Transcript
Page 1: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

Page 2: Increasing market share for Apollo

A RESEARCH PROJECT REPORT ONINCREASING MARKET SHARE IN RURAL AND

SEMI URBAN MARKETS FOR

SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE P.G.D.M DEGREE COURSE OF BIMM

BY:-NAMAN SHARMA

MM13153142013-15

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PREREQUISITE KNOWLEDGETYRE BASICS

TYRE CONSTRUCTION

BIAS PLY (NYLON)

RADIAL PLY(STEEL)

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PREREQUISITE KNOWLEDGETYRE BASICS

BASIC TERMINLOGYTREADSIDEWALLBEAD

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PREREQUISITE KNOWLEDGETYRE BASICS

TYPES OF TREADS COMMERCIAL VEHICLES

RIB PATTERN LUG PATTERN BLOCK PATTERN

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PREREQUISITE KNOWLEDGETYRE BASICS

TYPES OF TREADSPASSENGER VEHICLES

UNDIRECTIONAL ASYMMETRICAL COMBINATION

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PREREQUISITE KNOWLEDGETYRE BASICS

TYPES OF TREADSOTR VEHICLES

ROCK PATTERN TRACTION PATTERN BLOCK PATTERN

RIB PATTERN SMOOTH PATTERN

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PREREQUISITE KNOWLEDGETYRE BASICS

TYRE TERMINOLOGY

TRUCK TYRES10.00 – 20 18PR

“10.00” – Section Width (Inches)“-“ - Bias construction

“20” - Rim Diameter (Inches)18PR – Ply rating

PASSENGER CAR TYRE

185/65 R 14 86 H“185” – Section width (mm)

“65” – Aspect ratio(%) = Sidewall Height computed as 65% of 185mm“R” – Radial construction

“14” – Rim Diameter (inch)“86”- Load Index rating

“H” – Speed rating

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PREREQUISITE KNOWLEDGETYRE BASICS

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PREREQUISITE KNOWLEDGEVEHICLE BASICS – H.C.V

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PREREQUISITE KNOWLEDGEVEHICLE BASICS – L.C.V

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PREREQUISITE KNOWLEDGEVEHICLE BASICS- S.C.V

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PREREQUISITE KNOWLEDGEVEHICLE BASICS- FARM

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PREREQUISITE KNOWLEDGEVEHICLE BASICS- INDUSTRIAL

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PREREQUISITE KNOWLEDGEVEHICLE BASICS-PASSENGER CAR

CAR SEGMENT LENGTH OF THE MODEL TYPE

CAR MODEL BELONGING TO THAT SEGMENT

A1 Upto 3400 mm Nano

A2 3401 to 4000 mm

Alto,i10,Zen,Wagon R

A3 4001 to 4500 mm

Manza,Logan,Dzire,City

A4 4501 to 4700 mm

Corolla,Octavia,optra

A5 4701 to 5000 mm

Accord,Camry,Sonata

A6 More than 5000 mm

Mercedes S class

B1 Vans/Jeep Versa,Omni

B2 MUV/MPV Sumo,Innova

SUV SUV Vitara,CRV

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OBJECTIVE OF PROJECT

• To determine strategies to increase market share in rural and semi urban markets by determining and analyzing factors which are affecting growth of company in rural and semi urban market and finding out ways to over come them.

• Giving possible suggestions to Apollo to gain a competitive edge in its current market.

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RESEARCH METHODLOGY• Type of Research – Both Primary and Secondary type of research was used.

For Secondary Research – Data given by company was analyzedFor Primary Research - Causal research was done. First Descriptive Research

done through Cross sectional studies then conclusive to find the causes• Sampling Plan –

For Dealers – Census surveyFor Customers – Random probability sampling providing

10 samples per category i.e total 70 samples• Instrument used – Questionnaire • Method to use Instrument - Scheduled Format• Area Covered – Ajmer Zone and Upcountry• Time Frame – 50 days• Limitations – Research is subject to following limitationsAll the respondents taken were from Ajmer Zone and Upcountry region so it may

not be valid for other geographies.

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Segmentation of Tyre Industry TYRE INDUSTRY

COMMERCIAL VEHICLES PASSENGER VEHICLES OFF HIGHWAY VEHICLES

HCV LCV SCV FARM OTR INDUSTRIAL

CARS MOTORCYCLE

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COMPANY PROFILE

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COMPANY PROFILE

Chairman & Managing Director – Onkar Singh KanwarCorporate Headquarters – Gurgaon (India)• Manufacturing Plants –• Perambra , Kerala (India)• Kalamassery, Kerala (India)• Kanchipuram, Tamil Nadu (India)• Limbda, Gujarat (India)• Bulawayo, Zimbabwe (Africa)• Durban, South Africa (Africa)• Enschede, Netherlands (Europe)Regional Hubs –• Bangkok, Thailand• Dubai, UAE

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COMPANY PROFILE

Brands -• Apollo• Vredestein• Regal• Myola• Kaizen

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COMPANY PROFILEPERFORMANCE ANALYSIS

PLANT CAPACITY

NET PROFIT

TOTAL SALES

2009 2010 2011 2012 2013

Se-ries1

950 1160 1395 1595 1785

100500900

13001700

MT/

Day

2009 2010 2011 2012 2013

Series1

49.8 81.2 88.7 121.5 127.9

1070

130

Rupe

es B

illio

n

2009 2010 2011 2012 2013

Se-ries1

1.4 6.5 4.4 4.1 6.1

0.52.54.56.5

Rupe

es B

illio

n

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COMPANY PROFILEREVENUE ANALYSIS

65%

23%

12%

Revenue By Geography

IndiaEuropeSouth Africa

24%

66%

10%

Revenue By Customer

OEMReplacementExport

33%

48%

9%

9% 1%

Revenue by Product

Passenger Vehicle

Truck-Bus

Off Highway

Light Truck

Others

Country/Area Sales (In Billion Rupees)India 83.135Europe 29.417South Africa 15.348

CUSTOMER SALES ( In billion rupees)

