Two Wheeler Industry in India and Integrated Marketing Communication

Presented By: Group 2

• The concept under which a company carefully integrates and coordinates its many communications channels to deliver a clear, consistent and compelling message about the organization and its products.



The first batch of 350cc Bullet from the Royal Enfield Company of UK were received and assembled at Chennai. the Indian government needed sturdy and reliable motorcycles for its Army and police to patrol the rugged border highways.History • In 1955. 4 .

bikes and scooters cover a major segment. especially the youngsters prefer motorbikes rather than cars. the Indian two-wheeler industry has seen spectacular growth. is the second largest producer of two-wheelers in the world. Capturing a large share in the two-wheeler industry. 5 .Overview • India. • Majority of Indians. The country stands next to China and Japan in terms of production and sales respectively. as they help in easy commutation. In the last few years. Bikes are considered to be the favorite among the youth generation.


and mopeds. Three-fourths of the total exports in the two wheeler automobile industry are made in the motorcycle segment. Overseas market would present huge opportunities for the two-wheeler makers. according to the report. The two-wheeler market in India comprises of 3 types of vehicles. .100. Scooters sales would decelerate and mopeds would also see the same. • In the two-wheeler segment.000 million.5 per cent rise during 2004-2007 over its siblings-scooters and mopeds. the motorcycles would clock 11. scooters. namely motorcycles.5% of the total two wheeler market in India. Exports are made mainly to South East 7 Asian and SAARC nations.Market Size • The two-wheeler market in India is the biggest contributor to the automobile industry with a size of Rs. • The motorcycle market share is about 81.

69 million) Buses 1% (0.Fleet composition of all vehicles Two Wheelers 71% (42 million) Three Wheelers 4% (2.Jeeps & Taxies Goods Vehicles Three wheelers Buses Others (Tractors. Trailors and miscellaneous) 6% (3. Trailors & miscellaneous) Goods Vehicles 5% (2.59 million) Two wheelers Cars.96 million) Others (Tractors.55 million) 8 .37 million) Cars. Jeeps and Taxies 13% (7.

Number of players Bajaj Auto Hero Honda TVS Motors Yamaha Motors Suzuki Motors Honda Motors Royal Enfield Kinetic LML India Mahindra Two Wheelers 9 .

Indian 2-Wheeler Market HONDA Motorcycle 50% - 30% 15% - 13% 28% 82% 4% - 1% 2% - 2% 46% - <1 % - <1% - 9% <1% 8% 10% 10 .

8% Bajaj Auto.7% Hero Honda.8% TVS Motors.Motorcycle Others.4% Honda Motors. 24.8% Yamaha. 3. 17. 5. 39. 8.Market Share .5% 11 .

Top Three Players • HERO HONDA • BAJAJ AUTO • TVS MOTORS 12 .

Hero Honda Motors Ltd is one of the leading companies in the two-wheeler industry. 13 . At present. which is expected to reach 6mn mark with the rural and semi-urban segment being the new class of consumers. it is the market leader in the motorcycle segment with around 40% of the market share. The company has emerged as one of the most successful players. The company has been consistently addressing the growing demand for motorcycles and has a cumulative customer base of over 5 million customers. much ahead of its competitors an account of its superior and reliable product quality complemented with excellent marketing techniques.

1984. the brand name symbolizing the steely ambition of the Munjal brothers. has today become the World's single largest two wheeler Company.55 crores. From a modest manufacturer of bicycle components in the early 1940's to the world's largest bicycle manufacturer today. came into being in the year 1956. Joint Venture between Hero Group and the Honda Motor Company of Japan. Started with the initial investment of Rs.Company Profile "Hero". 14 . Hero Honda Motors Limited came into existence on January 19.

Hero Honda offers the following products CD 100 CD 100 SS Splendor Passion CBZ CD Dawn Karizma Ambition Ambition 135 Splendor + Passion Plus CBZ Star 15 .

in which HHML also contributes to help dealer promote the dealership in the local area. advertising is done at a local level by dealers. All the mediums are used extensively. which is known for its innovative & Aggressive Marketing. Also. The advertising budjet is of Rs.Advertising Strategy HHML is an organization.V & hoardings. It is also the sponsor of the ICC world Cup 2003 and half of the Indian team represents Hero Honda. be it print or mass media like T. 16 .120 crores. HHML also promotes sports in the country.

Stardust Hero Honda Millennium Honors Award. Masters Golf Championship. 21st Cinema Express Award. Masters Golf Championship. 2003 th Cricket World Cup in South Africa. 20th Cinema Express Award. India-England Test Series. 8 2004 ICC Champions Trophy in England. 7th Cricket World Cup in England. 2000 NKP Salve Challenger Trophy. 17 . Second Indian Television Academy Award. 1999 Masters Golf Championship. First Indian Television Academy Award. 2002 India-England Women's Cricket Series.Some of the Events Sponsored During the Years 1993 Hero Cup – Five Nation Cricket Tournament.

