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AUTOMOBILE SALES TREND ANALYSIS
IN DECEMBER 2008
A MINI PROJECT REPORT
Submitted by
ANEESH K B (08AD04)
ANOOP GOPINATHAN (08AD06)
GOPAKUMAR (08AD10)
SARATH S PILLAI (08AD34)
AZHAR ZIA K (08AD42)
in partial fulfillment for internal assessment
of
MARKETING MANAGEMENT
AT
POPULAR VEHICLES AND SERVICES, LTD
KOLLAM BRANCH
PSG INSTITUTE OF MANAGEMENT, COIMBATORE
JANUARY 2009
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5.18 TOTAL SCHEME FOR DECEMBER 2008 21
5.19 SALES COMPARISON LAST YEAR VS CURRENT YEAR 22
6 DECEMBER SALES OF MARUTI SUZUKI 22
7 DECEMBER SALES AT POPULAR 23
8 CONCLUSIONS 24
9 REFERENCES 25
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1. INTRODUCTION
Peter Drucker refers to it as the Industry of Industries. It is the
backbone of Petroleum, Steel and manufacturing sectors. It creates
employments for thousands and gives birth to many entrepreneurs.
It satisfies one of the most basic needs of a human being mobility.
It is none other than the Automobile Industry!
It is well known fact that Automobile industry is the cornerstone of
some of the most influential economies in the world like USA and
Japan. Indian Automobile industry is all set to play the same role in
Indian Economy. Indian Automobile today is one of the most
modern, growing and vibrant automobile markets on the global
map. India is second biggest two-wheeler market in the world. The
four-wheeler market in India is also one of the fastest growing and
most promising. No wonder, it has become a centre of attraction for
most of the global automobile players.
2. HISTORICAL PERSPECTIVE
To understand the pulse of Indian Automobile market, one has to
look at its historical developments. Till early 80s, Indian markets
were controlled by the government policies influenced by Fabian
Socialism, central planning and burocratic red-tapism. All production
capacities were licensed. The import duties were astronomically
high to protect the domestic market from global competition.
Foreign investments were not allowed in domestic ventures.
On the other hand, due to population and inefficient public transport
system, the demand of automobile far exceeded the supply. The
waiting periods touched maddening levels of 10-12 years. Buoyed
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by such a magnitude of impending demand, Manufacturers got into
monopolistic frame of mind. Operating on virtually negative working
capital, there was neither any incentive nor business compulsion to
upgrade the technology or to build reliability in the product.Manufacturers focussed on cost cutting and value engineering. The
after sales service also did not get its due importance in the scheme
of things.
Manufacturers attitude had a rub-off on the Dealers mentality as
well. There was no compelling reason to provide world class buying
ambience and after sales service. It was a Sellers Market dominated
by handful manufacturers. The choice of models, features, styling
was very limited. The manufacturers and the dealers who stagnated
in this era found it difficult to survive in the competitive open
markets at a later date. Those who survived had to pay dearly
regain the confidence from the customers.
3. AUTOMOTIVE INDUSTRY TREND
The figures for April-December 2008 over April-December 2007
indicate that domestic sales of automobiles decelerated with a
negative growth rate of (-) 4.82 percent.
The cumulative growth of the Passenger Vehicles segment during
April-December 2008 was 12.79 percent. Passenger Cars grew by
12.75 percent, Multi Purpose Vehicles by 23.60 percent and UtilityVehicles by 8.95 percent in April-December 2008 compared to the
same period last year.
In April- December 2008, the Commercial Vehicles segment grew by
2.98 percent over the same period in 2007. Light Commercial
Vehicles recorded a growth of 13.84 percent; however, Medium &
Heavy Commercial Vehicles witnessed a fall by 4.55 percent.
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Three Wheelers sales fell by 8.54 percent with sales of Goods
Carriers decreasing by 19.34 percent. Passenger Carriers also fell
with a negative growth rate of 0.84 percent during the period.
Two Wheeler sales registered a negative growth of 8.04 percent
during April-December 2008 over April-December 2007. Though
Moped and Scooter segments grew by 18.23 percent and 14.68
percent respectively, Motorcycle and Electric Two Wheeler
segments declined by 12.43 percent and 39.27 percent
respectively.
