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Product and Brand Management - One compulsory question - 30 marks Analyse any three brands on the following parameters.

1. 2. 3. 4. 5. Industry of existence. Competition analysis. Target Market + Demography. Branding strategy adopted by the brand in different PLC stages. Way ahead- Suggest alternative branding strategy if you were the brand manager for the respective brands.

TATA INDICA: . It was Tata Motors, which developed the first indigenously developed Light Commercial Vehicle, India's first Sports Utility Vehicle and, in 1998, the Tata Indica, India's first fully indigenous passenger car. Within two years of launch, Tata Indica became India's largest selling car in its segment. In 2005, Tata History On 30 December 1998, Tata Motors (previously called TELCO) introduced the most modern car ever to be designed by an Indian company: the Indica. Initially introduced with the caption "More car per car," the ad campaign focused on roomy interiors and affordability. Within a week of its unveiling in 1999, the company received 115,000 bookings.[3] In two years, the Indica became the number one car in its segment. Partly designed and developed by Tata Motors, it is a five-door compact hatchback with a 1.4 L petrol/diesel I4 engine designated as 475DL internally. This is a homegrown engine which is derived from the engine used by Tata in their line of pickups and SUVs earlier but with a reduced stroke. The original engine was designated as 483DL which stood for 4 cylinder and 83 mm stroke. The Indica offered options like air conditioning and electric windows, which were previously restricted to only upmarket imported cars in India. Three years later the Indica was exported to European markets for the first time, and from 2003 the Indica was badge engineered and sold in the UK as the Rover CityRover. This vehicle ceased production in April 2005 when MG Rover went bankrupt, and did not resume production when new owners Nanjing Automobile launched its own versions of the MG Rover range in 2007. The outer body styling was done by Italian design house I.DE.A Institute, under contract from Tata Motors, with heavy interaction with Tata's in-house design team. The engine, however, was indigenous. [edit] Indica V1 and V2 (1998-present) (1st generation) Indica V1 and V2 Also called Tata Indicab (panel van)

Production Assembly Body style

Tata B-Line[4] (South Africa) 1998-present Pune, Maharashtra, India 5-door hatchback

When first launched, the Indica prompted many complaints from early purchasers, who claimed that the vehicle did not deliver horsepower and gas mileage as promised.[citation needed] In response to the customer complaints, Tata Motors re-engineered the internals of the car and launched it as Indica V2 (version 2), which solved most of the complaints and emerged as one of the most sought after cars in the Indian automobile industry. Later, it was again updated, now marketed as the "Refreshingly New Indica V2". This was followed by the next variant of Indica, current in early 2008, called the Indica V2 Xeta Petrol, which delivers 70 PS (51 kW; 69 hp) of power at a fuel efficiency of 14 km/l (about 33 mpg U.S., fuel consumption of 7.1 L/100 km) under standard test conditions.[5] In Indian city conditions, fuel economy can drop to about 10 km/l (about 23.5 mpg U.S., 10 L/100 km).[6] Since the V1 and V2 which were visually identical, Tata had applied styling updates to the Indica in 2004[7] and 2007.[8] In India, three versions were available with different trim levels. Indica V2 1.4 L diesel (naturally aspirated engine in the DLE and DLS; turbocharged option in the DLS; turbocharged and intercooled DLG and DLX; DiCOR engine offered in the DLS and DLG); Indica V2 Petrol 1.4l Petrol Carbureted (Indica 2000) 1.4L petrol with Hitachi ECU, 1.2L and 1.4L petrol with Bosch ECU (Indica Xeta), 1.2 L LPG (GLE & GLS versions only); Indicab 1.4 L naturally aspirated diesel (DL and DLE), a low-price car with the same framework but fewer features and luxuries, aimed at cab and contract transport business fleets. Very popular among transport business people.[9]

