I would like to express my gratitude towards Mr. Nitin Sharma, (Area sale manger, TVS Motors pune) who gave me the opportunity to work for TVS Motors as a summer intern. This project has provided me with valuable insights in practical aspects of the two - wheeler marketing. I take this opportunity to express my sincere gratitude to Mr. Mukund Vandre (Sale century manger) & Mr. Vaibhav Devkar (Authorized Dealer, Manger) for their valuable inputs and guidance. I hope that TVS motors are benefited from the inferences, conclusions and recommendations made by me in this report.
AUTOMOBILE INDUSTRY
Indian automobile industry has grown leaps and bounds since 1898, a time when a car had touched the Indian streets for the first time. At present it holds a promising tenth position in the entire world with being number two in two wheelers and fourth in commercial vehicles. With standing a growth rate of 18% per annum and an annual production of more than 2million units, it may not be an exaggeration to say that this industry in the coming years will soon touch a figure of 10 million units per year. Besides a steady growth in India's fiscal system, the expansion of Indian middle class has also played a major role in drawing the attention of international auto manufacturers towards the Indian Automobile Market. Forever, India is one nation which provides skilled workforce at cut- throat prices making itself a preferable manufacturing centre. The magnetism of the Indian markets and the decline of global auto industries such as Japan, Europe and US have triggered the influx of new conglomerates along with huge capital investments in the sector.
INDIAN TWO-WHEELER INDUSTRY
India is the second largest producer and manufacturer of two- wheelers in the world. Indian two-wheeler industry has got spectacular growth in the last few years. Indian two-wheeler industry had a small beginning in the early 50's. The Automobile Products of India (API) started manufacturing scooters in the country. Bikes are a major segment of Indian two wheeler industry, the other two being scooters and mopeds. Indian companies are among the largest two-wheeler manufacturers in the world .Hero Honda and Bajaj Auto are two of the Indian companies that top the list of world companies manufacturing two-wheelers. Foreign collaborations have been playing a major role in the growth of the Indian Two-wheeler market, and most of them are Japanese firms. The modern two- wheeler firms in India have been manufacturing new categories of two wheelers such as Step- Through and scooters. These have been produced by combining two or more two-wheeler segments. Foreign firms have already taken initiatives to own their two-wheeler subsidiaries in India. The two-wheeler market was opened to foreign companies in the mid 1980s. The openness of Indian market to foreign companies led to the arrival of new models of two-wheelers into India. Easy availability of loans from the banks, relatively low rate of interest and the discount of prices offered by the dealers and manufacturers lead to the increasing demand for two- wheeler vehicles in India. This led to the strong growth of Indian automobile industry. Kinetic Honda was introduced in the Indian market during the mid 80s. The main feature of Kinetic Honda was its ease of use. This helped the youngsters and the women to buy scooters Major players in the 2-wheeler industry are Hero Motors Corp., Bajaj Auto Ltd (Bajaj Auto) and TVS Motor Company Ltd (TVS). The other key players in the two-wheeler industry are Yamaha Motors India Ltd (Yamaha), Royal Enfield Ltd (REL) and Honda Motorcycle & Scooter India (P) Ltd (HMSI).
CURRENT MARKET SCENARIO
Two wheeler industry has witnessed healthy growth scenario primarily driven by strong demand India is the 2nd largest two wheeler market in the world. Over the past few years the from urban as well as rural areas owing to healthy economic scenario. Growing population in urban areas also created the need for public transport infrastructure for regular commuting and thereby pushing the demand for low cost and fuel efficient two wheelers. The report presents CARE Research's forecasts of domestic demand for the next fiscal and for five year period till FY19 along with the drivers and draggers for the industry.