OEM 30.696

Replacement 84.414

Export 12.79

PRODUCT SALES (In billion rupees)

Passenger Vehicle 42.207

Truck-Bus 61.392

Off Highway 11.511

Light Truck 11.511

Others 1.279

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MARKETING MIX PRODUCT

BRAND – PRODUCT MATRIX

POTENTIAL PRODUCT Height to Width Ratio is highAUGMENTED PRODUCT Rapid Acceleration, Multi Terrain, Superior Control at High Speeds EXPECTED PRODUCT High Elasticity, Low Steering Force, Low Maintenance, High SafetyBASIC PRODUCT Traction, Durability, ReliabilityCORE BENEFIT Comfortable Ride

Passenger cars 4x4 Light Truck

Truck/Bus Bicycle OTR & Earthmover

Specialty 2 Wheeler 3 Wheeler

Apollo

Vredestein

Kaizen

Regal

Mayola

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MARKETING MIX PRODUCT

COMMERCIAL VEHICLES PASSENGER VEHICLES

OFF THE ROAD

VEHICLES

BRAND

XT-7

XT-7 HAULUG

XT-7 GOLD

AMAR

AMAR DLX

AMAR AT-RIB

AMAR GOLD

CARGO MILLER

CARGO TUF

CARGO MILLER

CARGO SL

MILESTAR

CHAMPION

CHAMPION GOLD

XT-9

XT-9 PLUS

XT-9 GOLD

XT-100K

LOADSTAR SUPER

LOADSTAR SUPER

GOLD

LOADSTAR SUPER

XP

RANCER

DURAMILE

LUG MILLER

ENDURANCE MD

ENDURANCE MA326

ENDURANCE MA

ENDURANCE CD

ENDURANCE LD

ENDURANCE RA

ENDURANCE RD

BRAND

ASPIRE 4G

ASPIRE

ALNAC 4G

AMAZER 4G

AMAZER 3G MAXX

AMAZER 3G

AMAZER XL

ACLERE MAXX

ACLERE

APTERRA HP

(For SUV)

APTERRA HL

(For SUV)

APTERRA HT

(For SUV)

APTERRA AT

(For SUV)

QUANTUM

(For VAN/JEEP)

QUANTUM PLUS

(For VAN/JEEP)

SPORTRACS

(Vredestein Banden)

Ultrac Ceuto

(Vredestein Banden)

Ultrac Sessanta

(Vredestein Banden)

Ultrac SUV Sessanta

(Vredestein Banden)

BRAND

KRISHAK PREMIUM

POWERHAUL

FARM KING

(RADIAL)

KRISHAK GOLD

KRISHAK SUPER

KRISHAK PREMIUM

KRISHAK PREMIUM CR

Y-LON

XTRAX IT 416

XTRAX IT 426

XTRAX E3

XTRAX GRADER

XTRAX RC317

DHRUV

XTRAX

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MARKETING MIX PRICE

CARTEL BEHAVIOUR MAJOR DETERMINANTS OF TYRE PRICE ARE • COST OF RAW MATERIALS• COMPETITIVE PRICING• DEMAND

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MARKETING MIX PRICE

Cost of Raw Materials

NATURAL RUBBER

44%

NYLON TYRE CORD FABRIC

19%

CARBON BLACK12%

RUBBER CHEMICALS5%

BUTYL RUBBER4%

PBR5%

SBR5% OTHERS

6%

RAW MATERIAL COMPONENTS OF TYRE

Raw Material Total cons.*

Tyre Sector Cons*

Non tyre sector cons*

Total Imports Tyre Sector imports

Non Tyre sector Imports

Natural Rubber

964400 65% 35% 213780 95% 5%

SBR 185200 73% 27% 137000 100% -

PBR 134600 83% 17% 62600 100% -

Carbon Black 410000 100% - 90000 100% -

Nylon Tyre Cord

125000 100% - 58000 100% -

Rubber Chemicals

40000 100% - 20000 100% -

Steel tyre cord

30000 100% - 20000 100% -

Butyl rubber 58000 100% - 58000 100% -

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MARKETING MIX PRICE

Cost of Raw Materials

16400

16600

16800

17000

17200

17400

17600

17800

18000

1820018100

1790017800

17300

17000 17000

17200

17600

17800

17000

RUBBER PRICES

Time

Pric

e pe

r 100

kg

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MARKETING MIX PROMOTION

The 6 M of promotionMONEY- About 2-3% of company’s revenue is being used for

advertisement and product promotion.MEDIA- Company is using a variety of media resources starting from

public relations to direct marketing to relationship marketingMESSAGE- Main focus is on communicating their vision of providing

best value to customers in terms of quality, durability and value for money.

MISSION- Mission is to strengthen their brand awareness and improvement of perception

MARKET- Communication is based on the consideration that their market consists of both end customer (replacement market) and B2B (OEM market).

MEASURE- Metrics used are response rate at customer level and loyalty rate at OEM level.

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MARKETING MIX PROMOTION

August 2013 major joint venture with “Manchester United”

Apollo produce football based play zones constructed from used tyres

As a part of promotion scheme company is offering major product discounts

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MARKETING MIX PLACE

CHANNEL INTENSITY – HIGH END INTENSE CHANNEL WITH A NETWORK OF 4000 DEALERS (REPLACEMENT MARKET)

4000 DEALERS

1500 MULTI BRAND DEALERS 2500 EXCLUSIVE APOLLO DEALERS

R.E.D APOLLO ZONE APOLLO POINT APOLLO CORNER APOLLO CV ZONE

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S.W.O.TINTERNAL FACTORS

Strengths:-• Strong Brand recall• Huge Brand portfolio• Huge Product portfolio• Robust Inorganic growth• Operates in large international markets• Extensive distribution network• Established a premium position in European marketWeakness:-• Involvement in price fixing allegations impacts company’s reputation.• India has large 2-3 wheeler tyre segment however Apollo does not

manufacture for this category.• Company is not able to pass cost escalations to consumers due to intense

competition.• Labour unrest and strikes.