Originally offered with 1.4L petrol and diesel engines, a turbocharged diesel engine was introduced in October 2005; a 1.2L petrol engine in November 2006 and a DiCOR (Direct Injection Common Rail) diesel version of Indica V2 was launched in January 2008. It features 16 valves, double overhead camshafts, a variable geometry turbocharger and an intercooler. The top end GLG, GLX, DLG, DLX versions and the turbo and DiCOR diesel engines, as well as the 1.4L petrol engines have been phased out with the introduction of the next generation Indica Vista. The turbocharged engine was reintroduced in August 2010 as the turbomax in the DLE and DLS Trim levels in metros where BS IV norms were introduced.[10] Later in March 2011, the Indica eV2 was launched with a 'CR4' engine similar to the earlier DiCor engine with features like Auto-Drive Assist and Clutch-To-Start

and claims a class leading ARAI mileage of 25kmpl[11] A compressed natural gas (CNG) was launched in 2001.[12] Faced with numerous CNG-related complaints, TATA organized a systematic recall and retrofit of Bedini equipment which included a new improved Lamda sensor / electronic control unit, Bedini emulator and new wiring harness approved and tested by both TATA and ARAI (Automotive Research Association of India) from 2831 May 2007. With the new system, TATA aims to improve gas delivery and performance.[citation needed] In its home market, the Indica offers good interior capacity and competes with the Maruti Suzuki Swift, Maruti Wagon-R, Maruti Alto, the Hyundai Santro and the Fiat Palio. The diesel versions, however, have little or no competition since few diesel cars exist in the Indica's price bracket. The slightly higher-than-average net weight makes for a slightly more comfortable ride compared to lighter cars. Fit and finish continue be criticized compared to offerings from Fiat and Maruti.[14] In the UK a badge engineered version was imported by the MG Rover Group and sold as the Rover CityRover. Other popular foreign markets include South Africa where the Indica and the Indicab models (known as B Line) are sold. The Indica platform spawned a number of variants, including the Tata Indigo three-box saloon which includes the shorter Indigo CS, Long wheelbase XL and the Indigo Marina estate. Accessories and optional extras The following range of accessories were available for the Indica:

Power steering HVAC - Heater, ventilation, and air conditioning Turbocharger and intercooler Alloy wheels Power windows Central locking with remote key-less entry Ventilated disc brakes 4 spoke steering wheel Tinted windshields Powerful fog lamps Rear spoiler with integrated LED stop lamp Luxurious beige/black interiors Night adjust rear view mirror Chrome tip on silencer, chrome lining on grill and bonnet Audio warningsdriver/passenger seat belt warning, door open warning Tachometer (selected models) child lock on rear doors (selected models) alloy pedals

The Indica Vista was unveiled at the 9th Auto Expo in New Delhi. The Indica Vista is not a facelift of the Indica. It is built on a completely new platform and shares nothing with the existing Indica. This new version is bigger than the previous Indica, it is 3,795 mm (149.4 in) long with a wheelbase of 2,470 mm (97.2 in). The Indica Vista has two new engines, a 1.3 L Quadra Jet common rail direct injection diesel and a 1.2 L Safire MPFI VVT petrol engine. The 1.4 L TDi was available until April 2010 , but was discontinued as it did not meet the Bharat Stage IV emission norms. The Quadra Jet (Fiat JTD) is produced in Ranjangaon by the Tata-Fiat joint venture.[17] The Indica Vista, rumoured as the Indica V3 till then, was launched in August 2008.[18] Subsequently, a 1.4l, 90ps petrol variant was also launched. [edit] Indica Vista EV Tata Indica EV Tata Indica EV engine bay It has been suggested that this section be split into a new article titled Tata Indica Vista EV. (Discuss)

Electric versions of the Indica Vista by the name Indica Vista EV (Electric Vehicle) is scheduled for launched in India in 2011.[19] The electric vehicle will be based on the Indica Vista. Once charged, the car can travel up to 200 kilometers on its full electric motor. The car has started roll out in the last quarter of 2008[20] and in Spain in 201008-15.[21] The company has indicated that the electric Indica would be launched locally in India in about 2010, without disclosing the price. The vehicle would be launched in Norway in 2009 [23] and also would go on sale in continental Europe and the UK.[24] The Tata Indica Vista EVX was withdrawn from the Progressive Insurance Automotive X Prize, in the third round of four.[30] Tata Motors began production at its U.K. assembly plant in Coventry in April 2011 followed with field testing with 25 units delivered to selected customers. The UK market launch is scheduled for mid 2011, and the electric car

