CONTENTS

Chapter Page No.

1. Introduction...1-6 a) Automobile Industry in India b) Conceptual Framework Brand Brand Value How to Develop Brand Value 2. Literature Review .7 3. Rationale of the Study..8 4. Objectives of the Study.9 5. Methodology.10 a) The Study b) The Sample c) The Tools i) ii) For Data Collection For Data Analysis

6. Analysis and interpretation..11-29 7. Conclusion...30 8. Limitation.31 9. Reference.32 10. Annexure33-35

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Introduction
The automobile industry in India accounts for a business volume of billions of dollar and has the potential to grow much faster both through Indian as well as International manufacturers which have established huge facilities in the country. The automobile industry is at the center of Indias new global dynamic. The domestic market expanding rapidly as incomes rise and consumer credit becomes more widely available. Manufacturers product lines are being continually expanded, as is the local automotive manufacturing base. Expectation are high that India can develop as a global hub for vehicle manufacturers and as an outsourcing center that offers the global automotive industry solution high up the automotive value chain. After independence, Bajaj Auto Ltd. had an undisputed leadership over the market. The industry registered compounded growth rate of 12% during the seventies. In phase two, Japanese companies were tying up with domestic players and new models were introduced. The growth rate for the two-wheeler industry this phase stood at 16.4%. This phase extended till early nineties. In phase three, sales started picking up in 1994. In 1995, the industry produced about one million scooters. 6 lakh motorcycles and 5 lakh mopeds. All most all the companies were going in for expansion. The manufacturers of two-wheelers distinguish their products on the basis of power, fuel efficiency, and maintenance requirement, easy in handling, style & price. India is the third largest producer of two wheelers after Japan and China and the second largest consumer after China. Despite the poor road infrastructure and the meager purchasing power, the two-wheeler industry in India has enjoyed a wider appeal with the masses as a means of private transport. Two-wheelers are usually classified into three types: they are Scooters, Motorcycles, Mopeds and Electric two wheeler. The motorcycle industry, has reached the state of a competitive market with a few companies producing a good range of products and present thrust is upon innovations and high efficiencies. The market has steadily moved from a sellers market to a buyers market. The companies are responding quickly to changing customer demands to stay in the business. Products are introducing various models or upgrading existing models to cater to the different segment and

there is an emphasis on increasing advertisement expenditure and better service through upgraded service centers.

Market Structure Automobile

Commercial Vehicle

Passenger Vehicle

2-wheeler

3-wheeler

Motorcycle

Scooters

Mopeds

SEGMENT WISE ANALYSIS OF INDIAN TWO WHEELER

Fig.: Market Shares of the major players in the two wheeler market segment

HERO HONDA Established in 1984 Joint Venture Largest manufacturer of 2- wheelers in India Manufacturing units Daruhera & Gurgaon Product segmentation Motorcycle
Hero Hoda Ambition Hero Honda Passion Hero Honda Cbz-Disk Brak Hero HNDA CBZ-XTREME Hero Honda Cd 100 Deluxe Hero Honda Cd 100 Ss Hero Honda Cd Dawn Hero Honda Glamour Hero Honda Hunk 4

Mopeds
Hero Honda Activa Hero Honda Pleasure Hero Honda E-Sprit Hero Honda Street

