Assignment on

Hero Honda motors limited

Submitted To:- Submitted By:-

Dr.Anil kumar.M M. Ashok Kumar
TPS-A-19010
THE FIELD OF MARKETING
Definition: ‘marketing is an organizational function and a set of processes for creating,
communicating and delivering value to customers and for managing customer relationships in
ways that benefit the organization and its stakeholders.’
Peter Drucker states the aim of marketing is to know and understand the customer so well that
the product or service fits him and sells itself.

Goods: these are the physical goods that most companies put their marketing efforts towards.
Services: it is becoming more and more common for companies to include services into their
company.

Their objective of hero Honda is become a mass product and still retain its leading edge
technology. Regularly they try for product innovation. Hero Honda concentrates both on high
end consumers and middle class consumers. Hero Honda spent a good amount of their revenue
on R&D.

Hero Honda became the first company in India to prove that it was possible to drive a vehicle
without polluting the roads. The company introduced new generation motorcycles that set
industry benchmarks for fuel thrift and low emission. A legendary 'Fill it - Shut it - Forget it'
campaign captured the imagination of commuters across India, and Hero Honda sold millions of
bikes purely on the commitment of increased mileage Hero Honda serves their products in
Indian markets.
THE DYNAMIC MARKETING ENVIRONMENT:

Throughout human civilization, the art of selling ideas or products has been a cornerstone of
society. Some people have become masters at this art, yielding themselves and their companies
large amounts of profit. Why is it that some people are better at this than others? This paper will
take a look at the various aspects of nonverbal communication in selling (or influencing others
to buy) and in job interviews by examining in detail the various aspects of proximics, haptics,
physical attractiveness, and other nonverbal cues that influence people to say yes.

ARTIFACTS AND LOCAL ENVIRONMENT

  Several studies have presented evidence in support of the theory that "dressing for success"
affects one's ability to influence other people. One study found that people dressed in suits versus
people dressed in casual or working-class clothes actually affects a subject's likelihood of
answering a question correctly. In this study, a person dressed in a suit had a 77% percent
chance of getting money returned to them, while those dressed casually or in working outfits had
a 38% chance (Bickman, 1971). This study suggests that a person's status affects how well they
are received by the person they are trying to influence, and thus their likelihood of being able to
influence them into buying an idea or product.
       Seating arrangements can affect ones ability to influence others.

GLOBAL MARKETS AND MARKETING:

Two opposite viewpoints for developing global marketing strategy are commonly expounded.
According to one school of thought, marketing is an inherently local problem. Due to cultural
and other differences among countries, marketing programs should be tailor-made for each
country. The opposing view treats marketing as know-how that can be transferred from country
to country..

Localized Strategy The proponents of localized marketing strategies support their viewpoint
based on four differences across countries:(a) buyer behavior characteristics, (b) socioeconomic
condition, (c) marketing infrastructure, and (d) competitive environment. A review of the
marketing literature shows how companies often experience difficulties in foreign markets
because they did not fully understand differences in buyer behavior. For example, Campbell's

Global factor: world economics have give rise to increasing level of opportunities as well as
competition, merger and acquisitions of firms by competitors have also impacted the market.

Example: Hero and Honda got merge to form a new company called Hero Honda till date it is a
leading Bike manufacturer.
CONSUMER MARKETS AND BUYING BEHAVIOR:

A. Consumer behavior comprises all the consumer decisions and activities connected with
choosing, buying, using, and disposing of goods and services.
1. Marketers have to pay attention to consumer behavior that occurs before the purchase
and continues after the product has been used.
2. Studying consumer behavior is one of the steps in marketing research and analysis.
3. In addition to basic principles of consumer behavior, marketers also need to study the
decisions and actions of real people.

B. Real People, Real Individuals

1. Until recently, the study of consumer behavior was focused on generalized consumer
decisions.
a. However, this did not address the behavior of individual consumers.
b. These companies were making marketing decisions without knowing specific details
about their customers.

2. Today marketers can collect and analyze data about consumer behavior, one person at a
time; this is the relationship approach to marketing.

BUSINESS MARKETS AND BUYING BEHAVIOR:

Four basic categories define the business market:

1. The commercial market

2. Trade industries
3. Government organizations
4. Institutions
Commercial markets include individuals and firms that acquire goods and services to support,
directly or indirectly, production of other goods and services.
Example:
When Lufthansa buys aircraft built by the European consortium Airbus Industry, when Sara Lee
purchases wheat to mill into flour for an ingredient in its cakes.

Trade industries include retailers or whole sellers that purchase products for resale to others.
Example: retail meat markets may carry out bulk purchases of sides of beef and then cut
individual pieces for their customers.

