Professional Documents
Culture Documents
Marketing Management 2 Ca 1
Marketing Management 2 Ca 1
Marketing Management 2 Ca 1
SUBMITTED BY
SECTION- Q2143
COMPANY- Hero
SUBMITTED TO
Dr. Ajay Bamba
Faculty, Mittal School of Business
INTRODUCTION
Hero MotoCorp Limited, formerly Hero Honda, is an Indian multinational motorcycle and scooter
manufacturer headquartered in New Delhi, India. The company is the largest two-wheeler
manufacturer in the world, and in India.
“Hero MotoCorp started its journey in 1956 as Hero cycles. The company is one of the largest two-
wheeler manufacturers in the whole country. In India, it has a market share of about 46% share in
two- wheeler category. It boasts of a massive sales and service network with over 6,000 dealerships
and service points pan India”.
Hero which is a company based on India is leading manufacturer of two-wheelers and was found in
the year 1984 and thus running this business for several years, holding 50% share in domestic scooter
market. Hero’s mission is to be a global business that meets the needs of its customers by moving,
setting standards on technology, style, and quality to transform its customers into its brand
representatives.
Hero Pleasure is a modern gearless two-wheeler vehicle manufactured by Hero Honda in India and
marketed as the light ‘n’ zippy scooter. It is a light weight scooter weighing just 104 kg with 100
cubic capacity and built taking into consideration the group of women or girls. It is light and easy to
ride scooter popular among office and college going women, girls and housewives. It was launched in
the year 2005. Hero pleasure was the first scooter produced by Hero Honda which was earlier a motor
cycle manufacturing company and now known as Hero MotoCorp, when Hero pleasure was launched
it was received very positively.
The Hero Pleasure was an automatic scooter manufactured in India by Hero Honda. It was launched in
2005 with the slogan “WHY SHOULD BOYS HAVE ALL THE FUN”. Pleasure was launched with
an intent to target girls and youth segment, who are educated or getting educated and want an
independent and barrier less lifestyle. It worked very well and it became incredibly famous and
successful in females.
Earlier there were not much automatic scooters, some of those which were there are Classic Kinetic
Honda, then came TVS scooty then Hero Pleasure was launched in the market as rival of Activa and
Scooty Pep. The first generation of hero pleasure became one of the desired scooters as soon as it was
launched in the market. The new design of Hero Pleasure attracted a lot of youngsters in which more
number was of women and girls. It is having engine of 102.0 cc, 4 stroke air cooled and it gives
mileage of 40 to 45 kmpl which makes it a very fuel-efficient product. Getting this extra mileage is
actually a good thing for people who really care about fuel.
having maximum power of 6.90 bhp and maximum torque of 8.10 NM, which is enough for riding in
most of the conditions. Fuel type used is petrol and it is having automatic transmission and contains
both kick and excellent self-start. After Hero Pleasure started capturing attention of people the
company launched its different color line.
For providing intense handling support Hero has given front and rear brake which internally expands
about 130 mm diameter and these brakes are very supportive feature offered by Hero which are
reliable and effective too but there is one problem with these brakes that it gets worsen with use. It can
be used efficiently in city roads or properly build roads driving it on rough roads is not a good choice
as it mainly manufactured focusing on city riders. If the roads are smooth then the rider will enjoy the
ride but when the road is rough it will not enjoyable as the pleasure will be missing as rough drive will
not be supported by shock absorbers. The best part of Pleasure is that it provides its riders with light
and noiseless ride.
Hero Pleasure was unique at marketing level rather than a product level. It was launched as a
women’s scooter with brand tagline “why should boys have all fun?” taken up by FCB-ulka marketing
team. Whole Scooter market was polarized with Hero Pleasure coming up with scooters specifically
for male or female.
Hero Pleasure made its suitable position in the market capturing almost 16-17% of the market in small
interval of time. Hero Pleasure went through modification and in 2020, it was launched as Hero
Pleasure Plus.
