It is about the settlement of Maruti Suzuki company that how it made faith in it's customer even in such hard competition with other Automobile Manufacturer.
907MTAMount Coventry University Bachelor's Diploma in Engineering
Maruti suzuki
1. Case Study On Maruti Suzuki
Submitted By- Manish Submitted To-Akash Deep
Registration No- 11406956
Section- ME045
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2. Content
1. About
2. What Constitutes a Quality Product ?
3. Elements of Manufacturing
4. Marketing Strategy in Late 1980’s
5. The Major Faults
6. The Changing Auto Industry
7. Impacts on Market
8. Response Of Maruti Suzuki
9. Customer Relationship Management
10. Maruti’s Current Problems
11. Maruti’s Products
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3. About Maruti Suzuki
• Year of Inception- Setup in 1982 by Sanjay Gandhi
• First Car Launched- Maruti 800 on December 14,1983 at 47,500 INR
• Key People- R. C. Bhargava(Chairman)
Kenichi Ayukawa(Managing Director & C.E.O.)
• Plants- 6 Plants in Gurugram and Manesar
• Models- 14 Models with over 160+ Variants
• Net Production/Sales- 1,429,248 units(2016)/4,630.90 Crore INR
• No. of Employees- 40,000
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4. What Constitutes a Quality Product ?
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Quality Product
Systems
Environment People
Managing
Changes
6. Marketing Strategy in Late 1980’s
• Maruti was the first company in India which studied the consumer
demand and responded to it well.
• Market segmentation policy was adopted that targeted different
type of consumers with different type of models.
• Maruti 800 targeted medium income group, while the deluxe model
targeted rich income group.
• Maruti van targeted businessmen and doctors(ambulance).
• The Gypsy targeted the paramilitary forces and the police.
This resulted in complete control of Maruti over the market .
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7. The Major Faults
The Maruti Udyog depended more on its Maruti 800
model, so when in late 1990’s the new players like
when Matiz, Hyundai Santro and Tata Indica came into
the market with more space and better comfort, at
same price, then Maruti lost a major share of market.
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8. The Changing Auto Industry
After year 2000, there was a change in automobile market which where
due to-
1. The government had reduced regulation on the industry and more
foreign players were invited.
2. Banks and other financing companies started providing car loans at
reasonable interest rate.
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9. Impacts on Market
• The Indian consumer now started buying the mid-size cars rather
than small cars, the luxury cars also gained popularity, SUV’s also
started coming in the market.
• The increasing level of income of urban people, the small cars were
not considered to be luxury item any more.
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10. Response Of Maruti Suzuki
• To gain back its lost share, Maruti launched Zen ,Alto and Wagon R.
These small segment car gained huge response for consumers.
• Maruti also made a slogan “Count On Us". To emphasize its reliability.
• In 2003 maruti came up with “Change Your Life Campaign” ,it
provided vehicle insurance at just INR 1 to attract the customers.
• Advertisement such as of Alto in which a small boy says to his father
”Papa ki karan Petrol Khatam hi Nahi honda”, was make customer feel
that Alto is best fuel efficient.
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11. • '2599' offer-In 2004, Maruti introduced the '2599' offer under which
a consumer could buy an M-800 by paying an EMI of INR 2,599 only,
for a period of seven years. The down payment was fixed at INR
40,000. It entered into an agreement with the State Bank of India
(SBI), the largest bank in India, to promote this scheme.
• 'Teacher Plus’ scheme-To further penetrate into the market, Maruti
continued to focus its efforts on the rural markets and specific
target groups. In 2004, it introduced the 'Teacher Plus' scheme, in a
tie-up with SBI, aimed at teachers who were interested in buying a
new car.
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12. Customer Relationship Management
• Maruti created a land-mark in CRM by launching a website for the
customers in the year 1998.
• Maruti is investing a lot of money and effort in building customer
loyalty programs.
• Maruti Auto Card
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14. Maruti & CRM
• Market Research Department- Their Market Research department
remains on its toes to study the changing consumer behavior and
market needs. Maruti enjoys 70%repeat buyers which further
bolsters their claim of being customer friendly.
• Maruti Call Center- Maruti has proper customer complain handling
cell under the CRM dept. The CIC will help MSL rapidly build an
information pool of over 3 million Maruti owners as well as that of its
prospective customers.
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15. Analytical CRM
• Designing and executing targeted marketing campaigns.
• Analyzing Customer behavior in order to make decisions relating to
product and services (e.g. pricing, product development).
• Management information system (e.g. financial forecasting and
customer profitability analysis).
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16. Operational CRM
• Managing Campaigns
• Enterprise Marketing Automation
• Sales Force Automation
• Sales Management System
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18. Maruti’s Current Problems
• Maruti Suzuki is far behind in luxury and SUV car ,the other player like
GM, TATA, Mahindra, Mitsubishi and Toyota are already established in
the market, so replacing them would not be easy.
• It has been now emphasizing consistently on it’s “Best customer
satisfaction” car to keep an psychological impact on costumers.
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