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Honda Expolratory Study - Hatchback Segment

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    SUMMER TRAINING REPORT

    on

    ZESTCAR CLINIC

    THE NIELSEN COMPANY

    Submitted in partial fulfillment of the requirements of

    Post Graduate Diploma in Management

    by

    PAWAN KUMAR

    PGDM 2011 - 13

    29

    IILM College of Management Studies

    Greater Noida

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    Page | 2

    ACKNOWLEDGEMENT

    It gives me immense gratification to place on records my profound gratitude and sincere

    appreciation to each and every one who have helped me in this endeavour. I would especially

    like to express my sincere thanks to my respected company mentorMr. Chandan Banerjee

    under whose guidance and continuous cooperation, support, suggestion, encouragement and

    providing input that I needed to complete my project successfully.

    I also would also like to express my gratitude towards my faculty guide Mr. Pawan Verma for

    his valuable guidance and support during the period of my summer training. He has corrected

    and guided me through every step in the project report. He also inculcated in me a systematic

    approach and professionalism

    I would also like to thank all those people at THE NIELSEN COMPANY who though being

    total strangers to me lifted my spirit with their cheerful smiles and gave me the courage &

    inspiration to work zealously on the project assigned to me and do justice to it. After completion

    of all the tasks and project assigned to me by the company and overall support of everyonearound I find myself much more confident student. This program is my first step towards the

    corporate life and I wont deny that this has been a successful one as well.

    Lastly, I wish to express my gratitude to my colleagues and friends for their constant

    encouragement and support who helped me throughout the process and made this program a

    success.

    Pawan Kumar

    PGDM 201113

    IILM- CMS

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    Page | 3

    CONTENT

    S.NO TOPIC PAGE NO.

    1 Executive Summary 4 - 5

    2 Objective 6

    3 Company Profile 7 - 14

    4 Working Methodology 1517

    5 Final Analysis & Findings 1842

    6 Recommendations 4344

    7 Limitations of the Project 45

    8 Learning 4647

    9 References 48

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    EXECUTIVE SUMMARY

    The report here will be focusing on one of the critical projects that were assigned to me by TheNielsen Company during my summer internship program. The project was named ZEST"

    where Honda Motors was the client of Nielsen. The theme of the project was to study and

    analyze consumers perception towards Hondas 2 new models of cars in terms of exterior,

    interiors, engine specifications and perception of Indian consumers towards Honda Motors in

    Car segment and that too in Hatchback segment.

    The report will be throwing light on Indian Automobile Industry focusing mainly on the small

    car segment, what consumers have to say for the models being displayed and also in addition to

    get a feedback towards the features of the cars. Honda Motors were able to get a glimpse of what

    Indian consumer has to say when it comes to small cars. They will be able to identify who are

    their real competitors and who is the market leader in the specified segment, what features are

    most preferred by consumers etc.

    The data was collected using primary method where respondents were interviewed about the

    various attributes of the cars which was a part of Quantitative Study and also to talk about the

    Qualitative aspect many new findings came out by conducting FGD (Focused Group

    Discussion).

    The analysis and results will includes most preferred cars in hatchback segment , mostly owned

    cars , consumers motivation behind buying a car, most important aspects while making purchasedecision , comparative analysis of brand imagery of Honda Vs. Maruti etc.. The outcomes of

    Focused Group Discussion , role of a moderator in a FGD , selection of respondents for a FGD

    and many more details of Market Research.

    The complete process of how to set up a car clinic will be discussed in the report being presented

    here. How Nielsen approached and attracted respondents, why only Delhi and Jaipur were

    chosen as preferred locations to conduct the clinic all these questions will be answered with as

    much details as available.

    Then we will be shifting towards the recommendation parts that will be for Honda motors whichwill be focusing on:

    Improvement in exterior and interiors of the displayed cars. Pricing approach. Competitive approach. Positioning of cars to be launched.

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    Page | 5

    In the end to conclude we will be discussing few limitations of the study like sampling errors,

    real recommendations that were made by Nielsen to Honda as the analysis that has been

    conducted is my original work, as the results and analysis were confidential in which we were

    not included as a part of real set up of recommendations and results.

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    OBJECTIVE

    The objective of the project ZEST , which was assigned to The Nielsen Company by HondaMotors was to do an exploratory study. The research was divided into two parts as most of the

    researches are contacting both Quantitative and Qualitative studies. The prime objectives and

    reason behind conducting this research are mentioned below:

    QUANTITATIVE LEG

    Find out Consumers responses towards 2 of their new Hatchback Cars which will belaunched, in terms of Exterior and Interior features.

    Explore the most desired cars to be bought in next 6 months by the respondents. The most important purchase criterias that influence their purchase decision while going

    for a Hatchback Car.

    Pricing overview.

    QUALI TATIVE LEG

    They will also find out intention to buy Honda Cars and will do a comparative analysiswith the other brands in the market. This will be a part of Qualitative leg which will be

    done using a Focused Group Discussion.

    What consumers seek in cars and which cars or brands are mostly liked by consumersand why?

    Brand imagery of Honda Motors in car segment and how consumers perceive the brand.

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    Page | 7

    NIELSENS HISTORY

    The Nielsen Company (erstwhile ACNielsen) was established in the United States in 1923 by

    Arthur C. Nielsen, Sr., one of the founders of the modern marketing research industry. Among

    many innovations in consumer-focused marketing and media research, Mr. Nielsen was

    responsible for creating a unique retail-measurement technique that gave clients the first reliable,

    objective information about competitive performance and the impact of their marketing and sales

    programs on revenues and profits. Nielsen information gave practical meaning to the concept of

    market share and made it one of the critical measures of corporate performance. Mr. Nielsen also

    founded the business known today as Nielsen Media Research, the global leader in television

    audience measurement and other media research services.

