
reinforcement (reward) or negative reinforcement (punishment), although the affect is likely to
cease when these reinforcements are taken away. Edward Thorndike suggested that the ‘law of
effect’, which had to do with positive and negative consequences of actions, is also relevant to
sales promotion. The law states that the consequences of behavior now will govern the
consequences of that behavior in the future.

Uses of sales promotion:

a) Introduce new products

b) Get existing customers to buy more

c) Attract new customers

D) Combat competition

E) Maintain sales in off season

f) Increase retail inventories

g) Tie in advertising & personal selling

The four main tools of promotion are advertising, sales promotion, public relation and direct
marketing.

The Importance and growth of sales promotion : Sales promotion is designed to affect
demand differently than advertising. Sales promotions featuring price reductions, such as
coupons, are effective in the convenience goods category. Where frequent purchases, brand
switching, and a perceived homogeneity among brands characterize consumer behavior. Sales

40
promotion encourages more immediate and short – term responses, while the purpose of
advertising is to cultivate loyalty and repeat purchases over the long term.

Growth in the use of sales promotion: Growth in the use of sales promotion marketers have
shifted the emphasis of their promotional spending over the past decade. Most of the shift has
been away from mass media advertising and toward consumer and trade sales promotions.
Currently, the budget allocation stands at about 53 percent for advertising. 18 percent for trade
promotions and 23 percent for consumer promotions. There are several reasons why many
marketers have been shifting funds from mass media advertising to sales promotions.

Demand for Greater Accountability: Demand for greater accountability in an era of cost
cutting and downsizing, companies are demanding greater accountability across all functions,
including marketing, advertising, and promotions. When activities are evaluated for their
contribution to sales and profits, it is often difficult to draw specific conclusions regarding the
effects of advertising. Conversely, the immediate effects of sales promotions are typically easier
to document. Another plus for the accountability of sales promotion is that ACNielsen and
IPSOs – ASI research firms have developed Market Drivers, a new research program that
evaluates the effects of sales promotions. The program combines Nielsen’s store sales data with
the IPSOs – ASI copy – testing measures to identify the effects of sales promotions versus ads in
communicating to target segments. But this measurement is not cheap.

Short – term orientation: Short – term orientation several factors have created a short – term
orientation among managers. Pressure from stockholders to produce better quarter – by – quarter
revenue and profit per share are one factor. A bottom – line mentality is another factor. Many
organizations are developing marketing plans – wet rewards and punishment for performance –
based on short – term revenue generation. This being the case, tactics that can brave short – term
effects are sought. Nabisco found that a contest directed at kids had just the sort of short – term
effect the firm was looking for.

Consumer response to promotions: Consumer response to promotions the precision shopper in

the contemporary market place is demanding greater value across all purchase situations, and the
trend is battering overpriced brands. These precision shoppers search for extra value in every
product purchase. Coupons, premiums, price – off deals, and other sales promotions increase the

41
value of a brand in these shoppers’ minds. The positive response to sales promotion goes beyond
value – oriented consumers, though. For consumers who are not well informed about the average
price in a product category, a brand featuring a coupon over competitive brands – this is a basic
tenet of consumer behavior analysis.

Proliferation of brands: Proliferation of brands each year, thousands of new brands is

introduced into the consumer market. The drive by marketers to design products for specific
market segment to satisfy ever more narrowly defined needs has caused a proliferation of brands
that creates a mind – dulling maze for consumer.

Increased power of retailers: Increased power of retailer such as home depot, the gap, toys and
the most powerful retailers of all, wal-mart, now dominate retailing in the United States. These
powerful retailers have responded quickly and accurately to the new environment for retailing,
where consumers are demanding more and better products and services at lower prices. Because
of the lower – price component of the retailing environment, these retailers are demanding more
deals from manufacturers. Many of the deals are delivered in terms of reader – oriented sales
promotions point of purchase displays, slotting fees, case allowances, and cooperative
advertising allowances. In the end, manufacturers use more and more sales promotions devices
to gain and maintain good relations with the new, powerful retailers – a critical link to the
consumer. And retailers use the tools of sales promotion as competitive strategies against each
other.

