Maruti 800( peoples car)

Hey hi friends today i'm posting about the prestigious and very famous car which travels the whole nation for two decades that is the PEOPLE CAR Maruti 800. It has been more than a decade since Maruti Udyong has started producing cars in India. Out of all the cars that the company has produced nothing can compare to the fame that the Maruti 800 has achieved. The unassuming people car maruti 800 has ruled the indian roads for almost two decades and act as a cash cow for two decades. Considering the car's accessibility, Maruti's tagline "Realize your dreams" seems especially apt. The initiation of the “people’s car” idea happened in1970s when Sanjay Gandhi was awarded a contract to build a people’s car. Unfortunately, the car never went into production.
The first M800 was sold to Harpal Singh at a cost price of Rs 48,000. The lucky car owner received the keys from the then Prime Minister Indira Gandhi. The car was powered with a 796 cc three-cylinder engine that generated 39.5 bhp at 5500 rpm.It was famous for its cubic capacity.In the first year (1984) of production, M800 witnessed sales of 852 units, the sales increased to 20,269 units between 1985-86 and reached 31,314 units.The old Maruti was then rejuvenated in 1986 with an additional cost price of Rs 15,000. This facelifted version of the 800 came with a air conditioner and music system After the car was revamped with a completely new look, it experienced sales of about 52,344 units in1986.The first export of Maruti 800 began in 1987. It is said that during this period almost 500 cars were exported to Hungary. Later, it was also exported to South East Asia, Bangladesh, Sri Lanka, and South America.The M800 was India’s largest selling passenger car that witnessed accelerated growth with escalating sales every year. The car sales soared from about 63,763 units in 1987 to about 1, 89,061 units in 1999.
A great car coupled with a genius marketing strategy has resulted in the success of the Maruti 800.Apart from low purchasing power it also has low maintainance & fuel efficiency. Therefore it turns out to be the complete package that is cheap to buy cheap to maintain and cheap to run if there is one thing which is not cheap that is "Quality of the car".India's adorable small car Maruti 800 has revolutionized the Indian auto industry with its incredible performance and reliability. Maruti completes 25 years of an preeminent history, the company owes its success, prestige, and honour to its tiny M800.
But now the car is being phased out of 13 cities in india.
Let us hope that maruti again come up with such a car which meet all the market challenges and travel the whole nation for a very long period.

Hai...........

Hi........friends
I'm back after long time its been 4 months since i have posted a new post.....
Hmmm feeling good after my recovery......
now i keep on blogging i will try to learn new things and i will share with you guys....

Uncrowned burger king.......

Hi..... friends .... today i would like to post about.... an young entrepreneur Sunil Cherian, who is ruling a kingdom of chennai based BurgerMan Foods India Pvt Ltd.which is 3years old. Media often referred him as an "uncrowned burger king", "kiosk CEO"... He started a business of selling burgers in kiosks with 2 lakh rupees investment at chennia .....now the company is expecting to touch a turn over of 5 crore rupees.Cherian started his burger shop outside a college in Chennai three years ago. Now, his brand, ‘Burger Man' is a recognised one in the city.
We have heard of road side Idly, Mirchi Bajji stalls and these days even Soup stalls. But have you come across road side Burgers? This neat and Hygienic stalls offer varieties of Burgers and other side appetizers for those busy office goers. If you have skipped breakfast, you don’t have to worry. You can stop at any of these BurgerMan Kiosks and savour your favorite Burgers.

How did the idea arose?
The burger business originated from an idea Sunil explored for a business plan in his college. Initially interested in restaurant business, Sunil zeroed on the kiosk model as this capped capital investment; he couldn't pay for the high rentals of a commercial space. He was also clear that he would sell a product that appealed to a wide cross-section of people, particularly youngsters. Thus came the idea of burgers.
I am exploring other options that involve food as well,” he says. Juicy delight The best burger he remembers was one he ate in Pune from McDonalds. Then Burger Man happened. “I was toying with names like Burger Hub and Burger Hut. Then it occurred to me that the postman delivers post. The milkman delivers milk. I wanted something that delivered directly to the customer. A no-frills, pocket-friendly service that would be synonymous with good juicy burgers,” he says.
The company currently operates 50 kiosks in Chennai 30 in Hyderabad and 25 in Bangalore offering 25 varieties of burgers with the prices ranging from Rs 25 to Rs 50.

Not a penny on advertising.....

Sunil hasn't spent a penny from his pocket on advertising his burgers. Then, how did he manage growth?
“Our business model is simple – not to follow the rules of the conventional business. We convince corporates to let out their waste commercial space, where we do business. All we require is 25 sq. ft of space to set up a kiosk,” Cherian said.He doesn’t believe in advertising but is present at every school annual day and college cultural. “I reach my target audience well this way,” he believes. His advice to budding entrepreneurs: “Believe in the potential of your dream and market it well.”
For more info:Visit http://www.burgerman.in/

Maggie noodles.

Hi...... friends its been a long time since i post the article in my blog.Today i would like to post about Marketing strategies of Maggie noodles.we will see how Nestle India ltd has grasp market share....













