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Marketing Report of Hyundai Car

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Table of Contents
1. Introduction ..............................................................................................................................................3
2. Culture....................................................................................................................................................... 4
2.1 Hyundai Marketing Activities in India ................................................................................................. 4
2.2 Hyundai Marketing Activities in UK .................................................................................................... 4
2.3 Comparison between the marketing Campaigns in India and UK ....................................................12
2.4 Recommendations ............................................................................................................................ 13
3. Motivation and Values ............................................................................................................................ 14
3.1 Motivation for Buying Hyundai Cars in India ....................................................................................14
2 Motivations for Buying Hyundai Cars in UK................................................ Error! Bookmark not defined.
3.3 Comparison between the Motivation and Values of Consumers in India and UK ...........................17
3.4 Recommendations ............................................................................................................................ 18
4. Conclusion...............................................................................................................................................19
Bibliography ................................................................................................................................................ 20
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1. Introduction
Hyundai Motors in has been a trendsetter that comes with modern high tech style and design,
bright modern interior and best in segment features Hyundai Motor India Limited has been
adjudged the leading exporter of passenger cars and enjoys a market share of 48%. Some of the
most popular brands of Hyundai are Eon, Santro, i10, i20. Sonata, Accent, Verna and Santa Fe
(AUto Portal, 2014).Hyundai Motor Group believes in core values like promoting corporate
culture that is customer-driven, embraces every opportunity as a challenge, creates synergy by
spreading togetherness , respect the talents of people and global diversity of customs and
culture. That is why its vision of “Together for better future” fits to every country and culture
(Hyudai Motor Group, 2014). Hyundai Motors UK has the most modern plant in Europe in
Nosovice, Czech Republic. The power of new thinking makes Hyundai Motors the 5th largest
groups in the world in fifty years and has sold 4.05 million vehicles in 2011. IN UK Hyundai
offers an entire new line up of cars that includes both small cars as well as family cars like i20,
ix20, New generation i10, New generation i20, i30 3 door, i30 5 door, i30 tourer, i40 Tourer, i40
Saloon, ix35, i800 ,Santa Fe , and iLoad (Hyundai Motor UK, 2014).

Indian car industry is the largest growing industry and is the seventh largest car industry across
the globe, considering the rising demand for automobiles this report analyses the ideas adopted
for product development adopted by Hyundai Motors for the two different markets that is India
and the United Kingdom (UK). The products have been developed so as to meet the needs as
well as expectations of the consumers. Therefore this report will deeply analyse how Hyundai
Motor Company meets and fulfils the customers’ expectations by conducted varied marketing
activities in the two above mentioned countries and how they consider culture while designing
the marketing campaign in India and UK. Then further the report will evaluate how motivation
and values influence the marketing activities of Hyundai Motor Company in Indian and UK
markets.

A critical analysis has been conducted to find out the changes made by the company so as to
cater to the needs as well as expectations of the two nations cultures and fulfil their motivation
and attitudes. Finally recommendations are made related to culture and motivation and values
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suggesting Hyundai Motors, how they can improve their current marketing efforts in the two
countries.

2. Culture
Culture can be defined as the unique system comprising of shared beliefs, meaning and
perceptions that are held by people who belong to the similar group. Culture is one such quality
that trickles down the generations through the process of socialisation as it is this socialisation
that is supposed to cast an impact on how the people of a group perceive the world and the
manner they behave (Worthington and Britton, 2009).

2.1 Hyundai Marketing Activities in India

Hyundai Motor India picked Innocean Worldwide, the marketing agency to set in full motion
the whole cycle of communication for its Eon Model. The main aim of the marketing is to
highlight the prospects of Indian automobile market’s fast growing and most happening segment
that are the entry level compact cars. (Chauhan, 2012)

A child is shown sleeping and gets scared His father consoles him
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Child asks about his mother father plays with the kid and his toys and
child again asks about his mother

Child again asks when his mother will come all through the Day when father cooks food

While going out for outing also the child makes a paper boat for his mom
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Kid writes a message “comes soon mama” then a Hyundai car is shown

Father takes the child along in the car to his mom

In the morning when child wakes up he finds his mother and the kids becomes happy
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Thus the Hyundai Ad for Indian markets shows typical Indian backgrounds and as kids are very
attached to their mothers, the ad shows that the child in the ad misses his mother a lot. He keeps
on asking when his mother will come back. The father says that she has gone for a project and
will be back soon and when both father and son go for outing the son makes a paper boat and
sends a message to his mother to come back soon. Father thinks of an idea and takes the son in
his Hyundai car to his mom and next day in the morning when the child wakes up he sees his
mother on his bedside. The ad clearly shows the love and bonding that Indian families share and
the backdrop and the games they play and the food they eat is connected with Indian culture.