Automobile Exports saw a growth rate at 18.15 percent during April-
December 2008. Exports of two wheelers segment grew by 27.07
percent, Commercial Vehicles exports grew by 17.88 percent and
Passenger Vehicles exports at 4.89 percent in April-December 2008
over the same period last year. Three Wheelers exports declined by
2.23 percent during this period.
4. MARUTI UDHYOG SALES REPORT AND FORECAST FOR FY
2008 2009
Maruti Suzuki launched its new model A - star on Nov 19, 2008 in
Delhi. It was indicated that the sales for the fiscal ended Mar 2009
will not fall below of last fiscal ended Mar 2008 despite tough times
for sales of cars in last couple of months.
Incidentally, for the first seven month ended Oct 2008, Marutiregistered a sales growth of 3.7% to 446524 units. Maruti's monthly
sales pattern in the last three months has been erratic with decline
in monthly sales volume for August 2008 and October 2008 by 9.2%
and 7.1% respectively. But the sales for the Sep 2008, thanks to
dispatches for Diwali were higher by 5.3%.
For the fiscal ended Mar 08 the company has clocked a sales of
763493 units (13.1% yoy growth), which means that in the five
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month ended Mar 08, its sales volumes were about 333084 units.
So, if Maruti has to close the year with the flat sales volume (and
not more) in FY 2008-09, it will mean that for the balance five
months ending March 2008, the sales volume will be about 316969units, which actually represents a yoy fall of 4.8%.
The global commodity prices have crashed significantly, especially
from October 2008. But the company also indicated that the benefit
of lower input costs will kick in from February 2009. This means that
the tough times for the auto sector in general, and passenger
vehicle segment in particular are here to stay for the rest of the
current fiscal.
5. POPULAR VEHICLES AND SERVICES LTD.
5.1 COMPANY PROFILE
Popular Vehicles & Services Ltd. established in 1983-84 was amongthe first batch of Maruti Udyog dealers appointed in India. A
subsidiary of the Popular Group which traces its history to 1939 and
has interests in automobile spares and education, Popular Vehicles
& Services Ltd. has established an envious position in automobile
retailing. It is the first Maruti Dealership in Kerala, started in 1983-
84 at Thiruvananthapuram, the capital city of Kerala. The Kochi
branch has been functioning since October 1985 and the Thirddealership was started at Kozhikode in 1996. Popular's first Maruti
Dealership outside kerala was inaugurated on March 2003 at
Chennai. The group has grown into a business house with a turnover
over Rs.1000 crores and an Employee strength above 4500.
Maruti Udyog Ltd has adjudged the Kochi-based Popular Vehicles
and Services Ltd, as the No.1 Platinum Plus Maruti dealer in thecountry. The ranking is done based on different parameters
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MONDOVI MOTORS Though it is new in operations in kerala, its
parent company has around 75 years of excellence in automotive
industry. Today, Mandovi boasts of the largest network among all
the Maruti dealers in Karnataka and in Kerala it has 5 Showroomsand Sales Information Centers, 8 Workshops and 3 Showrooms for
Used Car Sale (True Value). It has a team of over 800 dedicated
professionals committed to provide the best possible service to its
customers.
5.5 INNOVATIVE MARKETING STRATEGY
For Maruti Udyog, the largest carmaker in the country, winning the
customers confidence has never been an issue. The company, over
the past few years, has refreshed the product line-up either through
minor model changes or through new product introductions, thus
keeping the customer interest in its products intact.
While such measures have helped boost sales, Popular Vehicles and
Sales have devised a few innovative marketing schemes to drive
volumes. The idea, company officials said, was not just to attract
customers, but also to offer customers in specific segments a
relationship. Moreover, the basic objective was to bring focus to a
particular area.
5.5.1 RURAL FINANCING
Popular has made the entire procedure of financing very simple. A
lot of nationalised banks are now willing to finance vehicles in these
upcountry areas. Secondly, many of the private finance companies
are now focussing on these areas. Companies like Magma, Mahindra
Finance and Cholamandalam are few of these institutions focussing
big on rural areas. We give attractive EMIs and the lowest interest
rate possible. Marutis study on panchayats across the country said
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there are 20 lakh potential customers waiting to be tapped. That is
what the scheme tries to take advantage of.
Our dealerships are wide spread and cover many rural areas underit. The area gets energised and people looks at buying cars because
someone else in the area has bought one. Hence the company aims
to generate large numbers in the coming months from this area.