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S.W.O.TEXTERNAL FACTORS

Opportunities:-• Poised to benefit from growing automotive manufacturing industry

in India.• Expansion into Sri Lankan automobile market.• Europe developing as a key market• Company is planning to grow into new markets such as America

Australia and South East AsiaThreats:-• Economic downturn in key markets such as India and Europe• Increased competition from global players like Michelin and

Bridgestone in India particularly in truck bus radial tyre category• Increase in raw material price volatility• Threat from cheap Chinese import

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TOWS MATRIXSO STRATERGY Huge brand portfolio of the company will help them during

their inorganic growth in new markets by gaining more market share and at the same time de risking the company from relying only on 1 product or 1 market.

Growth in European market will increase company’s global presence and will lead to higher brand recall and will make company a global player.

Exploration of new virgin markets in South East Asia and Africa may make company market leader over there and can increase the sale drastically

WO STRATERGY Lack of presence in 2 and 3 wheeler segments will be a huge

setback for company in new markets. Involvement in price fixing allegations may affect company’s

image in new market

ST STRATERGY Strong brand recall under their Vredestein brand but economic

downturn in European market will slow them down. Have good financial position but have to compete with

international brands.

WT STRATERGY Large amount of labour strikes will affect production thus

hampering sales in new market Government policies will play a crucial role in new markets Cheap Chinese import will take benefit from intense

competition thus company may be forced to reduce prices further

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STRATERGIESGROWTH STRATEGIES

HORIZONTAL INTEGRATION -APOLLO – DUNLOP MERGER – • Purchased Dunlop tyres in 2006.• 3 production units whose total capacity is 180 tonnes a day APOLLO – VREDESTEIN BANDEN ACQUISITION - • Added $ 450 million to Apollo’s Annual sales • Entry in European market • Plant in Enschede had an annual capacity for 5.5 million tyres.

VERTICAL INTEGRATION-• Acquired 10,000 hectares of rubber plantation in Laos in South East

Asia

DIVERSIFICATION• Apollo LogiSolutions • UFO Moviez

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INDUSTRY ANALYSIS

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CURRENT OVERVIEWFOR (2011-2012)

Turnover of Indian tyre industry Rs 43,000 crores

Tyre Production (Tonnage) 15 Lakh M.T

Tyre Production – All Categories 2254 lakhs

Number of tyre companies 39

Industry Concentration10 companies account for 95% of production

Radialisation Level

Passenger cars – 98%Light Commercial Vehicles – 20%Heavy Vehicles- 18%

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CURRENT OVERVIEWFOR (2011-2012)

Truck/Bus

Pas-senger

Cars

LCV Tractor Front

Tractor Rear

Tractor Trailer

ADV Scooter Motor Cycle

Indus-trial

OTR

Series1 16085 28736 6688 2756 1889 1022 293 22194 44857 681 196

2500

7500

12500

17500

22500

27500

32500

37500

42500

Categorywise tyre Supply

Sale

s (In

000

num

bers

)

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CURRENT OVERVIEWFOR (2011-2012)

SEGMENT REVENUE(in %)

TRUCK/BUS 54%

LIGHT TRUCK 9%

PASSENGER CARS 14%

FARM 8%

TWO WHEELER 13%

OTHERS 3%

Tyres for: 2011-12 2012-13 Change

Truck & Bus 119.51 127.09 6%

Passenger Car 213.79 238.83 12%

L.C.V 50.52 44.95 -11%

Tractor Front 20.59 21.13 3%

Tractor Rear 14.13 14.26 -0.3%

Tractor Trailer 7.48 6.77 -9%

Scooter/Moped 166.36 121.58 -27%

Motor cycle 340.67 320.80 -6%

Off The Road 1.44 2.25 56%

Other tyres 7.18 7.42 3%

Total 941.84 922.05 -2%

CATEGORYWISE TYRE PRODUCTION IN INDIAFY 2011-12 – 2012-13 (April – December)(In lakh no.)

REVENUEWISE TYRE INCOMEFY 2011-12

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CURRENT OVERVIEWFOR (2011-2012)

Category Production(nos)2012-13(April- December)

Segmentwise SupplyReplacement Market/Govt.

OEM Exports

Truck/Bus 12709061 9277614 1779268 1652179Passenger car

23883000 12657990 10030986 1194150

L.C.V 4495000 1887900 1573250 988900Tractor Front 2113000 1225540 866330 2113

Tractor Rear 1426000 527620 869860 28520

Scooter/Moped

12158000 4498460 6808480 851060

Motor Cycle 32080000 12511200 18606400 962400

SEGMENT WISE TYRE SUPPLYFY 2012-13(April-December)

Replacement51%

OEM41%

Exports8%

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CURRENT OVERVIEWFOR (2011-2012)

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Series1

41415 42471 43514 51585 54690 60082 66032 73545 81103 82107 97137 119197

125397

10000

30000

50000

70000

90000

110000

130000

Growth rate of tyre industry

Tota

l pro

ducti

on (I

n 00

0 no

s)

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CURRENT OVERVIEWFOR (2011-2012)

0% 0% 1%

4%4%

9%

13%

14%

23%

32%

Indian Tyre Market

PTL EnterprisesKryptonGovind RubberTVS SrichakraGoodyearBalkrishnaCeatJK tyresApollo tyresMRF tyres

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P.E.S.T ANALYSIS

POLITICAL FACTORS• Serious anomaly of Customs Duty on raw-material (Natural Rubber@20%)

being higher than the Customs Duty on finished product (Tyres @10%)• Proposed custom duty for RAW materials not being implemented

No.

