CONTENTS-history of maruti 800 , product life cycle definition, product life cycle graph,maruti 800, sales and strategies adopted.

3. PLC MEANING:-
The product life cycle is an important concept in
marketing.

4.  MARUTI UDYOG LTD WAS ESTABLISHED in 1981
 Largest auto mobile company in India at Gurgaon, Manesar.
 Portfolio of Maruti 13 brands and 150 variants like
• Maruti 800, alto, Wagon-R, swift, grand vitara, sx4 & swift dzire,
etc.
 Stock listed in BSE and NSE.
 Honoured with “METI” award from govt. of japan for promotion of
Japanese brand in India.

5. Like human beings products also havean arc from birth to death, human being pass
through various stages eg- birth, growth, middle age, old age and death.
A similar life cycle is seen in the case of products also. The product life cycle goes
through multiple phases, involves many professional disciplines, and requires many
skills, tools and processes.
 Itis a stage wherea company finds and develop a new productidea.
Sales are zero at this stage because productin development stage
 Eg- Research and development
 Company built products awareness and develop market for the product
and launches the productinto the market.
Eg- inauguration.
 Company builds brand preferenceand increase marketshare.
Eg- making heavy promotional advertisements to create awareness and
attract the customers.
 Competitors starts. Products, with new features and face new
competition.
 Company tries to defence the competitors to continue their position in
the market.
 Sales decline firms either reduce cost to continue or quit fromthe
market.

7.  MARUTI UDYOG ltd launched first Maruti 800 in India marketon Dec 1983.
 It’s a collaboration between Indian state owned Maruti and Suzukimotor japan.
 Itis the cheapestcar in the Indian market.
 It also exported to countries like south Asia and south American market
 The First car was presented to lord Venkateswara of Tirumala Venkateswara temple.
 The first car was sold to Harpal Singh for RS: 48000/- as a lucky owner he received
keys fromPrime minister of India INDIRA GANDHI.

8.  Maruti 800 comes up with new features like AC version and music systems in the car.
 Sales increased by 852 units to 20,269 units and reached up to 31,314 units.
 First export began in 1987.
 Sales soared from about 63,763 units to 189,061 units in 1996.
• Customercare has become akey element for Maruti,
Increased Maruti service stations every 25 km s on a highway,
• For increasing its market share it launched new car models.
• For increasing its market share it launched new car models.

9. )
 Lifts like newer grille and clear lens head lamps in 1997,MARUTI introduced a
new car with Jelly Bean shape. However it was not so successfulin the
market.
 Launched revamped version of MARUTI 800 EX, with new engine, shock
absorber,coil spring suspension,but this modellost their sales gradually.
 Entry of competitorslike General Motors, Ford,Tata.
 In 2002,MARUTI launched ‘ALTO’ with biggerstylish version of the Maruti
800.
 Introduced LPG & CNG variables, called Maruti 800 Duo with new face
 :
 Pricing strategy: – categorizing to all segments,car priced at rs.
 1, 87,000/-is the lowest offeron the road.
 Developed different revenue streams in the form of Maruti insurance, Maruti
finance.
 Repositioning of Maruti products.
 Introduced new facelifts model based on market responses or consumer
feedbacks or the competitors moves.
Customercentric approach:-
 Call centres bring Maruti to closerto its customer.
 Committed to motorizing India Partnership with STATE BANK OF INDIA
organized finance to small towns enable people to buy cars at Rs.2599/-
scheme.

10.  Due to heavy competitionfrom competitors like Hyundai i10 and Chevrolet Spark,
sales of Maruti 800 was drastically decreased.
 The sales went down from 1, 51,976 units in the year 2000 to about 69, 553 in
2007.
 Buyers were attracted to cheap small cars like NANO.
 In 2008-2009experienceda drastic reduction in sales.
 Major competitorTata Motors launched Tata Nano, which was smaller and yet
offeredmore space than the Maruti 800
 Sales are continued in semi urban and rural areas till today.
 Now in 2012 Maruti introduces ALTO 800 in the place of Maruti 800.

12.  After a drastically decline in the sales of Maruti 800, MUL had repositioned its
product Maruti 800 with ALTO 800.
 Alto 800 was introduced into the market on October16, 2012.
 ALTO 800 is designed with latest features of more space,speed acceleration,
power steering etc.,
 Now ALTO 800 is available in Indian market forthe price of 2.5 lakhs
(approx.).