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Project Report

On

Digital Marketing Strategy Adopted by Automobile Sector

Submitted in Partial Fulfillment for the Degree of Bachelor of

Business Administration

S.S. JAIN SUBODH P.G (Autonomous) COLLEGE JAIPUR

(2021-22)

Submitted By Submitted To

DHRUV JAIN - 2041051 Dr. Shailesh Mathur

Dimpy Agarwal - 2041052 (Assistant Professor)

Dhavika Sharma - 2041050

Dhananjay Sharma - 2041049

Dipanshu Patwa - 2041053

Divyanshu Basandani - 2041054


CERTIFICATE

Certified that this project report entitled Digital Marketing


Strategy Adopted By Automobile company is a record of project
work done in a group under my guidance and supervision and
that it has not previously formed the basis for the award of
any degree, fellowship or associate ship to her.

Dr. Shailesh Mathur


S.S.Jain Subodh P.G.(Autonomous)College
Jaipur
DECLARATION

I hereby declare that this project report Digital


Marketing Strategy Adopted By Automobile is a
bonafide record of work done by us during the course of
summer project work and that it has not previously
formed the basis for the award to me for any
degree/diploma, associate ship, fellowship or other
similar title of any other institute/society.

DHRUV JAIN
S.S. Jain Subodh P.G.(Autonomous) College
Jaipur
ACKNOWLEDGEMENT

It is not often in life that you get a chance of appreciating and expressing
your feelings in black and white to thank the people who have been a
crucial part of your successes, your accomplishments, and your being
what you are today. I take this opportunity to first of all thank the
Faculty at S.S. Jain Subodh P.G.(Autonomous) College, especially
Prof. K. B. Sharma, Principal, and Dr. Chitra Rathore for inculcating
and instilling in me the knowledge, learning, will-power, values and the
competitiveness and professionalism required by me as a management
student.

I would like to give special thanks to Dr. Shailesh Mathur for educating
me silver lining in every dark cloud. His enduring efforts, guidance,
patience and enthusiasm have given a sense of direction
and purposefulness to this project and ultimately made it a success.

I express my sincere and heartiest thanks to everyone who has


contributed towards the successful completion of the Project,
undertaken by me.

Last but not the least; I would like to thank my family: my parents,
for supporting me spiritually throughout my life. The errors and
inconsistencies remain my own.

DHRUV JAIN
CONTENTS

• CHAPTER 1: INTRODUCTION OF DIGITAL


MARKETING 6-22

• CHAPTER 2: COMPANY PROFILE 23-38

• CHAPTER 3: REVIEW OF LITERATURE 39-42


• CHAPTER 4: RESEARCH METHDOLOGY 43-47
• CHAPTER 5: DIGITAL MARKETING IN
TATA MOTORS 48-56
• CHAPTER 6: DIGITAL MARKETING IN
MARUTI SUZUKI 57-66
• CHAPTER 7: DIGITAL MARKETING IN
HONDA 67-81
• CHAPTER 8: ANALYSIS & INTERPTION 82-96
• CHAPTER 9: BIBLIOGRAPHY 97-105
Chapter – 1

Introduction of
Digital marketing
INTRODUCTION

Digital marketing
Digital marketing is the component of marketing that utilizes internet and online based digital
technologies such as desktop computers, mobile phones and other digital media and platforms
to promote products and services. Its development during the 1990s and 2000s, changed the
way brands and businesses use technology for marketing. As digital platforms became
increasingly incorporated into marketing plans and everyday life, and as people increasingly
use digital devices instead of visiting physical shops, [5][6] digital marketing campaigns have
become prevalent, employing combinations of search engine optimization (SEO), search
engine marketing (SEM), content marketing, influencer marketing, content automation,
campaign marketing, data-driven marketing, e- commerce marketing, social media marketing,
social media optimization, e-mail direct marketing, display advertising, e–books, and optical
disks and games have become commonplace. Digital marketing extends to non-Internet
channels that provide digital media, such as television, mobile phones (SMS and MMS),
callback, and on-hold mobile ring tones.The extension to non-Internet channels differentiates
digital marketing from online marketing.

Any marketing that uses electronic devices to convey promotional messaging and measure its
impact. In practice, digital marketing typically refers to marketing campaigns that appear on a
computer, phone, tablet, or other device. It can take many forms, including online video, display
ads, and social media posts. Digital marketing is often compared to “traditional marketing”
such as magazine ads, billboards, and direct mail. Oddly, television is usually lumped in with
traditional marketing.

What is digital marketing?

Digital marketing, also called online marketing, is the promotion of brands to connect with
potential customers using the internet and other forms of digital communication. This includes
not only email, social media, and web-based advertising, but also text and multimedia messages
as a marketing channel. Essentially, if a marketing campaign involves digital communication,
it's digital marketing.
Inbound marketing versus digital marketing

Digital marketing and inbound marketing are easily confused, and for good reason. Digital
marketing uses many of the same tools as inbound marketing—email and online content, to
name a few. Both exist to capture the attention of prospects through the buyer’s journey and
turn them into customers. But the 2 approaches take different views of the relationship between
the tool and the goal.

Digital marketing considers how each individual tool can convert prospects. A brand's digital
marketing strategy may use multiple platforms or focus all of its efforts on 1 platform.

Inbound marketing is a strategy that focus on attracting customer and internet orinted . It
considers the goal first, then looks at the available tools to determine which will effectively
reach target customers, and then at which stage of the sales funnel that should happen.

The most important thing to remember about digital marketing and inbound marketing is that
as a marketing professional, you don’t have to choose between the 2. In fact, they work best
together. Inbound marketing provides structure and purpose for effective digital marketing to
digital marketing efforts, making sure that each digital marketing channel works toward a goal.

B2B versus B2C digital marketing

B2B online marketing, just like regular online marketing, is a form of marketing in which
online resources are used with the aim of promoting products and services. This involves
collecting contact details, generating leads and selling products through online channels.
B2C marketing is marketing that targets individual consumers as customers (business- to-
consumer marketing) rather than targeting other companies as customers (B2B or
business-to-business marketing).
Digital marketing works for B2B as well as B2C companies, but best practices differ
significantly between the 2.

• B2B clients tend to have longer decision-making processes, and thus longer sales
funnels. Relationship-building strategies work better for these clients,
• Whereas B2C customers tend to respond better to short-term offers and messages.
• B2B transactions are usually based on logic and evidence, which is what skilled B2B
digital marketers present.
• B2C content is more likely to be emotionally-based, focusing on making the customer
feel good about a purchase.
• B2B decisions tend to need more than 1 person's input. The marketing materials that
best drive these decisions tend to be shareable and downloadable. B2C customers, on
the other hand, favour one-on-one connections with a brand.

Of course, there are exceptions to every rule. A B2C company with a high-ticket product, such
as a car or computer, might offer more informative and serious content. Your strategy always
needs to be geared toward your own customer base, whether you're B2B or B2C.

Developments and Strategies.

• Determine marketing gaps


• Expand your reach
• Improve audience targeting
• Save time, money and resources
• Increase traffic, leads and conversions
• Generate better, faster revenue
• Discover more opportunities to build brand awareness
• Take appropriate actions
• Measure campaign performance and brand success
• Build a brand reputation
• Scale business
• Compete with industry giants
• Accomplish business goals
• Manage your financial resources
Without A Well-Defined Online Marketing Strategy,

• Define clear goals


• Identify and fix digital marketing mistakes
• Grow your sales pipeline
• Leverage available marketing channels
• Outperform your competitors
• Allocate and spend your digital marketing budget wisely
• Build your customer base
• Establish brand confidence
• Deliver sales leads
• Increase traffic flows and conversions
• Grow your industry expertise
• Provide an excellent customer service
• Engage with prospects across platforms
• Take advantage of marketing trends and sales opportunities
Segmentation:More focus has been placed on segmentation within digital marketing, in
order to target specific markets in both business-to-business and business-to-consumer sectors.

Influencer marketing: Important nodes are identified within related communities, known
as influencers. This is becoming an important concept in digital targeting. Influencers allow
brands to take advantage of social media and the large audiences available on many of these
platforms. It is possible to reach influencers via paid advertising, such as Facebook Advertising
or Google Adwords campaigns, or through sophisticated SCRM (social customer relationship
management) software, such as SAP C4C, Microsoft Dynamics, Sage CRM and Salesforce
CRM. Many universities now focus, at Masters level, on engagement strategies for influencers.

To summarize, Pull digital marketing is characterized by consumers actively seeking marketing


content while Push digital marketing occurs when marketers send messages without that
content being actively sought by the recipients.

Online behavioural advertising is the practice of collecting information about a user's online
activity over time, "on a particular device and across different, unrelated websites, in order to
deliver advertisements tailored to that user's interests and preferences. Such Advertisements are
based on site retargeting are customized based on each user behaviour and pattern.

Collaborative Environment: A collaborative environment can be set up between the


organization, the technology service provider, and the digital agencies to optimize effort,
resource sharing, reusability and communications. Additionally, organizations are inviting their
customers to help them better understand how to service them. This source of data is called
User Generated Content. Much of this is acquired via company websites where the organization
invites people to share ideas that are then evaluated by other users of the site. The most popular
ideas are evaluated and implemented in some form. Using this method of acquiring data and
developing new products can foster the organization's relationship with its customer as well as
spawn ideas that would otherwise be overlooked. UGC is low-cost advertising as it is directly
from the consumers and can save advertising costs for the organization.

Data-driven advertising:Users generate a lot of data in every step they take on the path
of customer journey and brands can now use that data to activate their known audience with
data-driven programmatic media buying. Without exposing customers' privacy, users' data can
be collected from digital channels (e.g.: when the customer visits a website, reads an e- mail,
or launches and interact with a brand's mobile app), brands can also collect data from real-world
customer interactions, such as brick and mortar stores visits and from CRM and sales engines
datasets. Also known as people-based marketing or addressable media, data- driven advertising
is empowering brands to find their loyal customers in their audience and deliver in real time a
much more personal communication, highly relevant to each customers' moment and actions.an
important consideration today while deciding on a strategy is that the digital tools have
democratized the promotional landscape.

Remarketing: Remarketing plays a major role in digital marketing. This tactic allows
marketers to publish targeted ads in front of an interest category or a defined audience, generally
called searchers in web speak, they have either searched for particular products or services or
visited a website for some purpose.

Game advertising: Game ads are advertisements that exist within computer or video
games. One of the most common examples of in-game advertising is billboards appearing in
sports games. In-game ads also might appear as brand-name products like guns, cars, or clothing
that exist as gaming status symbols.

The new digital era has enabled brands to selectively target their customers that may potentially
be interested in their brand or based on previous browsing interests. Businesses can now use
social media to select the age range, location, gender, and interests of whom they would like
their targeted post to be seen. Furthermore, based on a customer's recent search history they can
be ‘followed’ on the internet so they see advertisements from similar brands, products, and
services, This allows businesses to target the specific customers that they know and feel will
most benefit from their product or service, something that had limited capabilities up until the
digital era.

OBJECTIVES:-

1 Continuous Stream of New Leads

If you have your own website to sell products, you can rely on direct sales, however, if you
have an offline business, digital marketing can help you generate potential customers online,
and then bring it offline. It is important to have a steady stream of potential customers so that
your sales representatives have enough potential customers to use.

2 Increase Sales
The primary goal of any marketing strategy is ultimately to increase sales, and internet
marketing is no exception. Fortunately, the internet offers many opportunities for all
businesses to improve their bottom line.

By combining search engine optimization or SEO with pay-per-click ads your business can
increase the chances that potential customers will find you online, and with strategies like
content marketing and social media marketing you can position yourself as an expert in your
field, while it also takes care of your customers. The main goal of any strategy is to increase
sales, for more information on how internet marketing can increase sales and generate
income.

3 Increase revenue

The primary goal of any marketing strategy is ultimately to increase revenue, and Internet
marketing is no exception. Thankfully, the Internet provides plenty of opportunities for every
business to improve their bottom line.
By combining search engine optimization, or SEO, with pay-per-click ads, or PPC, your
company can improve the chances that potential customers find you online. And with strategies
like content marketing and social media marketing, you can position yourself as an expert in
your field who also cares about your clients.

4 Build a brand

Internet marketing objectives often include building a brand. This means not only establishing
your logo and company name in the minds of consumers, but also what your company stands
for.

Well-known brands are typically trusted more by customers, especially when paired with
positive associations. The Internet is a great tool for building that trust, because it has a wide
reach and allows you to directly connect with individuals.

Social media is particularly useful when building a brand, because it allows companies to create
and post with a more personal feel. Organizations have discovered that this kind of brand-
building can be fostered by the use of social media channels such as Facebook, Twitter,
Instagram and Pinterest. In addition to organic posts on these sites, companies can build brand
recognition by paying for advertisements and placements. This takes patience on the part of the
organizational leaders, because trust and loyalty are developed over many months, and
sometimes years. The key is to stay focused on the results.
5 Improve local SEO

Many small businesses, as well as companies focused on increasing sales in specific geographic
region, focus much of their marketing efforts on improving their local SEO. This means
optimizing various elements on their sites in order to attract local customers who are looking
for the services they provide.

Although the number of searches that include both your industry and your town or city is
undoubtedly lower than those that just specify a product or business type, those searches tend
to generate much more qualified traffic. If a user is already looking for businesses where you
are, chances are high that they’ll be willing to come to your physical location.

6 Increase qualified traffic


Every business owner wants to see numbers rise in terms of visitors to their site and landing
pages. However, those numbers are meaningless if they aren’t the right kinds of traffic.

Not every visitor to your site is going to make a purchase. That’s just the way of the Internet,
and should be accepted. However, if none of your site visitors make purchases (or contact you),
you are likely attracting “unqualified” traffic, or visitors who have no intent of becoming a
customer.

By targeting your marketing to specific personas and aiming to attract specific, qualified people,
you can increase the ROI of your marketing efforts—as well as your bottom line

7 Manage online reputation

In an age when anyone with a computer or smartphone can post their opinions about companies,
products, and services for the whole world to see, it’s important for businesses to maintain a
solid online reputation. This means monitoring your company’s name, maintaining social
profiles, and responding to bad reviews accordingly.

