Do You come to know about the Brand Skoda if no promotional activities exist ?

HISTORY
Skoda Auto India Private Limited is an Indian subsidiary

of Europe''s number one automaker, Volkswagen.

Skoda Works was established as an arms manufacturer in 1859, but did not develop automobiles.

The company started off by manufacturing bicycles.

In the case of Skoda Automobile the government brought in a strong foreign partner. Volkswagen was

chosen in 1990 and, in April, 1991, Skoda became the

fourth brand of the Volkswagen Group.

 In1900, the first model of motorcycle, voiturette was a success and the company was established both within Austria-Hungary and internationally. By 1905 the firm was manufacturing automobiles. Skoda entered the Indian market in November16, 2001. The company invested in a plant at shendra, outskirts of Aurangabad, the only manufacturing facility of the company outside Europe. In 2005 the company achieved more than 25% market in the luxury 1segment. In the same year It had set up a network of 41 dealership equipped with 35 facilities spread across the country. The total sale was close to 27,000.

Skoda Product line

Skoda Fabia
Skoda Superb

Skoda laura
Skoda Rapid

Skoda yeti

Skoda SWOT Analysis

Strengths: Skoda manufactured cars that their customers could enjoy, which is different from simply maximizing sales. Skoda branded them as a quality product that satisfies its customers. In customer satisfaction survey they asks owners what they feel about cars to those who have owned for at least six months Skoda has been in the top five manufacturers in this survey for the past 13 years. Skodas Octavia model has also won the 2008 Auto Express Driver Power Best Car. Weakness: Skoda has only 1.7% market share. This made it a very small player in the market for cars. Skoda still lacks a strong appeal. The cars had an image of poor vehicle quality, design, assembly, and materials. This poor perception also affected Skoda owners. High maintenance cost.

Opportunity: Customers loved their cars more than owners of competitor brands, such as Renault or Ford. It must focuses on its existing strengths and can provide cars focused on the customer experience. It can enable to differentiate the Skoda brand to make it stand out from the competition. Threats: A competitor launching cheaper products. This made Skoda to lose its market share again. Skoda needs a strong product range to compete in India and also globally

Research
EXPLORATORY RESEARCH Exploratory research is a type of research conducted for a problem that has not been clearly defined. exploratory research often concludes that a perceived problem does not actually exist.

Primary data collection is being done

with the help of the personal in inerview of the employees working at the organization which contains open ended, close ended and multiple choice questions. For secondary data collection official web site of the organization, other related web sites, theory books, magazines, research reports and news paper bring reviewed.

PROMOTION TOOLS : Companies must allocate the marketing communications budget over the eight major modes of communication.
Advertising Sales promotion Public relations and publicity Events and experiences Direct marketing Word of mouth marketing

ADVERTISING It reaches geographically dispersed buyers. It can build up a long term image or a product or trigger quick sales. Certain forms of advertising such as TV can require large budget whereas other forms such as newspapers do not. Just the presence of advertising might have an effect on sales. SALES PROMOTION Companies use promotion tools such as
Coupons Contests Premiums to draw a strong and quicker buyer response , including short-run effects such as highlighting product offers and boosting sagging sales.

sales promotions include tools for consumer promotions like Coupons Cash refund offers Price offs Premiums Prizes Patronage rewards Free trials Warranties

 PERSONAL SELLING: It involves personal confrontation either by phone or face, it is an expensive and timeconsuming tool of promoting the product. ADVERTISING: It is defined as a paid non-personal communication with a target(Usually mass) market. It is cost effective and can reach a large number of people .It can also be used for long term or short term objectives. There are various forms or mediums through which can advertise. A. Broadcast Media: Television Radio Cinema B. Print media: Newspapers Magazines Leaflets C. Outdoor media: Posters and billboards.

DIRECT MARKETING INCLUDES: Direct mail. Telemarketing. Door to door selling. Direct response advertising: phone now or fill in the coupon ads Home shopping of various types.

Factors that guide a marketers decision in selecting a promotion mix: a)Nature of product b)Overall marketing strategy c) Buyer readiness stage d)Product life cycle stage

PROMOTION POLICY: Company gives advertisement in different media vehicles time to time. Likening TV. Magazines, newspaper, etc. Skoda also organizes free service camps every year. Skoda also takes part in trade fair. Skoda with the help of ICICI Bank provides loan to the customers &also provide easy monthly instalment scheme to customers. Skoda gives huge commission to their dealers. The various promotional activities adopted by the Skoda Company. The company has 100crore rupees for its promotional activities out of which75% is sponsored by the company and 25% from the dealers. They may sign a celebrity for its promotional activities in recent futures.

 The company provides six free services to its customers in comparison to its competitors. The company provides good services facilities to its customers through dealers service station. Dealers encourage its customers by giving discount, providing 0%interest loan schemes, prices, coupons etc. The various promotional activities adopted by Skoda bikes are as follows
Credit & finance schemes Free services to the consumers Advertisements on Televisions, Newspapers, Magazines Road Shows Free trials for the new consumers

FINDINGS
The consumer prefers Skoda in terms of quality and reliability. Skoda enjoys a very strong brand image and brand loyalty. But the company should not get complacent as a better product from the competitor will dilute the companys brand image. It was found that only a small number of consumers came to dealers due to its sales promotion. This indicates that there is a scope for improvement in sales promotion other than free gifts and discounts as it was not an attractive proposition for their buying decision Customers only stated that promotional activities bring an impact on sales but most of them are not much influenced by the promotional activities to buy a bike. Most of the consumers go for the Skoda because of its safe design. Skoda technology is very innovative so customers like to take it. A very high segment of youth goes for the name and goodwill of the skoda.

The company should provide free services to its customers in comparison to its competitors. More financing option should be provided such as loans and credits. The company should provide more customer value.

SUGGESTIONS
Dealers should encourage its customers by giving discount, providing 0% interest loan schemes, prices, coupons etc.

Follow up should be increased. Effort should be done for developing the concept of good relationship with consumers.