Franchisee Model

Franchisee Model
Group-4 MA
Franchisee Model
• Naveen Krishnan 93
Presented By
23-2-2016

Premium Automobile Sector
• TRIUMPH
• Triumph Motorcycles Ltd is the largest
British motorcycle manufacturer; it
was established in 1984 by John Bloor
• BMW
• BMW was established in 1916. It also
owns and produces Mini cars and
serves as the parent company of
Rolls-Royce Motor CarsGroup-4 MA
Franchisee Model23-2-2016
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Table of
Contents
• Introduction
• Sales and Services
• Details of Franchisee
• Terms And Conditions
• Promotional Activities
• Distribution Channel
• Staffing and Training
Group-4 MA
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Introduction
Group-4 MA

•Company
Profile
• Industry: Motorcycle
• Headquarters: Hinckley, Leicestershire, England
• Products: Motorcycles Clothing Accessories
• Revenue: ₤528 million
• Net Income: ₤34million
• Number of employees: 1800
Group-4 MA
5

Company History
• Start
Company was setup under
the name Bonneville
Coventry Limited
• 1884 • Breakthrou
gh
The Bonneville, hailed as the
greatest motorcycle of all
time, is introduced
• 1958
• Rebirth
Bloor opens a state-of-the-
art plant in Hinckley and
unveils new Triumph models
• 1990
• Growth
The first Triumph motorcycles
go into production using a
Belgian engine
• 1902
• Downfall
Triumph goes bankrupt, and its
brand and manufacturing rights
are acquired by John Bloor
• 1983
Group-4 MA
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Major Product Showcase
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Details of Franchisee
Parent company: Bird Group Pvt Ltd
40 years of experience in diverse business
Core business : Travel technology, Aviation, Service, Hospitality, Retail and Education
Name of the Franchisee: Triumph Delhi (a unit of Bird Automotive Pvt Ltd)
Owner: Mr. Gaurav Bhatia
Group-4 MA
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Terms and Conditions
• Requirements for becoming a Franchisee
•Experience
Should have previous
experience in Automobile
Industry
•Showroom
Area
Minimum 2500 Sq. ft. Area
required at a premium location
•Investment
Should have a very good
financial background
Group-4 MA
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Terms and Conditions(contd)
•Reports
Daily, Weekly and Monthly
•Audits
Audits are done Internally
•Standards
Showroom standard as per
Triumph guidelines
Group-4 MA
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Distribution Process
• 6 steps
Manufacturing
Plant(England)
• All Products are
manufactured in England
• Imported
( Chennai Port)
• All products are imported
through Chennai port
• Warehouse
(Manesar)
• Products are transferred to
warehouse in Manesar,
cost bared by dealer
• Showroom(De
lhi)
• Further the products are
moved to the showroom in
Vasant square mall
• Customer
• Products are sold to the
customer from the
showroom
• Service
Center(Gurgaon)
• After sales service is done
here
Group-4 MA
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• Events and Rides
• Display Events like Auto Expo
• Rides organised like Freedom ride, weekend
rides
• Sponsoring Events
• Bollywood Promotions
• Advertisement
• Advertisements are given on print media like
magazines and newspapers
• Marketing and Advertisement budget of 25 Cr
provided by Triumph (whole India)
Promotional Activities
Group-4 MA
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Split of Expenditure
• Franchisor
• New Model Launches
• World over Events like
Gentlemen's ride
• Partnership
• Freedom Ride
• Other National events
• Franchisee
• Weekend Rides
• Advertisements and
promotional activities
within the city
• Triumph Provides 40%
of the Advertisement
cost if Ads are
successful 13Group-4 MA

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Sales and Services
Should have good relationship with customer
Should maintain 90% CSI score
No Profit Sharing system, Incentives based on sales performance
Monthly Target – 22 units /month
Average Target Achieved – 16 units/month
Group-4 MA
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Sales and Services (contd)
PSF calling at different time interval
Calling for first and second is done by the dealer
Feedback form is mailed to the customer both by the dealer and also by the Franchiser
Group-4 MA
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Sales Bar Chart
May 2015 (in units)
380
110
97
30
Others
Kawasaki
Triumph
Harley-Davidson
Group-4 MA
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64%
18%
16%
2%
Market Share Of Premium Segment Bikes
Harley-Davidson Triumph Kawasaki Others
Group-4 MA
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Funding system
No profit sharing
No discount given in Triumph
Minimum margin of the dealer is Rs.1.5 lakhs on a unit (tax not excluded)
Mode of payment: RTGS
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• Sales
Staffing and Training
Sales Executive
Sales Manager 1
6
Logistics
Accessory Sales Manager
Accessory Sales
Executive
CRM 1
Accounts Manager 1
1
1
1
1General Manager