Maggi noodles is a brand of instant noodles manufactured by Nestlé. Maggi has been the highest sold noodles in India. It is a product of Nestle Brand. It took several years and lots of money for nestle to establish its noodles brand in India Maggi was invented in Europe by a person named Jullius Maggi.In India it was launched in 1980s by Nestle group of companies. Maggie had merged with Nestle family in 1947.
Maggie has faced lot of hurdles in its journey in India…. The basic problem the brand faced was the Indian psyche. i.e Indians used to be conservative about the food habits so noodles faced a lot of problem in promoting sales.
Initially nestle tried to to position the Noodles in the platform of convenience targeting the working women. However, the sales of Maggi was not picking up despite of heavy Media Advertising.To overcome this NIL conducted a research,which revealed that it was children who liked the taste of Maggi noodles and who were the largest consumers of the product.so they came up with Maggi- 2 minute noodles with price of Rs. 2.10 with a close of 100% margin. NIL shifted its focus from working women and targeted children and their mothers through its marketing. NIL's promotions positioned the noodles as a 'convenience product', for mothers and as a 'fun' product for children. The noodles' tagline, 'Fast to Cook Good to Eat'

was also in keeping with this positioning. They promoted the product by
1.Distributing free samples.
2.Giving gifts on return of empty packets.
3.Dry sampling-distributing Maggi packets
4. wet sampling - distributing cooked Maggi.
5.Availability in different packages 50gm,100gm,200gm,etc.. and
6.Effective Tagline Communication.
Through its ads, NIL positioned Maggi as a 'fun' food for kids which mothers could prepare easily. Taglines like 'Mummy, bhookh lagi hai' (Mom, I'm hungry), 'Bas 2-Minute,' and 'Fast to Cook Good to Eat' effectively communicated the product's benefits to target consumers.
These ads had become so popular that the tagline 'Bas 2-Minute' immediately reminded Indian consumers of Maggi noodles even several years after the ads were taken off the TV. Maggi's first product extension was Maggi instant soups launched in 1988. With the launch of Maggi soups, NIL had become a pioneer in the organized packaged soup market in India..since then Maggi has been successful in India and launched ketch ups sauces and soups in India, which was very successful in grasping market.Though NIL tried to extend to other
ready to eat products like pickles, cooking aids and paste, It was unsuccessful so
dumped those products.Maggi is competing with Heinz Sauces and Ketchup, Knoor Soups, Kissin Sauces and Ketchup, Top Ramen, Sunfeast Pasta Wai Wai and 2 PM in corresponding categories of products and variants.

Market position of Maggie:
1.No.1 in instant noodles and sauces.
2.No.2 in healthy soups.
3.Market share of noodles- 80%
4.current sales-5.5crores boxes in India.

Sachet Revolution

Hi... friends today i want to post about "Sachet Revolution" which created a reflection in the market trend in grabbing Rural market in India..
Over the years, the sachet strategy has proved so successful that, according to an ORG Marg data, 95 per cent of total shampoo sales in rural India is by sachets.
let us go in detail who is the man behind this.......
C K Ranganathan, CEO of CavinKare is somebody who changed the rules of the FMCG game. He is widely regarded as the man behind the sachet revolution.
So how did Ranganathan become a tycoon?origin of concept:
His father Chinni krishna, a school teacher had an entrepreneurial streak in him. so he started a small pharmaceutical packaging unit and gone on to manufacture pharmaceutical products and cosmetics. The father may not have become a big time businessman, but he had a few radical ideas about the Indian consumer. He wanted the common man to have access to what was then termed as rich man’s products. He also believed in packaging for single-time use. The sachet which was to revolutionise FMCG marketing was his creation.
when his father passed, Ranganathan, a fresh graduate entered the family business.However, Ranganathan wanted to branch off on his own. He had clear ideas about how to do business.He started Chik India as a small partnership firm, Chik being an acronym for his father’s name. The partners were his mother and grandmother. Chik India started off by offering a single product, Chik shampoo. Ranganathan took the shampoo market by storm, selling his Chik brand of shampoo at a much lower price than other shampoo sachets which were selling at Rs 2. He targeted rural and small-town consumers who used soaps to wash their hair. . He introduced the sachet at 90 paise.. in the year 1988.
'Whatever I make, I want the coolies and the rickshawpullers to use. I want to make my products affordable to them,' he used to say. Selling things in sachets was his father motto as he said, 'this is going to be the product of the future.' But my father could not market the concept well. . He moved from one innovation to another but never thought of marketing strategies. After 1998, the company focused on sniffing out rural markets outside the south. It broadened its distributors network to about 1,200 outside the southern market, where it had about 600 distributors.Next they planned Chik Shampoo-sponsored shows of Rajniknath's films. they marketed the product through advertisements in between, followed by live demonstrations. They also distributed free sachets among the audience after these shows. This worked wonders in rural Tamil Nadu and Andhra Pradesh. Ranganathan claims that these promotions led to exponential gains: sales jumped from Rs 5 lakh in 1984 to Rs 38 lakh the year after.The company then started a special scheme whereby anyone who returned five used sachets of Chik to the retailer got one sachet free of cost.
“In those days, this was a novel offer, and we met with an enormous response,” recalls Ranganathan.Gradually, the brand gained acceptance among rural consumers accross India on the strength of its price-proposition.Chik is big news in those days because it has become the second-largest shampoo brand — after fast-moving consumer goods giant Hindustan Lever Limited’s (HLL) Clinic Plus — in volume terms.
In the quarter of 2002-2003, according to the AC Nielsen ORG Marg retail audit, the Rs 100-crore Chik has grabbed a 22.49 per cent share of the 35,000-tonne shampoo market in India, and is just two percentage points behind Clinic Plus which has a market share of 24.27 per cent.
Thus Hindustan lever and procter and gamble (P&G) also introduce the shampoo in sachets in order to regain their market share.

So the people who were initially not buying the shampoos, because of sachet will start buying it.
Let us take some more examples:
1. CavinKare Ruchi Pickles in sachets
2. Feviquik
3. Maggi Noodles in Rs 5 pack
4. Coke - Rs. 5
5. Oils
6. Vicks - Rs 7
7. Confectionary .. Polo from Nestle
and lots more.
Thus the stratagies used by the C.k ranganathan became a benchmarking techniques to grab market share in Rural market.