Transcript of "Comparative sales analysis of different KID’s bicycle brands "
Comparative sales analysis of different KID’s bicycle brands
SEMESTER PROJECT REPORT
Submitted in partial fulfillment of
MASTER of BUSINESS ADMINISTRATION
University School of Business
CHANDIGARH UNIVERSITY, GHARUAN
Supervised By: Submitted By:
Ms. Richa Sharma Sumit Guleria
Assistant Professor UID 12MBA1133
Chandigarh University MBA 4-B
This is to certify that Project Report entitled “Comparative sales analysis of different KID
bicycle brands” Submitted for the Degree of Master of Business Administration, In the
Specialization in Marketing of Chandigarh University, is a Bonafide Research work carried out
by SUMIT GULERIA, University Roll. No. - 12MBA1133 under my supervision & that no
part of this report has been submitted for any other degree.
The assistance & help received during the course of investigation have been fully acknowledged.
Ms. Richa Sharma
“It is not possible to prepare a project report without the assistance & encouragement of other
people. This one is certainly no exception.”
On the very outset of this report, I would like to extend my sincere & heartfelt obligation towards
all the persons who have helped me in this endeavor. Without their active guidance, help,
cooperation & encouragement, I would not have made headway in the project.
I am extremely thankful and pay my gratitude to my faculty Ms. RICHA for her valuable
guidance and support on completion of this project.
I extend my gratitude to CHANDIGARH UNIVERSITY for giving me this opportunity.
I also acknowledge with a deep sense of reverence, my gratitude towards my parents and
members of my family, who has always supported me morally as well as economically.
At last but not the least, gratitude goes to all of my friends who have directly or indirectly helped
me to complete this project report.
Any omission in this brief acknowledgement does not mean lack of gratitude.
Bicycles are a common mode of travel in much of India. More people can now afford to own a
cycle than ever before. In 2005, more than 40% of Indian households owned a bicycle, with
ownership rates ranging from around 30% to 70% at the state level. Along with walking, cycling
accounts for 50 to 75% of the commuter trips for those in the informal sector in urban areas.
Even though India is the second largest producer of bicycles in the world, a significant prejudice
against bicycle riding for transport exists in some segments of the population, generally
stemming from the status symbol aspect of the motor vehicle. In India, the word "bike" generally
refers to motorcycle, and "cycle" refers to bicycle.
Pune was the first city in India to have dedicated lanes for cycles. It was built for the 2008
Commonwealth Youth Games. However, recent developments in Delhi suggest that bicycle
riding is fast becoming popular in the metro cities of India. The Delhi government has decided to
construct separate bicycle lanes on all major roads to combat pollution and ease traffic
HISTORY OF BICYCLE INDUSTRY
A bicycle or cycle is pedal- driven, human – powered vehicle with two wheels attached to a
frame, one behind the other.
First introduction in 19th
century Europe, bicycle now number over one billion
worldwide, providing the principle means` of transportation in many regions, notably China &
the Netherlands. They are also a popular form of recreation and have been adapted for use in
many other fields of human activity, including children’s toys, adult fitness, military and police
applications, courier services and cycle sports.
The basic shape and configuration of a typical bicycle has hardly changed since first
chain driven model was introduced and developed around 1885, although many important details
have been improved ,especially since the advent of modern materials and computer-aided design.
These have allowed for a proliferation of specialized designs for individuals who pursue a
particular type of cycling.
The bicycle has affected history considerably, in both the cultural and industrial realms.
In its early years, bicycles construction drew on pre-existing technologies; more recently, bicycle
technology has in turn, contributed ideas in both old and newer areas.
Bicycle was seen in INDIA in year 1890. Import of cycles, however, started in 1905 and
continued for more than 50 years. The Government in July 1953 announced complete ban on
imports, but cycle kept on simmering in the country till 1961. in 1890 , selling price of an
imported bicycle was around Rs. 45/-; in 1917, during the First World War the price jumped to
Rs. 500/- but dropped considerably, month by month and came down to Rs. 35/- or so (U. K.
makes)and Rs. 15/- or so (Japanese models).
It would be interesting to mention that in 1919, five persons in Punjab imported cycles
and used them on The Mall, Shimla. These included one Bishop, Two military men and two
contractors including S. Pala Singh Bhogal (Grand Father of Mr. M.S. Bhogal of Ludhiana).
Under special permission of the Governor, they were allowed to use cycles on 'The Mall' only for
one hour in a day. They imported B.S.A. Cross Bar Cycle from U.K. and it used to be a kind of
Mela at that particular hour on the Mall in Shimla, the scene watched by hundreds of people
everyday. Later, a firm was formed under the name of Singh & Co. with shops on Railway Road,
Jalandhar and Bazaar Vakillan, Hoshiarpur, which imported bicycles in the year 1930 onwards.