2.2 Marketing Activities in UK

In order to represent variety and dynamism of the range of Hyundai cars in UK and to cater to
the needs of the UK audience they created a new story. Through the new story they wanted to
bridge the perception gap created and show a much more honest face of the Hyundai cars to the
buyers in UK. Thus they started off by rethinking the photography of Hyundai cars form the D-
segment, the i40. So they placed the car in simple and easy environment and did minimal amount
of retouching of the pictures, to present more honest visuals.
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The images created for Hyundai 140 Brochure for UK buyers

Hyundai manufactures cars for wide demographic customers, therefore the shoot was very
carefully tailored and the shooting locations along with the writing the story line for the brochure
and ads depends upon the target audience of each and every model launched in UK. For example
the brochure for the latest New Generation i10 car was being billed as “the perfect city car” and
the whole commercial showed maximum locations from the city of UK (Big Group, 2014).

The TV commercial made for UK by Hyundai shows the man getting up in the morning and the
settings are a typical UK style condo. The man hears on radio that it will be a bright sunny day
today. Sonic in UK most of the year it is cold weather, people love sun and sunny days. So the
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man gets up and goes to the college, gives lecture and sunshine falls on his face. Then after the
lecture he travels top open grasslands and soaks some sun. In the end the TV ad shows that
actually the man was watching a painting in the art gallery with green pasture and grasslands and
was imagining a sunny day when he will go for drive. Thus through the TV commercial Hyundai
wants to signify that they make every drive brilliant. It believes that this is where your
inspirations set your free. Hyundai promotes the tagline “live brilliant” through this ad in UK.

There is recent ad of Hyundai of FIFA world Cup Brazil, 2014 that can be seen from the link
mentioned below called “Pin my Fan Park” featuring Casillas and Kaka:
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Hyundai has had a long association with FIFA since 1999 and it is going to be a long term
automotive partner of FIFA until 2022. Hyundai supports will support all the FIFA competitions
that include the coming FIFA world cups, U-20 world cup, Confederation Cups, U-17 world cup
and Women’s world cup (Hyundai Motor Company, 2014). The reason being it sees sponsoring
football as the core element of the marketing strategy in UK as it helps in connecting with the
football lovers in UK and global consumers. This developed a bond between Hyundai brand and
global customers through supporting sports culture, football being favourite sport of UK.
Football sponsorship helps Hyundai to establish itself as the most extensive and impressive
brand in automobile sector as the TV Ad delivers the fun and excitement of the most popular
game of the planet to all its football fans in UK. Other marketing activities adopted by Hyundai
in European market are building Hyundai Fan Park, sponsored Fan of the Match award during
FIFA, Sponsors Hyundai Best Young Player Award, created Hyundai Goodwill Ball (Hyundai
Motor Company, 2014).
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2.3 Comparison between the marketing Campaigns in India and UK

From the above marketing campaigns it is evident that there is difference in consumer behaviour
in the two countries. Hofstede has developed the five cultural dimensions that include power
distance, uncertainty avoidance, masculinity vs. femininity, individualism vs. Collectivism and
time orientation (Geert 1980). Therefore Hofstede’s theory has been used for analysing the two
TV advertisements in India and Japan. The five cultural dimensions of India and UK can be
seen from the table shown below:

Country Power Individualism Masculinity Uncertainty Indulgence

Distance Avoidance Pragmatism
India 77 48 56 40 51 26
UK 35 89 66 35 51 69

India has high power distance score thus indicating prevalent hierarchy and top-down structure
in organisations as well as society. The real power is supposed to be centralised in case of Indian
society and control is familiar feature in the form of psychological security. The Indian society
with an intermediate score of 48 shows both collectivistic and individualistic traits that are
clearly visible from the TV ad. Collectivistic means the high preference to be a part of large
social framework and the child and father enjoying the outing together in the ad depicts the
collectivistic aspect of Indian culture and the individualistic aspect is shown in the ad through the
father taking care of the child all alone in the ad. In UK individualism is higher and Football is
worshipped as religion in every nook and corner of UK therefore Hyundai has chosen to focus
and sponsor most of its marketing activities around football. The Indian society is masculine but
lesser masculine as compared to UK society. Therefore people in UK prefer more visual display
of success as well as power in UK as compared to the people in India. Both the countries believe
in flashy attitude and ostentation, while showing off their success and designer brand labels.

