Brand Report

ITM Business School Plot # 25/26, Sector 4, Kharghar, Navi Mumbai

A Report on Brand Management

Two Wheeler Industry

Guided By:

Submitted By:

Prof. Manish Karandhikar

106-Rishabh Mehrotra 126-Rohit Khadelwal 127-Shoeb Ali 128- Jayant Singh Raghav 177-Sunil Aharwal 178-Sanjay Kichloo

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Two Wheeler Industry : An Overview The two-wheeler industry (henceforth TWI) in India has been in existence since 1955. It consists of three segments viz., scooters, motorcycles, and mopeds. The increase in sales volume of this industry is proof of its high growth. In 1971, sales were around 0.1 million units per annum. But by 1998, this figure had risen to 3 million units per annum. Similarly, capacities of production have also increased from about 0.2 million units of annual capacity in the seventies to more than 4 million units in the late nineties It was in the year 1954 that the Indian government ordered for total number of 800 motorcycles to man the Pakistani borders. In came the Bullets which were initially launched in England as a 350cc bike and it was upgraded to 500cc a year or so later. These bikes have remained unaltered, barring some cosmetic changes which have undergone over the years. Thus one can say without much of a doubt that the 1955 Bullet was one of the initial hits of the Indian two-wheeler industry and till today it continues to be a darling of the motorcycle enthusiasts. Enfield Bullet had a close competition with another sturdy bike named Rajdoot; as the bike was strong enough to handle the rough Indian roads The two-wheeler industry in India has to a great extent been shaped by the evolution of the industrial policy of the country. Regulatory policies like FERA and MRTP caused the growth of some segments in the industry like motorcycles to stagnate. These were later able to grow (both in terms of overall sales volumes and number of players) once foreign investments were allowed in 1981. The reforms in the eighties like ‘broadbanding’ caused the entry of several new firms and products which caused the existing technologically outdated products to lose sales volume and/or exit the market. Finally, with liberalization in the nineties, the industry witnessed a proliferation in brands. A description of the evolution of the two wheeler industry in India is usefully split up into four ten year periods. This division traces significant changes in economic policy making. The first timeperiod, 1960-1969, was one during which the growth of the two-wheeler industry was fostered through means like permitting foreign collaborations and phasing out of non-manufacturing firms in the industry. The period 1970-1980 saw state controls, through the use of the licensing system and certain regulatory acts over the economy, at their peak. Institute for Technology & Management, Kharghar, Navi Mumbai Page 2

During 1981-1990 significant reforms were initiated in the country. The final time-period covers the period 1991-1999 during which the reform process was deepened These reforms encompassed several areas like finance, trade, tax, industrial policy etc. We now discuss in somewhat greater detail the principal characteristics of each sub period. a) 1960 – 1969 The automobile industry being classified as one of importance under the Industrial Policy Resolution of 1948 was therefore controlled and regulated by the Government. In order to encourage manufacturing, besides restricting import of complete vehicles, automobile assembler firms were phased out by 1952 (Tariff Commission, 1968), and only manufacturing firms allowed to continue. Production of automobiles was licensed, which meant that a firm required a licensing approval in order to open a plant. It also meant that a firm’s capacity of production was determined by the Government. b) 1970 – 1980 This was a period during which the overall growth rate of the two-wheeler industry was high (around 15% per annum). Furthermore, the levels of restriction and control over the industry were also high. The former was the result of the steep oil price hikes in 1974 following which twowheelers became popular modes of personal transport because they offered higher fuel efficiency over cars/jeeps8. On the other hand, the introduction of regulatory polices such as MRTP and FERA resulted in a controlled industry. The impact of MRTP was limited as it affected only large firms like Bajaj Auto Ltd. whose growth rates were curbed as they came under the purview of this Act. However, FERA had a more far-reaching effect as it caused foreign investment in India to be restricted. In the motorcycle segment FERA caused technological stagnation, as a consequence of which, neither new products nor firms entered the market since this segment depended almost entirely on foreign collaborations for technology. The scooter and moped segments on the other hand were technologically more self-sufficient and thus there were two new entrants in the scooter segment and three in the moped segment .