Hero Honda Karizma Hero Honda Karizma Zmr

BAJAJ Established in 1945 and started selling imported 2- wheelers. It is India's largest and the world's 4th largest two- and three-wheeler maker In 1959, it started manufacturing 2- wheelers in India. In 1970, the company managed to sell 1,00,000 vehicles It is based in Pune, Maharashtra with plants in Akurdi and Chakan, Waluj, Pantnagar in Uttaranchal Product segmentation Scooters Bajaj Sunny Bajaj Chetak Bajaj Cub Bajaj Super Bajaj Wave Bajaj Legend Motorcycles Kawasaki Eliminator Bajaj Pulsar Bajaj Kawasaki Wind 125 Bajaj Boxer Bajaj CT 100 Bajaj Platina Bajaj Discover Bajaj Avenger Bajaj Pulsar 220 DTS-Fi TVS Motors Third largest 2 wheeler manufacturer in India. It is a flagship company of the $4 billion TVS group. The company has 4 plants- Hosur, Mysore, Himachal Pradesh, and one at Indonesia TVS Motor Company is the first two wheeler manufacturer to be honored with the hallmark of Japanese quality- The Deming Prize for Total Quality Management.
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Product segmentation Scooterettes TVS Scooty ES (60 cc) TVS Scooty KS (60 cc) TVS Scooty Pep (75 cc) TVS ScootyPep+ (90 cc) TVS Teenz TVS Teenz Elictric Motorcycles TVS Ind Suzuki AX 100 TVS MAX 100 TVS MAX R 100 TVS Supra TVS Suzuki Samurai TVS Suzuki Shogun TVS Star TVS Star City TVS Star city deluxe TVS Star Sport TVS Fiero F2 TVS Fiero FX TVS Centra TVS Victor (110 cc) TVS Victor GLX (125 cc) TVS Flame (125 cc,ccvti technology) Mopeds TVS XL 50(50 cc) TVS XL (60 cc TVS Eco TVS Astra TVS XL Super (60 cc) TVS Champ (60 cc) TVS Super Champ (60 cc)

Conceptual Framework
Brand: A brand is the identity of a specific product, service, or business. A brand can take many forms, including a name, sign, symbol, color combination or slogan. The word brand began simply as a way to tell one person's cattle from another by means of a hot iron stamp. A legally protected brand name is called a trademark. The word brand has continued to evolve to encompass identity - it affects the personality of a product, company or service. Brand Value: Monetary premium that results from having customers who are committed to a particular brand and who are willing to pay extra for it; also, the financial value attributed to the brand, apart from other tangible assets. Develop Brand Value: How Can we Develop Brand Value? Marketing business is all about creating brand. It want to be sure, when we launch any market strategy, that we are making an effort to use the same logo and color scheme, the same key message and phrasings that let those who are looking at our marketing materials to know something about the business. And yet, it shouldn't be content to simply create a brand when we market our business; it should be focused on ways that will let into develop brand value. Factors that develop brand value: There are a number of different things that we can do to develop brand value, but here are a few to get you started: To develop brand value, it need to be sure that we are getting the word out about the products and services that we have to offer; To develop brand value, it is essential to identify the benefit that your customers find from using your products or services; To develop brand value, it is important to look at products and services, to look at current customers and to create a message that allows us to reach out to prospective customers as well; and, To develop brand value, it need to be sure that people out there can find your message.

Literature Review
Industrialization has brought vast changes in the Automobile Industry, because growth and development of any area requires appropriate transportation facilities. Automobile industry is one of the fastest growing sector in our country. The rapid growth of middle class section is the primary reason for the growth of two wheeler industry. People in rural and semi urban areas are trying to elevate their life style and people in metropolitan cities are completely disappointed with the public transport system. It arises needs of two wheelers. Gopalan Murali (2010) states that Bajaj Auto's new brand strategy in motorcycles paid off well with the company on course to recording its best year ever in terms of profitability and market share. Its market share, which was barely 17 per cent a year ago, has developd since to 35 per cent today. We have more than doubled our market share in a year and would be at our highest level by the end of this quarter, Mr. Rajiv Bajaj, Managing Director, told Business Line. The confidence stems from the fact that there are still three months to go for the recently launched Pulsar 135 to consolidate itself in the market and start clocking volumes. Bajaj Auto has targeted a monthly output of 100,000 Pulsars by end-March 2010 and believes the new 135cc will play a key role in achieving this goal. At present, the Pulsar 150, 180 and 220 versions together account for around 60,000 units each month. Two wheeler markets are full of hope and opportunities. The emerging Indian economy is wooing many firms to enter this foray to consolidate future prospect of the Industry. Two wheeler segments is a part of giant Indian automobile industry. This segment has seen 20% to 25% growth rate from the post 2000.India is having 35 crore middle class family which is target consumers of this segment. Connecting villages to the towns and state capitals adding the sales every year. Nearly 10 % of Indian population can afford the four wheeler. This statement itself reveals the future and present prospect of two wheeler segment.

