You are on page 1of 29

Comparative Analysis of

Consumer response
towards TATA Motors &
Others
Executive Summary
As TATA MOTORS is regarded as one of
the best fuel efficient cars. Hence I
conducted a study on the consumer
perception about small cars. Firstly, I took
three brands of small cars; Zen estilo,
Indica and Santro for a comparative study
of small car segment.
Later I went through the process of filling
the questionnaires, to know exactly what
the customer’s of small cars perceived
about their cars.
All the cars taken for the sample
showed that the consumers perceived
them as almost same in all the
attributes like safety, comfort and
luxury.
But, at the end the research was
limited due to small sample size, small
sample area and time constraints.
COMPANY PROFILE

 Tata motors were established on


September 1, 1945, originally for the
manufacture of Steam Locomotives at
Jamshedpur.
 In 1969 Tata motors had become an
independent producer of Medium
Commercial Vehicles. It had also
developed the capability of designing,
testing and manufacturing such
vehicles.
 Itis the country's leading commercial
vehicle manufacturer and has
significant presence in the multi-utility
and passenger car segments.
 With the Launch of Tata Indica, an Euro
2 compliant vehicle, is the country’s
first indigenously designed, developed
and manufactured passenger car.
 Withthe launch of Tata nano, Tata
has penetrated the market to its
extreme by making a car available
for Rs. 132000 only. This is the
cheapest car in India till date and
with the announcement of its diesel
variant it has made potential buyers
to eagerly wait for it.
Marketing Strategies Followed
By TATA MOTORS
 1. Product, Branding, and Advertising
Advertising is one of the most common ways to make car
buyer or car enthusiast aware of the new car with special
promotion price. Another more important way of
advertising is to create an image or brand image.
Take BMW Z3 for example, it was introduced in 1996 and
shortly the car has been used in the famous James Bond
movie. Over the years Tata Motors have been successful in
creating their brand image.

 Other important marketing strategies are such as the


packaging, innovations, and quality control. Tata Motors
provide many innovative features to attract car lover. One
of these innovations is the Tata Safari 4X4 Dicor that has
“Reverse Guide System”. A weather-proof camera is fixed
to the rear car to help the driver while reversing the car.
 2. Pricing Strategy
There are various factors to determine a price of a
car. These factors are such as market condition (it
can’t be too low or too high with the prices of
same vehicle from competitors, it has to be at
par), cost incurred to build a car, profit by
company, dealer profit.
Giving discount every month and special
promotion for certain type of vehicle also one of
the strong strategy use by Tata Motors. Discount
can be made from Company’s profit or from
dealer’s profit at certain range.
 3. Place
Place of dealership does play an important
role. The channel of distribution, physical
location, and dealership method of
distribution and sales is generally adopted.
The distribution of vehicle must be in a very
systematic way, from the plant to
dealership and to end user. This is not only
in India itself but also to the world-wide
dealership.
S.W.O.T MATRIX

Internal Analysis

Strengths Weaknesses

External Analysis

Opportunities Threaths
SWOT Matrix

Strengths Weaknesses
► Brand Image ► Lack of competence
► Dealers and service network ► few models lined up
► Large shareholders base for ► Not a strong player in luxury
capital needs segment
► Own steel plants

Opportunities Threats
► largest aspiring middle class ► strong competition
► prospective buyers from 2- ► safety and realibility
wheeler segment ► aggressive policies by maruti
PLAYERS IN THE COMPACT
SEGMENT
► Maruti Udyog Ltd.
Zen estilo, WagonR
► Hundai motors India Ltd.
Santro
► Fiat India Automobiles Pvt. Ltd.
punto
► General Motors
Sparks
Research
Research Methodology: The data for the project was collected
from malls, customers at showrooms, markets and from public in
Delhi.
Sample Size: Sample size of 60 was taken based on “ convenient
Simple Random Sampling”.
Research Tools : The data was collected through “Survey
Questionnaire Method”.

