BRAND REVIEW
Prashant C M
MMM
Roll no. 19
TYRE INDUSTRY
OVERVIEW
 MEN’S ARE FROM MARS..TYRES ARE FROM INDIA! THE
SHOW IS ON ...
 The heavyweights like MRF, CEAT, JK TYRES & APOLLO etc
& midsize like METRO TYRES etc & some regional players of
tyre industry cover more than Rs.70 billion of market share in
Indian tyre industry.
INTRODUCTION
 CEAT International was first established in 1924 at Turino in Italy and
manufactured cables for telephones and railways.
 In 1958, CEAT came to India, and CEAT Tyres of India Ltd was
established in collaboration with the TATA Group.
 In 1982, the RPG Group took over CEAT Tyres of India, and
 In 1990, renamed the company CEAT Ltd.
CURRENT SCENARIO
 Manufactures over 10 million tyres every year.
 Enjoys 55% of the local market for light truck and truck tyres.
 Operates from plants in Mumbai and Nasik.
 Exports to USA, Africa and other parts of Asia
4P’s of CEAT
PRODUCT
CEAT has inner tubes, flaps & the widest range of tyres in all categories
such as
 Passenger Tyres - Cars, Motorcycle & Scooter tyres Auto-rickshaw
tyres.
 Farms Tyres - Tractors, Trailers etc
 Heavy duty tyres - Heavy-duty Trucks and Buses, Light Commercial
Vehicles, Earthmovers & Forklifts,
PLACE
FACTORIES
/ PLANT
CORPORATE OFFICE
(MUMBAI)
GLOBAL
BHANDUP
NASIK
HALOL
USA
AFRICA
ASIA
DEALER
MUMBAI
DELHI
CHENNAI
BANGALORE
PLACE - DISTRIBUTION
3 different channel process in its Local & Global market
OEM
REPLACEMEN
T TYRES
EXPOR
T
TYRES
OEM’s follow the
B2B sales process
hence they do not
require an
elaborate
distribution
network.
Tyres that are
exported use
the distribution
network of
some other
company
CEAT has one of the largest
distribution network for tyres in
India. It has divided the Indian
sub continent into 33 regions
and has set up a Regional
Office for each region
PLACE - DISTRIBUTION
3 level distribution structure
RDC
(Regional Dis
centres)
The tyres, tubes
and flaps are
transported to
these from
factories. The set
is formed at
RDCs and
strapped
CFAs
(Carrying &
forwd
Agents)
The CFAs
pull the
goods from
RDCs
according to
demand
Dealer
FACTORIE
S
(Nasik, Bha
ndup, Halol
guj)
PRICE
TYRE TOTAL PAIRS PRICE RANGE
TRUCK Rs.21375 - Rs. 45758
LIGHT TRUCK Rs.12834 - Rs.19436
CAR RADIAL Rs. 1311 - Rs. 4444
SCOOTER Rs.887 - Rs. 1041
3 WHEELER Rs. 1042 - Rs.1351
BIKE Rs.835 - Rs. 1914
FARM TYRES Rs.3485 - Rs. 34435
O.T.R. / GRADER Rs. 39825 - Rs. 140968
Pricing Reduction
Announcement
 In Dec 2011, CEAT announced price cuts to the tune of 3- 4 % on its
truck tyres & that was the 2nd round of price cuts announced by CEAT
within a span of 10 days, the first tyre manufacturer to do so.
 CEAT believe in giving optimum benefit to its consumers through the six
parameters viz. Quality, Trustworthiness, Credible Image, Value,
Innovative & Understanding Consumers, that is why CEAT has been
rated as the Most Trusted Brand by the upper class as well as lower
class customer
PROMOTION
 CEAT spends Rs 40-50 crores in a year on various
 ATL
 BTL
 From 1958 CEAT Tyres has successfully held its own.
 Tagline ‘Born Tough’ particularly because the rhino logo.
 Focus on heavy weight vehicles
PROMOTION
 While observing ceat marketing strategy we come across various
segment which connect with the latent needs of consumers.
 Later ceat come up with new logo focusing youth of country &
passenger segment of market like car owner’s & biker’s with an
emotional touch as showcase of product feature (Grip) as a solution to
real time problem and establish the brand as most relevant tyre brand
to the biker.
 Ceat mainly dealt with seminars, campaign type promotional activities
 It’s main promotional activities include on-ground consumer meets for
commercial segments, knowledge seminars like CEAT PRO, digital
platforms focusing on cricket(eg. CEAT Cricket Rating and India Road
Transportation Awards is a big frame for them) & Safety Zone activity
for school kids which teaches safe road habits to school children, &
engage with youth through social media & through brand platforms like
www.beidiotsafe.com Post this campaign the sales for CEAT increased
by 40-45% and expecting a similar growth for the next 2-3 quarters.
COMPETITOR’S
 LOCAL
MRF,
Apollo
 GLOBAL
Bridgestone,
Michelin
CUSTOMERS
 TATA motors,
 Tvs motros.
 Hero Honda
 Bajaj tempo
 Swaraj mazda
 Eicher
 L& T
 Maruti,
 Mahindra & Mahindra
 Ashok Leyland
 Piaggio
Ceat pcm 19

