hni selling - the rolls royce case
TRANSCRIPT
HNI sellingThe Rolls Royce case
What is HNI
According to World’s Wealth Report 2009 :
HNIs are those who hold at least US$1 million in financial assets with both excluding collectibles, consumables, consumer durables and primary
residences.
Reports say...
• 2008, worldwide 8.6 million HNIs, a declined 14.9% from 2007
• HNI wealth worldwide, US $32.8 trillion, a 19.5% decrease from 2007
• Ultra-HNIs losing 24.6% in population and 23.9% in accumulated wealth
The report revised its 2007 projections that HNI financial wealth would reach US$59.1 trillion by 2012 and revised this downward to a 2013 HNWI wealth valued at $48.5 trillion advancing at an annual rate of 8.1%.
Segments...
Category Name Income Population
Ultra-HNW in excess of US$30 million 10500 Households
Super HNW between US$10 and $30 million 42000 households
HNI between US$1 million and $10 million 320000 households
Super affluent between US$125,000 and $1 million 350000 household
Mass affluent between US$25,000 and $125,000 1.8 mn households
Mass market between US$5,000 and $25,000 39 mn households
Growth in segments
The Past and The Gift
History
Founded by Henry Royce and Charles Stewart Rolls in 1904.
Also manufactured jet engines Rolls Royce and Bentley brands Bought by Vickers in 1980 Sold it to Volkswagen and BMW Bentley went to VW and Rolls Royce to BMW
Rolls Royce and India
The Maharajas from pre-independence days Imported by the Indian rich Re-entered the Indian market in 2005 Costing between 2 to 4 crores
It is a niche segment
“You can’t go by numbers. Probably, we may maintain the same number this year” - Rolls-Royce dealer(Mumbai)
Year Sales
2005 5
2006 7
2007 12
2008 14
Marketing Approach
NO co-branding endeavors Dealers are chosen based on their common
interests with customers Customers are invited to exclusive dinners Buyers receive personalized letter from the
CEO Focus on repeated purchase
Customer loyalty rate
“nearly a third of business comes from repeat customers”
Car gets a 1 crore makeover
Dilip Chabria re-designed a RR Silver Coupe
Thank you