Media clitter: A nagging and traditional problem in the advertising process is clutter. Many
advertisers target the same customers because their research has led them to the same conclusion
about whom to target. The result is that advertising media are cluttered with ads all seeking the
attention of a common target. One way to break through the clutter is to feature a sales
promotion. On pronto ads, the featured deal is often a coupon. In broadcast advertising,
sweepstakes and premium offers can attract listeners ‘and viewers’ attention. The combination of
advertising and creative sales promotions has proven to be a good way to break through the
clutter.

42
Objectives for consumer market sales promotion: To help ensure the proper application of
sales promotion. Specific strategic objective should be set. The following basic objectives can be
pursued with sales promotion in the consumer market.

Stimulate trial purchase: When a firm wants to attract new users, sales promotion tools can
reduce the consumer’s risk of trying something new. A reduced price or offer of a rebate may
stimulate trial purchase.

Stimulate repeat purchase: In- package coupons good for the next purchase, or the
accumulation of points with repeated purchases, can keep consumers loyal to a particular brand.
The most promotionent frequency programs are found in the airline industry, where competitors
such as delta, American, and united try to retain their most lucrative customers by enrolling them
in frequency programs. Frequent flyers can earn free travel, hotel stays, gifts and numerous other
perks through the programs.

Stimulate larger purchases: Price reductions or two- for – one sales can motivate consumers to
stock up on a brand, thus allowing firms to reduce inventory or increase cash flow.

Introduce a new brand: Introduce a new brand because sales promotion can attract attention
and motivate trial purchase, it is commonly used for new brand introduction.

Elements of promotional mix: A company promotion campaign can consist of various

communication programs developed by it. The main aim of these programs is to inform the
customer about the benefits provider through his services and also through the campaign.
Further, these programs remind the customer of the service offering and persuade the offerings
of the company.

Advertising: Advertising is defined as any form of paid communication or promotion for

product, service and idea. Advertisement is not only used by companies but in many cases by
museum, government and charitable organizations. However, the treatment meted out to
advertisement defers from an organization to an organization. Advertising development involves
a decision across five Ms Mission, Money, Message, Media and Measurement.

43
 Sales Direct

Promotional

Publicity & Personal

Advertising

Mission looks at setting objectives for advertising. The objectives could be to inform, persuade,
remind or reinforce. Objective has to follow the marketing strategy set by the company.

Money or budget decision for advertising should look at stage of product life cycle, market share
and consumer base, competition, advertising frequency and product substitutability. Message’s
development further is divided into four steps, message generation, message evaluation and
selection, message execution, and social responsibility review. Once the message is decided the
next step is finalizing the media for delivering the message. The choice of depends on reach of
media, frequency of transmission and potential impact on customer. Based on this choice of
media types are made from newspaper, television, direct mail, radio, magazine and the internet.
After which timing of broadcast of the message is essential as to grab attention of the target
audience. Checking on the effectiveness of communication is essential to company’s strategy.
There are two types of research communication effect research and sales effect research.

44
Types of advertising

Outdoor and retail

 Bill boards and

posters
 Electronic displays
 Transit advertising

Broadcast

 TV
Advertising
 Radio Types Cinema
 internet

Print

 Newspaper
 magazines

personal selling: personal selling involves persuading an existing or a potential customer

through oral communication, to purchase the service offering of the company. It aims to develop
a rapport with the customer and because of that, enjoys a high success rate. Different modes of
personal selling include face-to-face conversations, telemarketing, or chatting on the internet.
However, personal contact through face-to-face meetings is more successful in increasing
business and building a rapport with the customer, when compared to the other ways.

