Analytical Study On The Effectiveness Of The Probiking Concept Introduced By Bajaj Auto Ltd.

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DECLARATION
I hereby declare that the project work presented in this
project report entitled
‘Analytical Study On The Effectiveness Of The Probiking Concept
Introduced By Bajaj Auto Ltd.’
is an outcome of my efforts involved in project work at
Bajaj Auto Ltd.
under the guidance of Prof. Onkar Natu, IndSearch and submitted
the same as an original for the partial fulfillment of
Master’s Of Business Administration (M.B.A)
University Of Pune
(Institute: - IndSearch, Pune)
I also declare that this research report or thereof is for
academic purpose only and has not been submitted by me for a
degree of any university.
DATE:- Viraj . R. Hegde
PLACE-: Chinchwad, Pune - 19 (Researcher)

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Preface
“The vision must be followed by the venture. It is not
enough to stare up the steps - we must step up the stairs.”
- Vance Havne
‘Transportation’ an absolute necessity today. A need, a want….Where
there is a need or a want a market exists. And where there is a market there
exists ‘The Product’. And where there is a product there exists an elixir that
keeps satisfying those needs or wants. It’s called ‘Services’. The Indian Two
Wheeler market has undergone a sea change. A transformation in products
from what are called as low cost fuel efficient bikes used for daily commuting
to high cost premium powerful bikes. All has been made available today to the
customers. Thanks to this maturing Indian market. Gone are the days of 4-5
years waiting time for the dream vehicle. The processes have been revamped.
Distribution system redesigned. Purchasing experience taken to a whole new
level. Courtesy, the ever growing competition between the manufacturers to
give the customers something extra.
With the same motive, Bajaj Auto has introduced the concept of
‘Probiking’. A concept which is fresh, sporty & provides unbeatable purchase
experience. This concept targets a totally different market that has never been

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identified by any other Indian Two Wheeler manufacturer before. Being a
fresh concept the marketing strategies do differ thus providing an insight to
various new fields of Automobile Marketing. How the whole marketing
process has to be restructured for the ever dynamic two wheeler market in
India can be experienced.
This report, which is an outcome of earnest efforts and
encouragement from knowledgeable sources, unveils some really interesting
things about what the customers expect from a two wheeler manufacturers
apart from the core product. Further it analyzes the most attractive features of
the Probiking concept & provides suggestion to improve the same and
compete the competitors.
DATE:- Viraj . R. Hegde
PLACE:- Chinchwad, Pune - 19 (Researcher)

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Acknowledgement
I would like to express my deep sense of gratitude to
Prof. Onkar Natu & other faculties involved, IndSearch, under whose guidance
this project has been conducted. I also thank the college for including this
practical work in the curriculum which provides a hand on experience about
marketing.
I am very indebted to all the Respondents of this research for having
spared their valuable time amidst busy schedule to be with us and give
valuable information.
I am thankful to my Parents for providing psychological & financial
encouragement for this project.
Last but not the least; I thank the company officials involved in this
project for their humble guidance.
Mr. Vimal Sumble,
Sr. Manager, Marketing, Western Region
Mr. Gaurav Rathore,
Asst. Manager, Probiking (Project Guide)
Mr. Neeraj Sharma,
Asst. Manager, Probiking (Project guide)
Mr. Shaunak Marathe,
Showroom Manager, Probiking Pune
Mr. Rahul Bansode,
Showroom Manager, Probiking Pune
Also thanking all the sales & tele-marketing representatives for their
humble support.

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……….ExpEriEncEd AhEAd
Mr. Shaunak Marathe,
Showroom manager
Probiking, Pune.
Mr. Rahul Bansode,
Showroom manager
Probiking, Pune.
‘Probiking provides a
whole new avenue for
performance biking.’
‘Our showroom has
some of the best &
innovative features
that no one else has.’
Rohan Swamy,
Reporter,
Indian Express.
‘The Probiking showroom aims at
eradicating the divide between bikers and
bikes by providing them an environment in
which they can actually experience the thrill
of buying a bike. The novel concept has
managed to turn eyes and in my case win
smiles from some of the hardest critics.’

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……….ExpEriEncEd AhEAd
Anirban Ghosh,
Owner, Bajaj
Motorcycles
Community,
Orkut.com
Bajaj 'Pro-Biking' is an
overwhelming concept from the
most innovative bike-maker of the
country that has not only brought
in a new level of life-style for the
young riders but has also
conquered the whole nation with
extra-ordinary campaigns making
Bajaj really the 'Distinctly Ahead'
brand of the country!

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Marketing is the social process by which individuals and groups
obtain what they need and want through creating and exchanging products
and value with others. --Philip Kotler.
Marketing today is an integral part of each and every activity
involved in a business, be it profit motivated or service motivated. Marketing
process essentially provides an edge to the organization. It helps the
organization know where in the market it stands and what strategy should it
follow to compete and be the market leader.
Marketing research is the function that links the consumer,
customer, and public to the marketer through information--information used to
identify and define marketing opportunities and problems; generate, refine,
and evaluate marketing actions; monitor marketing performance; and improve
understanding of marketing as a process.
–American Marketing Association
To make vital decisions huge amount of resources are invested on research.
This involves intensive studies on various branches of marketing, e.g.
Consumer Behavior, Sales Promotions, Customer Relationship Management

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etc. Further the results of these branches again vary for various sectors & their
market segments.
‘A Research is any gathering of data, information and facts for
the advancement of knowledge.’
Following the quote above an earnest attempt has been made
to research on the trends in the Indian Two Wheeler industry & the strategy
adopted by the organisation to take ample advantage of these trends to
become a market leader.

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The Indian Service Sector:-
For quite some time now the strong sectors like Agriculture and
Manufacturing have taken a backseat. 54% of India’s GDP was contributed by
the Service sector in 2007-2008. A survey by KPMG Business Outlook released
in May 2009 states ‘India’s service sector is set to grow substantially in the
next 12 months.’
The Indian Industrial Sector:-
29% of India’s GDP was contributed by the Industrial sector.
The Manufacturing & Retail Industries are the major players of this sector.
• The Manufacturing Sector :-
The manufacturing sector contributes about 17% to India’s GDP.
Though this sector witnessed a decline in 2007-2008, KPMG Business
Outlook Survey predicts a healthy growth especially due to the healthy
contribution by the automobile industries.
• The Indian Retail Sector:-
It’s a well known fact that Indian retail sector is booming year
on year. According to McKinsey & Company recently released their report
named `The Great Indian Bazaar: Organized Retail Comes of Age in India’ The

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17%
29%54%
Contribution to India's GDP
2007-2008
Agriculture
Industry
Service Sector
country’s overall retail sector is expected to grow to $450 billion (Rs20.85
trillion) business by 2015. It contributed 10% of India’s GDP in 2007-2008.
This research is based on the Indian Two Wheeler Industry
(hence forth referred as TWI). In the past two decades the Indian TWI has
undergone a sea change. A change which has contributed to the phenomenal
growth of the Automobile Industry. The simple formula behind the growth &
success of the Indian TWI has been ‘Being proactive towards the ever changing
behavior of the consumers’ & ‘Taking the advantage of the trends present in
the market to its fullest.’ This involves practices right from Modern
Manufacturing Systems to Modern Marketing Systems. Total Productivity
Maintenance (TPM), Total Quality Management (TQM), Six Sigma etc. have
become a buzz in the Indian TWI. Reducing wastages & continuous
improvement in quality not only in manufacturing processes but also in
Contribution to india’s GDP by 3
major sectors.
(source:
http://www.tradechakra.com/indian
-economy/gdp.html)

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services provided are high priority. Service quality plays a very important role
to provide a distinct identity to the organization in the market.
This Research has been conducted under the knowledgeable
guidance of the Marketing Department, Bajaj Auto Ltd. It deals with the
Probiking Concept introduced by the company which is a huge success in the
recent times. The major motive behind this concept is to provide a distinct
identity amongst the rest, to the performance oriented motorbikes from the
company’s stable & their enthusiastic riders (customers). The modern
techniques of Visual merchandising, Distribution Channels, Service Quality,
Word of Mouth Marketing etc. which contribute to the success of Probiking
have been highlighted in this research report.

