Ask Marketing Management Expert

What makes Santro click? "The consumer", says Subbu (Director marketing and soles, Hyundai) He believes that the way to a consumer's mind is thought his heart so all product launches from Hyundai will happen during Navratri and one of Santro's ad campaigns says Dhanyavad' instead of 'Thanks'. "When you speak to the consumer in his own language, it comes from the heart," he says.

So what was once dismissed as an ugly car without too many takers in the Indian car market is clearly giving Maruti a run for its money. It had a tough task of weaning consumers away from hot favorite Zen. Santro has over the past year proved that not only listening to consumers but also getting the right message across to consumers about your product helps. Says Subbu, "When we started looking at the budget car segment, it was obvious to us that consumers were making compromises while 'choosing' cars. After an apartment, buying a car is the single largest item for most Indians and unlike Europe, where a small car is a second car for the lady of the house most Indians use it as a budget family car. So, space and performance are high on their agenda.

When Hyundai dissected comments from consumers, it came up with a list of attributes, which went into the design of the car. For instance, the approach to styling and design has been that of a mini MPV (multi-purpose vehicle) subbu admits that Indians are conservative about design and took time to get used to the santro's look, "What was more important was to focus on performance, which meant a certain 'driveability' We found that most people hate changing gears, so we looked at offering low RPM (revolutions per minute) at high torque and engineered the engine to meet these needs."

Air-conditioning was another area where there was a Zen benchmark. "Indians like powerful ACs and the 5antro's AC is 40 per cent more powerful than Zen's," says Subbu. The idea was to listen to customers' requirements while making a car. The positioning was that of technology and performance leader in its category - offered at an appropriate value.

Just the technology is not enough, without translation into benefits and realities of the environment. For instance, the Sontro's first service requirement comes after the car has done 3,000 kms. Subbu says it could have been taken upto 10,000 kms. But customer feedback showed that people would feel safer if the car is serviced more frequently. With good fuel quality this could have been token upto 20,000 kms.

The next step was to convince consumers and provide reassurance. Today Hyundai boasts of a service network that is slightly behind Maruti's, in the next few months it is looking at Hyundai workshops on an average of 5 kms. Spore parts' warehouses are located so that they can be accessed within 24 hours. And prices have been deliberately kept lower than Zen's. Says Subbu, "We ensure that prices are reflective of what consumers thought was value. Profit was not the objective. Also the level of indigenisation is high, so it puiled off."

This was the first phase of Santro's strategy, where it concentrated on creating the right product, interfaces and ensuring that the ring of assurance is created. Hyundai's next phase will concentrate on technology again, but this time the technology will be related to safety standards. Says Subbu, "Earlier the consumer was concerned with performance related technology After the issue on emission norms, people are getting conscious about the safety aspect of the car they drive." There are various aspects like the frontal collision and braking standards which are now becoming very important. Santro has plans to go to town with its safety campaigns. Next Hyundai will strike out on price front. 

Marketing Management, Management Studies

  • Category:- Marketing Management
  • Reference No.:- M9504654

Have any Question?


Related Questions in Marketing Management

Question 1 application of conceptstime value of money2

Question: 1. Application of concepts/time value of money? 2. Which is more detrimental to a firm, pricing your product or service too high, or pricing your product or service too low? 3. Discuss the role of demographics ...

Question imagine that you are in the market for a new

Question: Imagine that you are in the market for a new career. How can the marketing research process apply to your career search? Think of a specific topic you need to learn more about that relates to your career as a o ...

Question strategic marketing planintroductionthis

Question: STRATEGIC MARKETING PLAN INTRODUCTION This assignment entails development of a comprehensive strategic marketing plan for a new product or service that is ready to "go to market". A Project Template is provided ...

Qestion ready set strive gen z is comingby janet adamy

Question: Ready, Set, Strive : Gen Z Is Coming By Janet Adamy | Sep 07, 2018 TOPICS: Consumer Behavior, External Marketing Environment, Targeting SUMMARY: About 17 million members of Generation Z are now adults and start ...

Question in your marketing plan you should1establish a

Question: In your Marketing Plan, you should: 1. Establish a Mission Statement and a Vision Statement for your new organization. 2. Briefly describe basic services it has been providing during the first six months of ope ...

Question 1review the terminal course objectives accessed by

Question: 1. Review the Terminal Course Objectives, accessed by clicking on the "Course Information" tab at the top of your screen, scrolling down to the "Course Objectives" and then selecting View class objectives. How ...

Question read the worddoc first and answer those following

Question: Read the word.doc first and answer those following question 1. Provide a list of at least five pieces of information that airlines have about their customers, and for each, explain how that information might he ...

In this unit you are asked to produce a public relations

In this unit you are asked to produce a Public Relations Campaign Proposal document and an essay that explains the theory behind your planned approach to the Proposal task. You may base your assessment on the suggested s ...

Question 1200 words on your favorite retailer and their

Question: 1200 words on your favorite retailer and their major competitor as discussed in class. This should focus on the different elements that make up the retail strategy of the companies and other factors that appeal ...

Question bulltype of paper assignmentbullsubject

Question: • Type of paper Assignment • Subject Other • Number of pages 1 • Format of citation Other • Number of cited resource s0 • Type of service Writing from scratch First, choose a piece of art from any genre (music, ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As