Understanding Marketing Style of Maruti-Suzuki for Low Budget Cars in India

by Rajesh Kumar*,

- Published in Journal of Advances and Scholarly Researches in Allied Education, E-ISSN: 2230-7540

Volume 13, Issue No. 1, Apr 2017, Pages 1291 - 1296 (6)

Published by: Ignited Minds Journals


ABSTRACT

In the present serious time the word 'Strategy' is essential for all business associations. By and by associations began understanding that client driven and forceful marketing systems assumes crucial part to become effective pioneer. Despite the fact that globalization has opened the entryways of chances for all, the market is as yet swarmed for certain obscure dangers and parcel of rivalry. In light of this opposition, a marketing strategy should target being remarkable, differential-making and preferred position making. To get interesting and differential bit of leeway, an association must be inventive in its marketing strategy. Today because of imaginative marketing techniques Maruti Suzuki has gotten the main and biggest vender of autos in India. Organization has embraced different Brand positioning, Advertising, Distribution procedures to catch the market. Maruti's couple of extraordinary promotional procedures incorporate Teacher Plus Scheme, 2599 plan, Change your life crusade. The goal of this paper is to zero in on different marketing procedures of Maruti Suzuki India Ltd.

KEYWORD

marketing style, Maruti-Suzuki, low budget cars, India, strategy, customer-driven, aggressive, unique, differential advantage, innovative marketing techniques

INTRODUCTION

The car producing industry in India traces all the way back to 1948. Around then there were only three organizations fabricating traveler vehicles for example Chief Automobiles in Mumbai, Hindustan Motors (HM) in Kolkata and Standard Motors Products India in Chennai. In early years the Indian auto Industry confronted a few difficulties and barricades to development in light of the fact that in those days vehicle fabricating was dependent upon prohibitive duty structure, exacting permitting and restricted roads for extension. Because of absence of rivalry at first the costs of vehicles were amazingly high. Also, the clients needed to hang tight for a significant stretch of time for vehicle. Before Independence India was considered as a business opportunity for imported vehicles. During the 1950s the appearance of Tata Motors, Mahindra and Mahindra and Bajaj Auto prompted consistently expanding vehicle creation in India. In 1953 the public authority of India and the private area dispatched endeavors to make an auto part producing industry to supply to the car business. Before the finish of 1970s, huge changes in the auto business were seen. After 1970 the auto business began to develop, yet that development was principally determined by bikes, farm haulers and business vehicles. In 1983, the public authority of India made a tie-up with Suzuki Motor Corporation of Japan to produce ease vehicles in India. The Maruti 800 which is as yet known revealed the manufacturing plant of Maruti Udyog Limited in December 1983 and changed India's car industry as well as the manner in which individuals drove and voyaged. In 1990s through advancement activities India cleared a path for all the nations and in 1993, the public authority followed up its progression measures with significant decreases in the import obligation on vehicle segments. Today the Indian vehicle market has a blend of enormous homegrown auto players like Tata Motors, Mahindra and Mahindra, Bajaj, Hero Motocorp, Ashok Leyland and significant global goliaths including Suzuki, Honda, BMW, Audi, DaimlerChrysler, Volvo, Hyundai, Toyota, Nissan, General Motors and Ford and so forth

REVIEW OF LITERATURE

Sumit Jain and Dr. R. K. Garg, in their examination paper portrayed about current situation of vehicle industry and difficulties looking by Industry. They pointed that, the organizations need to abbreviate item lifecycles to respond to the assumptions for individualize and quick changing buyer requests with creative items, and the joining of key accomplices with greater duty into the worth chain ought to be heightened. Exim bank's infrequent paper featured that the worldwide monetary emergency of the year 2008 has made a tricky condition across different areas, which has constrained nations and businesses to investigate their future methodologies. The paper

level is on the lower side when contrasted with world normal and in the worldwide market, where India could position itself as an assembling center point Rajkumar Gautam and Sahil Raj, in their examination paper portrayed the situation of vehicle area of the world and India. In their paper they have examined that the globalization cycle has influenced the area taking all things together the territories of assembling, deals, individual examination and improvement and financing. They likewise inferred that, to address the difficulties presented by globalization the Indian car producers need to guarantee the innovative progression, suitable marketing techniques and satisfactory client care criticism framework in their associations P Krishnaveni in her article centers around the current subtleties and some likely arrangements of Maruti Suzuki India Ltd. The article additionally featured the different advancement of organization like presentation of Electronic force Steering (EPS), presentation of unrivaled nature of 16*4 hypertech motors.

OBJECTIVES OF THE STUDY

1. To Review the advancement of Indian Automobile Sector. 2. To comprehend the Marketing Strategies of Maruti Suzuki India Limited.

