The document summarizes the product life cycle of Maruti 800, beginning with an introduction to product life cycles generally. It then discusses Maruti Udyog Limited's history and success with Maruti 800 from its launch in 1983 through its decline in the late 2000s due to competition. Finally, it addresses Maruti Udyog Limited's repositioning of Maruti 800 as the Alto 800 model in 2012 to adapt to market changes.
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2. INTRODUCTON OF PLC
STAGES OF PLC
COMPANY HISTORY
PLC - STAGE OF COMPANY
REPOSITIONING OF PRODUCT
BIBILOGRAPHY
3. PRODUCT LIFE CYCLE (PLC)
Like human beings, products also have an arc. From birth
to death, human beings pass through various stages e.g. birth,
growth, maturity, decline and death.
A similar life-cycle is seen in the case of products. The
product life cycle goes through multiple phases, involves many
professional disciplines, and requires many skills, tools and
processes.
4. PRODUT DEVELOPMENT:-
It is the stage where a company finds and develop a new product
idea. Sales are zero at this stage.
INTRODUCTION STAGE:-
Company builds product awareness and develop market for the
product and launches the product into the market.
GROWTH STAGE:-
Company build brand preference and increase market share.
MATURITY STAGE:-
Competitors starts. Products come up with new features and
face new competitions.
DECLINE STAGE:-
Sales decline. Firms either reduce cost to continue or quite from
the market.
5.
6.
7. MARUTI UDYOG LIMITED was established in 1981
Largest automobile company in India located at Gurgaon,
Manesar.
Portfolio of 13 brands and 150 variants like,MARUTI
800,ALTO,WAGANOR,SWIFT,GRAND VITARA,SX4 AND SWIFT
DZIRE etc.,
Listed in BOMBAY STOCK EXCHANGE &NATIONAL STOCK
EXCHANGE.
Honored with “METI” award from Govt. of Japan for
promotion of Japanese brand in India.
8. MARUTI UDYOG LIMITED Launched first „MARUTI 800‟ ,in
Indian market on December 1983.
It‟s a collaboration between INDIAN STATE
owned MARUTI and SUZUKI MOTOR JAPAN.
Cheapest car in the Indian market.
Also exported to countries like South Asia
and South American market.
First car was presented to Lord Venkateswara of Tirumala
Venkateswara temple.
First car was sold to Harpal Singh for Rs.48,000/- as a
lucky owner and received keys from Prime Minister of India
INDIRA GANDHI.
9. MARUTI 800 comes up with new features like , AC version and
Music System 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
about 1,89,061 units in 1996.
Strategies adopted:-
Customer care has became a key element for Maruti,
Increased Maruti service stations every 25 kms on a highway,
For increasing its market share it launched new car models,
10. In 1997,MARUTI introduced a new car with Jelly Bean shape
. However it was not so successful in the market.
Launched revamped version of MARUTI 800 EX, with new
engine, shock absorber, coil spring suspension, but this
model lost their sales gradually .
Entry of competitors like General Motors ,
Ford , Tata.
In 2002, MARUTI launched „ALTO‟ ,
with bigger stylish version of the Maruti 800.
Introduced LPG & CNG variables, called Maruti 800 Duo
with new face lifts like newer grille and clear lens head
lamps
11. Strategies adopted at this stage :
Pricing strategy:– categering to all segments ,car priced at Rs.
1,87,000/- is the lowest offer on 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
Customer centric approach:
call centers bring Maruti to closer to its customer.
Committed to motorizing India
Partnership with STATE BANK OF INDIA
organized finance to small towns enable
people to buy cars in Rs.2599/- scheme
12. Due to heavy competition from competitors like Hyundai i10 ,
Maruti Suzuki Swift, Chevrolet Spark, sales of Maruti 800 was
drastically decreased.
The sales are went down from 1,51,976 units in the year 2000 to
about 69,553 in 2007.
Buyers are attracted by high end luxuries
small cars like NANO .
In 2008-2009 experienced sales of only
1,288 units.
Major competitor Tata Motors launched Tata Nano dmaller car yet
offer more 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 .
13.
14. Competition is rising like never before in the automobile industry
especially in India.
Still Maruti is in the lion position having a market share of more
than 40% in Indian automobile market.
Maruti is still the brand name at least in India in the Top of Mind
position.
There are some serious problems regarding productivity issue
which can be solvable . Once these issues get corrected, I hope
Maruti will regain its market share.
Now a days car has become more of a hedonistic product rather
than an utilitarian product.
So Maruti has to change its positioning and brand perception in
long run to have a sustainable market share.
15. After a drastically decline in the sales of Maruti 800 , MUL
had repositioned its product Maruti 800 with ALTO 800 .
ALTO 800 is designed with latest features of more space,
speed acceleration, power steering etc.,
Now ALTO 800 is available in Indian market for the price of
2.5 lakhs(approx).
Alto 800 was introduced into the market on October
16,2012