In case of uncertainty avoidance Indian culture has medium to low preference for avoiding it
and they are ready to accept imperfection and Indian society being driven by traditions is very
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patient country and with a score of 35 UK society also has great tolerance for unexpected.
Nothing is impossible in case of Indian society. Both Indian and UK society is considered to be
pragmatic by nature preferring some links with the past while dealing with certain challenges of
represent and future. UK with a score of 69 for indulgence and there is relatively weaker control
or “indulgence” within the society and the people in UK culture are more optimistic and logical
by nature. People in UK put more time to leisure and also control, the gratification of their
desires and indulgence according to them is norm of society (The Hofstede Centre, 2014).

2.4 Recommendations
Considering the above analysis it is evident that the ad launched by Hyundai in UK is very long
1 minute 42 seconds, so it should be shortened a bit because UK has lower context culture and
they believe the fact that time is equivalent to money and just the main details should be included
to inform the customer about the product like what is the product, what the product does and how
it adds to their lifestyle and enhances their style and power. As mentioned by Hooker (2008) in
low-context culture the messages need to be to the point and direct, just delivering the precise
and concise information (Hooker, 2008). This will be profitable for Hyundai as the shorter ad
will save their advertising cost on TV airtime, saving them from spending huge amount of
money on expensive ads, moreover television ads although reach a large target groups in general
for example children, women, youngsters, but it does not reach the specifically targeted interest
groups as desired by Hyundai (Fill, 2011).

Since UK culture shows high level of pragmatism and wants to connect with their past and
traditions , in the UK ad Hyundai can concentrate and add on their age old and very famous sport
of Tennis , as UK is very well known for hosting the Wimbledon Grand Slam title and there
have been many great players it has produced . In the same context it can also focus on relating
the sportsman spirit by linking the ad with another popular sport in UK that is cricket and the
cricketers can play the role model. Cricket has been connected with the UK’s past for time
immemorial and a very famous sport that is connected with the Great Britain’s culture; in fact the
credit for introducing this popular sport to Indian turf goes to the Britishers only.

In case of Indian Hyundai ad it is also pretty long with a time span of 2:04 minutes; it should also
be shortened for the same reason mentioned above. Rather to make the ad more collectivistic and
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more concede with Indian culture a whole Indian family could have been shown in the ad , where
amongst the
he daily routine they could have shown performing pooja in the morning when the
child could have missed his mother.
mother In case of Indian advertisement the advertisement if too long
and it is predicted that the consumers might run out of patience to watch the whole
advertisement. As researched by market reserachers76.6% of the consumers finish watching TV
advertisement in 15 seconds, while 54.8% are there
there who would like to watch the whole 30
seconds advertisement and Indian Hyundai ad is 2 minutes and 4 seconds , so the consumer
might get bored . Moreover they should include more activities in the advertisement that are
related to Indian culture like may be celebration of some Indian festival like Diwali or Holi etc.

3. Motivation and Values

The buying behaviour of consumers has always been linked with their motivations for every
product be it grocery or a car (Hill, 2013).
2013) Therefore understanding the attitude of the consumers
that strongly impacts their buying behaviour is very important of the marketers. Therefore this
section of the report examines how the motivation and values influence the buying behaviour of
the consumers while buying Hyundai cars in India.

3.1 Products Offered by Hyundai Motors in India

The cars that are offered by Hyundai Motors India are Santro Xing, Eon, i10, Grand i10, Xcent,
Elite i20, Fluidic Verna, Neo Fluidic Elantra, New Sonata, New Santa Fe. Hyundai Eon is style
meeting design with excellent fuel mileage of 21.1 kmpl and has intelligent designs with roomy
interiors. Hyundai Santro Xing offers incredible roomy interiors, easy drive power steering and
are most dependable compact family car.
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Hyundai Eon Santro Xing

I10 is the simply irresistible Hyundai creation with superior fuel efficiency, stylish interior as
well as exterior and compact design.
design Grand i10 has been voted as Indian car of the Year 2014
with its world-class, sporty and aerodynamic looks.

i10 Grand i10

Xcent is projected as the real family sedan with modern, sporty and progressive interiors, stylish
and classy looks and 2nd Gen U2 Crdi engine. The Elite i20 spread the feeling of uncompromised
living as they feel that compromises are for weak people, it is stylish and very spacious car.