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Rationale of the Study

The studies on two wheeler markets have been reported in literature. Many researchers found two wheeler markets are full of hope and opportunities. Two wheeler segments is a part of giant Indian automobile industry. This segment has seen 20% to 25% growth rate from the post 2000. India is having 35 crore middle class family which is target consumers of this segment. The project aims to find out the various factors developing brand value of two wheelers that makes possible purchase of a two wheelers. The objective of the study is to know consumers opinion of their two wheelers regarding its features like appearance, mileage, price etc, to analyze the impact of behavioural factors of consumers on choosing particular brand of motor.

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Objective of the Study

1. To measure the image of brands of two wheelers. 2. To investigate the impact of brand image and the attributes on brand preferences. 3. To find the factor developing brand value of two wheelers.

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Research Methodology
1. The Study The present study is based on descriptive type research which identifies factors affecting brand value development for two wheelers. 2. The Sample For the present study the sample is been taken of 100 respondents which includes students and employees. 3. The Tools Tools for Data Collection a) Primary Data:-

The Primary Data is collected through self-designed questionnaire and personnel Interview of customers. b) Secondary Data:-

For the collection of secondary data News Papers, Magazines, Articles, Research Journals, Internet, Books etc. are used. Tools for Data Analysis For the analysis of collected data pie chart and graphical representation are applied. .

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Data Analysis and interpretation

Q1 Do you own two wheeler?
Option YES NO Respondent 70 30

Respondents
YES NO

30%

70%

Interpretation - We can see in the chart that most correspondents have two wheeler and we can say two wheeler has become a need of the people.

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Q2 Which type of two wheeler do you own currently?

Geared motorbike Geared scooter Gearless

46 0 24

Respondents
Geared moterbike Geared scooter Gearless

34%

66% 0%

Interpretation In the modern era every people want speed and look due to this reason most correspondence choose geared motor bike.

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Q3 Average distance travelled by you in a month is around.

Average distance in a month 0-100 101-200 201-300 301-400 More than 400 I don't keep track

Respondents 16 31 24 11 11 6

Respondents
0-100 101-200 201-300 301-400 More than 400 I don't keep track

6% 11% 11%

16%

32% 24%

Interpretation It is observed in the chart that people are using only limited distance to travel.

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Q4 why do you not own a two wheeler?

Reason for not having two wheeler Financial Constraints Two wheelers do not meet requirement Do not know how to drive Satisfied with alternate mode of transportation Others

Respondents 15 2 3 15 6

Respondents
Financial Constraints Two wheelers do not meet requiremenr Do not know how to drive Satisfied with altennate mode of transportation Others 15% 36%

37% 7% 5%

Interpretation It is finding in the chart that most people do not own two wheeler because most People are satisfied with alternate mode of transportation and financial constraints

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Q5 Which kind of two wheeler would you buy in future?

Which kind two wheeler would you buy in future Motor Bike Scooter Electric Bike Can't Say I Don't want to buy one

Respondents 46 13 8 29 4

Respondents
Motor Bike Scooter Electric Bike 4% Can't Say I Don't want to buy one

29%

46%

8% 13%

Interpretation It is analyzed that most customers want to buy two wheeler.

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Q6. Which price bracket would your vehicle fall?

Price Bracket would your vehicle fall Respondents Less than 30,000 30,000-40,000 40,001-50,000 50,001-60,000 60,001-70,000 I don't know 4 19 37 23 10 6

Respondents
Less than 30,000 50,001-60,000 30,000-40,000 60,001-70,000 40,001-50,000 I don't know

6% 4% 10% 19%

23% 38%

Interpretation It is observed in the chart that 40001-50000 range facilitate good milage with better look so people are preferring this range to buy two wheeler

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Q7. What would be the engine capacity (cc) of your two wheeler?
What would be the engine capacity of your vehicle Less than 100 cc 100cc to 125 cc 126cc to 150 cc 151cc to 180 cc Above 180 cc I don't know Respondents 2 56 17 13 3 9

Respondents
Less than 100 cc 151cc to 180 cc 3% 13% 17% 56% 100cc to 125 cc Above 180 cc 2% 9% 126cc to 150 cc I don't know

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Q8 Rate while purchase of two wheeler.