Data Collection: Data was collected through the following-


a) Primary sources: Questionnaire from General public
b) Secondary Sources: Magazines, newspapers, Internet.
Questionnaire
 Questionnaire is a source of Primary Data.
 It is a simple way to collect data from general
public
 A multiple choice questions were given to the
respondents and they were asked to fill their
opinion.
 The data was then analyzed and inferences were
drawn on that basis.
DATA ANALYSIS
Data analysis is the most important part of
any questionnaire.
The data was analyzed according to the
answers filed in by respondents.
The data was put in charts to get a clear
comparison of services and satisfaction
provided by various operators.
ANALYSIS
► Sample size – 60
► Respondents:
► Owners of Santro – 18
► Owners of Zen estilo - 8
► Owners of Indica –9
► Owners of other cars – 5
FINDINGS
Q) What do you own?
a) car b) Two Wheeler c) Nothing

Car

Two
wheeler
Nothing

From that it was found that


40 people owned a car
15 owned two wheelers and
5 don’t nothing
Q) Which car do you own?
a) zen estilo b) santro c) indica d) others

20

15

10 Response

From that it was found that :


8 people owns zen estilo
18 people owns santro
9 people owns indica
5 people owns others
Q) Are you satisfied with it?
A) Yes b) No

35
30
25
20
15 Response
10
5
0
Yes No

From that it was found that


35 were satisfied and
25 were not.
How much do you spend on maintenance on a monthly basis?
a) <2000 b) 2000-4000 c) >4000

<2000
2000-4000
>4000

From that it was found that


38 spends below 1000
15 spends between 2000-4000
7 spends above 4000
Q) Name a car that comes first in your mind when you
think of small segment car in India?

Santro
Zen estilo
Indica
Others

From that it was found that :


18 said zen estilo
15 said santro
16 said Indica
11 said others
Q) Out of these which you will see first when you will buy a car?

cost & peformance


performance & style
performance Response

Style
cost

0 5 10 15

From that it was found that.


5 people consider cost before purchasing a car.
4 people consider style before purchasing a car.
12 people consider performance before purchasing a car.
15 people consider performance & style before purchasing a car.
Q) Are you planning to buy a car within next?

25
20
15
10
5 response
0
In 1 1 year
month

From that it was found that


2 people want to purchase in a month
5 people want to purchase within 2 months
12 said 6 months
20 said in a year
21 said not in near future
Q. Would You will purchase tata nano?

YES
NO
From that it was found that
CAN'T SAY
18 said yes
32 said no
10 said cant say
Conclusion
In small segment consumer seeks for-:
 Good mileage
 low maintenance
 easy availability of spare parts
 easy finance
 Price
Recommendations
 Should increase No. of service centers
 Should bring more variants
 Easy availability of spares parts
 Should Increase No. of outlets
 Should employee more trained
employees
Limitations
► The size of sample was very small.
► Some information may vary for different people.
► Respondents might have given biased answers.
► Small sample size did not cover all age groups.
► Time constraint.
► The figures of result and analysis are approximate.
Biblography
► Internet:
► http://www.tata.com/0_careers/our_people/20020214_suman1.htm
► http://www.tata.com/0_b_sectors/index.htm
► http://www.cybersteering.com/auto_makers/telco/tata.html
► http://www.tata.com/tata_engg/index.htm
► http://www.tatainternational.com/automob_products.asp
► http://www.tata.com/tata_engg/articles/index.htm
► http://www.telcoindia.com/home.htm
► http://www.tata.com/tata_engg/media/20020228.htm
► http://www.tata.com/tata_engg/articles/2000106051indica2.htm
► http://www.tata.com/tcs/articles/20011110_auto_engg_service(1).htm
► www.marutiudyog.com
► www.hyudaimotorindia.com
► www.autoweb.com
► Magazines:
► Auto Car 2008
► Auto India January 2007-08
► Newspapers
► Times of India
► Hindustan times
presented by-
Abhishek Goel
0652061707(27)