Raw-Material(s) Customs Duty (%) Proposed

1 Nylon Tyre Cord 10% 5%2 PBR 10% 5%3 Rubber Chemicals 7.50% 2.50%4 Steel Tyre Cord 10% 5%5 Polyester Tyre Cord 5% Nil

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P.E.S.T ANALYSISPOLITICAL FACTORS• Duties of WTO nations under FTA differ from normal duties which creates

different prices and price fluctuationsProduct Custom

Duty in %Asia Pacific Trade Agreement

Indo-Sri Lanka Agreement

SAFTA-Pakistan,Sri Lanka

SAFTABangladesh,Bhutan,Maldives,Nepal

India –Singapore CECA

India – South Korea CEPA

India- Chile Agreement

India- Japan CEPA

IndiaMalysia Trade agreement

India- ASEAN

Truck/Bus(Radial) 10% 8.6 Nil 6 Nil N.C N.C N.C N.C 7 7

Truck /Bus(Bias) 10% 8.6 Nil 6 Nil Nil N.C N.C N.C N.C 7

Motor Cars(Radial) 10% 8.5 Nil 6 Nil N.C N.C N.C N.C 7 7

Motor Cars(Bias) 10% 8.5 Nil 6 Nil Nil N.C N.C N.C N.C 7

Aircraft 0% 2.58 Nil 3 Nil 0.75 2.25 N.C 0 N.C 2

Motorcycle 10% 8.6 Nil 6 Nil Nil N.C N.C N.C 7 7

Scooter 10% 8.6 Nil 6 Nil Nil N.C N.C N.C N.C 7

Industrial Vehicle 10% 8.6 Nil 6 Nil Nil 7.81 N.C 7.3 5 5

Tractor 10% 8.6 Nil 6 Nil Nil 7.81 N.C 7.3 5 5

Use rubber tyres 10% N.C N.C 6 Nil Nil N.C N.C N.C N.C 7

Retreaded tyres 10% N.C N.C 6 Nil N.C 7.81 N.C N.C 5 7

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P.E.S.T ANALYSIS

ECONOMICAL FACTORS

Increase in wear & tear of tyres

Creates Replacement

demand for Tyres

Growing Economy

Increase in demand of freight movement

Increase in Commercial Vehicle Demand

Increase in Tyres Demand from OEMs

Creates Tyr replacement demand after 12-18 months

Increase in tyre sales

Increase in level of income - Increase in Income for

disposal

Increase in demand for

passenger cars - tyres

Demand for Replacement in

24 to 48 months

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P.E.S.T ANALYSIS

SOCIAL FACTORS• Nuclear families• High vehicle density per familyTECHNOLOGICAL FACTORS• Radial expansion• Greenfield projects

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COMPETITOR ANALYSISMRF

SW Analysis of MRFSTRENGTH• Extremely high brand recall.• Extreme brand loyalty with present customers• High amount of customer satisfaction• Presence in niche segments like aviation tyres, defence sector.• Diversification in toys and racing.• Has the highest market share and still commands the PRICE MAKER STATUSWEAKNESS• MRF’s only Achilles heel is dealer relations. Although MRF has good policy

supporting dealers but company hardly pay any attention on incentivizing the dealer.

• High labour unrest and strikes

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COMPETITOR ANALYSISJ.K TYRES

SW of JK TyresStrengths• Presence in low cost segments under the brand name

VIKRANT.• Large product and brand portfolio• Second largest exporter of tyres after CEAT(2012)• Good brand perception in India and good brand recallWeakness• An excessive “Indian” touch has been given to the company

which is not good either in imports or in exports.• Very less concern about 2 wheeler and 3 wheeler segment.• Limited market share due to presence of other big brands.

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COMPETITOR ANALYSISCEAT

SW analysis of CEATStrength• CEAT has done tie ups with global players like Pirelli to

import technology of radial tyres• Ceat acquired Harrison rubber unit which drastically

reduced its operating cost• Largest exporter of tyres in 2012Weakness• Less presence in the international markets compared to

industry leader despite being largest exporter• Has a very limited market share

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COMPETITOR ANALYSISGOODYEAR

SW of GoodyearStrength• Second highest global market share , market leader in USA and second highest

market share in Europe.• Global footprints with operations at 54 sites spread over more than 22 countries.• High tech innovation centres at Ohio and Luxemburg provides them with cutting

edge technology.• Most successful tyre supplier in Formula 1 racing.• Excellent team of 70,00 employees globally • Strong brand recognitionWeakness• Weak supply chain• Weak cost structures• Penetration in Asian economies is very less.• Alleged exposure to asbestos has weakened the brand image• 19th largest air polluter in USA

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COMPETITOR ANALYSISBRIDGESTONE

SW analysis of BRIDGESTONEStrengths• Its 52 enterprises and 50,000 employees testify the fact that it

is a huge brand name• Huge diversification into other businesses like production of air

springs, roofing materials , industrial fibers and textiles.• Large size provides economies of scale• Is going green under ‘One Team One Planet’Weakness• No significant market in developing countries• Products are perceived to be a high price segment products ,

hence it needs to work on developing economy products.

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COMPETITOR ANALYSISMICHELIN

SW Analysis of MICHELINStrength• Manufacturing facilities in 18 countries with sales in 170

countries.• They offer ‘Maps and Guides’ and have an excellent

service ‘Via Michelin’ that helps in planning trip• Strong and competent spirit of R&D Weakness• Stiff competition from existing tyre brands• Not entered the emerging economies in a big way• Over leveraged financial position

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COMPETITOR ANALYSISCONTINENTAL

SW Analysis of CONTINENTALStrength• Large product portfolio• 140 years old company and true sense global with markets in Africa,

Europe, America, Asia and Australia.• Company is acquiring companies in Malaysia and Modi tyres in India

thereby showing intentions of expanding in emerging economies of the world

• Sponsors of FIFA world cup 2014 and other major global events increasing its brand image drastically.

