strategic marketing :scorpio
DESCRIPTION
by vikash(iipm)TRANSCRIPT
Group Group membersmembers Kush RupaniKush Rupani
Luve RupaniLuve Rupani Puneet MehtaPuneet Mehta Rajat BhardwajRajat Bhardwaj VikashVikash
Introduction:Mahindra and Introduction:Mahindra and MahindraMahindra
A major automobile company in A major automobile company in indiaindia
Flagship company of Mahindra Flagship company of Mahindra groupgroup
In late 1990s:witnessed fast loss of In late 1990s:witnessed fast loss of market share market share
Strengths & Strengths & weaknessesweaknesses
STRENGTHS-Rugged, Tough , STRENGTHS-Rugged, Tough , Reliable , economical vehicle etcReliable , economical vehicle etc
WEAKNESSES-Uncomfortable , WEAKNESSES-Uncomfortable , Rough , not easy to drive, Rural Rough , not easy to drive, Rural imagery, down market etcimagery, down market etc
Mahindra contextMahindra context
OBJECTIVES:OBJECTIVES: To create a new segment and retain To create a new segment and retain
market dominationmarket domination To differentiate offering-i.e to To differentiate offering-i.e to
provide excellent value proposition provide excellent value proposition to the customerto the customer
To optimize project costTo optimize project cost
Consumer prespective for Consumer prespective for UVUV
Customer preferred big size it Customer preferred big size it stands for statusstands for status
Consumers seek latest technologyConsumers seek latest technology
Thrill and passion of driving a SUV Thrill and passion of driving a SUV at affordable pricesat affordable prices
TO Focus the customerTO Focus the customer
Mapped the market potential of the Mapped the market potential of the various vehicle categoriesvarious vehicle categories
Visited the market and met the Visited the market and met the customerscustomers
Customer requirement was Customer requirement was converted into product specificationsconverted into product specifications
Customer inputs were taken at every Customer inputs were taken at every stagestage
visionvision
A vision to continue the domination A vision to continue the domination of the utility vehicle market in of the utility vehicle market in india;to be a global niche playerindia;to be a global niche player
key achievements of key achievements of processprocess
A unique process called IDAMA unique process called IDAM Best in world tie ups Best in world tie ups Customer focus from thought to Customer focus from thought to
finishfinish A cross functional ,young ,lean teamA cross functional ,young ,lean team Intensive testingIntensive testing All new manufacturing set upAll new manufacturing set up
TOTAL PROJECT COSTTOTAL PROJECT COST
120 MILLION US DOLLARS120 MILLION US DOLLARS This was only 5This was only 5thth that world’s major that world’s major
players have spent on the same players have spent on the same projectproject
74 vehicles were built only for testing74 vehicles were built only for testing The product took 5 years to The product took 5 years to
materialise from a concept to the final materialise from a concept to the final product. product.
"We are extremely proud of the Scorpio and "We are extremely proud of the Scorpio and are sure that it would make both are sure that it would make both customers and car makers think seriously customers and car makers think seriously about the SUV segment. We have about the SUV segment. We have anticipated the potential of the SUV anticipated the potential of the SUV segment and believe that the strong value segment and believe that the strong value proposition the Scorpio offers would make proposition the Scorpio offers would make it a winner."it a winner."
Anand Mahindra, vice chairman and Anand Mahindra, vice chairman and managing director, M&M, in June 2002managing director, M&M, in June 2002
"As a product mix, it is a perfect fit. I "As a product mix, it is a perfect fit. I would rate it seven on a scale of 10."would rate it seven on a scale of 10."