PROFILE OF MARUTI SUZUKI INDIA LIMITED

Maruti Suzuki India Limited (earlier known as Maruti Udyog Ltd) is an auxiliary of Suzuki Motor Corporation, Japan and has been the head of the Indian vehicle market for more than twenty years. Maruti Suzuki altered the business and put a country on wheels. Since origin Maruti is credited with having catalyzed and driven the modernization of the Indian traveler vehicle industry. Over its 26 years of excursion, Maruti Suzuki changed itself from an effective Public Sector Company (PSU) to a lively and recorded Multi National Company (MNC), supported its administrative role and stayed beneficial notwithstanding extreme rivalry. In October 2, 1982 the organization marked the permit and joined endeavor concurrence with Suzuki Motor Corporation, Japan. It was the first organization in Quite a while to mass produce and sell in excess of 1,000,000 vehicles. In the year 1983 the organization began their creations and dispatched Maruti 800. In the year 1987 the organization forayed into the unfamiliar market by trading first parcel of 500 vehicles to Hungary. In the year 2005 organization dispatched world vital vehicle model prominently known as Maruti Suzuki Swift which hit the Indian • Openness and learning • Innovation and Creativity • Fast, Flexible and First mover • Customer Obsession • Networking and Partnership Presently Maruti Suzuki India Ltd offers 14 brands which incorporate Maruti 800, Omni, Eeco, Zen Estilo, Alto, Alto-K10, A-Star, Wagon-R, Swift, Ritz, Swift Dzire, Sx4, Gypsy, and Grand Vitara. Maruti Suzuki has a piece of the overall industry of 44.9% of the Indian traveler vehicle market as of March 2011. Today Maruti Suzuki has fabricated a solid deals organization of 600 outlets spread more than 393 towns and urban areas. The upkeep uphold is offered to the clients through 2628 workshops spread more than 1200 towns and urban areas. Presently Maruti Suzuki India Ltd offers 14 brands which incorporate Maruti 800, Omni, Eeco, Zen Estilo, Alto, Alto-K10, A-Star, Wagon-R, Swift, Ritz, Swift Dzire, Sx4, Gypsy, and Grand Vitara. Maruti Suzuki has a piece of the overall industry of 44.9% of the Indian traveler vehicle market as of March 2011. Today Maruti Suzuki has assembled a solid deals organization of 600 outlets spread more than 393 towns and urban communities. The upkeep uphold is offered to the clients through 2628 workshops spread more than 1200 towns and urban communities.

PERFORMANCE OF MARUTI SUZUKI INDIA LIMITED

A. The Sales pattern of Maruti Suzuki from year 97 to 2008 is shown in Figure 1.1.

Fig 1, Source: CMIE Prowess Database (97-2007) (Rs.in Crore)

which is 21.55 % more than March 2007. B. The Industrial Sales pattern of Maruti Suzuki from year 97 to 2008 is outlined in Figure 1.2.

Fig 2, Source: CMIE Prowess Database (97-2007) (Rs.in Crore)

As seen in the above graph it is uncovered that the Industrial deals developed for the time frame Mar 04 to Mar 08. The Industrial deals of Maruti Suzuki in the year March 2008 was 20070.9 Crore which is 23.26 % more noteworthy than earlier year.

MARKETING STRATEGIES OF MARUTI SUZUKI INDIA LIMITED

In prior days when the market was overwhelmed by just couple of brands like Ambassador and Premier Padmini, Maruti Suzuki India Limited entered the Indian market with various strategy. The strategy of the organization was to offer a minimized, current and eco-friendly vehicle. Maruti delivered its first Maruti 800 vehicle on 14 December 1983 to satisfy the fantasies of Indian clients and turned into the market chief. Since 1983 till date Maruti Suzuki slowly offered a few decisions to the buyer. Because of forceful contenders today Maruti Suzuki has confidence in Innovative Marketing Strategies. With the evolving needs, needs and prerequisites of clients and markets, Maruti Suzuki is modifying their Brand Positioning, Advertising and Distribution strategy.

