Foxy lady final 08032013

MARKETING PLANMARUTI SUZUKI - FOXY LADY

PRESENTED BY(Group No. 13, MFM:2012-15)

Jitendra Garg - 219

Shrikar Dhamankar - 215

Parth Badiany - 203

Anil Salgaonkar - 260

Bloscher D’mello - 216

Raju Ghosh - 220

N. L. Dalmia Institute of Management Studies & Research

http://im.rediff.com/money/2013/jan/15wagon1.jpg

Introduction

• Foxy lady is especially crafted for women

• Launch on 8th Mar’13

• Variants - Petrol only

• Hatch back car with the seating capacity of 4

• The engine capacity is 1000cc

• Initial launch only in urban India


Why “Foxy Lady” car?


• It satisfies the female gratification

• Specially designed and customized for women

• Offers a convenient and reliable ride

• Enhanced safety features

• Compact and easy to handle with

• Offers a feel of luxury

• Driving it is simply superb

Market scenario of passenger cars

• Market share & Total sales 2012


GM, 3.20%

Honda, 4.20%Ford, 2.40%

Mahindra, 1.80%

Others, 2.90%

Tata Motors, 12.70%

Hyundai, 25.50%

Maruti, 47.30%

Growth in passenger car sales


0%

5%

10%

15%

20%

25%

30%

20072008

20092010

20112012

20%

10%

20%

25% 26%

24%

India: Working population


790

1034

1143

400

500

600

700

800

900

1000

1100

1200

1970 1990 2010 2030 2050 2070

Millions

Year

Growing labourforce in India

+31%

Target segment


282.09304.38

Total Women In India 2012 ( Mn )

Urban

Rural

57.55

224.55

Women In Urban India (Mn)

Working

non-Working

0.00

10.00

20.00

30.00

40.00

Labour force Employed in organisations

Senior mgmt in organisations

Board of directors

31.13

18.99

4.60 2.82

Working Urban Indian Women ( Mn )

Product segmentation

• Price : Rs. 4-6 L

• Seating capacity : 4 seater

• Size : Hatchback

• Fuel type : Petrol


• Hyundai Motors India Limited

• Tata Motors

• Mahindra & Mahindra

• Toyota

• Ford

Major expected competitors


Threat of new entrants (Moderate)

Bargaining power of buyers (Very low)

Threat of substitutes(Low)

Bargaining power of suppliers (Medium)

Industry competitors

Rivalry among existing players

(Low)

Porter’s five forces


Product life cycle


0

1000

2000

3000

4000

5000

6000

7000

2013 2014 2015 2016 2017

Sales

Year

Introduction Growth Maturity

SWOT analysis


STRENGTH

• Well developed sales and service network

• Strong customer base and brand image

• Unique product

• Specially designed for targeted segment

SWOT analysis


WEAKNESS

• Other segments can’t be served

• May affect sale of other car models

SWOT analysis


OPPORTUNITY

• Untapped market available

• Enhancing the existing brand value

• Product range for entire household

SWOT analysis


THREAT

• Possibility of new entrants

• Dependency on fuel prices

• Increase in traffic congestion

STARS QUESTION MARKS

CASH COWS DOGS

Foxy LadySwiftSwift Dzire

SX4Omni

AltoWagon-R

In 2 years

BCG matrix


Porter’s generic strategy


Cost leadership

• Investment in state of the art technology

• Common engine technology shared between different product lines

• Just-in-time supply logistics

• Kaizen for improving in-house capabilities

Porter’s generic strategy


Differentiation

• Innovation in product features

• Unique product for a specific segment

• Use of brand name and improving it continuously

• Use of highly fuel efficient and technologically advanced engine

• Huge network of service centers for achieving “360 degrees customer experience”

4 P’s


PRODUCT

• Specially designed car for ladies

• Additional safety features

• Classic feminine look with a range of vivacious interiors

• Compact and easy to handle with

4 P’s


PRODUCT

• Special features in place for the lady driver –

Adjustable raised driver seat

Bluetooth connectivity

Parking guide display

Vanity box

Large boot space

4 P’s


PRODUCT

• Special features …(contd.) –

Automatic gear shift

Tubeless tyres with puncture endurance

Hydraulic jack

Big rear-view mirror

Child seat and child lock

Adjustable steering

4 P’s


PLACE

• Target customer in urban India

• Metro cities

• Tier-2 cities

• Target customer profile

• Working ladies

• Medium to high income group

4 P’s


PLACE

• Marketing channel

Manufacturer Distributor Customer

4 P’s


PROMOTION

• Brand ambassador

• Advertisements in newspapers

• Advertisements on television

• Hoardings at prominent places in cities

• Sponsoring women oriented events

• PR events at dealers and service centers

4 P’s


PRICE• Pricing objective – to maintain cost leadership

• Pricing method – Skimming

• Price per car at launch – Rs. 5L

• Focus on small market segment to avoid competition

• Targeting customers who can support skimmed pricing

Financial Projections


Amount in Rs. CroreParticular 2013-14 2014-15 2015-16

No. of units 78000 105300 147420

Price Per unit. 0.05 0.05 0.05

Sales Turnover 3,900.00 5,265.00 7,371.00

Excise Duty -390.00 -526.50 -737.10

NET SALES 3,510.00 4,738.50 6,633.90

Growth Rate 35% 40%

Expenses

Manufacturing Expenses 2,527.20 3,080.03 3,980.34

Personnel Expenses 61.43 70.64 81.23

Selling Expenses 170.20 80.00 40.00

Administrative Expenses 52.65 60.55 69.63

TOTAL EXPENDITURE 2,811.48 3,291.21 4,171.20

Operating Profit (EBIDTA) 698.53 1,447.29 2,462.70

Op. profit as % of Sales 20% 31% 37%

Break-even Point


5K 10K 15K 20K 25K 30K 35K 40K 45K 50K 55K

Revenue 250 500 750 1000 1250 1500 1750 2000 2250 2500 2750

Cost 464 653 833 1013 1193 1373 1553 1733 1913 2093 2273

Fixed Cost 284 284 284 284 284 284 284 284 284 284 284

0

500

1000

1500

2000

2500

3000

Am

ou

nt

in R

s. C

rore

22562 units


Date post:	12-Jul-2015
Category:	Education
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Foxy lady final 08032013

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