Marketing Management Presentation ON Bajaj Pulsar

Team Members:
Saqib Khan (Roll Deepak Tambatkar (Roll Anila Menon (Roll Sameer Shaikh (Roll Madhuri Ghanekar(Roll No. No. No. No. No. 31) 24) 16) 26) 29)

1926

Bajaj group founded

1945

M/s Bachraj Trading Corporation Private Limited

1960

Private ltd Co.

Erstwhile BAL

BHIL

BFSL

BAL

56.5%

21.4%

22.1%

BAL

R&D

Engineering

Two-wheeler

Commercial vehicles

International business

Abraham Joseph

Pradeep Srivastava

S Sridhar

RC Maheshwari

Rakesh Sharma

4Ps of Marketing Mix

Features Benefits
Technical Parts Colors Pulsar Technologies

Engine 135, 150, 180, 200, & 220 cc Air cooled 4 stroke cycle 2-4 value, OHC Single piston, kick start/ electric start Alloy wheels Power21.04 hp(15.69 Kw) @8500rpm

Transmission 5 speed Weight 130kg (Avg)

Fuel Caacity 8-15 ltrs

Sporty Look with Low Maintaining Excellent Performance More Power Comfortable Ride Lighter Weight Stronger More Milege Fuel Consumption

Types of Showrooms implemented by Bajaj

COCO-

Company owned & company operated Company owned & dealer operated

CODO

 Penetration Pricing strategy Economy Pricing strategy Geographical Pricing.

Model Pulsar 135 Pulsar 150 Pulsar 180 Pulsar 200 Pulsar 220 Engine capacity 134.6cc, DTSi 149.01cc, DTSi 178.6cc, DTSi 220cc, DTS-i 220cc, DTS-i Avg. Price in Metros 61600 70800 74300 80900 84300

Price

Promotion

Creative team of advertising company O&M launched Pulsar with tagline Definitely Male.
While introducing DTSi technology Leo Burnett advertising agency positioned the brand from Definitely male to Digital Biking Free Biking tackling obstacles concept used for launching Pulsar 200 cc Bike.

Pulsar Mania adv was launched to promote all the versions of pulsar
MTV Stunt Mania show launched to target the audience of 18 & above to promote bike maintenance and safety ride

Competitive Ananlysis

Count of Brands by Company

8

5 4 4

Total Bajaj Hero Motor Corp Honda Motors Royal Enfield Suzuki TVS Motors Yamaha

Count of Products by Company

13 13

11 10 10 9

Bajaj

Hero Motor Corp

Honda Motors

Royal Enfield

Suzuki

TVS Motors

Yamaha

Category wise offering

No. of Products

6 5 4 5 4 3 2 2 1 1

6 5 4 3 2 2 3

100 - 140 cc Bajaj Hero Motor Corp Honda Motors Royal Enfield Suzuki TVS Motors Yamaha 5 6 4 5 8 4

140 - 170 cc 2 3 2 1 1 6

170 - 230 cc 3 2

230 cc and above

5 5 4 2 3

Category wise Pricing

1400000

1200000

1000000 Price in INR

800000

600000

400000

200000

0 Bajaj Hero Motor Corp Honda Motors Royal Enfield Suzuki TVS Motors Yamaha

100 - 140 cc 41000 43375 52000 47000 42500 43250

140 - 170 cc 52500 54000 60500 59000 67000 67500

170 - 230 cc 71100 83500

230 cc and above

852200 99200 1188750 72500 1194000

Strategies to stay Competitive

Constant Quality Improvement Thrust on R & D Product for every Pocket

500000 400000 300000 200000 100000 0 May-10

May-10 May-09

Hero Honda May 2009 May 2010 382678 435933

Bajaj 165049 269488

TVS 118574 154667

Honda 96326 132090

Yamaha 21388 25033

Suzuki 12590 21714

Year end Market 31st (in March Millions) 2006 2007 5.815 6.554

Market growth 17.1% 12.7%

BAL (in Millions) 1.747 2.079

BALs growth 31.7% 19.0%

BALs market share 30.0% 31.7%

2008 2009
2010

5.768 5.835
7.341

-12.0% 1.2%
25.8%

1.658 1.276
1.782

- 20.3% - 23.0%
39.7%

28.7% 21.9%
24.3%

35%
30% 25% 20% 15% 10% India, Sports BAL, Sports

5%
0%

Strength

Weakness

SWOT Analysis
Threats

Opportunities

Strength
Highly experienced management Product design and development capabilities Extensive R & D focus Widespread distribution network High performance products across all categories Pulsar features Indias First Oil Cooled Engine which delivers maximum power making itmost powerful engine offered by Bajaj. New Pulsar also provides Digital Speedometer, Self Canceling Indicators which is for theFirst time in this segment in India. Fuel efficiency : Pulsar 200cc delivers an impressive mileage of 38.2 kmpl in city ascompared to Karizma which delivers 30 kmpl in city. Customer Base : In past decade Bajaj has established a strong base amongst its customers.Highly experienced management was also an advantage. Cost efficiency in production High economies of scale. High economies of scope. Long term commitment for low price and high quality goods fromsuppliers. Focusing on market segments with cost advantages. Entry barrier by low cost structure.

Weakness
Style and Design : PULSAR 200cc and 220cc derives their styling from there previousversion Pulsar 150 Dts-i and 180 Dts-i. Pricing : Bajaj 220cc (Rs 82449 basic price) is costlier than karizma (Rs 78000 basic price). Product only for middle class people. Not a global player in spite of huge volumes in sales. Only domestic operation and does not compete in global markets. Not diversifying in spite of available synergies. Not working on creating entry barriers. No technology up gradation in other sector despite cost cutting

Opportunities
If Bajaj derive new styling, shape, design for pulsar 200cc and 220cc then they can attractmore customers. Taking into consideration the reviews of the customers regarding the fairing of 220ccand making the needful changes will be an opportunity to capture an even larger share of the 200cc+ segment. More growth prospects. Untapped global market. Growth by invention and innovation of new product. Having adaptive- entrepreneur mode of strategy making

Threats
The biggest threat is faced from the goodwill of herohonda bikes in this segment who are the Four-Stroke Two Wheeler Ruler of the Indian bike market. Certain technical faults in the bike design which are potentially dangerous to the riders safety can be disastrous to the image of the bike. Also certain advertisement faults, according to researchers, in the pulsar 200CC model were also a fault. The competition catches up innovation in no time. Threat from new entrant. Threat of cheap product by international market. Margin getting lower and lower. Loss of market share rapidly

Recommendation
Importance to Safety Comfort Seating Brand ambassador

References Bajaj Auto annual report

AR-2009-10.pdf)

(http://www.bajajauto.com/report/BAL-

DNA India

(http://www.dnaindia.com/money/column_demystifying-the-bajajauto-demerger_1159911)

Business Standard

(http://www.businessstandard.com/india/news/bajaj-auto-revamps-organisational-structure/290128)

Bike advice (http://bikeadvice.in/wheeler-sales-figures-2010-india/) Society of Automobile Manufacturers

(http://siam.com)

Gaadi.com (http://gaadi.com) ZigWheles (http://zigwhels.com)

Thank You