    ACNielsen opened its first international office in the UK in 1939 and, after World War II,

    progressively expanded its operations in Western Europe, Australia and Japan.

    In 2001, ACNielsen became part of VNU, a world leader in marketing information, media

    measurement and information and business media.

    In 2003, VNU announced a new organizational structure for VNU Marketing Information (MI),

    its largest business group, to address evolving client needs and to create an enhanced platform

    for accelerated growth.

    In 2005, VNU attempted to expand into healthcare and pharmaceutical information by acquiring

    IMS Health. Although the merger was terminated in the face of shareholder opposition, the two

    companies agreed to work together to develop new capabilities.

    In 2006, VNU was acquired and taken private by a consortium of six private equity firms.

    In 2007, VNU changed its name to The Nielsen Company. This new identity emphasizes its best

    known brand name and underscores its commitment to create an integrated, streamlined global

    organization.

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    Page | 8

    WHAT THEY DO

    Nielsen offers an integrated suite of market information gathered from a wide range of sources,

    advanced information management tools, sophisticated analytical systems and methodologies,

    and dedicated professional client service to help their clients find the best paths to growth.

    Clients work with their services to:

    Measure their market performance. Analyze market dynamics. Diagnose and solve marketing and sales problems, and Identify and capture growth opportunities.

    PRACTICES

    Retail & Shopper Marketing

    Brand & Portfolio Management

    Pricing & Promotion Strategies

    Product Innovation & Renovation

    Social Media Intelligence

    http://in.nielsen.com/company/what.shtml#measure#measurehttp://in.nielsen.com/company/what.shtml#analyse#analysehttp://in.nielsen.com/company/what.shtml#diagnose#diagnosehttp://in.nielsen.com/company/what.shtml#identify#identifyhttp://in.nielsen.com/company/what.shtml#identify#identifyhttp://in.nielsen.com/company/what.shtml#diagnose#diagnosehttp://in.nielsen.com/company/what.shtml#analyse#analysehttp://in.nielsen.com/company/what.shtml#measure#measure
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    1. Retail & Shopper Marketing:

    No matter how strong a product, it must be marketed to the right shopper in the rightcontext if it is to succeed. Understanding shopper behaviour allows retailers and

    manufacturers to optimize in-store layout, communications, assortment, pricing and

    promotions to boost sales.

    But how do you decide where to expand next or how to increase per-store sales? Whatpack size, price point or channel makes the most sense based on how segments are

    evolving? What is the right strategy for growing and expanding your brand and product

    offerings?

    How We Can Help Our comprehensive insights into the shopper experienceincluding influences such asin-store placement and retail channelsdelivers retailers and manufacturers a clear view

    of the market through the consumers eyes. Nielsen provides an in-depth understandingof the shopper experience, giving you insights that set the perfect mix of pricing,

    packaging and presentation to drive growth.

    How We Do It Our comprehensive solutions include: Optimizing distribution across millions of traditional trade outlets throughout India. Analyzing assortment range and shelf management, testing new shelf layouts and

    understanding shopper segmentation.

    Measuring shopper behavior, including shopping mission and motivation, andmarketing activation, looking at change moments in shopper conversion process.

    Organizing overall category management, product price, assortment, in-store placementand promotion to increase share of shopper basket.

    Assessing best locations for retail expansion and new store launch throughunderstanding sales, traffic and shopper satisfaction.

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    Page | 10

    2. Brand & Portfolio Management:

    Building strong brand equity means dealing effectively with a lot of moving parts.Managing each component of your portfolio is essential to enhancing the overall

    perception and competitive performance of your brand.

    But how can you create the strongest brand portfolio and which components need to beimproved? How do you determine whats driving category growth and how can you

    improve how you are allocation of your brand support budget? What steps need to be

    taken to move your brand closer to the desired positioning?

    How We Can Help Nielsen helps you measure the dimensions of your portfolio and the key drivers in each

    category. We allow you to assess the best ways to mix and measure your productportfolio, identifying where your competitive strengths and opportunities lie. Nielsenhelps you to evaluate the ROI of your communication strategy and customer management

    programs, determining how they could be improved to better attract consumers to your

    offerings.

    How We Do It Our comprehensive solutions include: Strategies for positioning and building your brand as efficiently and effectively as

    possible, looking at brands underlying health and potential for future success.

    Measurement of both perception and product/service experience, as well as theircorrelation to sales performance.

    Optimization of brand portfolio, ensuring your product mix offers the best fit for whatconsumers need.

    Tools for monitoring and optimizing brand performance, anticipating demand byidentifying consumer needs.

    Integration of distribution, consumer behavior and perception data to gain the bestunderstanding of the market and category.

    Identify threat and growth potential, prioritizing future brand action.

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    Page | 11

    3. Pricing & Promotion Strategies:

    One of the greatest challenges for any manufacturer or retailer is setting prices. Impactedby economic conditions, trends in label growth, and commodity cost fluctuations, pricing

    and sales strategies require in-depth and current knowledge of the market.

    So what is the optimal price point for your products, and how will your customersrespond to changes? How should you price a new product, or a product re-launch?