5.5.2 e-COMMERCE INITIATIVES
This is one of the highest revenue generators amongst Marutis e-
commerce business with revenues in excess of Rs 20 crore.
Bookings are invited through a website Maruti created for the
scheme www.marutinri.com and generates a hit rate of 2500
per day. Over 10,000 registrations on the portal have generated
sales of over 900 units till date. The United States contribute over
70 percent of the total inquiries within the Dil Se scheme, while the
Alto leads the inquiries in terms of cars. There is also a great
demand from countries including UAE, UK, Japan and New Zealand.
Popular has strongly supported Maruti in this initiatives by actively
delivering prompt and efficient services to the customers. Some of
the additional features of this scheme is special discount, priority
and home delivery of the car, pick up and drop facility during car
service for the first two years, and discounts on labour charges and
car accessories.
5.6 POPULAR KNOWING CUSTOMERS NEEDS AND WANTS
Learned Wants Based on the prevailing socio economic trend, the
customers requirements are identified. Special efforts are being
taken to satisfy the varied wants of all the customers. The entire
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customers are divided into different clusters based on their wants.
Periodically various offers are brought up throughout the year to
meet the expectation of all the customers. Timely, we introduce
certain combo packages that includes alloy wheels, keyless entry,seat cover and Pioneer stereo with sub woofers. This package is
mainly sought after by youngsters. Also in the after sales,
customers demanded more of service packages, hence Populars
Unlimited Care Package was introduced.
Social Wants Man is a social being and he cannot remain
unaffected by society. This is taken as a principle and no customer
will purchase their vehicle without considering the sanction and
recognition of the society. His wants are influenced by his status in
the society. Every person will try to improve his status in the society
and at Popular we help this to happen. This is why vast customer
database is maintained by each dealer. The customers who seem
interested are contacted from time to time and a track of their
progress is maintained and updated in frequent intervals. Also it is
believed that maintaining highest customer satisfaction is the key to
success and that meeting the wants of each customer will only help
to increase the sales and services.
Rational needs Certain people are very rational and his decisiojn is
based on logic and justifications while taking the buying decision.
Such customers will have to satisfy himself with the price, quality,
durability, reliability and service and only then decides whether to
purchase or not. When enquiries are generated through walk ins or
in person, the main preference is identified. If the current situation
is not satisfactory for making the purchase, his feed back is taken
and it is noted separately. Whenever there arises any change in the
unsatisfactory parameter, the same customer is contacted once
again. If all the condition is alright, it will be converted into sales.
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Emotional Needs At popular, we take into consideration the
emotional feelings of customers. For certain customers their heart
dominates over their head and mind. Like, making their first car
purchase. The showrooms have provision to take photo shoot out atthe time key is received. Also, an instant vehicle pooja can be
conducted on request. All these utilities help us to build up the
quality of services we offer.
5.7 POPULAR GENUINE ACCESSORIES: THE ADVANTAGE
Popular Genuine Accessories is a new initiative to offer you high
quality accessories at competitive prices. World Class engineering
and design processes is involved in the development of each and
every item. Many of these items are imported from Suzuki, Japan by
Maruti. All the accessories have perfect mechanical and electrical
compatibility with the vehicle and offers you unmatched
performance.
ITEM THE ADVANTAGE
AlloyWheels
Perfect Match with vehicle. Safe and reliable. VirginAluminium from ISO certified sources. 100% X-Ray tested.Endurance tested. Excellent finish. Better cooling. BetterBraking efficiency.
Body Cover High Quality imported Fabric. Water-resistant. 1-YearWarranty. UV Ray protection (UV rays cause paint fading).Very light and easily handled. Matches body profile perfectly.Clamp mechanism. Comes in convenient carry bag.
Carpets Imported materials used. Perfectly fits the contour of vehiclefloor. Attractive designs, matching the interior. Odour free.Fire resistant. Fully Washable. Anti Slip mechanism to preventslipping on floor. Special thread interlocking. Dust absorbing.Reinforced cushioning at drivers area to prevent balding.
Door Visors Perfect fit with vehicle profile. Unique attachment provided forstrong fit. Suzuki (Japan) product. Weatherproof. Offersprotection from sun-rain. Long lasting and unlike other visors,do not become brittle or crack.