KEY YEARS IN THE RUN OF BICYCLES
Table – 1.2.1
Innovation Year Country Details
1817 Germany Baron Von Drais invents the "running machine" or Laufmaschine.
Patented the following year. Known in various forms as :
Draisine, Draisienne, Velocipede. English version was the Hobby
Horse (Denis Johnson). All have two, in-line wheels and the ability
Hand Drive 1821 England Louis Gompertz adds a hand-driven, ratchet mechanism to the front
wheel of a Hobby Horse but the innovation, as with Drais' was never
really followed up.
Scotland Kirkpatrick Macmillan is traditionally credited with a machine in
which power was supplied to the back wheel via rods connected to
treadle-type pedals. Thomas McCall marketed copies; an 1845
version is in the Dumfries Museum. It is questionable whether
significant progress resulted from either.
1843 France Alexandre Lefebvre is credited with a rear-drive machine; he took it
to America twenty years later and it still exists in the "History San
museum (the earliest extant bicycle?).
Pneumatic Tire 1845 England R. W. Thompson invents the pneumatic tire but with no commercial
Treadle Drive 1847 Scotland Gavin Dalzell builds a two-wheeled hobbyhorse with a treadle-drive,
possibly copied from the Macmillan design.
Crank-Driven 4-1851 England Willard Sawyer exhibits his four-wheeled, crank-driven vehicle at
Wheeler the Great Exhibition and subsequently becomes established as a
Boneshaker Bicycle 1864 France J. Townsend Trench documents his purchase of a velocipede from
the Michaux family. Possibly the first record of a "production" front
wheel, pedal-driven bicycle (but note that it was not presented untill
1895). This style became known as the "Boneshaker". Historians still
debate the claim of Pierre Lallement that he had previously invented
the first pedal-driven machine.
Lallement, now in the USA, gets the backing of an investor, James
Carroll, and their patent application is granted; probably the world's
first public record of the pedal-powered two-wheeler.
1870 England James Starley products the "Ariel" High Wheeler (aka "Ordinary" or
"Penny Farthing"). Later versions had front wheel sizes of upto 5
Wire-Spoked Wheel 1870 England W. H. J. Grout patents the radially spoked, nipple adjusted bicycle
wheel (unlike prior load-bearing wheels). Some credit Meyer with
this design two years previosly.
Ball Bearings 1872 German Friedrich Fischer first mass-produces steel ball bearings, patented by
Jules Suriray in 1869.
Caliper Brake 1876 England Browett and Harrison patent an early caliper brake.
Differential Gear 1877 England James Starley patent a differential gear; probably the first for a
bicycle but the principle was not new.
Internal Hub1878 England Scott and Phillott patent the first practicable epicyclic change-speed
Gearings gear fitted into the hub of a front-driving bicycle.
Folding Highwheeler 1878 England Grout patents a folding High Wheeler, the first "portable" bicycle.
1879 England Henry J. Lawson patents a rear wheel, chain-driven safety bicycle,
the "Bicyclette" (his earlier models were lever driven).
Chain 1880 England Thomas Humber adapts the block chain for use with his range of
Safety Bicycle 1885 England John Kemp Starley (James Starley's nephew) markets the
revolutionary Safety Bicycle (the "Rover") with a chain/rear-
sprocket drive and tangentially-spoked, similar sized wheels.
Includes many of the major features of modern bicycles.
Seamless Tubing 1886 Germany The Mannessman brothers are credited with the invention of the
process to manufacture seamless steel tubing.
1888 Scotland Commercial development of the pneumatic bicycle tire by Dr. John
1890s France Cycles Aluminium becomes one of the earliest manufacturers of an
Derailleur 1896 England E. H. Hodgkinson patents a 3-speed Gradient gear, a pre-cursor of
the modern derailleur.
Internal Hub Gearing 1896 England William Reilly patents a two-speed hub gear. His later 3-speed
version was put into production by Sturmey Archer in 1902.
Butted Frame Tubes 1897 England Alfred M. Reynolds takes out a patent on "butted" steel bicycle
Freewheel 1898 Germany First major commercialization of the freewheel by Ernst Sachs.
William Van Anden had obtained the first freewheel patent in 1869.
1910 France The first, easy-to-use derailleur is invented by Paul de Vivie
(Velocio) that shifted among four gears at the pedals.
Recumbent 1914 France Peugeot markets their production recumbent bicycle. Charles
Challand had exhibited his "Horizontal Bicyclette Noemale" in
Geneva in 1895.
