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problem1) What do you understand by Product? What are its components? Discuss with reference to mobile phones or watches or Mutual funds.

problem2) Product distribution logistical plays a pivotal role in value delivery. describe in light with grocery retailing.

problem3)(a) Describe the 3 pricing methods in detail.

(b) Do innovation in pricing like sachet, EMI, Usage Based Pricing help in creating value. Comment with suitable exs.                                 

problem4) prepare brief notes on relevance, reach, and effectiveness on use of following advertising service providers.

(a) Youtube

(b) Facebook

(c) In store TV

(d) FM advertising                                                    


Case Study

It has been more than 50 years now that bikes have been ruling Indian automobile sector. In 1955, the Indian government needed sturdy and reliable motorcycles for its Army and police to patrol rugged border highways.

First batch of 350cc Bullet - the Superbike in India of all times, from Royal Enfield Company of UK were received and assembled at Chennai. As then, bikes in India have flourished as the two wheelers segment, and Indian bikes gaining on popularity all across the world.

India is the manufacturer of some of the best bikes in the world. Hero Honda, Kinetic Motor, TVS Motor, LML India are some of iconic bike manufacturers in India. There are cheap motorcycles which comprise commuter bike segment, as well luxury bikes like sports bike in India for new age bikers. Ever year, the series of latest bike launch keep the sector buzzing. Kawasaki Ninja, Bajaj Pulsar 135 LS, and Honda Unicorn Dazzler are some of the latest motorcycle models which have made news in the recent past.

They are the main reason for the growth of motorbikes in India as a segment. Indian bikes market share is about 81.5% of the total two wheeler market in India. Three-fourth of the total exports in two wheeler automobile industry are made in the motorcycle segment. Exports are made mainly to South East Asian and SAARC nations.

TVS Motors recently unveiled the new television campaign for launch of brand new 125cc motorbike TVS Phoenix, a segment in which company has been absent so far. TVS Phoenix 125cc motorcycle is priced at Rs.53,000 (ex-showroom ). TVS was  completely absent in the Rs.50,000 to Rs.60,000 motorcycles, which is the large segment (in the motorcycle industry). The Phoenix feels well built, with good overall quality, attention to detail and nice fit and finish. It is powered by the new, 124.5cc, single-cylinder, air-cooled and four-stroke engine TVS has christened ‘Ecothrust’. New engine uses the CV carburetor as is not yet common in this segment, and deploys a paper type air-filter element. Its Moly-coated piston deploys chrome-plated rings, and reciprocates within an aluminium alloy cylinder.

Phoenix is a commuter motorcycle with safely conservative, however attractive styling. This new TVS uses well-designed, six-spoke alloy wheels, while its engine, exhaust system and some other parts sport an all-black look. There’s the broad fairing, which houses the headlight and integrated LED pilot lamps.

The new ad campaign features the smart, young rider riding TVS Phoenix followed by a bunch of riders on other bikes, attracting attention from onlookers along the way. The song ‘I am not no ordinary man’ plays in backdrop throughout the film, as the rider navigates his way through the city ahead of the pack.

“The thought process behind this particular campaign (main film and two follow up films) was to bring alive ‘power distance’ between premium phoenix 125 bikes and the other ordinary bikes... This particular bike is so feature rich with it’s never before features (in bikes) that it clearly sets it apart from rest. The two follow up films demonstrate the benefits of unique series spring suspension and hazard lamps. The brief was to simply reposition the existing 125cc bikes as ordinary in front of the Phoenix 125 and create a power distance between phoenix 125 and other bikes in the market. The agency churned out at least 50 scripts before they settled for ‘I ain't no ordinary man’.

According to general manager, marketing, Motorcycle Group, TVS Motor Company, “The aim of the campaign was to position our product as being more than just an ordinary 125cc bike. The rationale was to bring out style, first of its kind features and outstanding refinement of the engine. Hence the campaign thought of ‘India’s first Premium 125cc bike’ came very organically from the product itself.”

TVS wanted to bring same rigour and detailing in the whole brand building process, starting from early stage of understanding consumer needs, to going through every single detail on the pre-production meeting going all the way to the shoot.  The campaign came with its set of challenges “The challenge was to actually decide what features/benefits we wanted to communicate, as clearly, the bike had too much to talk about. The briefing process therefore was a collaborative exercise of mining insights that were relevant and sharp.”

problem5) Case problems:

a) Positioning could not be an afterthought, It commences right at the strategic planning stage. Comment with reference to TVS ad.

b) Consumer perception plays a major role in success of the product. Suggest how the new ad campaign would help in building or changing perception.

c)  Suggest two options to communicate value to consumers for the new TVS bike.

Marketing Management, Management Studies

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