BRAND POSITIONING STRATEGY OF MARUTI SUZUKI INDIA LIMITED

Brand Positioning is the most crucial idea in a brand's strategy. Brand Positioning is additionally connected with dealing with a brand's importance. Today a few brand of vehicles are positioning themselves on the highlights like Price, Comfort measurements, Safety, Mileage and so on As of now market with various forms of its brands. About brand positioning Mayank Pareek says that, Maruti Suzuki have faith in examination and prior to dispatching an item the Maruti group does a broad exploration on the requirements of the client. Maruti attempt to comprehend the client's demography and brain science to position a brand. Additionally the organization follows the recommendations made by existing clients. 1. Maruti 800 Considering the working class and little families the Maruti 800 was dispatched. The vehicle was additionally focused at the metropolitan experts. It was projected as a vehicle with least support needs and with more prominent eco-friendliness. Later the organization added a few highlights like MPFI (Multi Point Fuel Injection) innovation and few changes in front flame broil, head light, and back light. 2. Omni: Earlier the Omni was known as Van. The van was focused on additional at finance manager, traveler cabs and enormous families. It was positioned as a vehicle offering advantages of a vehicle with more space. Yet, because of some various view of shoppers in regards to van, after some time the van was renamed as Omni and was repositioned as the most extensive vehicle. As of late Maruti Suzuki dispatched new variation called Omni Cargo which has been positioned as a vehicle for shipping load and implied for little brokers. 3. Alto: Maruti dispatched Alto with slogan ‗Let's Go'. In the TVC of Alto, a youthful wedded couple goes to various objections in their Alto. By this TVC Maruti positioned Alto as a vehicle for youngsters. Additionally the vehicle has featured as eco-friendly vehicle. 4. Wagon R: Maruti Suzuki dispatched the Wagon R brand in February 2000. This is one of the effective brand from Maruti portfolio in the top notch fragment of minimal vehicles. Cart R was at first positioned based on the usefulness stage. Prior this vehicle was advanced as a family vehicle with the benchmark, ‗Feel at Home'. At that point according to the changing example of market , rivalry and clients Maruti adjusted the positioning of Wagon R from Feel at Home to ‗Inspired Engineering' to ―As Interesting as you are‖ lastly to ―For a Smarter Race‖.

was focused at the metropolitan youth. ―It is about the new age of Indians who are confident‖. Additionally in the subsequent mission, which was done around July 2009, the organization's center was to advise the shoppers about the AStar's K-Series motor. The current mission of A-Star centers around self conviction and certainty. Considering the way that self conviction and certainty are the credits of adolescents, Maruti has positioned A-Star quite well. In the current advertisement crusade a center has given to a youngster who goes for an Interview and with his certainty and self conviction he dazzles all.

PROMOTIONAL STRATEGY OF MARUTI SUZUKI INDIA LIMITED

Each organization is it a major or little necessities an inventive promotional strategy on the grounds that promotional missions will in general hugely affect the gathering of the item. Maruti Suzuki India Ltd has an impressive line-up of vehicles in its stable and has been very forceful about advancing every one of its car brands. With an aim to look with vicious rivalry and due to declining pieces of the pie, in 2000 Maruti Suzuki cut the costs of not many models like Wagon R, Omni and Maruti 800 on the grounds that Maruti realized very well that the Indian purchaser is extremely delicate about cost and this value cut will gainful for organization. In Jan 2002 to pull in the clients, Maruti concluded that a portion of its corporate resources in Delhi including Maruti's assembling plant and youngsters' park ought to be advanced. With a goal to advance street wellbeing and proficient driving the organization held ‗carnivals' intermittently at IDTR. In 2003, to pull in the clients Maruti Suzuki dispatched alluring effort like ―Change Your Life‖. The organization additionally offered vehicle protection for One rupee as it were. In this mission the clients were approached to record the frame and motor number of their vehicles on the section structure and needed to respond to the inquiry. In this challenge the champs were picked by a draw of parts and were qualified for endowments worth Rs.50 million. In 2004, Maruti presented the ‗2599' offer under which by paying an EMI of Rs. 2599 for a very long time after an up front installment of Rs.40000, a shopper could purchase a Maruti 800. In 2004 Maruti presented the ‗Teacher Plus' plan, in a tie up with SBI. In this plan the bank offered decreased paces of revenue for instructors who were keen on purchasing another vehicle. Provincial India is a quick arising as a center territory in the nation's economy. Maruti realized that there is an incredible potential in country markets and in rustic business sectors, the supports of assessment producers outweighs an educated Sarpanch, specialists and educators in government instititutions, provincial bank officials where in an additional markdown is given to make a sell. As a piece of client connecting with strategy and to draw in the potential clients Maruti coordinated different melas wherein neighborhood flavor is added by getting sorted out customary social exercises like Gramin Mahotsava are led round the year. As a piece of promotional methodology Maruti Suzuki advanced Swift and different brands through supporting different live projects (Dancing shows) like Dance India Dance.

