1 / 40

AUTOMOBILES TAKING THE CUSTOMER ALONG, FOR A RIDE

AUTOMOBILES TAKING THE CUSTOMER ALONG, FOR A RIDE MARKET TRUTH SOCIETIAL TRUTH AUTOMOBILES - TAKING THE CUSTOMER ALONG, FOR A RIDE CAR TRUTH CONSUMER TRUTH BURGEONING DEMAND FOR AUTOMOBILES 1.8 million vehicles sold in the last year 15% CAGR over the next 4 years Source : SIAM, 2006

omer
Download Presentation

AUTOMOBILES TAKING THE CUSTOMER ALONG, FOR A RIDE

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. AUTOMOBILES TAKING THE CUSTOMER ALONG, FOR A RIDE

  2. MARKET TRUTH SOCIETIAL TRUTH AUTOMOBILES - TAKING THE CUSTOMER ALONG, FOR A RIDE CAR TRUTH CONSUMER TRUTH

  3. BURGEONING DEMANDFOR AUTOMOBILES 1.8 million vehicles sold in the last year 15% CAGR over the next 4 years Source : SIAM, 2006 Market Truth

  4. 1st in three wheeler market in the world • 2ndlargest two wheeler market in the world • 3rdlargest passenger vehicle market in Asia • 4thlargest tractor market in the world • 5thlargest commercial vehicle market in the world THE 1-5 RANKINGS Source : India Brand Equity Foundation - IBEF

  5. MARKET DYNAMICS 1983 2002 2006 02 15 17 Number of manufacturers Number of models 02 44 60+

  6. NEW BRANDS ARE LOOSING SHEEN WITHIN WEEKS OF THEIR LAUNCH 20 new cars to be launched this year Marketers have to sustain excitement in the brand and pre-empt competition

  7. Currently, We Are Only The Tip Of The Iceberg Rising incomes, better lifestyle and a strong economy will be the boom factors for automobile industry Emerging technologies like diesel engines, battery cars and smaller cars etc will provide more choices Infrastructural investments, more roads and connectivity will fuel the growth in the category

  8. The Momentum Will Kick In Now INR 30,000 crore of investment by car manufacturers. The category demand is expected to hit 2 Million cars as early as 2007 or 2008. Multiple car HHs are increasing. In 2003, the number of HHs with two cars was 1,33,000. In 2005 the number touched 1,76,000 and is constantly increasing There will be a feed in from Bike category The gap between male and female owners will reduce further

  9. Beginnings of a gradual shift… No more do we see this sight. A sign of demise of the joint family and inter family dynamics changing to nuclear. We largely see one or two people in car today. The front seats pulled back completely and the rear full of CDs, Cassettes, extra Tees, shoes….cars becoming mini homes Cars come with glove box space, cubby holes, hangers, charging points……changing lifestyle will make car designs individualistic In today’s tech environment, products are designed as gadgets. Car design too is taking a gadget route to suit modern day ergonomics

  10. Product Differentiation Replaced By Image Drivers

  11. The Emergence of World Car With Notebooks & Cellphones available within a month of Global launch. The car consumer doesn’t want cars that have outdated technology “I drive the same car as my cousin in US” The emergence of “Auto Superstores”, “Auto Malls” and subsequently “Auto Megaplexes” provide a new shopping experience From Network to the Net providing simple yet convenient ways of buying

  12. MARKET TRUTH SOCIETIAL TRUTH AUTOMOBILES - TAKING THE CUSTOMER ALONG, FOR A RIDE CAR TRUTH CONSUMER TRUTH

  13. A More Active View of Life • Don’t just exist….live. • Subject, more than Object • Weakening authority structures • Inherent optimism • Overwhelming desire to live well • Need to live in real time

  14. Life as product Vs Life as condition • What is expected from life has changed • Every moment every sense amplified & enjoyed • Life is something to be enjoyed not undergone

  15. Life as open system Vs Life as closed unit • Greater fluidity, more transparency, a more direct connect with life • Breaking down of hierarchies and role based relationships • Making new connections, life as a live portal • Wired economy, where everything is in constant flux - Job, prices, relationships, opportunities

