market segmentation of motorbikes
TRANSCRIPT
WHAT & WHY ???? The process of defining and subdividing a large
homogenous market into clearly identifiable segments having similar needs, wants, or demand characteristics. Its objective is to design a marketing mix that precisely matches the expectations of customers in the targeted segment.
Segmentation of market helps companies to know the path & direction to Target Market .
We have chosen Motorbike as product where Bikes are used for commuting purpose. Hence, demographic segmentation plays an important role. Bikes cater to a particular age group, gender and/or income group. Depending upon the segment, the features of the bike varies. Hence, marketers should have a good knowledge about what features to add on as per the segment they want to cater to.
HOW ???? Market segmentation is done based on certain
criteria; Viz..1. Demographics2. Psychographics3. Life Style4. Belief & Values5. Life Stages6. Geography7. Behavior8. Benefits
NUMBER OF PLAYERS Bajaj Auto
Hero MotocorpTVS Motors
Yamaha MotorsSuzuki MotorsHonda MotorsRoyal Enfield
Mahindra Two Wheelers
10
TOP FOUR PLAYERS
HERO
HONDA
BAJAJ AUTO
TVS MOTORS11
2013- 14 Vrs 2014-15
41.4% Vrs 41.3%
25.6% Vrs 16.6%
16.6% Vrs 24.4%
12.9 % Vrs 11.8%
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But why are all “desi” motorcycles segmented as commuters here?Motorcycles in developed markets are therefore
segmented for the purpose that they are designed for eg: Super Sports for track/road racing, Cruiser for riding in a relaxed manner on open highways.
The main purpose for buying/riding a motorcycle in India is to commute.
Bikes like the Karizma ZMR, Pulsar 220 and R15 may have an element of fun but at the end of the day they are just basicallly glorified commuters.
I mean how many neighbors/friends/relatives do you know in India who prefer to commute in a 4 wheeler/car and rides a motorcycle occasionally just for fun?
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Entry Level Commuter
Segment defining models: Hero Splendor,splendor NXG Honda Dream, Shine Livo Bajaj CT 100, Platina , TVS Sport,Phonix, Yamaha Crux,
Cognitive (Rational) expectations: Basic model available with the least amount of money. Good fuel efficiency (around 65-70 kmpl)
Affective (Emotional )expectations : The consumers of this segment don’t get affected by emotional aspects. In a way they don’t mind being seen riding entry level models.
Connation Expectations : Commuting convenience
Entry Level Commuter
15
Segment defining models: Hero HF Delux,Dawn,Honda CB Unicorn,Dream Yuga, Bajaj Discover 100/125/150, Yamaha YBR 110, TVS Star City Plus,Victor,
Rational expectations: Good fuel efficiency (around 60-65 kmpl). Simple sober styling which “both father and son can ride”
Emotional expectations : The consumers of this segment don’t like to be seen buying into the least price (entry) models. These “deluxe” models has more snob/prestige value than entry level models
Connation Expectations : Pride & hasslefree
Deluxe Commuter
16
Segment defining models: Hero Karizma,Hunk,Ignitor,Honda Dazzler ,CB Twister,Stunner, Bajaj Pulsar 150/220,Avenger, TVS Flame, Apache RTR
Cognitive (Rational )expectations: Good fuel efficiency (around 50-60 kmpl). Basically commuter ambitions but with stylish aspirations
Emotional expectations : The consumers of this segment want to be seen riding stylish models compared to plain/sober deluxe commuter models. Therefore these models mimic the styling of bikes above its segment
Connation Expectations : Upgraded Life Style
Stylish Commuter
17
Segment defining models: Bajaj CS 400,pulsar 180 NS , Hero Impulse,Xtream,Honda CBR 250/150, TVS Darken, Yamaha FZ-16/S
Rational expectations: Combination of decent fuel efficiency (around 40-50 kmpl) with decent pick up and a top speed around the (100-110) kmph mark
Emotional expectations : For the first time power and pickup takes equal importance along with fuel efficiency. Bikes in this segment are also expected to be styled in a muscular manner to go along with the engine performance
Connation Expectation : Adventure & Fun element
Sporty Commuter
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Segment defining models: Bajaj Ninja,Vinace, Hero CBZ, Honda CB1000r,VT 1300 CX, Yamaha YZF R15, Royal Enfield, TVS Akula 310Rational expectations: Acceptable fuel efficiency (around 30-40 kmpl) with more emphasis on power and pickup and standing slightly apart from the crowdEmotional expectations : Apart from good power and pickup consumers of this segment expect to stand apart from the crowd, hence styling elements like Half Fairing, Full Fairing, Differentiated Styling (Cruiser/Classic)Connation Expectation : Status
Premium Commuter