Apart from retaining the existing customer, personal contact also enables a service provider to
attract the attention of the prospective customers, create interest in their minds, increase their
desire to purchase and persuade them to act and make a purchase. The four actions namely
attention, interest, desire, and action involved in these situations constitute the AIDA model of
communication. Personal metting of service personnel with customers helps them understand

45
their specific needs and offer service accordingly. This interaction also results in immediate
customer feedback which helps in improvisation and customization of the service offering. For
example, a customer’s perception of an investment option is better understood when an agent
talks to him personally rather than sending him the details through mail. Further, an agent will be
able to assess te interest level of the customer and the his probability of purchasing the options.
In some cases, the customers are unaware of their needs, or might have some apprehensions
about the service offering. Sales personnel can be of immense help in situations as they can assist
customers in identifying their needs, or in removing their apprehensions about the service
offering.

Personal selling creates an opportunity for the service provider to develop a relationship with the
customer. The present day customer is educated, can differentiate between various services,
values the quality of services, and is adventurous enough to try out new service offers.
Companies which fail to observe these changes in customer attitudes are bound to lose many
valuable business opportunities. It is based on this assessment that service providers are offering
innovative services like adventurous sports, bungee jumping, holiday at exotic locations, mutual
funds etc. on the other hand the relationship enhancement largely depends on the skill and
attitude of the sales personnel. The sales personnel should be customer oriented by placing
customer requirements and desires before anything else, should be competent with good
knowledge and expertise in the area of business, should be dependable, honest, and should be
able to attract customers.

The third advantage is that of cross-selling, where in sales personnel can sell a range of service to
the existing customers, based on their earlier relationship.

Sales Promotion:

Promotion is an incentive tool used to drive up short term sales. Promotion can be launched
directed at consumer or trade. The focus of advertising to create reason for purchase the focus of
promotion is to create an incentive to buy. Consumer incentives could be samples, coupons, free
trial and demonstration. Trade incentive could be price off, free goods and allowances. Sales
force incentive could be convention, trade shows, competition among sales people.

46
Sales promotion activity can have many objectives, for example, to grab attention of new
customer, reward the existing customer, and increase consumption of occasional users. Sales
promotion is usually targeted at the fence sitters and brand switchers.

Sales promotional activity for the product is selected looking at the overall marketing objective
of the company. The final selection of the consumer promotional tools needs to consider target
audience, budget, competitive response and each tool’s purpose.

Sales promotion activity should under-go pretest before implementation. Once the activity is
launched it should be controlled as to remain within the budget. Evaluation program is a must
after implementation of the promotional scheme.

Public Relations:

Companies cannot survive in isolation they need to have a constant interaction with customers,
employees and different stakeholders. This servicing of relation is done by the public relation
office. The major function of the public relation office is to handle press releases, support
product publicity, create and maintain the corporate image, handle matters with lawmakers,
guide management with respect to public issues.

Companies are looking at ways to converge with functions of marketing and public relation in
marketing public relation. The direct responsibility of marketing public relation (MPR) is to
support corporate and product branding activities.

MPR is an efficient tool in building awareness by generating stories in media. Once the story is
in circulation MPR can establish credibility and create a sense of enigma among sales people as
well as dealers to boost enthusiasm. MPR is much more cost effective tool than other
promotional activities.

Direct Marketing:

The communication establishes through a direct channel without using any intermediaries is
referred to as direct marketing. Direct marketing can be used to deliver message or service.
Direct marketing has shown tremendous growth in recent years. The internet has played major
part in this growth story. Direct marketing saves time, makes an experience personal and

47
pleasant. Direct marketing reduces cost for companies. Face to face selling, direct mail, catalog
marketing, telemarketing, TV and kiosks are media for direct marketing. Advertisement,
Promotional activity, Public relation and direct marketing play an essential role in helping
companies reaches their marketing goals.