    Whats the best way to promote your products during a price increase, and which

    promotions are the most effective?

    How We Can Help Nielsen optimizes your pricing and promotional strategy to align with brand and profit

    goals for your entire product portfolio. We work with you to predict how various pricingand promotion scenarios will impact sales and profits as well as the shoppers perception

    of your brand.

    How We Do It Our comprehensive approach includes:

    Modeling price and promotion options, discerning optimal price to drive trial andrepeat purchases, meeting volume and profit goals.

    Determining new and re-launched product pricing strategies to generate trial andrespond to competition.

    Integrating retail and consumer research data to form a holistic picture of themarket, and forecast future shifts.

    Assessing the impact on sales and profitability for manufacturers and retail partners,as well as price interactions between own portfolio.

    Analyzing pricing promotions, with clear recommendations for improvement andpack price optimization.

    Tracking market continuously to best respond to fluctuations and commodity costchanges.

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    Page | 12

    4. Product Innovation & Renovation: The marketplaceand your competitorsare in constant motion, so you cant afford to

    have your products stand still. But launching a new product or refreshing an existing one

    requires a deep understanding of the market, and an execution strategy based on the best

    data available.

    So how should you develop and market your product to ensure a strong performance?What is the volume potential of your initiative and the best way to position it vis--vis

    your competitors? What would be the best launch strategy, including distribution,

    advertising and investment?

    How We Can Help Nielsen offers a full range of services that help you evaluate, develop and recharge

    brands and products. From the earliest stages of idea generation through product launch

    and post-launch evaluation, we provide research to help direct decisions about productinnovation.

    How We Do It Our comprehensive solutions allow you to:

    Evaluate the viability of new product ideas based on consumer, brand/categoryassortment and retail environment, identifying those with the best potential.

    T

    est your product concepts, packaging and deliver what the consumer and customer

    needs.

    Assess external factors to identify their impact on product placement andpositioning, and to improve trade relationships, delivering what the consumer needs.

    Understand the consumer adoption process and impact of relaunch among existingbrand buyers and non-buyers.

    Minimize risk and portfolio cannibalism by drawing on rich database and expertise,while maximizing sales and profit.

    Forecast long-term viability of product and consumer reaction.

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    5. Social Media Intelligence: Conversations on customer review sites, blogs and social networks are shaping your

    public image and impacting sales.

    But how can you use social media metrics to derive these insights? How should you usethis analysis to make marketing decisions? Which channels and platforms are most

    effective, and how can social media best be integrated with other marketing extensions?

    How We Can Help Nielsens measurement and filtering tools help you assess exactly what value can be

    gained from social media, identifying when it offers advantages over traditional

    marketing, and when the they can be used together. We help you understand your

    consumer through social media, linking feedback and queries to customer serviceinfrastructure and mechanisms.

    How We Do It Our comprehensive solutions include:

    Listening to social media, measuring what is being said about your brand, andhow to use it to drive growth and further engagement.

    Formulating a social media activation plan to enhance your brands social mediapresence, advising on how to build brand advocacy.

    Creating content and community management practices to engage the socialmedia community.

    Evaluating consumer response and conversion to determine efficacy of digitaland social media marketing investments.

    Benchmarking social media performance and actions from competitors, whiletracking threats as part of online reputation management.

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    CORPORATE SOCIAL RESPONSIBILITY

    Talking about Nielsen CSR initiatives they are very much active on both social andenvironmental aspects. Nielsen across the globe observes 14th June as Global Impact Day andvolunteered for social causes and projects as part of their social responsibility initiative.

    Highlighting few initiatives taken on this very day across India at various offices are mentioned

    below.

    Mumbai: In Mumbai, around 400 employees from Nielsen chose to visit Malwani, theAsia's second biggest slum located in north Mumbai. Hunger-free society and food for

    education were the theme selected by the group who visited four schools in Malwani. The

    visiting team played with the students and interacted on various social and developmentalissues. They also distributed note-books and educational materials as token of support for

    the current academic year.

    New Delhi: In capital around 100 employees to an orphanage in Sarai Kale Khan andspent time with children there. They also distributed many stationery items, sports items

    etc. which would help the orphanage. I personally was a part of this special day.

    Jaipur: In Pink city employees from Nielsen went to an old age home and spent timewith many parents who were stranded in their old age. Nielsen employees played gameswith them and donated many necessity items to old age home like fans , coolers , beds

    etc.

    Jharkhand: AC Neilsen in partnership with TATA Power had launched an exclusiveLivelihood Intervention Project for Maithon Power Limited a Joint Venture Companywith Damodar Valley Corporation. The project aims to develop agriculture productivity

    in the area from mere subsistence level to commercial farming through harnessing the

    opportunities presented by favourable topography. Phase 2 of this paddy intervention isabout to be completed with High Yield Varieties (Foundation and Certified) of paddy

    followed by vegetable crops covering 265 Farmers in 365 Acres of land of 14 villages in

    Maithon.

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    WORKING METHODOLOGY

    The project here is termed as a car clinic in research terminologies. This clinic is divided into2 parts the first step is called QUANTI (Quantitative), where the data is collected using a

    questionnaire. The second step is QUALI (Qualitative), where few selected respondents werepart of a FGD( Focused group discussion). The entire methodology has been described in

    following steps:

    POPULATION:-

    The population or universe here refers to all those people who are willing to purchase a new car

    in next 6 months or so. Tough there were other criteria as well but to have a database of all those

    people who are willing to buy a car in next six months was the real challenge. To get the list

    following steps were taken:

    Get data from various car dealers across Delhi/NCR of all those people who have seekinformation from their respective centre.