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Studying a market of any kind always provides a practical insight
about the existing situation & the strategies being adopted by the marketer.
An automobile sector best combines manufacturing, retail and services
marketing. The reasons behind selection of this area for research are as
follows.
Two Wheeler market consists of
diverse customers each having their
own preferences. These preferences
for the product keep changing.
Studying the market of this kind
helps gain knowledge which is
versatile in nature.
Concepts like Probiking mark
innovation in marketing. Studying
such a concept is once in a life time
opportunity.
Apart from traditional reasons like
Price the two wheeler customer
today is highly sensitive to the
technological innovations that the
manufacturer provides on his
products. It becomes absolutely
essential to display these
technological prowesses to the
customer as a part of marketing.
The wonderful experience of being
attached with two wheelers is hard
to be explained by words. It gives a
vicarious pleasure studying the
strategies adopted by the two
wheeler manufacturer &
experiencing their product.
A Dynamic Market
A Pioneer Concept
Technology Directly
Meets Marketing
A Hobby

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• Academic Importance:-
This research study provides an insight into the practical
situations existing in the market. The theories learned in classrooms can
be applied for studying those practical situations. The knowledge
assimilated is helpful for building a good career.
• Organizational Importance:-
The research findings can aid the organization in finding
out the clinchers & also aid decisions pertaining improvement in their
services.
• Importance to the Customers:-
The research report has been presented in such a way that
even a layman can gain ample knowledge about the organization, its
products & services. It provides a crystal clear insight, facilitating easy
decisions.

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The Bajaj Group is amongst the top 10 business houses in India.
It’s footprint stretches over a wide range of industries, spanning automobiles
(two-wheelers and three-wheelers), home appliances, lighting, iron and steel,
insurance, travel and finance. The group's flagship company, Bajaj Auto, is
ranked as the world's fourth largest two- and three- wheeler manufacturer
and the Bajaj brand is well-known across several countries in Latin America,
Africa, Middle East, South and South East Asia.
Founded in 1926, at the height of
India's movement for independence from the
British, the group has an illustrious history.
Jamnalal Bajaj, founder of the group, was a close
confidant and disciple of Mahatma Gandhi. In
fact, Gandhiji had adopted him as his son. This
close relationship and his deep involvement in the
independence movement did not leave Jamnalal
Bajaj with much time to spend on his newly
launched business venture. His son, Kamalnayan
Bajaj, then 27, took over the reins of business in
Kamalnayan Bajaj
Jamnalal Bajaj

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1942. He too was close to Gandhiji and it was only after Independence in 1947,
that he was able to give his full attention to the business. Kamalnayan Bajaj
not only consolidated the group, but also diversified into various
manufacturing activities.
The present Chairman of the group, Mr. Rahul Bajaj, took charge of
the business in 1965. Under his leadership, the turnover of the Bajaj Auto the
flagship company has gone up from Rs.72 million to Rs.46.16 billion (USD 936
million), its product portfolio has expanded and the brand has found a global
market. He is one of India's most distinguished business leaders and
internationally respected for his business acumen and entrepreneurial spirit.

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The Management Team:-
Rahul Bajaj
Madhur Bajaj
Rajiv Bajaj
Sanjiv Bajaj

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Rakesh Sharma
Pradeep Shrivastava
R C Maheshwari
S.Sridhar
Kevin D’sa
N.H.Hingorani
C.P.Tripathi
S.Ravikumar
K.Srinivas
Abraham Joseph

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Plant locations:-
Akurdi, Pune - Geared scooters, Non geared
Scooters, CT100 and Discover
Waluj, Aurangabad - Bajaj - Kawasaki range of
Motorcycles and three Wheelers
Chakan, Pune - Bajaj motorcycles - Pulsar and
Discover
Pant Nagar,
Uttaranchal - Bajaj motorcycles - Platina

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Two Wheeler Product Portfolio
Platina 100cc Petrol & LPG Platina 125 DTS-Si XCD 125 DTS-Si
XCD 135 DTS-Si Discover 135 DTS-i Discover 100cc DTS-Si
Pulsar 150 DTS-i Pulsar 180 DTS-i Pulsar 220 DTS-i
Pulsar 220 DTS-Fi Krystal DTS-iAvenger

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R&D and Technologies
Bajaj Auto Ltd. today is equipped with a strong Research & Development
Department called as ‘**ahead’. It boasts of being the most technologically
advanced Two Wheeler R & D in India. It is due to competence of this
department that Bajaj has come up with indigenous patented technologies
like,
• DTS-i:- Digital Twin Spark Ignition
• DTS-Si:- Digital Twin Spark Swirl Induction
• DTS-Fi:- Digital Twin Spark Fuel Injection
• ExhausTec:- Torque Expansion Chamber

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Global Bajaj
• Kawasaki Heavy Industries, Japan
Bajaj Auto has a technical tie up with Kawasaki Heavy Industries
of Japan to produce the latest motorcycles in India which are of world
class quality.
• KTM Power Sports AG (Kraftfahrzeuge Trunkenpolz Mattighofen),
Austria
Bajaj holds an equity stake of 31.72% in KTM. KTM will provide
the know-how for the joint development of highly efficient water-cooled
four-stroke engines from 125 cc to 250 cc. It will be a two-way co-
operation, where KTM, in co-operation with Bajaj Auto, will extend its
product portfolio to a 125 cc line.

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• Some Interesting Facts
--Bajaj’s Distribution network covers 50 countries
-- It exported 772519 units in 2008-09, a growth of 25 percent over
2007-08
--Dominant presence in Sri Lanka, Colombia, Bangladesh, Central
America, Peru and Egypt. Increasing foothold in Africa.

