AVAL MARKETING TO INDIAN CONSUMER

SUBMITTED BY BAPPADITTYA MONDAL SURIYA KIRAN MEDURI SUNIL AKULA JOYDEEP PATI SANDIP VERMA RAJENDRA RAWAT
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WHAT SPEAKER SAYS???

Core competency
Technology competent market savvy Robust distribution network Professional skill of marketing team

The only felt downside(i.e insight into

consumer behavior)
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CONSUMER BEHAVIOR
Definition:
Study of how Individuals, groups and organizations select, buy, use and dispose off goods, services or experiences to satisfy their needs and wants.

 What consumers buy

When consumers buy How consumers buy Where consumers buy How much quantity consumers buy
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Factors Affecting Consumer behavior

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Factors Affecting Consumer behavior

Culture Factors :
Culture : Shared, learned, symbolic system of values, beliefs and attitudes that shapes and influences perception and Behavior. Subculture: Each culture has different subcultures. Useful for marketing groups for segmenting the market.
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Social class
Determined by wealth, education, occupation etc. Important for marketing because the buying behavior of people in a particular social class is similar.

Social Factors
Reference groups: Reference groups have the potential for the formation of an attitude or behavior of the individual. Reference groups also include opinion leader.
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 Family: Vendors are trying to find the roles and influence of the husband, wife and children, so as to target that member of the family.

Roles and Status:

Each person has different roles and status in society in terms of groups, clubs, family, organization to which it belongs which effects their purchase decisions.
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Personal Factors:
Age & stage in life cycle:
Economic situation: Lifestyle:

Personality:.
Occupation:
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AGE GROUP

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Psychological factors :
M otivation: Need becomes a motive when it is most

urgent to lead the individual to seek satisfaction.

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Psychological factors :
M otivation: Need becomes a motive when it is most

urgent to lead the individual to seek satisfaction.

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 Perception: Select, organize and interpret

information in a way to produce a meaningful experience of the world.

Selective attention Selective distortion Selective retention

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Learning: it induces changes in our behavior arising from experience Evaluating actual versus expected experience

Beliefs and attitude: Shapes the brand image and affect consumer buying behavior.

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Reason for studying Consumer Behavior

To stay in business by attracting and retaining

Customer To benefit from understanding consumer

problems

In order to develop the marketing mix To establish competitive advantage

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Consumer Decision-Making Process

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PRE AND POST LIBERALISATION

Pre liberalization
1. Low purchasing power 2. Less spending and more saving. 3. More necessity item buying 4. Product based market.

Post liberalization
1. High purchasing power 2. More spending and less saving. 3. More luxury item buying 4. Consumer based market.

EARLEY MARKET
Sale and Promotion Goods & Services

Producer
Money

Consumer

PRESENT MARKET
Sale and Promotion

Goods & Services

Producer
Money

Consumer

Communication & Feedback

SWOT ANALYSIS
A scan of the internal and external environment is an important part of the strategic planning process. Environmental factors internal to the firm usually can be classified as strengths (S) or weaknesses (W), Those external to the firm can be classified as opportunities (O) or threats (T). Such an analysis of the strategic environment is referred to as a SWOT analysis.

ENVIRONMENTAL SCAN

Internal analysis external analysis

strengths weaknesses opportunity Threats

STREGNTH
Currently in a good financial position (few debts, etc).
Skilled workforce (little training required).

Company name recognized on a national/Regional/Local level.

Robust infrastructure.

Giant and Experience in electronic industry.

WEAKNESSES
Late entry to Mobile Market
Tough competition from major Players Totally new in mobile market.

Lack of consumer behavior.

OPPORTUNITIES
Good financial position creating a good reputation

for future bank loans and borrowings Disposable income of Indian consumer is increasing, so now they can spend more money for home appliances and consumer electronic goods. Government trying to supply electricity to all the villages, so demand of electronics goods will increase. India has Asias third largest economy is adding at least one million new mobile phone user every month

THREATS
Continuous change in consumer behavior.
Goodwill of major players in the market. Political instability.

Rapid change in technology.

AFTER SWOT ANALYSIS

1. How can I use my strengths to enable me to take

advantage of the opportunities I have identified? 2. How can I use these strengths to overcome the threats identified? 3. What do I need to do to overcome the identified weaknesses in order to take advantage of the opportunities? 4. How will I minimise my weaknesses to overcome the identified threats?

MARKETING MIX

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What is Marketing Mix?

A combination of factors that can be controlled by a

company to influence consumers to purchase its products .

