Launch of Amaron Automotive Batteries

Presented By:-Harshith S Shetty (11090)Nirnay Prakhar (11095)Praveen P Kurup (11100)Rohit Roy (11105)Siddhi Agrawal (11110)

IntroductionAbout the company:• ARBL -leading industrial & automotive battery

manufacturer in India.• Started by Ramachandra N. Galla, an NRI, in

1985.• First company to manufacture sealed

maintenance free valve regulated lead acid(VRLA) batteries.

• Technical collaboration with Johnson Controls, a global automotive component manufacturer.

Automotive market:• 62% market share ; valued at Rs. 160 bn.

• Automotive battery market is divided into two segments: OEM & replacement segments.

• Exide - 90% share in OEM & 25% share in replacement market.

Branding• They chose a brand name which signifies the

product attribute of “lasting long” – ‘Amar’ ‘on’.• No need to ever top up the water level.• High heat resistant technology.• The colour of the battery is black instead of

white. • Convenient fold down handles, charge indicator,

fancy looking wends. • Rugged look.• Fluorescent green coloured letters.

Promotional Strategies:• Increase brand awareness.• The ad campaign was designed to highlight the

attributes of long life and low maintenance.• Launched a mineral water campaign.• Associated itself with events like motor sports and

go-karting.• 100 franchisees named Pit Stops.• Distributes products to about 7250 retailers

including service stations, accessory shops, lubricant dealers, departmental stores etc.

Why did Amara Raja focus on the replacement market ?

• Exide leading with 90% market share in OEM market.

• New in automotive segment.• Replacement market dominated by

unorganized sector.• Create a brand awareness first.• Better price realization.

How did Branding help Amara Raja to market a low involvement product ?

• Brand awareness and high rate of brand recall.• Product differentiation.• Ensures that the product commands the best

quality so that it can be positioned as a premium brand.

• A brand element that conveys certain valued associations or responses.

• Decided to do break away advertising which was unconventional.

How to penetrate OEM Segment ?