Fog Lamps Comes with complete electric wiring, protection relay, switch
and lamps. Electrically compatible with the vehicle electricalsystems, therefore perfectly safe for the vehicle. No need to
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5.8 PRODUCT PRICE
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5.9 CUSTOMER CARE AND SALES PROCESSES
Service organisations are particularly dependent on levels ofcustomer care, as the people element in the marketing mix
reflects. Customer care can play an equally important role, however,
in manufacturing, production and other organisations providing
goods and services. For customer care programmes to be successful
they need to span the entire organisation.
Popular guarantees 100% customer satisfaction and has, over the
years, developed a more conscientious approach to individual
customers. There is Customer care training provided. Though this
may initially be a very lengthy process as the ball starts rolling
through all sectors of the organisation and costs will grow too, as
further investment is required to update and maintain the initiative
in the future. To provide an effective customer care services, every
employee is highly motivated. There are frequent internal news
letters circulated which strengthens the bond throughout the
organisation. Frequent performance appraisal throughout the
organisation is conducted to evaluate the employees and provide
career developmental opportunities to potential employees.
The customer care programme at Popular has mainly six main
stages, as follows:
Objectives setting:For every month, target sales will be fixed by the
Sales Manager at the showroom.
Current situation analysis: Present industrial trend is observed
closely and various promotional offers are introduced to boost sales
if there is a chance for a slump in sales. Also, a customer service
audit is conducted both internally and externally. Monthly, a sales
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target is fixed by the Sales Manager. All the strategic areas like
schools, hospitals, government offices etc are located within a
particular area and the contact details of all the employees is
obtained.
Strategy development: Develop a strategy for raising levels of both
customer service and sales from the current to the desired standard
based upon any change in trends and the economic conditions
prevailing. Each region is divided into 4 zones. Each zonal level will
be under the charge of a supervisor under whom there are four
sales executives. It is the duty of these sales executives to
generate on field enquiries and to follow up the customers based
on the appointment fixed.
Functional planning:Define training needs and other requirements
such problem-solving sessions or teambuilding exercise to execute
the strategy. Daily, a meeting of all the staffs at their respective
branch is convened. Here they discuss their daily programmes and
targets to meet plus they also discuss about their previous days
work among the team. They consider the response of all the
individual customers met.
Implementation: Implement training and other initiatives through
workshops, seminars. The prospective customers are segregated
and the issues raised by certain customers will also be addressed.
Some customers may not be satisfied with the present offers and
price. In such cases efforts will be put up to make maximum
adjustments and convert it to sales.
Monitoring: Results are tested through customer and employee
surveys and evaluation of the training methods is also conducted.
The programme is improved and updated on a continuous basis.
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5.10 SALES PROMOTION
The competitive nature of the automobile industry has prompted
the companies to take up new and innovative marketing strategiesto thwart the competition. All the companies as a part of their
marketing strategy offers a range of vehicles in all the segment to
make sure that the customer is driving one of their vehicles only.
Advertisement : Advertisements on the Audio visual medium
are a rage as it gives the car makers an opportunity to flaunt
their cars. Flashy cars can be demonstrated on television but
when it comes to the finer prints of the cars, print and online
media comes to the rescue. The online medium offers a
greater flexibility to the car companies since they come with a
lot of interactive features like demonstrating the interiors of
the car with its salient features. The print medium on the
other hand provides an opportunity to the car makers to
explain the function of a car in detail.
Check up camps : The company organises check up camps
occasionally where the health of the vehicle is tested by
company trained technical professionals. The present health
status is reported to the owner. Moreover, vehicles that has
done check ups will be given nearly 10% discount for their
service and spares. Also at the camps, the resale value of the
vehicle is calculated and interested parties are given fast loan
to exchange their vehicle for a new one. There is also an
option to get a used car through the Maruti True Value as an
exchange.
Displays : Popular organises various displays at all major fairs,
functions etc. This is to make people aware more about the
company, its product and the various schemes and offers that
are available. This is an opportunity to establish the company
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identity among the masses, build their trust and attract more
customers.
Mouth to mouth : All the employees of popular are
enthusiastic to meet the customer satisfaction. Hence, in thecourse of time, Popular was able to build trust in the heart and
mind of the people. Moreover, it is believed that ensuring the
customer with quality products and services is the better than
all other means. Infact, most of the sales that occurs is
through reference of our customers which makes mouth to
mouth communication an important element in promoting the
sales.