CUSTOMERS
i. The primary target is the college/school girls and young ladies between the age group of 16-
25.
ii. It is targeted to those girls who want to enjoy life and celebrate the sense of freedom.
CONTEXT
i. Demographic Environment: The demographics of Hero Pleasure are limited to the young
ladies and girls with their marketing tagline as “WHY SHOULD BOYS HAVE ALL THE
FUN?” and for young girls who want to do study want go for the job of age group 18-26.
ii. Economic Environment: The exponential rise of middle-class coupled with rise in educated
women contributes to the rise in two-wheeler for women. Its affordable price makes it less
susceptible to macroeconomic factors.
iii. Technological Environment: Technical advances like gearless driving and self-start ignition
have made scooters extremely user friendly and suitable for females to use.
iv. Natural Environment: The rise in pollution level across different cities in India due to 4-
wheelers has forced people to shift to two-wheelers and useful in traffic too.
FEATURES OF HERO PLEASURE
Hero Pleasure have many features which makes it unique from its other competitors:
i. Exciting Body Graphics—It has eye-catching body graphics which attract audience and
seems to be powerful steps in marketing and advertisements.
ii. Handle-mounded headlamp—Headlamp of hero vehicles seems to be mounted up to
illuminate road ahead.
iii. Front apron-mounded – Front apron in Hero pleasure seems to be mounded up to look more
attractive and catching.
iv. Large turn signals—It has large turn signals which will be more beneficiary during night
travel.
v. Side-Stand Indicator – Will be helpful during any damage for others passer-by to prevent
any accidents. Sometimes people forget to place the stand at its place after using it, by help
of this feature people can easily about this mistake and people will not be able to start their
scooter before placing the side stand at its place.
vi. Tubeless Tyre – Due to this it last for even a day or more after being punctured. By this
feature girls can ride the scooter even after puncture, they do not have to pull it.
vii. Stunning Meter Console—This keep on reminding about distance which can be covered and
speed with which we are forging ahead.
viii. Mobile Charging Socket – Charging socket always seem to be advantage for a long
journey so that we can connect to others no matter where we are. Extremely useful
features for the girls because it will help girls to charge their smartphone in emergency
because smartphone is very necessary for the girls for their safety.
ix. Boot Light in Luggage Box
x. Pass Light—Indicate and give signal to others to go ahead if they want to cross to move
ahead.
xiii. 100 cc engine with four-stroke, air-cooled, single cylinder OHC displacement with 102 cc
engine.
xiv. Upgraded with mobile charging sockets—To live for long journey.
xv. Electric start—To avoid manual kick which is good for old people.
xvi. Maximum power- 7p.s @ 7000 rpm —Its engine power which is 7000 rotation per minutes.
xvii. Maximum Torque- 8.1 Nm @ 5000 rpm. Its torque which is 5000 rotation per minute.
xix. Front and Rear brake. – It has combo brake as well which provide more power to avoid
accident.
xx. Analogue speedometer—It has needle which keep on indicating speed at which we are
travelling.
xxi. Analogue fuel gauge. — It has needle to indicate for how long our journey will last with
remaining fuel.
FIRMS OFFERING THE PRODUCT
In the month of June 2021, 17,937 units of pleasure scooter were sold. So, year-over-year change is
19.48%.
To increase the market share of hero pleasure Hero come up with new variance of Hero Pleasure which
is Hero pleasure plus.
Hero Pleasure acquired 37.1% market share in FY2021 in spite of the 10.1% decline in sales. It has
increased by 1.26% growth in market share as compared to FY2020 in spite of losing 10.1% sales.
MARKET SHARE: - It has a market share of about 37.1% in the two-wheeler industry.
If we compare both the charts that’s 2020 and 2021, we can see that there is increase in Honda market
share because Honda is offering more features and unisex design for the customers that increases the
confident of the coiners and they start trusting on the company that company will help them to
upgrade themselves.