Weakness• Not much visible in India and a few emerging countries• Have to deal with poor economic conditions in Japan, US and European

economies

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CURRENT SCENARIO

APOLLO17%

MRF21%

JK9%

CEAT3%

GOODYEAR13%

BRIDGESTONE18%

OTHERS19%

P.C.R SEGMENT

APOLLO20%

MRF22%

JK11%

CEAT8%

BIRLA11%

GOODYEAR25%

OTHERS3%

FARM SEGMENT

APOLLO27%

MRF21%JK

19%

CEAT11%

BIRLA14%

BRIDGESTONE3%

MICHELIN1%

OTHERS4%

H.C.V SEGMENT

APOLLO27%

MRF26%

JK19%

CEAT7%

BIRLA6%

OTHERS14%

L.C.V SEGMENT

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ANALYSIS AND INTERPRETATION OF QUESTIONNAIRE

Page 56: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSIS

Tyre dealers; 35; 97%

Tread dealer; 1; 3%

Types of dealer by product

Exculsive Apollo Dealer; 20; 57%

Multi Brand Dealer; 15; 43%

Type of Dealer by number of brands

COMPLAINTS; 31; 89%

NO COMPLAINTS; 4; 11%

NUMBER OF COMPLAINTS

MORE THAN 1 TYPE OF COMPLAINTS; 9;

29%

1 TYPE OF COMPLAINT; 22;

71%

NUMBER OF COMPLAINTS

Page 57: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSIS

CUSTOMER DEMAND; 6;

40%

COM-MISSION;

6; 40%

BOTH; 3; 20%

REASON FOR SALE OF OTHER COMPANY'S PRODUCT

DO NOT INFLU-

ENCE; 17; 49%

INFLU-ENCE; 18;

51%

INFULENCING CUSTOMER

URBAN CUSTOMER; 4; 11%

RURAL CUS-

TOMER; 31; 89%

HIGHER BARGAINING POWER

Page 58: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSIS

PASSENGER CAR24%

COMMERCIAL VEHICLE72%

OFF HIGHWAY VEHICLE4%

CATERGORY WISE SALES

Page 59: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSIS

AMAZER 3G12%

AMAZER XL41%

AMAZER 3G MAXX9%

AMAZER 4G8%

QUANTUM6%

ACELERE11%

ALNAC 4G6%

APTERRA5%

ASPIRE 4G3%

PCR Sales

Page 60: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSIS

AMAR DELUXE24%

AMAR GOLD51%

ST-50%

AT RIB3%

XMR21%

H.C.V BIAS FRONT SalesCHAMPION

2%CHAMPION GOLD

2%XT-7 HAULUG

2%

XT-7 GOLD PLUS23%

XT-72%

XT-90%

XT-9 GOLD13%

XT 100-K19%

LOADSTAR SUPER35%

LOADSTAR SUPER XP1%

LOADSTAR SUPER GOLD3%

H.C.V BIAS REAR Sales

ENDURANCE MD14%

ENDURANCE LD43%

ENDURANCE CD8%

ENDURANCE MA17%

ENDURANCE MA 32617%

ENDURANCE RA0%

H.C.V RADIAL Sales

Page 61: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSIS

KAIZEN 77R13%

KAIZEN 99R30%

KAIZEN 99R PLUS40%

KAIZEN 100R18%

KAIZEN BIAS FRONT Sales

KAIZEN 21L14%

KAIZEN 27L9%

KAIZEN 50L32%

KAIZEN XDT22%

KAIZEN XLM23%

KAIZEN BIAS REAR

Page 62: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSIS

MILESTAR3%

AMAR DELUXE41%

AMAR GOLD56%

L.C.V BIAS FRONT Sales

LOADSTAR SUPER58%

LOADSTAR SUPER XP4%

XT-7 GOLD PLUS38%

L.C.V BIAS REAR Sales

DURAMILE100%

L.C.V RADIAL Sales

Page 63: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSIS

AMAR DELUXE48%

LOADSTAR SUPER XP7%

LOADSTAR SUPER45%

S.C.V Sales

Page 64: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSIS

FARM KING4%

KRISHAK GOLD32%

KRISHAK PREMIUM54%

POWERHAUL11%

TRACTOR REAR Sales

KRISHAK PREMIUM CR69%

KRISHAK PREMIUM 6%

KRISHAK GOLD FRONT26%

TRACTOR FRONT Sales

Page 65: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSISCOMPETITOR PENETRATION

MRF

MBD selling MRF tyres; 11; 73%

MBD not selling MRF tyre; 4; 27%

MRF PENTRATION

TBB; 40%

TBR; 11%

PCR; 29%

LTB; 5%

LTR; 3%

SCV; 6%

TR; 4% TF; 2%

SEGMENT WISE SALES FROM MBD

Page 66: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSISCOMPETITOR PENETRATION

BRIDGESTONE

MBD selling BRIDGESTONE; 4;

27%

MBD not selling BRIDGESTONE; 11;

73%

BRIDGESTONE PENETARTION

TBR66%

PCR34%

SEGMENT WISE SALES FROM MBD

Page 67: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSISCOMPETITOR PENETRATION

CONTINENTAL

MBD selling CONTI-NENTAL tyres; 2; 13%

MBD not selling CON-TINENTAL tyres; 13;

87%

CONTINENTAL PENTRATION

TBB; 69%

TBR; 31%

SEGMENT WISE SALES FROM MBD

Page 68: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSISCOMPETITOR PENETRATION

J.K TYRES

MBD selling JK tyres; 2; 13%

MBD not selling JK tyres; 13; 87%

JK PENTRATION

TBB; 50%TBR; 50%

SEGMENT WISE SALES FROM MBD

Page 69: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSISCOMPETITOR PENETRATION

BIRLA

MBD selling BIRLA tyres; 4; 27%

MBD not selling BIRLA tyres; 11; 73%

BIRLA PENETRATION

TBB; 40%

TBR; 30%

TF; 30%

SEGMENT WISE SALES FROM MBD

Page 70: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSISCOMPETITOR PENETRATION

MICHELIN

MBD selling MICHELIN; 5; 33%

MBD not selling MICHELIN; 10; 67%

MICHELIN PENTRATION

TBR81%

PCR15%

LTR4%

SEGMENT WISE SALES FROM MBD

Page 71: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSISUSING SPSS

Q1 Is there any correlation between number of brands (companies) a dealer is keeping and his total sales?

• H0 : Total sales of a dealer is independent of the number of brands (companies)

• HA : H0 is false.

