The document discusses the SUV market in India and Renault's entry into the market with the Duster vehicle. It notes that the SUV market in India is growing and comprises 10% of the total car market due to changing customer preferences and compact SUVs entering the market. It then discusses Renault's history and operations in India. Finally, it provides details of Renault's launch of the Duster in India in 2012, including adaptations made for the Indian market and the vehicle's marketing strategies and commercial success.

1. Presented by:
Anshumeek Upreti
Neeraj Kumar Phookan
Palak Anand

3. SUV market in India is growing and comprises
of 10% of the total car market because of the
following reasons-
 Changing preferences of the customers.
 Compact SUV’s entering the Indian market.
 Easy on Indian roads.
 Lesser fuel consumption.

4.  Renault S.A. is a French multinational vehicle
manufacturer started in 1899.
 Headquartered in Boulogne-Billancourt.
 Formed of a number of subsidiaries.

5.  Renault came to India in 2005 through a 51:49
joint venture with Mahindra & Mahindra.
 Logan was the first product launched in 2007.
 Renault India Private Limited was established in
October 2010 is a wholly owned subsidiary of
Renault S.A. of France.
 640 acre production facility located in
Oragadam, near Chennai, Tamil Nadu.

6.  Renault Logan initially was considered to be a success
in the Indian market.
 It had dated looks.
 High pricing was a big factor.
 Competitors like Maruti Suzuki Swift, Tata Indigo and
the Toyota Etios.
 Renault planned to leave the Indian market after this
failure.

7.  Renault re-entered Indian market in 2010.
 Its next offerings were the Fluence, Koleos and Pulse
which were not a big hit.
 Renault launched the Duster on 4th July 2012 in India,
with various modifications for the Indian market.
 Duster finally proved as the turning point for Renault
in the Indian market with its success.

8. POLITICAL:
 Relaxation in Foreign Exchange, tarrif rates etc.
 Emission regulations.
 Specifications of vehicles viz. body size, engine, capacity
etc.
ECONOMIC:
 Rise in GDP and the increase in disposable income.
 Contributes to 7% of total GDP.
 Gives employment to 7-8% of the total population.

9. SOCIAL-
 Changing lifestyle has led to increase in buying of vehicles.
 Growth in urbanization and increased average household
income has led to increase in buying of vehicles.
 The average Indian customer is always on the look for value
for money.
TECHNOLOGICAL:
 Innovations in terms of fuel economy and performance.
 Increased safety regulations has led to a rise innovation in the
same.
 Use of internet has changed the way of placing orders
according to needs and demands.

10. The Indian Automotive industry consists of
these three segments:
 Hatchbacks (55%)
 Sedans (18%)
 SUVs (9%)
 MUVs (18%)

11. Hatchback Sedan SUV

12. Sales volume:
 23,366,246 in 2015 from 21,500,165 in 2014, a growth of
8%.
Domestic sales(passenger vehicles):
 PVs grew by 3.90% in of which passenger cars had a grew
by 4.99% and Utility Vehicles by 5.30%.
Market Size:
 During Apr-Jan 2016 the auto industry produced a total
19.84 million compared to 19.64 million in the previous FY.

13. The Indian market is affected by the following
 New car launch in market and its comparison to existing
cars in the same segment.
 Cars that are in the market for 1-2 years.
 Cars that are in the market for more than 4 years.
 Purchase of second hand car.
 In India, buying a car is the 2nd most important and
expensive decision.
 Change in lifestyle.
 Increasing standards.

14. Hatchback
 Major share in the market.
 First car for an individual or small family(e.g. Maruti
800, Tata Nano)
 Rising incomes has lead to opting for premium
hatchbacks (e.g Maruti Swift, Hyundai Elite i20)

15. Sedan
 A family with a hatchback, upgrades to Sedan.
 Symbol of status
 Found in different ranges that are affordable
SUVs
 Compact SUVs in demand
 Advantageous over Sedans in the hilly regions.
 Made for Indian roads
 Affordable with elegant looks and light engines.

16. Mahindra XUV 500
Target Market
 Age group of customers in their late 20s and early 30s
 “ Live Young, Live Free”.
 Portrayed for the global market.
Postioning
 Design was inspired by a cheetah.
 6 inch touch screen with GPS.
 Dual zone climate control.
 DVD and I-pod functionality.
Differentiation
 monocoque chassis.
 transversely mounted engine in an SUV.

17. Marketing Mix
Product:
 Promoted as a global premium product.
 Innovations such as monocoque chassis and transversely mounted engine.
 Variations.
Price:
 Flexible as well as premium pricing strategy.
Promotion:
 Mahindra chose secrecy as a marketing strategy.
 “Guess the Name”, “Unveil the XUV campaign”, “Guess the price” were
part of the online promotional strategies.
Place:
 A wide range of showrooms and strong after sales service across India.

18. Ford EcoSport
Targeting Market
 It was projected towards the younger generation
 Marketed as an “Urban SUV” which was able to conquer bad Indian roads.
Positioning
 200mm ground clearance.
 Ability to park anywhere in the city
like a normal hatchback.
 Hill Launch Assist.
 Climate Control, ABS with EBD,
Traction Control etc.
Differentiation
 Sub 4 metre SUV, thus reducing the excise duty on raw materials.

19. Marketing Mix
Product
 Shorter wheelbase resulted in good maneuverability in city traffic.
 The innovations used were new in its segment like the use of Hill Launch
Assist.
Price
 Sub 4 metre design resulted in reduction in excise duties which thus
reducing the price of the car.
Promotion
 Urban Discoveries in 12 major cities in India and also on social media.
Place
 One Ford Plan unified the service networks and dealerships to provide
high quality after sales service.
 Ideal for a country like India with bad road conditions.

20.  Bookings reached to almost the 10,000 mark on the first week on
launch.
 Grabbed 23% market share in 2012 with production increasing
from 7 to 20 cars per hour.
 86 per cent of Renault India's production, 81 per cent of its sales
and 100 per cent of its exports.
 41 modifications to adapt with the Indian flavour.

21. As a French Automobile Company Entering India.
 Premium market offering.
 Frugal Engineering in terms of India without compromising
quality.
 Ability to adapt with changing market conditions.
 60% localization when sourcing raw materials.

22. The Market Research adopted for the Duster:
 Took a sample of 200 people from different age groups.
 Parameters like level of income, expectations from a
compact SUV, aesthetics were taken into account.
 30 families were selected .
 41 changes that were done on
the European model.
 Voting for the most liked car.

23. Role of Promotion
 Promotions on social networking sites.
 Facebook game “Big, Bold and Beautiful”.
 Renault invited car reviewers, journalists from auto publications,
bloggers to review about their new vehicle.

24.  Renault initiated the “Gang of Dusters” programme.

25.  In 2015 when 1 lakh, Duster Explore was launched at a price of
Rs. 9.99 lakhs.

26. Sales figures:
 The company sold a total of around 5924 units in December
2012.
 Duster alone had a sales figure of 4485 units.
Market Shares: