CO MPARIS ON O F TH E BIK ES

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BAJAJ PULSAR 150
Price (ex-showroom, Mumbai)
Rs 49,400-53,000
Top speed 107kph
0-60kph 6.25sec
Kpl 59.6 (overall)

HERO HONDA CBZ X-TREME

Price Rs 56000
Displacement 150 cc
Weight: 141 Kgs (Kick Start) / 143
Kgs (Electric Start)
4-stroke single cylinder
Idle engine speed 1400 rpm

TVS APACHE

Price: Rs.58,600/- (Pune)

Displacement 150 cc
Good Balance, Good brakes
4-stroke single cylinder
Electric start & kick start option
Six-spoke black alloy wheels

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CO MPAN Y P ROFILE

Hero Cycles and Honda Motor Company of Japan

linked their joint venture in India in April 1984, few could have
imagined that the two would go on to create history and become
the subject of a case study at business schools, internationally.

But that's the Hero Honda saga. In a little over two decades, the world's largest
manufacturer of bicycles and the global leader in motorcycles have created not only the
world's single largest motorcycle company but also the most endearing and
successful joint venture for Honda Motor Company worldwide. The company has sold
over 15 million motorcycles and has consistently grown at double digits since its
inception and today, every second motorcycle sold in the country is a Hero Honda.

In two decades, Hero Honda has built two world-class manufacturing facilities
at Dharuhera and Gurgaon in Haryana that now churn out over 3 million bikes per
year. In this period, Hero Honda has set up over 2400 customer touch points,
comprising a mix of dealers, service centres and stockists across rural and urban India.
Today, Hero Honda is an amalgam of winning networks and relationships with internal
and external stakeholders, including Investors, Dealers, Vendors and Employees. These
relationships have helped the company hold on to the mantle of World No.1 for years in
succession.

Hero Honda has relied on 3 R's-- Reach, Research and Reliability as its basic
building blocks. Using feedback from the market, a fully-equipped R&D center has
consistently created best practices in designing, testing and harmonization, besides
placing strong emphasis on road safety and ride quality. This emphasis has helped Hero
Honda build products that are ahead of their time.

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 In the 1980s, for example, Hero Honda became the first company in India to
prove that it was possible to drive a vehicle without polluting the roads. The company
introduced new generation motorcycles that set industry benchmarks for fuel thrift and
low emission. A legendary 'Fill it - Shut it - Forget it' CAMPAIGN captured the
imagination of commuters across India, and Hero Honda sold millions of bikes purely
on the commitment of increased mileage.

Hero Honda was also one of India 's first automotive companies to get close to
the customer. As Brijmohan Lall Munjal, the Chairman, Hero Honda Motors succinctly
puts it, "We pioneered India's motorcycle industry, and it's our responsibility now
to take the industry to the next level. We'll do all it takes to reach there.''

Key Highlights
• Hero Honda enjoys a significant brand premium. Its aggressive pricing strategy to
take on the competition has helped it in volume growth.
• Variant launches in each of Splendor and Passion has helped in stemming the loss
in market share in the face of the competition. Hero Honda now plans to launch two
new models in the 100cc segment in FY05 on a new platform.
• The company has started logging good volume growth after the launch of Passion
Plus and Splendor Plus as well as the CD-Dawn, which has also rejuvenated its
product range. Volumes should improve further, due to the base effect and improved
rural sentiment on the back of higher farm incomes.
• Aggressive cost controls and significant economies of scale are expected to aid
Hero Honda in retaining margins.
• Hero Honda will continue to be an attractive dividend yield play as the company
continues to generate significant free cash flows as its capital requirements are
limited

19
 PR ODU CT GALLE RY

AMBITION 135 CC

This bike has a contemporary style with a tubular single cradle, diamond type which
adds extra beauty to it. Over and above the bike has good acceleration and power with a
maximum power of 11 BHP / 11.15 PS @ 8000 rpm and a maximum speed of 100
KMPH. It has also been added with adequate fuel efficiency of 55 KMPL. The
Trapezoidal 35 / 35 W headlight gives the ‘woah’ look.