ADVERTISING STRATEGY OF MARUTI SUZUKI INDIA LIMITED

Publicizing is one part of brand building. At whatever point Maruti dispatched any brand, it upheld that brand with an advertisement crusade. Maruti's publicizing efforts included TVCs, Radio and Print advertisements, Point of Sale, Mobile promotions, internet marketing, Outdoor promotions. Maruti's publicizing strategy centered both around developing its corporate picture and advancing its vehicles. Maruti's missions stressed various parts of its vehicles, including eco-friendliness, looks, space, and so on In the last part of the 1990s, Maruti's promoting efforts were taken care of by Lowe India (later known as Lowe Lintas and Partners, India) and Rediffusion DY&R. While publicizing identified with Esteem, Zen and Baleno were taken care of by Lowe India and the promotion mission of Maruti 800, Gypsy, Omni and Wagon-R were taken care of by Rediffusion. With an aim to advance the all brands successfully, in 2000 Maruti chose to delegate Capital Advertising. In 2003, Maruti Suzuki thought of an inventive publicizing that got well known for its straightforwardness and clear message. In this promotion one kid plays with his toy vehicle and when the dad asked him, he answers, ‗Kya karoon dad petroleum khatam hey nahi hota'. This advertisement portrayed the eco-friendliness of Maruti Suzuki.

BRAND RELATED ADVERTISMENTS OF MARUTI SUZUKI INDIA LIMITED

Maruti fragmented the clients by planning its brand explicit promotions. The publicizing of Maruti was focused towards the necessities and needs of a specific purchaser section. 1. Wagon R Maruti dispatched Wagon R in 2000 and dispatched a promotion crusade with the slogan, ‗A Car Full of Ideas'. In May 2009, Maruti dispatched an outside mission for Wagon R utilizing announcements, versatile vans, unipoles and so forth The open air advertisements

featured and every promotion showed a milestone structure from every city with various messages. For e.g, in Mumbai it was,' Welcome to the city of film stars and WagonR', in Hyderabad, the message was ‗Welcome to the city of Charminar and WagonR'. 2. Swift In 2005, Maruti concocted a promotion crusade for its new Swift. The advertisement crusade included print promotions, secret TV advertisements and a TVC. In the TVC advertisement a Maruti Swift vehicle being driven by a youthful couple at fast out and about ceaselessly and vehicle halted simply after pursued by a traffic police. 3. A-Star Maruti has consistently been publicized A-Star with the slogan of ‗Stop at Nothing' which shows the demeanor that this vehicle has consistently represented. In this advertisement Farhan Akhtar was the brand envoy during the dispatch and the dispatch TVC likewise imparted components to the Bollywood hit film ‗Rock On' to make it more relatable to the youthful grown-up looking for an articulation for his energy. As per Mayank Pareek, Head of Marketing, Maruti Suzuki India Ltd says that Cyber media is the best Marketing device. The organization has shown their standards on different web destinations. What's more, because of blast of Cineplex's and Malls, marketing has gotten simple.

DISTRIBUTION STRATEGY OF MARUTI SUZUKI INDIA LIMITED

Distribution is a significant marketing blend. In prior days the buyers used to book for a vehicle and sit tight for over a year to really get it. Additionally the idea of Show rooms was non-existent. Far more terrible thing was the condition of the after deals administration. With a goal to change this situation and to offer better support of clients, Maruti stepped up. To acquire upper hand, Maruti Suzuki built up a novel distribution organization. By and by the organization has a business organization of 802 focuses in 555 towns and urban communities, and offers support backing to clients at 2740 workshops in more than 1335 towns and urban communities. The essential target behind setting up the huge distribution network was to arrive at the clients even in far off territories and convey the results of the organization. The organization has shaped the Dealer domains and the idea of rivalry among these vendors has been achieved. Intermittently corporate picture crusades on the whole business are done. In 2003, to expand the opposition the organization while given by organization for deals of exceptional classifications. Maruti Suzuki had allowed a chance to sellers to make more benefits from different roads like trade-in vehicle money and protection administrations. In 2001, Maruti began an activity known as ‗Non Stop Maruti Express Highway'. As a piece of this activity Maruti created 255 client assistance outlets alongside 21 thruway courses by 2001-02. Likewise with a goal to offer quick support in less time Maruti had offered Express Service Facility. In the year 2008, Maruti had close around 2,500 country vendor deals heads, among the complete 15,000 seller deals chiefs.

CONCLUSION

Car market today is dynamic and serious with a scope of players and items. There are numerous explanations behind the great development of the Indian traveler vehicle Industry. A portion of these are simple accessibility of vehicle account, alluring pace of interest and advantageous portions. In the present vicious rivalry it is extremely hard to endure. Firm rivalry has constrained makers to be inventive and receptive to client requests and needs. Maruti Suzuki India Limited is a main organization in Indian Automobile area which possesses unmistakable spot because of its creative key marketing, promotional, Brand positioning, publicizing techniques. In the present situation the achievement of organization lies in organizing and rebuilding the marketing methodologies and nonstop advancement of item and administrations.

REFERENCES

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Corresponding Author Rajesh Kumar*

Assistant Professor, Department of Commerce in Shivaji College