1915 Italy Bianchi produced a folding bicycle for the Italian Army with
telescoping seatstays, a leaf spring at the bottom bracket, a spring
fork and large profile pneumatic tires. Bianchi now calls it the first
dual suspension mountain bike! There are earlier versions of military
1930 Italy Tullio Campagnolo intriduces the bicycles hub quick-release.
Recumbent 1932 France Charles Mochet designs the Velocar, a recumbent bicycle on which
Francois Faure breaks both the mile and kilometer records.
USA Introduction by Schwinn of the balloon tire and "streamlined" bikes
which leads to rugged bikes that can take the abuse of teenage boys
and which set a forty-year trend.
Mountain Bike 1938 USA Schwinn markets the "Fore-wheel" brake, "Cantilever Frame" and
the "Spring Fork". Resulted in what was to be the Grandfather of
today's mountain bikes.
Folding Bicycle 1939 France A. J. Marcelin petents "Le Petit Bi", a 16-inch wheeled folding
bicycle, remarkably similar to the Moulton and Bickerton of later
Shifter 1946 Italy Campagnolo markets the dual-rod "Cambio Corsa" gear shifter (over
ten years after the prototype) widely used for atleast a decade.
Index Shifting 1949 England The Hercules Herailleur is launched; a rear derailleur with indexed
shift levers. Marketed for five years.
Derailleur 1951 Italy Introduction of Campagnolo's modern Gran Sport derailleur.
1962 England Launch of the Moulton small-wheeled bicycle with separately sprung
suspension and custom tires. Competed successfully in time trials
and track pursuit events.
String-Ray 1963 USA Schwinn introduces the Sting-Ray that subsequently helped launch
the BMX craze.
Rear Derailleur 1964 Japan The Sun Tour Grand Prix is marketed as the first slant parallelogram
derailleur, a design that has held up till the present day.
Index Shifting 1969 Japan Sun Tour launch their indexed shift lever, the Five-Speed Click, and
a combined freewheel-plus-rear hub, the Unit Hub. Neither of them
found a market, and were abandoned. Bayliss Wiley in England has
also experimented with unit hubs as far back as 1938.
1970 England The aluminium Bickerton portable small-wheeler is developed.
Followed by the successful Brompton in 1976 and Dahon in 1980.
1970 USA The movie On Any Sunday by Bruce Brown debuts. Although it is a
motorcycle documentary, a brief scene during the beginning of the
movie shows kids on Sting-Ray bikes emulating motocross. This
small spark eventually evolves into full-fledged, organized BMX
racing by 1974.
Mass-Produced 1974 USA Teledyne markets the first titanium bike that was produced in any
Titanium Frame/Fork quantity (Speedwell of England had some Ti production frames as
far back as the 1960s, welded by Lamborghini!) Litespeed brought
titanium frames to a broader market in the 1980s.
1975 USA The first carbon-tubed, metal lugged frame appears: the Exxon
Graftek. Suffered from frequent frame failure. The technology was
later perfected by Look, Trek and others.
1975 USA Gary Klein displays his welded and heat-treated aluminium frames at
the International Bike show. Alan (Italy) and Vitus (France) were
producing their lugged aluminium frames arround the same time.
Cannondale launch their "Aluminium for the Masses" in 1983.
1978 USA Fomac Corporation designs the Avatar recumbent. It is one of the
many styles that constituted the 1980s renaissance of recumbents
which included Lightning Cycle winning the HPV-RAAM relay and
Easy Racers breaking the 65 mph barrier.
1978 USA Specialized introduce the first high-quality foldablr clincher tire (the
Turbo) which launches the demise of the tubular.
Introduction of aerodynamic bicycles with a stable construction.
Culminated in the American "Super Bike" at the 1984 Los Angeles
1981 USA The specialized Stumpjumper mountain bike is launched nationwide,
capitalizing on the Marin Country vogue inspired by Calofornian
icons, Gary Fisher, Joe Breeze, Tom Richey et al. (all of whom also
produced earlier mountain bikes).
1983 USA Avocet launch the first electronic cyclometer (bike computer).
Moulton 1983 England Moulton launches his second generation of "space-frame" small-
Clipless Pedals 1984 France LOOK markets their clipless pedal (following on an earlier track
model launched by Cinelli in 1970; the "Death Cleats", no automatic
Index Shifting 1985 Japan Shimano introduces SIS indexed shifting (learning from their inferior
product, the Positron, from 1977).
1986 USA Kestrel introduces their production non-lugged, carbon fiber frame
and Trek market their first lugged carbon frame.
1987 USA Paul Turner demonstrates a full suspension bicycle with front and
rear shocks. Eventually becomes a partner in Rock Shox. Diversified
the sport of off-road biking.