is priced at GB29,000 before the GB5,000 Plug-in Car Grant. The Indica Vista EV range is 110 mi (180 km). [31] [32] . The price is under 30,000 euros in Spain.[33] [edit] Indica Vista Concept S A design study to highlight its design skills, the Indica Vista Concept S was displayed by Tata at the 2010 Delhi Auto Expo. [edit] Indica Silhouette concept car During India's 2006 Auto Expo in New Delhi, Tata unveiled the Indica Silhouette concept car, a radical, highperformance Indica featuring rear-wheel drive, extensive bodywork, and a 3.5 litre 330 hp (246 kW) V6.[34] The car is capable of accelerating from 0100 km/h in 4.5 seconds, and maxes out at 270 km/h (170 mph). The Silhouette is currently only a concept vehicle, and is completely different from the standard Indica. [edit] Indica rally version A homologated 1500 cc 115 bhp (86 kW) Indica with sporting suspension and capable of 180 km/h (110 mph) was prepared jointly by Tata Motors and J. Anand of Jayem Automotives.

1. About Indica o Tata Indica is a small passenger car manufactured by Tata Motors of India. o Indica is also exported to Europe as well as retailing in South Africa from late 2004. o In the UK Indica was imported by MG Rover and it was called the CityRover. o Indica marketed it self with the slogans like "The Big.. Small Car" and "More car per car . 2. About Indica o Within a week of launching, company received 1,15,000 bookings. o In two years, the Indica became the number 1 car in its segment. o In India indica provide both the version petrol and disel because of the need of their consumer. 3. About Indica o In India, 3 versions are available with 4 sub models each. Indica V2 - 1.4L Diesel (DLE, DLS, DLG, DLX) Indica V2 XETA - 1.2L Petrol (GV, GVE, GVS, GVG) and 1.4L Petrol (GLX, GLG) Indicab - A low price car with same framework but less features & luxuries aimed at cab & contract transport business. Very popular amongst the transport business

COMPETITION ANALYSIS: 1. Main Competitors of Indica Santro Getz Matiz Wagon-R Zen Estilo Palio 2. Conclusion o The main reason of Tata Indica success is low cost, good quality product and services, and also their supply chain management. o The big competitor of Indica is Santro and Zen Estilo. o Tata Indica fulfilling the dream of Ratan Tata launching of small car in India.
o o o o o o

TARGET MARKET + DEMOGRAPHY:


o

Introduction stage of PLC The need for immediate profit is not a pressure. The product is promoted to create awareness. If the product has no or few competitors, a skimming price strategy is employed. Limited numbers of product are available in few channels of distribution. Advertising differentiates the product. Print ad of a Printer giving details about its specifications Growth stage of PLC Competitors are attracted into the market with very similar offerings. Products become more profitable and companies form alliances, joint ventures and take each other over. Advertising spend is high and focuses upon building brand. Market share tends to stabilise. Advertising establishes participation with the marketplace. Maturity stage of PLC Those products that survive the earlier stages tend to spend longest in this phase. Sales grow at a decreasing

rate and then stabilise. Producers attempt to differentiate products and brands are key to this. Price wars and intense competition occur. At this point the market reaches saturation. Producers begin to leave the market due to poor margins. Promotion becomes more widespread and use a greater variety of media. Advertising puts price ahead of the competition. Decline stage of PLC At this point there is a downturn in the market. For example more innovative products are introduced or consumer tastes have changed. There is intense price-cutting and many more products are withdrawn from the market. Profits can be improved by reducing marketing spend and cost cutting. Defensive advertising or for revitalization. Brand Update : Tata Indica Brand Portfolio Indica is a brand that is an epitome of persistence. Tata Motors through Indica has demonstrated how to manage product lifecycle effectively. The brand which was launched in 1998 has passed through many hurdles. The brand successfully transcended the initial flaws, bad customer /expert reviews and brickbats to become one of the largest selling cars in the Indian auto industry. The brand survived and thrived because of the constant focus of Tata Motors to improve the product continuously. More than the product innovation, it was the value proposition that forced customers to choose Indica despite all those nagging troubles. You can see lot of Indica customers cribbing about the bad service and constant trip to the service centers but sticking to the brand because of the value proposition. You cannot get a diesel car with that much space at the price at which Indica is selling ( so far).