    Online surveys were conducted to create a database for the same seeking just informationregarding their intention to purchase a car in coming months.

    SAMPLE SIZE:-

    The sample size was of 150 respondents and the criterias were: Should be an owner of 2 wheeler at least. Should be more then 25 years of age. Annual income should be more than Rs. 4 lakhs. Should not be purchasing the car for commercial use. Should be planning to purchase a hatchback car in next 6 months.

    Only those car seekers were shortlisted out of entire population who met the above mentioned

    criteria.

    ATTRACTING THE REPSONDENTS:-

    After the list of future prospects was compiled, all of them were called and asked about the

    above mentioned criterias and if any respondent met all of them then they were asked about the

    availability for the car clinic. A special gift voucher was also given to all those who attended the

    clinic which was from Shoppers Stop worth Rs. 500.

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    CAR CLINIC:-

    Car clinic was held for a period of 4 days in New Delhi. Mentioned below was the distribution of

    the respondents on the various days:

    DAY 140 DAY 240 DAY 340 DAY 430

    Step 1:-

    The respondents were first asked about the basic questions related to their demographics , reason

    to buy a car , currently owned vehicles , actions taken by them till date before purchasing a car ,

    usage pattern etc. After these questions were asked they were informed that they will be

    evaluating 3 cars in terms of exterior and interior looks and then they were taken to main setup in

    a big hall where 3 cars were displayed tagged as CAR P , CAR Q , CAR R. At one go maximum

    of 3 respondents were taken inside to avoid any hassle, biasness in the responses.

    Step2:-

    Then the respondents were taken to 3 different marked position from where they can view the

    exterior. First the responses about the front was recorded, then side and in last the rear looks

    were displayed. The sequence to be followed was first we have to show them CAR P then CARQ and in last CAR R was displayed.

    Step 3:-

    After the entire exterior evaluation was done then in the same sequence one by one interiors were

    also evaluated by them. The respondent was made to sit on the drivers seat first then on the rear

    seat and the responses were recorded.

    Step 4:-

    After all the steps in last few questions were recorded about overall vehicle response, suitable

    prices etc. and the interview terminated. On an average an interview lasted from 30 to 45

    minutes.

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    FOCUSED GROUP DISCUSSION:-

    After that the responses were collected and then in the day end few people were chosen forFGD to be held on last two days. The respondents were chosen on following criterias:-

    2 Acceptors of CAR P 2 Acceptors of CAR Q 2 Acceptors of CAR R

    There were 5 sessions of FGD were held containing 6 respondents in every discussion as per the

    above mentioned criteria.

    In presence of 1 moderator the FGS were conducted which were scheduled for a period of 60

    minutes to 90 minutes. The discussions were divided into following sections:

    Section 1:

    A brief understanding of demographics.Section 2:

    Current vehicles ownership and usage pattern.Section 3:

    Need of a car. Purchase criteria. Preferred brands.

    Section 4:

    Brand ImageryHonda Vs Others.

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    ANALYSIS AND FINDINGS

    Out of all the respondents 40% of them were currently the owners of two wheelers but

    apart from that it was found that 10.5% of them owned Maruti Alto and 9.9% were owners

    of Hyundai Santro. This shows that these two cars are one of the most owned cars

    currently and also other cars of Maruti like Swift, Wagon-R are also owned by most of

    them which makes Maruti the market leader indeed and hence a tough to beat competition

    up ahead for Honda Motors.

    0

    10

    20

    30

    40

    50

    60

    70

    61

    3

    10 1215

    3

    1611 12

    4 3 2

    Most Owned Cars

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    Page | 19

    Almost 15% of respondent were intending to buy Maruti Swift in next 6 months whichcurrently makes it the most desired car in Hatchback segment followed by Hyundai i20

    with 12% of them. The reason why Maruti Swift is the most desired was because of its

    strong engine performance and stylish looks. Also people find Maruti cars the most reliable

    brand of all.

    0

    5

    10

    15

    20

    25

    3 3

    7 76

    21

    10

    18

    11

    14

    6

    22

    9

    2

    4

    11

    2 2

    8

    2

    Most Desired Cars

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    Page | 20

    3 major reasons for Indian consumers to buy a car are good looks with 27% responses,

    need for a family car with 18% and social status with 16% of total responses.

    This makes it clear that Honda should focus on these 3 aspects and try to position their cars

    in such a way that they are able to attract consumers towards them with the market being

    so competitive with established payers like Maruti Suzuki and Hyundai in Hatchback

    Segment.

    7%9%

    Need a car with

    good looks, 27%

    5%

    Want to have a

    family car, 18%

    8%

    7%

    Want a car to

    indicate my

    social status,

    16%

    3%

    Need to upgrade from the 2

    wheeler

    Need a small car which suits my

    daily needs

    Need a car with good looks

    Need to have the latest car in the

    market

    Want to have a family car

    It was always an aspiration for me

    to buy a car myself

    Want to have a car that has

    premium image

    Want a car to indicate my social

    status

    Wanted a car to commute to

    office/ work easily

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    Page | 21

    Price of the car is the major concern for Indian buyers as 17% of respondent said so being

    followed by the fuel efficiency with 12% of them responded with this. Also people only trust

    reliable brands.