One bad review doesn’t mean that your company’s reputation is shot, but one bad reaction to a
bad review might. The way you publicly respond to customer complaints will show them (and
all other current and potential customers) how much you care about their opinions. But as
intimidating as that may sound, all it takes is a bit of respect and concern for your customer
base.
For some companies who’ve already made errors in this department, their objective is simply
to remove any negative associations with their company and show customers that they’ve seen
the errors of their ways. Though the improvements won’t happen overnight, and bad online PR
can be difficult to get rid of, the Internet is a solid tool for repairing damaged reputations.

8 Become an Influencer in your field


Every industry has a few well-known individuals or companies that others look to as thought
leaders. They stay at the forefront of new technologies and ideas, and are often the first to share
new information.
Unfortunately, every industry only has a particular amount of room at the top. The people who
become experts and influencers are those who strategically position themselves to give out great
advice and information, often without much obvious monetary gain.

For instance, an influential company might write and share blog posts and articles on a regular
basis. Their CEO and other top employees might keep their LinkedIn and other social profiles
up to date and share them as well. The company might offer free webinars on up- and-coming
industry news. All of these efforts combined can position them as an expert not only in the eyes
of other industry professionals, but also in the eyes of potential clients.

9 Brand Awareness

One of the key objectives of modern digital marketing is to raise brand awareness, the extent to
which customers and the general public are familiar with and recognize a particular brand.

Enhancing brand awareness is important in digital marketing, and marketing in general, because
of its impact on brand perception and consumer decision-making. According to the
2015 essay, “Impact of Brand on Consumer Behavior”

“Brand awareness, as one of the fundamental dimensions of brand equity, is often considered
to be a prerequisite of consumers’ buying decision, as it represents the main factor for including
a brand in the consideration set. Brand awareness can also influence consumers’ perceived risk
assessment and their confidence in the purchase decision, due to familiarity with the brand and
its characteristics.”
Importance:-

Cost - Effective and Faster


Digital marketing is affordable than traditional marketing. If you are a business that has
limited resources, spending money to advertise traditionally is not enough. Even the need
to print flyers for your business is expensive and time-consuming.

But with digital marketing, your small business can start the process immediately. You only
need to conduct some studies and then try any of the types of digital marketing mentioned
above.

BETTERROI
Many businesses claim that doing advertisements online, whether it is paid or free, has a
better return on investment. It's possible to have a higher conversion rate or return on
investment because most of your customers can be seen online.

If you are able to know who your target audiences are, you can lay out a strategy that you need
to turn your leads into customers.

Your Competitors Are Doing It


Your competitors are doing it. They are also establishing themselves online and bringing
more traffic to their site.
You can check what your competitors are doing and take note of it. You can use what you
know to create a better strategy to drive more customers to your website than your competitors.
There are digital marketing tools available online that marketing professionals use for their
online marketing platforms. Some of these tools will help businesses spy on their competition.
You'll get to know all the strategies they are implementing on their brand.

You Can Reach Out To Your Customers


This time another reason you have to incorporate digital marketing is that you need to build
relationships with your customers.
One vital aspect of digital marketing is customer service. It means that marketing experts
build relationships with customers by reaching out to answer their queries, solve issues they
encounter about a product, and to turn them into repeat customers.

When you build a good relationship with your audience, it can boost your business.
It Caters To Mobile Phone Users
There are billions of people using their mobile phones to do research or scroll through social
media. When using digital marketing, you can reach out to these people. You can promote
your business in ways that mobile phone users are the target.

Establish Your Brands Reputation


Digital marketing will give your business a chance to establish a rapport. It allows you to
show your customers what your business is made of and how you can help them with their
needs.

Has Higher Revenues


Unlike traditional marketing, digital marketing has a higher return on investment and a higher
conversion rate, which means it has a higher revenue.
What's even good to know is that you spend less when using digital marketing to promote your
brand.

Types of digital marketing

There are as many specializations within digital marketing as there are ways of interacting using
digital media. Here are a few key examples.

Search engine optimization


Search engine optimization, or SEO, is technically a marketing tool rather than a form of
marketing in itself. The Balance defines it as “the art and science of making web pages attractive
to search engines.”

The "art and science" part of SEO is what’s most important. SEO is a science because it requires
you to research and weigh different contributing factors to achieve the highest possible ranking.
Today, the most important elements to consider when optimizing a web page include:
• Quality of content
• Level of user engagement
• Mobile-friendliness
• Number and quality of inbound links

The strategic use of these factors makes SEO a science, but the unpredictability involved makes
it an art.

In SEO, there's no quantifiable rubric or consistent rule for ranking highly. Google changes its
algorithm almost constantly, so it's impossible to make exact predictions. What you can do is
closely monitor your page's performance and make adjustments accordingly.

Content marketing
SEO is a major factor in content marketing, a strategy based on the distribution of relevant and
valuable content to a target audience.

As in any marketing strategy, the goal of content marketing is to attract leads that ultimately
convert into customers. But it does so differently than traditional advertising. Instead of enticing
prospects with potential value from a product or service, it offers value for free in the form of
written material.

Content marketing matters, and there are plenty of stats to prove it:

• 84% of consumers expect companies to produce entertaining and helpful content


experiences
• 62% of companies that have at least 5,000 employees produce content daily
92% of marketers believe that their company values content as an important asset

Social media marketing

Social media marketing means driving traffic and brand awareness by engaging people in
discussion online. The most popular platforms for social media marketing are Facebook,
Twitter, and Instagram, with LinkedIn and YouTube not far behind.

Because social media marketing involves active audience participation, it has become a popular
way of getting attention. It's the most popular content medium for B2C marketers at 96%, and
it's gaining ground in the B2B sphere as well. According to the Content Marketing Institute,
61% of B2B content marketers increased their use of social media this year.
Social media marketing offers built-in engagement metrics, which are extremely useful in
helping you to understand how well you're reaching your audience. You get to decide which
types of interactions mean the most to you, whether that means the number of shares, comments,
or total clicks to your website.

Direct purchase may not even be a goal of your social media marketing strategy. Many brands
use social media marketing to start dialogues with audiences rather than encourage them to
spend money right away. This is especially common in brands that target older audiences or
offer products and services not appropriate for impulse buys. It all depends on your company's
goals.

To learn more about how Mailchimp can help with your social media strategy, check out the
comparison of our free social media management tools versus others.

Pay-per-click marketing
Pay-per-click, or PPC, is posting an ad on a platform and paying every time someone clicks on
it.How and when people see your ad is a bit more complicated. When a spot is available on a
search engine results page, also known as a SERP, the engine fills the spot with what is
essentially an instant auction. An algorithm prioritizes each available ad based on a number of
factors, including:

• Ad quality
• Keyword relevance
• Landing page quality Bid amount

Each PPC campaign has 1 or more target actions that viewers are meant to complete after
clicking an ad. These actions are known as conversions, and they can be transactional or non-
transactional. Making a purchase is a conversion, but so is a newsletter signup or a call made
to your home office.
Affiliate marketing
Affiliate marketing lets someone make money by promoting another person's business. You
could be either the promoter or the business who works with the promoter, but the process is
the same in either case.

It works using a revenue sharing model. If you're the affiliate, you get a commission every time
someone purchases the item that you promote. If you're the merchant, you pay the affiliate for
every sale they help you make.

Some affiliate marketers choose to review the products of just 1 company, perhaps on a blog or
other third-party site. Others have relationships with multiple merchants.

Whether you want to be an affiliate or find one, the first step is to make a connection with the
other party. You can use a platform designed to connect affiliates with retailers, or you can start
or join a single-retailer program.

If you're a retailer and you choose to work directly with affiliates, there are many things you
can do to make your program appealing to potential promoters. You'll need to provide those
affiliates with the tools that they need to succeed. That includes incentives for great results as
well as marketing support and pre-made materials.

Native advertising

Native advertising is marketing in disguise. Its goal is to blend in with its surrounding content
so that it’s less blatantly obvious as advertising.

Native advertising was created in reaction to the cynicism of today's consumers toward ads.
Knowing that the creator of an ad pays to run it, many consumers will conclude that the ad is
biased and consequently ignore it.

A native ad gets around this bias by offering information or entertainment before it gets to
anything promotional, downplaying the "ad" aspect.

It’s important to always label your native ads clearly. Use words like “promoted” or
“sponsored.” If those indicators are concealed, readers might end up spending significant time
engaging with the content before they realize that it's advertising.
When your consumers know exactly what they're getting, they'll feel better about your content
and your brand. Native ads are meant to be less obtrusive than traditional ads, but they’re not
meant to be deceptive.

Marketing automation

Marketing automation uses software to power digital marketing campaigns, improving the
efficiency and relevance of advertising.
According to statistics:

• 90% of US consumers find personalization either “very” or “somewhat” appealing


• 81% of consumers would like the brands they engage with to understand them better
• 77% of companies believe in the value of real-time personalization, yet 60% struggle
with it

Marketing automation lets companies keep up with the expectation of personalization. It allows
brands to:

• Collect and analyse consumer information


• Design targeted marketing campaigns
• Send and post marketing messages at the right times to the right audiences

Many marketing automation tools use prospect engagement (or lack thereof) with a particular
message to determine when and how to reach out next. This level of real-time customization
means that you can effectively create an individualized marketing strategy for each customer
without any additional time investment.

Email marketing

The concept of email marketing is simple—you send a promotional message and hope that your
prospect clicks on it. However, the execution is much more complex. First of all, you have to
make sure that your emails are wanted. This means having an opt-in list that does the following:
• Individualizes the content, both in the body and in the subject line
• States clearly what kind of emails the subscriber will get
• Offers a clear unsubscribe option
• Integrates both transactional and promotional emails
You want your prospects to see your campaign as a valued service, not just as a promotional
tool.Email marketing is a proven, effective technique all on its own: 89% of surveyed
professionals named it as their most effective lead generator.

It can be even better if you incorporate other techniques such as marketing automation, which
lets you segment and schedule your emails so that they meet your customer's needs more
effectively.

PROCESS:-

1. Research – Learn what customers want and how they behave/interact with your brand.
To a large extent, understand the market forces at play that help or hurt your chance for
success; think SWOT analysis and marketing mix.
2. Planning – Align research with business goals and capabilities (often limited by
resources) to attract leads into a paying customer or donor.
3. Implement – Identify and create content offers and promotion strategies that will get
your message out to a qualified audience.
4. Measure – Prove to leadership that the investments made are yielding incremental
results toward your goals.
5. Optimize – Report on goals and refine your strategies that increase the productivity of
input > output. Then double down on investment in areas that show promising results
Chapter 2- Company Profile
TATA MOTORS

Formerly Tata Engineering and Locomotive Company Ltd. (TELCO)


founded by J. R. D. TATA
Public
Type
BSE: 500570
Traded as NSE: TATAMOTORS
NYSE: TTM
NSE NIFTY 50 Constituent
ISIN IN9155A01020
Industry Automobile
Founded 1945; 76 years ago

Founder J. R. D. Tata

Headquarters Mumbai, Maharashtra, India


Area served Worldwide

Key people NatarajanChandrasekaran (chairman)


GuenterButschek (CEO)

Products Automobiles
Luxury vehicles
Commercial vehicles
Automobile parts
Pickup trucks
SUVs

Production output 961,463 (2021)

Services Automobile finance


Vehicle leasing
Vehicle service

Revenue ₹252,437 crore (US$35 billion) (2021)

Operating income ₹−2,377 crore (US$−330 million) (2021)


Net income ₹−13,016 crore (US$−1.8 billion) (2021)

Total assets ₹343,125 crore (US$48 billion) (2021)

Total equity ₹54,480 crore (US$7.6 billion) (2021)

Number of 78,906 (2021)

employees

Parent Tata Group

Divisions Tata Motors Cars

Subsidiaries Jaguar Land Rover


Tata Daewoo
Tata Technologies
Tata Hispano
Tata Hitachi Construction
Machinery

Tata Motors Limited is an Indian multinational Automobile manufacturing company


headquartered in Mumbai, Maharashtra, India. It is a part of Tata Group, an Indian
conglomerate. Its products include passenger cars, trucks, vans, coaches, buses, sports cars,
construction equipment and military vehicles.
Formerly it was known as Tata Engineering and Locomotive Company (TELCO).
Tata Motors has auto manufacturing and vehicle plants in Jamshedpur, Pantnagar,
Lucknow, Sanand, Dharwad, and Pune in India, as well as in Argentina, South
Africa, Great Britain, and Thailand. It has research and development centres in Pune,
Jamshedpur, Lucknow, and Dharwad, India and South Korea, Great Britain, and
Spain. Tata Motors' principal subsidiaries purchased the English premium car maker
Jaguar Land Rover (the maker of Jaguar and Land Rover cars) and the South Korean
commercial vehicle manufacturer Tata Daewoo. Tata Motors has a bus- manufacturing
joint venture with Marcopolo S.A. (Tata Marcopolo), a construction- equipment
manufacturing joint venture with Hitachi (Tata Hitachi Construction Machinery), and a
joint venture with Fiat Chrysler which manufactures Automobile components and Fiat
Chrysler and Tata branded vehicles.

Founded in 1945 as a manufacturer of locomotives, the company manufactured its first


commercial vehicle in 1954 in a collaboration with Daimler-Benz AG, which ended in
1969. Tata Motors entered the passenger vehicle market in 1988 with the launch of the
Tata Mobile followed by the Tata Sierra in 1991, becoming the first Indian
manufacturer to achieve the capability of developing a competitive indigenous
automobile. In 1998, Tata launched the first fully indigenous Indian passenger car, the
Indica, and in 2008 launched the Tata Nano, the world's cheapest car. Tata Motors
acquired the South Korean truck manufacturer Daewoo Commercial Vehicles
Company in 2004 and purchased Jaguar Land Rover from Ford in 2008.
Tata Motors is listed on the BSE (Bombay Stock Exchange), where it is a constituent
of the BSE SENSEX index, the National Stock Exchange of India, and the New York
Stock Exchange. The company is ranked 265th on the Fortune Global 500 list of the
world's biggest corporations as of 2019.