MARKET SIZE
Market Size of Gearless Scooter is growing day by day and the segment is growing well by 20%. The
Scooter market is dominated by gearless scooters generating a growth of 22.3% year-on-year. The
scooter market is growing rapidly and registered a 3% of growth in their share in whole two-wheeler
market in present financial year making its overall share of 21% in two-wheeler market. It is because
the demand of gearless scooter is increasing mostly among women because there is increase in
working women which increasing the sales of gearless scooters.
Growth of 14-15% annually is being expected in the gearless scooter market with launch of new
products from Hero, TVS and Suzuki. Scooter market is growing more rapidly than motorcycle
market as the scooter market is growing by 32.4% year on year as compared to growth of 6.7% year
on year in motorcycle market.
Hero follows the pricing policy as in today's market environment it is very difficult to specifically
follow a strategy that involves rowing prices. The company has decided to apply additional pricing
policies when customers are offered their cash pricing. Hero is in one of the very few companies that
believes in transferring the benefit of any expense to its customers. Hero Pleasure has different prices
to suit the needs of different sections of the community. Although some of Hero Pleasure have a higher
price than their competitors like Bajaj, Honda, TVS, consumers prefer Hero’s products because of the
quality and efficiency of the fuel as well as better range and better performance. But this is because the
price varies according to the value added to the consumer.
The huge purchase price for Indian customers for scooters depends on mileage than its price, so Hero
makes Hero Pleasure more fuel efficient and combining them with an attractive price helps them turn
the buying purpose into a real purchase. The company is also set up to introduce low-cost Scooters that
produce higher margins and revenue. In conjunction with these products, other products are reasonably
priced and economically viable and will be presented to the lower consumer budget group. Due to its
efficient distribution network Hero has been able to reduce and absorb the excess costs that lead to
higher sales and revenue. Hero offers Hero Pleasure at a competitive price, focusing on a large market.
Hero prices its most competitive products on the market, thus over the years it has been able to gain the
largest market share.
The Pricing strategy used by Hero Pleasure is good according to me as Hero Pleasure has used the
pricing strategy that suits every segment of consumers be it medium or high budget, hero pleasure has
different prices to suit the needs of different sections of the community. Customers prefer Hero
pleasure over any other scooter because of its competitive pricing strategy when consumer think to
choose between hero pleasure and its competitor product, they find hero pleasure as a best buy as with
almost the same price hero provides extra features with maintained quality of their product. Prices
varies with different colour selection and extra added features also. Hero do required enhancements and
improvements in their product to make their customers fully satisfied that is the reason customers
prefer hero pleasure over any other scooter in the market. Hero pleasure price is in the range of 60,000
to 62,000 and gives a mileage of 69 km/l with 8 bhp power and fuel efficient where as if we see its
competitor Honda Active the price range is 65,000 to 70,000 with mileage of 45 km/l and 7.5 bhp
power, we can clearly see the with a less price hero pleasure is providing various better features than
other highly priced scooters in the market With this strategy hero pleasure made a growth in its sales by
67.59% which shows customers trust toward hero and its successful pricing strategy which is beneficial
both for the customers as well the company.
PRODUCT LIFE CYCLE STAGE OF HERO PLEASURE
Product life cycle is a sequence of strategies used by a business as how a product goes all through its
life cycle. Product life cycle shows the circumstances in which the product is sold and how the product
changes over time and how the changes should be controlled as it progresses. Product Life Cycle shows
products also have an arc from birth to death, the product life cycle goes through multiple phases,
covers a wide range of technical fields, and requires a wide range of skills, tools and processes. It has
sequence of stages starting from Development, Introduction, Growth, Maturity, Saturation, and
Decline.
Then the development of Hero pleasure started which was the first scooter made by Hero company and it
targeted mainly the female segment and they developed a light and zippy scooter know to be Hero Pleasure.