Aero Handlebars 1987 USA Scott USA manufactures the first modern aerobars, originally the
brainchild of Boone Lennon. Pete Pensyres had earlier used his own
clip-on style bars in setting his RAAM record.
1989 USA Hanz Scholz designs the Bike Friday "World Tourist". A reasonably
compact folding bicycle that matches the performance of
conventional touring machines.
1990 Japan Shimano introduces integrated brake/gear levers.
Electric Derailleurs 1993 France Mavic markets their ZAP electronic shifting. Ceases production in
2001. Possible future follow-up by Campangnolo. Browning
Research had invented a prototype electronic system in 1974.
Hydraulic Disc Brake1994 USA Sachs (SRAM) introduces Power Disc, the first mass-produced
hydraulic disc brake system.
1998 Germany Rohloff develops the Speedhub, 14 equally-spaced hub gears which
are operated by a twist-grip with no overlapping ratios and a gear
range as wide as a 27-speed derailleur system.
2002 Italy Champagnolo offers a 30-speed derailleur drivetrain with the Record
INTRODUCTION TO THE KID BICYCLES
Kid bicycles always have played an important role for the kid’s purpose for
transportation to short distance like schools. Mostly parents choose bicycle for their kids, but
now a days kids choice regarding purchase of bicycles also matters a lot. So kids play important
role in sale of bicycles.
There are some major players in the kid bicycle sections, which are providing good
quality of kid cycles to the customers. Now companies are very much concerned about kid
choice, styling, accessories etc. Because kids go for the more stylish and good looking products.
Companies are concerned about pricing level as well to stay in the competition. Dealers also play
big role in the sales of KID bicycles.
Ludhiana-based industrialists say riding on increasing popularity of fancy bicycles among
youth and kid their share in the total sales of bicycles could reach 50 per cent in a few years.
In the country as a whole, the share has gone up to about 20 per cent from close to 5 per cent five
Ludhiana's bicycle industry is the biggest in the country and of the total 12 million
bicycles produced in the country, more than 65 per cent are manufactured in Ludhiana. Hero
Cycles contributes around 35 per cent of the country's bicycle production. It also provides
employment to more than 300,000 people, majority of whom are migrant labourers.
Figures obtained from Hero Cycles show in 2002-03, 28 per cent of their production was KID
cycles and 72 per cent standard cycles. The production of KID cycles went up to 34 per cent in
2003-04, 35 per cent in 2004-05, and 38 per cent in 2005-06.
Ashok Bawa, general manager (publicity), Hero Cycles, said the majority increase in
fancy cycles was in the kids' segment. "The kids' segment is part of fancy bicycles and so the
increase in the sale of kids' cycles resulted in increased sale of fancy cycles. We manufacture
according to the demands of people and if this upward trend in the sale of fancy cycles continues,
we will increase our production accordingly.''
In the year 2005-06, Avon Cycles produced 25 per cent fancy cycles (out of it 7 per cent
were kids' cycles), in 2006-07, 27 per cent (9 per cent kids' cycles), in the year 2007-08, 31 per
cent (11 per cent kids' cycles) and last year it was 35 per cent fancy cycles (13 per cent kids'
"Earlier the market share of KID FANCY cycles was less because people had very few
options of buying fancy cycles, but now even a small cycle unit is producing fancy cycles.''
K K Seth of Neelam Cycles, the biggest small-scale rickshaw and bicycle producing unit of
Ludhiana and contributing around 5 per cent to the total production of the country felt that KID
cycle is the future of bicycle industry.
NEED OF STUDY
The study was conducted to know the changing trend of the customer choices for the
purchase of the KID bicycles, the factors that compel the change in purchase decision of the
Earlier KIDS used to have the bicycles which their parents purchase for them. But now days
KIDS have their own choices, tastes and preferences, so this research was done to reveal the
factors that may affect bicycle sales. Earlier days kids had bicycles for school purposes for
mainly, but now due to launching of new products, it has became trends in kids to possess the
better bicycles than their collages.
REVIEW OF LITERATURES
• Bike Europe (2013): In its study it has find Hero Cycles is investing US$18 million (Euro
21 mn) in a series of initiatives to give a thrust to its export markets. Hero’s exports with
some 400.000 units were rather small in comparison with its 5.5 million unit annual
• Economic times (2012): In its study it has find Hike in petrol prices is a positive
development for the e-bike industry and we expect it will boost the sales of battery driven
bikes by at least 5-10 per cent. Similarly, Hero Cycles, which sells e-bike under Hero
Electric brand, is quite upbeat over this development and hoping a big push to the e-bike
sales this year.