    Now the above mentioned 3 aspects are the reasons why Maruti has been able to capture

    the market and it will be very tough for Honda to beat them on price and reliability

    parameter with the faith that people have on Brand Maruti Suzuki.

    0 10 20 30 40 50 60 70 80

    Price of the car

    Good value for money

    Resale value

    Fuel Efficiency

    Comfort of ride and seating comfort

    Ease of parking

    Road visibility while driving

    Exterior design

    Engine Performance

    Agility

    Price of parts

    Reliable Brand

    Word Of Mouth

    75

    22

    21

    54

    21

    6

    21

    30

    18

    9

    12

    40

    16

    Important aspects behind purchase decisions

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    Page | 22

    After evaluating the exteriors of Car P, 2 of the most liked features were Front Bonnet Design

    which was liked by 22% of the respondent followed by The Front Grill being liked by 13.3% of

    them. Other features which caught attention were Head lamp and size of the windows.

    The bonnet being one of the most attractive features was liked because of its aerodynamics looks

    and also because people found it something fresh. The front grill was also liked by respondents

    because of stylish looks. The size of side windows were very big and people found it good as it might

    help them to have a good outside view.

    22%

    3%

    13%

    7%14%

    1%

    7%

    3%

    11%

    4% 6%

    4%

    5%

    Exteriors - P ( liked )

    Bonnet Design

    Front Bumper

    Head lamp

    Windshield

    Front Grill

    Shape of the side doors

    Shape of the windows

    Size of the side door

    Size of the windows

    Rear Mirror

    Rear door shape

    Rear tail lamp design

    Rear glass design

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    Page | 23

    16.7% of responses went against the bumper as people found it very long and they think

    that on Indian roads the car might have ground clearance issues. Also 13.7% of the

    responses went against the rear glass design as people thought that the length of the glass

    was too long and can create privacy issues with complete interior being exposed from rear.

    0

    5

    10

    15

    20

    25

    30

    35

    40

    45

    50

    Exteriors - P ( Disliked )

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    Page | 24

    In Car Q 18.3% people found the front bumper being the most likeable feature with

    appropriate height which will not have any ground clearance issues. Also 16% of them

    liked the headlamp as well.

    0

    10

    20

    30

    40

    50

    60

    25

    55

    48

    4

    21

    28

    8

    21

    12

    2

    10

    43

    23

    Exteriors - Q ( Liked )

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    Talking about the most disliked features of all rear mirror design was not liked by 18.3%

    of the respondents and 16% of them didnt liked the rear door shape too as they found it

    least stylish of all.

    Front grill and windshield were among features which were not much liked by the people

    as well.

    010

    2030

    4050

    60

    Bonnet Design

    Front Bumper

    Head lampWindshield

    Front Grill

    Shape of the side doors

    Shape of the windows

    Size of the side door

    Size of the windows

    Rear Mirror

    Rear door shape

    Rear tail lamp design

    Rear glass design

    12

    12

    15

    30

    32

    14

    12

    15

    9

    55

    48

    17

    29

    Exteriors - Q ( Disliked )

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    Page | 26

    Talking about car R the most attractive feature which came out was the headlamp with

    29% of the responses went in its favor followed by the bonnet design with 20.7% responses

    in their favor. This showed that these tow features outplayed other features and could be a

    great feature to have in their car as people found it very unique and different when

    compared to existing models in the market.

    0 10 20 30 40 50 60 70 80 90

    Bonnet Design

    Front Bumper

    Head lamp

    Windshield

    Front Grill

    Shape of the side doors

    Shape of the windows

    Size of the side door

    Size of the windows

    Rear Mirror

    Rear door shape

    Rear tail lamp design

    Rear glass design

    62

    13

    87

    23

    3

    5

    3

    7

    14

    17

    11

    3

    52

    Exteriors - R ( Liked )

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    Page | 27

    Though people liked this model a lot as compared to other two but the two features that

    they didnt liked about this car were the front grill with 20.3% going against this feature

    and the front bumper with 16.7% responses against it.

    The problem that was being reported with front grill was that they found it very unstylish

    as it seemed very flat and obsolete design and in case of front bumper they again thought

    that this car will have ground clearance issues on Indian roads.

    0

    10

    20

    30

    40

    50

    60

    70

    7

    50

    5

    22

    61

    6 1013

    43

    12

    38

    25

    8

    Exteriors - R ( Disliked )

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    Page | 28

    The most likeable car in terms of exterior was car R with 61% of people ranked it

    rank 1 and 53% of them ranked it rank 2.

    2nd most liked car came out to be car P with 23% ranking it the best and 53%

    ranked it 2nd best in terms of exterior looks

    Car Q was the least desired car in terms of exterior looks as 50% of responses

    ranked it rank 3 and 35% ranked it rank 2.

    23%

    16%

    61%

    RANK 1

    P

    Q

    R

    53%35%

    12%

    RANK 2

    P

    Q

    R

    23%

    50%

    27%

    RANK 3

    P

    Q

    R

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    Page | 29

    The most liked feature among the respondents emerged as the legroom that the car P has

    both in front and rear seats with as 30% responses stated that being followed by the seat

    flexibility feature that has been installed on the rear seats which was being liked by 21.7%

    of the people. In other features 16.7% people found the seats to very comfortable and

    14.7% people liked the stylish dashboard design.

    0

    10

    20

    30

    40

    50

    60

    70

    80

    90

    90

    0

    50

    11

    38 42

    0 4

    65

    Interiors - P ( Liked )

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    Page | 30

    Two of the most disliked features in terms of interior of car P were the steering position

    and the visibility of road being recorded at 30% and 28.3% respectively. Few of them also

    didnt like the interior color design as 19.3% responses says so.