c) 1981 – 1990 Institute for Technology & Management, Kharghar, Navi Mumbai Page 3

The technological backwardness of the Indian two-wheeler industry was one of the reasons for the initiation of reforms in 1981. Foreign collaborations were allowed for all two-wheelers up to an engine capacity of 100 cc. d) 1970 – 1980 This was a period during which the overall growth rate of the two-wheeler industry was high (around 15% per annum). Furthermore, the levels of restriction and control over the industry were also high. The former was the result of the steep oil price hikes in 1974 following which two-wheelers became popular modes of personal transport because they offered higher fuel efficiency over cars/jeeps8. On the other hand, the introduction of regulatory polices such as MRTP and FERA resulted in a controlled industry. The impact of MRTP was limited as it affected only large firms like Bajaj Auto Ltd. whose growth rates were curbed as they came under the purview of this Act. However, FERA had a more far-reaching effect as it caused foreign investment in India to be restricted. In the motorcycle segment FERA caused technological stagnation9, as a consequence of which, neither new products nor firms entered the market since this segment depended almost entirely on foreign collaborations for technology. The scooter and moped segments on the other hand were technologically more self-sufficient and thus there were two new entrants in the scooter segment and three in the moped segment. c) 1981 – 1990 The technological backwardness of the Indian two-wheeler industry was one of the reasons for the initiation of reforms in 1981. Foreign collaborations were allowed for all two-wheelers up to an engine capacity of 100 cc.

Current Scenario Two- wheeler sales in the country have sky rocketed in the recent years, and the annual sales of motorcycles in India expected to cross the 10 million mark by 2010. The low penetration of twowheelers in the country 31 two-wheelers per 1000 citizens (2004) leaves immense scope for the growth of the market. Overall the industry sales of two-wheelers have grown by 15% from 6.57 million in 2004/2005 to 7.57 million in 2005/2006. The buoyant Indian economy with a growth rate of around 8% per annum is further expected to fuel the growth of two wheelers in the country. The share of motorcycles have increased over the years, while that of other two-wheelers like Institute for Technology & Management, Kharghar, Navi Mumbai Page 4

geared scooters, scooterettes and mopeds have shown a negative growth or remained stagnant. The two-wheelers have penetrated 7% of rural house hold and 24% of urban markets, thus it leaves an immense

scope

for

the

market

to

grow.

Bajaj Auto one of the leading producers of automobiles in the country has been able to sell close to 2.3 million vehicles in 2005/2006, the sales of the company grew by almost 31%. The company registered a 32% growth in the sales of motorcycles much above the industry average of 19%. Bajaj Auto has emerged as a market leader in the entry level or price segment motorcycle with the Bajaj CT 100 accounting for nearly 40% of the market share. It also commands a 62% market share in the premium segment of motorcycles with products like the Bajaj Pulsar DTSI. TVS Motors which has lots of firsts to its credit in the two-wheeler sector in the country was able to sell 1.34 million units during the same period thus registering an overall growth of 15% from the previous year. In the motorcycle segment the company's growth in sales was in sync with the industry average. The introductions of motorcycles like the TVS Star range of motorcycles have helped the company in gaining a healthy market share in this segment. Where the company has emerged as a clear winner by holding onto its leadership position is in the moped segment. The company has posted a 10% growth in sales accounting for a market share of about 77%. If this figures have daunted you the best is yet to come, the country leader in two-wheelers hero honda have crossed the three million mark during the year 2005/2006 which is a good few lakhs more than its nearest competitor Bajaj Auto. The company accounted for nearly 40% of then twowheeler market. In the motorcycle segment the company has been able to attain a market share of about 50%. The segment in which Hero Honda has emerged as a clear winner is the Deluxe segment, which is the largest segment in the motorcycles category, with its flagship family of motorcycles splendor selling over 1.2 million units which is just a shade less than all the two wheelers sold by TVS during the same year.