Bijoy Kumar Y, Editor, Business Bijoy Kumar Y, Editor, Business Standard Motoring magazineStandard Motoring magazine
Marketing strategyMarketing strategy
First year launchFirst year launch To capture the 22% of the premium To capture the 22% of the premium
hard top market in 9 monthshard top market in 9 months To sale 12000 scorpio in feb.03To sale 12000 scorpio in feb.03 To make scorpio brand recall score To make scorpio brand recall score
to achieve 50 pointsto achieve 50 points
Within 3 years of launchWithin 3 years of launch
To capture 45 % of the premium hard To capture 45 % of the premium hard toptop
To sell 24000 units in feb.04To sell 24000 units in feb.04
To make mahindra merge as new To make mahindra merge as new urban playerurban player
Strategic branding Strategic branding approachapproach
Scorpio did not take the traditional Scorpio did not take the traditional approachapproach
It needed to be seen like car to appeal It needed to be seen like car to appeal car buyercar buyer
It offered superior It offered superior technology ,dynamicc look,value for technology ,dynamicc look,value for moneymoney
Fuel efficieny,power style,space Fuel efficieny,power style,space luxury,comfort like a carluxury,comfort like a car
Advertising and promotion Advertising and promotion strategystrategy
29 days 29 states29 days 29 states
““Nothing else will do”Nothing else will do”
Scorpion kingScorpion king
Speedster Speedster
Media coverage on IDAM Media coverage on IDAM approach,people behind Scorpio,world approach,people behind Scorpio,world class technology etcclass technology etc
Images were shot in Australia to Images were shot in Australia to provide international feelprovide international feel
CRM plan- Pack on filling up scorpio CRM plan- Pack on filling up scorpio club form, satisfaction surveys, club form, satisfaction surveys, Events, Rewards program etc Events, Rewards program etc
Pricing strategyPricing strategy
Competition with Accent , ikon, Competition with Accent , ikon, corsa, esteem,qualis,saffari,sumo etccorsa, esteem,qualis,saffari,sumo etc
It had to adopt a penetrating pricing It had to adopt a penetrating pricing strategystrategy
So 5-7 lack Rs.So 5-7 lack Rs.
Distribution strategyDistribution strategy
Serve less markets but serve them Serve less markets but serve them wellwell
Phased launchPhased launch
-Mumbai , Banglore , Delhi & -Mumbai , Banglore , Delhi & ChennaiChennai
-within 4 months 20 cities-within 4 months 20 cities
-within a year 50 cities-within a year 50 cities
ResponseResponse
Achieved its target market share & sold Achieved its target market share & sold 9000 in the 19000 in the 1stst 9 months of its launch 9 months of its launch
Advertising positioned Scorpio as a Advertising positioned Scorpio as a powerful vehicle with a sporty lookpowerful vehicle with a sporty look
High recall for scorpio as well as for High recall for scorpio as well as for mahindramahindra
It has edged out most SUVs in the NFO It has edged out most SUVs in the NFO customer satisfaction survey and is customer satisfaction survey and is currently the largest selling SUV in the currently the largest selling SUV in the country country
Scorpio buyer profileScorpio buyer profile
Scorpio managed to pull out Scorpio managed to pull out customers from the C segment of customers from the C segment of vehiclesvehicles
AwardsAwards
Scorpio was awarded various from various Scorpio was awarded various from various bodies such asbodies such as
“ “CAR OF THE YEAR 2003CAR OF THE YEAR 2003””- from Business Standard Motoring, CNBC from Business Standard Motoring, CNBC
AUTOCARAUTOCAR “ “BEST SUV OF THE YEAR” BEST SUV OF THE YEAR”
-BBC World Wheels -BBC World Wheels The Scorpio receive the Best Off roader The Scorpio receive the Best Off roader
vehicle of the year 2009 award vehicle of the year 2009 award
2002:Scorpio 2002:Scorpio STD and DX:STD and DX:
2003:The new 2003:The new scorpioscorpio
2004:Scorpio Slx2004:Scorpio Slx
2005:Scorpio Crde2005:Scorpio Crde
2006:43 new features2006:43 new features
2007:VLX2007:VLX
2007:LX2007:LX
2008:Scorpio automatic2008:Scorpio automatic
2009:The new ICONIC 2009:The new ICONIC ScorpioScorpio
Thank youThank you