• Thaindian News (2012) : in its study it has The world’s largest bicycle-maker Hero, in a
joint venture with UK-based Ultra Motors Company, is manufacturing E-bikes branded as
`Hero Electric”, with the `ultra-powered” technology tag. In Punjab, the low-cost, easy to
maintain and “cool” e-bikes are all set to replace motorcycles and scooters. E-bike
manufacturers in Punjab are gearing up to meet the demand for `plug in” and `ply” bikes.
Among the 80 manufacturers of e-bikes in India, 10 to 12 are big players.
• Business standard (2011): The second major Indian two-wheeler manufacturer to foray into
the electric vehicle segment, Hero Cycles is targeting a sale of 100,000 units in the next 15
months. Called 'Hero Electric', the seven variants of e-bikes and e-scooters will be available
in the price bands Rs 15,000-20,000 and Rs 24,000-28,000. These would offer the cheapest
mode of transport at 10 paise per km.
• Economic times (2011): In its study it has find hero group’s drive to diversify its businesses
beyond two-wheelers and components. Sources close to the development say the $3.2-billion
Hero group is eyeing an entry in general as well as life insurance.
• Business standard (2010): In its study it has find Ludhiana's bicycle industry is the biggest in
the country and of the total 12 million bicycles produced in the country, more than 65 per cent are
manufactured in Ludhiana. Hero Cycles contributes around 35 per cent of the country's bicycle
production. It also provides employment to more than 300,000 people,
• Business standard (2009): In its study it has find Firefox Bikes Private Limited has launched a
range of bicycles here on Thursday. The entire range will be available in its newly opened exclusive
showroom in Hyderabad. According to Firefox managing director, Shiv Inder Singh, the company
has a range of over 30 models - from kids bikes to all terrain bikes. These bikes are designed in UK
and manufactured in Far East. Singh told newspersons that his objective was to spread the “biking
culture” in the country. The company would open a network of exclusive franchisee outlets across
the country which would approach schools, corporates and adventure tour operators as part of their
effort to promote bike rides.
• Business line (2008): In its study it has find there is certainly a change in the demand pattern
linked to consumers' changing aspirations and choices. The bicycle industry (like many other
industries) has also pooled together its resources to ensure that the benefits of these changes are
shared by all concerned; and as a result of this, the marketers have promoted the fitness plank. The
cycle makers are optimistic that the fancy segment would grow to constitute nearly 70 per cent of the
market by 2010.
• Financial express (2007): In its study it has find Hero Cycles announced a technical tie-up with
Japan-based National Bicycle Industries (NBI) and plans to invest Rs 30 crore in a new facility for
manufacturing high-end products for overseas markets. Hero plans to manufacture high-end bicycle
for both domestic and exports markets.
1. To find out main factors affecting sales of kids bicycle.
2. To know about the dealers preference about different brands.
3. To know the dealers’ view towards pricing of kid bicycles.
4. To calculate and compare the bicycle sales of different brands.
The study is based on the survey and fact finding in queries with the bicycle dealers. It is
aimed at collecting the relevant data and its optional usage keeping in view the objectives of
The research was descriptive and explorative in nature.
All the existing bicycle dealers of all brands in the world.
All the bicycle dealers existing in Ludhiana.
Each dealer who has filled my questionnaire is my sampling unit.
SAMPLE SIZE –
Sample size of the research was 40 .i.e. 40 dealers of the cycles were targeted in Ludhiana.
SAMPLING TECHNIQUE -
Non probability convenient sampling technique was used to access most accessible population
with some knowledge of bicycles was chosen.
SAMPLING FRAME –
1. LUDHIANA –
1. Pawan cycle store
2. Dashmesh cycle company
3. Inder cycle store
4. Gurbax cycle store
5. K.K cycle works
6. H.L Kharbanda & co.
7. Chhabra industries
8. Neeraj cycle store
9. City cycle house
10. Chhabra cycles
11. Nihal singh & sons
12. Khushal cycle store
13. New india cycle house
14. Bajaj cycle works
15. AIRI indusries
16. Banga cycle store
17. Bombay cycle house
18. Bhau cycle works
19. Sunser Dass & company
20. Bhatia cycle agency
21. R.K gift house
22. Gambhir sales corp.
23. Amritsar cycle works
24. Sanju cycle store
25. Girdhari di hatti
26. Mangal sain & sons
27. Prabhat cycle works
28. Delhi cycle store
29. Sabharwal cycle store
30. Chopra cycle works
31. Raj cycle works
32. Amarjit cycle work
33. Royal cycle store
34. Jaswant cycle stores
35. Kundan lal Chaman lal
36. Bhalla cycle works
37. Dogra cycle stores
38. New dogra cycle store
39. B.M cycle
40. Kamal Cycles
DATA COLLECTION –
PRIMARY DATA – Primary data was collected by a structured Questionnaire that was filled by
the dealers of cycles. Some data was collected by interviewing dealers as well.