Price Rating while purchase two wheeler 1 to 5(least to most) 1 2 3 4 5 Price 14 7 15 13 49

60 50 40 30 20 10 0 1 2 3 4 5 stage price

Interpretation It is analyzed that while purchase two wheeler customer dont sacrifice with the product.

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Looks and Shapes Rating while purchase two wheeler 1 to 5(least to most) 1 2 3 4 5 Looks and Shapes 18 8 22 18 34

40 35 30 25 20 15 10 5 0 1 2 3 4 5 stage looks&shape

Interpretation It is observed that looks and shapes is not as considered as price of two wheeler.

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Sound Sound Rating while purchase two wheeler 1 to 5(least to most) 1 2 3 4 5

45 40 35 30 25 20 15 10 5 0 1 2 3 4 5 stage sound

40 16 5 19 20

Interpretation It is observed that most people do not give important to the sound of the vehicle.

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Maintenance cost of vehicle Rating while purchase two wheeler 1 to 5(least to most) 1 2 3 4 5 Maintenance cost of vehicle 11 10 21 12 45

50 45 40 35 30 25 20 15 10 5 0 1 2 3 4 5 stage Maintenance cost

Interpretation It is observed that most of the importance given to maintenance cost while purchase

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Availability of self start Rating while purchase two wheeler 1 to 5(least to most) 1 2 3 4 5 Availability of self start 3 8 9 12 68

Rating while purchase two wheeler 1 to 5(least to most)

1 2 3 4 5

7% 33% 13% 20% 27%

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Weight Rating Weight 1 2 3 4 5 while purchase two wheeler 1 to 5(least to most) Weight 16 15 33 16 19

35 30 25 20 stage 15 10 5 0 1 2 3 4 5 weight

Interpretation It is observed that most people are neutral regarding weight while Purchase.

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Engine Capacity Rating while purchase two wheeler 1 to 5(least to most) Engine capacity 2 6 35 16 38

1 2 3 4 5

40 35 30 25 20 15 10 5 0 1 2 3 4 5 stage Engine capacity

Interpretation It is observed that engine capacity is both in medium and in high Level is considered.

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Resale Value Rating while purchase two wheeler 1 to 5(least to most) 1 2 3 4 5 Resale Value 13 9 36 22 18

40 35 30 25 20 15 10 5 0 1 2 3 4 5 stage Resale value

Interpretation It is analyzed that while purchase two wheeler customer want to buy that product Which can provide them good resale value?

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Quality Quality Rating while purchase two wheeler 1 to 5(least to most) 1 2 3 4 5 10 18 35 15 21

40 35 30 25 20 15 10 5 0 1 2 3 4 5 stage quality

Interpretation It is analyzed that customer want to premium quality product.

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Brand Image

Rating while purchase two wheeler 1 to 5(least to most) 1 2 3 4 5

Brand Image 6 8 15 26 41

45 40 35 30 25 20 15 10 5 0 1 2 3 4 5 stage Brand

Interpretation It is observed in the chart that brand value make great importance to the Customers.

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Q.9 How much experience do you have? Option No-work ex. Less than 12 months 12 months to 24 months More than 24 months Respondents 76 8 10 6

Respondants
No-work ex. Less than 12 months 12 months to 24 months More than 24 months 76 8 10 6

6% 10% 8%

76%

Interpretation - We can see that 76% respondents have no work experience because mostly my respondents were students and generally students have no work experience.

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Q.10 Annual family incomeOption Up to 200000 200001-400000 400001-600000 More than 600000 Respondents 30 45 20 5

Respondents
Upto 200000 200001-400000 400001-600000 More than 600000 45 20

5% 20% 30%

45%

Interpretation - We can say in the present scenario mostly respondents have minimum income is 200000400000 who can afford the two wheeler.