EXECUTIVE SUMMARY The summer training that we do is to get an experience of how the corporate world functions and how the theory is different from the practical aspects of the industry. For the same purpose I got an opportunity for my training at TVS Motors in the Sales promotion and Sales department. TVS has been at the forefront in bringing a revolution in the way personal commutation was happening, way back in the 1980s. Beginning with launching a simple, easy-to-use scooters for the middle class in India in the 1980s to launching 7 new bikes in a single day (first time in the history of the automotive industry in the world), TVS has often taken the unbeaten path to innovation. With the customer being their main focus of all the activities my projects were majorly concerned with the sales promotion and sales.
OBJECTIVES OF STUDY
Direct marketing methods. Strategies involved in marketing methods. Marketing strategies as a helping tool to increase sales. To figure out more output from low input. Consideration and non-considerations calls. CSR activity and Promotions.
Task undertaken Promotional Events Pune has a large market for two-wheelers and in order to exploit this, TVS Motors carry out various promotional events in different area of Pune. In these along with other interns we use to set canopys by roadside displaying various TVS scooters, distribute pamphlets and generate enquires.
Sales In sales I had to attain the costumer who use to come in showroom for choosing vehicles. I had to explain them about features of vehicle which they want to or will to buy. I had to guide them in process of purchasing and document needed.
Feedbacks calls I use to call those customer who had come early to choose TVS product but dint came up again. I use to note down there problem or other reasons for their delay in choosing their vehicle.
Consideration and non-considerations calls In these I was given consideration form and non-consideration form. I had to make call to those customer who were using TVS vehicle and also those customer who were not using. There were different type of question in those form which I use to ask customer and note down them.
Society Activity In these activity I was been told to find 10 society where there will be more than 100 apartments. I use to contact the chairman or person in charge of the society and take permission to put canopy in there society area and display TVS vehicles. Through these we had to create awareness among the society people.
CSR activity and Promotions (Shiksha Ek Nayi Soch)
CSR means Corporate Social Responsibility its activity with a thought Shiksha Ek Nayi Soch, where everyone are asked to donate their past year book, text books and notebooks which further pass to needy student who are not able purchase those book or student from rural area who want to study. This activity is held by TVS in which I as interns was told to choose a particular area in Pune to do promotion for TVS about their CSR activity. We were given TVS vehicles on which we had to carry out rally were we use to inform people about shiksha-ek nayi soch and also we use to give them demo ride on TVS vehicles if they wish for it. We also distributed pamphlet about Shiksha. We had to note down customers name and contact number who is willing to buy TVS vehicle or those who wanted to exchange their old vehicle with TVS.
TVS Motor Company Limited Company Profile
TVS Motor Company, the flagship company of the TVS Group, is Indias third largest two-wheeler manufacturer and one among the top ten in the world. The TVS Group was established back in 1911, when the founder of the company, Shri T V Sundaram Iyengar created an enduring business, led by a family of like-minded Workers and managers united by a set of high, yet shared principles. Driven by this Inspiration, the TVS group has today emerged as India's leading player in the automobile and automotive components industries. The group has 30 companies employing a work force of around 40,000 people. TVS Motor Company is the largest among the group companies in terms of size and turnover. Today, TVS Motor Company has, o 4 manufacturing plants (Hosur in Tamilnadu, Mysore in Karnataka, Nalagarh in Himachal Pradesh India and Karawang - Indonesia) o 16% market share in the two-wheeler industry in India o Product offerings in all segments of the two-wheeler industry in India o Product offerings for the three-wheeler industry in India o More than 15 million customers o Products exported to more than 50 countries worldwide Leading from the front, the Chairman of TVS Motor Company, Mr.Venu Srinivasan, has won many laurels for the company. The most recent awards conferred on him, while being head of the Confederation of Indian Industries include the Honoris Causa Doctor of Science (D. Sc.) for his outstanding contributions in the field