There is strong correlation between Number of brands(companies) a dealer is keeping and total sales at 0.702 and is significant at 0.000 therefore we reject H0

Correlations

Number Of Brands Total Sales

Number Of Brands Pearson Correlation 1 .702**

Sig. (2-tailed) .000

N 35 35

Total Sales Pearson Correlation .702** 1

Sig. (2-tailed) .000

N 35 35

**. Correlation is significant at the 0.01 level (2-tailed).

Page 72: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSISUSING SPSS

REGRESSION EQN = 1.338 + (0.875)*Number of Brands

Model Summary

Model

R R Square

Adjusted R

Square

Std. Error of the

Estimate

d

i

m

e

n

s

i

o

n

0

1 .702a .493 .477 1.321

a. Predictors: (Constant), Number Of Brands

ANOVAb

Model Sum of

Squares df

Mean

Square F Sig.

1 Regressio

n

55.931 1 55.931 32.038 .000a

Residual 57.612 33 1.746

Total 113.543 34

a. Predictors: (Constant), Number Of Brands

b. Dependent Variable: Total Sales

Coefficientsa

Model

Unstandardized

Coefficients

Standardi

zed

Coefficie

nts

t Sig.B Std. Error Beta

1 (Constant) 1.338 .385 3.475 .001

Number Of

Brands

.875 .155 .702 5.660 .000

a. Dependent Variable: Total Sales

Page 73: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSISUSING SPSS

Q2 Is the number of brands he is keeping is affecting the sales of Apollo tyres?• H0 : Sales of Apollo tyres is independent of the number of brands the dealer is

keeping.• HA : H0 is false

Apollo sales and number of brands have a weak correlations at 0.207 and is insignificant at 0.232 hence we accept H0

Correlations

Apollo Sales Number Of Brands

Apollo Sales Pearson Correlation 1 .207

Sig. (2-tailed) .232

N 35 35

Number Of Brands Pearson Correlation .207 1

Sig. (2-tailed) .232

N 35 35

Page 74: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

DEALER ANALYSISUSING SPSS

Q3 Is being exclusive Apollo dealer affecting the sales of Apollo tyres?• H0 : Sales of Apollo tyres is independent of being an Exclusive dealer .

• HA : H0 is false

F value is 1.171 and is insignificant at 0.287 hence accept H0

ANOVA

Apollo Sales

Sum of Squares df Mean Square F Sig.

Between Groups 2.752 1 2.752 1.171 .287

Within Groups 77.533 33 2.349

Total 80.286 34

Page 75: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

5TH JUNE 2014

Page 76: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSIS

FIRST RANK SECOND RANK THIRD RANK FOURTH RANK FIFTH RANK

Brand Name 24 20 10 6 10

Price 12 27 15 10 6

Quality 18 16 28 8 0

Purchasing Ease 8 5 11 28 18

Carrying capacity 8 2 6 18 36

2.5

7.5

12.5

17.5

22.5

27.5

32.5

37.5

Priority Ranking

No.

of r

espo

nden

ts

Page 77: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISH.C.V

Product Complaint

40%Policy

Complaint50%

No complaints10%

Type of complaints

APOLLO-AMAR GOLD; 27%

KAIZEN-99R; 9%

MRF- SUPER MILER 99; 36%

JK- JET R MILES; 18%

APOLLO-AMAR DELUXE; 9%

H.C.V BIAS RIB

MRF-SUPER LUG 50

PLUS54%

JK-JET ONE8%

APOLLO-LOADSTAR SU-

PER23%

BIRLA-BT11215%

HCV BIAS LUG

APOLLO-EN-DURANCE LD; 29%

BRIDGESTONE-M729; 12%

MRF-S3B4; 4%MICHELIN-XZY3HD; 16%

APOLLO-EN-DURANCE MA326;

8%

JK-JETSTEEL; 10%

CONTINENTAL -SDR; 10%

CHINESE; 4% BIRLA-S321; 4%BRIDGESTONE-M751;

2%

HCV RADIAL

Page 78: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISL.C.V

PRODUCT COMPLAINT

50%

POLICY COMPLAINT

50%

TYPE OF COMPLAINTAPOLLO-AMAR

GOLD20%

APOLLO-AMAR DELUXE

10%

MRF-SUPER MILER 9930%

CEAT - RIB10%

JK- JET RIB10%

BIRLA-BT33320%

LCV BIAS RIB

MRF- SUPERLUG 50 PLUS40%

APOLLO-LOADSTAR SUPER

30%

JK-JET XTRA20%

MRF-M7710%

LCV BIAS LUG

APOLLO - DURAMILE

40%

MRF-STEEL MUSCLE20%

JK- STEEL KING40%

LCV RADIAL

Page 79: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISS.C.V

PRODUCT COMPLAINT

60%

POLICY COMPLAINT

30%

NO COMPLAINTS10%

TYPE OF COMPLAINT

MRF-SAVARI

33%

APOLLO-LOADSTAR SUPER

22%

JK-JUMBO ACE22%

CEAT-MILAZE22%

SCV BIAS

APOLLO-DURAMILE

44%JK-STEEL

KING33%

MRF-STEEL MUSCLE

22%

SCV RADIAL

Page 80: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISO.T.R (FARM)

PRODUCT COMPLAINT;

70%

NO COM-PLAINTS; 30%

TYPE OF COMPLAINT

APOLLO-KR-ISHAK PRE-

MIUM CR; 30%

MRF-SHAKTI LIFE; 20%

GOODYEAR- VAJRA SU-PER; 40%

CEAT-SAMRAAT; 10%

TRACTOR FRONT

APOLLO-KRISHAK PREMIUM

30%

MRF-SHAKTI SUPER30%

GOODYEAR- VAJRA SUPER

30%

BIRLA-SHAAN10%

TRACTOR REAR

Page 81: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISO.T.R (INDUSTRIAL VEHICLE)

CEAT-FM SUPER33%

JK-VEM AS33%

APOLLO-DHRUV 33%

INDUSTRIAL VEHICLE FRONT

APOLLO-XTRAX IT41633%

MRF-MUSCLEROK67%

INDUSTRIAL VEHICLE REAR

Page 82: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISPASSENGER CAR

NO COMPLAINTS100%

TYPE OF COMPLAINTS (FOR A2)