On 17 January 2017, Natarajan Chandrasekaran was appointed chairman of the


company Tata Group. Tata Motors increases its UV market share to over 8% in
FY2019.

History

Tata Motors was founded in 1945, as a locomotive manufacturer. Tata Group 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 sport utility vehicle based on the Tata Mobile platform. Tata subsequently launched
the Tata Estate (1992; a station wagon design based on the earlier Tata Mobile), the
Tata Sumo (1994, a 5-door SUV) and the Tata Safari (1998).

Tata Indica (first generation)

Tata launched the Indica in 1998, a fully indigenous Indian passenger car tailor-made
to suit Indian consumer needs though styled by I.D.E.A, Italy. Although initially
criticised 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 industries. A newer version of the car, named Indica V2, was a major
improvement over the previous version and quickly became a mass favourite. 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 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.

On 27 December 2016, Tata Motors announced the Bollywood actor Akshay Kumar as
brand ambassador for its commercial vehicles range.

On 8 March 2017, Tata Motors announced that it has signed a memorandum of understanding
with Volkswagen to develop vehicles for India's domestic market.

On 3 May 2018, Tata Motors announced that it sold its aerospace and defence business
to another Tata Group Entity, Tata Advanced Systems, to unlock their full potential.
On 29 April 2019, Tata Motors announced a partnership with Nirma University in
Ahmedabad to provide a B.Tech. degreeprogramme for employees of its Sanand plant.
On 24 March 2020, Tata Motors Ltd announced that it would spin off its passenger vehicles
arm as a separate unit within the company.

On 5 March 2021, Tata Motors’ shareholders approved hiving off its passenger vehicles
business into a separate entity.
Maruti Suzuki

Formerly MarutiUdyog Limited

Type Public

Traded as BSE: 532500


NSE: MARUTI
BSE SENSEX Constituent
NSE NIFTY 50 Constituent

ISIN INE585B01010
Industry Automobile

Founded 24 February 1981; 40 years ago

Founder Government of India

Headquarters New Delhi, India

Area served India

Key people R. C. Bhargava (Chairman)


Kenichi Ayukawa (Managing Director & CEO)
Products Automobiles
Commercial vehicles
Automobile parts
Pickup trucks
SUVs

Production output 1,563,297 units (2020)


Services Automobile finance
Vehicle service

Revenue ₹78,994 crore (US$11 billion) (2020)

Operating income ₹7,118 crore (US$1.0 billion) (2020)

Net income ₹5,559 crore (US$780 million) (2020)]

Total assets ₹63,627 crore (US$8.9 billion) (2020)

Total equity ₹49,262 crore (US$6.9 billion) (2020)


Number of 15,945 (2020)
employees

Parent Suzuki Motor Corporation (56.37%)

Website www.marutisuzuki.com

Maruti Suzuki India Limited,


formerly known as MarutiUdyog Limited, is a subsidiary of the Japanese Automobile
manufacturer Suzuki. It was founded and owned by the Government of India between
1981 until 2003. It was sold to Suzuki Motor Corporation by Government of India in
2003.As of July 2018, it had a market share of 53 percent in the Indian passenger car
market.

History

MarutiUdyog Limited was founded by the Government of India on 24 February 1981


with Suzuki Motor Corporation as a minor partner, only to become the formal JV
partner and license holder of Suzuki in October 1982.The first manufacturing factory
of Maruti was established in Gurugram, Haryana, in the same year.

Affiliation with Suzuki

In 1982, a license and joint venture agreement (JVA) was signed between MarutiUdyog
Ltd., and Suzuki of Japan. At first, Maruti Suzuki was mainly an importer of cars. In
India's closed market, Maruti received the right to import 40,000 fully built-up Suzuki
in the first two years, and even after that the early goal was to use only 33% indigenous
parts. This upset the local manufacturers considerably. There were also some concerns
that the Indian market was too small to absorb the comparatively large production
planned by Maruti Suzuki, with the government even considering adjusting the petrol
tax and lowering the excise duty in order to boost sales.Local production commenced
in December 1983 with the introduction of the SS30/SS40 Suzuki Fronte/Alto-based
Maruti 800.In 1984, the Maruti Van with the
same three-cylinder engine as the 800 was released and the installed capacity of the plant
in Gurgaon reached 40,000 units.

Market liberalization

In 1989, the Maruti 1000 was introduced and the 970 cc, three-box was India's first
contemporary sedan. By 1991, 65 percent of the components, for all vehicles produced,
were indigenized. After liberalization of the Indian economy in 1991, Suzuki increased
its stake in Maruti to 50 percent, making the company a 50-50 joint venture with the
government of India as the other stake holder.

In 1993, the Zen, a 993 cc engined hatchback was launched and in 1994 the 1,298 cc
Esteem sedan was introduced. Maruti produced its 1 millionth vehicle since the
commencement of production in 1994. Maruti's second plant was opened with annual
capacity reaching 200,000 units. Maruti launched a 24-hour emergency on-road vehicle
service. In 1998, the new Maruti 800 was released, being the first change in design
since 1986. Zen D, a 1,527 cc diesel hatchback, and Maruti's first diesel vehicle, and a
redesigned Omni were introduced. In 1999, the 1.6-litre MarutiBaleno three-box sedan
and Wagon R were also launched.

In 2000, Maruti became the first car company in India to launch a call center for internal
and customer services. The new Alto model was released. In 2001, Maruti True Value,
selling and buying used cars was launched. In October of the same year the Maruti
Versa was launched. In 2002, Esteem Diesel was introduced. Two new subsidiaries
were also started: Maruti Insurance Distributor Services and Maruti Insurance Brokers
Limited. Suzuki Motor Corporation increased its stake in Maruti to
54.2 per cent.

In 2006 Suzuki and Maruti set up another joint venture, "Maruti Suzuki Automobiles
India", to build two new manufacturing plants, one for vehicles and one for engines.
Cleaner cars were also introduced, with several new models meeting the new Bharat
Stage III emission standards. In February 2012, Maruti Suzuki sold its ten millionth
vehicle in India.In July 2014 it had a market share of more 45%. In May 2015, the
company produced its fifteen millionth vehicle in India, a Swift Dzire.

On 25 April 2019, Maruti Suzuki announced that it would phase out production of
diesel cars by 1 April 2020, when the Bharat Stage VI emission standards come into
effect. The new standards would require a significant investment from the company to
upgrade its existing diesel engines to comply with the more stringent emission
standards. Chairman R.C. Bhargava stated, "We have taken this decision so that in 2022
we are able to meet the corporate average fuel efficiency (CAFE) norms and higher
share of CNG vehicles will help us comply with the norms. I hope the union
government's policies will help grow the market for CNG vehicles." Diesel cars
accounted for about 23 percent of Maruti Suzuki's annual sales.

Honda

Native name 本田技研工業株式会社

Romanized name Honda GikenKōgyō Kabushiki-gaisha

Type Public

Traded as TYO: 7267


• NYSE: HMC
• Nikkei 225 component (7267)
• TOPIX Core30 component (7267)

Industry Conglomerate
Founded
Hamamatsu, Japan (October 1946, incorporated
24 September 1948; 72 years ago)
Founders • Soichiro Honda
• Takeo Fujisawa
Headquarters Minato, Tokyo, Japan

Area served Worldwide


Key people • Toshiaki Mikoshiba (chairman)
• Takahiro Hachigo (president and CEO)
Products • Automobiles
• commercial vehicles
• luxury vehicles
• motorcycles
• Scooters
• electric generators
• water pumps
• lawn and garden equipment
• rotary tillers
• outboard motors
• robotics
• jet aircraft
• jet engines
• thin-film solar cells
• internavi (telematics)
Revenue ¥15.36 trillion (2018)[1]
Operating income ¥833.5 billion (2018)[1]

Net income ¥1.05 trillion (2018)[1]


Total assets ¥19.34 trillion (2018)[1]

Total equity ¥8.23 trillion (2018)[1]


Owners • JTSB investment trusts (6.46%)
• TMTBJ investment trusts by Moxley&
(4.71%)
• ChaseBank ADRs nominated
Co. (3.09%)
• Meiji Yasuda Life (2.83%)
• Tokio Marine (2.35%)
• (As of March 2014)
Numberof employees 215,638 (2018)[1]
Divisions • Acura
• Honda Aircraft Company
• Honda Automobiles
• Honda Motorcycles
Subsidiaries
Show
List

Website global.honda

The Honda Motor Company, Ltd. (Japanese: 本田技研工業株式会社, Hepburn:


Honda GikenKōgyō KK, IPA: [honda] (About this soundlisten); /ˈhɒndə/) is a Japanese
public multinational conglomerate manufacturer of automobiles, motorcycles, and
power equipment, headquartered in Minato, Tokyo, Japan.

Honda has been the world's largest motorcycle manufacturer since 1959, reaching a
production of 400 million by the end of 2019 as well as the world's largest manufacturer
of internal combustion engines measured by volume, producing more than 14 million
internal combustion engines each year. Honda became the second- largest Japanese
automobile manufacturer in 2001. Honda was the eighth largest automobile
manufacturer in the world in 2015.

Honda was the first Japanese automobile manufacturer to release a dedicated luxury
brand, Acura, in 1986. Aside from their core automobile and motorcycle businesses,
Honda also manufactures garden equipment, marine engines, personal watercraft and
power generators, and other products. Since 1986, Honda has been involved with
artificial intelligence/robotics research and released their ASIMO robot in 2000. They
have also ventured into aerospace with the establishment of GE Honda Aero Engines
in 2004 and the Honda HA-420 Honda Jet, which began production in 2012. Honda
has two joint-ventures in China: Dongfeng Honda and Guangqi Honda.

In 2013, Honda invested about 5.7% (US$6.8 billion) of its revenues in research and
development. Also in 2013, Honda became the first Japanese automaker to be a net
exporter from the United States, exporting 108,705 Honda and Acura models, while
importingonly88,357.

History
Throughout his life, Honda's founder, Soichiro Honda, had an interest in automobiles.
He worked as a mechanic at the Art Shokai garage, where he tuned cars and entered
them in races. In 1937, with financing from his acquaintance Kato Shichirō, Honda
founded Tōkai Seiki (Eastern Sea Precision Machine Company) to make piston rings
working out of the Art Shokai garage. After initial failures, Tōkai Seiki won a contract
to supply piston rings to Toyota, but lost the contract due to the poor quality of their
products. After attending engineering school without graduating, and visiting factories
around Japan to better understand Toyota's quality control processes, by 1941 Honda
was able to mass-produce piston rings acceptable to Toyota, using an automated process
that could employ even unskilled wartime laborers.

With a staff of 12 men working in a 16 m2 (170 sqft) shack, they built and sold
improvised motorized bicycles, using a supply of 500 two-stroke 50 cc Tohatsu war
surplus radio generator engines. When the engines ran out, Honda began building their
own copy of the Tohatsu engine, and supplying these to customers to attach to their
bicycles. This was the Honda A-Type, nicknamed the Bata Bata for the sound the
engine made. In 1949, the Honda Technical Research Institute was liquidated for
¥1,000,000, or about US$5,000 today; these funds were used to incorporate Honda
Motor Co., Ltd. At about the same time Honda hired engineer Kihachiro
Kawashima, and Takeo Fujisawa who provided indispensable business and marketing
expertise to complement Soichiro Honda's technical bent. The close partnership between
Soichiro Honda and Fujisawa lasted until they stepped down together in October 1973.
The first production automobile from Honda was the T360 mini pick-up truck, which
went on sale in August 1963.Powered by a small 356-cc straight-4 gasoline engine, it
was classified under the cheaper Kei car tax bracket. The first production car from
Honda was the S500 sports car, which followed the T360 into production in October
1963. Its chain-driven rear wheels pointed to Honda's motorcycle origins.

Over the next few decades, Honda worked to expand its product line and expanded
operations and exports to numerous countries around the world. In 1986, Honda
introduced the successful Acura brand to the American market in an attempt to gain
ground in the luxury vehicle market. The year 1991 saw the introduction of the Honda
NSX supercar, the first all-aluminum monocoque vehicle that incorporated a mid-
engine V6 with variable-valve timing.

CEO Tadashi Kume was succeeded by Nobuhiko Kawamoto in 1990. Kawamoto was
selected over ShoichiroIrimajiri, who oversaw the successful establishment of Honda of
America Manufacturing, Inc. in Marysville, Ohio. Irimajiri and Kawamoto shared a friendly
rivalry within Honda; owing to health issues, Irimajiri would resign in 1992.
The most shocking change to Honda came when Kawamoto ended the company's
successful participation in Formula One after the 1992 season, citing costs in light of
the takeover threat from Mitsubishi as well as the desire to create a more
environmentally friendly company image.

On 23 February 2015, Honda announced that CEO and President Takanobu Ito would
step down and be replaced by Takahiro Hachigo by June; additional retirements by
senior managers and directors were expected.

In October 2019, Honda was reported to be in talks with Hitachi to merge the two
companies' car parts businesses, creating a components supplier with almost $17 billion
in annual sales.
In January 2020, Honda announced that it would be withdrawing employees working
in the city of Wuhan, Hubei, China due to the COVID-19 pandemic. Due to the global
spread of the virus, Honda became the first major automaker with operations in the US
to suspend production in its factories on March 23, 2020. It resumed automobile, engine
and transmission production at its US plants on May 11,2020.

Honda and General Motors announced in September 2020 a North American alliance
to begin in 2021. According to The Detroit Free Press, "The proposed alliance will
include sharing a range of vehicles, to be sold under each company’s distinct brands,
as well as cooperation in purchasing, research and development, and connected
services.
Chapter - 3

Review of Literature
Review of Literature

Literature Review is considered an important component of research. Review of literature


involves summarizing the current status of research works already done. Its helps to
identify the gaps in terms of the area appearing relevant and those which have been already
studied and those which are subject for further studies. A review of the pertinent past work
and contradictions, pitfalls and other failings of the earlier work is necessary mainly to
substantiate the need for another research study. Previous research studies are abstracted
and significant writings of authorities in the area under study are reviewed.