of Quality Movement and Manufacturing Excellence, the distinguished civilian honour Order of Diplomatic Service Merit (Heung-In Medal) conferred by the President of the Republic of Korea, His Excellency Lee Myung-bak in recognition of his valuable contribution in promoting Korea-India bilateral relations and the prestigious honour by the President of Indian with the Padma Shri award for his valuable and outstanding contributions in the field of Trade and Industry. The JRD Tata Corporate, The Star of Asia award by Business Week, The Jamshedji TATA Lifetime Quality Achievement Award, Emerging Corporate Giant - Times & Harvard Business School Association are some of the other high-profile awards bestowed on him. Resilience, can-do attitude, indomitable spirit to continuously better industry norms, doing business with a human touch and putting customers at the forefront are some of the salient features that best define Team TVS. Driven by technology and innovation at the helm, TVS Motor Company boasts of a rich talent pool, manufacturing facilities that conform to world class standards and constantly emphasizes a strong commitment to ensure best practices. The Company has been a competitive player, constantly challenging industry standards and creating revolutionary innovations. Take for example the many firsts that the Company has been credited with, such as the deployment of a catalytic converter in a 100 cc motorcycle or even the first four stroke 150cc motorcycle; both premiered from TVS Motor Company. Also, there is the Apache, which in 2006 became the first Indian motorcycle to win six prestigious awards in a row and that too, immediately on being launched. The companys penchant for quality resulted in it becoming the first two-wheeler manufacturer to win the coveted Deming Award in 2002. The year 2007 also proved to be a special one for the Company as in that year; it became the first Indian automobile manufacturer to roll out as many as seven new products on a single day, a testimony to manufacturing prowess. TVS Motor Company is committed to achieve total customer satisfaction through excellence in quality, its management philosophy being based on five pillars of TQM (Total Quality Management). Quality awareness therefore percolates through the entire organisation from new product development to after sales services. The current product portfolio of the company comprise of motorcycles including TVS StaR in the economy segment, TVS Flame in the executive segment and TVS Apache RTR in performance segment. TVS Scooty Pep+, TVS Scooty Teenz, TVS Scooty Teenz Electric and TVS Scooty Streak make up the scooterette segment while XL Super and Heavy Duty form the mopeds segment. The company recently launched Indias first clutchless motorcycle, TVS Jive along with an automatic metal bodied scooter TVS WEGO therefore offering consumers a comprehensive product portfolio. TVS Motor Company is renowned for its human resource management. The principle of Total Employee Involvement (TEI) that the company employs, gives equal opportunity to each employee to create a promising career path. Employees get exposure to various skill developmental aspects like Cross Functional Teams (CFT), Supervisory Improvement Teams (SIT), Quality Control Circles (QCC) among various others. Specific care is taken to ensure the creation and maintenance of an incomparable working environment with employee welfare at the focal point. TVS Motor Company believes in going beyond the product and reaching out to people. It values customers and their expectations. In fact, it is this attribute that has inspired the company to innovate with concepts like 99 colours for TVS Scooty Pep+, balancing wheels for first-time scooter riders and among many others, racing technology in the Apache RTR for performance lovers. This has resulted in the company enjoying a base of more than 15 million satisfied customers. Constant innovation has led to regular setting of new benchmarks to meet fresh challenges and customer requirements. While adopting new technologies and processes, there is the ever present rationale to continually remain a green company, sensitive to the ever changing needs of the environment. As part of its global operations, TVS Motor Company has set up a manufacturing facility in Indonesia, which caters specifically to the Indonesian and ASEAN Markets. PT TVS Motor Company Indonesia, wholly owned subsidiary of TVS Motor Company, manufactures TVS Neo, the new generation of bebeks for those markets. TVS Motor Company has international presence in more than 50 countries in Asian, African and Latin American Continents and will enter more international markets in due course. In India, the company functions through a strong network of sales, service, authorised service centers and other certified service points.