NO COM-

PLAINTS80%

PRODUCT COMPLAINT

20%

TYPE OF COMPLAINTS (FOR A3)

NO COM-

PLAINTS60%

PRODUCT COM-PLAINT

40%

TYPE OF COMPLAINTS (FOR B2)

NO COM-

PLAINTS60%

PRODUCT COM-PLAINT

40%

TYPE OF COMPLAINTS (FOR B3)

Page 83: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISPASSENGER CAR

MRF-ZVTS; 40%

BRIDGE-STONE-B290;

40%

APOLLO-AMAZER 3G; 20%

SEGMENT A2

BRIDGESTONE-TURANZA ER 60

20%

MRF-ZVTS40%APOLLO-AMAZER 3G

20%

JK-ULTIMA20%

SEGMENT A3

BRIDGESTONE-DUELER D689

25%

JK-BRUTE13%

CEAT-RHINO13%

APOLLO-AMAZER XL

25%

MRF-ZQT25%

SEGMENT B2

BRIDGESTONE-DUELER D689

40%

APOLLO-AMAZER XL20%

MRF-ZQT40%

SEGMENT B3

Page 84: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

Q1 Does the amount of kilometres run during a month has any correlation with payload?• H0 : Amount of kilometres run during a month is independent of payload

• HA : H0 is false

There is a strong correlation between the kilometres travelled and payload carried and is significant at 0.006. Therefore we reject H0

Correlations

kilometres payload

kilometres Pearson Correlation 1 .588**

Sig. (2-tailed) .006

N 20 20

payload Pearson Correlation .588** 1

Sig. (2-tailed) .006

N 20 20

**. Correlation is significant at the 0.01 level (2-tailed).

Page 85: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

Model Summary

Model

R

R

Square

Adjusted R

Square

Std. Error of

the

Estimate

d

i

m

e

n

s

i

o

n

0

1 .588a .346 .310 1463.984

a. Predictors: (Constant), payload

Page 86: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

REGRESSION EQN = 5704.760 + (51.440)*Payload

ANOVAb

Model Sum of

Squares df

Mean

Square F Sig.

1 Regressi

on

2.042E7 1 2.042E

7

9.528 .006a

Residual 3.858E7 18 214325

0.379

Total 5.900E7 19

a. Predictors: (Constant), payload

b. Dependent Variable: kilometres

Regression analysis is significant at 0.006 and no model is

excluded.

R square value is closer to zero.

Coefficientsa

Model

Unstandardized

Coefficients

Standar

dized

Coeffici

ents

t Sig.B

Std.

Error Beta

1 (Const

ant)

5704.7

60

667.388 8.54

8

.000

payloa

d

51.440 16.664 .588 3.08

7

.006

a. Dependent Variable: kilometers

Page 87: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

Q2 Does the payload has any correlation with the time after which tyres are being changed?• H0 : Time after which tyres are being changed is independent of payload

• HA : H0 is false

From the table of correlation it can be analysed that payload and time have a very strong correlation at 0.641 and is significant at 0.002Therefore we reject H0

Correlations

payload time

payload Pearson

Correlation

1 .641**

Sig. (2-

tailed)

.002

N 20 20

time Pearson

Correlation

.641** 1

Sig. (2-

tailed)

.002

N 20 20

**. Correlation is significant at the 0.01 level (2-tailed).

Page 88: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

Model Summary

Model

R

R

Square

Adjusted R

Square

Std. Error of

the Estimate

d

i

m

e

n

s

i

o

n

0

1 .641a .411 .378 1.959

a. Predictors: (Constant), payload

Page 89: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

REGRESSION EQUATION = 9.556+ (0.79)*payload

ANOVAb

Model Sum of

Squares df

Mean

Square F Sig.

1 Regressi

on

48.118 1 48.118 12.53

8

.002a

Residual 69.082 18 3.838

Total 117.200 19

a. Predictors: (Constant), payload

b. Dependent Variable: time

Coefficientsa

Model

Unstandardized

Coefficients

Standar

dized

Coeffici

ents

t Sig.B

Std.

Error Beta

1 (Const

ant)

9.556 .893 10.7

00

.000

payloa

d

.079 .022 -.641 -

3.54

1

.002

a. Dependent Variable: time

Page 90: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

• Q3 Does the amount of kilometres run effect the time after which tyre has been changed?• H0 : Time after tyre has been changed is independent of amount of kilometres run• HA : H0 is false

There is strong correlation between Time after which tyres are changed and kilometres travelled at 0.842 and is significant at 0.000.Therefore we reject H0

Correlations

time kilometres

time Pearson Correlation 1 .842**

Sig. (2-tailed) .000

N 20 20

kilometres Pearson Correlation .842** 1

Sig. (2-tailed) .000

N 20 20

**. Correlation is significant at the 0.01 level (2-tailed).

Page 91: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

Model Summary

Model

R

R

Square

Adjusted R

Square

Std. Error of

the

Estimate

d

i

m

e

n

s

i

o

n

0

1 .842a .709 .692 1.377

a. Predictors: (Constant), kilometers

Page 92: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

REGRESSION EQUATION = 15.698+(-.001)*kilometres

Coefficientsa

Model

Unstandardized

Coefficients

Standardi

zed

Coefficie

nts

t Sig.B Std. Error Beta

1 (Consta

nt)

15.698 1.380 11.37

8

.000

kilometr

es

-.001 .000 -.842 -

6.616

.000

a. Dependent Variable: time

ANOVAb

Model Sum of

Squares df

Mean

Square F Sig.

1 Regressi

on

83.051 1 83.051 43.77

6

.000a

Residual 34.149 18 1.897

Total 117.200 19

a. Predictors: (Constant), kilometers

b. Dependent Variable: time

Page 93: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

Q4 Does number of complaints have effect on the company preference of APOLLO?• H0 : Company preference of Apollo is independent of number of complaints

• HA : H0 is false

Chi-Square Tests

Value df

Asymp. Sig.