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The word ‘pro’ displays a huge list of meaning today in the
urban dictionary. Of all these, following are the most common usage of the
prefix ‘ pro’.
The Prefix Usage w.r.t Bajaj Probiking
Pro Forward The inherent quality of
staying a step ahead.
Pro In favor of Boost the morale of the
biking community
Pro Professional Experience biking the
way professionals do.
The concept of Probiking aims in distinguishing the performance bikes and
their owners from the rest. Probiking by Bajaj Auto is an exclusive stable for

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premium bikes. Bajaj Auto is in the process of setting up a chain of these retail
stores across the country exclusively for high-end, performance bikes. Twenty
two such stores have been opened across the India.
The Probiking showrooms display all the bikes from Bajaj Auto
that are 200cc & above, also called as premium bikes. ie
• Avenger 200
• Pulsar 220 DTS-i
• Pulsar 220 DTS-Fi
• Kawasaki Ninja 250R & KTM bikes (Yet to be launched)

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Formulating Research Problem
Conceptualizing Research Design
Constructing Instrument of Data
Collection
Data Collection Methods
Presenting Research Proposal
Field Work: - Actual Data Collection
Data Processing & Analysis
Final Research Report
earch Report
Hypothesis Formulation
Selecting Measurement
Technique
Selecting a Sample
Ethical Considerations
Time Estimate
Desk Research & Pilot Observation
Primary Data:- Questionnaire,
Observation, Discussions.
Secondary Data:- Books,
Magazines, Internet, Reports etc
Attitude Scale:- Rating Scale &
Ranking Scale
Simple/Normal Measurement
Convenience Sampling (100)
Interpretation
1
2
3
4
5
6
7

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➢ Primary (Organizational) Objectives:-
1. To find out the clinchers at Bajaj Probiking that accelerate the
actual purchase by the customers.
2. To study the importance of Word of Mouth Marketing (WoMM)
at Bajaj Probiking.
➢ Secondary (Personal) Objectives:-
To have an insight into Two Wheeler marketing.
➢ Clinchers:- The various attributes of the Probiking concept have been
highlighted, which play an important role in accelerating
purchase decision of the customer. Thus helping to find out
how effective the overall concept it.
➢ Retail Strategies:- This report throws light on various retail strategies
adopted by Bajaj Probiking & also its competitors.
➢ Trend Advantage:- The advantage of cashing on changing trends has
been portrayed. Bajaj Auto indentified the trend of
inclination of youth towards performance bikes and

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took right advantage of it by launching the Probiking
Concept. Thus today it is the market leader with not
only advanced products but also services.
➢ Improvements:- Finally the research provides some suggestions to help
improve the services.

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Bajaj Auto’s premium bikes have always faced severe competition
from Yamaha & TVS. Yamaha & Suzuki recently have expressed their interest in
providing exclusive outlets and services for their customers. Yamaha bike
stations are being established in various parts of the country. Such ‘Me Too’
concepts are quite similar to Bajaj Probiking and pose a serious threat. Being
proactive has always been a success formula of Bajaj. Thus it now intends to
improvise the services. Finding the clinchers that accelerate the decision
process of the customers will help to find out how effective the Probiking
concept is.
Hypothesis 1:- The concept of Probiking is a success and a step ahead,
improvements in the present format is unnecessary.
Hypothesis 2:- Improvements and variations in the existing format will help
tackle the competition & also keep the concept fresh and
distinct.

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Segmentation
“The act of dividing the market into distinct groups of buyers
who might require separate products and/or marketing mix.”
- Philip Kotler
Basis of Market Segmentation:-
1. Geographic Segmentation:- Based on region, state, district, taluka, urban
& rural, climatic conditions etc.
2. Demographic Segmentation:- Based on age of customers, sex, family,
size, caste, religion, language, occupation, education, income etc.
3. Psychographic/Attitudinal Segmentation:- Based on personality Life
style, cultures & outlook to particular problem.
4. Buyer Behavior/ Customer Benefit Basis:- Based on customers’
expectation of benefits from a particular product. It may not be same
for all customers.
5. Volume segmentation:- Based on quantity of purchases made ie. Bulk
purchases, small buyers, regular buyers, one time buyers etc.

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Target Market:-
“A target market is the market segment to which a particular
product is marketed to.”
Targeting:-
“The process of preparing the marketing program for target
market is called market targeting.”
1. Single Segment Concentration: - Organization selects one segment which
is most attractive and suitable to the objectives of the company.
2. Product Specialization: - Organization selects the segment that suits its
product. It makes certain product that can be sold to variety of customer
segments.
3. Market Specialization: - Organization selects those segments whose
needs of many types can be served with several products. Organization
meets almost all requirements of the selected segment.
4. Full Market coverage: - Organization tries to cover all the product
customers in a particular segment need.

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Positioning:-
“Positioning is the act of designing the company’s image &
value offer so that the segments customers understand and appreciate what
the company stands for in relation to its competitors.”
– Philip Kotler.
Marketing Mix:-
Product: -
Bundle of attributes capable of exchange or use, usually a mix of
tangible and intangible forms. It may be an idea, a physical entity, or a service,
or any combination of three.
Price:-
Price is something that a customer pays for what he gets.
Place:-
a) Distribution System:- The channels, or means used by which the
service provider gains access to potential buyer of the service
product.
b) Location:- A place where the delivery of goods and services takes
place.

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Promotion:-
Promotion is an element that serves to inform, persuade and/or remind
people about an organization or individual’s goods, services image, community
involvement or impact on society.”
People:- Involves employees act as the representatives of the company and
also related people.
Process:-
Process is the way of undertaking transaction, supplying information &
providing services on a way which is acceptable to the consumer & effective to
the organization
Physical Evidence:-
Physical evidence is the material part of a service. Strictly speaking there are
no physical attributes to a service, so a consumer tends to rely on material
cues.

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Retailing:-
The sale of goods or commodities in small quantities directly to
consumers.
Store Location:-
The place or locality where the retail outlet is located plays a
very important role.
Types of store location:-
1. Freestanding/Isolated Store:-
A freestanding location is a store located along a major traffic
street without any other competitive retailers in the vicinity.
2. Part of a Business District:-
A business district is a place of commerce in the city, which has
been developed historically as a place for commerce and trade.
a. Central Business District (CBD):-
Is the main center of commerce and trade. Characterized by peak
land rates and intense development. Generally in this district the shopping
area is different from the main office area. It also has a good transportation
facility and is well connected.
b. Secondary Business District:-

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Is a business district which has evolved over a period of time with
the spread of the population within the city. It is characterized by a good
mix of retailers, smaller stores as compared to CBD, and adequate public
transportation.
c. Neighborhood Business District:-
It is an unplanned shopping area that has developed to serve the
needs of the neighborhood. It is characterized by presence of stores like
supermarkets, stationary, medical etc.
3. Part of a Shopping Center:-
A shopping center is defined as a group of retail and other
commercial establishments, that is planned, developed, owned and
managed as a single property.

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Trade Area Analysis:-
A trade area is a geographic area that generates the majority of customers for
that store. Knowing the trade area helps the retailer to:
• Estimate number of potential customers
• Gather demographic and lifestyle information
• Get key inputs for promotion and communication strategies
• A trade area often extends beyond the municipal boundaries of a city or
a town.
a. Primary Trade Area: - It covers about 50% to 80% of Store Customers. It
is the area that is closest to the store
b. Secondary Trade Area:- It covers about 15% to 20% of the stores
customers. Is further away from the store than the primary trade area.
c. Tertiary Trade Area:- It accounts for the balance customers of the store.
It is farthest from the store.

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Store Layout:-
It refers to the interior retail store arrangement of departments or
groupings of merchandises.
1. Grid Layout: - While one area of display is along the walls of the
store, the other merchandise is displayed in a parallel manner.
2. Racetrack/Loop Layout: - Here the customers are required to
navigate through specific paths and promotional purchases.
3. Freeform Layout:- In freeform, merchandise is arranged in an
asymmetrical manner. It allows free movement.