PRODUCT DETAIL
TVS JUPITER
TVS Jupiter has a large name, in fact it is the name of the largest plant, yet it is contradictive in looks and is very compact. The looks of this scooter is stunning with new added features and cosmetic enhancement. The Jupiter produces immense power and ensures great performance with the 110cc single cylinder air-cooled engine. A more than average mileage of 62 kmpl in the Eco Mode is good enough for long rides. Most people prefer scooters these days even for long distance travel because of the comfortable seats, ample storage and so on. Some use scooters in place of bikes as that is what the trend is all about. Whatever may be the reason, fact is that Jupiter has made a distinct place in the competitive market and is topping the scooter segment. TVS Jupiter is equipped with an 110cc single cylinder air-cooled engine that gives out a power of 8 bhp at 7500rpm and 8Nm at 5500 rpm. This scooter was basically launched keeping all the male consumers in mind, hence the features are sturdy and gives out good performance. Transmission type on this scooter is of V-matic type and it does not come with any gear function, it just comes with a Manual Gearbox.
TVS WEGO
TVS WEGO is the gearless bike launched by the company to compete many famous brands like Activa, Vespa etc. The built is quite sleek and light with high rigidity under bone type chassis and a ground clearance of 150 mm. It is available in some very catchy colors and is one way to attract the young crowd towards it. This model basically comes in 2 variants TVS WEGO Drum and TVS WEGO Disc with both giving a mileage of 51 kmpl. The difference between the two variants is very clear by their names itself. The Disc version is basically provided with optional disc brakes and hence the name! The in line telescopic and the hydraulic damper offer a good front and rear suspension so that you always feel a smooth ride no matter what the road conditions are. The only dark point spotted for this bike is that its quite pricey for the majority of the Indian market. TVS WEGO is powered by 110 cc, 4-stroke, single cylinder, air- cooled engine with a 53 mm Bore and a 49 mm Stroke and promises to churn out a maximum power of 8 bhp at 7500rpm and a maximum torque of 8 Nm at 5500 RPM.It supports automatic gear box with V- matic transmission type with clutch free system. Along with this, self and kick start also offers a good flexibility to the driver. The fuel tank for this bike is 5 litres with 1.5 litres as the reserve. As mentioned above, the overall fuel efficiency is 51 kmpl and overall fuel efficiency range is 255 km.
TVS SCOOTY PEP +
Scooty in India is synonymous with light, low-powered bikes. That means if you are looking for a small, light, cheap bike to run errands, or gift your girl or wife, you are looking in the right direction. It is all that and with the new graphics, a bit more. You would do yourself no great favours if you choose not to look and test drive this one if you are in the market for something like this.There are many variants of Scooty itself. Not to mention options from every other manufacturer, but they all have a bit more weight. You can look at some option from the manufacturers who make electric bikes. The engine is a paltry 88cc and 5 bhp effort. And it features a CVT transmission. Which means it is a twist-and-go scooter. The engine is fairly smooth and the transmission is glitch free. All in all, while the engine and transmission are nothing to write home about in isolation, but together they work smoothly to give you a good ride, especially in the stop and go situation that this scooter will mostly find itself in.
TVS STAR CITY PLUS
TVS Motors has steadily been working on increasing their presence and strengthening their product line-up in the market. Catering to both ends of the spectrum can be difficult because at one end you have customers clamouring for more mileage & at the other you have customers wanting more power. Well, you simply add more products to your portfolio. The TVS Star City is thus a product that caters to the fuel efficiency demanding customer without cutting back on looks & style. TVS has recently also re-christened the bike as the TVS Star City+ at the Auto Expo held some months back. The TVS Star City features a 110 cc single cylinder four stroke engine that churns out 8.3 PS of power@ 7,000 rpm & 87 NM of torque at a relatively low 5,000 rpm. The engine features TVS Motors proprietary Ecothrust technology to get better fuel efficiency out of the unit. The internals gain TVSs proprietary RCF (Roller Cam Follower) technology as a result & thus gains from smoother internals & better fuel economy. The engine also gains from a new ignition system by TVS called the Continuous Variable Timing Ignition or CVTI that improves performance without cutting back on fuel economy. The engine has also been designed in such a way as to provide optimal swirl & tumble for the fuel air mixture aiding in better combustion inside the cylinder. The additional 10 cc gives it some extra oomph compared to its 100 cc engined competitors in the same category. A 4 speed constant mesh gearbox helps to send the power to the rear wheel. Featuring a bore X stroke ratio of 53.5mm X 48.8 mm, the short stroke engine is good for both the cities as well as the highways. Typical benefits of short stroke engines are higher rpm & torque figures at lower piston speeds & this is apparent on the TVS Star City.