PROMOTIONAL TOOLS:

In promoting our company and our products to potential customers in the international market
place, there are different promotional instruments at our disposal. Sending introductory letters or
promotional offers via Direct Mailings, participating in trade fairs or other country or theme
exhibitions, advertising or making personal visits. Our supporting materials consist of printed
media like brochures and leaflets, posters, banners, electronic media like CD-ROM and website,
and gifts, gimmicks, caps, T-shirts etc. as hand-outs at events. The question of course arises as to
which instrument and which supporting media to use, at which stage in the marketing process.

Introduction

Effective promotional campaigns are generally built around a promotional mix. A combination
of different instruments, deployed at different stages. When using a combination of instruments,
it is of utmost importance to make a consistent presentation, in line with the desired image. E ach
and every opportunity to create an image of our company should be used in a consistent way. Do
not change logos, use the same fonts and colors for all our communication, but also our business
cards. Effective promotion is about repetition and recognition of the same image and message.
Besides, one should always bear in mind that it is not only product promotion that is important.
Increasingly corporate promotion is being used to make a difference.

Direct Mail

By many people criticized as an ineffective tool. Yet, it is the most widely used promotional
instrument. And there is a reason for both. Those who criticize the instrument say that the
response rate to Direct Mail is very low. That is correct. It differs per sector, but generally one
can say that the response rate of Direct Mailings is around or even below 1 percent.

One of the reasons is that it is a relatively cheap way of promoting a company and its products or
services. Another reason is that companies accept the low response rate and send out such

48
volumes of promotional letters that they will eventually end up with a relevant number of
business leads. Yet another reason is that the response rate can be increased by applying some
rules and tricks.

One of the rules is that the more targeted or customized our mailing, the higher the rate of
success. So narrow down the number of recipients of our mailing, only select those which we
have scrutinized. So don't just collect names and addresses from business directories, but learn
more from those companies by visiting their website or browsing through their brochures, so that
we will be able to make a customized promotional offer. The key to success is in knowing our
potential customers and in knowing their needs.

In Western Europe, retailers (but also airline companies, car rental companies etc.) are nowadays
able to make customized promotional offers to their customers because they know their buying
behavior. That is because all the details of the purchases of the customer can be logged and
labeled in a computer database through the use of customer loyalty cards. To marketers this is an
enormous blessing. The customized offers are a great success.

Apart from customizing our mailings, we also have to be creative. Due to the enormous flow of
direct mail that companies receive, a lot of mailings end up in the waste bin without the envelop
actually opened. So there goes our customized offer.. The hurdle to be taken is to get beyond the
waste bin stage. The envelop has to be opened. That means that the attention has to be triggered.
Somehow, the secretary should be curious to open the envelop... Small gifts (consistent with the
desired image, and reflecting some creativity to get that smile on the recipient's face.) inserted in
the envelop could do the trick.

Electronic Direct Mail

The same rules apply for running an electronic Direct Mailing. Again, one of the main problems
here is: will the message be opened at all. Because sending e-mails is fast and cheap, the flow of e-
mails is tremendous. Nowadays, the never ending number of e-mails dropping into the electronic
mail box is ever more frustrating. It is much worse than it ever used to be with ordinary mail.
One has to be aware of this situation: businessmen in Europe are not anxiously waiting to see an e-
mail message coming in. When checking the mail, they frantically try to go through most of them,
deleting many messages after having read just the subject line or the first

49
line of the body text. Every day, it is the same struggle to finish all the e-mail messages ("e-mail
stress" and "e-mail syndrome" are words that may soon be added to the dictionaries). Besides
there is the fear of attracting viruses. These are the main reasons why a promotional campaign by
sending e-mails may not generate the response we expect. In many cases, the message will not
even be opened, but deleted from the "In-box" without having been read.

The corporate brochure

The corporate profile is a must in every promotional kit. However, a good corporate brochure is
not always easy to find. Below we present some hints for making a corporate brochure.