    0

    10

    20

    30

    40

    50

    60

    70

    80

    90

    0 0

    17

    90

    58

    38

    12

    85

    0

    Interiors - P ( Disliked )

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    Page | 31

    Interior color scheme was liked by 39.3% of the people being followed by the sitting

    comfort that was being offered by car Q with 22% of responses in the favor.

    This shows that people like dark colors for interiors and the reason that they state is light

    colors are prone to dust and need special care too.

    0

    20

    40

    60

    80

    100

    120

    1

    27

    66

    10

    118

    35

    2

    41

    Interiors - Q ( Liked )

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    Page | 32

    34.3% of the total responses stated that the car Q has very less legroom and also 24% of the people

    didnt liked the fact that there was no seat flexibility feature installed in this car. Also 21% of them

    didnt liked the dashboard design also and stated that it is very obsolete and doesnt carry anything

    different then existing cars in the market.

    0 20 40 60 80 100 120

    Legroom

    Headroom

    Sitting Comfort

    Steering Position

    Interior Color Scheme

    Dashboard Design

    Visibility of Controls

    Visibility of Road

    Seat Flexibility

    103

    0

    8

    10

    11

    63

    22

    11

    72

    Interiors - Q ( Disliked )

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    Page | 33

    Moving on to the interior of car R the most liked car in terms of exteriors, 28.3% people

    liked the interior color scheme with lavishing dark colors which made it look elegant and

    25.7% of them liked new stylish dashboard design with all new meter console installed and

    also enough storing space that was unique feature about the

    0

    10

    20

    30

    40

    50

    60

    70

    80

    90

    22

    31

    41

    85

    77

    10

    0

    52

    Interiors - R ( Liked )

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    Page | 34

    Visibility of road was a big concern as 40% of the people stated that while sitting on

    drivers seat the visibility was very less. According to them the new bonnet design had to do

    with it which was flat from front however made it difficult for the person sitting on the

    driver seat to have a complete access to the road. Also legroom was stated less by 29.3% of

    them but the reason behind the legroom complain can be that in car P the legroom that has

    been provided is very big and that is why people came out with this response.

    0

    20

    40

    60

    80

    100

    120

    88

    0

    22 20 18

    25

    7

    120

    0

    Interiors - R ( Disliked )

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    Page | 35

    The most liked car in terms of interior was again CAR R as 58% of the responses stated

    that the CAR R had most stylish and attractive interiors featuring good color combinations

    along with unique dashboard.

    51% of the respondents found CAR P as the 2nd most stylish of them in terms of interiors

    in which legroom was the most likeable feature of all.

    CAR Q again lagged behind in terms of interiors too as 71% of the responses stated that.

    According to respondents the car lacked modern looks.

    26%

    16%

    58%

    RANK 1

    P

    Q

    R

    51%

    13%

    36%

    RANK 2

    P

    Q

    R

    23%

    71%

    6%

    RANK 3

    P

    Q

    R

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    Page | 36

    The overall evaluation ended with no surprise as CAR R ranked 1 with 73% of the

    responses went in its favor and the reason behind that was stunning exteriors with the

    unique bonnet design and attractive headlamps. Also People liked the interior of the car

    which was the best so far with attractive bonnet design and color combinations.

    CAR P was the 2nd

    choice of the customers as 67% of the responses ranked it rank 2 the

    reason that it lagged behind was the bumper design and the color combinations of interior

    which was light in color and people are not very much comfortable with light colors.

    CAR Q was the least wanted of all with 78% people ranked it rank 3. The car lacked style

    and it hardly had any feature that was different.

    18%

    9%

    R,

    73%

    RANK 1

    P

    Q

    R

    P, 67%13%

    20%

    RANK 2

    P

    Q

    R

    15%

    Q,

    78%

    7%

    RANK 3

    P

    Q

    R

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    Page | 37

    Great Buy For Money

    36% respondents said that at 3.5Lakh the

    car will be a great buy for money.

    Cheap

    If car is priced at 2.5 Lakh then 41% of the

    respondent said that they will have a doubt

    on the quality of the car.

    Expensive

    31% of the respondents said that if car is

    priced at 5 Lakh then it will be expensive

    but they still can consider it to buy.

    Too Expensive

    Anything above 6 Lakh will make it out of

    consideration to buy as suggested by 42.7%

    of the respondents.

    0 20 40 60

    3.25 lakh

    3.5 lakh

    3.75 lakh

    4 lakh

    41

    54

    37

    18

    Great Buy For Money

    0 20 40 60

    4 lakh

    4.25 lakh

    4.5 lakh

    4.75 lakh

    5 lakh

    5.25 lakh

    2

    10

    38

    35

    47

    18

    Expensive

    0 20 40 60 80

    2.25 lakh

    2.5 lakh

    2.75 lakh3 lakh

    3.25 lakh

    21

    61

    26

    30

    12

    Cheap

    0 20 40 60 80

    4.5 lakh

    5.25 lakh

    5.75 lakh

    6.25 lakh

    2

    7

    20

    40

    9

    64

    8

    Too Expensive

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    Page | 38

    Great Buy For Money

    36.7% respondents said that at 3.5Lakh the

    car will be a great buy for money.

    Cheap

    40% says hat anything below 2.5 Lakh will

    be too cheap to maintain quality.