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Consumer Buying Process:-
Preliminary
Decision
Actual
PurchaseTime GAP
Reduction in
this GAP will
accelerate
purchase.
Purchase Decision

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➢ Sample Type:- Convenience Sampling
For getting accurate response w.r.t the topic selected
the sample had to contain respondents visiting the Probiking outlet. Also
the sample had to be divided into two halves,
a. Respondents who have already visited other showrooms before
visiting Probiking.
b. Respondents who would/would not visit other showrooms after
visiting Probiking.
➢ Sample Location:- M/s Bajaj Probiking
Godrej Castlemaine, Bund Garden Road,
Near Ruby Hall Clinic, Pune - 411001.
➢ Sample Size:- 100 respondents.

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A. Primary Data:-
1. Survey Questionnaire Method:- A questionnaire is a research
instrument consisting of a series of questions and other prompts for
the purpose of gathering information from respondents. In this
research questionnaire plays a vital role. Different types of questions
have been included in the questionnaire to get accurate responses.
a. Open Ended questions:- To understand in detail what the
customer wants to express.
b. Closed Ended Dichotomous Questions:- To keep the respondent
away from confusion and bias and provide convenience.
c. Closed Ended Multiple Choice Questions:- To find out the most
effective clincher.
d. Comparative Questions:- Obtaining the ranks to determine the
competitive position in the market.
e. Attitudinal Questions:- Finding what the respondent feels about a
particular service using rating scale.

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Questionnaire Draft:-
Name:- __________________________________________________
Gender:  Male  Female Age:- ___________
Occupation Sector:-  Public Sector  I.T  Manufacturing  Services
 Other _____________
Monthly Income:-  Less than Rs. 10,000  Rs.10,000 – Rs. 19,999
 Rs.20,000 – Rs. 29,999  Rs.30,000 – Rs. 39,999
 Rs.40,000 – Rs 49,999  Rs. 50,000 & above
Education (if Student):- ________________ Residence Location:- ________________
1. How did you come to know about Probiking?
 TV  Radio  Internet  Newspaper  Pamphlets / Brochures
 Expo’s  Friends / Relatives /Acquaintance  Other___________________
2. What was your perception about Probiking when you first heard of it?
 Stable for premium bikes  Bajaj Auto Showroom
 Modification or Upgrade Zone  Biking Apparels & accessories
 All of the above  Other _________________________________________________
3. Rate the following attributes of Probiking showroom on the scale of 5 to 1
( -Excellent,  - Good,  - Average,  - Bad ,  - Worst)
Attributes Rating Scale (stars)
Showroom Interiors     
IDS     
Dynamo Test     
Test Ride     
Display Hrs
(9.00am – 8.00pm)     
Sales Representatives
Presentation     
Knowledge     
Promptness     
Handling
Customers     
Techno Center     

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4. Are you aware of of the free home delivery service given by
Probiking showrooms?  Yes  No
5. Rate the extent to which your expectations have been
met by the Probiking showroom ?
    
6. Would you recommend Probiking showroom to your contacts?
 Yes, definitely  Only if asked/inquired  No
7. Have you visited other showrooms before coming here?  Yes  No
8. If yes, Please rank the showrooms on a scale of 1st to 8th:
(1st stands for highest rank & 8th
for the lowest)
Sr.
No.
Manufacturers Ranks
1. Bajaj Probiking
2. Bajaj Showroom
3. Yamaha showroom / Bike Station
4. TVS showroom
5. Hero Honda
6. Honda
7. Royal Enfield
8. Suzuki
9. If No, Would you visit other showrooms now?  Yes  No  Can’t say
10. Suggestions if any:-
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
…… Thank You

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2. Observation Method:- Observation is systematic viewing of a specific
phenomenon in its proper setting for the specific purpose of
gathering data for a particular study. Observation here has been
effectively used for the purpose of understanding the basics, pilot
studies & studying the competitors.
3. Informal Discussions:- Discussions conducted with Bajaj Auto officials
like Sales Head & Showroom Managers to get basic knowledge about
the Probiking concept.
B. Secondary Data:-
1. The Internet:- Various information about the two wheeler market,
trends, competitors etc have been collected through internet..
2. Books:- Books on marketing and research have helped a lot to design
this research study.
3. Magazines:- Automobile magazines have given sufficient insight
about two wheelers.
4. Reports:- Annual reports have been instrumental in providing current
data about the organizations. Also reports by external agencies have
been helpful in providing unbiased information.
5. Broachers:- Instrumental in providing technical details about
products.

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A Flashback:- The two-wheeler industry (henceforth TWI) in India has been in
existence since 1955. It consists of three segments viz., scooters, motorcycles,
and mopeds. The increase in sales volume of this industry is proof of its high
growth. In 1971, sales were around 0.1 million units per annum. But by 1998,
this figure had risen to 3 million units per annum. Similarly, capacities of
production have also increased from about 0.2 million units of annual capacity
in the seventies to more than 4 million units in the late nineties. The TWI in
India began operations within the framework of the national industrial policy
as espoused by the Industrial Policy Resolution of 1956. This resolution divided
the entire industrial sector into three groups, of which one contained
industries whose development was the exclusive responsibility of the State,
another included those industries in which both the State and the private
sector could participate and the last set of industries that could be developed
exclusively under private initiative within the guidelines and objectives laid out
by the Five Year Plans (CMIE, 1990). Private investment was canalized and
regulated through the extensive use of licensing giving the State
comprehensive control over the direction and pattern of investment. Entry of
firms, capacity expansion, choice of product and capacity mix and technology,

~ 62 ~
were all effectively controlled by the State in a bid to prevent the
concentration of economic power. However due to lapses in the system, fresh
policies were brought in at the end of the sixties. These consisted of MRTP of
1969 and FERA of 1973, which were aimed at regulating monopoly and foreign
investment respectively. Firms that came under the purview of these Acts
were allowed to invest only in a select set of industries. This net of controls on
the economy in the seventies caused several firms to a) operate below the
minimum scale of efficiency (henceforth MES), b) under-utilize capacity and, c)
use outdated technology. While operation below MES resulted from the fact
that several incentives were given to smaller firms, the capacity under-
utilization was the result of i) the capacity mix being determined independent
of the market demand, ii) the policy of distributing imports based on capacity,
causing firms to expand beyond levels determined by demand so as to be
eligible for more imports. Use of outdated technology resulted from the
restrictions placed on import of technology through the provisions of FERA.
Recognition of the deleterious effects of these policies led to the initiation of
reforms in 1975 which took on a more pronounced shape and acquired wider
scope under the New Economic Policy (NEP) in 1985. As part of these reforms,
several groups of industries were de-licensed and ‘broad banding’ was

~ 63 ~
permitted in select industries. Controls over capacity expansion were relaxed
through the specification of the MES of production for several industries.
Foreign investment was allowed in select industries and norms under the
MRTP Act were relaxed. These reforms led to a rise in the trend rate of growth
of real GDP from 3.7% in the seventies to 5.4% in the eighties. However the
major set of reforms came in 1991 in response to a series of macroeconomic
crises that hit the Indian economy in 1990-91. Several industries were
deregulated, the Indian rupee was devalued and made convertible on the
current account and tariffs replaced quantitative restrictions in the area of
trade. The initiation of reforms led to a drop in the growth of real GDP
between 1990 – 1992, but this averaged at about 5.5% per annum after 1992.
The decline in GDP in the years after reforms was the outcome of devaluation
and the contractionary fiscal and monetary policies taken in 1991 to address
the foreign exchange crisis. Thus the Industrial Policy in India moved from a
position of regulation and tight control in the sixties and seventies, to a more
liberalized one in the eighties and nineties. The two-wheeler industry in India
has to a great extent been shaped by the evolution of the industrial policy of
the country. Regulatory policies like FERA and MRTP caused the growth of
some segments in the industry like motorcycles to stagnate. These were later