Format: The most common and accepted format for a brochure is a folded A3 (= 2 x A4), which
gives 4 pages of information. A smaller format (folded A4), may easily trigger questions like:
Doesn't the company have enough information to provide that justifies a bigger format? Isn't the
company willing or able to spend for a standard size brochure? Whether these questions are
justified is another matter. Unless the design, material and print used are of excellent quality, a
folded A3 is to be preferred.

Material and print: If we present our self as a cost leader, glossy paper and fancy art work is
not the way to present our self. However, if our message is 'quality' the material and print should
also radiate quality.

Colors: Consistently stick to the colors of our corporate style. When using the main color of the
corporate style or supporting colors remember that colors have associations: Green colors are
associated with the environment and enhance an environmental image. Blue colors enhance the
image of reliability and safety; dark colors in general are more suitable for quality imaging. Red,
while being a color of happiness in China, is associated with aggression in Europe.

Illustrations: Should be appropriate and of top quality (sharp, good contrast) and directly
visualize the product assortment, product application and production facility. Remember: In
Europe it is not important to present a gallery of the Board of Directors. Save the precious space
in the brochure.

Front page: Company name, logo, the main application of our product and our positioning
message or Unique Selling Proposition. If appropriate the logo which refers to a quality

50
management certificate or eco label should be printed here as well to create immediate
recognition and build trust. Remember that a brochure is seldom read from beginning to end. The
front page is of crucial importance to establish an image, communicate added value and to
trigger the receiver of the brochure to spend more time on the brochure and to turn the page.

The inside of the brochure is used for relevant company information. Not a history book about
the company's past, but actual data (mission, organization, market positions, export experience,
production process, quality control, relevant international recognized certificates etc.). Besides,
information about the product assortment. Use loose leaflet inserts as product data sheets (which
often change) in the brochure on the right side.

Back page: This is used for testimonials (from clients or institutes) or references, and contact
details. Try to organize the printed area for the contact details in such a way that a sticker can
easily be put over the printed area without comprising the quality of the brochure, in case of
changes in the address or numbers.

CD-ROM

In addition to or as a replacement, the corporate presentation is regularly put on CD-ROM. It can

be an image booster, but remember that a major disadvantage of a CD-Rom presentation is that
the receiver of the CD-ROM cannot browse through it on the spot. While, a printed brochure can
be browsed in a few seconds to get an impression of the company, a CD-ROM needs to be
inserted in the CD-ROM drive of a computer first. Imagine the businessman that has been to a
trade fair and received a CD-ROM with our company presentation. Having entered his office, he
will be confronted with the mail on his desk, and having switched on his computer, he will be hit
with a number of new e-mails in his mail box.

As a multimedia presentation at an exhibition, it can be a very effective tool. As an interactive

medium, user friendly, where the viewer is in control of the navigation panel, it definitely has
advantages over a video presentation.

Website

Internet offers an additional medium for promotional campaigns, both for companies and trade
support organizations. Apart from the fact that "Net Presence" - or having a Website - is

51
associated with being a modern organization; the Internet offers display possibilities and
advertisement space. The company profile, brochures, catalogues can be digitalized and put on
the Web. By putting promotional materials on the Web, one saves on printing costs, while one is
able to update the information at any point in time without substantial costs. In other words, it is
an economic and flexible option.

Some important points for website development and management

* Build the Website in accordance with the desired corporate image

* Build a Website that looks professional, is attractive, and fast!

* Attract and keep the visitor: The website of the competitor is just one click away!

* Build a logical and simple navigation system

* Register the Website with all well known search engines

* Ensure that the Website is well-linked to other relevant Websites

* Check the links regularly

* Update and renew the Website regularly to offer up to date information and to encourage
repeat visits

* Include a "What's new page"

* Attract the target group to the site by communicating our Net presence and URL (www) on
all the promotional materials and by placing Web advertisement on strategic sites at strategic
times

* Try to get to know the visitors to our site

* Offering an e-mail update service (weekly or monthly newsletter)

* Asking for feedback

* Offer a helpdesk on-line (Frequently Asked Questions and the respective answers)

52
Web advertising

As a promotional effort, one has the possibility to put advertisement on the Web: so-called Web
advertisement. By using buttons and banners, positioned on other Websites, one can catch the
interest of Web surfers and direct them to our Website. Important in this respect is that we
position the buttons and banners on strategic sites, those sites that are frequented by our target
group. One such strategic site could be the Website of a trade fair organizer, or a Website
offering news on the sector we operate in.