Ceat pcm 19

  • 1.
    BRAND REVIEW Prashant CM MMM Roll no. 19
  • 2.
    TYRE INDUSTRY OVERVIEW  MEN’SARE FROM MARS..TYRES ARE FROM INDIA! THE SHOW IS ON ...  The heavyweights like MRF, CEAT, JK TYRES & APOLLO etc & midsize like METRO TYRES etc & some regional players of tyre industry cover more than Rs.70 billion of market share in Indian tyre industry.
  • 3.
    INTRODUCTION  CEAT Internationalwas first established in 1924 at Turino in Italy and manufactured cables for telephones and railways.  In 1958, CEAT came to India, and CEAT Tyres of India Ltd was established in collaboration with the TATA Group.  In 1982, the RPG Group took over CEAT Tyres of India, and  In 1990, renamed the company CEAT Ltd.
  • 4.
    CURRENT SCENARIO  Manufacturesover 10 million tyres every year.  Enjoys 55% of the local market for light truck and truck tyres.  Operates from plants in Mumbai and Nasik.  Exports to USA, Africa and other parts of Asia
  • 5.
  • 6.
    PRODUCT CEAT has innertubes, flaps & the widest range of tyres in all categories such as  Passenger Tyres - Cars, Motorcycle & Scooter tyres Auto-rickshaw tyres.  Farms Tyres - Tractors, Trailers etc  Heavy duty tyres - Heavy-duty Trucks and Buses, Light Commercial Vehicles, Earthmovers & Forklifts,
  • 7.
  • 8.
    PLACE - DISTRIBUTION 3different channel process in its Local & Global market OEM REPLACEMEN T TYRES EXPOR T TYRES OEM’s follow the B2B sales process hence they do not require an elaborate distribution network. Tyres that are exported use the distribution network of some other company CEAT has one of the largest distribution network for tyres in India. It has divided the Indian sub continent into 33 regions and has set up a Regional Office for each region
  • 9.
    PLACE - DISTRIBUTION 3level distribution structure RDC (Regional Dis centres) The tyres, tubes and flaps are transported to these from factories. The set is formed at RDCs and strapped CFAs (Carrying & forwd Agents) The CFAs pull the goods from RDCs according to demand Dealer FACTORIE S (Nasik, Bha ndup, Halol guj)
  • 10.
    PRICE TYRE TOTAL PAIRSPRICE RANGE TRUCK Rs.21375 - Rs. 45758 LIGHT TRUCK Rs.12834 - Rs.19436 CAR RADIAL Rs. 1311 - Rs. 4444 SCOOTER Rs.887 - Rs. 1041 3 WHEELER Rs. 1042 - Rs.1351 BIKE Rs.835 - Rs. 1914 FARM TYRES Rs.3485 - Rs. 34435 O.T.R. / GRADER Rs. 39825 - Rs. 140968
  • 11.
    Pricing Reduction Announcement  InDec 2011, CEAT announced price cuts to the tune of 3- 4 % on its truck tyres & that was the 2nd round of price cuts announced by CEAT within a span of 10 days, the first tyre manufacturer to do so.  CEAT believe in giving optimum benefit to its consumers through the six parameters viz. Quality, Trustworthiness, Credible Image, Value, Innovative & Understanding Consumers, that is why CEAT has been rated as the Most Trusted Brand by the upper class as well as lower class customer
  • 12.
    PROMOTION  CEAT spendsRs 40-50 crores in a year on various  ATL  BTL  From 1958 CEAT Tyres has successfully held its own.  Tagline ‘Born Tough’ particularly because the rhino logo.  Focus on heavy weight vehicles
  • 14.
    PROMOTION  While observingceat marketing strategy we come across various segment which connect with the latent needs of consumers.  Later ceat come up with new logo focusing youth of country & passenger segment of market like car owner’s & biker’s with an emotional touch as showcase of product feature (Grip) as a solution to real time problem and establish the brand as most relevant tyre brand to the biker.  Ceat mainly dealt with seminars, campaign type promotional activities  It’s main promotional activities include on-ground consumer meets for commercial segments, knowledge seminars like CEAT PRO, digital platforms focusing on cricket(eg. CEAT Cricket Rating and India Road Transportation Awards is a big frame for them) & Safety Zone activity for school kids which teaches safe road habits to school children, & engage with youth through social media & through brand platforms like www.beidiotsafe.com Post this campaign the sales for CEAT increased by 40-45% and expecting a similar growth for the next 2-3 quarters.
  • 15.
  • 16.
    CUSTOMERS  TATA motors, Tvs motros.  Hero Honda  Bajaj tempo  Swaraj mazda  Eicher  L& T  Maruti,  Mahindra & Mahindra  Ashok Leyland  Piaggio

Editor's Notes

  • #2 Indian tyre industry is in high spirits
  • #3 Heavy pressure being applied by the ever rising input costs & increasing competition
  • #6 4ps’ plays a vital role in all industry… even main 4ps i.e. product, price, place, promotion are the success gorw of the CEAT
  • #8 Replacement Tyres : Most challenging Sales and Distribution network is developed for the Replacement Market
  • #9 Replacement Tyres : Most challenging Sales and Distribution network is developed for the Replacement Market
  • #12 In actual high competition & new arrival of car… facing difficulties to improve on B2B
  • #13 1) ATL - (above the line eg. Tv ads (motion types adv)) 2) BTL (below the line (non motion adv) activities.3) From 1958 CEAT Tyres has successfully held its own. Having established itself in the consumers’ minds with its tagline ‘Born Tough’ particularly because the rhino logo. Considering the deteriorating state of Indian roads, the original position of ‘Born Tough’,4) focus on heavy weight vehicles which use for commercial transportation.