The review of relevant Literature on the study area is necessary before going deep into the
research work. Reviews of related studies enable the researcher to get an in-depth
knowledge of the topic and to conduct the study in a different approach from that of the
existing studies in the relevant field. This enables to carry out the study in the untouched
field. In this chapter, theresearcher has attempted to take up the review of the available literature
on various aspects of Automobile Industry in India.Indoingso, the
researcher surveyed a number of journals, magazines, research papers, project reports,
published and unpublished reports and thesis, dissertations, conference and seminar
proceedings, books and websites. Such a reviewhas provided a proper background to the
research work. Reviews of related studies enable the researcher to get an in-depth
knowledge of the topic and to conduct the study in a different approach from that of the existing
studies in the relevant field. This enables to carry out the study in the untouched
field. In this chapter, theresearcher has attempted to take up the review of the available literature
on various aspects of Automobile Industry in India.Indoingso, the
researcher surveyed a number of journals, magazines, research papers, project reports,
published and unpublished reports and thesis, dissertations, conference and seminar
proceedings, books and websites. Such a reviewhas provided a proper background to the
researcher for the development of the present study. It will be worth mentioning to state that
very few studies have been carried out on the topic Digital Marketing Strategies Adopted By
Automobile Sector. Hence, this study has significance. The reviews made in this aspect
aresummarized below:
1 Literature Review Automobile Industry

• ShindeGovind P. &DubeyManisha (2011)the study has been conducted


considering the segments such as passenger vehicle, commercial vehicle, utility vehicle,
two and three wheeler vehicle of key players performance and also analyze SWOT
analysis and key factors influencing growth of automobile industry.

• Sharma Nishi (2011)studied the financial performance of passenger and


commercial vehicle segment of the automobile industry in the terms of four financial parameters
namely liquidity, profitability, leverage and managerial efficiency analysis for the period of decade
from 2001-02 to 2010-11. The study concludes that profitability and managerial efficiency of Tata
motors as well as Mahindra & Mahindra ltd are satisfactory but their liquidity position is not
satisfactory. The liquidity position of commercial vehicle is much better than passenger vehicle
segment.

• HotwaniRakhi (2013) the author examines the profitability position and growth
of company in light of sales and profitability of Tata Motors for past ten years. Data is analyzed
through rations, standard deviations and coefficient of variance. The study reveals that there not exists
a strong relationship between sales & profitability of company.

• Sharma Rashmi, PandeNeeraj& Singh Avinash (2013)for


understanding
how social media monitoring can help diving the consumer decision & also study. The
functions of social media i.e. monitor, responses amplify and lead at maruti Suzuki India
ltd. The researcher had discussion with social media team median managers for
collecting data & also visited the official social media sites of MSIL.
Daniel A. Moses Joshuva (2013) the study has been conducted to identify the
financialstrength and weakness of the Tata motors Ltd. using past 5 year financial
statements. Trend analysis & ratio analysis used to comment of financial status of
company. Financial performance of company is satisfactory and also suggested to
increase the loan levels of company for the better performance.

Maheswari, V. (2015) made an attempt to analyze the financial soundness of the


Hero Honda motors limited have identified three factors, namely liquidity position,
solvency position and profitability position based on the study of period 2002 to 2010
using ratio analysis.

Agarwal, Nidhi (2015) the study focus on the comparative financial performance
ofMaruti Suzuki and Tata motors ltd. The financial data and information required for the
study are drawn from the various annual reports of companies. The liquidity and leverage
analysis of both the firms are done. To analyze the leverage position four ratios are
considered namely, capital gearing, debt-equity, total debt and proprietary ratio. The
result shows that Tata motors ltd has to increase the portion of proprietor’s fund in
business to improve long term solvency position.

MathurShivam&AgarwalKrati (2016) Ratio’s are an excellent and scientific


way to analyze the financial performance of any firm. The company has received many
awards and achievements due to its new innovations and technological advancement.
These indicators help the investors to invest the right company for expected profits. The
study shows that Maruti Suzuki limited is better than Tata motors limited.

Kumar Sumesh&KaurGurbachan (2019) Automobile sector is the


dominant player in economy of world. After liberalization Indian automobile industry
has emerged as a major contributor to India’s GDP. The study identified that there is no
significant in the means score of various financial ratios of Maruti Suzuki and Tata
motors but in meeting their long term obligations and efficacy of utilizing the assets show
the significant difference in the efficiency of both the firms.
SrivastavaAnubha (2018) Data analysis has been done using the top down
approach ,i.e. Economic analysis, industry analysis, company and technical analysis to
find relationship between automobile sector index with market index. Mahindra and
Mahindra have a great position on the stock market and will attract investor and this
could lead to expansion and growth. Thus Tata motors and Maruti Suzuki need to take
care of their stock and expansion.
Chapter – 4
Research methodology
RESEARCH METHODOLOGY

RESEARCH METHODOLOGY

Research is a careful investigation or inquiry especially through search for new facts in branch
of knowledge: market research specifies the information. Required to address these issues:
designs the method for collecting information: manage and implements the data collection
process analyses the results and communicates the finding and their implications. Research
problem is the one which requires a researcher to find out the best solution for the given
problem that is to find out the course of action, the action the objectives can be obtained
optimally in the context of a given environment.

RESEARCH DESIGN

A framework or blueprint for conducting the research project, it specifies the details of the
procedures necessary for obtaining the information needed to structure and/or solve research
problems. A good research design lays the foundation for conducting the project. A good
research design will ensure that the research project is conducted effectively and efficiently.
Typically, a research design involves the following components, or tasks:

• Define the information needed.


• Design the research.
• Specify the measurement and scaling procedures.
• Construct and present a questionnaire or an appropriate form for data collection.
• Specify the sampling process and sampling size. Develop a plan of data analysis.

Title of the Study:-

“Digital marketing strategies adopted by automobile sector during Covid 19”

Objectives of study:
The purpose of the study is to analyze the financial performance of automobile companies in
India. The specific objectives are:-

 To identify the key purchase drivers

 To understand the new desires from the purchasers regarding the service provided

 To study the automobile sector and its current trends.

 To evaluate the liquidity position of companies in automobile industry.

 To measure the profitability of companies in automobile industry.

 To evaluate the financial strength of companies in automobile industry.

Types of Research used –


Analytical Research: Analytical research is a specific type of research that involves
critical thinking skills and the evaluation of facts and information relative to the research being
conducted.

Descriptive Research: A method that describes the characteristics of the population and
phenomenon that is being studied. It does not answer questions about how/when/why the
characteristics occurred. Rather it addresses the “what” question.

Types of data used –

( Both Primary and Secondary Data)

Primary Data

Primary data refers to data that was collected by the researcher for the purpose to collect the
information. It may be collected from direct face to face investigation or vice-versa.
Secondary Data

Secondary data refers to data that was collected by someone other than user. Common sources
of secondary data for social science include cenuses, information collected by government
departments, organizational records and data that was originally collected for other research
purposes.

Sources of Data:
Primary Data- Questionnaire

( A set of printed or written questions with a choice of answers, devised for the purposes of a
survey or statistical study).
Secondary Data- I have collected secondary data from online database, editorial, data
tables, histories about topic, journals, articles, textbooks, dictionaries, and encyclopedia, fact
books, website of companies, cataloguesInternet, books. etc.

Sample Size- 100

Sampling Technique- Simple random sampling

(A simple random sample is a subset of a statistical population in which each member of the
subset has an equal probability of being chosen).
“The analysis of the data has been denoted and intrepreted through Pie charts and Bar
graphs.”

Limitations of the Study:-

• I have not been able to collect any data because of covid-19.

• Lack of available and reliable data.

• The sample size was not enough.

• Lack of prior research studies on the topic.

• The selection of automobile industry.

• This study is based on secondary data.


Chapter - 5
Digital Marketing in Tata motors
TATA MOTORS

About Tata Motors Limited

Sector:Automobile Sector

Region:Based in India, product sold in India Founder:JehangirRatanjiDadabhoy Tata was


an Indian aviator in 1945

Tata Motors is an Indian multinational Automobile manufacturing company and a member of


the Tata Group. With the aim of providing a more sustainable solution for mass transportation,
Tata Motors has developed the Tata Star bus Hybrid Electric Bus. This 12- meter-long bus
incorporates a diesel series hybrid configuration that aims to reduce carbon dioxide emissions.
The sustainability claim,which is available on the company’s website, blog and social media,
states that the batteries in the Tata Star bus Hybrid Electric Bus reduce emissions up to 30%.
The main target audience of the claim is potential consumers from the government sector and
other businesses who could purchase the buses. Tata Motors has adopted a product and fuel life
cycle approach.

The product life cycle approach covers material sourcing, manufacturing, use and end-of-life;
whereas the fuel life cycle approach covers well-to-wheel stages. In this particular claim, Tata
Motors claims reduction in emissions during the use phase of the product. A hotspots analysis
identified carbon emissions during the use phase as the most impactful stage within the
product’s life cycle. The claim was developed accordingly. Mainstreaming Sustainability:
Considering climate risks associated with fossil fuels, Tata Motors is working on the
development of vehicles propelled with alternate energy sources.

In line with the Tata Group Policy on Climate Change, Tata Motors has articulated its Climate
Change Policy, which aims at developing a three-pronged approach to the company’s carbon
emissions mitigation strategy: product development (minimizing tail-pipe emissions, creating
products dependent on alternative energy sources); manufacturing process (improving energy
efficiency and maximizing use of renewable energy sources, thereby reducing emissions), and
supply chain (reducing emissions with the life-cycle approach). Tata Star Bus Electric Bus is
one such product of Tata Motors that reduces on-road carbon emissions.

SWOT Analysis of Tata Motor:-

Strength in the SWOT Analysis of Tata Motors

• Tata’s product portfolio is broad & well-diversified. The well-diversified automobile


portfolio helps them bring revenue and income stabilization. This stability develops
confidence for the investors in Tata Motors.
• The Indian multinational conglomerate Tata had a brand value worth 20 billion U.S.
dollars in 2020, securing the first position as India's most valuable brand.
• Stabilized profit has been earned. Tata has a strong method of governing. Tata Motors
acquire those companies which are similar in the management structure. They only
follow this policy, as they have confidence in their policy objectives of management.
• Good Strategy is the key to success and required for the expansion of the company. Tata
Motors not only focuses on Acquisitions and new products but also has an efficient
management development system in a place to create leaders and loyal employees.

Weakness in the SWOT Analysis of Tata Motors

• The global car market is growing at a rapid pace. If it’s limited to a particular area, then

it’s a strong barrier to growth as other international companies can enter the very same

• A firm’s power lies in a solid marketing strategy. It’s the way a firm can know their
customer’s demands and produce the products accordingly.
• Tata has not marked its presence in too many countries. Tata Motors must try to tap
international markets. For the 2020-21 fiscal, the company reported total sales of

4,64,515 units in the domestic market, up 5 per cent from 4,42,051 units in 2019-20.
• The passenger car products of the company are based on old platforms which are the
major disadvantage for Tata Motors for competing with its rivals in the automobile
manufacturers. Tata Motors is the first OEM to have introduced EGR technology in

India

Opportunities in the SWOT Analysis of Tata Motors

• For creating a positive brand identity company must have a clear marketing strategy.

It can also allow developing a good client base in India and around the world.
• Merger and acquisition are a fairly common tradition in the Automobile sector. Tata has
a long track record as one of India’s oldest companies.
• The sales of a product depend largely on the price of the products. When costs are fair,
an organization can easily produce new cars that are tech-savvy and meet the sales
target
• Modernizing the world. Citizens are heavily reliant on the transport facilities. It’ll boost
motor vehicle sales.

Threats in the SWOT Analysis of Tata Motors

• Fuel prices influence vehicle sales not only in India but worldwide as well. The fuel
price and car sales are directly related. So, if the price of the product increases, the sales
volume will decrease.
• Many countries develop carbon emissions laws. If India introduces this kind of law,
TATA may need to produce more carbon-efficient cars that may need additional
investment.
• Competition has increased in this new age. As a result, the cost of production is more
than before, because the company must be more competitive in offering innovative
products.
• Tata Motors is lagging behind in Luxury Car Segments. Tata Motors must launch new
luxury cars with good and competitive technological features. Luxury car market
players are giving tough competition to Tata Motors. Luxury Car Manufacturers like

Ford, Toyota, Kia, etc will be the major competitors of Tata Motors.
• Increasing world economic prices can be a major Threat. Steel and aluminium prices
are steadily placing pressure on production costs. Conclusion: Tata’s engines have more
strengths than weaknesses. It is a locally organized organization, meaning that most of
its business activities are locally run. It will develop new strengths and leverage its

potential prospects to further expand it.

Tata Motors Marketing Mix (4Ps) Strategy:-

Product Strategy:-Tata Motors is involved in manufacturing of vehicles in categories


that include cars Hatchback, Sedan and utility vehicles, Trucks, Buses, Municipal
Solutions, and Defence and homeland security. The product portfolio in the marketing mix
of Tata Motors also covers brands like Jaguar and Land Rover. The consumers perceive the
Tata Motors brand that produces vehicles that provides reliability, high quality, and
efficiency. Tata Motors ranks in top four passenger vehicle brands in India. It focuses on
innovation and due its vast industrial experience, they continuously work on developing
new vehicles with robust technical specifications. In addition, Tata Motors follow stringent
Quality norms and abides by the rules laid down by the regulatory agencies.

Pricing Strategy:Tata Motors launched Tata Nano the cheapest passenger car in the
world. It followed penetration-pricing strategy and vehicles manufactured by Tata Motors
are comparatively cheaper than its competitors are. Due to its low price, it attracted media
attention and the vehicle reported an increase in sales figure within short time during the
initial days of the launch. The lower pricing of Tata Nano also resulted in consumers
perceiving it as a cheap product.

Place & Distribution Strategy:Tata Motors has the third largest service and sales
network in India. To distribute its vehicles, it has partnered with various distributors across
India and the service centres are well equipped with the spare parts and accessories. Tata
Motors has extensive distribution network set up across India, also major launches are
displayed in showrooms to experience the product. To purchase defence vehicles, Tata
Motors has set up regional offices in the states of West Bengal, Maharashtra, Delhi and
Karnataka. It is also involved in the sales of Pre – Owned Cars and provides features such
as extended warranty.