CBZ
• Transient Power Fuel Control (TPFC) System
• Hydraulic & Dynamic Vibration Dampers
• Gear Box: Equipped with five gears and a
156cc engine that generates 12.5 bhp powers.
Touch the top speed of 100kmph.
• Multi Lever Locking Seat
• Adjustable Rear-Shock Absorbers

SPLENDOR+
The Splendor+ has been upgraded in both its
looks and performance. New, clear, bright multi-
reflector head light with 12V 35/35W multi-
reflector with halogen lamp, multi-reflector tail
light and stylish graphics. This motorcycle meets
the pollution control standards of this decade.
That's the Splendor+-the new face of trust.

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PASSION PLUS
9 New two-tone body colours PLUS Body colour rear view mirrors PLUS Aluminum

die cast rear grip PLUS Heat protector on the muffler PLUS New dials on the
instrument panel PLUS Headlight with halogen lamp PLUS Multi-reflector winkers.
All this and much more to make the biker and his bike stay married forever.

CD DAWN (Value Nayae Zamane Ki!)

CD Dawn, the true-value 4 stroke, 100cc motorcycle. A motorcycle that encompasses

the legendary Hero Honda values of fuel-
efficiency, economy and rock-solid dependability
• Tough Track Suspension
• Doubly Strong Tubular Frame
• Other features - like the legendary mileage,
the first-of-its-kind 2-year warranty in the
category

KARIZMA

Superior technology plus advanced features plus captivating looks equals KARIZMA.
The future of the Indian motorcycle market should be seen through KARIZMA. It is

21
certain to change the way in which the Indian customer looks at a premium bike. With a
maximum power of 17 PS @ 7000 rpm, KARIZMA is targeted at customers seeking to
enjoy the 'thrill of power on wheels of style'. A product of combined R&D efforts of
Hero Honda-Honda, the motorcycle guarantees exceptional performance with
unmatchable style and utmost comfort.

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 AD VER TISIN G ST RA TE GY
Hero Honda is currently the number one company in terms of sales and has been
dominant in the two-wheeler segment since the past decade. Since the inception of hero
Honda, the company has been using television as a major role for its publicity. Though
hero Honda was dominant in sales it lacked the skills of creating a spectacular ad till
now. Though it had a vast range of mobikes, its advertising strategy was not up to the
mark. For its publicity hero Honda has been using many famous celebrities like Saurav
Ganguly, the captain of Indian cricket team, Hritik Roshan and other famous
personalities as their brand ambassadors. Thus, hero Honda has been spending huge
amounts on its publicity.

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24
BAJAJ
‘Hamara Naya Bajaj’

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 three-wheelers 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.

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 Waluj near Aurangabad, Akurdi and Chakan, near Pune. Bajaj Auto makes and
exports motorscooters, motorcycles and the auto rickshaw. It is widely believed that
Bajaj is headed for a de-merger into 2 separate companies: Bajaj Auto and Bajaj
Finance.

25
Key Highlights

• The total motorcycle sales in 2003-04 crossed the "1 million" mark registering a
growth of 18% v/s 2002-03 - higher than the industry growth rate of 15%.
• To increase its volumes in the entry level segment of the motorcycle market, the
Company has launched a new model CT-100 in May 2004. This bike with its class
leading performance and phenomenal fuel efficiency is expected to redefine the
entry level segment.
• To garner a substantial share in the executive segment of the motorcycle market a
technologically superior bike, internally code named K 60, will be launched in
second quarter of 2004-05.
• The Pulsar continues to be a market leader in the premium end of the motorcycle
market with a sale of over 297,000 numbers in 2003-04. The cumulative sale of
Pulsar's to date has crossed the 500,000 mark within a short span of 29 months.
• In the ungeared scooter segment an upgrade of Spirit with a 70cc engine and a new
ungeared scooter "Wave" will be launched in the second quarter of 2004-05.