~ 64 ~
able to grow (both in terms of overall sales volumes and number of players)
once foreign investments were allowed in 1981. The reforms in the eighties
like ‘broad banding’ caused the entry of several new firms and products which
caused the existing technologically outdated products to lose sales volume
and/or exit the market. Finally, with liberalization in the nineties, the industry
witnessed a proliferation in brands. A description of the evolution of the two
wheeler industry in India is usefully split up into four ten year periods. This
division traces significant changes in economic policy making. The first time-
period, 1960-1969, was one during which the growth of the two-wheeler
industry was fostered through means like permitting foreign collaborations
and phasing out of non-manufacturing firms in the industry. The period 1970-
1980 saw state controls, through the use of the licensing system and certain
regulatory acts over the economy, at their peak. During 1981-1990 significant
reforms were initiated in the country. The final time-period covers the period
1991-1999 during which the reform process was deepened. These reforms
encompassed several areas like finance, trade, tax, industrial policy etc.
A) 1960 – 1969
The automobile industry being classified as one of importance under the
Industrial Policy Resolution of 1948 was therefore controlled and regulated by

~ 65 ~
the Government. In order to encourage manufacturing, besides restricting
import of complete vehicles, automobile assembler firms were phased out by
1952 (Tariff Commission, 1968), and only manufacturing firms allowed to
continue. Production of automobiles was licensed, which meant that a firm
required a licensing approval in order to open a plant. It also meant that a
firm’s capacity of production was determined by the Government. During this
period, collaborations with foreign firms were encouraged.
B) 1970 – 1980
This was a period during which the overall growth rate of the two-wheeler
industry was high (around 15% per annum). Furthermore, the levels of
restriction and control over the industry were also high. The former was the
result of the steep oil price hikes in 1974 following which two-wheelers
became popular modes of personal transport because they offered higher
fuel- efficiency over cars/jeeps. On the other hand, the introduction of
regulatory polices such as MRTP and FERA resulted in a controlled industry.
The impact of MRTP was limited as it affected only large firms like Bajaj Auto
Ltd. Whose growth rates were curbed as they came under the purview of this
Act. However, FERA had a more far-reaching effect as it caused foreign
investment in India to be restricted. In the motorcycle segment FERA caused
technological stagnation, as a consequence of which, neither new products nor
firms entered the market since this segment depended almost entirely on
foreign collaborations for technology. The scooter and moped segments on
the other hand were technologically more self-sufficient and thus there were
two new entrants in the scooter segment and three in the moped segment.

~ 66 ~
(Table above illustrates the fact that most firms existing in this period had some form of
collaboration with foreign firms. It also gives the details of the various firms that existed in
the industry during this time period and the product/s they manufactured.)

~ 67 ~
C) 1981 – 1990
The technological backwardness of the Indian two-wheeler industry was one
of the reasons for the initiation of reforms in 1981. Foreign collaborations
were allowed for all two-wheelers up to an engine capacity of 100 cc. This
prompted a spate of new entries into the industry. The majority of which
entered the motorcycle segment, bringing with them new technology that
resulted in more efficient production processes and products. The variety in
products available also improved after ‘broad banding’ was allowed in the
industry in 1985 as a part of NEP. This, coupled with the announcement of the
MES of production for the two- wheeler industry, gave firms the flexibility to
choose an optimal product and capacity mix which could better incorporate
market demand into their production strategy and thereby improve their
capacity utilization and efficiency. These reforms had two major effects on the
industry: First, licensed capacities went up to 1.1 million units per annum
overshooting the 0.675 million units per annum target set in the Sixth Plan.
Second, several existing but weaker players died out giving way to new
entrants and superior products.
D) 1991 – 1999
The reforms that began in the late seventies underwent their most significant

~ 68 ~
change in 1991 through the liberalization of the economy. The two-wheeler
industry was completely deregulated. In the area of trade, several reforms
were introduced with the goal of making Indian exports competitive. The two-
wheeler industry in the nineties was characterized by a) an increase in the
number of brands available in the market which caused firms to compete on
the basis of product features and b) increase in sales volumes in the
motorcycle segment vis-à-vis the scooter segment reversing the traditional
trend.
E) 2000 onwards
A new breed of bikes came into existence which the manufacturers called as
Performance Bike or Indian Premium Bikes. What started with a 150-160cc
engine, has hiked to 220-250cc hearted bikes today. On the other hand the
entry level bikes have also gained immense importance.

~ 69 ~
Current Figures:- (Source:- Society of Indian Automobile Manufacturers)
Sales of two-wheelers (million units)
Domestic sales – Industry

~ 70 ~
The Advent:-
Year 2004, India witnessed it’s fastest villain emerge on the celluloid,
John Abraham performing some gravity defying
stunt on superbike. ‘Dhoom’ is the movie which
will always be credited by biking fraternity to sow
the seeds of Organized Biking in India. As an after
effect, Bikes became the buzzword in every nook
& corner of the nation. Even ‘Ramu’ wanted to become ‘Rossi’. Online Biking
Forums, Stunt Syndicates, Touring groups etc started emerging. There was a
sudden surge in the demand for performance bikes though they existed in
market for some time now. Bajaj Auto was the first one to identify this trend.
‘The Probikers’ is what Bajaj
calls these bikers. The bikers
who not just demand unique
products but also unique
services. In 2005, Bajaj Auto
Ltd. came up with exclusive
outlets for its premium bikes. These outlets were named as ‘Probiking’

~ 71 ~
Customer Perspective:-
The customers of premium bikes are different. They are highly
tech savvy & have ample knowledge about the bike as the product they are
going to purchase. They constantly scan Internet, Social networks and other
sources for collection of information. Hence they really don’t get attracted to
discounts, glamorous sales talks etc. What they want is High Performance
Bikes which can provide them exhilarating performance and turn faces when
on road. Thus they are ready to pay a premium for unique experience. The
Probiking customer expects to explore the bike by himself. And that is what
Probiking Concept exactly provides. A distinct sales & distribution experience.
Product perspective:-
Probiking is a stable for Bajaj’s Premium Bikes. These bikes are the
outcome of the technological prowess of the ‘**ahead’-Bajaj’s R & D
department. These products are manufactured at Bajaj’s Chakan Plant. Present
products displayed are:-
• Avenger 200 DTS-i
• Pulsar 220 DTS-Fi
• Pulsar 220 DTS-i

~ 72 ~
Price Perspective:-
Premium pricing in accordance to the segment & technology of
the bike is followed. Following are the ex showroom prices of the products:-
• Avenger 200 DTS-i -
• Pulsar 220 DTS-Fi -
• Pulsar 220 DTS-I -
Retail & Service Perspective:-
At Probiking technology is one of the important attributes. Use of
product technology to promote the product is a standard phenomenon. But
Probiking uses technology to enhance its services also. It truly provides
experience of being ahead. Following are the concepts that merge Retailing &
Technology.
• Techno Center:-
A dedicated space where the various parts of the bike
are displayed. The unique thing is that these parts are displayed in a
cross sectional manner. Most of the parts are kept in motion. The
motive behind this is to make the customers aware about how the parts
of the product that he is going to purchase functions. It also displays the
technological prowess of Bajaj Auto.