Promotion & Advertising Strategy:Tata Motors has been known to having an


aggressive marketing strategy. To endorse its passenger vehicles globally, Tata Motors
declared Lionel Messi as their brand Ambassador. It also signed film celebrities as brand
ambassador for its commercial vehicle business. Tata Motors is the prime sponsor of many
events and it helped in creating awareness about its new product Tata Tiago in the minds
of the consumers. The promotional strategy in the marketing mix of Tata Motors is carried
out in the form of TV, Newspapers, and electronic media. Tata Motors leverages upon
social media marketing to target customers based on the search results. The Tata brand is
considered a trusted brand hence it uses the same to tap on the customers.

PEST Analysis of Tata Motor:-

Political Factors that Impact Tata Motors Limited: Political factors play a
significant role in determining the factors that can impact Tata Motors Limited's long-term
profitability in a certain country or market. Tata Motors Limited is operating in Auto
Manufacturers major in more than dozen countries and expose itself to different types of
political environment and political system risks. Tata Motors Limited can closely analyze the
following factors before entering or investing in a certain market. Political stability and
importance of Auto Manufacturers - Major sector in the country's economy.

Economic Factors that Impact Tata Motors Limited: The Macro environment
factors such as – inflation rate, savings rate, interest rate, foreign exchange rate and economic
cycle determine the aggregate demand and aggregate investment in an economy. While micro
environment factors such as competition norms impact the competitive advantage of the firm.
Tata Motors Limited can use country’s economic factor such as growth rate, inflation &
industry’s economic indicators such as Auto Manufacturers Major industry growth rate,
consumer spending etc. to forecast the growth trajectory of not only sectors name sector but
also that of the organization.
Social Factors that Impact Tata Motors Limited: Society’s culture and way of
doing things impact the culture of an organization in an environment. Shared beliefs and
attitudes of the population play a great role in how marketers at Tata Motors Limited will
understand the customers of a given market and how they design the marketing message for
Auto Manufacturers. Tata Motors has been at the forefront of productive community
engagement throughout its six decades of existence. Our CSR initiatives, in line with our
philosophy of giving back to society, have continued to improve the quality of people's lives
across India.

Technological Factors that Impact Tata Motors Limited: Technology is fast


disrupting various industries across the board. Transportation industry is a good case to
illustrate this point. Over the last 5 years the industry has been transforming really fast, not even
giving chance to the established players to cope with the changes. Taxi industry is now
dominated by players like Uber and Lyft. Car industry is fast moving toward automation led by
technology firm such as Google & manufacturing is disrupted by Tesla, which has stated an
electronic car revolution.A firm should not only do technological analysis of the industry.

EFFECT OF COVID -19 ON TATA MOTORS:-


• The automaker said that cost of vehicles severely impacted due to various input costs
and it's 'necessary to pass on some of the impacts to customers'.
• This price increase shall vary for different models, the company said in a regulatory
filing.
• The country's largest carmaker Tata Motors India on Wednesday announced that it will
be increasing prices across its model range from January 2021.
• The company cut production of its mini cars comprising Tigor, and Tiago by 98.32 per
cent at 401 units as against 23,874 units in the year-ago month.

Strategies Adopted by Tata Motors to come over from the effect of


covid-19:-

Tata Motors adopts a 3-pronged CSR approach to combat Covid-19:


I. Essential Supplies provision: - Tata Motors has organized for food supplies to
migrants and stranded communities, urban slums, transit camps and villagers, drivers,
co-drivers, mechanics, contractual and temporary workers, security personnel, across
geographies in the country. So far, the company has provided over 25,000 Food packets
(cooked meals) and over 5000 Grocery kits (ration) and is continuing its efforts to
ensure health of the underprivileged communities. In addition to this, the company has
established two helpline numbers for temporary and contractual workmen for food
related requests in Lucknow and is providing water to 19 Police chowkis and traffic
police in Pune. Tata Motors partnered with Indian Oil Corporation Ltd. to distribute
food packets and personal protective kits to truck drivers visiting companies
“SaarthiAaram Kendra (SAK)” located in Narsapura (near Bangalore) and Bawal (near
Gurgaon) locations.

II. Equipping heroes on Ground-Zero: - Tata Motors is supporting and assisting Self-
Help Groups to manufacture home-made certified masks and sanitizers to be distributed
to hospitals, vendors, health-workers, police stations, army personnel, in communities
around the company’s plants. Till date, the company has enabled the manufacturing of
17,000 home-made certified masks. The company has also facilitated N95 masks,
sanitizers, Personal Protective Equipment kits that are being distributed to municipal
hospitals. The company also conducted health check-ups & provided basic medication
to over 500 stranded truck drivers and co-drivers in Belur, Dharwad
III. Educating masses for containment and prevention: Tata Motors is emphasizing on
good health practices by putting up banners and other related information material to
spread awareness in slums and amongst low-income group communities. The company
is also leveraging its social media platforms to spread awareness about simple and easy
precautionary measures one can adopt to stay unaffected and healthy.
With a focus on engineering and tech enabled Automobile solutions catering to the future
of mobility, Tata Internationally, Tata commercial and passenger vehicles are marketed in
countries, spread across Africa, the Middle East, South Asia, South East Asia, South
America,
Australia, CIS, and Russia
Chapter - 6

Digital Marketing in Maruti Suzuki


Marutisuzuki

About Maruti Suzuki Limited

Sector:Automobile Sector

Region:Based in India, product sold in India


Founder:Government of India, R. C. Bhargava (Chairman) Kenichi Ayukawa (Managing
Director & CEO)

Maruti Suzuki India Limited (MSIL), formerly known as MarutiUdyog Limited, a subsidiary
of Suzuki Motor Corporation of Japan, is India's largest passenger car company, accounting for
over 50 per cent of the domestic car market. MarutiUdyog Limited was incorporated in 1981
under the provisions of Indian Companies Act 1956 and the government of India selected
Suzuki Motor Corporation as the joint venture partner for the company. In 1982 a JV was signed
between Government of India and Suzuki Motor Corporation.
It was in 1983 that the India’s first affordable car, Maruti 800, a 796-cc hatch back was launched
as the company went into production in a record time of 13 month.
More than half the number of cars sold in India wear a Maruti Suzuki badge. They are a
subsidiary of Suzuki Motor Corporation Japan. The company offer full range of cars– from
entry level Maruti 800 & Alto to stylish hatchback Ritz, A star, Swift, Wagon R, Estelle and
sedans DZire, SX4 and Sports Utility vehicle Grand Vitara.
Since inception, the company has produced and sold over 7.5 million vehicles in India and
exported over 500,000 units to Europe and other countries.
They were born as a government company, with Suzuki as a minor partner, to make a people's
car for middle class India. Over the years, its product range has widened, ownership has
changed hands and the customer has evolved. What remains unchanged, then and now, is their
mission to motorize India.

MSIL’s parent company, Suzuki Motor Corporation, has been a global leader in mini and
compact cars for three decades. Suzuki's technical superiority lies in its ability to pack power
and performance into a compact, lightweight engine that is clean and fuel efficient. The same
characteristics make their cars extremely relevant to Indian customers and Indian conditions.
Product quality, safety and cost consciousness are embedded into their manufacturing process,
which they have inherited from their parent company.

Maruti Suzuki exports entry–level models across the globe to over 100 countries and the focus
has been to identify new markets. Some important markets include Latin America, Africa and
South East Asia. Interestingly with a brand-new offering A–star, Maruti Suzuki is ready to take
on European markets. Maruti Suzuki sold 53,024 units during 2007–08. This is the highest ever
export volume in a year for the company, and marked a growth of 35 per cent over the previous
year. Maruti Suzuki has exported over 552,000 units cumulatively with about 280,000 units to
Europe and Israel

SWOT Analysis of Maruti Suzuki:-


Strength in the SWOT Analysis of Maruti Suzuki

• Maruti Suzuki is India’s largest passenger car manufacturer with a market share of
around 45 percent.
• Effective ads, a product range, products that compete for themselves.
• Getting various income sources that push schools like Maruti Finance, Maruti
Insurance, and Maruti. Parts are cheap as compared to other cars.
More than 700,000 units sold annually in India including 50 thousand exports.
• Maruti Suzuki adopts a strong advertising approach to pass on its suggestions to people
about its goods.
• Maruti Suzuki registered the highest number of domestic sales in the previous fiscal
year, with 9.66.447 units. This has recently surpassed the national sales mark of
10million.
• Has good fuel-efficient product lines, such as Brazza, DZire, Swift, Alto, Ignis, Baleno,
Ciaz, XL6, Expresso, Wagon-R. Alto and Wagon-R also top the highest-sales group of
small cars.
• Maruti Suzuki is the first car company to start sales of second-hand vehicles through its
True-value entity.

Weakness in the SWOT Analysis of Maruti Suzuki

• Weak interior quality in cars compared to high-quality players such as Hyundai and
other recent foreign players such as Volkswagen, Kia etc.
• Younger generations began to have a big affinity for new foreign brands.
• The management and the labour unions of the company are not in good terms. The
employees’ recent strikes have slowed down production and, in turn, have impacted
sales.
• As with other players, Maruti hasn’t proved himself in the SUV segment.
• Employee management, strikes, workers’ wage problems have in the past affected the
image of Maruti’s brand.

Opportunities in the SWOT Analysis of Maruti Suzuki


• Maruti Suzuki introduced their LPG version of Wagon R and at the same time, it as a
positive move.
• Maruti’s cars have immense potential in tapping into the middle-class segment and
serving as a big challenge to Nano.
• Maruti ‘s Latest DZire will grab the market share and are expected to build the same
magic as MarutiEsteem.
• The company’s production potential brings fresh expectations in both the American
and British markets.
• For Maruti Suzuki, it can be an opportunity to build electric cars and fuel-efficient
cars for the future.
• The rapidly growing market for automobiles and increased purchasing power.
• For developing a strong brand image, all it needs to have a strong marketing policy.
This can make a new customer base in the local market and worldwide as well. If
TATA Motors wants to position its products heavily, it can. All it needs to have
stronger marketing and promotional policies.
• The world is becoming modernized. People are being dependent on transportation
facilities heavily. It will increase the sales of motor vehicles.

Threats in the SWOT Analysis of Maruti Suzuki


• Maruti Suzuki recently experienced a fall in market share due to the increasing demand
for cars of foreign players.
• Major players like Maruti Suzuki, Hyundai, Tata lost their market share due to lots of
small players like Volkswagen- polo. Because of its Figo, Ford has demonstrated a
substantial increase in market share.

• MarutiSuzuki ‘s business can be hurt by intense competition from global Automobile


brands and cheaper marks.
• Replace public transit modes such as taxis, subway trains, etc.
• The cost of fuel affects the sale of a vehicle not only in India but also all over the world.
The fuel price and the sales of the cars directly negatively related.
• The sales of a product largely depend on the price of the products. If prices are
reasonable, a company can easily develop tech-savvy modern cars and meet the sale
target.

Maruti Suzuki Marketing Mix (4Ps) Strategy:-

Product Strategy:Maruti Suzuki India has a diverse product portfolio and is present in such
categories of cars as hatchback, supermini, SUV, sedan and van. The entire product portfolio
of automobiles is a part of the products in the marketing mix of Maruti Suzuki. Its products
are Maruti Alto, Celerio, Wagon R, Maruti Swift, Baleno, Maruti Gypsy, Eeco, MarutiCiaz,
Ertiga, Dzire, S Cross, Ignis and Maruti Omni. In most categories its cars are segment leaders
and priced competitively. Maruti Suzuki manufactures 1.5 million cars each year with 15 car
models and a total of 150 variants. In January 2016, Maruti Suzuki India had a total market
share of 47% amongst all passenger cars sold.

Pricing Strategy: This comes from its low-cost learning from years of engineering in India.
By providing light weight yet safe cars, Maruti is able to cut down on costs and price its cars
competitively, in some cases undercutting the competition by 7-10 percent. Maruti’s low cost
of ownership, affordable spares, long service intervals ensure that the pricing strategy of
Maruti is implemented not just at the time of sale but also after the car has been bought. This
gives Maruti an edge and makes it such a popular car company. Thus, the pricing strategy in
the marketing mix of Maruti Suzuki is dependent upon the competitors, market dynamics and
the segment catered to.

Place & Distribution Strategy: - Maruti ‘s service network spans most states of India and is
spread across 1400+ cities manufactured at 2 factories, Manesar and Gurgaon with an annual
capacity exceeding 15 lakh cars per annum. Maruti plans to set up another plant in Gujarat
for which it has acquired 600 acres of land. Maruti has around 1800+ sales outlets in all the
cities combined and has a dealership which is wider than such competitors as Hyundai, Tata
and Mahindra, even in the rural landscape.

Promotion & Advertising Strategy: Having decades of presence in India enables Maruti to
leverage its brand value and brand perception well. It also helps Maruti cut down on
promotional costs. Maruti uses unique advertising methods to promote its cars and often ropes
in stars and celebrities as brand ambassadors for various cars models. Maruti has utilized
heavily the online promotion space for the launch of its Brazza, Ignis and S Scross. Maruti
also uses traditional advertising spaces such as newspapers, television, radio, ATL etc. Maruti
Suzuki also used pint of sale and mobile promotions and the message across all the above
platforms is focussed on fuel efficiency, looks, comfort and space for its cars.
Hence, a 360-branding approach is followed in the promotional strategy of marketing mix of
Maruti. The ad campaigns often highlight the huge service network of the brand. Thus, this
summarizes the marketing mix of Maruti Suzuki.

PEST Analysis of Maruti Suzuki:-

Political Factors that Impact Maruti Suzuki Limited: Political factors that affect the
sale and revenue of automobile companies like Maruti Suzuki are rules and regulations formed
by the government. The policies which are laid by the government for the automobile sector
need to be followed by Maruti Suzuki. Taxation and laborlaws, affect the overall revenue of the
company if the taxes increase then the company has to increase its product price, and there is
also an increase in labor laws by the government.

