HERO PLEASURE

BY -

RICHA SAHIJANI (2014228)

RIPAKSHI ARORA (2014230)

SAKSHI ARORA (2014248)

SAMARTH SRIVASTAV (2014249)

SAMPRITTI DATTA (2014250)

SANDIP KR. AGARWALLA (2014251)

World’s largest market with 13.5 million units sold last year. Market grew by 14.8% from last year. Motorcycle sale grew at only 10%. Scooters sale grew at a whopping 30%. Now scooters occupy 22% of the total 2W industry. Every fourth two wheeler sold is a scooter.

The Two Wheeler Industry in India

Current Brand Analysis

Segmentation-Young girls who are

chirpy and hep.

Value proposition-Why should boys have all the fun?

Competition

BRAND POSITIONING USP

HONDA ACTIVA FOR MEN AND FAMILY COMMUTING SUPERIOR BRAND EQUITY OF HONDA ENGINE

TVS SCOOTY LIGHTWEIGHT WITH DIFFERENT COLOURS FOR YOUNG WOMEN EASY AVAILABILITY OF SPARE PARTS

HERO PLEASURE FOR THE GIRLS WHO WANT TO ENJOY EVERY MOMENT IN LIFE; FREEDOM

LARGEST MARKET PLAYER IN TWO WHEELERS

     

Communication Strategy & Brand Association

TVC – Alia Bhatt riding through the beautiful countryside of Manali while desi rap music plays in the background

Print – Ads in Newspapers

‘Just 4 Her’ showrooms

Digital – Official Facebook Page with 85000+ LikesLatest TVC Pictures in different colours Promotes campaigns like #VibrantPleasure#GoGearless#BeatTheHeat, etc.

BRAND EQUITY Loyalty Measure Price Premium:

Hero Pleasure INR 46,000 Kinetic Zing INR 32,000 TVS Scooty INR 42,000

Customer Satisfaction Sales -92,000

Market share - 7.5 % Fastest growing scooter in the 75-125cc category by SIAM

Perceived Quality/ Leadership Measures High Perceived Quality

Wheels of freedom & liberation for women

Leadership and PopularityMarket leader in its target segment

Perceived ValueHigh value in terms of quality, aesthetics and functional efficiency

Brand PersonalityPleasure drives freedom in the lives of young Indian womenValue proposition : “Why should boys have all the fun?”

Organisational AssociationsHero Honda ProductAfter demerger, Hero is a strong powerful brand

Brand AwarenessTagline: one of the most famous catch phrases of all timesCommercials were very interesting and meaningful and attention seekingLaunched 21 exclusive ‘Just 4 her' showrooms

Distribution CoverageCommendable Distribution, easily available in Tier II and III cities besides metros

BRAND EQUITY CONTD……

Reasons for Vertical Extension

Coming SoonHero Dash 110 cc Hero Dare 125 cc Hero ZIR 150 cc

Hero MotoCorp R&D spends rose six-fold in fiscal 2015The combined spending of Rs 723 crore was nearly 3% of Hero Moto-Corp's net revenue of Rs 27,585 crore, compared with about 0.5% in fiscal 2014.  

LAUNCHING THE ALL NEW FINESSE

VERTICAL EXTENSION

Understanding the ProductPoints of parity: Displacement 125cc Mileage-50 kmph Kick and self-start USB charging

Points of difference: Metallic body with gloss finish New improved design Available in rich and elegant hues Larger wheel base LED headlights Remote control locks

Understanding the customerBrand Personality: Elegance, luxury, style, Feminine vehicle.

Brand Associations: Super-models to promote Finesse. Brand stands for itself.

Segmentation : 1) Geographic – Tier I cities – Hero

Showrooms 2) Demographic – Affluent , young

women 3) Psychographic – Independent

4) Behavioural - Trend conscious women

Target : Women riders in tier 1 cities in age group 18-30

Positioning : Young affluent women conscious of social status and who love to

flaunt it

Value Proposition: Elegance. And You.

STP and Value Proposition

Brand Equity of Hero Finesse

Loyalty measures - Price Premium Priced at INR 73000 - Customer Satisfaction Functionally rich offering

Perceived QualityHigh on functional benefits- a status symbol

Leadership and PopularityAiming at a market share of 5% within the first year of the launch

Perceived ValueReflects the personality of an affluent Indian woman who is trend conscious

Brand PersonalityFreedom, class, luxury, style, youth

Organizational AssociationsVery strong- a product of Hero

Brand Awareness MeasuresHigh brand recognition, brand recall, Hero - a top of the mind brand

Market Behaviour Measures- Market Sharecurrent market share – 16% - Market Price and Distribution coverage Priced at a premium In showrooms of Tier I cities

Product Description Price Units RevenueHero Finesse (Online + Offline )

73000 25000 ₹ 182.5 crore

Investment planExpenditure Share

Material Cost 66-67% ₹ 120.45 crore-122.5 crore.Operation Cost 8% ₹ 14.6 croreAdvertising Cost 8% ₹ 14.6 croreTaxes and Duties 6% ₹ 10.95 croreEmployees 3% ₹ 5.475 croreInterest and depreciation 2% ₹ 3.65 croreProfit 6% ₹ 10.95 crore.

INVESTMENT PLAN

TIMELINE FOR IMPLEMENTATION

Aim Task Duration Responsibility

To make a premium Scooterette

Product Development

15/8/15-31/12/15 R&D Dept.

  Manufacturing 1/1/16-15/2/16 Production Dept.  Logistics &

Distribution 1/2/16-28/2/16 Logistics Dept.

  Marketing & Promotion

1/2/16 Onwards Marketing Dept.

Sales Launching and Sales

1st March Onwards

Dealers

AdvertisingTV ads on premium channels, Print media-magazines( Cosmopolitan,

Femina, Vogue etc.)

Social Media AdvertisingFacebook, Twitter, Tinder, YouTube, Instagram

Sponsorships (Event Marketing)

Promotion on airport lounge

COMMUNICATION STRATEGY

Future Endeavors

Maintenance services at your door

Branded merchandises

Social campaigns

Lottery

Loyalty points at petrol pumps

Expected Outcome

Current Market Share (16%)=475200

Expected market share (25%)=742500

FINESSE expected market share (7%)=51975

THANK YOU