Hero Honda Institute for Technology & Management, Kharghar, Navi Mumbai Page 5

Hero Honda: Hero” is the brand name used by the Munjal brothers for their flagship company Hero Cycles Ltd. A joint venture between the Hero Group and Honda Motor Company was established in 1984 as the Hero Honda company. During the 1980s, the company introduced motorcycles that were popular in India for their fuel economy and low cost. A popular advertising campaign based on the slogan 'Fill it - Shut it Forget it' that emphasized the motorcycle's fuel efficiency helped the company grow at a doubledigit pace since inception. Hero Honda has three manufacturing facilities based at Dharuhera and Gurgaon in Haryana and at Haridwar in Uttarakhand. These plants together are capable of churning out 3.9 million bikes per year. Hero Honda's has a large sales and service network with over 3,000 dealerships and service points across India. Hero Honda's customer loyalty program, the Hero Honda Passport Program, claims to be one of the largest programs of its kind in the world with over 3 million members. The 2006 Forbes 200 Most Respected companies list has Hero Honda Motors ranked at 108.

Brand Name: The name HERO HONDA, is inspired by the parental companies, the hero group and the Honda company from Japan. The brand name has been into place from the day the two firms came into joint venture.

Brand Logo: Hero Honda in its history of 21 years has never changed its logo. Even after Honda started to produce its own bikes in India, Hero Honda is continuing with the same brand name and the brand logo.

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Brand Slogans: Hero Honda came up with its first slogan in the year 1993 as “FILL IT, SHUT IT, FORGET IT”. At that point of time the consumers were concentrating more on the economy factor, thus emphasizing on its good mileage the company came up with the slogan. They changed their slogan to “DESH KI DHADKAN” in the year 2000. The company chose this tagline in order to celebrate their achievement of World's No.1 two-wheeler manufacturing company having the trust of more than 5 million customers. The same tagline was transformed to DHAK DHAK GO….in the year 2003 With increasing competition from Bajaj and decreasing market share, Hero Honda returned to its oldest tagline “FILL IT, SHUT IT, FORGET IT”. This was done because Hero Honda is primarily doing well in the economy class bikes and competitors like Bajaj were coming up with products in that segment. So in order to keep their market in tact in that segment, Hero Honda decided to return back to this tagline.

Brand Ambassador:

Hero Honda has always concentrated on its Brand Ambassadors.

Hero Honda have always encashed on the two things closest to Indian people CRICKET and MOVIES. So their brand ambassadors have always been cricket stars or movie stars. Starting from Saurav Ganguly, Virendra Sehwag, Yuvraj Singh. With the changed look and targeting youth they roped in the young players of the team like Gautam Gambhir, Ishant Sharma, Suresh Raina and Rohit Sharma. Apart from them Hrithik Roshan has been a brand ambassador for Hero Honda. When the company launched scooty in the market they roped in Proyanka Chopra to be their Brand Ambassador.

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Brand Associations: Hero Honda has strong associations with some of the most popular television series. Rather if you search for Hero Honda on the internet out of the 1st 25 results about 10 of them are related to one of its associations Hero Honda Roadies M TV.

Hero Honda Campus Rock Idols

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A musical rock band show, an initiative stated in 2007, Hero Honda attached itself to an rock band competition where rock bands from various colleges compete. The idea behind the association was the youth which is its main target customer.

Hero Honda Sa Re Ga Ma Pa challenge

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This association was mostly targeted to increase its visibility, as this was a family programme very popular among families. Hero Honda Terra Quiz

With everybody talking about natural problems, Hero Honda very well showed its concern by associating itself with a Quiz environmental issues and concerns. Hero Honda Passport programme

An initiative to develop a relationship with its customers. It was an attempt to increase the customer loyalty so as to a person who had bought a Hero Honda 10 years ago should purchase Hero Honda again if he is thinking to buy a two wheeler. Hero Honda Delhi Dare Devils Institute for Technology & Management, Kharghar, Navi Mumbai Page 10

A step in the top league. Cashing in on the blend of best of cricket and entertainment. Commenting on the deal, Hero Honda MD and CEO Pawan Munjal, said, "Sports and entertainment are very strong vehicles to reach and communicate with our customers and Hero Honda has been associated with the game for last 20 years."

Hero Honda MTV Roadies

A cult series with which Hero Honda is synonymous. A survivor series. The selected Roadies are provided with Hero Honda Karizma bikes to travel on a pre-decided route. Each episode features a vote-out, at the end in which the Roadies eliminate one of their fellow Roadies by an anonymous vote, thereby decreasing the number of Roadies carrying on with the journey.