5.11 SALES ACCOLADE
Overall Excellence Award Recipient since inception
HR Practices Award Winner since inception
Best Innovative Marketing Initiatives
No.1 in All India Technical Skill Competition.
Highest Man Power Retention in Service
Best Showroom (Kottayam)
5.12 SERVICE AND AFTER SALES
For any dealer the service is of strategic importance and the value
of service offered is both as a profit centre and as a marketing tool.
As this awareness has become established, there has been a
considerable increase in the resources being made available to
maximise its value to the overall profitability, directly and indirectly,
of the company. After-sales service plays a crucial role in ensuring
the long-term credibility of company and brand image. Popular
always lives up to its image as the leader on quality and customer
satisfaction to the fullest. In substance, the quality, image and
responsiveness of the service has significantly influenced the
decision to buy and thus gain market share. issues of service are
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significantly more important than the product price and product
features in the final purchase decision.
5.13 SERVICE PROMOTION
Various service promotions are offered at the Popular Service
Centres in addition to the Maruti Extended Warranty. The main
among them are the Popular Unlimited Care Packages in which
customers are given the best service for their vehicle.
5.13.1 POPULAR UNLIMITED CARE PACKAGE
The entitre package is divided into two categories. Customers
buying a Maruti from Popular can opt for Popular UCP Category A.
Customers buying it from elsewhere or having a used Maruti can opt
for category B only.
5.13.2 SERVICE FEATURES
The only CRM Package of its kind in India
Unlimited After Sales Care for Unlimited Years
Free Registration
Total Peace of mind
Recognised by Maruti Udyog as the most innovative service
package in India
5.13.3 POPULAR UCP BENEFITS : CATEGORY A
Free repair/maintenance/service for first year
Free paid periodic service in first year
Free 1st specified engine oil change in first year
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Free replacement of all spares even those not covered under
warranty; except tyres, tubes, petrol, engine oil
Free exclusive accident repairs benefit with comprehensive
insurance policy from specified insurer with nil depreciationand nil policy excess in first year.
Popular Birthday Special on completion of first year free
engine tuning, wheel balancing, topping of engine oil, gear oil,
brake fluid, coolant
Free 3 year Critical Component Care (CCC)
2 free Reassurance check (RACs) between paid periodic
services.
24 hours breakdown Assistance from Popular Service Centre
Help Hotline: Call 630 (AirTel) or 767 (Vodafone) on your
respective mobile and get connected to nearest service centre
Normal accident repairs facility
5.13.4 POPULAR UCP BENEFITS: CATEGORY B
Free 3 year Critical Component Care (CCC)
2 free Reassurance check (RACs) between paid periodic
services.
24 hours breakdown Assistance from Popular Service Centre
Help Hotline: Call 630 (AirTel) or 767 (Vodafone) on your
respective mobile and get connected to nearest service centre
Normal accident repairs facility
5.14 SERVICE ACCOLADE
Only Dealer to Represent MSIL in the World Technical Skill
Competition
Only Dealer to represent & Win in the Asian Skill Competition.
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All 5 Silver Master Technicians in Kerala are from Popular
( Total 15 in the Country)
123 Bronze Masters out of 1051 in the Country.
12 out of 14 times winner/runner up in All India Technical SkillCompetition.
5.15 TARGET CUSTOMERS
At Popular, the ultimate aim is to have a relationship with all the
family. For this the entire team at Popular is striving very hard, right
from the base. What is unique is the various schemes that attracts
customers from every walks of life. The major customers are
Government employees, Corporate officers, Panchayath officers, Air
India officers, Insurance company officers, Banking finance officers,
Retail company officers, Telecom company officers and NRIs. The
corporate companies are further divided into three sub categories
i.e Platinum, Gold and Silver. There are different scheme for each
category of customers. To avail any offer under these schemes, the
customers are to present their Identity Card.
5.16 SHIFT IN TARGET CUSTOMERS
With global economic slowdown and in turn lay offs witnessed,
largely in the Indian IT industry - a large employee market in the
urban centres, it could play spoilsport. However the auto players are
expanding their horizon. They have increased their focus on the
rural areas and now are targeting the government employees owing
to the salary hike received from Central Government and State
Governments.