Hyundai Xcent Elite 120

Fluidic Elantra boasts elegance and refined style with more

re choices and more space offered and
the styling is sleek yet sophisticated. Fluidic Verna shows cutting edge meeting with fluid
philosophy in its sculpture like design.
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Fluidic Verna Fluidic Elantra

India is the second most populated nation and has higher growth rate of the economy as
compared to the other developing nations, this definitely attracts huge demand in the Small car
Automobile industry and India is the most emerging market for auto sector. For the Indian
buyers buying a car is the second most important as well as expensive decision after buying a
house. The main motivations for buying a car in India are found to be Safety, seating driving
comfort along with brand name (Srivastava and Tiwari, 2012). In the economy segment of
MUVs and SUVs some of the motivational factors that influence the buying decision in India are
product reliability, trendy appeal, trustworthiness, customer’s feeling or association with the
particular brand, monetary factor and the frequency of non-price promotions offered (Raj,
Sasikumar and Sriram, 2013). Sometimes the customer’s perception also gets influenced by the
country from which the product is coming from as country of origin acts extrinsic cues in some
cases and country of origin has huge impact on the process of purchase intention (Rezvani,
Dehkordi and Rahman, 2012). It is imperative for the manufacturers to find out the tastes,
preferences, needs and wants of consumers while designing the product. In case of cars fuel
economy, driving comfort is the biggest motivational factor in Indian followed by availability of
spares and the car price (Vidyavathi, 2012). In the luxury car segment in India that is goring at
the rate of 25 percent per annum numerous luxury cars are entering the Indian market and
preferred mostly by High Net-worth Individuals (HNI). The main motive of the HNI individuals
for buying these cars is to differentiate themselves from the rest of the crowd and the changing
attitude of the customers in India has lead to rapid growth of luxury car market in India. The
emphasis oar the focus has been shifted from affordability and price consideration towards
design, quality and pleasure (Verma and Rathore, 2013).
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According to the leading research firm TNS it is the emotive needs for example potency, status
as well as prestige are the ones that motivate and govern the attitude of the car buyers in India. It
has been found that while prestige along with potency related needs are the main motivators for
the entry level luxury brands buyers; these needs are found to be present across all the car
segments.

3.3 Motivation and Values of Consumers According to Maslow’s’ Hierarchy

According to Maslow’s Need Hierarchy Theory there are mainly five need categories that are:
physiological needs, safety and security needs, belonging and love needs, esteem and ego needs
and the self actualization needs (Maslow, 1954). As per this theory first the basic or
physiological needs should be satisfied. Hyundai cars in India first fulfil the safety and security
needs. Moreover in the Indian markets the consumers are very much brand loyal, since Indian
consumer gets motivated by commuting safely to work as well as fulfilling the general needs of
the family. Moreover Indian consumers enjoy short drives. The Indian buyers are more of status
buyers, who want to show-off their success and attract greater amount of attention. The current
ad of Hyundai India focuses on “life is brilliant” and strengthens the caring as well as emotional
connect with the typical Indian consumers.
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3.4 Recommendations

What Hyundai should do in Indian markets is that it should try and tap the Prestige buyers and
adventure buyers and since they are least price sensitive and want futuristic cars with best in
class features so the cars should be designed in such manner as pricing is not the issue. To fulfil
the adventure seeking attitude of buyers Hyundai can venture into SUV segment and make cars
for Indian markets. For Indian roads Hyundai already makes economical cars that symbolise
their status, attract attention and are good in fuel economy as well. All the product features of
Hyundai cars are already attractive, what it can do is that to target the adventure seekers of
Indian community it can do extensive R&D and come up with new SUV models to attract this
new segment with competitive pricing. Right now in Indian markets it just targets the small car
segment or the premium car segment and has not ventured into the SUV.
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4. Conclusion

Thus it can be seen from the above study that both UK and Indian car markets are different from
each other and both get impacted by culture as well as motivation and attitude of the consumer
sin the market. The two different TV advertisements for Indian television and UK television
show the cultural impact on the marketing activities and accordingly it is suggested that the TV
ads should be shortened in length and other sports can also be concentrated upon. In the same
way the motivation and attitude for purchasing Hyundai car in India are mainly best product,
safety and pricing, based upon their motivations the Hyundai Motor Company needs to focus
upon making products and marketing them accordingly to gain success in Indian markets. The
Indian ads should be turned much more emotive and focus on the traditional and collectivistic
aspects of Indian society.
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