SECODARY DATA – Secondary data was collected from some literature, news papers, articles,
journals and company’s website as well
DATA ANALYSIS AND INTERPRETATION
DATA ANALYSIS AND INTERPRETATION
1) From how many years you are in to bicycle business
DEALERS WITH EXPERIENCE
Table no. –4 .1
NO. OF YEARS NO. OF
0-5 0 0%
5-10 1 2.5%
10-15 0 0
15 < 39 97.5%
Chart no. – 4.1
INTERPRETATION: From above table and figure , we can see that out of 40 dealers 39
dealers are in the business for more than 15 years , where as only 14 dealer were in business for
last 5- 10 years . There was no dealer who was in business for 0-5 or 10-15 years.
2. You are having dealership with which bicycle brands?
DEALERS WITH BRANDS
Table no.. –4 .2
BRANDS NO. OF DEALERS
S.K BIKES 8
Chart no. – 4.2
INTERPRETATION: From above table and figure , we can see that 40 dealers were having
dealership with HERO , 31 with AVON,26 with ATLAS, 8 with TI , 8 with S.K bikes , 9 with
3. What are the total sales of bicycles per month of different brands?
SALES OF DIFFERENT BICYCLE BRANDS
Table no. –4 .3
BRANDS SALE % AGE
Hero 5156 49%
Atlas 1599 15%
Avon 1966 18%
T.I. 870 8%
S.K. bikes 704 7%
Neelam 297 3%
Chart no.. – 4.3
INTERPRETATION: From above table and figure, we can see HERO is having 49 % share in
total bicycle sales and is leading in sales, AVON is second with 18% share, ATLAS is third with
15% share, TI has 8 % , S.K 7 % , NEELAM has 3% share in cycle sales .
4) Are you dealing in kid bicycle section?
DEALERS IN KID BICYCLE DEALERSHIP
Table no. –4 .4
RESPONSES NO. OF RESPONSES
Chart no. – 4.4
INTERPRETATION: From above table and figure, we can see that all 40 dealers are dealing
in KID section of BICYCLES.
5) What are the sales of kid bicycles per months of different brands?
SALES OF KID BICYCLES
Table no. – 4.5
BRANDS SALE OF KID SECTION %AGE
Atlas 300 7%
T.I. 440 10%
Avon 775 17%
Hero 2647 59%
S.K. 293 7%
Neelam 22 0%
Chart no.. – 4.5
INTERPRETATION: From above table and figure, we can see that Hero is leading in KID
6) Which age group cycles are sold most by you?
SALES OF KID CYCLES ACCORDING TO AGE GROUP
Table no. – 4.6
Chart no. – 4.6
AGE GROUP No. OF RESPONSES %AGE
0 to 3 years 0 0%
3 to 6 years 14 35%
6 to 9 years 26 65%
INTERPRETATION: From above table and figure , we can see that 26 dealers say that within
KID section cycle of age group of 6-9 years are sold most , where as 14 dealers say that 3-6
years age group are sold more . No dealers are say that 0-3 years ale is more
7) Which season your sales is most?
DIFFERENT SEASONS OF SALES
Table no. – 4.7
SEASON OF SALES NO. OF RESPONSES %AGE
School admission 30 75%
Festive season 10 25%
Wedding season 0 0%
Any other season 0 0%
Chart no. – 4.7
INTERPRETATION: From above table and figure , we can see that 30 Dealers say that their
sale is most in SCHOOL ADMISSION season, where as 10 Dealers say that their sales is more
in FESTIVE SEASON .
8) What attributes parents look before purchasing for their kids?
ATTRIBUTES THAT PARENTS LOOK IN BICYCLE BEFORE PURCHASE
Table no. –4 .8
ATTRIBUTES NO. OF RESPONSES %AGE
Safety 3 7.5%
Quality 15 37.5%
Price 4 10.0%
Style 7 17.5%
Comfort 1 2.5%
New models 10 25.0%
Chart no. – 4.8
INTERPRETATION: From above table and figure , we can see that while purchasing cycle for
kids most of customers look for QUALITY of products .15 dealers sat that customer look for
QUALITY, 10 say NEW MODELS , 7 say STYLE, 4 say PRICE , 3 say SAFETY , 1 say
customer look for COMFORT
9) How much price parents are ready to pay for bicycles for their kids?
SALES ACCORDING TO PRICE
Table no... –4 .9
PRICE NO. OF RESPONSES %AGE
500-1000 1 2%
1000-1500 9 23%
1500-2000 18 45%
2000 < 12 30%
Chart no. . –4.9
INTERPRETATION: From above table and figure , we can see that 45 % dealers say that
most of parents look for cycles price ranging between 1500-2000, where as 30% dealers say that
parents are ready to pay more than 2000 rs for the kid bicycle , 23% dealers say customers are
looking to price range of 1000-1500. 2% dealer say customer are ready to pay price of 500-1000.