5.17 RURAL MARKET SEGMENTATION
Sl
No.
SEGMENTS CLAIMING DOCUMENTS REQUIRED
1 Doctors in Rural ID card issued by DPA
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Hospitals2 Rural Teachers Appointment letter, ID card, original
salary slip and letter from panchayathpresident
3 Tractor Owners Clear copy of tractor RC in the name
of the buyer4 Farmers Copy of land agreement duly signed
from Gram Panchayath/Kissan Passbook/Agriculture Loan letter
5 Traders in Rural Areas Copy of current financial year tradelicence issued from gram panchayathand duly attested by a panchayathmember
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5.18 TOTAL SCHEME FOR DECEMBER 2008
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MODEL CONSUMEROFFER
EXCHANGEOFFER
WHEELSOF
INDIA
CORPORATE SALES PANCHAYATH
AIRINDIASCHEME
INSURANCEOFFER
BANKINGOFFER
RETAILOFFER
TELECOMOFFERPLATINUM GOLD SILVER
M 800STD
7500 5000 5000 3500 3000 2500 3000 3000 5000 5000 5000 5000
M800
AC,DUO
7500 5000 5000 3500 3000 2500 3000 3000 5000 5000 5000 5000
OMNI5&8STR
7000 10000 3000 3000 2500 2000 3000 3000 NIL NIL NIL NIL
OMNILPG,
CARGO
7000 10000 3000 3000 2500 2000 3000 3000 NIL NIL NIL NIL
ALTOSTD
15000 10000 3000 3000 2500 2000 3000 3000 5000 5000 5000 5000
ALTOLX/LXI
15000 10000 3000 3000 2500 2000 3000 4000 5000 5000 5000 5000
WAGON R (P)
35000 15000 3000 3500 3000 2500 3000 4000 5000 5000 5000 5000
WAGON RDUO
25000 15000 3000 3500 3000 2500 3000 4000 5000 5000 5000 5000
ZEN 30000 15000 4000 3000 3000 2500 3000 4000 5000 5000 5000 5000
SWIFT(P)
NIL 10000 3000 3000 2500 2000 NIL 2500 5000 5000 5000 5000
VERSA 30000 NIL NIL 5000 5000 5000 NIL 10000 NIL NIL NIL NIL
SX4 NIL 20000 10000 15000 12000
10000 5000 10000 17000 17000 17000 17000
GRANDVITARA
NIL NIL 10000 20000 20000
20000 NIL NIL NIL NIL NIL NIL
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5.19. SALES COMPARISON LAST YEAR VS CURRENT YEAR
SECTOR JUNE JULY AUGUST SEPTEMBER OCTOBER NOVEMBER DECEMBER TOTAL ShortFall
Growth%
2007
2008
2007
2008
2007
2008
2007 2008 2007
2008
2007 2008 2007 2008 2007
2008
KOLLAM 19 25 49 45 24 38 32 42 74 55 38 28 28 37 264 270 6
KOTTARAKARA 25 28 49 49 38 73 38 77 65 49 53 30 45 38 313 344 31
KARUNAPALLY 14 25 19 40 26 26 17 29 43 56 23 16 21 19 163 211 48
QUILON TOTAL 58 78 117 137 88 137 87 148 182 160 114 71 94 94 740 825 85 11.48
DEALERSHIPTOTAL
183 273 289 338 267 342 263 417 553 471 247 222 215 259 2017
2342
325 16.11
6. DECEMBER SALES OF MARUTI SUZUKI
Car market leader Maruti Suzuki India Limited sold 56,293 vehicles in December 2008. This includes 4,264 units of
exports. The company had sold a total of 62,515 vehicles in December 2007.
During the month, Maruti Suzuki's sales volume in the domestic A3 segment went up by 98 per cent.