Tata Motors has been continuously tweaking the brand over these years sometimes making quantum leap in the quality and refinement of the product. A snapshot of the brand's evolution is given below

1998Indicaannounced 2001indicaV2 2004rejuvanatedindicaV2 2005-indicaV2turbodiesel 2006-inDICAXETA Indica Indica V2 V2 V2 Diesel Xeta

2008 - Indica VistaThe brand made a quantum leap in 2008 with the launch of Indica Vista. The entire brand

personality changed with the launch of Vista. The product's looks and feel had changed completely and it was a rebirth Fiat which gave a new for perception of quality to the Indica. brand. The changes in the product was not limited to exteriors. Indica began sporting different types of engines from

At the pricing also, Tata Motors consciously raised the Vista brand to a higher level . The Vista is pricier than the original V2 thus reducing the attractiveness of the brand to the Taxi segment. At a price range of Rs 4 - Rs 5 Lakh, The Indica Vista Indica is not a cheap diesel car. It was an is upward stretch given by the brand. below.

Brand

portfolio

The

Indica

brand

portfolio

consists

now

of

three

sub-brands

V2,

Vista

and

Xeta.

V2 is the most economical of the lot and is the original Indica. This product is retained because there is still huge demand for V2 at that price point. Within the V2 range, there are three variants which includes the Indicab which is for the Taxi segment. Price of this sub-brand ranges from Rs 3,50,000 Rs 3,95,000

Next sub-brand is the Vista. Vista is the new generation Indica and Tata Motors would like this brand to take over the leadership position from V2 in future. The brand is targeting the discerning Indian consumer with its value proposition and good looks.Vista has lot of variants satisfying the various needs of the customer. The Indica Vista Aura is the premium range that sports many goodies that premium brands claim like ABS, Airbags etc. Vista also comes in Petrol version sporting the Saphire engine. Prices range from Rs 3,90,000 - Rs 4,90,000 ( apprx). Within the Vista range, customers are given lot of engine option including engines from Fiat. Xeta is the petrol variant of Indica V2. I am not sure about the future of Xeta since the petrol segment is heavily competitive and compared to Maruti and Hyundai, Indica Xeta's value proposition is not that attractive as the diesel option. Prices range from Rs 2,72,000Rs 3,00,000).

The positioning across the brand portfolio remains the same. All the brands focus on the value proposition. But these Indica Indica Indica VistaXeta subV2Changes brands More Everything Makes ( Surprise much sports car Yourself more is different per the car new taglines car tagline) sense.

Vista recently relaunched itself with Drivetech 4 technology and is now sporting a new tagline Surprise Yourself .

Indica in a way is an example of good marketing practice. The brand continues to evolve and is a pleasure to watch

Suggestions: Tata Indica vs Tata Indica Vista For many of the people like me who live in metros, Tata Indica is taxi or a cool cab. Since most of the Indicas are running with the yellow registration board across India, personally I won't be happy to have a car like Tata Indica which is perceived as a Taxi. And as far as I know, atleast in my friends circle no body has a good opinion on Tata Indica as a brand. (please note - it is only indica, whereas some of the other products like safari and sumo have decent brand value). Now, Tata's launched a new product in the B segment hatchback with the same brand name with some addition to that. It is now Tata Indica Vista, which comes in three variants (Terra, Aqua and Aura). Since Tata Indica is considered to be a taxi in metros, new launch with the same name may deteriorate the sale of Tata Indica. They could have launched in a different brand name. Something like what maruti had done with Ritz. Is this is right branding strategy adopted by the Tata's brand managers? Its a big question. They might be having a different point of view for sure. The facts will reveal the mistake soon, if any. Lets wait and watch

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