~ 73 ~
• IDS:-
IDS stands for Interactive Design Station. This system utilizes a
proprietary flash application running on a normal PC. The motive behind
is to make the customers feel personal towards the products & services.
The features of IDS are as follows:-
➢ Fully Automated Quotation
➢ Interactive Virtual Product
Tours
➢ Promotion Contents.
The Techno Center

~ 74 ~
• Dyno Test:-
The Dyno Test provides an indoor simulation of riding the bike.
The customer can experience the top speed of the product withing the
Dyno Test Room. The motive behind this is to make the customers
known about the peak performance of the product. Also allow them
experience how the bike behaves at various speeds.

~ 75 ~
Six ‘Distinctly Ahead’ Factors of Probiking.
• Distinct Location:-
The Probiking Showroom, Pune is located at Godrej Castlemaine, Bund
Garden Road which is a very prominent location and may be called as
Secondary Business District. It is well connected with Local railways &
Public Transports. There are just 4 exclusive Probiking outlets in
Maharashtra. Hence the trade area of the Pune’s Probiking Showroom is
quite large.

~ 76 ~
• Distinct Ambience:-
The Probiking Showroom is a state of art facility. The simple but sporty
interiors, totally air conditioned provide a unique experience. The
showroom has become bikers’ den. Bikers can hang around in the
showroom, watch television, listen to music & also increase their
knowledge by interactions with the staff.
• Distinct Sales Process:-
1. Enquiry Handling
2. Product Details Introduce the product to the
customers

~ 77 ~
3. Technology Center
4. Dyno Ride
5. Outdoor Test Ride
Explain the technologies
Make Customers experience the
performance of the bike
Let Customers experience the on
road performance of the bike.

~ 78 ~
6. Interactive Design
System
7. Finance
Quotations & Virtual Tours
Easy finance options to provide
convenience

~ 79 ~
• Distinct Delivery Process:-
The major Distribution & Service unit, Shirode Auto, of Probiking is
located at Kothrud. Once the booking is done the customer can pic his
bike from Shirode Auto. Optionally, a home delivery service is also
provided within Pune Municipal Corporation limits.
8. Final Booking

~ 80 ~
• Distinct After Sales Service:-
Shirode Auto, Shivajinagar and Shirode Auto, Kothrud provide exclusive
servicing facilities for Probiking bikes. There are Smart Cards & Home
Pick Up facilities also.
• Distinct Customer Satisfaction Tracking:-
The IDS provides a space to get customer to type his feedback before
logging out. Additionally, a feedback book is readily available on the
staff desk. Apart from this post sale tele calls to customers are
conducted on 2nd
, 15th
& 25th
day of purchase or visit.
TELE-MARKETING EXECUTIVE COMMUNICATION
INCOMING CALLS OUTGOING CALLS
A
CUSTOMER
B
SHOWROOM MANAGER
C
SALES ASSOCIATE
D
DELIVERY AND SERVICE

~ 81 ~
The Showroom Layout:- Free Form

~ 82 ~
1. Age:-
Age (years) No. of Respondents
16 -22 24
22 - 28 41
28 - 34 21
34 - 40 9
above 40 5
Inference on basis of observation:-
The target market consists mainly of youth audience between
the age of 16 to 34. Highest range in between the age of 22 to 28.
24
41
20
9
5
0
5
10
15
20
25
30
35
40
45
16 - 22 22 - 28 28 - 34 34 - 40 above 40
Respondents
Age

~ 83 ~
2. Gender
Gender No of Respondents
Male 95
Female 5
3. Working Audience v/s Students:-
0
20
40
60
80
100
Male Female
95
5
Respondent
Gender
Type No of Respondents
Working Class 54
Students 46
54
46
42 44 46 48 50 52 54 56
Working Class
Students
Respondents

~ 84 ~
4. Occupational Sector:-
Occupational Sector No. of Respondents (54)
Public Sector 2
I.T 25
Manufacturing 19
Service 6
Others 2
The Working class population from the I.T and manufacturing sector
form a major chunk of buyers.
2
25
19
6
20
5
10
15
20
25
30
Public Sector I.T Manufacturing Service Others
Respondents
Occupational Sector

~ 85 ~
5. Monthly Income:-
The Working class population earning a monthly income of Rs 20,000
to Rs 30,000 are the major buyers of the products.
0
5
10
15
20
25
10,000 20,000 30,000 40,000 50,000
& above
1
18
24
7
2 2
Respondents
Monthly Income (Rs)
No. of Respondents
Monthly Income (Rs.) No. of Respondents (54)
0-10,000 1
10,000-20,000 18
20,000-30,000 24
30,000-40,000 7
40,000-50,000 2
50,000 & above 2

~ 86 ~
6. How did the respondents come to know about Probiking?
Media No of Respondents
T.V 3
Radio 2
Internet 25
Newspaper 10
Pamphlets/Broachers 0
Expo's/Events 9
Friends 46
Other 5
Most of the prospects come to know about probiking through
their friends & relatives. Word of mouth plays a very important role. Also as
the target market consists of tech savvy youth audience & the I.T
professionals, internet also serves as an efficienct medium for information.
3 2
25
10
0
9
46
5
0
5
10
15
20
25
30
35
40
45
50
Respondents
Media

~ 87 ~
7. What were the respondents’ perceptions when they first heard about
Bajaj probiking?
The name Probiking made most of the people feel that Bajaj
would be providing Bike modifications & upgrade facilities. Very less people
knew about the display of premium bikes only at probiking outlets. Many
thought it to be normal Bajaj outlet. This confusion still prevails among most
even today.
20
21
39
18
2
Stable for Premium Bikes
Normal Bajaj Auto
Showroom
Modification/Upgrade
Zone
Biking Merchandise
All the Options
Other
Perceptions No. of Respondents
Stable for Premium Bikes 20
Normal Bajaj Auto Showroom 21
Modification/Upgrade Zone 39
Biking Merchandise 18
All the Options 0
Other 2

~ 88 ~
8. Rating of various attributes of the showroom:-
Interiors:-
Ratings No of Respondents
Excellent 49
Good 41
Average 10
Bad 0
Worst 0
Most of the respondents were impressed by the sporty
showroom interiors.
49
41
10
0
10
20
30
40
50
60
Excellent Good Average Bad Worst
Respondents
Ratings

~ 89 ~
Techno Center
Excellent 72
Good 28
Average 0
Bad 0
Worst 0
72% repondents rated the Techno Center to be excellent.
72
28
0
10
20
30
40
50
60
70
80
Respondents
Ratings

~ 90 ~
IDS:-
Ratings No of Respondents (64)
Excellent 32
Good 27
Average 5
Bad 0
Worst 0
IDS uses a flash based application working on a normal PC. The
flash contents provide a virtual product tour to the customers. One can go
through the specifications, watch ads, get quotation & also book the bike
through IDS. IDS is not used by each and every customer. Thus only 64
memebers were able to give feedback about this system. The overall rating of
IDS is excellent.
0
5
10
15
20
25
30
35
32
27
5
Respondents
Ratings