Economic Factors that Impact Maruti Suzuki Limited : As the economy of India
currently, is facing a downfall so the automobile sector is facing an economic crisis. Maruti
Suzuki is the leading automobile company in India but due to the economic downfall, its sales
decreased by 32.7 percent in August 2019. An increase in interest and inflation rate will result
in a negative impact on the growth if the company. The oil price is a major factor in determining
the sale of the company, as the oil prices are rising people are not willing to buy the cars and
thus the sale decreases.

Social Factors that Impact Maruti Suzuki Limited: Socially Maruti Suzuki has done a lot
for the people, Maruti Suzuki believes in serving enhanced customer requirements, and
perceived social value. Maruti has set up many welfare camps, took initiative for the education
of the underprivileged, has adopted energy-saving technologies, reduced water wastage, taken
care of road safety, etc. Maruti Suzuki has set up its driving schools to assure every person
learns the right approach and to minimize the risk of accidents. Maruti has always fulfilled and
delivered the needs of common people. Due to the cricket world cup, IPL, etc, the country
attracts tourism so there is a great opportunity for a company like Maruti to increases its
marketing and business.

Technological Factors: The automobile sector always needs to be updated in technologies to


consider driving safety needs and innovations in the model. The company invests a lot in
research and development to improve engine features. Maruti Suzuki is involved in the
manufacturing of fuel-efficient and small car engines. For its highest selling car Alto it launched
a CNG kit. The company applies next-generation KB series engine in its new hatchback car A-
star. The company developed the LPG/CNG/Hybrid system for the MPI engine to use as the
alternate fuel technology.

EFFECT OF COVID -19 ON MARUTI SUZUKI:-

• The automaker said that cost of vehicles severely impacted due to various input costs
and it's 'necessary to pass on some of the impacts to customers'.
• This price increase shall vary for different models, the company said in a regulatory
filing.
• The country's largest carmaker Maruti Suzuki India on Monday announced that it will
be increasing prices across its model range from February 2021.
• The automaker said that cost of vehicles severely impacted due to various input costs
and it's "necessary to pass on some of the impacts to customers."
• The company cut production of its mini cars comprising Alto, and S-Presso by 98.32
per cent at 401 units as against 23,874 units in the year-ago month.
Strategies Adopted by Maruti Suzuki to come over from the effect
of covid-19:-
Officials at Maruti Suzuki are assessing the impact of the pandemic on sales, the company’s
senior executive director CV Raman said, adding that the company has started focusing more
on digital marketing and delivery of cars from service centers directly to customers.

Automakers have reported a 15 percent de-growth in FY20. Raman told CNBCTV-18 that the
company has already issued advisories to its employees and suppliers.

“We are reducing physical contact by doing meetings through videoconferencing and reducing
visits of suppliers to Maruti offices”, he said.
According to Society of Indian Automobile Manufacturers (SIAM) data, automobile sales fell
7.6 percent in February and production came down by 9.4 percent. Maruti Suzuki’s sales fell 1
percent in and production came down by 5 percent in the aforesaid month.

While several automobile manufacturers have expressed worry about the impact of the disease
on supply chains from China and South Korea, Raman said Maruti was in a position to manage
supply chains well.

“We do not see any impact on supply chains. Most of our tier-1 suppliers are in India. Our
supply chain teams have been mapping the entire chain and we have been able to get supplies
as per our production requirements,” he said.

Individual companies are also considering moving court to seek an extension. However, Maruti
Suzuki, which began executing its BSVI transition a year back, does not need any intervention
at this stage, according to Raman.

According to sources, the company has nearly 900 BSIV cars in its inventory and is very
confident of selling it in the next few days. However, Raman pointed that a scrappage policy is
the need of the hour, as it would drive demand and also improve air quality.

Introduction of BSVI standards is set to make diesel vehicles significantly more


expensive.Considering the cost implications, the company has stopped production of diesel cars
for the moment but hasn’t ruled out a higher capacity diesel engine in future.

Other car makers are also reviewing the petrol to diesel ratio in their product mix. Maruti, which
has CNG variants in seven models is confident of robust growth in this segment.
Raman said the company is looking to increase its range of CNG cars this year.
All vehicle manufacturers expect growth to remain muted till the festive season, but SUVs are
a bright spot.

While passenger car sales have seen a continuous decline, the utility vehicle space has witnessed
a 5 percent growth in FY20.

The Federation of Automobile Dealers have moved the court seeking a grace period for sell and
registration of BS-IV vehicles after March 31 as dealers are saddled with inventory and
coronavirus has impacted sales. Individual companies are also considering moving court to seek
an extension. He said that for Maruti which began executing its BS-VI transition a year back
does not need any intervention at this stage.
Chapter - 7

Digital marketing in Honda


Honda

About Honda motors Limited

Sector:Automobile Sector

Region:Based in India, product sold in India

Founder:SoichiroHonda ,Takeo Fujisawa,Hamamatsu, Japan (October 1946, incorporated 24


September).
Honda Cars IndiaLtd. (HCIL) is an automobile manufacturer in India owned by Honda
Motor Company.The company was established in 1995 with a commitment to provide
Honda’s latest passenger car models and technologies to the Indian customers. The company
is a subsidiary of Honda Motor Co. Ltd., Japan.

HCIL's first manufacturing plant at Greater Noida began operations in 1997. Set up at an initial
investment of over ₹4.5 billion, the plant is spread over 150 acres (0.61 km2). The initial
capacity of the plant was 30,000 cars per year, which was later increased to 50,000 cars on a
two-shift basis. The capacity was further enhanced to 100,000 units annually in 2008. This
expansion led to an increase in the covered area in the plant from 107,000 square metres
(1,150,000 sq ft) to over 130,000 m2 (1,400,000 sq ft).
In 2015–2016 revenue of 16,870 crore, 360 crore net profit after 6 years losses in Indian
operations. In July 2017, monthly sales touched over 17,000 cars thanks to the launch of WR-
V. The City and WR-V sales figures were over 4,500 units a month.

Honda set up its second plant in India at Tapukara in Alwar district of Rajasthan. spread over
450 acres (1.8 km2) with an investment of ₹3526 crores. It operates under the ISO 9001 standard
for quality management and ISO 14001 for environment management.

Honda's Automobile manufacturing ambitions can be traced back to 1963, with the Honda
T360, a kei car truck built for the Japanese market. This was followed by the two- door
roadster, the Honda S500 also introduced in 1963. In 1965, Honda built a two-door
commercial delivery van, called the Honda L700.

Honda's first four-door sedan was not the Accord, but the air-cooled, four-cylinder, gasoline-
powered Honda 1300 in 1969. The Civic was a hatchback that gained wide popularity
internationally, but it wasn't the first two-door hatchback built. That was the Honda N360,
another Kei car that was adapted for international sale as the N600. The Civic, which appeared
in 1972 and replaced the N600 also had a smaller sibling that replaced the air- cooled N360,
called the Honda Life that was water-cooled.

The Honda Life represented Honda's efforts in competing in the kei car segment, offering sedan,
delivery van and small pick-up platforms on a shared chassis. The Life StepVan had a novel
approach that, while not initially a commercial success, appears to be an influence in vehicles
with the front passengers sitting behind the engine, a large cargo area with a flat roof and a
liftgate installed in back, and utilizing a transversely installed engine with a front- wheel-drive
powertrain.
As Honda entered into automobile manufacturing in the late 1960s, where Japanese
manufacturers such as Toyota and Nissan had been making cars since before WWII, it appears
that Honda instilled a sense of doing things a little differently than its Japanese competitors. Its
mainstay products, like the Accord and Civic (with the exception of its USA- market 1993–97
Passport which was part of a vehicle exchange program with Isuzu (part of the Subaru-Isuzu
joint venture)), have always employed front-wheel-drive powertrain implementation, which is
currently a long-held Honda tradition.

Honda also installed new technologies into their products, first as optional equipment, then later
standard, like anti lock brakes, speed sensitive power steering, and multi-port fuel injection in
the early 1980s. This desire to be the first to try new approaches is evident with the creation of
the first Japanese luxury chain Acura, and was also evident with the all aluminum, mid-engined
sports car, the Honda NSX, which also introduced variable valve timing technology, Honda
calls VTEC.

It is reported that Honda plans to increase hybrid sales in Japan to more than 20% of its total
sales in the fiscal year 2011, from 14.8% in the previous year.

Five of United States Environmental Protection Agency's top ten most fuel-efficient cars from
1984 to 2010 comes from Honda, more than any other automakers. The five models are: 2000–
2006 Honda Insight (53 mpg -US or 4.4 L/100 km or 64 mpg-imp combined), 1986–1987
Honda Civic Coupe HF (46 mpg-US or 5.1 L/100 km or 55 mpg-imp combined), 1994–1995
Honda Civic hatchback VX (43 mpg -US or 5.5 L/100 km or 52 mpg-imp combined), 2006–
Honda Civic Hybrid (42 mpg-US or 5.6 L/100 km or 50 mpg-imp combined), and 2010– Honda
Insight (41 mpg-US or 5.7 L/100 km or 49 mpg-imp combined).The ACEEE has also rated the
Civic GX as the greenest car in America for seven consecutive years.

Honda currently builds vehicles in factories located in Japan, the United States of America,
Canada, China, Pakistan, the United Kingdom, Belgium, Brazil, Indonesia, India, Thailand,
Turkey, Argentina, Mexico, Taiwan, and the Philippines.

SWOT analysis of Honda Motors – Honda SWOT

1) Competence in engine manufacturing - company’s core product- All Honda’s


businesses are built around the engines - its core product. The company’s first engines were
built for motorcycles and power equipment, but were later produced for cars and marine
vehicles. Honda is the world’s largest engine manufacturer, which produced over 27 million
units of engines for Automobile, motorcycle, marine, and power equipment products, in 2015.

The company has lots of experience in manufacturing quality and well-performing engines. Its
engines are praised for their durability, easiness to start, quietness, fuel efficiency and
reliability. According to Reliability Index, [4] Honda’s car engines are some the most reliable in
the industry.Engines are the key to motor products and the company’s competence in
manufacturing engines is a competitive advantage few rivals can match.

2) Diversified product portfolio- Honda offers many products to consumers including


engines, cars, motorcycles, jets, robots, generators, lawnmowers, water pumps, as well as many
other power equipment products. While the cars generate the most revenue for Honda, its
overall product portfolio is fairly diversified, when compared to Volkswagen, Toyota, General
Motors, or Briggs and Stratton (in an engine industry).

3) Largest internal combustion engines manufacturer – Like motorcycles, Honda


motors also has a large presence in combustion engine market which is used for aeroplanes, jet
skills, yachts or any heavy engine usage.
4) Excellent R&D – One of the reasons that Honda has been able to achieve these heights
is because of its focus on R&D and its manpower employed in R&D. Hence Honda is always
coming up with elegant and efficient designs which are a hit in the market.

5) High technology products – As Honda has high technology products, the entry
barriers are high and hence the brand has not beaten in the last several years. When you combine
the complete product portfolio of Honda, you will understand how strong the company is
technologically.
6) Brand equity over the years – Honda has been able to give hit products after hit
products. Its Honda Accord is one of the most loved cars and so is the Honda CRV. In
motorcycles, there are many products with high engineering which place Honda far ahead in its
brand equity then many of its competitors. In 2015, it is the 19th most valuable brand and has
a brand value of 22 billion dollars.

Weaknesses in the SWOT analysis of Honda Motors:-

1) Dependence on North America to generate most of the revenue-Honda depends


on North America region, which mainly includes the U.S. and Canada, to generate 55.6% of
the company’s total revenue. Honda’s reliance on North America grew from 49.3% of the total
sales in 2014 to 55.6% of the total sales in 2016. At the moment, North America is the main
driver behind company’s growth where the motorcycle revenue grew 20% and the automobile
revenue grew by 19%. Nonetheless, the U.S. and Canada are saturated markets and Honda will
find it hard to maintain the same level of growth in these markets. The company is also
becoming more vulnerable to overall negative changes in North America’s markets.

2) Low investments in research and development (R&D) leading to fewer innovative


products- Honda has spent US$5.4 billion for R&D in 2015. This amounted to 4.5% of the
company’s total revenue. Low investments in R&D lead to fewer innovative products and
significantly undermine the company’s abilities to compete in the future. The company should
focus its US$5.4 billion R&D investments to certain areas (like Hyundai does), which would
erase company’s low R&D budget disadvantage and would result in innovative products.
3) High costs and prices – Naturally, with a high investment in R&D and into the latest
technology, the cost of the product goes high and the pricing to end customer is high as well.
This might be a weakness of Honda but it needs to have this weakness, because it cannot reduce
its brand equity by lowering the prices.

4) Needs products for the masses – One common complaint for Honda cars is that the
cars are only for the upper middle class and Honda needs more automobile portfolio for the
lower middle class, which already other automobile manufacturers
like Hyundai and Maruti are targeting.

5) Hero and Honda separation in India – At least in India, Honda motors suffered
badly when Hero and Honda were separated. As a result, Honda has had to replan its presence
in India.

Opportunities in the SWOT analysis of Honda Motors:-

1) Increasing government regulations- Many governments around the world are


committed to reducing the greenhouse gas emissions and are encouraging fuel efficiency
initiatives. Such environmental initiatives may increase production costs for the car
manufacturers and these costs will be either passed to price sensitive consumers or will decrease
the company’s profits. Honda may take advantage of this by introducing more car models
running only Hydrogen fuel cells and bypassing all the government regulations associated with
the greenhouse gas emissions.

2) Improving U.S. economy- Signs of an improving economy and rising consumer


confidence have been reflected in the strongest increase in new vehicle sales for more than a
decade in the U.S. market. 17.5 million new units were sold in 2015, a 5.7% increase over 2014.
Interest rates in the U.S. have been low for several years and are forecast to remain that way for
the foreseeable future. In such economic conditions, Honda has an opportunity to capture higher
market share and increase sales in the U.S. Automobile market.

3) Timing and frequency of new model releases- The market share of the Automobile
companies is significantly impacted by the timing and frequency of new model releases.
Historically, new models have tended to have major upgrades every 4 or 5 years with only
minor modifications in between. However, due to the rising consumer expectations in relation
to in-car technology and the competitive nature of the industry, there is an argument to release
upgraded models more frequently. Honda is well-positioned to be able to do this.