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Brand Personality: According to the survey, the people perceive Hero Honda as: (1)

Out of 120 people surveyed 106 respondents said it to perceive as a male, where as 12 said it to be a female. (2)

As Hero Honda has been in the market for more than 25 years, people perceive it to be in the age group of 30-50. This can be a two edged sword for Hero Honda, as they target the youth but their image is perceived to be in the age group of 30-50. It can be a positive also as it means that people of older age group also prefer the brand.

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(3) People perceive that Hero Honda would wear bright colors, thus showing that endurance of the brand.

(4)

Hero Honda is perceived to be a respected family member. This according to us can be a danger sign for the company as the bikes market is youth oriented market and if the people perceive you to be a respected family member you can lose out on the youth as a target.

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(5)

In line with the image of respected family member goes the perception of family oriented person.

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BAJAJ

Bajaj Auto is a major Indian automobile manufacturer. It is India's largest and the world's 4th largest two- and three-wheeler maker. It is based in Pune, Maharashtra, with plants in Akurdi and Chakan (Pune),Waluj (near Aurangabad) and Pantnagar inUttaranchal. Bajaj Auto makes and exports motorscooters, motorcycles and the auto rickshaw The Forbes Global 2000 list for the year 2005 ranked Bajaj Auto at 1946. Over the last decade, the company has successfully changed its image from a scooter manufacturer to a two wheeler manufacturer. Its product range encompasses scooterettes, scooters and motorcycles. Its real growth in numbers has come in the last four years after successful introduction of a few models in the motorcycle segment. The company is headed by Rahul Bajaj who is worth more than US$1.5 billion.

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Bajaj Auto came into existence on November 29/1945 as M/s Bachraj Trading Corporation Private Limited. It started off by selling imported two- and three-wheelers in India. In 1959, it obtained license from the Government of India to manufacture two- and threewheelers and it went public in 1960. In 1970, it rolled out its 100,000th vehicle. In 1977, it managed to produce and sell 100,000 vehicles in a single financial year. In 1985, it started producing at Waluj in Aurangabad In 1986, it managed to produce and sell 500,000 vehicles in a single financial year. In 1995, it rolled out its ten millionth vehicle and produced and sold 1 million vehicles in a year.

Brand Name: The brand name “BAJAJ” is kept after its founder member Jamnalal bajaj.

Brand logo:

Bajaj changed its logo in the year 2004. The reason behind Bajaj changing its logo was that people use to associate Bajaj with its old image of “Hamara Bajaj” and carrying that image Bajaj was not able to communicate its message that effectively to the youth who is its major target customer now as the market for the scooters is almost over and 80% of the two wheeler market is covered y bikes. Institute for Technology & Management, Kharghar, Navi Mumbai Page 16

Thus Bajaj had to go for this rebranding exercise

. From Hamara Bajaj they transformed to Inspiring Confidence, thus trying to emphasize on the fact they are such an old name in the market and their name inspires confidence. But unfortunately this did not work for them and within two years they again changed their tagline to Distinctly ahead. This time around they emphasized on the fact that they had better technology than anybody else in the market. And it worked.

Brand Association:

Bajaj MTV Pulsar Mania.

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Pulsar has become synonymous with Bajaj. It single handedly bought Bajaj from a state where it was thought that it would be sold or it was running for family prestige. Pulsar Mania

This was supposed to be the answer to MTV hero Honda roadies which had become synonymous plus a huge success between the youth.

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Brand Ambassador: Bajaj used a brand Ambassador only once in the face of Jackie Chan. It was basically done as Bajaj was trying and give competition to splendor which was a supreme bike in its category.

Brand personality

(1) Bajaj is considered as a male by the respondents with a major 86% responding as that, and the remaining 14% as female.

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(2)

Pulsar is considered to be in the age group of 18-30, which shows that Bajaj has been successful in its rebranding exercises and is considered as o young and vibrant brand.

(3)

The color of black pulsar dominates the thinking of people which they perceive as Bajaj wearing Black.

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(4)

Bajaj is able to carry its long relationship with the Indian consumer, as they still take the brand bajaj as a respected family member.