Hero Pleasure is a modern gearless scooter manufactured by Hero in India. It is a light weight scooter
weighing just 104 kg with 100 cubic capacity as it is built taking into consideration the group of
women or girls. It is light and easy to ride scooter and fuel efficient as well. For providing intense
handling support Hero has given front and rear brake which internally expands about 130 mm
diameter and these brakes are very supportive feature offered by Hero and it provides its riders with
light and noiseless ride. Hero manufactured and developed a scooter with all the possible qualities that
the female segment wants as at that time there was no craze of more scooter as there were very less
companies who developed gearless scooter and light weight. When hero pleasure effectiveness was
tested it was proved to be highly efficient scooter with great mileage and support. It took a lot of time
to manufacture hero pleasure as it is providing some unique features that the scooters of that time
were not providing like no gears, front and rear brake, shock absorbers, self-start drum brake and light
weight with efficient engine capacity and many more which distinguished it from its other competitors
products like TVS Jupiter and Honda Dio.
In this stage Hero spend lot of its money as hero pleasure was not yet launched in the market. After
the manufacturing of hero pleasure was completed then the company strategies the launch of the
product that is how the product should be launch in the market so that most of the customers get
attracted to it.
Hero launched a new campaign for its Hero pleasure. FCB Ulka made the ad, promoting the song
Hero Pleasure 'why should boys have all the fun?' The ad speaks to young women and features a
brand-new face, Bollywood actress Alia Bhatt. Through this campaign for Hero Pleasure Hero wanted
to break the stereotype in Indian society about girls who can’t go out and live life like boys. The
communication showcased the protagonist enjoying the thrill of riding the all the new Hero Pleasure,
confirming the brand philosophy that today's young girl can go out and have fun just the way she
wants to.
The advertisement showcases Alia enjoying a full-blown ride with Pleasure in the beautiful Kulu
Manali area, as she breaks down conventions and stereotypes one by one, which has been captured in
a rap song a rap song. The song is sung by a girl and a boy and the boy is a little sexist and tries to tell
the girl that he should do things that are normal for women. For her part, the girl breaks all the
conventions in her conversations, announcing that she will have fun with her Hero Pleasure. Hero
Pleasure is about putting girls in an equal position with boys. From being a vehicle that helps women
go places Hero wants to evolve it into a vehicle of pleasure. The idea of why should guys be the only
ones to ride purely for the fun of it.
The advertisement shows all the features of Hero pleasure its 100cc engine, light and zippy, great
mileage, charging socket, its storage, its integrated brake and many more. The campaign was
successful in its aim and people easily understand the features and benefits of the product and female
segment which is the main target of Hero for Hero pleasure were very much attracted with the features
and concept of Hero Pleasure and they accepted the brand identity and got ready to buy the product.
Hero Pleasure focused on product promotion strategies and for this they offered free trial or sample
packages, coupons, prizes. It also used print communication to promote the brand such as brochure,
catalogues, and flyers etc. It used business to business promotion strategy such as trade shows,
conventions, sponsorships, contests, giveaways such as pens, notepad, hats all imprinted with
company’s identity on it. This is how Hero pleasure made its strong presence and place in market and
its demand started increasing day by day making it a highly demanded product taking the product into
next stage of product life cycle.
Hero Pleasure sold 6725 units in December 2018, which dropped by more than 50% compared to
November 2018. Compared to Y-o-Y, the figures dropped by 58%. Last year in December 2017, it
produced 15,679 units.
Hero Pleasure has been cut off from the Indian market. Hero Pleasure scooters are no longer available
in stores and retailers do not accept any of the same bookings and Hero has removed Pleasure from its
official Indian website which also confirms its extinction. Hero Pleasure was introduced in 2006 and it
was sold in India for 14 years. The pleasure ride has been decent, however, the brand began to lose its
light in the dust of time in recent years. Highly targeted at female consumers, Pleasure was a big name
among the customers. Despite receiving updates on time, Hero Pleasure has not been able to keep up
with the competition, mainly due to the dominance of unisex scooters taking the market by storm.