Advertising (in trade press)

When we consider advertising, we should not associate it with mass media and mass advertising.
Generally, this kind of "broad casting" activities (targeting a very broad audience) is not an
appropriate kind of advertising to us. It is very expensive and it is directly targeted at the big
audience, the end-user. What we mean is targeting the players in the distribution channels,
importers, wholesalers, retailers. We can do so by "narrow-casting" (targeting a specific sector).
A good medium for advertising is trade magazines. Costs for advertising in these media are
modest and we have the advantage of a targeted promotion unlike in the mass media. It is like
"shooting with bullets instead of hail". In this respect, one should know that corporate image
campaigns are at least equally important as product promotional activities, especially if our
company is still unknown. Since competition in products is increasing by the day, the corporate
image may make the difference.

In store promotion

In store promotions can be a very effective means of promotion, influencing the consumer’s
decision making process at the actual moment that a decision is being made. In the case of fast
moving consumer goods, gadgets and gift items, a lot of purchases are made by impulse buying.
A silent salesman by way of attractive and appealing packaging but also by appealing displays
positioned at strategic places in a store (at the entrance, next to or on the counter) can be very
effective. At the same time, realize that exporters are considered to contribute to the costs for
these in-store promotions (financially or in kind, by supplying the displays).

53
Trade fairs

Trade fairs are among the most effective promotional tools. However, it is also an expensive
tool.

Personal visits

If we seriously plan to enter into the export business a personal visit is a must. There is no better
option than to have face-to-face contact. Like all other business, export is done by people and
based on personal relations. Make sure we know the key persons in our export market, and we
know the do's and don'ts, the cultural peculiarities in the target market. Also make sure that we
understand the business and needs of our prospect. Especially when we do not possess a unique
product and we are facing many competitors, the purchaser may base his decision heavily on the
personal relation he has with us. Remember that we all like to do favors to other people, but we
do them to the people we like most.

A PROMOTION OF TWO WHEELERS BY SHRI DEV WHEELS(TATA MOTORS) -

AN ANALYSIS

This chapter concentrates on various promotional activities followed by Hero Moto corp.
company dealer Shri Dev Wheels. To know the promotional activities conducted by Sri
rangamotors , I have made an analysis of its last 4year’s sales, and last 4year’s budgets. Because
these two helped me to know that, how much Importance does the company is giving to promote
its two wheelers in the market.

And after this analysis it is meaningful to focus on sample respondent’s characteristics to

study on consumer perception towards promotional activities of two wheeler showrooms.

Sri rangamotors Lucknow had based on various demographical factors for their budget allocation
and promotional activities.

These demographical Factors were collected from in and around Lucknow for better study.

The company is conducting various promotional activities to promote its products in the
market because these activities only create awareness to the customer towards these products and
increases customer loyalty towards the company.

54
Promotional activities followed by company:

1. Advertisements:

Company is giving advertisements about its products, offers & other Information in the
televisions, newspapers every year. For this company is Also allocates budget to conduct this
activity successfully.

2. Safe road Programs:

Company is conducting safe road programs for the customers to create awareness on safe bike
riding. For this company conducts this event with the Professional Bike riders & with the
Celebrities also.

3. Discounts:

Company also gives discounts especially to the customers who are government employees,
students & senior citizens.

4. Free Service Campaigns:

Coming to free service campaigns, company is also conducting free service campaigns at
customer’s work places.