(5)

Bajaj seems to be personified perfectly right now, they are being considered as a stylish person. Appealing to the youth yet they have not lost the connection with the Indian families as they are still viewed as a respected family member.

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TVS TVS Motor Company is the third largest two-wheeler manufacturer in India and one among the top ten in the world, with annual turnover of more than USD 1 billion in 2007-2008, and is the flagship company of the USD 4 billion TVS Group. The company was incorporated in 1982 as Indian Motorcycle Pvt. Ltd. on 15th July. Its name was changed to Indo Suzuki Motorcycles Pvt. Ltd. and it was converted into a public limited company on 12th January, 1984. TVS-Suzuki (TSL) - a joint venture between the TVS group and Suzuki Motor Corporation, Japan - was the first company to launch a 100-cc motorcycle in the Indian market. Great milestone in Indian automobile history: Country’s first 2 seater 50 cc moped-TVS 50 launched. TVS became the first Indian Company to introduce 100cc Indo-Japanese motorcycles. The Company launched two new models of motor cycles viz. `Sumurai' and `Shogun'. Then the company launched a new model of moped viz. `TVS Scooty'. In 2000 The TVS group and Suzuki Motor Corporation September 27 parted ways from their 15-year-old joint venture with the former buying out the 25.97 per cent stake of the Japanese company for Rs 9 crore.

Brand Name: The brand name TVS is after its its founder Shri T V Sundaram Iyengar.

Brand Logo: The brand logo of TVS changed after TVS acquired the share of Suzuki in 2000. Institute for Technology & Management, Kharghar, Navi Mumbai Page 22

TVS Suzuki LTD.

TVS Motor Company

Brand Ambassador: Sachin Tendulkar was the brand Ambassador of TVS Motors for its brand TVS Victor in direct competition with Splendor. Its 110cc engine, 4 stroke engine develops 8.1 BHP and, thanks to its digital ignition, can be optimised for power or fuel economy depending on your riding style. Within the launch of the campaign TVS increased its sales by 40%. Though TVS was not able to maintain the momentum and eventually lost out in the long run.

Sania Mirza is the brand ambassador of TVS Scooty. TVS Scooty is the most successful product of TVS Motors. It has the share of more than 60% in the non-gear light weight two wheeler section( 75 cc). But with competitors like Hero Honda entering the fray with Pleasure, TVS in order to maintain its market share associated with Sania Mirza (a female sports icon) in India.

M S Dhoni was roped in as the brand ambassador of TVS Apache. M S Dhoni the youth icon of India was roped in order to connect with the youth of India. TVS needs a association with which the people can connect. Thus TVS to re-capture its market share associated with M S Dhoni.

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Brand Association: MTV Scooty Teen Diva TVS associated itself with an MTV programme where 12 teen girls compete to represent India at the International teen diva contest. With the program it associated itself directly with its target customer the teen girls.

Personality. (1)

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TVS was associated as a female mainly because its most successful product is TVS scooty.86% of the respondents called it female and only 17% said it was male. This showed the lack of association with the motor bikes and TVS needs to work upon it. (2)

Again the effect of TVS scooty is clearly visible on the responses as people have given the age of 0-18, which is the age group of the girls using the TVS scooty. 37 % of respondents said it was in the age group of 0-18, where as 30% of the respondents said that it was in the age group of 18-30.

(3)

The female colors of pink and blue are the major responses in the reply of what colors should the brand wear. (4) Institute for Technology & Management, Kharghar, Navi Mumbai Page 25

32% of the respondents associated TVS with the family oriented person. The success of TVS sccoty is a major reason for this response. TVS can cash on this factor and build the brands of their bikes on the same road ahead.

(5)

A huge 70% of the respondents feel that TVS is their friend. The age group and the association as a friend are important components to work on for TVS.

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India Yamaha Motor Pvt. Ltd.