~ 91 ~
Dyno Test:-
Excellent 9
Good 12
Average 19
Bad 2
Worst 1
Dynomometer provides a simulation indoors, of riding the
bike. Presently there’s a single dynomometer in the showroom. Thus only one
bike can be demonstrated. Hence all the customers don’t get a chance to try
the dynomometer wit htheir prefered ride. Thus oly 43 people were able to
give feedback about the dyno test. Most of the respondents were not
impressed by the dyno test. Reason being the artificial environment. They
preferred having an on road test ride. But on the other hand the second
majority did love the concept. They were satisfied with the platform given to
test the top speed of the bike.
0
2
4
6
8
10
12
14
16
18
20
9 12
19
2 1
Respondents
Ratings

~ 92 ~
Test Ride
Excellent 6
Good 11
Average 26
Bad 29
Worst 0
Test was rated the lowest. The feedback from most of the
respondents was that they felt a need of bigger test drive track. Many who had
already visited Yamaha and TVS showroom were quite impressed by the test
ride facility over there. These showrooms provide on road test ride just after
verifying the driving licence od the respondent. Also no showroom official is
sent on a test ride, thus giving the customer freedom to try the bike to the
fullest.
0
5
10
15
20
25
30
6
11
26
29
0
Respondents
Ratings

~ 93 ~
Display Hours:-
Excellent 51
Good 47
Average 2
Bad 0
Worst 0
Most of the respondents were satisfied with the showroom timings.
Timings are favourable as it provides chance to both students and working
customers tovisit showroom after college & work respectively.
51 47
2
0
10
20
30
40
50
60
Respondents
Ratings

~ 94 ~
Sales Representatives
Ratings Presentation Knowledge Promptness Handling
cutomers
Excellent 29 29 29 11
Good 51 51 51 51
Average 20 20 20 38
Bad 0 0 0 0
Worst 0 0 0 0
The sales representatives were rated good. Very less suggestions
were given with respect to the sales representatives’ qualities.
29
51
20
29
51
20
29
51
20
11
51
38
0
50
100
150
200
250
Respondents
Ratings
Presentation Knowledge Promptness Handling cutomers

~ 95 ~
9. Were the customers aware of the free home delivery service?
Awareness No of Respondents
Yes 39
No 61
61% of the respondents were not aware about the home delivery
faility provided by Probiking. Efforts must be made to highlight this hidden
USP.
0
10
20
30
40
50
60
70
Yes
No
39 61
Respondents
Awareness

~ 96 ~
10.Ratings for satisfaction of customers’ expectation:-
Excellent 29
Good 51
Average 20
Bad 0
Worst 0
29% of the consmers rated the overall experience at Probing to be
excellent. 51% of the audience have rated it to be good & are of the opinion
that the showroom services need some minor improvements.
0
10
20
30
40
50
60
29
51
20
Respondents
Ratings

~ 97 ~
11.Would the respondents recommend Probiking Showroom to their
contacts?
Recommendations No of Respondents
Yes 72
Only if asked 28
No 0
As found out earlier the word of mouth plays a very imporatnt role
in marketing of Bajaj Auto Probiking. A majority of customers expressed their
willingness to recommend the showroom to their contacts voluntarily.
72
28
0
10
20
30
40
50
60
70
80
Yes Only if asked No
Rspondents
Recommendations

~ 98 ~
12.Did the respondents visit other two wheeler showroms before visiting
Bajaj Probiking?
A sample of 50 for each response was deliberately selected for the
study.
0
5
10
15
20
25
30
35
40
45
50
Yes No
50 50
Respondents
Other showrooms visited?
Other showrooms visited No of Respondents
Yes 50
No 50

~ 99 ~
13. Rankings of various showrooms according to the respondents.
Showroom
Average
Rankings
Final
rankings
Bajaj Probiking 1.3 1
Normal Bajaj Auto
Showroom
3.15 3
Yamaha Bike Station 2.05 2
TVS Showroom 3.8 5
Hero Honda 4.8 8
Honda 4.2 7
Royal Enfield 3.72 4
Suzuki 4.05 6
Bajaj
Probiking Yamaha
Bajaj Auto
Showroom
Royal
Enfield
TVS Suzuki
Honda Hero
Honda
Ranks of Different Showrooms

~ 100 ~
14.Would the respondents like to visit other showrooms after visiting
Probiking showroom?
Response No of Respondents
Yes 46
No 54
Can’t Say 0
50% of the people who have already visited other showrooms
would not like to visit those showrooms again. An additional 4 % of the
respondents who have not visited other showrooms expressed that they too
wouldn’t visit other showrooms. These 4 customers include the ones buying
Bajaj Avenger 200 DTS-I, as the bike is the only 200cc economical cruiser
available in the market, & the ones who purchased the bikes for someone else,
(Gift, Finance etc.). Remaining 46 % respondents are the ones who havent
checked other showrooms, thus would like to visit them.
0
10
20
30
40
50
60
Yes No Can’t Say
46
54
0
Respondents
Response

~ 102 ~
➢ Showroom Staff as Initiators:-
The Showroom Manager & Sales Representatives act as the
initiators to dispatch information about Probiking:- its Products & Services. It is
this information that floods on the internet. Internet is a place that requires
proof for a piece of information to be believed by all. Showroom Staff’s are
easily accessible & hence act as an easy & valid source for of information.
➢ Recommendation Chain:-
72% of the people have responded positive to recommend
Probiking to their contacts voluntarily.
➢ Social Networking:-
The target market of Probiking consists of tech savvy youth
customers who have high social networking capabilities both in real as well
as virtual world (a.k.a The Internet)
Word Of Mouth Marketing1.

~ 103 ~
➢ Technology:-
The product technology does play an important role to attract
consumers, but the things like IDS & Techno Center used at the showroom
have been appreciated very well. IDS not only fastens the procedures but
also acts as a self service device to know the products. Dyno Test though
rated average, specifically due to the shortcomings of the test ride, is quite
a good attraction.
➢ Ambience:-
The showroom interior theme which includes lighting, music,
presentation etc creates a hang around destination for the bikers. This is
really important to attract the influencers of Buying Decision.
➢ 54% of people have responded that they won’t visit other showrooms
after being at Probiking. This justifies the need to introduce fresh customer
attraction & retention programs.
➢ Some service like Test Ride & Delivery fails to meet the customers’
expectations. These need to be enhanced to retain the image of the
Probiking concept.
Clinchers2.
Freshness3.

~ 104 ~
Hypothesis 1:- The concept of Probiking is a success and a step ahead.
Improvements in the present format are unnecessary.
Test Result:- The above hypothesis tends to be false, as the findings clearly
suggest that improvements in certain aspects are absolutely
essential.
Hypothesis 2:- Improvements and variations in the existing format will help
tackle the competition & also keep the concept fresh and
distinct.
Test result:- Hence the above alternate hypothesis holds true.