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Conclusion
The two wheeler industry today has been divided into various segments and people comprising these segments and the attributes available in the two wheeler. While doing so they go through different steps of decision making process and various roles associated with this process. The research methodology adopted in this study was descriptive in nature and design of the study utilized convenience sampling. The sample consisted of 100 respondents who were owners of two wheeler and some not having two wheeler. Data was collected on the basis of a nonstructured non disguised questionnaire. The questionnaire was personally administered. The inf. was analyzed by using simple statistical tools such as percentage etc. 1) Impact of friends became a dominant factor. 2) According to respondent the eight relatively important attributes consider while purchasing motorcycle, in order of important were: a) Price of the vehicle b) Good looks c) Mileage per liter d) Availability of self start e) Engine capacity f) Resale value g) After sales service h) Brand image In the conclusion it has found that to develop brand value of two wheeler it needs to consider above factor so that customer may attract to purchase. For developing brand value it also has to continuously compare the product and services with the competitors and find the weak area of the rivals for gaining competitive advantage. Customers are becoming more wise day by day and they are now willing to know all the in and out of the things happening around them. This has led to increased customer awareness. We can analyze that if brand does not provide same value as customer expected they cant delight and customer would be dissatisfied and brand cannot develop value.

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Limitations of the study

1. The survey is conducted on a sample size of just 100 people.
2. The study is confined to Indore, may not be relevant to others cities. 3. The paucity of time during which the study was carried out limited the scope of the research in the terms of number or variety of the respondents.

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References
1. http://www.twowheeler.com 2. http://www.economictimes.indiatimes.com 3. http://www.indianexpress.com 4. Ramaswamy V.S. & Namakumari S.N (2004) Marketing Management, 2nd Edition. 5. http://www.indiabike.com
6. http://www.mouthshut.com

7. http://www.wikipedia.com

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ANNEXTURE
QUESTIONNIRE Name: - Contact no . Age: 15-20 25-30 Occupation: Businessman Student 20-25 Above 30 Employee Other

1. Do you own a two wheeler? * If YES Please go to Q 2, else go to Q 4. YES NO

2. Which type of two wheeler do you own currently? Geared motorbike Geared scooter

Gearless (eg.Honda Activa,TVS Scooty etc.) 3. Average distance travelled by you in a month is around? Please go to question 6 0-100km 201-300 More than 400 101-200 301-400 I don't keep track

4. Why do you not own a two wheeler? (You can tick more than one) Financial constraints Two wheelers in the market do not meet my requirements Do not know how to drive/Afraid of driving

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I am satisfied with alternate mode of transportation like bus,rickshaws,etc Others 5. Which kind of two wheelers would you buy in future? (Please choose one option) Motor bike Electric bike I don't want to buy one 6. Which price bracket does/would your vehicle fall? * Less than Rs. 30,000 40,001-50,000 60,001-70,000 30,000-40,000 50,001-60,000 I don't know Scooter Cant's Say

7. What is/would be the engine capacity (CC) of your two wheeler? * Less than 100 cc 126cc to 150cc Above 180 cc 100cc to 125cc 151cc to 180cc I don't know

8. Kindly rate each of the following based on the importance you give while purchasing a two wheeler * (1=Least important to 5=Most important) 1 2 3 4 5 Price of Vehicle Looks and Shape (Design and Styling)

Mileage per liter Sound of the vehicle

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1 Maintenance cost of the vehicle Availability of Selfstart (or button start) Weight of the vehicle Engine capacity of the vehicle (cc of the vehicle) Resale value of the vehicle Quality of after sales services by the dealer

Brand image of the vehicle considered 9. How much work experience do you have? * No work-ex 12months to 24 months 10. Annual family income: * Upto Rs 2,00,000 Rs4,00,001 6,00,000 Rs. 2, 00,001 4, 00,000 More than Rs. 6,00,000 Less than 12 months More than 24 months

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