Yamaha made its initial foray into India in 1985. Subsequently, it entered into a 50-50 joint venture with the Escorts Group in 1996. However, in August 2001, Yamaha acquired its remaining stake becoming a 100% subsidiary of Yamaha Motor Co., Ltd, Japan (YMC). In 2008, YMC entered into an agreement with Mitsui & Co., Ltd. to become a joint investor in the motorcycle manufacturing company "India Yamaha Motor Private Limited (IYM)". IYM operates from its state-of-the-art-manufacturing units at Surajpur in Uttar Pradesh and Faridabad in Haryana and produces motorcycles both for domestic and export markets. With a strong workforce of more than 2000 employees, IYM is highly customer-driven and has a countrywide network of over 400 dealers. The new Surajpur plant has been inaugurated by Mr. T.Kazikawa C.E.O & MD Yamaha Global on 6th July 2009, which have capacity to produce 6 lakh motorcycles annually including Fazer followed by FZ-16, FZ-S, YZF-R15 and other models. The plant capacity can be augmented up to 1 million units. This fully integrated assembly plant is built on the lines of Yamaha’s globally tried, tested and successfully implemented standards and meets the global quality benchmarks. At the core are the 5-S and TPM activities that fuel its Manufacturing Processes. The plant has 3 vehicle assembly lines and 4 engine assembly lines including one dedicated for export engines. The engine and vehicle assembly lines are synchronized and incorporate concepts of Unit Assurance i.e. Complete Product Assurance, Parts Assurance through 100% kit supply on lines and synchronization of parts storage, supply and production. The innovative production processes along with high tech final assurance processes are aimed to achieve Zero Claims at our dealers and thus, a highly satisfied customer base.

Brand Elements: Institute for Technology & Management, Kharghar, Navi Mumbai Page 27

Brand Symbol: Brand symbol consist of two thing, brand character and brand logo. In case of bike generally brand symbol only consist of brand logo.

Brand Logo: It is a combination of shapes and colours used in a Brand Name. 5

distinct

elements of a Brand Logo :

    

Brand Name Geometric Shape Colour Slogan Font

It consists of all five elements. Brand Name: The logo Yamaha consists of company’s name that is Yamaha in a simple manner. Geometric Shape: They launched a logo with three tuning forks covering 360 degrees which signifies that Yamaha bikes are highly technical sound bikes Color: Mane as well as mono is in red color. This signifies Energy, Excitement & will to win. Slogan: “YES YAMAHA”. Font: Font of very simple so that we can read it very easily. Visibility is also high.

Brand Positioning: It is position as powerful and highly technical sound bike. And from 1985 to 2009 they are promoting their bike of same parameter. And brand logo of Yamaha also signifies the same.

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Brand Associations: R 15 Championship: Concept of Racing Championship, an effort to promote and strengthen safe biking culture and motorsports in India.

As a concept of racing championship its efforts to promote and strengthen safe biking culture and motor sports in India, ON September 7, 2008. Chennai India Yamaha Motor has organized Yamaha YZF-R15 Championship, a racing event, featuring the newly launched Super Sports YZF-R15, for its esteemed customers. Yamaha’s Super Sports YZF- R15 customers’ experienced the breathtaking acceleration of the bike on a race circuit as a part of racing Championship organized on Irungattukottai Race Track at Chennai. Loaded with true Yamaha racing DNA, the all new YZF- R15 provided complete racing experience to the biking aficionados and hands on feel of its power, stability, cornering and braking. Now Yamaha Brings the Racing for Indian market is an extremely important one and it is engaged in aggressive marketing activities aimed at its development. Among these, Yamaha places special importance on race activities which have always been an important part of Yamaha’s corporate culture since the company’s founding and a way of expressing the ‘spirit of challenge’ that it value so highly.