5. Hero Good life Programs & offers:

This Good life programs especially conducting by Hero Moto corp. only. In this program
company conducts games to the customers, lucky dips in every month, bumper draws for every
six months. In this the customers can win new bikes, Prize money & free Trips.

6. Annual Celebrations With the Customers:

Company also conducts annual celebrations by inviting the customers every year. In this the
company conducts some entertainment programs to the customers & offers prizes to the winners.
This increases customer loyalty towards the company.

55
7. Melas:

Company also conducts exchange melas for the customers who are having interest to buy new
bike by exchanging their old bike.

56
1. Do you own a Tata products ?

No.of respondents % of respondents

Yes 35 70
No 15 30
Total 50 100

80

70

60

50

40 no.of respondents
% of respondents
30

20

10

0
yes No

Interpretation: From the above analysis it is very clear that 70% of people say that they own a
Tata product. From that we can assume that most of the public like to own a Tata product with
them.

57
 No.of respondents % of respondents

2. Which company do

prefer?
Tata motors 25 50
Varun motors 15 30
Hero motors 10 20
Total 50 100

60

50

40

30 No.of respondents
% of respondents
20

10

0
Tata motors Varun motors Hero motors

Interpretation:From the above analysis most of the customers prefer Tata motors then the varun
motors and hero motors as 50% of employees prefer Tata motors .

58
3. Do you know about tatamotors ?

No.of respondents % of respondents

Yes 45 90
No 5 10
Total 50 100

100

90

80

70

60

50 No of respondents
40 % of respondents

30

20

10

0
Yes No

Interpretation:From the above analysis 90% of customers agree that they know about Tata
motors very well so from that we can say that company has good image among the public.

59
4. How do you know about Tata motors ?

No.of respondents % of respondents

Advertisement 20 40
Relatives 10 20
Internet 15 30
Self 5 10
Total 50 100

45

40

35

30

25
no.of respondents
20
% of respondents
15

10

0
Advertisements Relatives internet self

Interpretation: From the above analysis we can say that the Tata motors have a good
promotional activities for promoting their products so that 40% of customers know Tata
products by advertisements and 30% know by internet and 20% by relatives and 10% by self

60
5. What is important for you while choosing a Tata products ?

No.of respondents % of respondents

Comfort 5 10
Design 10 20
Quality 10 20
Price 15 15
All the above 10 20
Total 50 100

35

30

25

20
no of respondents
15
% of respondents

10

0
comfort design quality price all the above

Interpretation: From the above analysis we can assume that most of the customers think that
price is important for them for choosing Tat product as 30% say that and 20% with design,
quality, and all the above features of the product

61
SUMMARY

Different segments and the new models that are going to be launched it gives the details of the
brand hero such as its features and facilities. The objectives are to measure the impact of
discounts on sales, to offers which are introduced by Tata motors in the cities like Lucknow.

Tata motors has its own brand image, and having large distribution network through their
exclusive showrooms in many parts of India.

The company is getting good sales and turnover. The sales are gradually increasing its
turnover also. Promotional strategy is essential marketing tool. It is proactive to face the
competition and reach the consumer.

Firm’s promotional strategies depend upon situation and have to hang according to the
market situation. The objective of promotional strategy is to promote sales, profits and create
awareness.

A brand is a name, term, sign, symbol or design, or a combination of them, intended to

identify the goods or services of one sellers or group of sellers and to differentiate them from
those of competitors. Most of the marketers say that branding is art and cornerstone of
marketing.

Discounts and offers plays role in the industry. They are not only the motivators in the
present market but customers also motivated of other factors like low maintenance, performance
of the vehicles and brand image.

62
Findings

From the analysis we have made we can find the following things

1. Most of the customers own a Tata product

2. Price is important for the customers while purchasing a Tata product and after price
quality and design are important.
3. Brand image is influenced while purchasing Tata products.
4. Tata products are mainly used for the business and official purpose.
5. Maintain the public relations is the effective promotional tool.
6. People would like to see more discounts and exchange bonus in the Tata motors.
7. Services offer by the Tata motors are overall satisfactory.