While Hero pleasure declined from the market but the company after discontinuation of Hero Pleasure
launched Hero Pleasure to compete in the market. The Pleasure Plus 110 comes with a BS6 engine
that produces 8 hp of power and 8.7 Nm of torque. The new Hero Pleasure Plus 110 is currently on
sale in India for Rs 54,800 with base trim and Rs 56,800 unique alloy wheel. However, the market
gradually moved to adopt 110cc scooters that offer better features and design. The company
introduced its Pleasure Plus 110.
If we consider Hero Pleasure it has completed its product life cycle as it has been totally declined and
no longer in the market although it is replaced by Hero Pleasure plus but Hero Pleasure has been
declined from the market.
The Big idea that is being used by Hero in this advertisement of Hero Pleasure is about putting girls
on the same level as boys. Hero implemented the idea that from being a vehicle that helps women to
go places should be turned into a vehicle or ride of pleasure. The idea of why men should be the only
ones riding is just for fun of it. Also, the role of music was very important in this advertisement which
shows how girls are stopped and questioned every time when they want to live their life as boys do.
Through this advertisement of hero pleasure hero is connecting with young girls by challenging
paradigms and representing issues that affect their lives. Continuing to strengthen the success of hero
pleasure, hero has made the ride so enjoyable that it becomes a place in itself and is a good reason to
ride. Which shows as boys, even girls don't need a reason to go out. And with Alia Bhatt as the new
face of the brand, the young dynamic character fits the brand personality. With her enthusiasm,
vitality, and the new Hero Pleasure on her side, she is ready to tell the world 'Why should boys have
all the fun?'. Majorly, Hero Pleasure aims to end speculation, uncommon in Indian society about girls
who can go out and live a normal life just like boys. The connection depicts the main character who
enjoys the joy of riding the whole new Hero Pleasure, which testifies to the product philosophy that
today's little girl can go out and have fun the way she wants. Hero Pleasure is for a confident modern
girl sculptor who believes in pleasure, evil and independence. And Alia Bhatt, the teen icon, with her
charm, vibration and naughty but beautiful image make alive a product proposal - Why should boys
have all the fun?
According to me as hero pleasure is mainly targeting young girls and women segment as their target
customer the ad is depicting the idea and communicating to all the girls and women this message that
why should boys have all the fun. And I found it very much appropriate as they are successful in
communicating their message that not only boys but girls can also live their life on their terms, go on
night outs without being questioned by anyone and this idea attracted lot of young girls and women
toward their product and converted them to a real purchase.
Hero Pleasure commercial appeals girl power which is social and a rational type of appeal as the
advertisement brings a feeling to take a stand of girls and shows that why should boys are not
questioned but girls are questioned every time they go out, why boys are allowed to hangout in night
whereas girls are questioned and girl should take their stand and live their life with freedom like boys.
The advertisement also used musical appeal in its commercial. As music can help attract the attention
of the listener because music is often associated with emotions, experiences, and memories, attracting
the attention of those who have never shared it before. The use of musical appeal allows
communication between a product or service and an attractive jingle or piece of music. So, Hero
pleasure used 'Why should boys have all the fun?' as a question and complaint through rap song. And
since these musical memories are often stored in the long-term memory of the brain, many consumers
remember jingles for a long time.
According to me the appeal used in the commercial of Hero pleasure is absolutely appropriate as it is
using rational and musical type of appeal broadcasted the message to everyone successfully and also
have impact in changing the mind of people that they should not only give all the rights to boys but
girls also and it supported girl power very well and gave girls and young women a chance that they
can live their life on their terms.