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Yamaha will be organizing similar races each month starting September with the Grand Finale race in December. Though fame and fortune may only touch a handful of riders, but Yamaha feels that every rider who competes does so for their unquenchable love of the sport. Yamaha plans to continue this championship long-term so that it will be a valuable primary step for promoting racing culture and carry forward the dreams and hopes of country’s motor sports fans. Yamaha’s “Life Rocks” Campaign With the launch of Gladiator, we unleashed the ‘Yamaha Life Rocks’ teaser to rally the youth around a bike brand that drives a young lifestyle with attitude. Various rock bands were roped in to play live music near Yamaha hoardings at the DND Flyway and Ansal Plaza in the National Capital region. Each hoarding was covered with removable strips, which were peeled off one at a time to reveal Yamaha’s new lifestyle brand. One such instance was the road show at Ansal Plaza. The whole of Delhi was swinging to Euphoria’s ‘Life Rocks’ concert. The event was India’s first ‘Flash Rock’ concert organised by Yamaha as part of the launch campaign for Gladiator. People were invited via SMS just a couple of hours before the concert began. The campaign sought to create a world of Yamaha and project it as a lifestyle brand for the young. We believe that our products have a huge appeal for the youth who seek performance and the pleasure of a great drive with technology that is ahead of competition. Also, as part of our national campaign to promote the Yamaha Gladiator, we held test drives in more than 40 cities and towns. We held road shows covering high traffic areas, markets and malls. We also put up installations across all dealer outlets. The test drives in each city culminated with a live rock show.

Brand Ambassador:

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John Abraham is taken as a brand ambassador in the year 2003 after the launch of DHOOM. And After that movie he is the idol one to be as brand ambassador for sport bikes.

Personality: (1)

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93% of the respondents feel that Yamaha is a male, whereas 7% believe that it is female. It is again a important association for the company as the company is operating only in motor bikes and it is important that the people perceive it correctly. (2)

The age group of 18-30 is associated by the respondents with Yamaha. Again it is positive for Yamaha because that is the target segment and they can connect with it. (3)

Yamaha is associated with red color, which again is in line with the age group, as it is vibrant that goes with the youth image. (4)

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Yamaha is perceived as a friend by the respondents, with a huge 61% favoring it as a friend. It is again a positive sign as a relationship, as it will connect with the youth. (5)

46% of the respondents believe that Yamaha will be a stylish person. On which Yamaha can work on to build a strong brand.

Royal Enfield the legend rides on…

Mid 19th century England. The firm of George Townsend & Co. opened its doors in the tiny village of Hunt End, near the Worcestershire town of Redditch. A firm specializing in sewing needles and machine parts. In the first flush of enterprise, flitting from on opportunity to another, they chanced upon the pedal-cycle trade. Little did they know then that it was the beginning of the making of a legend.

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Soon, George Townsend & Co. was manufacturing its own brand of bicycles. And in 1893 its products began to sport the name ‘Enfield’ under the entity Enfield Manufacturing Company Limited with the trademark ‘Made Like a Gun’. The marque was born.

In 1960, the badge arrangement with Indian (Of America) had ended, so Enfields were no longer sold under the Indian marquee (Royal Enfield rival, British AMC company, acquired the Indian Sales Corp. in 1959). However, in 1961, Eddie Mulder won the Big Bear Enduro on an Enfield, which gave the company a new foothold in the U.S. under its own name and started a new marketing of the product. Models available in the U.S. that year included a 700cc twin and six street scramblers, ranging from the 250cc Hornet to the 500cc Fury (essentially the single-cylinder Bullet) to the 700cc Interceptor. Elliot Shulz also dominated the half-mile dirt track in Los Angeles on an Enfield that year. Enfields won 31 out of 39 races in 1961 and had several spectacular victories in 1964. Royal Enfield had arrived on The Continent! By 1970, Enfield India was a company established in its own right, and with a production line going full steam, the need for collaboration with Enfield of the UK and Villiers of the UK was no longer seen. But the Bullet flew true and strong. A number of changes had already been made to the tin ware on the Bullet. Mudgaurd design took on different forms, taking into account the wet, slushy and messy road conditions during the Indian monsoon. The Magdyno also gave way to the alternator ‘Delco’ ignition system. And front and rear hubs were designed to provide more efficient cooling for Indian conditions, and thus improve braking performance. The 1990's saw many revolutionary models from the company. The Taurus Diesel was the first produced Diesel motorcycle in the world. The Bullet 500 was launched in June this year. It went on to become the most coveted model of the brand. In March 1991 the ailing company got a new lease of life when Eicher group acquired Enfield India Company. The company name changed to Royal Enfield Motors Limited Brand Elements:

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Brand symbol consist of brand character and brand logo. In case of bike generally brand symbol consist of brand logo. Brand logo: It is a combination of shapes and color use in a brand name. 5 distinct elements of a brand logo:

Brand Name: Royal Enfield, consist of company’s name i.e. Royal Enfield. Color: color used is red, signifies Energy, Excitement and will to win Slogan: Leave home Font: Font is in upper case and bold enough so that it is visible from distance. Brand Positioning: The brand is positioned as companion for long rides. It has tried to create a culture of saddle in India. And they are pioneer in cruiser segment.