  16. Life as destination Vs Life as destiny • Feel that the individual is the seat of everything • New found belief in one’s capacities • I can actively shape my tomorrow • White money EMI living

  17. Overall • Life is opening out – time and space have a real value • We are actually entering the consumption economy • Leisure, pleasure, play is today the biggest industry • Time, money, space , success are taking on new meanings

  18. MARKET TRUTH SOCIETIAL TRUTH AUTOMOBILES - TAKING THE CUSTOMER ALONG, FOR A RIDE CAR TRUTH CONSUMER TRUTH

  19. Simply put consumers today are experiencing new emotions • having new encounters • meeting new kinds of people…places…things….. • things that they haven’t had to deal with before…..

  20. For example • like a father meeting his daughters boyfriend for the first time when he is invited over……. • your wife coming home for dinner……. • the valentines day wife outing……. • Themed environments……role playing

  21. Overall • Desire to explore the new emerging social landscape • To not feel bound and constrained by the existing paradigms • To not live a pre-programmed life • To operate in all desirable spaces rather than be locked away in any one

  22. MARKET TRUTH SOCIETIAL TRUTH AUTOMOBILES - TAKING THE CUSTOMER ALONG, FOR A RIDE CAR TRUTH CONSUMER TRUTH

  23. Cars-automobiles • Auto-mobility • Autonomy - Self starting-autobiography-humanist • Mobility - Capacity for movement- automatic- machinist

  24. Cars-automobiles • Thru cars, we inhabit the technology itself • Both a dwelling and a projectile • Closed realm of intimacy • But released of the constraints of the home • Highly humanized form

  25. Cars-automobiles • It’s a animated lived space rather than an inanimate technological wonder

  26. Cars • Extend where people can go to and hence what they are literally able to do • A tool for mastery and control over our environment

  27. Belong Everywhere • Car as a bridge across increasing fragmented social spaces • Self that’s opening out , expanding, exploring the new world , times we live in • Identity that’s growing through contact • Ability to connect in my own unique way

  28. Cars • Act as an automotive time line marking out key life stages and reference our memories • By its simple presence it organizes social experiences

  29. CAR-LIFESTAGE RELATIONSHIP Peak of personal & professional success Status guarantee “I have nothing left to prove!” Stable & successful Status projection “I’ve arrived!” Self reassurance “I’m moving up in life!” Settled, upwardly mobile, commencement of family life Image enhancement “I have a car!” First self bought car- first jobbers Achievement “I bought a car” First car/ inherited car- college City/Optra/ Octavia & Corolla Spark / Santro/ Wagon R Aveo/Fiesta/Verna Accord/ Camry Maruti 800/ Alto

  30. Car in the Mini B segment (Spark/Santro/Estilo/U-VA/Swift) • For most of the consumers in this segment, purchase of a brand dependent on • Lot of functional parameters driving purchase • Role of family in final brand choice critical • Constrained by Affordability – practicality comes into picture while purchasing a brand Brands in this segment currently not being purchased as statement of self – functional parameters are extremely critical

  31. Cars in the Small Segment (Aveo, City, Fiesta) This is a segment where people buy brands which connote energy, are motivated primarily by the need to impress / attract, they want the cars to project a popular image for themselves and want the car to have a sophisticated / stylish image.

  32. Cars in the Lower Med Segment (Optra, Corolla, Civic) Nepean Sea Rd Pali Hill Malabar Hill Satellite Road Jor Bagh Vasant Vihar Switzerland Manali Mauritius Las Vegas Rich Sophisticated Professional Yachting Golf Fast paced Imagery indicative of a somewhat aspirational lifestyle Vehicle used to project a lifestyle that is often out of sync with consumer reality

  33. MUV Segment (Tavera, Innova, Scorpio, Safari) Caring for family Bonding with friends Size Stability Being understated Being viewed as discerning Comfort Versatility Manifested As Key Needs Caring & Affiliation Key Emotional Drivers

  34. TOUCHING World-car is good to have in the market but Marquees that address the Indian-ness have a greater empathy THE CHORD

  35. AT GM We are consistently providing value through our Brands and gearing-up for the New Horizon that Dawns the INDIAN AUTOMOBILE MARKET

  36. THANK YOU!

More Related