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• Services
Technicians
Workshop Controller 1
4
Parts Manager 1
1Assistant Manager
• Training is given by Triumph
• Expenditures for training- Triumph India

•Company
Profile
• Industry: Automotive
• Headquarters: Munich, Germany
• Products: Luxury vehicles, sports cars,
motorcycles, bicycles
• Revenue: ₤ 80 billion
• Net Income: ₤ 8.7 billion
• Number of employees: 116,324Group-4 MA
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Company History
• Start
• Company was setup
primarily for Aircraft
manufacturing
• 1916 • Breakthrou
gh
• Started manufacturing of
motorcar
• 1929 • Achieveme
nts
BMW was listed as worlds #1
reputable company by
Forbes
• 2012
• Growth
• Company shifted to
motorcycle production
• 1923
• Acquisition
s
• Acquired British manufacturer
Rover group
• 1994
Group-4 MA
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1
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3
4
5
Details of Franchisee
• Parent company: Bird Group Pvt Ltd
• 40 years of experience in diverse business
• Core business : Travel technology, Aviation, Service, Hospitality, Retail and Education
• Name of the Franchisee: Bird Automotive Pvt Ltd
• Owner: Mr. Gaurav Bhatia
Group-4 MA
25

01
02
03
Terms and Conditions
• Requirements for becoming a Franchisee
•Experience
Should have previous
experience in Automobile
Industry
•Showroom
Area
Minimum 25000 Sq. ft. Area
required at a premium location
•Investment
Franchisee fees of Rs 15Cr for
three year
Group-4 MA
26

01
02
03
Terms and Conditions(contd)
•Reports
Daily, Weekly and Monthly
•Audits
Audits are done Internally and
externally(Mystery shopping)
•Standards
Showroom standard as per
BMW guidelines
Group-4 MA
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• Marketing Activities
• Display Events like Auto Expo
• Sponsoring Events, Formula races
• Conduct races
• Advertisement
• Advertisements are given on Televisions,
digital media, print media like magazines and
newspapers
• Marketing and Advertisement budget of 20 Cr
provided by BMW for each dealer
Promotional Activities
Group-4 MA
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Split of Expenditure
• Franchisor
• New Model Launches
• World over Events
• Large Sponsorships
• Partnership
• National level
promotional events
• Display events
• Franchisee
• Advertisements and
promotional activities
within the city
29Group-4 MA

Distribution Process
• 6 steps
Manufacturing
Plant(Germany)
• All Products are
manufactured in England
• Imported
(Chennai Port)
• All products are imported
through Chennai port
• Warehouse
(Gurgaon)
• Products are transferred to
warehouse in Gurgaon,
cost bared by dealer
• Showroom(De
lhi)
• Further the products are
moved to the showroom in
Sector 14 Gurgaon
• Customer
• Products are sold to the
customer from the
showroom
• Service
Center(Gurgaon)
• After sales service is done
here
Group-4 MA
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Sales and Services
Turnover – Rs.100 to Rs.120 Cr
Loss Incurred Rs.8 Cr (average)
Feedback form is mailed to the customer both by the dealer and also by the Franchisor
2 types of sales- Corporate and retail
Margin :Retail-3% of every car , Corporate-6%
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Sales and Services (contd)
BSI plan
Should maintain 90% CSI score
No Profit Sharing system, Incentives based on sales performance
Credit system
Group-4 MA
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Sales Bar Chart
2014 (in units)
10,851
10,201
6,812
2899
Jaguar
BMW
Mercedes
Audi
Group-4 MA
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35.31, 35%
33.2, 33%
22.17, 22%
9.32, 10%
Market Share Of Premium Segment Cars
Audi Mercedes BMW Jaguar
34

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• Sales
Sales Executive
Sales Manager 1
15
Logistics
Accessory Sales Manager
Accessory Sales
Executive
Service Advisors
Accounts Manager 1
1
1
1
1General Manager
15

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• Services
Technicians
Workshop Controller 2
10
Parts Manager 1
1Assistant Manager
Training is given by BMW India in Germany and Manesar
Expenditures for training- BMW India

Triumph Contact
Person
• Karishma
Singh
9999921984
• BMW Contact
Person
• Anshu
Giridhar
8527785267

Thank You for Watching!
• Any Questions?

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Editor's Notes