04/12/2023 1

Content

Company Profile

SWOT Analysis

STP

Evolution of Maruti

Market Share

4 P’s

7

6

5

4

3

2

1

Sales Volume And Profit

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Company Profile

• Maruti Udyog Limited (MUL) was established in Feb 1981 through an Act of Parliament

• Joint Venture agreement signed with the Suzuki Motor Company of Japan in Oct 1983

• 1992 Suzuki increased its equity to 50% turning Maruti into a non-government organization.

• Maruti is the 3rd highest volume car manufacturer in Asia

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Evolution Of Maruti

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Sales Volume

2011-2012

2010-2011

2009-2010

2008-2009

2007-2008

2006-2007

2005-2006

2004-2005

0 200 400 600 800 1000 1200

ExportDomestic

(000) Units

Source- www.marutisuzuki.com

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Financial Position

2011-12 2010-11 % change

Net Sales Rs. 347,059 Mn Rs. 358,490 Mn Down by 3.2%

Net Profit Rs. 16,351 Mn Rs. 22,887 Mn Down by 28.6%

       

Total Volume 1,133,695 nos 1,271,005 nos Down by 10.8%

Domestic 1,006,316 nos 1,132,739 nos Down by 11.2%

Exports 127,379 nos 138,266 nos Down by 7.9%

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Market ShareBy Volume

49%

20%

8%

2%

3% 5%

5%

4%4%

MARUTI INDIA LTDHYUNDAITATA MOTORSHONDATOYOTAFORDGENERAL MOTORSVOLKSWAGENOTHERS

Source: Company data, Macquarie Research, April 2012

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Market Share In Export

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9

Financial Results(Rs Millions )

2010-11 2009-10

Gross total income 375,224 301,232

Profit before tax 31,088 35,925

Tax expense 8,202 10,949

Profit after tax 22,886 24,976

Balance brought forward 100,499 80,042

Profit available for appropriation 123,385 105,018

Appropriations:

General reserve 2,289 2,498

Proposed dividend 2,167 1,733

Corporate dividend tax 351 288

Balance carried forward to balance sheet 118,578 100,499

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Competitors

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Closest Competitor

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Company Profile

NAME HYUNDAI MOTORS

INDIA LIMITEDTYPE PUBLIC INDUSTRY AUTOMOTIVEFOUNDED 1946HEADQUARTERS NEW DELHIPRODUCTS AUTOMOBILESREVENUE RS60,661CRORE,(US$11.09

billion)NET INCOME RS3,481CRORE(US$644.32

MIL) EMPLOYEES 5930(2011)

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Segmentation

Demographic (Income Wise)

Entry Level(2.5-5) lakhs

Maruti Hyundai

Alto 800 Eon

Alto K10 Santro

Zen Estilo i-10

Wagon-R

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Segmentation

Mid Segment(5-10)

Maruti Hyundai

Swift i-20

Swift Desire Verna

SX-4

Ertiga

Premium Segment(10-25)

Grand Vitara Santa Fe

Kizashi Elantra

Sonata

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Targeting

Middle Class

Middle Class

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Positioning

Car of India Value for Money

Low Maintenance

Cost

Car of young

generation

Innovative Products

Largest car

exporter

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Marketing Mix

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Product Portfolio

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Product Portfolio

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Eon v/s Alto 800

V/S

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i-10 v/s wagon-R

V/S

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i-20 v/s Swift

V/S

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Verna v/s SX4

V/S

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Santa Fe v/s Grand Vitara

V/S

Price

• Maruti Suzuki• The lowest price car is Alto • The highest price car is Grand Vitara

with Rs . 2363840

• Hyundai• The lowest price car is Eon with Rs.278910.• The highest price car is Santa Fe with

Rs. 2269561.