4) Low fuel prices are increasing the demand for pickup trucks and SUVs-
Currently, fuel prices are the lowest in a decade. Such situation has encouraged consumers to
buy big fuel-inefficient vehicles such as SUVs and pickup trucks. Traditionally, Honda’s main
focus was on smaller cars like Honda Civic and sedans such as Honda Accord, but in the current
situation, where fuel prices are low, the company has introduced its next generation pickup
truck Ridgeline and redesigned its CR-V sport utility vehicle to meet the demand for the bigger
vehicles.

Threats in the SWOT analysis of Honda Motors:-


1) Increased competition-Honda is faced with an ever increased competition from the
traditional Automobile companies, the new players and saturation of its main markets. In Asia,
the company’s key motorcycle region, markets are nearly saturated. Honda’s Automobile
business is also experiencing the slowing growth of the Automobile markets and the increased
competition from the new Chinese manufacturers. The company’s international rivals, such as
Toyota, Ford, General Motors, Volkswagen and Hyundai, all have larger budgets and could use
them to aggressively take market share from Honda.

New companies, such as Tesla and even Google, which tries to build self-driving cars are also
threatening the traditional Automobile industry. The competition is further fueled by the fact
that the global Automobile production capacity far exceeds the demand. In 2015, there was an
estimated global excess production capacity of 31 million units.

2) Rising Japanese Yen exchange rates- More than 88% of Honda’s revenue come
from international markets, which means that the company has to convert foreign currencies to
Japanese Yen in order to calculate its revenues and send the profits back to Japan. Currency
rates are volatile and the company’s profits and revenue highly depend on the fluctuating
exchange rates. The company cannot control the currency exchange rates, therefore it is at risk,
if Japanese Yen exchange rates would start to rise. In such case, the company’s profits would
decrease significantly. The company itself identifies this as a key threat that will negatively
affect the company over the next few years.

3) Natural disasters- Honda has manufacturing facilities in Japan, Thailand, China and
Indonesia. These countries, including others, are often subject to natural disasters that disrupt
manufacturing processes and result in lower production volumes and profits.
4) Fuel prices – Although people have more funds now for buying cars, the rising cost
of fuel is troubling everyone and is one of the reasons that many people are still hesitant to buy
cars, because later on the fuel cost paid is more then the car.

5) Rising transportation and other costs – One of the aspects plaguing all automobile
manufacturers is the transportation as well as manufacturing and labour costs. With inflation,
these costs are always on the rise and hence are a point of concern.

Honda Marketing Mix (4Ps) Strategy:-

Marketing Mix of Honda analyses the brand/company which covers 4Ps (Product, Price, Place,
Promotion) and explains the Honda marketing strategy. There are several marketing strategies
like product/service innovation, marketing investment, customer experience etc. which have
helped the brand grow.

Marketing strategy helps companies achieve business goals & objectives, and marketing mix
(4Ps) is the widely used framework to define the strategies. This article elaborates the product,
pricing, advertising & distribution strategies used by Honda.

Honda Product Strategy:


The product strategy and mix in Honda marketing strategy can be explained as follows:

Honda has 4 business segments: automobile, motorcycle, financial services and power. The
marketing mix product strategy for Honda covers all aspects of the business as follows.
Automobile: Honda manufactures passenger cars, mini vehicles and light trucks. Honda’s
Passenger car models are Accord, Accord Hybrid, Accord Plug-in Hybrid, Accord Tourer,
Amaze, Brio, Brio Amaze, Brio Satya, City, Civic, Civic Tourer, CRIDER, CR-Z, Fit/Jazz,
Fit/Jazz Hybrid, Fit Shuttle, Fit Shuttle Hybrid, Freed, Honda Mobilio, Insight, Jade, Spirior,
Stream, Acura ILX, Acura RLX, Acura TL, Acura TSX. Light trucks manufactured by the
company include Crosstour, CR-V, Elysion, Odyssey, Pilot, Ridgeline, Step WGN, VEZEL,
VEZEL Hybrid, Acura MDX, Acura RDX. The company also offers mini vehicles, including
Acty, Life, N-Box, N-Box +, N-ONE, N-WGN, Vamos.

Honda automobiles use gasoline, diesel gasoline-electric hybrid and alternate fuel such as
ethanol, natural gas and fuel cell engines. Honda cars cater to different needs and preferences
of various segments of the markets.

Honda manufactures a wide range of motorcycles from Beat (FC50) which has a 48cc engine
to Gold Wing (GL1800) which is 1832cc engine. The motorcycles use use internal combustion
engines which are developed by Honda itself. Honda also offers all-terrain vehicles (ATVs) and
multi utility vehicles (MUVs). Honda’s Financial services offer a variety of services to
customers in Japan, US, UK, Germany, Brazil and Thailand. Services offered are leasing of
new and pre owned cars and financing for honda products.

Honda Price/Pricing Strategy:


Below is the pricing strategy in Honda marketing strategy:

Honda has cars which target every segment of the market.

Honda has hatchbacks, sedans, luxury sedans and SUVs. Hence, the pricing strategy in the
marketing mix of Honda is based on various parameters like competition, segment, features etc.
These automobiles target customers from low middle income level to high income level.
Dealerships have limited flexibility over pricing. Prices are determined by Honda and dealers
enter into contracts with them. Base prices around the world are similar and fluctuations may
be due to currency, taxes and other similar factors. Honda Motorcycles also have a wide range
and cater to different segments of the market. Honda uses economies of scale to meet growing
demand at affordable prices especially in emerging economies such as India, Brazil and
Thailand. Honda builds huge manufacturing hubs in developing countries and exports the bikes
in developed countries where cost of production is higher. Honda also provides luxury bikes
and sports bikes which are priced at the higher end.

Honda Place & Distribution Strategy:

Following is the distribution strategy of Honda:

Honda has a robust sales network. Prior to 2006 Honda had three sales channels. These were
Honda Verno, Honda Clio and Honda Primo. Honda Verno sold established and products of
sporty nature. Honda Clio sold traditional Honda products and Honda Primo sold Kei car i.e.
small cars. All three were discontinued in 2006 and Honda Cars dealerships were established.
Honda sells genuine company accessories through Honda Access a retail chain. Customers can
also buy used cars directly from Honda through Honda Auto Terrace. To sell kei cars Honda
established Honda Auto Terrace in 2912. Honda Cars has strong sales and distribution networks
in the markets in which it operates. In India the network includes 309 authorised dealership
facilities in 197 cities.

Honda sells automobiles through a network of 740 retail dealers in Japan; 1,310 dealers in the
US; 1,580 dealers in Asia (excluding Japan); and 1,150 dealers in Europe as of 2014. As of
2014 Honda motorbikes had 6,900 outlets in Japan. Honda sells motorbikes using independent
dealers in US and Europe and Asia with 1,040 dealers in US, 14,070 dealers in Asia and 1,400
dealers in Europe.

This shows the strong marketing mix distribution strategy of Honda motors.
Honda’s power products are sold in Japan through approximately 1,110 retail dealers; through
8,000 independent local dealers in the US; ) through 3,500 independent local dealers in Asia
(excluding Japan); and in Europe through a network of approximately 2,850 independent local
dealers.

Honda Promotion & Advertising Strategy:


The promotional and advertising strategy in the Honda marketing strategy is as follows:

Honda used an innovative marketing campaign to change the way customers perceived
motorbikes. The slogan used was "You meet the nicest people on a Honda”, this campaign
showcased that Honda motorcycles were made for the common man. The campaign was
successful and increased Honda’s sales 90,000 motorcycles in 1963 alone. The promotional
strategy in the marketing mix of Honda is to be aggressive. Honda uses TV advertisements to
a large extent. Honda has released ads with different themes to attract customers. The adds
focus on Honda’s innovation and superior engineering such as the cog advertisement released
in 2003. Honda also released an advertisement showcasing the Honda founders dream of
producing high quality cars. Honda has a lot of promotion done through motorsports like
Motorcycle Grand Prix, Superbike racing and others in which the company participates or
supplies engines. Honda portrays that it builds cars which win such tournaments. Honda
sponsors such sporting events, it was the official sponsor of the 2006 FIA Formula 1 telecast
on broadcaster channel "Ten". Honda also sponsors other sports such as hockey and golf. Honda
advertises in print media and participates in road shows to showcase its products.
Hence, this concludes the marketing mix of Honda.

Honda PESTLE Analysis:-

PESTEL also known as PESTLE or PEST Analysis is a strategic tool which has been utilized
by the strategists and marketers to determine and analyze the external or Macro- environmental
factors that could have positive and negative impact on Organization. This article will discuss
the PESTEL or PEST Analysis of external factors (Political, Economical, Social,
Technological, Environmental, and Legal) that have impact on the organization.
Political
Several governments have put forward the proposal to limit the number of automobiles used by
the people as to minimize the amount of toxic gases released in the air. So Honda is bound by
government legislature to cut the amount of cars it produces usually. This will have a negative
impact on the sales of the company. The President of United States obama , has announced that
there will be impositions of new regulations on the use of gas mileage of cars. Honda will have
to deal with this new rules while losing its revenue and making its shareholders unhappy in the
process.

The governments are planning to launch such cars that would consume less or no diesel and
consequently Honda has to invest more in its research and development. For example
government of china is investing a fortune in Hybrid technology. Considering Honda is playing
an active role in its research and is ready producing Hybrid cars, it will help in expanding and
increasing the amount of cars to please the Chinese government.

Economical

Hondacould dominate the economic sector if it treads with clever strategy. The increment in oil
prices globally has put the demand of petroleum cars in jeopardy. Soon its consumption will
reduce putting back some major automobiles in rough business. Honda has an advantage of
Hybrid technology. While Honda will face the loss of revenues in petrol consuming
automobiles, it will definitely shine through its Hybrid technology. To overcome this setback
Honda has launched its eco-friendly cars like 1.4 Honda Jazz and Honda Civic Hybrid.

The use of automobiles in china is increased by1\3 so there is a lot of scope for Honda to expand
its growth. As the country has the biggest population, the increase in urbanization means the
increase in sales and revenues. Japan endured a setback after being destructed by the earthquake
and the tsunami in 2011. Honda has a lot of potential to prosper in the country but there is a
chance that it won’t be able to the demands of the industry as the country suffered a severe blow
by the natural catastrophe.

The exchange rate of any currency to Yen is not stable so ultimately it would affect the price of
Honda’s automobile in an unstable way.

Social
Honda has invested much to keep the social and demographic trend in its favor. It has produced
eco-friendly cars to attract its customers for the customers who prefer the local brand to Honda
as such as the people of UK. Honda is expanding its business worldwide and prefers to that in
English which is the international language.

As the demand of the personalized cars is increasing, Honda is developing cars which can easily
be modified according to the demands of the customers. The boost in the desire of city cars has
encouraged Honda to produce small electronic cars such as Honda Jazz and Honda Beat.

Honda has shown a keen interest in designing sports car for racing like Formula1. It has devoted
a whole huge R&D budget to the cause.

Technological

Today’s world relies on GPS (Global Positioning System) while travelling so Honda has to
install Satellite Navigation System in its newest models. To fulfill the need to keep the
environment safe, Honda has developed iv-tech, which is a follow on from their v-tech engines.
This technology offers ample torque, fuel economy and cleaned emanations.

Honda is quiet efficient and eager in advancing its technology in safety measures. Its innovative
technologies benefit its user and increase its sales. The initiative taken by Honda called Efficient
Consumer Response (ECR) provided the necessary budge that is visible in Honda management
of industry chain.

The advanced technology in producing environmental friendly cars has really brought the
growth of Honda industry to future levels. With the increasing rates of petrol keep rising in
Malaysia, Honda has intelligently invested in the best future venture which is combined of fuel
economy and eco-friendly technology.

Environmental

Cars engine tend to behave according to the climate. For example, in hot weather they tend to
heat up quickly and in cold weather they tend to face difficulty while starting. Honda has
efficiently provided a solution this dilemma by producing different types of engines suitable to
that country.

Honda is a proud producer of environmental friendly cars which are a result of its Hybrid
technology. This technology will provide a much cleaner environment to people as compared
to petrol cars which release toxic and harmful gases in the atmosphere. Although hybrid cars
are a useful entity in future but Honda needs to invest more in its R&D to improve their
functionally which is still not as first-rate as petrol cars.

Legal/Law

As similar to political reasons Honda will have to endure the strain from the law to restrict its
production due to constantly increasing global warming. Government’s law and legislature has
a vast impact on the actions of Honda such as asking from payments from suppliers and
changing the agreed upon prices with or without notice.

The governments in different countries demand different taxes affecting the sales of the
company in order to imply correct pricing policies. Honda propose reduction in prices to its
customers on the basis of amount of money spent on groceries.

EFFECT OF COVID -19 ON MARUTI SUZUKI:-

• The automaker said that cost of vehicles severely impacted due to various input costs
and it's 'necessary to pass on some of the impacts to customers'
• This price increase shall vary for different models, the company said in a regulatory
filing
• The country's largest carmaker HONDA India on Saturday announced that it will be
increasing prices across its model range from February 2021.
• The automaker said that cost of vehicles severely impacted due to various input costs
and it's "necessary to pass on some of the impacts to customers."
• The company cut production of its mini cars comprising Honda Fit, Amaze by 98.32
per cent at 401 units as against 23,874 units in the year-ago month.
• The operations at the automaker were hit when lockdowns were imposed earlier this
year and Honda gradually built-up production.

Strategies Adopted by HONDA to come over from the effect of


covid-19
Officials at Honda are assessing the impact of the pandemic on sales, the company’s
Founder Mr. Gaku Nakanishi, President& CEOadding that the company has started
focusing more on digital marketing and delivery of cars from service centers directly to
customers.

“We are reducing physical contact by doing meetings through videoconferencing and
reducing visits of suppliers to Honda offices”, he said.

While several automobile manufacturers have expressed worry about the impact of the
disease on supply chains from Japan and South Korea, Founder said Honda was in a position
to manage supply chains well.

