Marketing Management Assignment Help

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MARKETING MANAGEMENT
TERM II ASSIGNMENT
REPORT
ON
SUBMITTED BY:
Ayushi Gupta – Pgfc2015
Ashish K S – Pgfc2011
Shweta Mahalwal – Pgfc2047
Navya Gupta – Pgfc2031
Vasu Sharma – Pgfc2057
UNDER THE GUIDANCE OF:
Prof. Poonam Sharma

TABLE OF CONTENT
 Introduction
 Segmentation
 Targeting
 Positioning
 Comparison
 Strategy
 References
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INTRODUCTION
Maruti Suzuki India Limited is an Indian car manufacturer headquartered in New
Delhi, formerly known as Maruti Udyog Limited. It is a subsidiary of Suzuki
Motor Corporation, a Japanese car manufacturer. It had a 53 percent market share
in the Indian passenger car market as of July 2018.
Maruti Udyog Limited was established on 24 February 1981 by the Government of
India, only to merge in October 1982 with the Japanese automobile company
Suzuki. Maruti's first production factory was established in Gurugram, Haryana.
Maruti Suzuki unveiled NEXA, a new dealership network for its luxury vehicles,
in 2015. The Baleno, S-Cross, XL6, Ciaz and Ignis are currently distributed by
Maruti through NEXA outlets.
Maruti Suzuki as a company in numbers as of 2020
Revenue Decrease 78,994 crore (US$11 billion)₹
Operating income Decrease 7,118 crore (US$1.0 billion)₹
Net income Decrease 5,559 crore (US$780 million)₹
total assets Decrease 63,627 crore (US$8.9 billion)₹
Total equity Increase 49,262 crore (US$6.9 billion)₹
Number of employees 15,945
Maruti Suzuki is the most preferred car company among the Indian middle class
people as the cars mfg. By maruti is the most fuel efficient and cheap to maintain,
as well as it provides good value for money at the time of resale of the vehicles.
There are a variety of vehicles/cars to choose from among the lineup offered by the
company as per the requirements of the consumers: - eg. Alto 800, Wagon r,
Celerio, Swift, Ignis, Baleno, Dzire, S-cross, Ciaz, Brezza, Ertiga, XL-6
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Some of the models are
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SEGMENTATION
DEMOGRAPHIC SEGMENTATION:
Maruti Suzuki has a wide range of models in every segment of the automobile
market. If offers 16 brands and 150 variants across all segments. They focus to the
needs of almost all the segments from the middle class to high class.
FAMILY SIZE Maruti Suzuki offers cars which are more flexible,
comfortable for a nuclear family as well as big families.
INCOME Maruti Suzuki offers affordable cars which can be owned by
lower income groups such as Alto – Let’s go, WagonR, Maruti
800. People with income above 2.5 lakhs can easily purchase
their cars.
FAMILY STATUS Middle class and low class families can easily purchase cars
like Baleno, Swift Dzire, Versa, Ciaz and show their family
status in society.
OCCUPATION People with different occupations, students and professionals
can buy Maruti cars.
GENDER Men or women or young adults can purchase based on their
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income or profession.
AGE Maruti Suzuki cars are for the age group of 21 – 65 years.
GEOGRAPHIC SEGMENTATION:
Geographical segmentation is one amongst the foremost vital basis of
segmentation of the car sector.
Region Maruti have segmented region wise according to the
culture in North, South, East and west.
Country Maruti Suzuki has a motive of acquiring the
automobile market in India that is why they offer so
many products in all price points that people consider
set of every passenger car customer. Half of the sales
of Maruti is from India.
Rural and Urban Maruti majorly focus on rural and urban areas as most
of the population living in rural area prefer cars like
Alto, Maruti 800, Swift Dzire. 60% of population in
India lives in rural area and they have less income
comparatively therefore, Maruti Suzuki cars becomes
affordable for them to purchase. People in Urban area
also prefer buying Maruti’s car because of its stylish
look and comfort. Also pocket friendly cars.
PSYCHOLOGICAL SEGMENTATION:
Lifestyle Maruti segments their target markets as they come up
with different types of cars and their variants. It
produce a vehicle of three segments and mostly the
middle most segment of the car is usually sold. The
classic example of ‘Men are back” tagline used by
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Maruti.
Social status Maruti Suzuki provides the best product at a given
price point. It mainly focuses on middle class families
and this is one of the reasons that make it the best-
selling car.
Activities Maruti Suzuki provides cars in sporty look to attract its
customers like Swift this car is positioned as the car
with style, modern looks and young attitude. Ciaz is
also a car with modern looks & comfort. Maruti is also
involved in lot of CSR activities ensured that their
consumer base increased with time.
Personality The cars which Maruti provides gives an edge to every
individual’s personality. Like Sx4 is specially designed
for Men as it is positioned as powerful car for men’s.
Maruti also launched its new car Vitara Breeza a mild
hybrid tech car which attracts young generation more.
BEHAVIORIAL SEGMENTATION
Occasions Maruti provides exclusive offers on festival season like
Dusherra, Diwali, Holi, Dhanteras & New Year as
people on festive season tend to purchase more cars and
also company gives discounts and provides financing
loans on discounted rates
Benefits Maruti provides the quality advantage, technological
advantage, low cost of maintenance advantage & also
lowest cost of ownership. The service center are
available across 1036 cities.