~ 106 ~
1. Test Ride:-
The dyno test is a very unique concept and does attract
attention. But in the end the customer is always concerned about how
the bike will perform on road? How comfortable the ride will be if I buy
a cruiser rather than street bike? In order to address this issue a longer
test ride must be made available. Consumers did demand an on road
test ride, as many competitors are providing it. These are performance
bikes & the actual behavior of the machine cannot be tested in narrow
parking lanes.
2. Delivery center:-
The final delivery center is located far away from the
showroom ie at Kothrud. There are just 4 Probiking outlets in
Maharashtra. Hence the trade area of Pune showroom is quite wide.
People from distant places visit the showroom. After travelling for such
a long distance they do get disappointed when made known about the
delivery center. Unification of the Showroom & Delivery Center would
be a good solution. Home delivery service is a good option for

~ 107 ~
consumers within PMC. But for distant deliveries this service doesn’t
exist. Either the showroom can be merged with the delivery center or
paid home delivery service can made available.
3. Store Layout:-
To increase the sales process effectiveness &consumer
satisfaction levels the Race Track format can be used for store layout.
This format would be a guided format contradictory to the existing free
form format. It would help to make the consumers aware about the
various attributes of Probiking Concept in a systematic manner.

~ 108 ~
• Biking Merchandise:-
Showrooms of Yamaha & TVS are making biking merchandises
like sporty helmets, riding gears, bags etc readily available in their
showrooms. Prospects entering the Probiking showroom do expect the
same. This will help attract the audience and also add to the sporty
biking environment of the showroom. Also the Bajaj logos on these
merchandises will provide ample physical evidence and a sense of
belonging towards the brand.
• Dedicated Website & Social Networking:-
It is clearly evident that the target market of the Probiking are
youth tech savvy customers. Hence a dedicated website for Probiking
can be created. The website may include a virtual tour of the showroom
in form of flash content. Along with this Social Networking platform can
also be embedded into the website. This may include features like
➢ Free Registration & Personalized profiles
➢ Friends Lists

~ 109 ~
➢ Reviews of the Bikes from company’s side as well as the
consumers’ side.
➢ Uploading of images related to biking.
➢ Topics & Discusions.
• Knowledge Section:-
A separate space for ‘Knowledge Section’ in the showroom can
be created. This space may include
➢ History & milestones of Bajaj Auto.
➢ Images of events sponsored by Bajaj Auto.
➢ Images of Important Persons (Foreign Delegates, Race Champions
etc) who have visited the Probiking Showroom.
➢ Guidance for efficient riding.

~ 110 ~
1. Durational Limitations:-
The Project has been conducted for 50 days. An additional time
allotted by circumstances would have helped to increase the
effectiveness of the research.
2. Sampling limitations:-
Due to short duration of the project, a smaller sample had to be
selected.
3. Financial limitations:-
The project has been done under normal financial circumstances. The
effectiveness of the analysis could be increased with advanced
analysis which requires financial help.
4. Communication gap:-
On one side there was extremely busy and hard working
management of Bajaj Auto Ltd and on other side a fresh researcher
craving for guidance. No one to be blamed. But there existed minor
communication gaps.

~ 111 ~
The Probiking concept is a very unique concept and has been
welcomed by the customers. Being the pioneer in this concept expectations of
consumers are always high. The Probiking Showrooms attract a large number
of youth audiences as it deals with performance bikes from Bajaj Auto. The
overall concept has been rated positively by the respondents in this study. The
ambience, instruments, staff etc do act as a decisive factor in the purchase of
the product. No doubt this concept remains the leader in the market. But at
the same time the competition form Yamaha and TVS must also be considered.
Competition not only through products but also through services. A theme
refresh is an absolute need of the hour, before the competitor realize this.

~ 113 ~
Bajaj Auto’s domestic sales (in units)
Motorcycle sales, domestic and exports (in numbers)

~ 114 ~
Indian Two Wheelers:- A Flashback.

~ 115 ~
Probiking Showroom Location:-

~ 117 ~
Bajaj Probiking Inception
Mr Rahul Bajaj (centre), Chairman, Bajaj Auto, Mr Sanjiv Bajaj (left), Executive
Director, and Mr Rajiv Bajaj, Managing Director, at the launch of the Probiking
showroom in Mumbai on Tuesday. — Shashi Ashiwal
Pune , Sept. 6
PROBIKING is only the tip of the iceberg. What we are planning is to have specialised channels for
our vehicles and we have identified four such channels," said Mr Rajiv Bajaj, Managing Director,
Bajaj Auto Ltd (BAL), after the inauguration of the first probiking showroom in the city.
He also said that the company is aiming to open 10 such showrooms across the country, he said.
Probiking showrooms are designed to give the customer a complete feel of the product they are
buying.

~ 118 ~
He said that the company was all set to restructure its entire dealership network across the country.
Mr Bajaj said that the probiking showroom has been designed for the biking enthusiasts and the
showroom offers prospective `probikers' a chance to test-ride the bikes on specially-designed,
indoor dynamometers.Asked whether all showrooms would be company-owned or dealerships, he
said that BAL would try to understand the channel and then decide on the mode.
Spread across an area of 2,300 sq ft, the centrally-located showroom has a specially-designed,
indoor dynamometer for a static test-ride, wherein riders would be able to put the bike through the
ultimate driving conditions and check out parameters such as acceleration, time, power, torque, top
speed etc, which is not possible on a normal road test, he said.
He also said that technology would be the nucleus of the probiking chain of showrooms with every
showroom's local server connected to BAL's central SAP (ERP) system. Interactive computer
terminals would provide hassle-free self-service transactions wherein the probiker could also print
quotations, book test-rides and order the bike.
He said that probiking would also take post-sales to the next level. A chain of off-site service
facilities is being set up for probikers such as smart cards, special vans that would offer doorstep
pick up and drop and a lounge in the service area to enable the probiker see his vehicle being
serviced.
Commenting on the probiking experience, Mr Bajaj said that the showroom, which was soft-
launched a month ago, has seen sales of about 150 bikes, purely on word-of-mouth basis.
"We have realised that instead of spending huge amounts of money on advertising and bringing in
sales, it would be much better to give customers the option of having `see and feel'.
We are trying to move from a push-based need, where we tell the customers that we have different
products at attractive prices, to a pull-based need, where we offer the customers better products at
comparative prices," he said.

~ 121 ~
Launch of Pulsar 220 DTS-i

~ 122 ~
Yamaha’s Me Too Concept.
(Yamaha Bike Station)

~ 124 ~
Books:-
• Marketing Management, 13th
edition, By Phillip Kotler,
• Service Marketing, By M.K.Rampal & S.L.Gupta
• Retail Manament, By Bajaj, Tuli & Shrivastava.
• Advertising & Promotion, By Belch & Belch
• Marketing Research, By Aaker, Kumar & Day
• Research methodology, By C.R.Kothari
Web:-
• http://www.zigwheels.com/Features/Bajaj-Pulsar-220-DTSi-Special-
Coverage/Pulsar_20090623-1-1
• http://www.bikeindia.in/subscription/SubscriptionIssue/August-20092/
• http://www.bajajauto.com/
• www.xbhp.com
• www.revlimit.co.in
• http://www.2wheelsindia.com/
Magazines:-
• Bike India
• Autocar India
• Overdrive India
Bajaj Auto Annual Reports
Research:- The Evolution and Structure of the Two-wheeler Industry
in India.
By:- Sunila George, IIM Bangalore, Raghbendra Jha, ANU, Canberra
Hari K. Nagarajan, IIM Bangalore and NCAER, Delhi

~ 125 ~
experience ahead.
….Thank You

Analytical Study On The Effectiveness Of The Probiking Concept Introduced By Bajaj Auto Ltd.

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