“We do not see any impact on supply chains. Most of our tier-1 suppliers are in India. Our
supply chain teams have been mapping the entire chain and we have been able to get
supplies as per our production requirements,” he said.

Building on the commitment of Honda associates to community volunteerism, Honda has


initiated a COVID-19 Special Matching Gift Program that enables associates to make
monetary donations to food programs in their local communities, matching up to $1,000 for
each individual associate. The matching fund is in addition to our $1.0 million pledge to
address food insecurity.

The Honda Center, a Honda-sponsored entertainment venue in Southern California, has


been used as a social-distant distribution center by the Second Harvest Food Bank to
distribute food to those in need in Orange County.

According to sources, the company has nearly 900 BSIV cars in its inventory and is very
confident of selling it in the next few days. However, he pointed that a scrappage policy is
the need of the hour, as it would drive demand and also improve air quality.Introduction of
BSVI standards is set to make diesel vehicles significantly more expensive.
Considering the cost implications, the company has stopped production of diesel cars for
the moment but hasn’t ruled out a higher capacity diesel engine in future.

Other car makers are also reviewing the petrol to diesel ratio in their product mix. Honda
which has CNG variants in seven models is confident of robust growth in this segment.
Raman said the company is looking to increase its range of CNG cars this year.

All vehicle manufacturers expect growth to remain muted till the festive season, but SUVs
are a bright spot.
The Honda and Acura brands have offered to help customers who financed their vehicles
through Honda Financial Services or Acura Financial Services with payment extensions
and deferrals, as well as available late fee waivers.

Honda has temporarily suspended production at all of our North American auto and
powersports plants due to the decline in market demand caused by the COVID-19
pandemic. Honda has utilized this time to continue deep cleaning of its production facilities
and common areas to further protect associates upon their return to the plants.

Honda created a call center of Honda HR professionals to help associates navigate their
benefits, income replacement opportunities
Chapter -8

Analysis & Interpretion


Q.1 Which Car Maker Has Maximum Market Share In India?

Number of Samples (40)

S.NO. Options Percentage Person


1 Maruti Suzuki 40% 16
2 Tata Motors 20% 8
3 Honda Motors 30% 12
4 Mahindra 10% 4

Market Share
Maruti Suzuki Honda Tata Motores Mahindra

10%

40%
20%

30%

Interpretation:-

According to the table, chart has shown that most of the respondents has
maximum market share 40%maruti Suzuki while 30% people find Honda
motors and 20% tata motors and 10% Mahindra.
Q2.Advertisement of automobile sector are effective in giving exposure about
the services?

s.no Responses Per% of Respondents


1 Strongly agree 45%
2 Agree 30%
3 Neutral 10%
4 Disagree 15%

No. of respones

15%

10% 45%
strongly agree
agree
neutral
30% disagree

Interpretation:-

According to the table, chart has shown that most of the responses 45% people
choose strongly agree while 30% people choose agree , 15% people choose
disagree and 10% people choose neutral.
Q3. Finding in automobile company ads that you have seen till now?

s.no Options Response


1 Promotion 55%
2 Entertaining 25%
3 Innovative 15%
4 Other 5%

Responses
Promotion Entertaining Other Innovation

15%
5%

55%
25%

Interpretation:-

According to the table, it can be interpreted that 55% people feel those only as
promotion while other 25% people feel entertaining 15% people feel innovative
and 5% people feel other ads.
Q 4Which car do you like the most?

s.no Options Response


1 Baleno 20%
2 Honda city 15%
3 Tata harrier 10%
4 Kia seltos 55%

Response

20%

Baleno
Honda city

15% Tata Harrier


55%
Kia Seltos

10%

Interpretation:-

According to the table, it can be interpreted that 55% people responded that
they like Kia Seltos more than other cars baleno, Honda city, tata harrier.

Q.5 Which car manufacturer is doing its best in Marketing ?

s.no Options Response


1 Maruti Suzuki 20%
2 Honda motors 10%
3 Tata motors 40%
4 Datsun 30%
Response
Maruti Suzuki Honda Tata motors datsun

20%
30%

10%

40%

Interpretation:-

According to the table, chart has shown that most of the respondents 40%
people choose Tata Motors is doing a great job in marketing its products while
30% people feel datsun , 20% people say maruti Suzuki and 10% people choose
Honda motors.

Q.6 Which Company Ad influence you the most to buy its car?

s.no Options Preference


1 Tata motors 45%
2 Maruti Suzuki 15%
3 Kia 30%
4 Honda motors 10%
Perference
Tata Motors Maruti Suzuki Honda Kia

30%

45%

10%

15%

Interpretation:-

According to the table, it can be interpreted that most of the people the ads of
45% Tata Motors influences the people most to buy their cars .

Q.7 Which type of Digital Marketing do you like the most?

s.no Options Responses


1 T.V. Advertising 45%
2 Email Marketing 10%
3 Marketing Mobile 15%
4 Video Advertising 30%
Responses
T.V. Advertising Email Marketing Marketing Mobile Video Advertising

30%

45%

15%

10%

Interpretation:-

According to the table, it can be interpreted that 45% people like T.V.
Advertising the most while other 30% people feel like Video advertising ,15%
marketing mobile and 10% email marketing.

Q.8 The performance of Maruti Suzuki, Honda, Tata motors on automobile


sector?

s.no Options Responses


1 Satisfy 45%
2 Dissatisfy 15%
3 Neutral 40%
Responses
Satisfy Dissatisfy Neutral

40%
45%

15%

Interpretation:-

According to the table, it can be show that 45% people choose satisfied while
40% people feel neutral and 15% people feel dissatisfied.

Q.9 Do you think that companies do the same job as they show in marketing?

S.no Options Responses


1 Satisfy 38%
2 Dissatisfy 17%
3 Neutral 45%
Rsponse
Satisfy Dissatisfy Neutral

38%
45%

17%

Interpretation:-

According to the table, it can be show that 45% people choose neutral they are
neither fully satisfied nor dissatisfied.

FINDING:-

 From all of the findings and analysis of table and charts we came to know that most of
our respondents are exisiting user of these cars.

 Most of the people influence their purchase because of advertisement & brand image.
 When we want to know the overall preference while purchasing new car and the
maximum market share while purchasing a car we came to know that Maruti Suzuki
wins the race against all the other cars in existing satisfaction level as well as future
purchase of cars.

 Majortiy of most of people is preference on company loan by the other mode of buying
a car.

 Honda motors is one of the best manufacturer in build quality in india .


 Maruti Suzuki is one of the best company which provide best after sale services to the
people.

 Out of the sample people is affected by the price when they buy any car for the
automobile sector.

 Out of the sample people are mostly dissatisfied by tata motors car while as compare to
maruti Suzuki and Honda motors.

 Out of the sample people are highly convinced that maruti Suzuki will yield them better
results.

 Consumers find digital advertising and marketing effective as it facilitates easy


comparison among various brands of cars and having quick decision making.
 Digital channel offer contents to customers and experts reviews.
 Customers believe that digital marketing and advertising is responsive and attractive in
nature.
 Customers are able to take informed decision using the digital advertising and
marketing.
 The reviews of other customers are considered mainly during initial purchase decision.
 Customers can participate in online discussion through interactive nature of digital
media.
 Attractive nature of the digital marketing motivates customers to search for information
online.
 Customers don’t find themselves at ease regarding use of digital communication while
buying a car because of the information on the digital channels.
 Overall, consumers have positive attitude towards the digital advertising and marketing
in Indian car market.
CONCLUSION:-

The main conclusion of the present research work is given below: At present 21 domestic and
18 foreign automobile manufacturers are active in the automobile industry of the country in
manufacturing of Automobile vehicles of different segments. Out of 21 domestic automobile
companies of country only 3 were established in the period of liberalization i.e. 1991 onward.
On the contrary out of existing 18 foreign automobile companies 16 were entered in the
automobile sector of India on and after 1994. Most of the foreign automobile companies showed
their interest in the manufacturing of cars and utility vehicles due to vast untapped potential in
non-commercial vehicle segment of the country.

Formulating business strategies in times of economic uncertainty can be a challenging exercise


because of rapid changes in market assumptions, projections, and conditions. Studies have
shown that the repertory of strategic choices that businesses explore, to handle uncertain
economic environments, is not highly varied. This article reviews the strategic responses that
leading Indian auto manufacturers have adopted in order to handle the dip in demand post
COVID-19. Given that the Indian automobile industry has been facing headwinds since 2018,
the COVID-19 pandemic could not have hit the sector at a more inopportune time. This article
aims to review how firms in the sector ride through an economic slump and also sheds light on
strategic decision-making patterns

The adversities the global economy is going through at present, is an indicator forallbusinesses,
including Automobile, to engage in digital marketing strategies, to bounce back sales and
ROI.
Embrace Digital Marketing and watch your brand perform! Un sure about future
strategie.Itisbest to consult expert B2B sales and marketing consulting firms and seek their
professional opinion for best-in-industry solutions to all your marketing needs.

Digital technologies are transforming the Automobile industry and disrupting traditional
business models. New business opportunities related to Industry 4.0 are emerging, so
companies must adapt to the new environment.

The study presents an application of fuzzy-set qualitative comparative analysis to analyze the
future impact of digital transformation on business performance models and the different actors’
satisfaction. A wide range of aspects and actors derived from the digital transformation process
in the Automobile industry are considered.

The study covers connected and autonomous driving, mobility as a service, digital information
sources in car purchasing, big data, etc. The disruptive effect of the gradual introduction of
electric vehicles into the market is also considered, which is boosted by environmental policies
on climate change and directives for the potential use of renewable energy sources to power
electric vehicles.

On the other hand, the study analyses the impacts of digital transformation on the Automobile
industry from the point of view of different actors, ranging from automobile manufacturers,
service providers, public transportation providers, and consumers to governments.

Nowadays, digital technologies in vehicles represent at least 50% of the total value of a vehicle.
The integration of software and hardware has increased not only the functionality of a car but
also its complexity. Key aspects have been identified that contribute to accelerating the process
of digitalization of the Automobile sector, such as driver connectivity, location- based
services, and the type of driver based on their tastes and preferences, a feature that did not exist
20 years ago. Assisted driving covers functions for assisting the driver, which will become
increasinglycommon until the driver becomes a passive element in the transport process, while
autonomous driving entails that vehicles are capable of moving and navigating on their own in
adequate traffic conditions on all types of roads

Maintenance and connected services, which will provide predictive maintenance, are
sophisticated diagnostic systems. For instance, intelligent components and ubiquitous
connectivity will allow certain components to send a signal when they need maintenance or
replacement. Digital transformation in the aftermarket will facilitate both hardware and
software updates, but manufacturers and suppliers should make their systems compatible. The
car data market will also be a key factor, where the commercial promise of more precisely
targeted customer offers, new business models, and increased efficiency from data and analytics
will make these new businesses a veritable gold mine for Automobile players. In addition,
customer experience has been and will continue to be a key differentiator in the Automobile
market, whether during the sales process, the in-car driving experience, or in the after sales
market.
Chapter - 9

Bibliography
Bibliography

REFERENCE:-

 Shinde, Govind P. and DubeyManisha (2011), “Automobile Industry and


Performance of Key Players,” Asian Journal of Technology & Management
Research,1(2), pp. 11-28
 Sharma, Nishi, (2011), “Financial analysis of Indian Automobile Industry,”
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112-116
 Hotwani, Rakhi (2013), “Profitability Analysis of tata motors,” Abhinav national
monthly referred journal & research in commerce & management, 2(12), pp-1-8.
 Sharma, Rashmi, Neerajpande and Singh Avinash (Sep. 2013), “Social media
monitoring : A study of Maruti Suzuki India Ltd.,” Asia pacific journal of marketing &
Management Review, 2(9), pp-53-63
 Daniel, A. Moses Joshuva (2013), “A study of Financial Status of Tata Motors Ltd.,”
Indian Journal of Applied Research, 3(4), pp.-320-322
 Maheshwari, V. (2015), “Financial performance of Hero Honda Motors Limited, New
Delhi,” Indian Journal of Applied Research, 5(5), pp.-19-21
 Aggarwal, Nidhi (2015), “Comparative Financial performance of Maruti Suzuki India
Ltd. and Tata Motors ltd.,” International Journal in management and Social Science,
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 Mathur, Shivam and Aggarwal, Krati (2016), “Financial analysis of automobile
industries: A comparative study of Tata Motors and Maruti Suzuki,” International
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 Kumar, Sumesh and Gurbachankaur Bhatia (2019), “Financial Performance of Indian
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Webliography:-
• https://en.wikipedia.org/wiki/Tata_Motors

• https://en.wikipedia.org/wiki/Maruti_Suzuki

• https://en.wikipedia.org/wiki/Honda

• https://www.mbaskool.com/marketing-mix/products/16728-
honda.html

• https://www.mbaskool.com/pestle-analysis/companies/17980-
honda.html
• https://www.marketing91.com/swot-honda-motors/
https://www.marketo.com/digital-marketing/

• https://en.wikipedia.org/wiki/Digital_marketing
Appendix 2
Questionnaire for Respondents:-

Q1. What is your gender?

Male

Female

Q2. What is your age?

Under 13

13-17

18-34

35-49

50-64

65 and above

Q3. Which Car Maker Has Maximum Market Share In India?

Maruti Suzuki

Tata motors

Honda motors

Mahindra
Q4 Which car do you like the most?

Baleno

Honda city

Tata harrier

Kai seltos

Q5.Which Company Ad influence you the most to buy its car?

Maruti Suzuki

Kia

Tata motors

Honda motors

Q6.Which car manufacturer is doing its best in Marketing ?

Maruti Suzuki
Datsun

Honda motors

Tata motors
Q7.Which type of Digital Marketing do you like the most?

T.V. advertising
Email marketing
Marketing mobile
Video advertising

Q8.Do you think that companies do the same job as they show
in marketing?

Satisfy

Dissatisfy

Neutral

Q9. Advertisement of automobile sector are effective in giving exposure about


the services?

Strongly agree

Agree

Neutral

Disagree

Q10. Finding automobile company ads that you have seen till now?

Promotion

Entertaining
Innovative
Other

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