Attitude Over the past 30 years Maruti Suzuki have been
consistent in the automobile sector and have been
providing the best cars at low prices. Therefore, the
attitude of customers towards Maruti Suzuki has
changed in past years and it has acquire 50% of the
market share in domestic market.
Brand Loyalty Maruti Suzuki continues to hold the high market share
in their segment due to their brand loyalty, brand shares
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in market, brand value.
Price Sensitivity Maruti Suzuki offers value for money cars with high
performance. Maruti allows all those who wants to shift
from two wheeler to four wheeler as the prices of car
start from 2.5lac, which makes it easy affordable.
TARGETING
Targeting Marketing segment basically consists of once the different segments
have been identified then company would estimate attractiveness of each segment
and then would select which segment to enter.
Targeting Strategy of Maruti Suzuki
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If we talk about Maruti is following a strategy of Differentiated Targeting that is
various segments have been identified by Maruti and it produces their vehicles and
markets them accordingly. They acknowledge the fact that every segment requires
its own strategies in order to be accepted by the customers.
The Targeting strategies of Maruti has been adopted on following basis-
1. Targeting on basis of income group- Maruti segregates the cars it
manufactures for different income group categories. Maruti realizes that India is
a country which comprises of people with different economic conditions
therefore there is a variation in their ability to spend on automobiles
 Low income Group- It comprises of people with very nominal income those who
have less purchasing power therefore cars for them are also very economical
below 500000.some examples of it are
 Alto
 Alto K10
 S-presso
 Celario
 WagonR
 Middle income Group-It comprises of people with comparatively higher income
they have a little bit of more purchasing power. The range for them usually exists
between 500000-1000000.some examples of it are
 Swift
 Baleno
 Dzire
 Brezza
 High income Group-This group includes people with high disposable income.
who will be willing to spend more on automobiles it comprises of range beyond
1000000
 XL6
 Ertiga
 Ciaz
 S-cross
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2. Targeting on basis of Perception- When it comes to automobiles and
specially cars , the cars bought also reflects the utility to the buyer , A car can
be promoted as a luxurious car , an adventurous car or many such categories.
If we analyze the marketing strategies if Maruti they have always projected
themselves as a Family car. They usually try to target segment consisting of
people having families. They always portray themselves as a safe, reliable and
economical option for families when they want to buy a car. They try to cater to
people with family size of 3-4 members.
3. Targeting based on Social class- If we look into this area Maruti majorly
targets the following groups-
 Middle class
 Working class
 Upper lowers
All people in the above mentioned groups are people with limited budget mostly
living in urban areas. Maruti exhibits itself as a brand for them. All their products
are launched in terms of as a product for these mentioned groups.
POSITIONING
Maruti Suzuki is one of the most valued brands of our country and has been
maintaining its place in the consumer’s mind and heart since its foundation in
1982. It has been dominating market since 1966(60% market share) – 2016
(47.18% market share), its leading Maruti Suzuki800 leading in the front.
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It has positioned itself as a trustable brand which has the best cars for “middle
class of India” but it is now also targeting the younger generations with its latest
Models, when we think of Maruti we always think that it would be affordable,
gives a good mileage, easy to maintain etc.
Some products like have positioned as Alto “Let’s go” Positioned as India’s most
fuel efficient car which is affordable by lower income groups also.
Swift “You’re the fuel”, it is positioned as a car that have style, modern looks,
reflects young attitude. SX4 “Men are Back” It is positioned as a powerful car
made for men. Along with the image as a “Economic Brand”, Maruti has also
started landing its way towards becoming an “Luxury Brand ”, with the launch of
its latest car ‘Maruti Kizashi’ which is positioned as sports car with a price of 17 -
19 lakhs.
Maruti has become a customer – centric organization as they are really focusing
on providing value – added services to the customers, they also launched Nexa
(its modern retail channel) and Maruti Suzuki Arena which are digital showrooms
where one view products , locate a dealer, inquire etc. just like the offline
showrooms along with this they have also set up true value outlets which have
totally digitalized process, Maruti is utilizing the online platform very well to
reach its customers and give them a new experience along with it its really active
in advertising on social media platforms and television.
The earlier tagline of Maruti was reliability and affordability but now the company
have started to position itself not just as straight forward and value driven bit also
sporty, stylish and full of spirit to create more enthusiasm and excitement among
their customers and to target more potential customers for the future.
STRATEGIES
SUGGESTIONS
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Maruti is a well-established brand in India it’s one of the leader in automobiles
sector in India. Yet there are segments unexplored by it which it can try to reach
to obtain a wider market share.
 Bringing variants for luxury lovers- There are reasonable rising
population of people with very high income especially in metro cities for
whom car is not just a mode of commuting but also a status symbol,
Maruti can take initiatives to curtail that segment of population.
 Forming a connection with youth- Maruti majorly has an image of being
a Family car but it reaches can widen even more if it starts connecting
with the young potential customers which may include launching variant
keeping in mind people who have a streak for adventures, more stylish
design layout and more vibrant colors to form that connection with
youth.
 Catering to Rural areas- Usually automobile sector do not pay much
emphasis on rural areas as their major market. Everybody there does
not own a car but Maruti is known for making available its product at a
very economical rate to the customers. With effective campaigning it
can try to promote a culture even in rural India concept of owning a car
becomes popular.
 After sale service- Maruti Suzuki stands at 8th position in domestic
market in providing the after sales service. It lacks in providing better
after sales service to its customer as lacking in this area also reduces
market share and loyalty among customers in long run.
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