10) Which company kid bicycle earns you more profits?
BRANDS WITH MORE PROFIT
Table no. – 4.10
BRANDS DEALER’S RESPONSE %AGE
Avon 12 30%
Atlas 4 10%
Hero 14 35%
T.I. 6 15%
S.K. Bikes 4 10%
Chart no. – 4.10
INTERPRETATION: From above table and figure , we can see that according to dealers
selling HERO,S CYCLES gives them more profit , where as AVON was ranked second by them
. T.I stood third , S.K and ATLAS were given jointly forth position
11) What is your opinion regarding the price of kid bicycle?
DEALERS’ VIEW REGARDING PRICING
Table no. – 4.11
OPINION RESPONSES %AGE
Reasonable 8 20%
Affordable 13 32%
Expensive 19 48%
Chart no. – 4.11
INTERPRETATION: From above table and figure, we can see that 19 dealers feel that the
KID section bicycles are expensive, where 13 say that KID bicycles are affordable means they
are a bit expensive but can be afforded by customers and 8 dealers feel that KID bicycles are
kept at reasonable price.
12) Which brand of kid bicycle parents demand firstly?
Table no. – 4.12
BRANDS No. of Respondents
S.K. Bikes 0
Chart no.. – 4.12
INTERPRETATION: From above table and figure, we can see that all dealers say that most of
customer look for HERO BRAND for their KID when they enter in to the shop.
13) Do parents of kids alter their choice after looking through all the brands & their features?
ALTERATION OF BRAND CHOICE
Table no. –4 .13
ANSWERS NO. OF RESPONSES %AGE
YES 33 82%
NO 7 18%
Chart no. – 4.13
INTERPRETATION: From above table and figure, we can see that 33 dealers say that parents
do alter the choice of BRANDS for their KID ‘S bicycle after looking for various brands. Where
as 7 say parents do not alter their choice for the brand.
14) Reason for altering the choice for purchase?
REASONS FOR ALTERATION OF BRAND CHOICE
Table no. –4 .14
REASON NO. OF RESPONSES %AGE
Price 16 49%
Kid choice 10 30%
Models 7 21%
Chart no. –4 .14
INTERPRETATION: From above table and figure, we can see that 16 dealers say that reason
for customer’s altering brand can be PRICE factor, whereas 10 dealers say that KIDS CHOICE
also forces them to change the brand and 7 dealers say that NEW MODELS also acn be possible
factor for altering of choice of BRAND by customer.
15) What influences you more to have dealership of the particular brands?
DEALERSHIP REASON OF DEALERS WITH BRANDS
Table no. – 4.15
REASON RESPONSES %AGE
Brand name 15 37%
Quality of the products & services 8 20%
More profits 3 8%
Demand of companies product in
Chart no. – 4.15
INTERPRETATION: From above table and figure, we can see that 37 % dealers are having
dealership with companies because of the BRAND NAMES of the companies, 35 % dealers say
that are having the dealership because of DEMAND of company’s products in the market, 20%
dealers say that having dealership because of QUALITY of the products of the company and
only 8% dealer go for more PROFITS.
16) Which company’s product complaints are more by customer?
COMPLAINTS OF DIFFERENT BRANDS
Table no. – 4.16
BRANDS RESPONSES %AGE
Hero 7 17%
Avon 12 30%
Atlas 11 28%
S.K. bikes 6 15%
T.I. 4 10%
Chart no.. – 4.16
INTERPRETATION: From above table and figure, we can see that according to 12 dealers
AVON is having the most number of complaints in the products, 11 dealers say that ATLAS
products is having more complaints, 7 dealers say that HERO ‘S products are more complaints 6
dealers say that S.K cycles products are having more complaints whereas 4 dealers say that T.I
products are having more complaints.
17) Is there any effect of the recession on your sales for your last season sales?
DEALER’S VIEW ON RECESSION EFFECT ON SALES
Chart no. – 4.17
ANSWER RESPONSES %AGE
YES 32 80%
NO 8 20%
Chart no. – 4.17
INTERPRETATION: From above table and figure , we can see that 32 dealers that their is
effect of the RECESSION on their business and only 7 dealers say that their business is not
effected by recession by any means.