Zaheer Khan and Sourav Ganguly. environment and friendliness 18 .Brand Ambassadors Indian Cricket team Players: Virender Sehwag. Yuvraj Singh. Mohammad Kaif. Harbhajan Singh. Superstar Hrithik Roshan is also a Brand Ambassador who helps to promote company’s "We Care" campaign comprising safety riding.

Some of the famous ads… • • • • ‘Fill it .Forget it’ (Splendor).. The bike gathers speed and enters a tunnel to beat the fighter aircraft. . ‘We Care’ campaign. he captures a bike cruising at high speed. the pilot dives in for a closer look. unaware that its owner is amidst them. ‘Hero Honda Dhak Dhak Go’ (Music Video) ‘Jet Set Go’ (Karizma) A fighter plane is on a regular sortie when the pilot notices a moving object. of the motorcycle. Zooming his camera. Informing the control tower. the rider meshes with the staff as they examine the images.. Reaching the air-base... 19 .Shut it .

From 1948 till 1959. it was incorporated as a trading company. It then obtained a production license in 1959 and struck a technical collaboration with Piaggio of Italy in 1960 and continued with the same for the next two decades. 20 .Established in 1945. And then entered in Motorcycle market. it imported scooters and three wheelers from Italy and sold them in India. Its collaboration with Piaggio expired in 1971 and since then the Company's scooters and three wheelers are sold under the "Bajaj" brand name.

Bajaj Auto offers the following products CT 100 Platina Caliber 115 Wind 125 Pulsar 150 KS 21 Avenger Discover Eliminator Kawasaki Ninja .

Brand Ambassador : Cine Star of Asia. Bajaj has a distinct style of promoting its products.Advertising Strategy Bajaj Auto is an aggressive advertiser. developing the firm-positioning platform. 22 . for every product launched there’s a new and fresh advertising strategy. The advertising Budget of Bajaj Auto is more than Rs. Jackie Chan.100 Crore.

. • ‘The Fastest Indian’ – New Pulsar 135 Robber robs the bank and disappear within few minutes on bike before cops arrives.!! • New Bajaj Pulsar DTS-Fi 220. Jackie Chan.Some of the famous ads… • The very first TV Commercial of the Bajaj Discover DTSi (125 cc at that time) in 2004 featured the Cine Star of Asia. the sountrack in the video plays ‘Hamara Bajaj’ in its latest avatar. 23 ..!! • Pulsar mania – bike stunts of different range.

.making her turn in consternation.. ’Definitely Male’ 24 . The logo. "Pulsar“. walk by a line of motorbikes.... .. She pulls it away slowly to reveal.Some of the famous ads contd… Chatting merrily.. three girls One's dupatta skims over the bikes and then gets stuck. ..

was a year to remember for the Indian twowheeler industry.2800 crores. . rolling out on the Indian roads. scooters. Little wonder. the Company manufactures a wide range of motorcycles.5 million happy customers. For it was this year that saw India's first twoseater moped. TVS 50. • The year was 1980. Through an amicable agreement the two companies parted ways in September 25 2001. is one of India's leading two-wheeler manufacturers. With a turnover of over Rs. • With the joint venture with Suzuki Motor Corporation in 1983.• TVS Motor Company Limited. it boasts of more than 9. part of the TVS Group. TVS-Suzuki became the first Indian company to introduce 100 cc Indo-Japanese motorcycles in September 1984. For some it was freedom to move. mopeds and scooterettes.

TVS Motors offers the following products Star City Star Sport Victor GLX Fiero F2/FX Jive Centra Victor GL Apache Flame 26 .

handbills. • Agency created the campaign designs which included print ads. truck floats etc. road show kits.Advertising Strategy • The aggressive marketing strategy along with the changed approach to advertisement campaign boosted the demand for the TVS models. • ‘Musical Nite’ for those who booked / purchased bikes during the period was organized by the agency. banners. 27 .

28 .Advertising Strategy contd… ‘Meet Sachin Tendulkar’ Campaign: Lucky draw winners were invited to meet Sachin. Bikes autographed by Sachin were handed over to the winners and they got a chance to interact with the winners.

Brand Ambassadors Sachin Tendulkar MS Dhoni Recent Ads Racing Bar unleashed (TVS Apache RTR) 29 .

Excise duty cut. Collaboration with global firm. 30 . Market penetration of only 37 percent. Challenges and Plan • • • • • Opportunities Rising rural demand.Future of Two Wheeler Industry Opportunity. Investment in R&D by government.

• Capturing Indian as well as global market. • Taking the products to the global market. 31 . • Upgrading Indian two-wheeler products. • Need for innovation – low cost/ hybrid vehicles.Challenges • Sustaining the growth rate.

• Provide various two-wheeler financing schemes among manufacturers. • Collaborate with global players. • Open R&D centers.Plans • Encourage exports. • Pressurize government to reduce taxes and duties. 32 .

Thank you 33 .

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