    Expensive

    29.3% of the responses said that 5 Lakh

    will be an expensive tag for the car.

    Too Expensive

    Anything above 6 Lakh will make car out of

    consideration even says 42.7% of them.

    0 20 40 60

    4 lakh

    4.5 lakh

    5 lakh

    4

    10

    43

    32

    44

    17

    Expensive

    0 20 40 60

    2.25 lakh

    2.5 lakh

    2.75 lakh

    3 lakh

    3.25 lakh

    22

    60

    26

    29

    13

    Cheap

    0 20 40 60

    3.25 lakh

    3.5 lakh

    3.75 lakh

    4 lakh

    38

    55

    37

    20

    Great Buy For Money

    0 20 40 60 80

    4.5 lakh

    5.25 lakh

    5.75 lakh

    6.25 lakh

    Too Expensive

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    Page | 39

    Great Buy For Money

    According to 55% of the responses car will

    be a great buy if priced at 4.5 or 4.75 Lakh.

    Cheap

    42.7% people will have doubt on the quality

    if priced below 3.25 Lakh.

    Expensive

    If priced around 5.5 to 5.75 Lakh it will be

    considered expensive as said by 33% of

    respondents.

    Too Expensive

    6 Lakh has been suggested as the upper

    limit by 36% of the respondents.

    0 20 40 60

    3.75 lakh

    4 lakh

    4.25 lakh

    4.5 lakh

    4.75 lakh

    5 lakh

    9

    17

    19

    49

    34

    22

    Great buy For Money

    0 20 40 60 80

    2.75 lakh

    3 lakh

    3.25 lakh

    40

    46

    64

    Cheap

    0 10 20 30 40

    4.5 lakh

    5 lakh

    5.5 lakh

    6 lakh

    7 lakh

    52

    2320

    4010

    1925

    6

    Expensive

    0 20 40 60

    5.5 lakh

    6 lakh

    6.5 lakh

    7.5 lakh

    22

    2

    54

    12

    20

    337

    Too Expensive

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    Page | 40

    P Q R

    As ranked 2nd

    in the list Car P had

    16% of the supporters who said that

    they are looking forward to thelaunch and if all goes well with the

    price they will definitely buy this

    with 38% saying that they probably

    can buy the car.

    Car Q didnt had much of support

    there were 44% support with 12%

    saying that they like the car andthey definitely will buy that and

    32% said they probably will

    consider buying the car.

    The best of all 3 Car R had th

    most support and it seems tha

    this car will have great impact a68% of the respondent have sai

    that they will definitely buy thi

    car and 20% saying that the

    probably will buy.

    16%

    38%

    27%

    13%

    6%

    Intention to buy - P

    Definitely would buy

    Probably would buyMay or may not buy

    Probably would not buy

    Definitely would not buy

    12%

    32%

    29%

    21%

    6%

    Intention to buy - Q

    Definitely would buy

    Probably would buyMay or may not buy

    Probably would not buy

    Definitely would not buy

    68%

    20%

    5%7%

    0%

    Intention to buy - R

    Definitely would buy

    Probably would buy

    May or may not buy

    Probably would not buy

    Definitely would not buy

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    Page | 41

    FOCUSED GROUP DISCUSSION FINDINGS

    In this section I will be highlighting few key findings that came out after conducting 5 GDsessions among the chosen respondents. The findings here will be giving a brief about how

    people perceive the current brands in the market and there most preferred brands and there

    reasons behind that and many more things we will be covering.

    PURCHASE CRITERIA:-

    Under this the respondents were asked about various criterias they look into while purchasing a

    car and no doubt that the price of the car was the biggest criteria for consumers of India who are

    among most price sensitive consumers in the world. Then fuel efficiency was another important

    aspect for them with day by day increase in price of petrol and diesel. Due to this very reasonpeople have started shifting towards diesel variants even when they come at higher cost. After

    these two important parameters overall looks of the cars matters a lot to the buyers as sometimes

    it also becomes a decisive factor for them to purchase a car especially the youth segment.

    BRAND PRIORITY:-

    With many years of dominance Maruti Suzuki still is the most preferred brand of all existing

    brands in the market. When asked why people perceive Maruti as most preferred brand then the

    people has many things to state about Maruti with reliability, durability and serviceability the

    most important factors behind Marutis success. Maruti Alto, Swift and Wagon R being the most

    popular models in hatchback segment for most of the Indian consumers and according to them

    the sales data refers to that why they are the market leader.

    Moving on to the second most preferred brand after Maruti then the people shifts to Hyundai as

    2nd

    on the chart with Santro as the star performer for them in the past with effective mileage and

    durability. In recent years Hyundais other models i10 and i20 have also gained significant

    popularity among Indian masses as people find these two variants as a competitor to Maruti

    Suzukis Swift and Wagon R.

    3rd

    on the list is Honda for them though they have 2 variants in the market but Honda Brio and

    Jazz are definitely gaining popularity but because of late entrant in the hatchback segment it stillhas a long way to go.

    4th

    was Volkswagen with Polo as the model which comes up to their mind but the reason behind

    that it is not that much popular among Indian consumers is that they perceive Volkswagen as a

    premium brand which has a high cost of purchase and maintenance.