(2-sided)

Exact Sig. (2-

sided)

Exact Sig. (1-

sided)

Pearson Chi-Square 1.579a 1 .209

Continuity Correctionb .044 1 .834

Likelihood Ratio 1.912 1 .167

Fisher's Exact Test .400 .400

Linear-by-Linear

Association

1.500 1 .221

N of Valid Cases 20

a. 2 cells (50.0%) have expected count less than 5. The minimum expected count is .40.

b. Computed only for a 2x2 table

Page 94: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER ANALYSISUSING SPSS

From the above value of Chi square test where significance> 0.05 hence it is insignificantHence we reject H0

Symmetric Measures

Value Approx. Sig.

Nominal by Nominal Phi .281 .209

Cramer's V .281 .209

Contingency Coefficient .271 .209

N of Valid Cases 20

Page 95: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

PERCEPTUAL MAP USING DISCRIMINANT ANALYSIS

-4 -3 -2 -1 0 1 2 3

-4

-3

-2

-1

0

1

2

BIRLA

CONTINENTAL

MICHELIN

BRIDGESTONE

GOODYEARCEAT

JK

MRF

APOLLO

price

performance

Page 96: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

COMPANY’S POLICY AND PROMOTIONAL SCHEME

Page 97: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

COMPANYPOLICY

APOLLO MRF JK CEAT BIRLA GOODYEAR MICHELIN BRDIGESTONE CONTINENTAL

INTEREST ON DEPOSIT (YEARLY)

MINIMUM ROTATION REQUIRED PER MONTH ON WHICH INCENTIVES ARE ALLOWED

MINIMUM ROTATION REQUIRED PER QUATER ON WHICH INCENTIVES ARE ALLOWED

MAXIMUM ROTATION ALLOWED PER MONTH

MAXIMUM ROTATION ALLOWED/QUARTER

CREDIT PERIOD (MINIMUM)

CREDIT PERIOD (MAXIMUM)

ROTATION SURPRISE/INCENTIVE

TOD/QTD

PPD

TD

COLLECTION DISCOUNT

ANNUAL INCENTIVE

OTHER SPECIAL DISCOUNTS/OFFERS

Page 98: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CUSTOMER SCHEMESHCV BIAS segment

HCV RADIAL segment

LCV BIAS segment

LCV RADIAL segment

SCV BIAS segment

SCV RADIAL segment

FARM segment

PCR segment

COMPANYPOLICY

APOLLO MRF JK CEAT BIRLA GOODYEAR MICHELIN BRDIGESTONE CONTINENTAL

Page 99: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

COMPANY’S POLICY AND PROMOTIONAL SCHEME

• Highest discount/interest giver – JK tyres• Highest incentive giver (Both to dealer and

Customer) – Michelin• Most lenient policy structure – Continental• Most effective Policy structure – MRF• Lowest discount/interest giver - MRF

Page 100: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CONCLUSIONS

Factors which are affecting growth of company in rural and semi urban market are:-

• High number of dealers are unsatisfied from Apollo (for reasons please refer to dealer survey section)

• Decreasing customer satisfaction and their increasing switching rate (for reasons please refer to customer survey section)

• Bad company policies regarding products• Extremely high costs than competitors• Less promotional schemes and marketing

Page 101: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CONCLUSIONSPRODUCT

MARKET SHARE

LOW HIGH

LIFE TIMENEW ASPIRE 4G

AMAZER 4GSPORTRACSULTRAC CEUTOULTRAC SESSANTAXT-9XT-9 PLUSXT-9 GOLDENDURANCE RAENDURACE RDPOWERHAUL

ALNAC 4GAPTERRAMILESTARLOADSTAR SUPERLOADSTAR SUPER GOLDKRISHAK SUPERXT-100KXMR

OLDASPIREACLERE MAXXAMAZER 3G MAXXQUANTUMAMARAMAR AT RIBCARGO TUFCARGO SLXT-7 HAULUGRANCERLUG MILLERENDURANCE MDENDURANCE CDFARM KINGXTRAX RC317XTRAX E3

AMAZER 3GAMAZER XLACELEREAMAR DLXAMAR GOLDCARGO MILLERCHAMPION GOLDXT-7XT-7 GOLDDURAMILEENDURANCE LDENDURANCE MA 326KRISHAK PREMIUMKRISHAK GOLDXTRAX IT 426DHRUV

Page 102: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

CONCLUSIONSPRODUCT

GROWTH RATE

LOW HIGH

LIFE TIMENEW ASPIRE 4G

XT-9XT-9 PLUSENDURACE RD

AMAZER 4GSPORTRACSULTRAC CEUTOULTRAC SESSANTAXT-9 GOLDENDURANCE RAPOWERHAUL

Page 103: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

RECOMMENDATIONSTo increase market share in rural and semi urban areas following steps are recommended

For Dealers• Do not increase the number of dealers , focus on current dealers and try growing them as this will not

only reduce interdealer rivalry but also increase dealer’s revenue which will turn them in company’s favour

• Make 1 country 1 price policy so that the price difference in various zones is abolished.• Make better RAS and rotation policy and inform the dealer about policies in advance.• Make tyre availability at company’s district office easy and on time specially during high demand season

of summer.

For Customers• Make claim passing as easy as possible and give claims on other than manufacturing defects also• Make tyre replacement possible at every district office and the customer should not be asked to go back

to the District office from where he purchased tyres.• Give additional benefits to Apollo Brand Loyal bulk buyers

For Products• Discontinue loss making products listed under slow growth and low market share segment• Increase tyre NSD for farm tyres• Focus largely on product having high market share.

For Market• Apollo is market leader in HCV ,LCV and SCV Radial protect that.• Apollo is market follower in HCV , LCV and SCV Bias increase that• Focus on Passenger car and Farm segment as growth rate is higher

Page 104: Increasing market share for Apollo

NAMAN SHARMA - B.I.M.M PUNE

KEY LEARNINGS

• Knowhow of tyre as an industry and Apollo as a company

• Conducting a methodological research and finding conclusions

• Dealer and customer interaction ways and there issues.

• Insight into Rural Market.


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