TVS APACHE RTR
TVS Apache is a flagship bike from the well known bike manufacturer, TVS. This stunner has been bestowed with sporty looks and offers a commendable on-road performance. Shortly after it was launched, TVS Apache proved to be game changer for TVS in the Indian motorcycle industry. It is the first motorcycle in the Indian market to be equipped with ABS. Other interesting features of this bike include, LED DRLs, Semi-digital instrument cluster, powerful engine etc. It is designed with a racing approach with features like the lap timer and the provision for the last three 0-60kmph timings. The bike won the Performance Bike of the year award by Business Standard Motoring Awards. It is available in two main variants Apache RTR 160 and Apache RTR 160. The top of the line TVS Apache 180 comes fitted with a 180cc engine. It can reach 0-60kmph in just 3.7 seconds and 0-100kmph in only 12.07seconds. TVS Apache 160 is the low end variant of this bike that replaced TVS Apache 150 and sported the Racing Throttle Response(RTR) moniker . It is powered by 160cc single cylinder engine that offers 15.2bhp of power and 13.1Nm torque. It supports 270mm disc brakes and rear 200mm disc drum brake. This variant,similar to the 180cc variant, features bigger tank scoop, all-new head lamps and new sticker all around.
TVS SPORT ES
The Indian motorist has always been obsessed with fuel economy since time immemorial. The new generation motorcyclist wants power and style too. Given that we are an up and coming country where petrol is not really cheap, fuel economy and power play a large role in buying decisions. Add to that elements like style, shape,clours & graphics & the whole dynamics of the game themselves change. A perfect business case that makes sense for buying the TVS Star Sport. Envisioned as a stylish 100 cc commuter bike for the discerning masses,we attempt to find out if the TVS Star Sport really has the gumption to take on a market inundated with similar products. Powered by a 99.7 cc four stroke engine putting out maximum power of 5.5 KW @ 7500 rpm and 7.5 nm of torque @ 5000 rpm, the TVS Star Sport seems to have all bases covered. Th numbers seem adequate not only for a city environment but also capable of tacking the highways as and when required. Power to the wheels is transmitted via a 4 speed constant mesh gearbox that is linked to the rear wheel via chain drive. Boasting a 51 mm*48.8 mm bore*stroke ratio, the oversquare engine is punchy enough for the city and adequate for the highways. The compression ratio of 9.15:1 helps keep the fires burning in the combustion chamber too, making it good for that extra dose of power.
Research Methodology
Research is an art of scientific investigation, which helps to search for knowledge. Research methodology considers following items:
Research Design: The nature of this research is exploratory one. Because exploratory research studies are normally concerned with finding out the general nature of the problem and the different variables that are related to the problem. These kinds of research are very flexible, convenient and done by simple survey. It gives subjective evaluation of the research.
Type of Data: There are main two types of data, Primary data are those, which are collected for the first time and thus happen to be original in character. Secondary data on the other hand are those, which have already been collected by someone in the past. For this research study we have used primary data.
Data collection Method: For collecting primary data these are main important methods. Observation method Interview method Personal interview Telephone interview Mail Interview Questionnaires method
For this research study primary data are collected through personal interview method, questionnaires method, A questionnaire is used as a data collection instrument for collecting the primary data by taking personal interview of the consumer on telephone interview. A questionnaire consists of a numbers of questions printed or typed in a definite order on a form or set of form .
DATA ANALYSIS & RELEVANT ACTIVITY CHARTS, TABLES, GRAPHS, DIAGRAMS ETC. 1. Is TVS vehicle your first two-wheeler? Yes no
OUT OF 50 CUSTOMER 15 SAID YES. OUT OF 50 CUSTOMER 35 SAID NO.