26
PRODUCTS OF BAJAJ AUTO LIMITED

Motorcycles

o Kawasaki Eliminator
o Bajaj Pulsar
o Bajaj Kawasaki Wind 125
o Bajaj Boxer
o Bajaj CT 100
o Bajaj Platina
o Bajaj Caliber
o Bajaj Discover
o Bajaj Avenger

Upcoming Models

• Bajaj Pulsar 220 DTS-Fi

• Bajaj Krystal
• Bajaj Blade
• Bajaj Sonic

ENTRY LEVEL –
Models priced between Rs. 27,000 and Rs. 37000.
Bajaj is firmly placed in this category with the entire family of Boxers (AT, CT and
AR), as well as the 100cc BYK model introduced in December 2002.

EXECUTIVE CATEGORY –
Models priced between Rs. 38,000 and Rs. 45,000.
These are the models with Japanese and European standards of engineering, styling,
manufacturing and riding comfort. This segment has “Hoodibabaa” Caliber115.

PREMIUM CATEGORY –
Models priced above Rs. 45,000.
The premium category consists of Pulsar 150 ES, Pulsar 180, and Pulsar DTSi and, in
the super-premium, the Eliminator.

27
 PR ODU CT GALLE RY
SUPER 100
The new Super 100 is claimed to have an ideal combination of economy, performance
and style. Powered by the 100 cc K-Tec engine the
Super 100 delivers an unbeatable combination of
power with 100-kmpl fuel-efficiency in standard
test conditions. The full flow design with attractive
contoured tank and panels, aluminum die-cast grab-
rail, optoprism headlamp promises to make the
Super 100 the style leader in the 100 cc category as well.

PULSAR DTSi

The Pulsar twins are claimed to have taken the market by storm since their launch in
Nov'01. The DTSi engine consists of the Digital Twin Spark ignition, Digital CDI unit,
TRICS III, CV Carburetor all state of the art features that bring the digital biking to a
new level. The result is consistent & responsive engine output for varying load and
speed conditions at different levels of acceleration.

PULSAR 150/180
Targeted at the youth segment, the Bajaj Pulsar has
been designed and styled as a mean masculine
robust machine with dazzling looks and technically
advanced mechanism that offers great performance.

28
The symmetries between the muscular fuel tank, side panels and the rear panels give a
very distinctive feel to Pulsar.
Features: Sporty Looks, Supreme Performance, Riding Comfort, Safety

29
KAWASAKI BAJAJ WIND 125

The Wind 125 comes with a 4-stroke 125cc K-TEC

engine offering 10.8 bhp power. The Constant
Velocity (CV) carburetor brings greater throttles
response and power delivery. It's 5 speed
synchronized transmission augments smoother
engine revving. Its special feature is the primary
kick-start mechanism, which enables starting of the
Wind 125 in any gear. The bike comes with a dual tone and the 125cc has a long stroke
hydro-dynamic suspension designed for comfort even on rough roads.

CALIBER 115 - "HOODIBABAA"

The recently launched man-size Caliber 115 has the style and performance benchmark
in the Executive segment. Its 4-stroke, K-TEC engine offers
a mileage of 90 kmpl and power of 9.5 bhp, which the
company claims is the highest in its category. It is also
equipped with a unique optimum riding indicator, which
shows optimum speed for maximum mileage. The Throttle
Responsive Ignition Control System (TRICS) ensures the
K-TEC engine gives a good mileage at all times. The Anti
Slide Seat of the new Caliber 115 ensures that the rider remains in his position even if
he hits the brakes suddenly. Hydrodynamic (HDS) Suspension provides comfort even
on rough, bumpy, potholed roads.

30
 BAJAJ UNVEILS NEW BRAND IDENTITY- NEW LOGO

Bajaj Auto unveiled the new corporate identity on the 15th of January at the
Auto Expo 2004, New Delhi. The white and blue reverse hexagonal symbol with Bajaj
Auto in small lettering, which stood in good stead for Bajaj
Auto for many decades, finally paved way for a refreshing
new look symbol with the Bajaj logotype in capital letters. The
new identity arrives at a time when Bajaj Auto has
successfully metamorphosed into a major motorcycle
manufacturer with proven credentials in award winning Pulsar
twins and also proved its technological capability with the
introduction the revolutionary Digital Twin Spark Ignition
(DTSi) technology.