Institutions include a wide range of organizations, such as hospitals, churches, nursing homes,
colleges and universities, museums and not-for-profit organizations.
Example: state universities.
Government organizations include domestic units of government- federal, state, and local as
well as foreign governments.
Example: national defense or pollution control.

the characteristics of the commercial market Show how each characteristic affects the
marketing strategies of firms serving that market.

The commercial market is the largest segment of the business market. It includes all individuals
and firms that acquire goods and services to supports directly or indirectly, production of other
goods and services.

MARKETING SEGMENTATION:
Market segmentation is the fundamental component of a market-based strategy. A market
segment is a specific group of customers with distinctive customer needs, purchase behavior and
different descriptive characteristics. (Best, 2000) By categorizing markets into sub sectors,
targeting marketing effort in such a way as to meet the technical and other requirements of each
of these, organizations may be able to secure greater competitive position than if they attempted
to satisfy the general requirements of the market as a whole.

There are four criteria that have to be satisfied in order for market segmentation to be effective.
A market segment should be identifiable, substantial, accessible and stable. Identifiable, at
which there should be observable indicators that enable the segment to be defined and
quantified. Substantial, meaning that the segment should be of enough size to make the effort
involved in segmentation worthwhile. Accessible, that is, it should be probable to target
specifically the segment using existing communication and distribution channels. Stable, so that
a...

The Role of Product Positioning in Consumer Buying Decision Process Segmenting, Targeting,
Positioning (STP) is the process which marketers employ to select target markets. Segmentation
is the process of ordering consumers into groups with similar product interests or needs.
Targeting involves a company determining which market segments it believes it can satisfy, and
then choosing an appropriate targeting strategy for the segments. Positioning is how consumers
perceive a brand or product, particularly in relation to other brands and products.

The relation between target segments and product positioning is dependent on the age of the
company. For a new company, they have the opportunity to decide what perceptions that want
the public to have about the company as they are yet to have a position. Therefore they can
choose the target market.

MARKET RESEARCH:
Researching involves investigating a subject in order to find out about it. Market research takes
forms
QUANTITATIVE - finding out numerical information. Or information that is definite and precise
- based on facts rather than opinions or choices.

THE IMPORTANCE OF MARKETING:

The increase in appointing a Chief Marketing Officer (CMO) shows the importance of marketing
for many companies. They are on the same management level as Executive Officers and Chief
Financial Officers. Jack Welch, General Electrics former CEO, stated ‘Change or die’ when it
comes to surviving in business.

Example: Hero Honda should knew his strengths (i.e quality and reliable product), weaknesses,
and threats (i.e competitors like TVS, SUZUKI BAJAJ etc)

PRODUCT DEVELOPMENT
Technology is a key resource of profound importance for corporate profitability and
growth. It also has enormous significance for the well-being of national economies as well as
international competitiveness. Effective management of technology links engineering, science,
and management disciplines to address the issues involved in the planning, development, and
implementation of technological capabilities to shape and accomplish the strategic and
operational objectives of an organization.
The use of technology is an important factor in the process of a company's product development.
Product development is the set of activities beginning with the perception of a market
opportunity and ending in the production, sale and delivery of a product. It is often used in
engineered, discrete, physical products such as television sets and automobiles. Product
development is divided into four stages:

THE MARKETING MIX

- Marketing is the way in which a business promotes its products or service.

- Marketing is not solely selling the product; it is concerned with identifying customers and
satisfying their needs/wants at a profit.

- Businesses have to sell what they produce/serve. To do this, marketing decisions must be made,
which involve:

PRODUCT - what products will be sold.

PRICE - what price those products will be sold at.

PLACE - where the best place to sell the product/service will be.

PROMOTION - how the customers will get to know about the product.

The above are known as the Marketing Mix.

SOME OF THE PRODUCTS OF HERO HONDA

 Hero Honda CD Deluxe

 Hero Honda CD Deluxe (Self Start)
 Hero Honda Splendor

 Hero Honda Splendor+ (Limited Edition)

 Hero Honda Super Splendor
 Hero Honda CD Dawn
 Hero Honda Joy
 Hero Honda Street
 Hero Honda CBZ
 Hero Honda Passion

 Hero Honda Karizma

 Hero Honda Hunk

 Hero Honda Glamour

 Hero Honda Glamour F1
PACKAGING FOR THE NEW PRODUCT:

Packaging is vital, as goods need to be transported to the consumer in a safe, hygienic and
protected condition. For instance putting tin foil round a kitkat, nestle product, keeps the bar
fresh and prevents deterioration, instant coffee tends to be sold in jars to prevent spillage and
because glass is a strong material, Nescafe Espresso roast is sold with ‘click lock closure’,
which makes the jar easy to open. Additional packaging may be needed to assist retailers store
the
products easily and safety on the shelves. Packaging is essential to inform the customer about
the contents, ingredients, weight, care instructions, etc. Some of which are legal requirements.
Good packaging is an important part of the product.