Maruti Suzuki Price Hyundai Price

Low High

Low High

Maruti Suzuki Alto 800 250148 363815 Hyundai Eon 278910 382362

Maruti Suzuki Zen Estilo

352077 442235 Hyundai Santro Xing

293956 408200

Maruti Suzuki Wagon R 1.0

362077 449525 Hyundai i10 374214 623897

Maruti Suzuki A-Star 387513 470399 Hyundai i20 482412 789733

Maruti Suzuki Ritz 434425 643898 Hyundai Accent

523603 562840

Maruti Suzuki Swift 460874 698534 Hyundai Verna 723517 1146308

Maruti Suzuki Swift DZire

505790 756813 Hyundai New Elantra

1273088 1612272

Maruti Suzuki Ertiga 612735 890533 Hyundai Sonata

1885525 2096638

Maruti Suzuki SX4 737119 968917 Hyundai Santa Fe

2269561 2576740

Maruti Suzuki Kizashi 1697517 1799330

Maruti Suzuki Grand Vitara

2363840 2561830

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Place

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Place (Maruti)

TOTAL SALES NETWORK

CITIES COVERED BY SALES NETWORK

MARUTI TRUE VALUE OUTLETS

DEALER'S WORKSHOPS

MASS'S

TOTAL SERVICE POINTS

CITIES COVERED BY SERVICE NETWORK

0 500 1000 1500 2000 2500 3000 3500

1100

801

409

1305

1653

2958

1408

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Place (Hyundai)

CITIES COVERED

SERVICE CENTER

DEALERSHIP

0 100 200 300 400 500 600 700

451

647

340

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HYUNDAI PLANT(CHENNAI)

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Promotion (Maruti)

• Advertising

- Tv ads- “Ghar Aa Gaya Hindustan”

- Print ads

- Radio Ads• Trade shows• Premiums (gifts)• Place Advertising – Bill boards• TV shows - India’s Got talent• Motor Sports- Reid De Himalaya

• Brand Ambassador R.Madhvan

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Promotion

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Social Network Promotion

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Brand Ambassador

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Advertisement

• ..\Desktop\maruti\TV Commercials for Maruti Suzuki - Branded Cars - Brands.flv

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Promotion (Hyundai)

• Advertising

- Tv ads- New Thinking New Possibilities

- Print ads

- Radio Ads• Place Advertising – Bill boards• Official Sponsor Of ICC T-20 World Cup

2012• Brand Ambassador Shahrukh Khan

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Promotion

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Social Network Promotion

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Brand Ambassador

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Advertisement

• ..\Desktop\maruti\videoplayback.FLV

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SWOT

Strengths

HyundaiMaruti Suzuki

1

2

Brand loyality &  Brand Image

3

4

5

6

2

3

4

5

6

1

Reliablity.

Experience in Indian market.

Established distribution & after sales networks

Diversified market

Initiator in second hand vehicle sales through its True-value entity

New Innovative design and technology

Established name in Premium segment

Brand Equity

Largest exporter of car in Asia

Quality products

Strong financial position

Weakness

HyundaiMaruti Suzuki

1

2

Low quality interiors when compare other major players

3

4

5

2

3

4

5

1

Maruti hasn’t proved itself in SUV Segment like others

Still considered as lower segment brand

Depend only on their successful products

Long waiting period

Costly maintainance

Prices are slightly higher then competitors

No presence in Utility vehicle (like Omni, Eeco)

Not successful in SUV segment

Quality products

Opportunity

HyundaiMaruti Suzuki

1

2

Fast growing automobile industry

3

4

5

2

3

4

5

1

Increase in Potential Income of People

Change in the lifestyle of people

Developing hybrid cars for future.

Opportunity to enter commercial vehicle

Tapping emerging markets across the world.

People preferring more innovative and new design

Opportunity to enter commercial vehicle market

Fast growing automobile industry

Developing hybrid cars for future.

Threats

HyundaiMaruti Suzuki

1

2

Labour Union Issues

3

4

2

3

4

1

Increasing fuel prices

China entering Indian Automobile market.

More Competition from foreign players

More Competition from foreign players

Government policies for automobile sector

Government focusing more on Public transport

China entering Indian Automobile market.

Conclusion

• Still possessing the largest market share in terms of sale units, Maruti’s growth rate is declining day by day

• It has to work a lot to stand on the top position and create a name in premium segment

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References

1. Principles of Marketing (Kotler.Philip, Armstrong Gary).

2. Marketing Management AND case studies (ICMR publication).

3. The TIMES OF INDIA (Internet editions and New Delhi

Edition-11.06.07)

4. www.surfindia.com\marketingstartgies\

automobileindustries.html

5. www.goi.gov\disinvestments.pdf

Thank You