Rural Marketing of Hero Motor corp

1. RURAL MARKETING
HERO MOTORCORP
DEBKUMAR DALAI
MBA18C39
MBA MKT-1

2. COMPANY BACKGROUND
 Industry :- Automotive
 Founded :- 19 January 1984
 Headquarter :- New Delhi
 Founder :- Brijmohan lall munjal
 Products :- Motorcycle, Scooter, spare parts
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 The company is the largest two-wheeler manufacturer in the world.
 The company has four manufacturing facilities namely Dharuhera and Gurgaon Haryana
Haridwar in Uttarakhand and Neemrana in Rajasthan.
 The company sold a record of 7207363 units of two wheelers in year 2017.

3. MARKET SIZE
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4. MARKET SHARE
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SUZUKI
MOTORCYCLE
3%
INDIA
YAMAHA
MOTOR
4%
ROYAL ENFIELD
4%
BAJAJ AUTO
12%
TVS MOTOR
COMPANY
15%
HMSI
26%
HERO
MOTORCORP
36%

5. SALES IN RURAL AREA
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COMAPANY SALES(TWO WHEELER) SALES(TWO WHEELER)
FY2019 FY 2018
HERO 4,051,233.00 3,628,512.00
TVS 1,852,615.00 1,452,612.00
HONDA 3,020,617.00 3,322,620.00
ROYAL ENFIELD 405,123.00 329,212.00
SUZUKI 322,115.00 211,545.00

6. VALUES OF HERO
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7. rural STRATEGIES
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8. COMMUNICATION STRATEGIES
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Conventional
communication
Non-conventional
communication Personalized communication
Television Haat and mela
Word of mouth
Radio
Folk media (puppet
and magic show) Interpersonal communication
Press Video van
Cinema Mandi
Pos (demonstration, leaflet)
Outdoor : wall
painting hoardings

9. DISTRIBUTION
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 Hero followed a “hub and spoke system” in distributing its
product in rural area.
 The company gave a dealership to one dealer who will take care
of one district.

10. CHALLENGES
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 Intra community influence are relatively more important than inter-
community ones.
 Expenses are year long and income is seasonal
 There are more than 6lakh villages which is very difficult to cover
 Higher receptivity to advertising with lower persuasion
 Difficult to change the choice of rural customer
 Low price demand high quality of product

11. OPPORTUNITIES
 More dealership should be given in rural
areas because 70% of the population
leave in village in India.
 Hero should focuses on their strong
brand like splendor because 25% people
are believe that splendor is the best bike
to use.
 Expand business to cover more
population
 More concentrate 100-125cc bikes to
cover more problems
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12. THANK YOU
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