The basic function of packaging has always been to protect and contain a product. In a
competitive market, branding and packaging are important and have become an integral part of
the product. We instantly recognize products by the size, shape and color of packaging.
Packaging may be used by the manufactures to promote the goods, as the color, design or
lettering may make the product more attractive and noticeable to certain consumer on the shelf.
Packaging
is not just a safety attribute, different features are added to packaging to attract different
segments, for example a

Children’s crisp might have colorful cartoons, entries to competitions or even a mini game on
back of the packet. These types of product...

BRANDING:
Branding is defined as a name, term, sign, symbol, design, or a combination to recognize the
goods and service of one seller and make them different from others. Branding is a quick way for
your company to say what it is and what it has to offer. Branding is your company's face to the
world. It produces a consistent identity that ties together everything you do within your
company.
Naming our company is one of the most important decisions you will make. The name is the first
impression of your company. It could have an impact on possible customers and investors.
Choosing a company name takes time and consideration.
The logo of our business is very important to consider. The goal is for your customers to
remember you and what you do over the rest of the competition. Customers are more Primary
Research is essential.

PRICE DETERMINATION:
Price of a product should be matched to customer’s expectations and consumers can be able to
afford the price. Hero Honda products are priced in this range only. Prices are fixed according
to the value of a product.

PRICING STRATEGIES:
Hero Honda has heavy competition from other brands so Hero Honda has to concentrate on
their pricing strategy to get the market share. Hero Honda priced their products as medium and
low priced products. Because of this they can penetrate into the market easily.

CHANNELS OF DISTRIBUTION:
Hero Honda uses direct distribution channel and indirect distribution channel. Direct
distribution means company has its own retail outlets and company’s servicing centers. Indirect
distribution means giving dealership to others. By doing like this the consumer can find the
product in the market easily. And company provides facility to order the products online.

Example: Hero Honda has authorized dealers who are responsible for maximizing the sales and
profit.

RETAILING:
Hero Honda concentrating on multiple target markets. so its products has to be available in all
showrooms to reach the demand of consumers.

WHOLESALING AND PHYSICAL DISTRIBUTION:

Hero Honda has large number of whole sellers and suppliers. It has own warehouses and by
transportation the products are delivered to the whole sellers and suppliers.
INTEGRATED MARKETING COMMUNICATION:
Hero Honda promotes its products by advertising, sales promotions, by giving offers on product
sales, public relations. Company uses the push strategy to sell its products. But in some cases
because of its regular innovation in technology it also enjoys the advantage of pull strategy.

PERSONAL SELLING AND SALES MANAGEMENT:

Personal selling means through salesman and this is used to sell the products to business users
or to sell in bulk also. Company uses inside selling and outside selling to sell the product.
Because it is a technical product and the unit cost of the product is high so personal selling is
highly required.

ADVERTISING, SALES PROMOTION AND PUBLIC RELATIONS:

For every product advertising is more important to establish itself in the market. Hero Honda
build its brand with a tagline “FILL IT. SHUT IT. FORGET IT ”. The ad campaign should be
attractive and it should make an impact on consumers to create an image about the product.
Company has to maintain its relations with the consumers to increase the sales of the company.
The ad should target the target markets and it should exhibit the advantages of the product.
Example: Hero Honda has ability to increase demand for the product which in turn, leads to increase in
production.

STRATEGIC MARKETING PLANNING:

Company has to follow some strategic planning to increase their market share by diversification
of products. Already Hero Honda has diversified its products by entering into different areas
like new models of bikes. Hero Honda is doing business in many geographic areas. So market
planning should be according to that area culture and tradition. According to product matrix if
existing market and existing product is there then company has to do market penetration. Hero
Honda is in this stage so for market penetration it has to improve the existing product
technology.

HERO HONDA’S MISSION 

Hero Honda’s mission is to strive for synergy between technology, systems and human
resources, to produce products and services that meet the quality, performance and price
aspirations of its customers. At the same time maintain the highest standards of ethics and social
responsibilities.
This mission is what drives Hero Honda to new heights in excellence and helps the organization
forge a unique and mutually beneficial relationship with all its stake holders.

 
MARKETING IMPLEMENTATION AND EVALUATION:
Hero Honda is following geographic market specialization. That is in every place Hero Honda
is divided and maintained. After sale if there is any problem with the product then company will
provide servicing to the product. And company has to accept the complaints and suggestions
from the consumers.

MARKETING AND THE INFORMATION ECONOMY:

Information in marketing is essential because of some reasons like better products, better
distribution. Better prices, better implementation. Marketing information system generates a lot
of information within their organization as well as collects information from outside,
information may be qualitative or quantitative in nature, seller’s behavior also gives out pieces
of information. Company has to use this information to compete with other competitors, because
of internet now it is easy to collect information regarding company’s products. This is called
electronic information transfer. Internet is also used to do advertise the product.

THE END
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