The sales figures for December 2008 are given below:
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7. DECEMBER SALES AT POPULAR
The parent company, Maruti Suzuki, has registered an overall sales loss in the month of December, 2008. The
sales in December at Popular Automobiles, Kollam is quite healthy as we see. This can be because of the various
promotional activities that have been offered to the customers because of the year end. There is also a change
Segment ModelsIn December Till December
2008 2007 % Change 2008-09 2007-08 % Change
A1 M800 2907 7190 -59.6 37307 51985 -28.2
C Omni, Versa 5350 8034 -33.4 56527 65559 -13.8
A2Alto, Wagon-R, Zen, Swift, A-star
36831 39575 -6.9 358751 367395 -2.4
A3 SX4, Dzire, Esteem* 6524 3291 98.2 52700 36902 42.8
Total Passenger Cars 51612 58090 -11.2 505285 521841 -3.2
MUV Grand Vitara *, Gypsy 417 311 34.1 5374 2792 92.5
Domestic 52029 58401 -10.9 510659 524633 -2.7
Export 4264 4114 3.6 44870 37990 18.1
Total Sales 56293 62515 -10.0 555529 562623 -1.3
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noticed in the customers perception. People now seem to give more
importance to the promotional offers to the resale benefit got while
registering their vehicle in the upcoming year. Also there is much
demand for the new A2 segment vehicle A Star which has furtherstrengthened the sales in December. Another interesting change in
the customer behaviour is that the number of sales made through
On Cash payment has increased by almost 40%. This might be due
to the on going financial crisis and banks have tightened their
lending procedures. Also in the month of December, the excise duty
has been further reduced by 4% by the government. This itself has
attracted many buyers.
Thanks to RBI measures to cut CRR by 350 basis points and repo
rate by 150 basis points, effected across October 2008 and earnly
November 2008, and as per Finance Minister's guidance, most of the
public sector banks have cut interest on advances, including auto
loans. But there is apprehension that the NPAs in general and in
retail loans in particular will go up, and hence the banks are
tightening their lending norms. It must be because of this we see a
new trend in which the number of ready cash purchases is
increasing constantly. Interestingly, it is also seen that most of the
sales have been made after exchange of old vehicles through Maruti
True Value
8 CONCLUSION
The report has highlighted the importance of providing the highest
customer satisfaction and how it affects the sales. Though in the
month of December, the sales were down, by developing
competitive strategies and by delivering high class products and
services, Popular Vehicles and Services were able to keep their sales
momentum. The report emphasises the importance of customer
loyalty to develop the business.
30
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31/31
9. REFERENCES
Marketing Management Text and Cases : Tapan K Panda SecondEdition
Popular Vehicles and services Catalogues and Pamphlets
http://www.automobileindia.com/automobile-industry/automobile-marketing.html
http://www.automobileindia.com/automobile-industry/auto-service.html
http://www.indiacar.net/news/n61017.htm
http://www.managementparadise.com/forums/marketing-management/38216-maruti-sx4-market-penetration-2.html
http://www.indiacar.net/news/n98620.htm
http://www.acdelco.com/service/maintenance.jsp
http://www.popularv.com
http://www.mandovimotors.in/about-us.asp
http://www.autocar.com
http://www.automobileindia.com/automobile-industry/automobile-marketing.htmlhttp://www.automobileindia.com/automobile-industry/automobile-marketing.htmlhttp://www.automobileindia.com/automobile-industry/auto-service.htmlhttp://www.automobileindia.com/automobile-industry/auto-service.htmlhttp://www.indiacar.net/news/n61017.htmhttp://www.managementparadise.com/forums/marketing-management/38216-maruti-sx4-market-penetration-2.htmlhttp://www.managementparadise.com/forums/marketing-management/38216-maruti-sx4-market-penetration-2.htmlhttp://www.indiacar.net/news/n98620.htmhttp://www.acdelco.com/service/maintenance.jsphttp://www.popularv.com/http://www.mandovimotors.in/about-us.asphttp://www.autocar.com/http://www.automobileindia.com/automobile-industry/automobile-marketing.htmlhttp://www.automobileindia.com/automobile-industry/automobile-marketing.htmlhttp://www.automobileindia.com/automobile-industry/auto-service.htmlhttp://www.automobileindia.com/automobile-industry/auto-service.htmlhttp://www.indiacar.net/news/n61017.htmhttp://www.managementparadise.com/forums/marketing-management/38216-maruti-sx4-market-penetration-2.htmlhttp://www.managementparadise.com/forums/marketing-management/38216-maruti-sx4-market-penetration-2.htmlhttp://www.indiacar.net/news/n98620.htmhttp://www.acdelco.com/service/maintenance.jsphttp://www.popularv.com/http://www.mandovimotors.in/about-us.asphttp://www.autocar.com/