FINDINGS AND RESULTS
FINDINGS AND RESULTS
1. Hero cycle is the leading bicycle brand in the Punjab with almost 49% of market share in
terms of the selling all type of bicycles. Hero cycles is also leading in sales of KID bicycle
sections capturing 59% share in terms of selling of kid bicycles. In kid bicycles the bicycles for
age group 6 to 9 years are sold most and sales of KID bicycles are maximum in school admission
2. The prices of overall KID bicycles of all brands are higher. Most of parents of the kids don’t
like to spend much on the KID bicycles. The dealers feel that it feel will be more profitable for
them to sell HERO CYCLES.
3. Customers are never brand specific they often shifts their preferences depending upon the
color , prices, new models , looks , kid choice etc.
4. Dealers are specific at the time of taking dealership of certain brand. Most of the dealers go for
the brand because it generates greater profit and it has good demand in market.
After the whole research I would like to conclude that HERO CYCLES is most preferred
brand by the customers of KID bicycle section. HERO is preferred on its competitors ATLAS,
AVON, T.I, NELAM and S.K BIKES.
HERO has most of the market share in PUNJAB. HERO possesses approximately 50%
market share alone. Dealers do feel that QUALITY, BRAND IMAGE and STYLING of the
cycle do affect the sales of the bicycles of KID section. The sales of the KID bicycles also do
depend upon KIDS choice as well.
Most of the customer has decided already about which brand they are going to purchase.
But they do alter their choice due to PRICE and KID CHOICE.
The KID bicycles are a bit expensive due to accessories added in them. So some times
parents may divert towards NON-BRANDED bicycles due to lower prices.
Company should try and reduce its price for the better sales. As most of parents do not like to
spend more on KIDS bicycle.
Kids cycle should be light weight do that it is easy to handle.
The free gifts can add more attractions. It will surely help to enhance the sales at the times of
Hero is known for its quality so the quality standard should always be maintained
Company should stop manufacturing of unprofitable bicycle models.
BIBLIOGRAPHY & REFERENCES
• Bike Europe, “Hero Cycles: Huge Investments for Increased Export to EU”,
Bike Europe .com, August 6, 2009.
• Business line , “The wheels are turning” Financial Daily from THE HINDU group of
publications, Thursday, May 20, 2004
• Business standard , “ Hero cycles launches electric vehicles” January 05, 2007
• Business standard , “Fancy cycles catch the fancy of children” May 03, 2006
• Business standard, “ Firefox launches new bicycles” August 19, 2005
• Economic times, “We have to grow beyond 2-wheelers” 23 May 2009,
• Economic times, “E-bike makers expect 5-10 pc jump in sales on fuel price hike” 6 Jun
• Economic times, “Hero in talks with US firm for insurance foray” 20 Nov, 2007,
• Financial express, “Hero Cycles Ties up with Japan’s NBI “Aug 08, 2002
• Thaindia News, “E-bikes have arrived in India” August 27th, 2008
NAME OF THE DEALER --- ___________________________________________________
PLACE ----- ___________________________________________
1. From how many years you are in to dealership business?
2. You are having dealership of which bicycles brands?
(a)Hero (b) Atlas
(c)Avon (d) T.I
3. What are the total sales of the bicycles per month of different brands?
(a)Hero ___ (b) Atlas ___
(c) Avon ___ (d) T.I___
(e) S.K bikes ___
4. Are you dealing in kid bicycle section?
5. What are the sales of kid bicycles per months of different brands?
(a)Atlas _____ (b) T.I____
(c)Avon ______ (d) Hero ____
6. Which age group cycles are sold most by you?
(a)0-3 (b) 3-6
7. Which season your sales is most?
(a)School admission (b) Festive season
(c)Wedding season (d) Any other season
8. What attributes parents look before purchasing for their kids?
(a)Safety (b) Quality
(c)Price (d) Style
(e)Comfort (f) New models
9. How much prices parents are ready to pay for bicycles for their kids?
(a) 500-1000 (b) 1000-1500
(c) 1500-2000 (d) > 2000
10. Which company kid bicycle earns you more profits?
(a)Avon (b) Atlas
(c)Hero (d) T.I
(e) S.K Bikes
11. What is your opinion regarding the price of kid bicycle?
(a)Reasonable (b) Affordable
12. Which brand of kid bicycle parents demand firstly?
(a)Hero (b) Atlas
(c)Avon (d) S.K Bikes
13. Do parents of kids alter their choice after looking through all the brands & their features?
14. Reason for altering the choice for purchase?
(a)Price (b) Kid choice
15. What influences you more to have dealership of the particular brand?
(a)Brand name (b) Quality of the products & services
(c)More profits (d) Demand of companies product in market
16. Which company’s product complaints are more by customers?
(a)Hero (b) Avon
(c) Atlas (d) S.K bikes
17. Is there any effect of the recession on your sales for your last season sales?
THANK YOU FOR YOUR PRECIOUS & VALUABLE TIME