The new visual identity of Bajaj Auto emanates from the confirmation of core
values, which Bajaj has identified as its brand values. The Brand essence for the new
Bajaj has been defined as "Excitement". Excitement engineering will deliver and
inspire confidence in to various stakeholders like Bajaj has traditionally done. Bajaj
promises to live its essence through a set of five Brand Values of Learning, Innovation,
Perfection, Speed and Transparency.

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 The change in Identity is a part of the ongoing changes happening at Bajaj. At a
time when Bajaj has state of the art manufacturing infrastructure, has an enviable
distribution and service network, has created a benchmark R&D facility and at a time
when the customer has changed in terms of its exposure to quality and style, the change
in Identity will help invite a paradigm shift in consumer perception of the company.

The traditional hexagonal symbol has been replaced by an open abstract form of
stylized B, the "flying B" as it has been named represents style and technology. It also
has a strong association with the heritage of Bajaj since the external form has a hint of
hexagon. "Flying B" form denotes speed and open form denotes the transparency.

Bajaj has adopted a new brandline of "Inspiring Confidence". In whatever the

company does it seeks to inspire confidence in its audience. Bajaj has traditionally
enjoyed tremendous consumer support and plans to consolidate and move ahead on
this. The Brandline appears below the Logotype in a script font. This font is to
represent learning values at Bajaj and that Bajaj as a brand moves closer to customer.

The Identity has a fresh new Blue colour. This Blue represents stability and
strength of Bajaj. Blue also represents high technology and precision engineering. The
new Identity presents a futuristic face of the new global Bajaj. Elephant Design has
been working with Bajaj on creating and implementing the new Bajaj identity. The new
brand will manifest in all consumer and employee interfaces.

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 AD VER TISIN G ST RA TE GY

Bajaj is always known for its outstanding ads over the period of time. Since its
inception, Bajaj has come out with variety of ads and were always successful in their
advertisements. Scooters were well known by the brand name of Bajaj. Be it any
scooter, one used to recognize it by the brand name Bajaj. This was the identity a
decade ago which the Bajaj has still maintained. Bajaj is always known for its ads
without well-known brand ambassadors which is again a plus point to its cart as it saves
a huge cost in terms of brand ambassadors unlike Hero Honda and TVS. Prior, Bajaj
used to convey the feeling of ‘Indianness’ in its ads. With a punch line ‘Hamara Bajaj’
Bajaj drove into everybody’s hearts and the title song of ‘Naye Bharat Ki Naye
Tasveer’ added a great value to its mobikes and scooters.

A couple of years back, Bajaj had introduced an advertisement which promoted

all the different ranges it had, wherein they had shown each product they had with a
feeling of Indianness. Example: Eliminator passes-by a rangoli and drives slowly
sideways without disturbing it. People on boxer pass-by a temple and bend their head to
give a little offering. Such ads had revealing Indian culture had a great effect on Indians
and Bajaj was successful in most of its ads.

But recently, Bajaj had changed its brand logo alongwith its punch line i.e.
‘Hamara Bajaj’ got converted to ‘Inspiring Confidence’. The reason for this change as
told by the company officials was to keep pace with the new technologies in the fast
moving world. Even though it had changed its punch line, it didn’t have much effect on
its brand image.

A year back, Bajaj

introduced DTSi technology
upgrading its always successful
PULSAR 150cc and 180cc.
Though Bajaj had changed its
identity it still dominates for its
creativity in ads.

33
PULSAR 150cc/180cc & DTSi (Definitely Male)
The concept of Definitely Male was well accepted by the people and Bajaj came out
with some astonishing ads. Though the DTSi technology was new, people accepted it
very well. It easily conveyed the message it wanted to. The following picture strips
conveys the advertisement:

Getting on to his bike, a man gets all set to make a
move. As he puts his helmet on, a message
appears on the windshield, 'Partially sunny from
16:37 hrs.'
While the biker cruises through the city, some army
men are out for their jog. Just before they cross a
road, a zebra crossing forms ahead them and
disappears after them, while the biker waits
patiently.

A young lady talks to her beau on the phone, while Riding on, he spots a child playing with a remote
an image of his forms before her. She switches the controlled toy. In the next shot the toy turns out to
phone off and the image disappears, in time for her be a roller coaster, with children inside enjoying the
to catch a glimpse of the bike. ride.