Media used for promoting Hero Pleasure is Internet, TV commercial, newspaper, magazine, and
billboards. But taking into consideration its target audience as girls and young women the media
selection widely used for hero pleasure is Internet and TV advertisement. According to me the media
selection (TV advertisement and Internet) used for Hero pleasure is a correct choice as young women
and girls are mostly engaged in Internet media or Television. As Hero used proper media selection for
hero pleasure it helped to increase their customers and profits the company a lot. And also, through
television advertisements it has spread appropriate awareness about the product among the target
customer. On television advertisement is shown between some serial breaks as women are into
watching serials so this is the right time to capture their attention which Hero Pleasure used. Through
Television advertisement the target customer is getting detailed knowledge about the product and the
company’s intension behind it. Like through the advertisement of Hero Pleasure Hero depicted that
not only boys are the one who can have fun but girls can also have fun and live their life with freedom
and they can grab their share of with the light and zippy Hero Pleasure with moto “The question will
remain but the fun will also be there Dhak Dhak Go” with Hero Pleasure which help their target
audience to realize and understand the message they are conveying and helped them in making their
purchases real. So, according to me media selection for Hero Pleasure is correct.
DISTRIBUTION STRATEGY
Hero used direct distribution channel for Hero Pleasure when it was launched it was primarily sold
from Hero showrooms. Hero has a wide distribution network which serves as a shock absorber for
Hero as it costs its products a little higher compared to its competitors same in the case of hero
pleasure. With a comprehensive and robust distribution network Hero’s products can be found in all
urban or small urban and rural areas throughout India. Being a trademark of the Indians and being in
the pre-liberation market, access to rural areas is highly integrated. But when the competition
increased Hero started using different Distribution channel to reach to their customers it started using
both direct and indirect distribution channels. According to be the distribution strategy used by Hero
for Hero Pleasure is good as the company has strong distribution network and expanded all over the
world so it is a good decision for the company to use both direct and indirect distribution channel to
make their product Hero pleasure available and easily accessible to their target customers.
So, the distribution type used for Hero please is direct and indirect distribution. Direct distribution is
the distribution method in which the company directly sell their products through their showrooms
without any intermediaries. Hero used direct distribution when Hero pleasure was launched in the
market as hero has various showrooms present over India so they were easily able to reach to the
customers and serve them with their product. But when the competition of Hero Pleasure increased in
the market with other competitor company’s products hero started using both direct and indirect
distribution so that they can reach to every region may it be rural, urban, sub-urban, small village or
town. To make Hero pleasure accessible to every segment and region of customers hero pleasure used
indirect distribution channel as retailers to increase their sales as well as to b easily available to their
customers.
Level of distribution of Hero Pleasure is both zero level distribution and one level distribution as it
uses both direct and indirect distribution channels to sell its products to the target customers.
It uses zero level channel of distribution as it sale its product directly to the consumer without any
intermediary whereas sometime they also use one level channel of distribution in which they do
dealership with the retailers offline and online both to make their products accessible to their
customers all across.
According to me the direct and indirect both type of distribution channel selected by hero is correct as
for hero pleasure the target market is very big and spread across various regions so it is important for
hero reach all of its customers and serve them. If we talk about the target of hero pleasure it is mainly
young girls and women and nowadays not only in the urban area but also in the rural areas girls are
becoming independent and living with all freedom and that is what hero pleasure targets so for
reaching all the young girls who need not a vehicle to let them drop but a pleasure drive of their own it
is best decision for hero pleasure to use both direct and indirect channels of distribution which helped
them to reach their target customer all across.
PRODUCT MIX OF HERO COMPANY
HERO
Motorcycles Scooters
Splendor + black
current accent
Splendor + BS6
HF Delux BS6
HF100
Glamour BS6
New Glamour
Glamour XTEC
Product Mix length is 22 as total number of items are 22 including items in both categories of
motorcycle and scooter.
Product mix width is 2 as total number of product length is 2 that is motorcycle and scooter.