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IMPORTANCE OF MARKETINGMIX
Link between the business firm and its customers. It helps in pursuing consumer-oriented marketing.

Helps in increasing sales and earning higher

profits. Facilitates meeting the requirement of different types of customers

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PURPOSE OF MARKETING MIX

Satisfaction of needs of the customers.

Marketing strategies and policies are implemented

through these instruments.

There is a balanced relation between the elements.

The channels of distribution will also depend upon the nature, utility etc. of the product
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Elements
PLACE

PRICE

Marketi ng Mix

PROMOTION

PRODUCT
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NEW PRODUCT LAUNCH

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INDIAN MOBILE MARKET

Market Size:
In 2010 ends with selling of 167 million mobile handset and in CY 2011 expected sale volume is 210 million unit. Revenue from Indian handset market touch Rs. 33,171 crore in FY 2010-11, shown a growth of 15% over previous years Rs. 28,897 crore. About 852 million mobile subscriber in the country. Sales of nearly 12 million Smartphone's expected in 2011 represents a near 100 per cent growth over sales of Smartphone in 2010.

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GROWTH IN INDIAN MOBILE MARKET

Tele-density
2003 885.99 851.7 June, 2011 * All data are in million

54.63
Telephone user
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13.3

13.3

41.33 34.29 Fixed line user

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Mobile user

RURAL VS URBAN TELE-DENSITY

2003 June, 2011
163.13

73.97 35.6

5.11
Total Tele Density
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14.32 1.49 Rural Tele Density Urban Tele Density

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All data are in % of total population

FACTORS BEHIND RAPID GROWTH

Raising disposable incomes
Affordable SIM registration and airtime charges The introduction of innovative features with

sophisticated technologies. The introduction of 3G services is expected to be another crucial growth driver, as it is expected to push demand for high-end handsets.

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OPPORTUNITIES
Presently sprinting on a high speed track, the Indian

handset market is poised to touch record levels by 2015 in terms of volume sales. The mobile handset tele-density in Rural currently stands at nearly 35%, representing a huge untapped market. The introduction of 3G services, would certainly work to increase ever declining handset ASP. According to a study , among the urban subscribers who intend to take up 3G services, 63% plan to upgrade their handsets. Target market of78 cr. 15-63 year age group people.
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MARKET SHARE
Drop in market share for global players:
Nokias market share dropped to 38.97 % in FY 2010-11

(from previous years 64%) Sony Ericssons market share dropped to 3% in FY 201011 (from previous years 6%) Motorolas market share dropped to 1% in FY 2010-11 (from previous years 3.5%) Increase in market share for local players: Local players combined market share increase to 17% (from previous years 0.9%) Among local player Micromax and Karbon shows rapid growth.
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FACTORS BEHIND LOCAL PLAYERS GAINING MARKET SHARE

Relatively better consumer understanding. Introduction of innovated product.

Feature-rich products in low price.

With such low price points, a majority of the population

is buying cheaper handsets for the freedom to upgrade to a new phone. Scored more in rural areas, because bigger players were majorly urban-centric
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ANALYSIS WITH MARKETING MIX TOOLS

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PRODUCT

Product verity:

Wide range of product includes traditional black & white phone to new generation smart phones.

Product Design:
Smart and good looking. Same model available for ladies and gents separately with different looks and different colors.

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PRODUCT

Product Quality:
Very long battery backup. Average life 4-5 years. Better sound, display and camera quality as compared to competitors'. Rigid out side design.

Features:
Same or more features as big players. Good software and easy to handle. Regional language support.
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PRODUCT
Services:
Proper installation of hardware and software so

that product can give better service. Service centre would be available at every small towns and cities. Proper service response in short time.

Warranty:
Normally one year national warranty.
Warranty extension feature available.
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PRICE
Wide range of simple phones affordable to lower class consumers.
Wide range of smart phones affordable to middle

class consumers. For higher class consumers very luxurious phones are also available.

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PROMOTION
Advertising:
Popular personality as brand ambassador. TV advertisement in programs which is mostly

watched by youth and middle age. FM radio advertisement. Advertise on news paper and magazines specially in modern technology sections. Special campaign in rural areas. Internet advertisement. Major population should know about the products before launching.
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PLACE
The supply of product would be done by two ways:

Through direct channel to the big retailer like The Mobile Store etc 2. Through distribution channel to the distributor, hole seller etc.
1.

Enough stock would be available in each region. More incentive to retailer. Special sale target in UP, Bihar, MP, Rajasthan and Orissa because 55% of Indian population in short area.
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THANK YOU
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