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Himalayan Odyssey: The biggest, the toughest, the highest and the most fun-filled ride above sea level, now in its sixth edition. While the main theme is an exhilarating experience, the underlying emphasis is on safety in every aspect of the ride. Whether it is planning of the route or execution of the ride, Royal Enfield provides service and medical back up to provide confidence not just to the first time participants but also to their friends and family. The Himalayan Odyssey has expert and experienced pilots to guide the group in various areas of bike riding and coping with the weather and terrain.

Tour of Rajasthan: It begins in early 2000, promoting the Indian tourism through saddle. The tour consists of 14 days itinerary throughout Rajasthan. It helped the company to associate with those who find pleasure in travelling throughout India by road. The tour begun at Jaipur and passes through various tourist places of Rajasthan and ends at Jaipur. Royal Enfield also helps riders to find riders through Rider wants rider Posts. When a rider plans his tour he can post about his whole plan on the community and if a rider wants he can join him enroute. This develop their association with more novice ad pro-riders with passing time.

Personality: (1)

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As expected a very high percentage of the respondents think that Enfield is a Male.

(2)

Enfield is an executive bike, and thus the respondents perceive it in the age group of 30-50 (3)

With the royal look that the bike has, the people associate it with the colors, black and silver.

(4)

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The people perceive it as a boss, which again goes with the executive target market that the bike has. (5)

People associate Enfield with ruggedness. Looking at all the features and the associatively of the bike, it establishes the fact that the bike is serving in a niche segment, as is perceived in a similar manner by the people.

Personality of the Two Wheeler Industry Institute for Technology & Management, Kharghar, Navi Mumbai Page 38

(1)

(2)

(3)

(4)

Looking at all the above information we can infer that the people perceive the two wheeler industry as: Institute for Technology & Management, Kharghar, Navi Mumbai Page 39

 Male: With these days most of the market is dominated by the motor bikes, their presence makes the sector viewed as a Male.  Age Group 18-30: The youth is the target market for the bikes, that comes out in the perception of people for age , as the youth of 18-30 id perceived for the sector.  Friend: With the bikes being close to the youth, they consider them to be a sthier frined. This shows the decreasing effect of the family orientation that was enjoyed by Bajaj in the earlier days.  Stylish: With bike comes style, thus a stylish view is perceived for the whole industry.

Brand launch If we as a group were launching new bike in the market, what would be its brand attributes. In our questionnaire we asked we asked the respondents :

If a new bike was being launched in the market, what brand name from the following would attract you the most? (a) Insanity

(b) Haute

(c) Radiance (d) Poise

(e) Rugged

According to the respondents:

19%

10% 12%

12%

Insanity haute Radiance Poise

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47%

Rugged

Thus after discussion in our group we had gone ahead with the name Radiance as suggested buy the respondents. Why Radiance? Radiance signifies light, the benefits of choosing it was the name can be used across different segment of bikes. The youth will be able to connect with the name. The meaning of Radiance is Light or Pleasure. We promise to give our customers both.

Brand Name:

Radiance The Ultimate Biking Pleasure If you have a closer look at the name, we have chosen bright colors thus trying and associate with the youth. The red color shows the excitement of the bike. While the font used is very smooth and calm, thus signifying the class that the bike will be having. The tagline “The Ultimate biking Pleasure: shows the experience of riding the bike. It is written in red, with Chiller font thus all signifying the thrill and the experience.

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Brand Logo:

The brand logo is with a black background. The reason is that with the brand name and the colors in the brand name we want to connect with the youth and with the black we want to denote the style and the class of the bike. Thus the bike will be appealing to all age groups from youth to mid 30’s.

Finally the bike….

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The things to note are name on the tank of the bike, the tagline part on the back shift and the “R” of the bike name on the engine.

Well no comments about it….its simply fantastic.

Questionnaire

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