2. If not then which vehicle did you own earlier? Kinetic Honda Scotty OTHER 0 10 20 30 40 YES NO
OUT OF 50 CUSTOMER 13 SAID OTHER. OUT OF 50 CUSTOMER 10 SAID SCOOTY. OUT OF 50 CUSTOMER 15 SAID HONDA. OUT OF 50 CUSTOMER 12 SAID KINETIC.
3. Which product of TVS motor is known to you? Scooter segment Bike segment Moped
Out of 50 customer 15 said scooter Out of 50 customer 16 said bike Out of 50 customer 19 said moped
0 2 4 6 8 10 12 14 16 KINETIC HONDA SCOOTY OTHER 0 5 10 15 20 25 SCOOTER BIKE MOPED 4. Which bike you are using currently? TVS NON-TVS
Out of 50 customer 21 said TVs Out of 50 customer 29 said non-TVs
5. Did you take test-drive of the vehicle before buying? Yes no CUSTOMER
OUT OF 50 CUSTOMER 28 SAID YES. OUT OF 50 CUSTOMER 22 SAID NO.
6. For what purpose do you normally use two-wheeler? Commuting to college/tuition. Occasional outing with friends. Commuting to work. Domestic work.
Out of 50 customer 15 said college/tuition. Out of 50 customer 10 said outing with friends. Out of 50 customer 10 said work. Out of 50 customer 15 said domestic work.
CUSTOMER YES NO customer college/tuition outing with friends work Domestic 7. Which other models did you consider before buying TVS vehicle? Honda active Mahindra rodeo Suzuki access Other
Out of 50 customer 15 said HONDA Out of 50 customer 10 said MAHINDRA Out of 50 customer 10 said SUZUKI Out of 50 customer 15 said OTHER.
8. Which of the following factors did you consider before buying? Mileage Cost Ease of maintenance Colors Styling Power CUSTOMER 0 5 10 15 HONDA MAHINDRA SUZUKI OTHER CUSTOMER HONDA MAHINDRA SUZUKI OTHER
Out of 50 customer 15 said MILEAGE Out of 50 customer 5 said EASE OF MAINTENANCE Out of 50 customer 5 said COLOURS Out of 50 customer 15 said STYLING Out of 50 customer 10 said POWER.
9. If given chances to buy again, which two-wheeler will you buy? Honda Suzuki TVS Mahindra
Out of 50 customer 13 said Honda Out of 50 customer 10 said Suzuki Out of 50 customer 18 said TVS Out of 50 customer 9 said Mahindra.
0 2 4 6 8 10 12 14 16 0 5 10 15 20 HONDA SUZUKI TVS MAHINDRA CUSTOMER 10. Which is your favorite TVS two-wheeler? Scooter Bike Moped
Out of 50 customer 24said scooter Out of 50 customer16 said bike Out of 50 customer 10 said moped.
0 5 10 15 20 25 SCOOTER BIKE MOPED Learning through the project Thing which I have learned is presenting myself in front of costumer,in which way we should approach to customer, understanding Customer need, making them feeling comfortable. Explain are product to customer. While presenting we had to take feedback whether client is satisfied with our presentation or need more information. Same time handle customer query and inquiry regarding our product.
We were doing many activity in which we were grouped in various teams. For each team every time our guide uses to appoint a leader for reporting and taking decision, so I also got the chance to be leader. I was being appointed as leader for society activity. While doing these I got to learn about leadership qualities. Handling people and getting work done by them and also reporting to seniors and leading a team. I learn that every time each one of us had different thinking policy in taking decision use to be quite difficult. At this situation taking common decision so that everyone is motivated and working in same direction to achieves the given goal.
These project taught me different Ways of direct marketing and doing promotion. I got to know different way of direct marketing such as distributing pamphlet, putting hanger pamphlet, rally, banners etc.
Javier Couso, Alexandra Huneeus, Rachel Sieder Cultures of Legality Judicialization and Political Activism in Latin America Cambridge Studies in Law and Society