63
Suggestions

From the above findings it is understood that certain steps are necessarily required to promote
the products by Tata motors private limited. Thus the following lists of suggestions are offered
for the effective promotion of products

1. The company has to think of more schemes and discounts in the city of Lucknow of
more fascinated towards discounts and offers.
2. The company has to think of more schemes and discounts in the city of Lucknow of
more fascinated towards discounts and offers.
3. The company has to think of more schemes and discounts in the city of Lucknow of
more fascinated towards discounts and offers.
4. Tata motors should concentrate on the household and other aspects other business
purpose.

64
 BIBLIOGRAPHY

[1] Frank Kuper (2008) Advertising and sales promotion (Vol.2) No. 29 Industry like
manufacturing.

[2] Roddy Mullin (2010) Power of sales promotion and digital marketing (Vol. 1) No. 229 with
relation to automobile industry.

[3] Mitch Carson (2011) Behaviour of silent salesman and product promotion, 1st Edition No.
179.

[4] Ken Kasar (2012) Principle and practices of sales promotion (edition 3) No.6

[5] Terence A. Shimp (2014) Market leading advertising (9th Edition)

[6] Craig Andrews (2014) Delivering the fundamentals (9th Edition) No. 17

[7] Dr. Sc. Almira Curri-Mehmeti (2015) Communication and relationship management (Vol.7)
Pg. No 77.

[8] Nikolaos Georgantzis (2016) Promotional effect and direct selling pg. No 45

[9] Christian Boris Brunner (2016) Strategic planning and sales promotional effect on business.

[10] A'dillah Mustafa (2015) Digital marketing system in Malaysia (Vol no. 10)

[11] Intan Nurbaizura Zainuddin (2015) Effect of digital marketing pg. No. 57

[12] Sufy Rabea Adawiya Idris (2015) People behaviour towards digital marketing (Vol. 10) pg.
No 46.

[13] Muhamad Faizal Abd Aziz (2015) Web 2.0 in business promotions.

[14] Allen, C. Pharm Med (2016) Review of promotional materials and development pg. No. 177

[15] John Sinclair (2013) Brazilian and European style of sales promotion pg. No. 177

65
 Questionnaire

It is hereby described that your participation is voluntary and the data entered will be kept
confidential.
1. A few questions about you :

Name __ _
How old are you _
Your gender __
Occupation __
Relationship status _
Income _

1. Do you own a Tata products ?

a. YES b. NO

2. Which company do you prefer ?

a. YES b. NO

3. Do you know about Tata motors ?

a. YES b. NO

4. How do you know about Tata motors ?

a. advertisements b. relatives
c. internet d. self

5. What is important for you while choosing Tata products ?

a. Comfort b. design
c. Quality d. price
e. all the above
6. Does your buying decision factors are effected by brand ?

66
a. Yesb. NO c. sometimes

67
7.. Tell us your opinion about of Tata motors products ?
a.Expensive b.cheap c. moderate

8. For what purpose do you use Tata products?

a. Household b.business
c. Official d. any other

9. You aware of Tata motors’ recent promotional activities ?

a. Yes b.NO

10. Which promotional tools are effective for Tata motors according to you?
a. Public selling b. sales promotion
c. public relations d. event & experience.

11. Are you satisfied by discount offers at Tata motors ?

a. YES b. NO

12. What kind of promotional activities would you like to see at Tata motors ?
a. Discounts b.exchange bonus
c.Tvadvt d.social media presence

13. Do you think celebrity endorsement help influence sales ?

a. YES b. NO

14.. What do you think about Tata motors services?

a. POOR b.SATISFACTORY
C. GREAT d. NEVER INTERACTED

15. Are you satisfied with Tata motors regarding to sales and services?
a.YES b. NO

68
Any other………………………
 SUGGESTIONS IF ANY
_
.

69