On arriving home, the biker is greeted by a robotic As he takes off his helmet everything turns back to
dog. it's usual self. MVO: "Imagine a world as advanced
as the new Pulsar DTS-i...
DTSi came out to be a good one with proper publicity advertisements and that too
without any highly paid brand ambassadors. After this ad was successful Bajaj came
out with a second ad wherein a man is shown performing various stunts on his DTSi
Pulsar. Even this one was an outstanding one.

34
BAJAJ WIND
Bajaj came out with a good ad for its 125cc WIND with a good convey of he message it
wanted to, with the bike. Its punch line was ‘wind biking’ and Bajaj easily
communicated this to the people with a stunning advertisement wherein:

Shot of a fully clothed man taking his shower. The wet clothes and dripping water hardly bother
him as he enjoys his ride and feels the wind on his
body....

By the time he reaches his destination he's fresh ...but on noticing his wet backside, she turns away
and dry. Walking by he makes heads turn and gets with an amused look. MVO: "Discover wind biking."
admiring looks...

35
BAJAJ CALIBER 115 - Hoodibabaa
You guessed it right it, tis none other than the new Caliber115. The word Hoodibabaa
became the talk of the town and the whole credit goes to the creativity in the
advertisement. Bajaj first introduced an ad showing a kid and his father chasing the
picnic bus and reach the picnic spot faster than the bus wherein the child is always
found saying ‘Hoodibabaa’. Very few know what it means, but it goes without saying
that it was well accepted by the people. Then Bajaj came out with another ad which
neither had a brand ambassador nor any model i.e. it was just a cartoon animated ad
wherein a man riding the caliber115 was shown saving a child from the clutches of a
lion in a zoo. This ad was an outstanding one with very low cost involved in making it.

36
The TVS group was established in 1911 by Shri. T. V.
Sundaram Iyengar. As one of India’s largest industrial
entities it epitomizes Trust, Value and Service. It all
began way back in 1984 when Sundaram Clayton
Limited (A TVS Group company) introduced its 50 CC
mopeds in the arena of road racing, notching up unbelievable speeds of 105 kmph.
Since then, there has been no looking back for TVS Motor Company. TVS Racing was
established in 1987 with the objective of improving the performance of its bikes. Over
the years it has provided valuable data, design inputs, development of reliable
motorcycle models, excellent vehicle dynamics & handling etc. The true evidence of it
is seen in today's TVS Victor and TVS Fiero. Today, there are over thirty companies in
the TVS Group, employing more than 40,000 people worldwide and with a turnover in
excess of USD 2.2 billion.

With steady growth, expansion and diversification, TVS commands a strong

presence in manufacturing of two-wheelers, auto components and computer
peripherals. We also have vibrant businesses in the distribution of heavy commercial
vehicles passenger cars, finance and insurance.

TVS Motor Company Limited, the flagship company of the USD 2.2 billion
TVS Group, is the third largest two-wheeler manufacturer in India and among the top
ten in the world, with an annual turnover of over USD 650 million.

The year 1980 is one to be remembered for the Indian two-wheeler industry,
with the roll out of TVS 50, India's first two-seater moped that ushered in an era of
affordable personal transportation. For the Indian Automobile sector, it was a
breakthrough to be etched in history. TVS Motor Company is the first two-wheeler
manufacturer in the world to be honoured with the hallmark of Japanese Quality – The
Deming Prize for Total Quality Management.

37
 PR ODUCTS
TVS Apache
4-Stroke, 150cc, high
performance motorcycle.
TVS Victor
4-Stroke, 125cc,
performance motorcycle
with VT-i technology.

TVS Scooty TVS Centra

4-Stroke, 90cc 4-Stroke, 100cc
scooterette for the new executive motorcycle with
generation. revolutionary VT-i
engine.

TVS Fiero TVS Star

4 stroke, 150 cc premium
performance motorcycle.
4-Stroke,100cc value for
money economy
motorcycle for good
mileage and rugged
terrain.

TVS Super XL TVS True 4

2-Stroke, 70cc moped. JASO MA2 with API SL
20W40 specification.
more

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ADVERTISING STRATEGY

39
CON CLUSIO N

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