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    Page | 42

    BRAND IMAGERY OF HONDA MOTORS:-

    Talking about Honda Motors the first thing that comes in mind of consumers is Honda City , one

    of the most famous sedan cars on road followed by Honda Civic. These two models have gained

    a respect in market with their performance and reliability. These two cars have been very popular

    in sedan segment but when it comes to hatchback segment Honda has not much to cheer aboutand with the launch of two models Brio and Jazz they are entering the race and people have

    started perceiving Honda beyond Honda city. Though its very difficult proposition for Honda to

    compete against market leader like Maruti which has acquired market on all fronts , be it price ,

    be it efficiency , be it the performance, they have been a superb player especially in hatchback

    segment. But with the ethnocentric positioning of Japan which is known as land of technology

    Honda definitely can compete against their country rivals Maruti Suzuki though it will take extra

    effort form them and some new strategies which can help them fight against the established

    giants.

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    Page | 43

    RECOMMENDATIONS

    The main objective of the car clinic was to check the responses of consumers towards 2 newmodels of Honda Motors in hatchback segment. The recommendations that will be made herewill be on positioning of cars, pricing strategies and few changes that can be done in 2 models in

    terms of exterior and interior looks.

    1. To compete against established players like Maruti Suzuki and Hyundai Honda motorshas to focus on 3 aspects which are pricing as Indian consumer is price sensitive, Looks

    which we think they have in these 2 models and position themselves as a family car as

    most of the consumers need a family car.

    CAR P

    2. In terms of exteriors of car P they have to work upon the front bumper as it seems that thecar might face issues with ground clearance.

    3. The size of rear glass is also too long which seems a problem for many of the people whowill be willing to buy the car as they think it might go against their privacy.

    4. For the interior part in car P people are much more inclined towards dark colors ascompared to light ones so either company should launch the dark variant or they should

    provide an option to choose one.

    5. The biggest problem in terms of interior was steering position which definitely needs anattention as it creates a problem while getting in and getting out of the car.

    6. The best price that can make car P a popular choice among the Indian consumer can beanything in the range of INR 3.5 lakh up to a maximum of 4.5 lakh.

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    Page | 44

    CAR R

    7. In terms of exteriors for car R again the same issue with the front bumper needs to beaddressed as its too lengthy for Indian roads.

    8. The front grill is also a problem with its flat design it doesnt looks good and should bechanged and further modifications can be done if possible.

    9. Moving on to interior part the first thing that can be taken care of is the road visibility asmost of the people found it very difficult to have an entire view of road while sitting on

    driver seat.

    10.Legroom is another issue that was being highlighted by the people in this model whichagain can be a concern for them.

    11.For car R the type of popularity it has shown it can be priced somewhere in a range ofINR 4.5 lakh up to a maximum of 6 lakh.

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    Page | 45

    LIMITATIONS OF THE PROJECT

    This report hereby which has been submitted is my original work and due to certain companyprivacy clauses the report carries many limitations which are mentioned below:

    1. The raw data that was provided is only limited to certain parts of the questionnaire as theoriginal questionnaire had 64 questions in it.

    2. The analysis has been done only on Delhi leg of the project and Jaipur leg is not includeddue to lack of data being provided by the research office from Jaipur.

    3. I was not part of analysis team which did the original analysis on the project due toprivacy policy of the clientHonda Motors.

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    Page | 46

    LEARNINGS

    The overall experience in The Nielsen Company was an amazing learning curve which whenended it made us more knowledgeable as during entire summer internship we were exposed to

    various aspects of Market Research. With the special attention being paid by my mentor It was

    an easy task to perform and learn so many things in real life that we used to read only in books.

    Various aspects of Market Research and organizational behavior were learnt by me during the

    program. The learning outcomes are being mentioned below:

    Primary data collection using CAPI Computer Aided Personal Interviews and PAPI Paper Aided Personal Interviews methods.

    Details of questionnaire designing and learnt to what extent a questionnaire can becomplex and how each and every question plays an important role in final analysis.

    Sampling techniques and approaches to solicit the desired sample which can be truerepresentative of your entire population/universe.

    Consumer perception towards hatchback cars as my main project was based on that onlywhich also gave us some insight into automobile industry.

    Quality check and data cleaning approaches which ensured that the final data that isprovided to the research team is not having flaws which ultimately leads in proper

    analysis and results.

    One of the major aspects Car Clinic that is used in Market research for serving theneeds of clients from Automobile Industry.

    In Qualitative Research how a FGD ( Focused Group Discussion ) is conducted and roleof a moderator and various steps that are taken care of while conducting it.

    How to attract respondents to get unbiased results by offering them in terms of somegifts, prizes etc.

    During primary data collection we were made to fix an appointment on our own so withthe passage of time we also mastered the art of fixing an appointment with top officials of

    the companies which is a major parameter that in field of marketing.

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    Page | 47

    In one of the projects of Business Today I also learnt that how the college rankings aredone and how the weightage are assigned to various parameters and how the parameters

    are defined.

    With many other projects that we covered from various industries we had an insight in alltypes of industries.

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    REFERENCES

    http://www.indiacsr.in/en/?p=3606 http://www.nielsen.com/in/en.html http://en.wikipedia.org/wiki/Nielsen_Company

    http://www.indiacsr.in/en/?p=3606http://www.indiacsr.in/en/?p=3606http://www.nielsen.com/in/en.htmlhttp://www.nielsen.com/in/en.htmlhttp://en.wikipedia.org/wiki/Nielsen_Companyhttp://en.wikipedia.org/wiki/Nielsen_Companyhttp://en.wikipedia.org/wiki/Nielsen_Companyhttp://www.nielsen.com/in/en.htmlhttp://www.indiacsr.in/en/?p=3606

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