Good Morning (Re)positioning Bajaj. - AIMAresources.aima.in/Rajiv Bajaj.pdfCulprit According to a...

Good Morning !

(Re)positioning Bajaj.Sometimes you win, sometimes you … learn.

AIMA, Wednesday 13th November 2013, Delhi. © Bajaj Auto Ltd.

Successful Lineage

Bajaj ChetakBajaj Super

Bajaj Classic Bajaj Autoriksha

1

j j j j


Line Extension

Bajaj Sunny Bajaj M80

Bajaj Legend Kawasaki Bajaj 4S

2

Bajaj Legend Kawasaki Bajaj 4S


Death Sentence

Bajaj PlatinaBajaj Kristal

Bajaj AutorickshaBajaj Pulsar

3

Bajaj AutorickshaBajaj Pulsar


CrimeCrime

Something is Wrong with Our Predictions

A recent Nielsen BASES and Ernst & Young study put th f il t f U S d t t 95the failure rate of new U.S. consumer products at 95 per cent and new European consumer products at 90 per cent.

We need to do better than that. We need to have a better way to predict the future.

- Al Ries, The Origin Of Brands, 2004

4AIMA, Wednesday 13th November 2013, Delhi. © Bajaj Auto Ltd.

CulpritCulprit

According to a leading market research firm, about75% of consumer packaged goods and retail productsp g g pfail to earn even $7.5 million during their first year.

Less than 3% of new consumer packaged goodsLess than 3% of new consumer packaged goods exceed first-year sales of $50 million – consideredthe benchmark of a highly successful launch.

- Harvard Business Review April 2011


Possibilities

WORLD CLASS MANUFACTURING

SIMULTANEOUS ENGINEERING

TOYOTA PRODUCTION SYSTEM


PrinciplePrinciple

The purpose of all strategy

is to be first by being different.


ResultResult

25%

Operating Profitability

20%

25%

Bajaj Auto

10%

15%

Mahindra and Mahindra(standalone)

Hero MotoCorp

Ashok Leyland

0%

5%

FY 02

FY 04

FY 06

FY 08 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3

Ashok Leyland

Maruti Udyog

Tata Motors (standalone)

‐10%

‐5% FY 10 FY 11 FY 12 FY 13 FY 14 TVS Motors


‐15%

The Strategic Squareg q

Defensive marketing warfare is for market leaders.

Off i k i f i f N iOffensive marketing warfare is for No. 2 companies.

Flanking marketing warfare is for smaller companies.

Guerrilla marketing warfare is for local or regional companies.

AIMA, Wednesday 13th November 2013, Delhi. © Bajaj Auto Ltd. 9

DefenseDefense

The real thing The world’s #1 3-wheeler


Strategy Lesson # 1Strategy Lesson # 1

Brands die for 2 reasons –too much extension & too little defensetoo much extension & too little defense.


OffenceOffence

Anti - Cola Anti - Mileage



Familiarity breeds contempt,curiosity builds desirecuriosity builds desire.


FlankingFlanking

Yeh dil maange more Much more than mileage



To simultaneously be the same& be different that is the deepest& be different, that is the deepest.


GuerrillaGuerrilla

High energy Ready to Race



God is in the detail,profit is in the nicheprofit is in the niche.


YogaYoga

The mind is the subtle form of the body,the body is the gross form of the mind.

-Bihar School of Yoga.

The brand is the subtle form of the productThe brand is the subtle form of the product,the product is the gross form of the brand.


Brand

Design

Brand

Performance Price

Attribute Category


Homoeopathy

It is the life-force that cures,for a dead man needs no more medicine.

-Dr. Samuel H. Hahnemann.

The wellness of an organisation restsThe wellness of an organisation restsin the vitality of its brand strategy.


Strategy

1. A tactic is an idea, a competitive mental angle.2. The only tactic worth considering is the tactic that y g

puts the knife into the competition.3. Tactics should dictate strategies.4 Strategy should be developed from the bottom up4. Strategy should be developed from the bottom up,

not from the top down.5. A strategy is a coherent marketing direction.6 St t i h t k i d h t i th6. Strategy is what makes you unique and what is the

best way to put that difference into the minds.7. The purpose of the strategy is to keep the competitionp p gy p p

from adversely affecting your tactics.

- Jack Trout


Jack Trout

ReflectReflect

Why are you smiling ?

What is your job ?

What is your action ?

- Prof. S. Yamaguchi.


Thank you !Thank you !

I want to know more about the person that has the disease, than about the disease that a person has.

- Hippocrates.


Good Morning (Re)positioning Bajaj. - AIMAresources.aima.in/Rajiv Bajaj.pdfCulprit According to a...

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